(NAIROBI) – The High Court in Kenya has issued an order halting cargo transportation operations by two companies linked to prominent Kenyan business and political figures, after a formal request from the Government of South Sudan. The decision follows growing concerns over inefficiencies that allegedly disrupted vital supply chains between the two countries.
The companies affected are Autoport Freight Terminal, which is associated with the family of Cabinet Secretary Hassan Joho, and Compact Freight Systems Limited, owned by businessman Sam Kairu. Autoport had been handling 80% of cargo destined for South Sudan, while Compact Freight Systems was responsible for 20%.
Justice Christopher Ndolo Mutuku ruled that both companies had failed to properly carry out their responsibilities in managing the cargo, resulting in delays and complications affecting sensitive consignments, including United Nations shipments, medical supplies and food.
In his decision, the judge instructed the Kenyan government to act in accordance with a request from South Sudan’s Ministry of Transport, which had already informed Kenya’s Roads and Transport Cabinet Secretary, David Chirchir, of its decision to terminate the cargo allocation model. This request, dated 16 June 2025, cited significant logistical failures that had negatively affected trade and humanitarian efforts.
“The lives and interests of the needy and marginalised people of South Sudan, particularly regarding access to essential cargo such as food and medicine, are paramount,” said Justice Mutuku. “These concerns compel this honourable court to intervene and ensure that there is no disruption in the cargo processing and supply chain, and that no lives are unnecessarily lost due to bureaucratic hiccups.”
South Sudan’s Minister of Transport, Dr Lam Akol, explained that the earlier cargo handling arrangement had led to serious delays and even a cargo auctioning incident, compromising critical goods. He further stated that the arrangement was no longer viable given the evolving logistics environment, especially with the planned expansion of the Naivasha dry port, intended to serve as the new hub for cargo moving into South Sudan.
| Cargo Allocation (Prior to Suspension) | Operator | Cargo Share |
|---|---|---|
| Autoport Freight Terminal | Joho Family-linked firm | 80% |
| Compact Freight Systems Ltd | Owned by Sam Kairu | 20% |
In response to these challenges, South Sudan formally cancelled its prior cargo allocation agreement, citing inefficiencies and the adverse impact on trade and humanitarian shipments. This included cases where cargo intended for UN operations was held up or auctioned due to congestion and mismanagement at the port level.
Justice Mutuku, in granting a mandatory injunction, underscored the urgent need for uninterrupted cargo movement to South Sudan, especially given the reliance on seaborne supply chains by vulnerable communities.
“There is an urgent need to safeguard the most vulnerable members of society through an interim measure of protection in the form of a mandatory injunction, aimed at ensuring consistent and effective cargo handling as requested by the recipient country,” he ruled.
This development is significant for South Sudan, where access to imported goods and humanitarian aid often depends heavily on logistical partnerships with neighbouring countries, particularly Kenya. Disruptions at this level can lead to severe delays in the delivery of medicine, food, and emergency supplies.
While the cost implications of these delays are hard to quantify, logistical blockages often result in increased storage fees, lost shipments, and inflated costs for essential goods. According to freight analysts, one delayed cargo container can cost between SSP 2,300,000–4,600,000 (USD $500–$1,000) in demurrage fees alone.
South Sudan’s pivot towards using the Naivasha dry port as its main cargo entry point is seen as a strategic effort to avoid further complications and improve control over logistics. This shift may also open opportunities for other operators to enter the freight handling space, provided they can meet the standards required by both governments.