Businesses involved in the movement and storage of goods under customs control will need to prepare for changes as the Kenya Revenue Authority (KRA) is set to phase out its electronic cargo tracking seals and introduce a system where users obtain the devices from approved private vendors.

🇰🇪 Breaking It Down

KRA announced the change in a public notice issued on Friday, September 11, as part of the transition to a new framework under the Regional Electronic Cargo Tracking System (RECTS).

According to the notice, the new arrangement will cover electronic seals used for both dry cargo and wet cargo.

“To enhance service delivery under the RECTS and in response to evolving business dynamics and increasing demands, KRA has transitioned to a Multi-Vendor, User-Owned Seals model for both dry cargo (e-seals) and wet cargo (e-fuel) electronic seals,” the notice stated.

📌 What You Need to Know

The changes follow persistent cases of long queues and costly delays faced by transporters and cargo operators due to shortages of government-owned electronic tracking seals.

KRA said the new model is intended to support efforts to expand access to electronic seals and ease congestion at the Port of Mombasa.

The authority revealed that it has now approved 15 vendors to provide electronic monitoring and tracking services for goods under customs control.

Under the framework, importers, exporters, clearing and forwarding agents, transporters and bonded warehouse operators will be able to select their preferred approved vendor.

The arrangement will operate through private commercial agreements between the approved vendors and the users of the tracking devices.

Electronic seals currently owned by KRA will be gradually withdrawn, with the transition scheduled to be completed by October 26.

📰 Source: Kenyans.co.ke