KRC begins negotiations to increase ferry export cargo via SGR

The Kenya Railways Corporation (KRC) has commenced negotiations with exporters to increase the volume of cargo railed to Mombasa port via the Standard Gauge Railway (SGR) freight service, Business Daily reports.

According to Peter Masinde, the manager in charge of the Nairobi Inland Container Depot (ICD), the trains will transport tea, fruit juices and soda ash from ICD if new laws are introduced.

Following the launch of the freight services in January 2018, the SGR has transported the empty containers on its return journey to Mombasa at discounted rates of Sh25,000 and Sh30,000 for the 20- and 40-foot containers respectively.

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“The goods will be transported from Thika using the Metre Gauge Railway (MGR) railway and we are looking at about 60 tonnes of cargo every week,” Masinde said.

In addition, the KRC has also revealed that it is looking to make a deal with Magadi Soda Company to commit a full train load of 108 containers daily.

Direct tea sales make up around 20% of tea exported out of Kenya, with the country exporting 436mn kilos of tea during 2018.