KRA Opens Up South Sudan With Three Trade Facilitation Hubs

Trade between Kenya and South Sudan is set to receive a significant transformation following the launch of trade facilitation centres in Kainuk, Lodwar, and Kakuma areas.

Kenya Revenue Authority (KRA) has established these three centres to enhance trade facilitation efforts along the Northern Corridor, a critical trade route linking Kenya with South Sudan, Ethiopia, and Uganda.

This initiative aims to improve trade facilitation and compliance opening up business opportunities in Turkana County while ensuring that Kenya remains a hub for international and regional trade. Additionally, the facilities will help ease congestion at the Malaba and Busia border posts, and significantly reduce transit time for cargo moving from Mombasa to South Sudan.

Speaking during the launch of the facilities, KRA Commissioner General, Mr. Humphrey Wattanga, lauded the new development as a game-changer for trade facilitation in the East African region. “The facilities are critical in the movement of goods within this region and are expected to enhance KRA’s operations along the South Sudan link road. Establishing these centres will further expand KRA’s footprint in the county, bringing the Authority’s services closer to the people,” he stated.

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“Today, we celebrate a monumental achievement in both trade facilitation and border security. This project will ensure our borders are secure, our business environment remains conducive, and society at large is protected,” Mr Wattanga added.

The centres which are also part of the LAPSSET Corridor Program are designed to support cargo monitoring along the corridor and facilitate exports and trade in Kenya. They will host KRA staff, including the Rapid Response Unit and Enforcement teams, which play a crucial role in ensuring the safe movement of goods by providing security for trucks from the Port of Mombasa to their destinations along the Northern Corridor. This is expected to curb challenges such as robberies, smuggling, and dumping of cargo.

Commissioner for Customs & Border Control (C&BC), Dr. Lilian Nyawanda, emphasized that the primary objective of the centres is to provide legitimate trade- related services to local communities.

“The centres will ensure that we are facilitating legitimate trade and creating direct access for cargo entering South Sudan,” she noted. She further highlighted that these Trade Facilitation Centres mark a significant milestone in strengthening economic ties with neighboring states, ensuring a smooth flow of goods across borders.

“In terms of trade facilitation, we are bringing services closer to the community, which will likely lead to a surge in economic activities. Turkana was selected due to its strategic location as a gateway to South Sudan, and the centres will enable seamless movement of goods and people along the Lokichar-Nadapal-Nakodok route,” Dr. Nyawanda added. She also expressed gratitude to the local community where the centres are built, for their support in establishing these centers and acknowledged that the facilities would offer shared amenities with them as part of KRA’s Corporate Social Investment.

The Trade Facilitation Centres are expected to significantly lower business costs for traders and KRA alike. Previously, traders had to travel long distances to access KRA services. With the new facilities now operational, accessibility has greatly improved, reducing mobility costs for businesses. Furthermore, the centres will strengthen efforts to combat illicit trade along the corridor, where smugglers exploit porous borders to transport contraband and counterfeit goods while evading taxes. KRA will also benefit from reduced operational costs, as enforcement teams will no longer need to be dispatched from Eldoret for inspections along the Northern Corridor.

Moving forward, the Authority plans to establish additional border points along the corridor to facilitate smoother trade flows, enhance revenue collection, and further open up the country to economic opportunities. This will also help close the porous borders that has facilitated revenue leakage through illicit trade.

The facilities form part of the Eastern Africa Regional Transport, Trade, and Development Facilitation Project (EARTTDFP), funded by the World Bank. These centres will serve as key operational hubs for customs, reinforcing KRA’s commitment to efficient trade facilitation and compliance enforcement in the region.

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