Kenya ACD: Improving Port Efficiency, Transit Control and Revenue Potential

Kenya occupies a central position in East and Central African trade. The Port of Mombasa is not only the country’s principal maritime gateway but also an essential entry point for cargo destined for several landlocked countries across the region.

As cargo volumes continue to grow, authorities need accurate shipment information before vessels arrive. The introduction of Kenya’s Advance Cargo Declaration (ACD) system represents an important step towards improving cargo visibility, customs control, port planning and supply-chain transparency.

The system allows the Kenya Revenue Authority – Customs and Border Control to receive and verify cargo information at the port of loading, before the shipment begins its journey to Kenya.

The Scale of Cargo Moving Through Kenya

The Port of Mombasa handled a record 45.45 million metric tonnes of cargo in 2025, according to the Kenya Ports Authority. Transit cargo increased to approximately 15.88 million metric tonnes, demonstrating the port’s importance far beyond Kenya’s domestic market. Container traffic also exceeded two million TEUs during the year. Kenya Ports Authority

This means that more than one-third of the cargo handled at Mombasa consisted of goods moving through Kenya towards other countries.

The port serves a large regional hinterland that includes:

• Uganda
• Rwanda
• South Sudan
• Burundi
• The Democratic Republic of Congo
• Parts of Tanzania, Ethiopia and Somalia

The Northern Corridor connects the Port of Mombasa with many of these markets through road, rail, inland container depots and border crossings. The corridor therefore makes Kenya a critical logistics gateway for East and Central Africa. Northern Corridor Transit and Transport Coordination Authority

This regional role also creates a significant need for accurate advance information about cargo that will be unloaded in Kenya, including shipments that will later continue to another country.

What Is the Kenya Advance Cargo Declaration?

The Kenya Advance Cargo Declaration, also known as ACD, CTN, ECTN, BSC or BESC, is a pre-loading cargo declaration for applicable containerized shipments unloaded at Kenyan ports.

The shipper, exporter or authorized freight forwarder submits the shipment information and supporting documents before the cargo is loaded for Kenya. Once the declaration has been reviewed and approved, an ACD Reference Code is issued and included on the Bill of Lading.

The required documents generally include:

• Carrier-issued draft Bill of Lading
• Final commercial invoice
• Freight invoice
• Export declaration from the country of loading

Through these documents, Customs can review the identity of the exporter and importer, cargo description, value, weight, freight information, container details, HS Codes and intended destination before the shipment arrives.

Applications and official guidance are available through theKenya ACD Platform.

Why Transit Cargo Must Be Included

A common misunderstanding is that cargo should be outside the ACD system when its final destination is not Kenya.

However, a shipment may first be discharged at the Port of Mombasa and then travel by road or rail to Uganda, Rwanda, South Sudan, Burundi or the Democratic Republic of Congo. Although the goods are in transit, they still enter a Kenyan port, occupy port capacity and move through Kenyan transport and customs-controlled infrastructure.

Advance information about this cargo helps authorities understand:

• What is being unloaded at the port
• Which containers are intended for the Kenyan market
• Which shipments will continue to another country
• The declared transit destination and consignee
• The expected volume moving through each corridor
• Whether documents and cargo details are consistent
• Whether additional inspection or monitoring may be necessary

Transit cargo is not treated as a Kenyan import merely because it passes through the country. Nevertheless, accurate tracking is essential to prevent goods declared as transit from being diverted unlawfully into the domestic market.

Considering that the Port of Mombasa handled approximately 15.88 million tonnes of transit cargo in 2025, including transit shipments gives the ACD system a much broader operational value.

Improving Cargo Visibility Before Arrival

Without advance documentation, authorities may only discover incomplete declarations, inconsistent values or high-risk cargo after the vessel has arrived.

The ACD system moves an important part of this process to the port of loading.

By receiving cargo information before loading, the Kenya Revenue Authority can identify documentation issues earlier and conduct advance risk assessments. This provides Customs and port stakeholders with more time to prepare for the cargo before it reaches Kenya.

Earlier visibility can support:

• Advance customs risk profiling
• Identification of restricted or suspicious cargo
• Verification of shipment documents
• More accurate cargo-volume forecasts
• Better allocation of inspection resources
• Earlier coordination between port and customs authorities

This approach can reduce the number of issues that must be resolved after arrival, when containers are already occupying valuable port space.

Supporting More Accurate Customs Valuation

Accurate customs valuation is essential for protecting public revenue and ensuring fair treatment for legitimate importers.

The ACD process brings together the commercial invoice, freight invoice, export declaration and Bill of Lading. Comparing these documents can help authorities identify discrepancies involving:

• Declared cargo value
• Product description
• Gross and net weight
• Quantity
• Freight costs
• Exporter and importer information
• Country of export
• HS Code classification

The export declaration is particularly valuable because it provides information declared to the customs authority in the country of loading.

This does not mean that every difference automatically indicates fraud. Legitimate differences may require explanation. However, systematic document comparison gives Customs a stronger basis for identifying underdeclaration, misclassification and inconsistent shipment information.

Improved documentation can therefore help Kenya protect existing customs revenue without creating an unfair burden for compliant traders.

Improving Port Planning and Reducing Congestion

Advance cargo data is not only useful for customs assessment. It can also support the physical management of the port.

When authorities have better information about incoming cargo volumes, container types, commodities and final destinations, they can plan more effectively for:

• Berth operations
• Container-yard capacity
• Inspection areas
• Dangerous or restricted goods
• Rail and truck requirements
• Inland container depot movements
• Transit-cargo evacuation
• Border and corridor traffic

Domestic cargo and transit cargo follow different logistics processes after discharge. Being able to distinguish these flows before arrival can improve coordination between the port, Customs, shipping lines, terminal operators, rail services and road transport providers.

Better planning can help shorten cargo dwell times, reduce avoidable container movements and limit congestion as shipment volumes continue to increase.

Creating a More Transparent Regional Supply Chain

Kenya’s ACD system can also strengthen transparency across the Northern Corridor.

A validated declaration creates a structured record connecting the cargo with its shipper, consignee, vessel, Bill of Lading, supporting documents and intended destination.

For transit shipments, this information can help authorities monitor cargo from the Port of Mombasa towards the relevant border or inland destination. It can also improve cooperation and information exchange between customs administrations in the region.

Greater visibility may help reduce:

• Cargo diversion
• False transit declarations
• Document manipulation
• Smuggling and illicit trade
• Undeclared or incorrectly declared goods
• Disputes caused by inconsistent shipment information

This is particularly important because a documentation problem at Mombasa can affect supply chains and businesses in several neighbouring countries.

Current Fee Position and Future Revenue Potential

Although no ACD tariff or processing fee is currently applied, the system has considerable long-term revenue potential due to the scale of cargo moving through Kenyan ports.

The Port of Mombasa handled more than 45 million metric tonnes of cargo in 2025, including almost 16 million tonnes of transit cargo. When an ACD fee is introduced in the future, the large number of shipments unloaded in Kenya could create a substantial and consistent source of additional public revenue.

These additional funds could be reinvested directly into Kenya’s trade and logistics infrastructure, supporting:

• Expansion and modernization of port facilities
• Advanced cargo-scanning and inspection equipment
• Stronger customs risk-analysis technology
• Improved transit-cargo monitoring
• Digital integration with shipping lines and regional customs authorities
• Faster cargo evacuation by road and rail
• Development of inland container depots and border facilities
• Training and operational resources for customs personnel

The ACD system can also create an important indirect financial gain. Comparing commercial invoices, freight invoices, export declarations and Bills of Lading allows Customs to identify underdeclared values, incorrect classifications and inconsistencies before cargo arrives. This can help prevent revenue leakage and ensure that applicable duties and taxes are assessed using more accurate shipment information.

For transit cargo, stronger tracking can reduce the risk of goods being unlawfully diverted into the Kenyan market without the applicable customs procedures. With transit shipments representing a significant share of Mombasa’s cargo volume, closing this potential gap can further protect government revenue and legitimate trade.

Combined, future ACD income and improved customs compliance could provide Kenya with additional resources to strengthen its ports, modernize cargo controls and increase the competitiveness of the Northern Corridor. As cargo volumes grow, the potential value of this system can grow with them.

Building a Stronger Data Foundation for Trade Policy

Over time, the ACD system can provide Kenya with a structured source of advance shipment data.

Aggregated information may help authorities understand:

• Changes in import volumes
• Growth in transit cargo
• Major countries of origin
• Frequently imported commodities
• Seasonal cargo patterns
• Corridor demand
• Future port-capacity requirements
• Emerging customs and security risks

Reliable data supports better long-term decisions. It can guide investments in terminals, roads, rail connections, inland container depots, border facilities and inspection equipment.

For a country handling both a large domestic import market and millions of tonnes of regional transit cargo, this planning capability can be as important as the processing of individual declarations.

A Strategic Step for Kenya and the Wider Region

Kenya’s Advance Cargo Declaration system should not be viewed solely as another shipping document. Properly implemented, it can become an important part of the country’s customs, port and regional trade infrastructure.

Its long-term value lies in connecting advance cargo information with customs risk management, port planning, transit monitoring and more accurate documentation.

For Kenya, this can mean:

• Better visibility of incoming shipments
• Stronger protection against underdeclaration and illicit trade
• More efficient port and customs operations
• Improved monitoring of transit cargo
• Better planning across the Northern Corridor
• Protection of existing customs revenue
• Potential additional funding when ACD fees are introduced in the future

For neighbouring countries, it can mean a more predictable and transparent gateway through the Port of Mombasa.

With cargo volumes continuing to grow, advance information will become increasingly important. Kenya’s ACD platform establishes the foundation for a more efficient, secure and data-driven cargo management system capable of supporting both national priorities and regional trade.