NAIROBI — In a decisive ruling, a High Court in Kenya has refused to suspend the implementation of a directive mandating a $350 levy per container for goods destined for South Sudan.
This decision comes amid a legal challenge from Kenyan clearing agents who argue the levy is unjust and sought a stay pending the outcome of their petition.
Justice Olga Sewe, presiding over the matter in Mombasa, concluded that the Kenya International Freight and Warehousing Association (Kifwa) failed to establish a prima facie case.
The court upheld the principle of sovereign immunity, allowing the levy to proceed.
The case was brought against the Mombasa Monitoring Station of the National Revenue Authority of South Sudan, which instituted the levy. Justice Sewe remarked, “Until proven otherwise, there is no basis to restrain the respondent from implementing the directive,” dismissing Kifwa’s application for interim relief.
The South Sudanese authority maintains that the $350 fee is intended for its nationals, asserting its sovereign right to determine payment modalities.
This argument was a cornerstone of the defense, with the court concurring that the imposition of such charges on South Sudanese citizens can only be contested within South Sudan’s jurisdiction.
The contested levy is linked to the Electronic Cargo.
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