Kenya car importers turn to rail as fuel shortages disrupt Mombasa logistics

Car importers operating at Kenya’s main seaport are increasingly turning to rail transport to move vehicles inland as worsening fuel shortages and supply disruptions strain road logistics, slowing operations and raising concerns over efficiency in the country’s import chain.

The shift comes as transport operators around the coastal city struggle to secure adequate diesel supplies, forcing logistics firms and clearing agents to rethink traditional road-based distribution models that have long dominated vehicle movement from the port of Mombasa to inland depots and regional markets.

- Advertisement -
Ad imageAd image

Import yards near the port, which typically rely on fleets of car carriers and trucks to ferry newly arrived vehicles, have reported delays in dispatch schedules as fuel availability becomes unpredictable. Several operators say they are now prioritising the use of rail services where possible to reduce dependence on long-distance trucking.

The Standard Gauge Railway (SGR), which links Mombasa to Nairobi and serves as a key freight corridor, has become an increasingly attractive alternative for moving large volumes of vehicles in a single trip. Industry players say rail transport, while not new, is now being used more intensively as road logistics face mounting pressure.

Clearing and forwarding agents note that the fuel constraints have not only affected transport availability but also increased operating costs, as transporters factor in higher risks and fuel sourcing challenges into their pricing. This has led some importers to explore bulk rail shipments as a more predictable option.

At the port, where thousands of vehicles are processed through container and roll-on/roll-off terminals, logistics coordination has become more complex. Operators must now align shipment releases with rail schedules, which are more structured but less flexible than road transport.

Some importers say the shift to rail is helping stabilise movement of vehicles despite the fuel challenges, though they acknowledge that the system requires adjustments in planning and coordination. Others, however, argue that rail capacity constraints and scheduling limitations still make road transport indispensable for last-mile delivery and smaller consignments.

Transport stakeholders have raised concerns that continued fuel shortages could further disrupt supply chains if not addressed. Diesel remains a critical input not only for vehicle carriers but also for port equipment, inland depots, and distribution networks serving East Africa’s wider landlocked markets.

The situation has also highlighted the vulnerability of Kenya’s logistics sector to fuel supply volatility, particularly at a time when the country is seeking to position itself as a regional trade hub. Mombasa port serves as a gateway for goods destined for Uganda, Rwanda, South Sudan, and parts of the Democratic Republic of Congo.

Industry analysts say the increased reliance on rail could accelerate a broader shift in freight patterns if maintained over time, especially if it proves more cost-effective and reliable than road transport under current conditions. However, they caution that sustained investment in infrastructure and coordination between rail and road systems will be necessary to support such a transition.

Some logistics firms have begun adjusting their operational strategies, combining rail transport for long-haul movement with trucks for short-distance distribution. This hybrid model, they say, helps mitigate fuel-related disruptions while maintaining delivery timelines.

Government officials have in recent years encouraged greater use of rail to decongest roads and reduce transport costs, particularly along the Mombasa-Nairobi corridor. The current fuel constraints appear to be reinforcing that policy direction, albeit under unplanned circumstances.

Despite the shift, road transport remains dominant in the sector, with many importers still relying heavily on trucks due to their flexibility and reach. However, operators warn that if fuel shortages persist, more logistics companies may be forced to adopt rail as a primary mode of transport rather than a supplementary option.

For now, the scene at Mombasa port reflects a sector in transition, as car importers and logistics providers adapt to fuel pressures by increasingly looking to the railway to keep vehicles moving inland.

Share This Article
Leave a Comment

Leave a Reply

Your email address will not be published. Required fields are marked *