South Sudan President Silva Kiir had threatened to transfer his country’s cargo business to Djibouti if President William Ruto continued to execute his September order that restricted the clearance of cargo and related operations to the Port of Mombasa.
South Sudan transferring cargo business to Djibouti would have denied Kenya revenue on 1.1 million tonnes of cargo that the facility handles annually. Mombasa has been the main route for all consignments destined for the landlocked country and South Sudan now says Port of Djibouti is shorter.
Juba insisted that Autoport, a firm owned by the Joho family be part of the deal inked between Dr. Ruto and President Salva Kiir when the two leaders met.
In June this year, the Joho family won the lucrative deal to handle all South Sudan imports at its Nairobi Freight Terminal (NFT). The company won the tender competitively, owing to its location next to the Nairobi Inland Container Depot, which is connected to the SGR.