South Sudan Slams Ruto’s Govt Over Mombasa Port New Tax

South Sudan has criticized President William Ruto’s administration after Kenya imposed Ksh 647,500 (USD 5,000) security levy on every container destined for Juba, sparking a diplomatic and trade dispute between the two neighboring countries.

According to the South Sudanese government, the fee, recently introduced by Kenyan authorities, has left hundreds of South Sudan-bound containers stranded at the Port of Mombasa, worsening congestion and raising fears of nationwide supply disruptions.

The issue was the focus of a high-level meeting in Juba, chaired by Trade and Industry Minister Atong Kuol Manyang, with senior government officials and private sector leaders in attendance.

South Sudan Protests Kenya’s New Container Levy Amid Mombasa Cargo Delays

The minister expressed deep concern over the new levy, which she called an unfair burden on South Sudan’s business community.

“We will not allow our traders to be unfairly burdened by foreign-imposed charges. As the concerned ministry, we must call for urgent measures to ensure concrete solutions,” Atong said.

She also mentioned that she had briefed Vice President Dr. James Wani Igga on the severity of the crisis. Business leaders at the meeting urged stronger coordination among the Ministries of Trade, Finance, and Transport, as well as the South Sudan Revenue Authority, to eliminate overlapping taxes, changing shipping routes, and unregulated clearing agents that have further complicated the import process.

Why Kenya is Being Condemned for the New Levy

The South Sudanese government, speaking about the new charges by Kenya, revealed that in November, South Sudan’s Transport Minister Rizik Zakaria Hassan disclosed that Kenya had reached out, introducing the new USD 5,000 (Ksh 647,500) security levy on each South Sudan-bound container, an amount they described as far higher than what other regional countries pay.

“For goods heading to Kenya, the fee is USD 1,000. For Uganda and the DRC, it is USD 1,500. But for South Sudan, the fee is USD 5,000, and that is within Kenya,” he said, calling the disparity unfair.

Rizik warned that the rising costs when combining shipping, security fees, and handling have, in some cases, exceeded the value of the goods themselves, putting traders under severe financial strain.

South Sudan Chamber of Commerce chairperson Ladu Lukak also criticized Kenya’s decision to reroute cargo through Nairobi instead of allowing it to move directly from Mombasa to Juba.

He pointed out that the changed route has added several hundred dollars to the handling cost of each container.

“As the chamber of commerce, we objected to the change because it raises expenses,” he said.

He added that increased fees and delays are causing many traders to suffer losses and disrupting the stability of the domestic market.

Source: https://thekenyatimes.com/latest-kenya-times-news/south-sudan-slams-rutos-govt-over-mombasa-port-new-tax/