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Home » News » KRA expects Sh2.7B boost in revenue from Eldoret airport

KRA expects Sh2.7B boost in revenue from Eldoret airport

Last updated: August 28, 2023 12:18 pm
David Osoro 3 years ago
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Following the recommencement of cargo flights at Eldoret International Airport, the Kenya Revenue Authority (KRA) envisions a substantial revenue influx of Sh2.7 billion from cargo imports this year.

KRA’s acting Commissioner of Customs and Border Control, Ms. Pamela Ahago, conveyed this projection as part of the agency’s contribution to government development initiatives.

Acknowledging the cooperation from the Kenya Association of International Cargo Consolidator (KAICC) and other stakeholders, Ahago emphasized that this targeted revenue collection would support national development goals.

In the past three financial years, KRA had successfully gathered Sh6.3 billion in taxes from cargo imports facilitated through the Eldoret airport.

This forward-looking estimate arrives as cargo flights were reintroduced to Eldoret International Airport by the collaborative efforts of Cabinet Secretary for Roads and Transport, Kipchumba Murkomen, and the Investment and Trade counterpart, Moses Kuria.

Despite noting a dip in cargo volumes over the last two financial years affecting revenue targets, Ahago expressed optimism regarding the anticipated growth in cargo volumes for the fiscal year 2023/2024.

To expedite cargo processing, Ahago outlined KRA’s commitment to clear cargo within two days provided importers furnish accurate disclosures, pay appropriate taxes, and supply genuine documentation to customs officials.

Addressing the Kenya Association of International Cargo Consolidator, Ahago called for enhanced cooperation in ensuring full disclosure, accurate tax payment, and proper documentation.

In return, KRA pledged to expedite cargo release, thereby reducing costs related to goods retention, such as demurrage charges.

Investment and Trade CS Kuria proposed innovative measures for swift cargo clearance, including the potential outsourcing of scanning and verification to private companies.

Transport CS Murkomen promised the expansion of Eldoret Airport’s infrastructure, accommodating heavy cargo flights and fostering export opportunities.

Murkomen also urged the region’s farming community to seize the occasion and delve into horticulture for export, thereby capitalizing on the airport’s renewed cargo operations.

Reflecting on the late President Daniel Arap Moi’s vision for the airport, Murkomen called on local leaders and residents to elevate the region’s role by supplying goods for export.

The resumption of cargo flights is poised to revitalize the Eldoret region economically, opening avenues for agricultural exports and stimulating trade activities.

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