The Kenya Revenue Authority (KRA) has announced the relaxation of a long-standing restriction on the stripping of cargo containers destined for Zanzibar and Pemba in the United Republic of Tanzania. This marks a policy shift from a directive initially imposed in February 2018 at the request of the Tanzania Revenue Authority (TRA), which cited concerns over smuggling and diversion of goods.
Stripping refers to the process of unloading multiple smaller consignments from a consolidated container. The previous ban required containers to remain sealed and shipped in their entirety to the Tanzanian islands to prevent the unlawful redirection of goods into the East African Community (EAC) market.
Following a formal request from TRA in November 2022 to revisit the ban, KRA has now granted limited permission for stripping—subject to specific compliance conditions aimed at maintaining oversight and security during the transshipment process.
According to KRA, the updated arrangement will only apply if:
- Goods are cleared under the Single Customs Territory (SCT) framework and entered at the Zanzibar port before onward shipment to Pemba or Unguja.
- All consignments are processed on a duty-paid basis, with TRA officers stationed in Mombasa verifying the cargo before it is stripped.
- The entire stripping and reloading operation is conducted under the supervision of KRA enforcement officers within the Port of Mombasa.
KRA emphasized that stakeholders must fully adhere to these conditions and disregard any previous notices on this matter, as the new guidelines take precedence.
The earlier restriction was introduced after investigations revealed a pattern of illegal redirection of goods especially edible oil cleared for transshipment but later found in unauthorized storage facilities in Mombasa. These practices were found to surpass the reasonable consumption levels of the target islands and suggested deliberate diversion.
To mitigate such risks while supporting legitimate trade, KRA has pledged to continue working with the Kenya Ports Authority (KPA) to enforce robust operating procedures that balance trade facilitation with customs enforcement.