Traders Gain Relief as KRA Liberalises Electronic Cargo Tracker Seal Market

Traders are set for smoother operations after the Kenya Revenue Authority (KRA) opened up the supply of electronic cargo tracker seals, ending a long-standing single-supplier arrangement and allowing more vendors and trader-owned devices into the market.

KRA announced last week that it is shifting from exclusive sourcing of the seals used to monitor transit cargo to a multi-vendor system that also permits the use of privately owned tracking gadgets. The change is expected to inject competition into a tightly controlled sector, drive down costs, and speed up cargo clearance for traders in Kenya and the wider region that depends on the Port of Mombasa.

According to KRA’s commissioner for customs and border control, Lilian Nyawanda, the new model is designed to deliver a secure, tamper-proof and auditable cargo monitoring system while tackling long-standing issues such as seal shortages and slow turnaround times. Until now, the authority has controlled procurement by sourcing e-seals only from selected suppliers, effectively excluding other vendors and forcing traders to rely solely on KRA-provided devices.

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Electronic seals play a central role in tracking cargo moving through Kenya from Mombasa, helping ensure goods reach their declared destinations and curbing tax evasion and smuggling. The devices are fixed to container doors, fuel tankers or cargo compartments, preventing unauthorised opening and allowing real-time tracking of shipments.

Under the new arrangement, KRA will source seals from a broader pool of suppliers while also allowing shippers and traders to deploy their own devices. This is expected to expand availability of the trackers and ease bottlenecks that have plagued the system.

Previously, KRA acknowledged that persistent shortages of the seals had contributed to congestion at the Port of Mombasa, with cargo spending longer periods awaiting clearance for onward transit. The shift to a more open model is intended to resolve those delays and improve efficiency across the supply chain.