The Kenya Revenue Authority (KRA) is set to deploy a blockchain-powered digital platform to accelerate cargo clearance and reduce delays caused by repetitive paperwork. The new system, known as the Trade Logistics Information Pipeline (TLIP), will enable seamless electronic exchange of cargo data among importers, exporters, shipping firms, clearing agents, and government regulators.
Enhancing Cargo Visibility and Security
Customs and Border Control Commissioner Lilian Nyawanda highlighted that TLIP will create a unified digital record accessible to all authorised stakeholders in the cargo clearance process. This innovation aims to improve transparency, reduce manual processing times, and strengthen security in cross-border trade.
Currently, cargo entering Kenya involves multiple agencies such as shipping lines, customs officers, port authorities, and regulators like the Kenya Bureau of Standards and the Agriculture and Food Authority. Despite existing digital systems, traders often resubmit identical documents to different entities due to fragmented platforms, causing delays and verification challenges.
Blockchain: A Paperless Trade Ecosystem
Unlike traditional databases, blockchain technology permanently records and time-stamps every transaction, making alterations traceable and enhancing trust in submitted documents. This approach eliminates the need for repeated submissions, as all authorised users access the same verified information.
Starting next week, exporters will be required to submit key shipping documents electronically before cargo leaves foreign ports. Importers must obtain an Advance Cargo Declaration (ACD) reference code via a new KRA platform before loading containerised goods destined for Kenya. The ACD system enables customs to begin document verification and risk assessment at least five days before cargo arrives at the Port of Mombasa.
Impact on Trade and Customs Modernisation
The blockchain initiative is part of KRA's broader customs modernisation programme, which includes upgrading the Integrated Customs Management System (iCMS), introducing an eCustoms mobile app, and deploying body-worn cameras to enhance transparency.
These reforms are expected to improve compliance and boost Kenya's position as a regional logistics hub. The customs department recorded a 12.4 percent revenue increase to Sh988.8 billion in the year ended June, with non-oil taxes growing faster than oil-related levies, reflecting robust imports of manufactured goods and machinery.
