The first nine months of the SGR Kenya freight cargo transport was good. Kenya Railways earned $16 million leaing the freight transporters to increase the capacity that they would transport per trip by using double carrier cabin cars at the Nairobi depot.
The daily tonnage of SGR Kenya is 800 out of the 1,700 containers that arrive at the port. The increase of operations has also helped the government in starting to pay the outstanding Chinese loan.
“Since the start of SGR cargo freight operations in January, $16.2 million has been billed, collected and remitted to the SGR escrow account, which is under the custody of Kenya Railways,” said Kenya Ports Authority managing director Daniel Manduku.
However, even as SGR Kenya and the government of Kenya celebrate the success of the cargo service, businesses in Mombasa that depend on the port economy have started reeling from losses, as the faster, more efficient SGR cargo train takes over cargo transport.
With the government keen on transporting about 250,000 containers by train by the end of the year, there will certainly be more job losses at the port.