Aponte to revive Africa’s shipping ambitions
Kenya National Shipping Line to be revitalised by the Nairobi Government in prtnership with MSC
Kenya has approved plans to revive dormant state-owned Kenya National Shipping Line (KNSL).
After it was first announced in 2017, now the Nairobi Government has ratified the project of holding a state-owned carrier to ship national cargoes and vying for private sector volumes.
The government plans to buy out the three international shareholders in KNSL, including MSC.
KNSL stagnated for long after years of mismanagement and its last service was a weekly loop from Felixstowe to Kenya taking slots on MSC vessels.
The company was formed in 1989 as a non-vessel owning common carrier with the following shareholders: Kenya’s Government (through Kenya Ports Authority) and foreign investors DEG and Unimar, until in 1997 MSC came into as a strategic partner.
Following the same model of non-vessel owning common carrier, Nairobi plans to allocate a share of cargo to be shipped through the line and encourage partnerships with international liners, confiding on the fact that East Africa economy has been growing rapidly and is part of China’s One Belt, One Road initiative strategy.