The Kenya Revenue Authority (KRA) has unveiled a blockchain-based platform named the Trade Logistics Information Pipeline (TLIP) to enhance the efficiency of customs processing. This initiative aims to eliminate redundant paperwork and expedite cargo clearance at Kenyan ports and border points.

Currently, shipments passing through Kenya involve multiple stakeholders, including shipping lines, clearing agents, customs officers, port authorities, transporters, warehouses, and regulatory bodies such as the Kenya Bureau of Standards and the Agriculture and Food Authority. Despite existing digital systems, these entities operate in silos, forcing traders to repeatedly submit the same documents, resulting in delays and verification challenges.

TLIP leverages blockchain technology to create a unified, tamper-proof digital record accessible to all authorized parties. Each transaction is timestamped and immutable, enhancing the authenticity and traceability of shipping documents and invoices. According to Lilian Nyawanda, KRA’s Commissioner for Customs and Border Control, the platform integrates clearing agents, logistics firms, and government agencies into a single secure system, facilitating seamless cross-border trade information flow.

Key Changes and Requirements

  • Starting Monday, exporters of containerized cargo destined for Kenya must obtain an Advance Cargo Declaration (ACD) reference code before departure from the port of origin.
  • To secure the 15-digit ACD code, exporters must upload a draft bill of lading, commercial invoice, freight invoice, and export declaration via a new KRA digital portal.
  • This pre-arrival requirement allows customs officers to begin document verification, risk assessment, and cargo profiling up to five days before arrival at the Port of Mombasa, aiming to reduce congestion upon docking.

Broader Customs Modernization Efforts

The blockchain rollout is part of a wider KRA modernization strategy, which includes enhancements to the Integrated Customs Management System, the launch of an eCustoms mobile app, and deployment of body-worn cameras for customs officers to boost inspection accountability. Additionally, KRA and the Kenya Ports Authority have agreed to integrate their digital platforms to minimize duplicate procedures and accelerate shipment processing.

KRA Commissioner-General Adan Mohamed and KPA Managing Director Captain William Ruto emphasized that this collaboration will enhance operational efficiency and reduce clearance times.

Impact and Outlook

The new system will impact manufacturers, retailers, agricultural exporters, freight forwarders, transporters, and warehouse operators by streamlining cargo movement and reducing delays. KRA’s customs department reported a strong performance in the financial year ending June, collecting KES 988.8 billion—an increase of 12.4% from the previous year and surpassing targets for the fifth consecutive year.

Experts note that while blockchain solutions have proven effective in sectors like banking and international shipping, their success in Kenya will depend on robust cybersecurity measures, reliable internet connectivity, and genuine integration among involved institutions. Traders and logistics providers may need to invest in staff training and new digital tools to adapt to the evolving system.