Car importers beat seven year rule deadline

New Imported cars at Mombasa port. Photo Norbert Allan
New Imported cars at Mombasa port. Photo Norbert Allan

IMPORTERS of used motor vehicles have beaten the December 31, deadline for more than 12,000 units manufactured in 2007, sparing them huge losses if the if the units had failed to beat the deadline.

The Car Importers Association of Kenya yesterday confirmed that all units were in the Kenya waters before the dead line.

Association chairman Peter Otieno told the Star that only one vessel which was scheduled to arrive on December 27, delayed to dock, taking to berth on January 1. It was however already in the Kenyan waters by the time the deadline clicked.

“Only one vessel docked on January 1, but it had already arrived in Kenya hours before the end of the year so we don’t expect any inconvenience,” said Otieno.

The government’s age limit policy restricts importation of vehicles that are more than eight years old from the year of manufacture.

The regulation now locks out all 2007 manufactured vehicles from entering the Kenyan roads and market.

KPA principle communication officer Hajj Masemo confirmed that no vessel carrying motor vehicles was among ships expected to dock at the port.

“We don't have any vessel with motor vehicles on our fourteen day list since December 31. All those which were expected had arrived,” said Hajj on phone yesterday.

According to CIAK, the deadline was beaten following advice to importers, who made most of their purchases in October, to give room for shipment ahead of December 31.

“We advised them to be keen on timelines to avoid entering into any unnecessary arguments. Some show rooms stopped buying by October and were just waiting for the shipments already purchased,” said Otieno.

Importers brought into the country about 50,000 small units alone between October and December.

He said the association could not afford to have a repeat of December 2013- January 2014 period that saw more than 2,000 units manufactured in 2006, held by the Kenya Bureau of Standards on age limit after they arrived in late December and early January 2014.

Others were said to have had expired certificates of inspections which were issued during the time of inspection in the country of origin.

The case is still in court with importers appealing to the government to give a 100 per cent waiver on the units still being held at the port of Mombasa to date.

The vehicles risk being shipped back at the importers expense.

Only motor vehicles whose year of first registration is from January 1, 2008 are now allowed into the country according to Kebs.

Meanwhile, the association has maintained that the formula used to calculate the age limit of imported second hand cars be harmonised by the government.

They want the dates used by the Kenya Bureau of Standards and the Kenya Revenue Authority streamlined to end confusion on used vehicles.

According to CIAK, Kebs who are mandated to inspect the vehicle’s road worthiness grade the vehicles as per the year of their first registration while KRA uses the month system to impose taxes.

“If a vehicle was registered in February 2007, then it should be allowed to still come in until February this year if we go by the month system but the year system locks it out. We need to have a clear formula to end any confusion,” said Otieno.

Kenya imports an average 12,000 units per months mainly from Japan, United Arab Emirates, United Kingdom, Singapore and South Africa.

Japan dominates the Kenyan market with more than 80 per cent share.

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