The Kenya Ports Authority (KPA) has signed a grant agreement with the Japanese International Cooperation Agency (Jica) for the development of the Dongo Kundu Special Economic Zone (SEZ) in Mombasa.
A SEZ master plan for the Sh39.1 billion project, which sits on a 3,000-acre parcel of land, has been developed with support from the Government of Japan and presents opportunities for investment in value addition in the industrial zone.
The SEZ project includes the creation of a free trade zone, a free port, a logistics hub, and a mega industrial zone.
The agreement was signed by KPA Acting General Manager John Mwangemi in the presence of a delegation of JICA officials led by Naota Mukai.
Mr Mwangemi stated that the Port of Mombasa will efficiently serve landlocked countries in the East and Central Africa region with the construction of a new road under the Mombasa Port Development Project and the SGR link to the expanded port.
The Mombasa business community, led by Mustafa Ramadhan, Chairman of the Kenya National Chamber of Commerce and Industry (KNCCI) Mombasa Chapter, has urged the national government to expedite the Dongo Kundu Special Economic Zone project, which is expected to create millions of direct and indirect jobs, attract massive investors, and spur economic growth.
Mr. Ramadhan stated that once completed, the project could generate up to 100,000 jobs while also attracting regional and international investors.
As at now, the Sh32 billion phase two of Mombasa’s second container terminal has been completed and will be commissioned next month.
The new terminal, which began construction in September 2018, will increase the port’s annual capacity by 450,000 containers to a total of 2.1 million containers.
Toyo Construction Company Limited, a Japanese contractor, has completed the project, which has been described as a game-changer by maritime stakeholders.
According to a KPA statement, the handover ceremony will take place soon after KPA and relevant government agencies inspect the facility, which is located on 100 acres within the expansive Kilindini Harbour.
A Tokyo Construction Company team led by Civil Construction Division Manager Hironari Sahara and International Division General Manager Shuichi Aikawa met with KPA officials and confirmed the project’s completion.
KPA was represented by Cargo Operations General Manager Sudi Mwasinago and Infrastructure Development General Manager Abdullahi Samatar.
The project was funded by a Jica government-to-government loan facility from the Japanese government.
The terminal will have three berths of 230, 320, and 350 meters in length. The largest berths will accommodate Panamax container ships weighing 20,000 deadweight tons and post-Panamax vessels weighing 60,000 tons.
The first phase of the Sh26 billion second container terminal involved reclaiming about 50 acres of sea area and creating a capacity of 550,000 Twenty-Foot Equivalent Units (TEUs). It was completed in 2016.
The port of Mombasa serves as a gateway for landlocked countries such as Uganda, Rwanda, and Burundi.
