Real-time electronic tracking system cuts cargo theft, dumping

Before March 2017, the Kenya Revenue Authority (KRA) ensured that transit cargo trucks were escorted by patrol vehicles to their final destinations. 

However, today, thanks to the Regional Electronic Cargo Tracking System (RECTS), cargo trucks  are now tracked in real time from the point of exit at the Mombasa Port up to the final destination. 

The tracking has also helped stop dumping, which occurs when goods consigned to a destination in another customs jurisdiction are unprocedurally offloaded while in transit. 

Not only does such action result in unfair trade practices but also in major duty and tax losses for the country. 

According to Joseph Muchoki, manager, RECTS, once the truck driver picks up their cargo, two processes remain. 

The first process is for KRA officials at the port to scan the truck digitally to see what is inside, a process called verification. The authority has a total of six scanners at the Mombasa Port, five for trucks and one for rail consignments. 

“The image is then transmitted to Nairobi’s KRA office, which is our command centre, with experts’ analysis, who now determine whether that cargo is what the image shows,” said Muchoki recently during a tour of the Mombasa Port to understand the customs clearance process. 

“After scanning, all trucks must come to the customs offices and clearance points for arming of the RECTs gadget, which is the size of the palm. The route from the port is geo-mapped all the way to the destination.” 

KRA is in charge of the transportation and security of the cargo. This is thanks to a bilateral agreement with the six countries of the East African Community (EAC) that must ensure that cargo in transit within Kenya is protected and is safe along the northern corridor. 

The RECTS is an initiative of KRA in partnership with the revenue administrations of the EAC partner states. 

Initially, it was managed by private sector vendors, but they did not achieve the desired outcome and were, therefore, phased out. 

“This is a very strong gadget. It lasts for 60 days before the cell goes down. That’s almost two months and is very expensive, going for around $2,500 (Sh300,000),” said Muchoki. 

“Once the gadget, which has a strong magnet, is attached to the back of the truck, it will signal immediately at the command centre.” 

According to Muchoki, for one to be onboarded in the system, one has to be registered in the KRA system

as a licensed transporter. 

“The vehicles as well as the trailers need also to be registered in the system to be transit and RECTS compliant,” said Muchoki. 

“If you look at the trailer, there are those words, ‘transit goods’, as well as the drivers having licences that are normally issued by our transit licensing office at the headquarters and should also demonstrate that beyond any reasonable doubt that this cargo shall reach its intended destination.” 

When the trucks come to customs, drivers are asked to present the documents for compliance checks, and here they confirm different details, including the container numbers. 

Also, they confirm if the truck has made a booking on their system, because they cannot be issued gadgets without the booking. 

“So, we get into the system, check if the booking is done correctly, if this is the correct truck and the correct container and even the driver. So, once we are satisfied, we approve that booking, and now we can arm the device on the truck, and it goes live,” said Muchoki. 

And then, from the system, it can be seen to be live and starts transmitting from the command centre, and it can now be monitored through the corridor until it gets to the destination. 

The RECTS comprises satellites, a monitoring centre and special electronic seals fitted on cargo containers and trucks which give the precise location of goods at any time. 

The process of arming has to be faster to allow more trucks to go through the same process, lest it bring a commotion of trucks, causing complaints by drivers. 

The system also has photos of the driver before onboarding the gadget, and should they want to divert the cargo, they are known. 

Anything that goes on with the truck, including its speed and when the truck stops, can be seen, and the driver will be called to find out what the issue is. 

“If the truck breaks down completely, then we do what we call alteration. You can get another truck, then we alter it using our Rapid Response Units (RRUs) stationed along the roads,” said Muchoki. 

KRA, together with the Kenya Police, has units at Mazeras, Voi, Machakos, Sameer Business Park (Nairobi), Naivasha, Nakuru, Kericho, Bungoma, Kisumu, and Eldoret who monitor the Kenyan side of the Northern Corridor. 

Once the truck reaches the border of another country among the six, it is removed and returned so that it is used on another truck. From there, the country that the truck is in takes over the tracking. 

“So, if there is a small commotion along the roads, like during an election in Uganda, it affects the return of the gadgets, and there is likely to be a huge line of trucks at customs because people hold their trucks,” said Muchoki.

He said they have over 10,000 gadgets, and in case they are not returned quickly, they have a fallback plan, which is a shipper’s seal.

“We can use that shipper’s seal to actually arm. We use the same seal if the worst comes to the worst. If we have the Authorised Economic Operators (AEOs), who are highly compliant supply chain businesses—such as importers, exporters, and clearing agents—accredited by the KRA and with green channels, we trust them, and they can go without a seal or gadgets,” he said. 

Asked whether it is a must for every container to have the gadget, Muchoki said it is optional. 

“It probably depends on the nature of the commodity and the goods. For those that are not, an exemption can be requested, specifically for cement clinker destined for Uganda,” said Muchoki.

Also, the gadgets are exempt for cargo travelling short distances from the port, so they are specifically for transit.

There are three command centres in the East African Community, one in Kenya, another in Dar es Salaam, and another in Rwanda, and they are all monitored.

The RECTS is a free service provided by KRA to cargo transporters.

The gadget can last for 60 days on power and is not affected by rain, sun, or any weather-related effects. When the vehicle reaches the border, the gadget is removed and returned to Mombasa Port.

According to Muchoki, the RECTS has ensured 99.9 per cent safe movement of cargo since it was deployed. 

The system has eliminated physical escorts and monitoring of sensitive cargo, which includes electronics, batteries, fuel, cigarettes, textiles and beer, which are prone to diversion. 

Since the commissioning of the system, there has also been a significant improvement in transit time from 11 to 4 days.