The Kenya Ports Authority (KPA) plans extend discounts to customers utilising the Lamu of Port in a bid to stimulate activities and increasing the port’s attractiveness two years after its launch.

The promotional tariff, initially set to expire in May 2023, will remain valid until May 2024, said a KPA statement. The new utility has faced several challenges including the lack of direct transportation links to Kenya’s interior.

Currently, goods transported through Lamu must pass through the Port of Mombasa, adding time and costs to the supply chain.

To address these obstacles and further position the Lamu port as a transshipment hub, the KPA has introduced several measures. Transshipment containers will now benefit from an extended storage free period of 60 days, facilitating more efficient transshipment operations.

The port which commenced operations on May 20th, 2021, features three berths with a combined quay length of 1,200 meters and an annual container capacity of 1.2 million Twenty Foot Equivalent Units (TEUs).

“As we endeavour to fully operationalise the facility through equipment acquisition and development of inland connectivity, the Kenya Ports Authority (KPA) wishes to inform stakeholders that the validity period of the promotional tariff has further been extended,” KPA said on its website.

In terms of charges, international trading vessels visiting either Lamu or Mombasa subject to call-based dues, including light dues, port and harbour dues, and security dues, only at the first port of call in the country for a specific voyage.

By offering cost advantages and addressing logistical challenges, KPA aims to stimulate economic activity and bolstering Kenya’s position as a regional trade hub.