Factors Affecting Cargo Clearance Efficiency at the Port of Lamu Kenya
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Date
2022-10
Authors
Mwamutsi, David Mwamutsi
Journal Title
Journal ISSN
Volume Title
Publisher
KESRA/JKUAT - Unpublished research project
Abstract
Customs clearance involves the preparation of documents and/or electronic submissions, the
calculation and payment of taxes, duties, and excises; and facilitating communication between
government authorities and importers and exporters. The general objective of the study was to
investigate the factors affecting cargo clearance efficiency at the port of Lamu Kenya. The
specific objectives of the study were to establish the effect of customs officer’s knowledge on
cargo clearance efficiency at the port of Lamu, to determine the effect of documentation
procedures used on cargo clearance efficiency at the port of Lamu and to establish the effect of
Regional Electronic Cargo Tracking System on cargo clearance efficiency at the port of Lamu.
The study was anchored on three theories; Attraction-Selection-Attrition Theory, System
Theory and agency theory. This study adopted descriptive research design in order to
systematically and accurately describe various factors affecting cargo clearance efficiency at
the port of Lamu Kenya. The target population under this study included the registered KIFWA
custom agents operating at Lamu port and Customs Authority officers at the CFS/ICD gate
who confirm the exit of the cargo in the customs management system, transfer document (EXIT
NOTE and C2/Release order) which is generated by both the destination Partner States
Customs Authorities and the host country. The population of the study was 201 with a sample
size of 134 respondents. The sampling technique adopted was simple random technique. The
study adopted both primary and secondary data sources in data collection. A pilot study was
carried out to check for validity and reliability. Based on the findings, results indicated that
there is a positive and significant relationship between customs officer’s knowledge,
documentation procedures and Regional Electronic Cargo Tracking System and the cargo
clearance efficiency at the port of Lamu Kenya. The study recommends that customs and
customs agent’s management should initiate a policy of providing collaborative opportunities
for the development Customs agents. Secondly, there should be an integrative approach that
takes into consideration all the administrative and commercial aspects of the matter within the
framework of a facilitation programme aimed at minimizing formalities, simplifying and
streamlining procedures, and harmonizing and standardizing documents. Lastly, successful
implementation of the Regional Electronic Cargo Tracking System will give benefits in
improving how the regulator clear cargo and cargo trucks that enter and exit the Kenyan borders
and charge taxes and levies accordingly. The system will also assist Kenya Revenue Authority
in monitoring the all inbound and outbound goods
Description
Keywords
Cargo clearance, Electronic Cargo clearance