SA benefits from increased Kenyan shipping

Traffic through Kenya's port of Mombasa has increased by 7.4% a year over the past 12 years. In 2012, it handled some 19.6 million tons of cargo, of which about 4 million tons were imports and 5 million tons were transit cargo to neighbouring countries.

Uganda is the largest destination of transit cargo accounting for nearly 85% (4.2 million tons), of which 90% comprises imports. The Democratic Republic of the Congo is the second largest transit market, taking up to 8% of the total at 430,000 tons. Seventy-two percent of cargo going through Mombasa is for Kenya's domestic market, 22% is for Uganda, 2.3% for the Democratic Republic of the Congo, 1.5% for Rwanda and less than 1% is destined for Tanzania, Burundi, South Sudan and Somalia.

The government has set aside $12 million (1 billion Kenya shillings) to buy land to develop Mombasa into a free port where manufacturers may undertake work at reduced tax.

Women-owned business finds new markets

The transport business of Beyond Africa Logistics Consultants saw considerable improvement in 2013, as its Kenyan operation continued to make inroads into the beer transport business and found new markets in East Africa.

"We have increased our business with East Africa Breweries (EABL) and now transport 70% of the keg lanes both locally in Nairobi and nationally," says Michelle du Toit, operations director of Beyond Africa Logistics Consultants. "As EABL operates throughout East Africa, either directly or through affiliate breweries, we are planning to expand our service to EABL by offering cross-border transport to the breweries in neighbouring countries.

"We will also extend the operations back down the chain of supply, with contracts to bring barley from the farms to the brewer and up the chain, by facilitating the logistics of raw materials arriving at Mombasa for the brewery.

"Another opportunity is in the distribution of spirits, as rising middle-class tastes expand to top name brand whiskeys.

"The South Sudan looked hopeful last year as a potential market in need of reliable road transport companies but the current hostilities have put that on the back burner."

"It has been a challenging year, as an all woman operation fitting into a different culture and not without its setbacks but Kenya is a friendly, accommodating nation and we have excellent service providers in the IT and office supplies industries as well as good mechanics and excellent relationships with fuelling stations, a necessity on tough rural roads."

"We consider the opening of our Kenyan office an essential step in our pursuit of East Africa business and look to expand its logistics business considerably in 2014," concludes du Toit.

Beyond Africa Logistics Consultants aims to establish collaborative relationships with customers and suppliers to improve communications and efficiency in the overall management of trade flow logistics from supplier to purchaser, using air, road or sea options. It operates from a dedicated South African and Kenyan office.