TThe Digital Logistics Marketplace (DLMP) project the Kenya National Electronic Single Window System Operator, Kenya Trade Network Agency (KenTrade), is developing will be a game changer in transforming e-commerce in logistics, according to the agency’s Chief Executive Officer, Mr. David Ngarama.
The agency partnered with Webb Fontaine, a global leader in trade technology solutions, to revolutionize the Kenyan logistics landscape with the DLMP. The DLMP functions as an integrated toolbox that has introduced an innovative trade electronic platform that brings together shipping lines, trucking companies, freight forwarders, importers, exporters, warehousing firms, and insurance providers in an integrated digital marketplace.
“This platform empowers participants to showcase their services online and compete for bids, fostering a competitive environment that drives efficiency and cost savings. It is also expected to catalyze trade volumes and expedite e-commerce growth, playing a pivotal role in the digital economy,” Ngarama writes in this year’s agency news bulletin.
In recent years, Kenya, which serves the Northern Corridor, has driven on information technology (IT) to leverage its strategic location with robust infrastructure and a diversified economy to cement its position as the East African biggest logistics economy. The DLMP establishes an online marketplace for trade, connecting businesses and private sector players, thus simplifying trade logistics.
“The DLMP is an online marketplace of trade,” explained Alioune Ciss, CEO of Webb Fontaine, in an earlier interview. “It offers B2B services to traders with seamless search, find, and send capabilities, fostering growth, reliability, and empowerment.”
By bringing together a diverse range of stakeholders, businesses can confidently select the most suitable service providers at the best rates, ensuring optimized logistics and a streamlined supply chain. This innovative platform redefines collaboration, delivering unparalleled value to the logistics industry. Powered by top-notch technology, it will also significantly reduce the time stakeholders need to conduct their business operations, according to Ngarama.
KenTrade is currently implementing its 2023/24-2027/28 strategic plan, which intends to help the agency implement trade facilitation programs through the online cargo clearance system and offer other value-added services that have defined the agency in recent years.
“The plan is largely informed by Kenya’s Vision 2030, the Kenya Kwanza Manifesto, trade policies, performance contract guidelines, and our experience,” the plan reads in part.
Alongside its core mandate, KenTrade has overseen the roll-out of other trade facilitation tools that have eased global transactions for Kenyan traders. In 2017, KenTrade launched the Information for Trade in Kenya (InfoTradeKenya) portal. The development of this platform was in response to gaps identified in cargo clearance information among the trading community and the need to merge all the procedures into a single portal accessible to all those involved in international trade as prescribed by Article 1.2 WTO Trade Facilitation.
The portal is an online platform that provides comprehensive, single-point access to up-to-date trade-related information. It provides a step-by-step guide for imports, exports, and transit trade procedures to assist traders in making informed choices.
Another significant milestone KenTrade has made is the launch of the Kenya Maritime Single Window System. This was a joint project with the Kenya Maritime Authority (KMA) on the implementation of the FAL Convention.
This is a requirement for national governments to introduce electronic information exchange between ships and ports, which came into effect on April 8, 2019. Actors aimed to make cross-border trade simpler and the logistics chain more efficient for the over 10 billion tons of goods traded by sea annually across the globe.
KenTrade is now firmly anchored into law following the signing of the National Electronic Single Window System (National Assembly Bill No. 15 of 2021) by the former President of the Republic of Kenya H.E Uhuru Kenyatta on June 21, 2022.
The other project that KenTrade carried out is the Ksh90 million Business Intelligence (BI) Tool. The tool seeks to collect extensive data on Kenya’s import and export trade.
The new BI Tool will analyze and disseminate data in real-time to trade facilitators and government agencies aimed at making better data-driven decisions. The BI tool helps to facilitate ease of trade in Kenya through extraction and analysis of real-time data to help trade facilitators and government agencies make data-driven decisions.
This will support better visibility of Mombasa Port, and the Northern Corridor Community Charter for improved decision-making and efficiency. The system will address the challenge of limitations of report generation features on the TradeNet System.
The article was published by the editorial team at the FEAFFA Secretariat. For any enquiries, contact us via Email: editorial@feaffa.com/ freightlogistics@feaffa.com / onionga@feaffa.com Tel: +254733780240
