Operators campaign more for Mombasa business

Petitioning behind the scenes by global operators trying to get a foothold in Kenya’s Port of Mombasa has increased following reports that government is eager to concession its container terminal.

The Port of Mombasa in 2016 Photo: DFID - UK Department for International Development/flickr/CC BY 2.0

According to Kenyan newspaper The Standard, reports suggest that the government wishes to give Kenya National Shipping Line (KNSL) the responsibility of running the port’s second container terminal, as well as a single berth.

However, the newspaper has claimed that campaigns by global port operators, via local agents, is “in top gear” and that they wish to paint KNSL as “‘inept’” or incapable of running the terminal — they prefer a non-Kenyan concessionaire.

Additionally, KNSL deal opponents reportedly allege that this will grant Mediterranean Shipping Company (MSC) unwarranted advantage over competitors.

KNSL agreement supporters say it will catapult a budding local blue economy given that MSC signed a Memorandum of Understanding with Kenya’s government to offer thousands of local people employment opportunities.

However, critics say that if the deal is handled in a haphazard manner, some shipping lines, or their agents, may seek legal redress.