Kenya and Tanzania recently formed shipping lines, but are struggling to establish themselves and are facing usual delays over lack of capacity to compete internationally.
Tanzania’s bid to sell its disused vessels has been a struggle, with few people coming forth to buy, and leaving it with an unwanted burden of storage.
As a result of increased operating costs, Zanzibar Shipping Corporation, Tanzania’s shipping line is auctioning three of its vessels, leaving it with none of its own. Zanzibar Shipping Corporation, in May this year, floated a tender to dispose of three public vessels MV Maendeleo, MT Ukombozi and MV Mapinduzi 1 and the vessels are not yet sold.
In Kenya, the government’s effort to revive the Kenya National Shipping Line isn’t bearing many fruits forcing it to partner with Mediterranean Shipping Corporation to handle key government cargo and operate the second container terminal at the Port of Mombasa.
Two years ago, the Kenyan government unveiled plans to revive KNSL, with hopes that it would have the ability to contribute $3 billion annually to the economy and create 6,000 jobs. However, the process has gone cold over concerns that this may not take off.