Traders at the Jomo Kenyatta International Airport are incurring huge losses due to delays in cargo clearance, according to a new performance index released on Tuesday. The 2011 East Africa Logistics Performance Index by the Kenya Shippers Council shows that despite the three day grace period by the Kenya Airports Authority before demurrage charges are levied, clearing agents indicated that the cargo clearance process often takes up to seven days.

“Consequently, additional costs of USD 0.08 per kilogram per day are incurred by traders in storage charges at the Jomo Kenyatta International Airport cargo centre,” the report indicates. The report notes that while the Kenya Revenue Authority’s time release study indicates that lodging of documents before the goods arrive has significantly reduced clearance times at the boarder points, the survey established that this is not the case. “Respondents claimed that the import clearance process takes three to four days at JKIA,” the report says.

For exports, the report says that time is spent waiting for the aircraft, clearing with customs as well as the time needed for security related procedures. It says custom clearance and security related procedures take most of the time. The survey adds that operators at JKIA claimed that orders are lost due to canceled deliveries or fresh produce meant for export going bad.

The report says part of the solution is technical citing the move by the International Air Transport Association to implement electronic air way bills for faster transfer through customs. The report shows that the flight costs per kg of cut flowers is highest at JKIA compared to Entebbe International Airport in Uganda which is second.The cheapest are the Julius Nyerere International Airport in Tanzania and Bole International Airport in Adiss Ababa Ethiopia.

 

 

Source: http://www.the-star.co.ke