(MOMBASA) – South Sudan’s Minister of Transport, Rizik Zachariah Hassan, has entered talks with Kenyan maritime authorities to reduce container deposit fees and ease trade costs for South Sudanese importers using the Port of Mombasa.
Minister Hassan said the government is seeking to cut the container deposit from 5,000 US Dollars (approximately 35.5 million South Sudanese Pounds) to 1,500 US Dollars (about 10.65 million SSP). The proposal also calls for extending the grace period for returning empty containers from 30 to 45 days.
Speaking to the South Sudan Broadcasting Corporation (SSBC), Minister Hassan explained that the move is part of wider government efforts to lower the cost of trade for South Sudanese businesses importing goods through Mombasa.
“We are here based on our mandate to assess and evaluate how South Sudanese cargo is handled in Mombasa, to understand the challenges traders face, and to strengthen cooperation with Kenyan authorities,” said Hassan after his meeting with officials at the Kenya Maritime Authority (KMA).
The minister’s visit included discussions with KMA Director General Justus Omae Nyarandi, who expressed support for aligning South Sudan’s container charges with international standards.
“There is a need to reduce container deposits from 5,000 to around 1,500 dollars, which is what other countries pay. We regulate the shipping industry and are working closely with South Sudan’s government to ensure all stakeholders benefit from fair and standardised policies,” Nyarandi said.
The talks are part of a wider diplomatic and economic effort to streamline cross-border trade logistics between the two countries.
The Port of Mombasa is South Sudan’s main maritime gateway, handling about 1.1 million tonnes of cargo annually bound for the country. South Sudan accounts for 9.9 percent of Mombasa’s total transit cargo, making it the second-largest client after Uganda. The port also serves as a key route for cargo destined for eastern Democratic Republic of Congo, Rwanda, and Burundi.
Trade experts say the proposed reduction in container deposit fees could lower operational costs for South Sudanese traders, making imports more affordable and improving business competitiveness. High container charges have long been a concern for importers, particularly small and medium-sized enterprises operating under tight margins.
Below is a summary of the current and proposed changes under discussion:
| Container Deposit Policy | Current Rate | Proposed Rate | Equivalent in SSP (at 7,100 SSP/USD) |
|---|---|---|---|
| Container Deposit Fee | $5,000 | $1,500 | 35,500,000 SSP → 10,650,000 SSP |
| Grace Period for Returning Containers | 30 days | 45 days | – |
If approved, the new terms would ease cash flow pressure on importers and encourage faster cargo turnaround.
South Sudan’s dependence on Mombasa has grown steadily in recent years as trade volumes increased following gradual economic recovery and improved road connectivity along the Juba–Nimule–Eldoret corridor.
Lowering container deposit costs will benefit local businesses that rely on imported goods, from fuel and building materials to consumer products, while also promoting smoother logistics for regional transport companies operating between Juba and Mombasa.