Express Shipping Logistics (ESL) pioneered use of Kenya Revenue Authority (KRA) Integrated Customs Management System (iCMS) bulk customs clearance through the port of Mombasa.
This was after successfully roll out of iCMS air cargo function that went live in various airports across the country including Jomo Kenyatta International Airport (JKIA) on March 10, 2019.
The first shipment cleared by the ESL using the new system was 43,400.835 metric tons of clinker. The vessel carrying the cargo, MV Ptolemais, docked at the Port of Mombasa on 3rd August 2019.
The consignment was cleared automatically in the system, after entries were lodged on iCMS and duty of KES 65 million paid prior to arrival.
ESL Forwarders Limited is an Authorized Economic Operator (AEO) – a customs agent status awarded by Kenya Revenue Authority (KRA) to customs clearing agents who have conformed to highest customs standards set by World Customs Organization (WCO) and KRA.
“Since we started using iCMS, we have recorded very good clearance timelines. As a customs agent and a partner to KRA, we are really impressed by the iCMS system,” Mr Silvester Kututa, ESL Managing Director and also an expert and commentator on shipping matters and a great enthusiast of logistics in general told Freight Logistics magazine.
Added he; “ Expedited customs clearance of cargo will go a long way in helping us fulfil our mission to power our customers to be market leaders and to enhance trade facilitation.”
Started from a scratch in Mombasa in 2001, ESL has grown to be one of the current region’s leading providers of integrated supply chain solutions with expertise in tramp and liner ships agency, crewing, security agency and freight forwarding. It has also ventured in project management and customs management handling an array of commodities imported and exported around the world.
“It has been an exciting journey to see our growth extend tentacles to other East African countries,” Kututa said.
With dedication to offering distinctive services to its customers in Kenya, ESL group has grown over the decade from a very small entity in Mombasa to now 4 Major offices in East Africa with group hub office in Nairobi.
It put its footprints in Tanzania in 2012 and in 2017; growing demand saw ESL Uganda Ltd being incorporated to leverage the firm’s expertise in logistics for its customers in Uganda and the Great Lakes region of Rwanda, Burundi, Eastern DRC and South Sudan.
The new KRA system is expected to be a game-changer in the cargo clearing process in the country and in sealing loopholes on revenue loss. The new system has been developed in line with the World Trade Organisation’s (WTO) requirement for the simplification and harmonization of international trade procedures.
The new customs administration will deliver agility, accuracy, security, and transparency using systems that are empowering rather than restrictive. It is a modern, robust and efficient system that runs on the latest technological platforms which seamlessly connects with KRA’s internal systems and external stakeholders’ systems to achieve faster cargo clearance. It replaces the Simba system, which the taxman has been using for over a decade to clear goods.
iCMS enables trade efficiency by increasing speed in the cargo clearance process, reduction of complexities associated with several systems of the automation of manual processes and re-engineering of processes.
“We are happy to be the pioneer company to be associated with this major breakthrough in cargo clearance,” Mr. Kututa said.
In 2014 and 2015, ESL was the highest Kenya Ports Authority (KPA) revenue contributor in clearing and forwarding category.
“When we started the company in 2001, we didn’t want to start just another company. We committed to operate the company with full focus on our customers’ needs,” Mr. Kututa said, adding that the company’s vision espouses believe to deliver distinctive service that powers customers to market leadership.
This success has seen ESL emerge as the first country in the East African region to have been awarded FONASBA Quality Standard Award for ships agents. It has also been awarded ISO 9001:2015 and New Millennium Award in Madrid, Spain in 2006 and 2007.
In 2017, ESL won the Kenya National Chamber of Commerce and Industry (KNCCI) decade of excellence in business award.
The company has expanded its profile and is today serving a wide range of customers across many sectors that include construction industry, mining industry, earth moving machinery and building materials.
Other sectors it serves include agricultural, chemical logistics, marine services, defence, healthcare and pharmaceuticals, cold chains logistics and cruise and hospitality.
“We value building relationships before any transaction and work extremely hard to ensure we understand the customer’s needs before offering solutions and or task execution. We strongly believe this has had significant impact on the strong customer base we have built over the years,” Mr. Kututa added.
He further said; “Then we walk with them to provide solutions, and to stand with them in good and tough times. The passion we build in every team member ensures task management is fun and that every task is doable so long as we are a team. We greatly believe in teamwork.”
The company is affiliated to several professional bodies, which has helped it grow its workforce. This bodies include Baltic and International Maritime council (BIMCO, Copenhagen), Kenya Ships Agents Association (KSAA) and Institute of Chartered Ship Brokers (UK) (ICS).
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