· Meishan terminal at Ningbo port of China was shut down due to the surge in COVID 19 cases.
· This terminal accounts for about a fifth of traffic at the Ningbo port, one of China’s top two container ports.
· Congestion at Chinese ports due to a two-week partial closure has led to apprehensions among Kenyan importers of cost escalation of their imports.
Meishan terminal at Ningbo port of China has shut down due to surge in COVID 19 cases. This terminal accounts for about a fifth of traffic at the Ningbo port, one of China’s top two container ports. Congestion at Chinese ports due to a two-week partial closure has led to apprehensions among Kenyan importers of cost escalation of their imports.
Kenya sources a significant quantity of raw materials and finished consumer goods from China. Electronic goods including mobile phones top the shipment orders. Its import basket from China includes clothing, kitchenware, furniture, machinery, optical and medical equipment.
China has emerged as the largest source for Kenya’s imports, followed by India and the United Arab Emirates. According to Official data, Kenya’s imports from China stood at Sh208.9 billion in the six months to June, representing a 32 percent rise from Sh157.87 billion recorded in a similar period of 2020. The disruptions in Chinese ports therefore ultimately led to cost escalation. In April, Kenyan importers had to pay 20 percent more by way of freight charges following a shortage of shipping containers in China.
