Kenya Revenue Authority (KRA) has reduced the time taken to release goods from the Port of Mombasa, Inland Container Depots, and Kenya Railways Corporation Sheds by 54% over the past three years. The average release time has dropped to 51.43 hours from 112.6 hours in 2021/2022, meaning goods are now released in just over 2 days compared to over 4 days previously.
This improvement is largely due to the increased adoption of Pre-Arrival Cargo Processing, with uptake growing from 25.28% in the 2021/2022 financial year to 40.55% in 2023/2024. KRA’s Customs Integrated Management System (iCMS) now allows customs entries to be declared using the bill of lading as the base document, enabling faster processing even before the cargo arrives.
To enhance risk management, all goods arriving at the Port of Mombasa are inspected at the port of origin. A Pre-Export Certificate of Conformity is issued by licensed inspectors appointed by the Kenya Bureau of Standards (KEBS) to ensure compliance.
The integration of KRA’s systems with KenTrade’s Trade Facilitation Platform has further streamlined customs clearance. By enabling seamless sharing of critical information, such as import declarations and supporting documents, among Partner Government Agencies (PGAs), the process has become more efficient. This reduces the need for importers and customs clearing agents to visit offices, allowing licenses and permits to be issued with less human interaction.
These efficiency improvements have led to a 4.9% increase in customs revenue, totalling KSh 791.37 billion in the 2023/2024 financial year, compared to the previous year. Oil taxes grew by 10.3%, reaching KSh 300.77 billion, while non-oil taxes amounted to KSh 490.6 billion.
Despite the rise in import values by 11.7%, oil and non-oil tax performance was somewhat impacted by a 23.8% increase in exemptions and remissions. This was driven by special exemptions on certain food commodities to mitigate the effects of drought and reduce the cost of living.