Government Banks on Ports, Roads Infrastructure Expansion to Spur Logistics Trade

By Harrison Kivisu

Email, thecoastnewspaper@gmail.com

The government is banking on the expansion of ports and improvement of road infrastructure at the Kenyan Coast to boost national revenue generation and strengthen regional logistics economy.

To ensure seamless growth of the logistics sector, transport principal secretary Mohamed Daghar, emphasized the importance of eradicating non-tariff barriers (NTBs), roadblocks, insecurity, and corruption, key factors that continue to negatively impact the Northern Corridor’s transport and logistics sector.

According to sector players these challenges cause delays, increase costs, and discourage trade denying the country significant revenues worth millions of shillings.

Daghar, while highlighting the ongoing port expansion, noted that efficient transport corridors and logistics systems contribute significantly to reducing the cost of doing business and enhancing overall competitiveness.

“Efficient logistics also attract local and foreign investment, as investors prioritize strong supply chain infrastructure to invest in. A reliable logistics network supports industrial development helping economies advance up the value chain,” he said.

Kenya Ports Authority (KPA) managing director Captain William Ruto said construction works at Berth No.19B were expected to be completed by the end of next year noting noted that the port has continued to increase its cargo-handling capacity.

Ruto described the ongoing construction of new cargo and oil terminals, investments in modern equipment, and greenfield projects such as the Port of Lamu, Shimoni Fish Port, and Dongo Kundu Special Economic Zone as major infrastructure milestones.

“At the Port of Mombasa, which has continued to record a significant rise in vessel traffic and cargo volumes, we are in the process of constructing berth 19B, with plans for construction of berths 23 and 24 to increase container capacity at the busy port,” he said.

KPA data indicates that between January and September 2025, the Port of Mombasa handled 32.86 million metric tons of total cargo throughput, compared to 29.97 million metric tons handled during the same period last year -representing a growth of 9.6 percent or 2.8 million metric tons.

“For container traffic, the Port has so far handled 1.55 million TEUs during the period compared to 1.46 million metric tons in the corresponding period in 2024. This represents a growth of 91,000 TEUs, equivalent to 6.2 percent. With these impressive numbers, our resolve is to work closely with each stakeholder to further enhance our efficiency and productivity.”

KPA is also investing in automation to improve documentation and cargo clearance processes.

According to him the authority is upgrading its terminal operating system to include automated gate systems, equipment positioning systems, and barcoding systems, among other innovations.

Addressing the gathering, Kenya National Chamber of Commerce and Industry (KNCCI) President Dr Erick Rutto, underscored the need for seamless, integrated, and resilient supply chains.

“In Africa, and particularly in the East African region, trade and logistics are important economic enablers for transformation. As we embrace the African Continental Free Trade Area (AfCFTA)… For hinterland countries in our region, access to efficient ports and transport corridors is critical for unlocking trade potential and achieving inclusive growth,” he said.

Kenya International Freight and Warehousing Association (KIFWA) national chairman Fredrick Aloo called for continued collaboration between the public and private sectors.

“Let us continue to collaborate, innovate, and engage so that together, we can drive the future of trade and logistics in Kenya, in Africa, and across the globe,” he said.

The leaders spoke in Mombasa on October 27, 2025 during the International Trade and Logistics Summit (ITLS) conference convened by the KNCCI and KIFWA.

The ITLS 2025 summit features panel discussions, exhibitions, and networking sessions, showcasing innovations in logistics technology, automation, and sustainable transport solutions.

KIFWA and KNCCI say the conference brings along global players to produce actionable strategies to enhance Africa’s competitiveness in global supply chains.

The two-day meeting is part of Kenya’s broader effort to modernize its logistics infrastructure, attract foreign investment, and position Mombasa as a gateway for regional and continental trade.