DONGO KUNDU
GREENFIELD SITE EARMARKED FOR NEW PORT AREA A
3,000 acre greenfield site to the south of Mombasa has been earmarked for a new port area together with a Special Economic Zone (SEZ) offering free trade and industrial facilities. The chosen site is Dongo Kundu, a largely uninhabited area located across Port Reitz Bay, well away from the existing island city of Mombasa.
such as agro-processing and furniture making. These labour-intensive industries are expected to create thousands of jobs. Once built, the first-phase port facilities will consist of a container yard, a container freight station, gantry cranes and other cargo handling equipment. Construction of the second berth is expected to commence in mid-2022.
Development plans include the Dongo Kundu Free Trade Zone (FTZ), with space for about 10,000 businesses, along with the Dongo Kundu Industrial Area and various smaller specialist zones. The aim is to create an economic engine and production hub for the coast region.
INFRASTRUCTURE
The SEZ will also provide a bonded area next to the Port so that imported goods can be exempted from duty. Resident businesses will benefit from relaxed regulations and exemption from many taxes. This will also allow importers of raw materials and those producing goods in the SEZ and then exporting them through the Port to trade at internationally competitive prices thanks to reduced handling time and cost.
Other planned zones include an enterprise area, a zone for MICE-based tourism, a residential area and a utility area for an electricity substation and other basic utilities. These will be developed in phases. The SEZ should be fully operational by 2030.
Sectors thought likely to be attracted to the SEZ include steel mills, machine and motor vehicle assembly, pharmaceutical industries, mineral processing and light industries
The project’s basic infrastructure is expected to take three years to complete, including construction of the berth and the creation the FTZ.
The SEZ will be served by a new road network. China Civil Engineering Construction Corporation won the contract for the new road, which is being built in three phases at a cost of about US$ 250 million. The project is funded by the Japan International Cooperation Agency (JICA). Meanwhile, construction work has begun on the new Dongo Kundu Bypass, which will allow traffic to avoid both congested Mombasa and the busy Likoni ferry. This new 19.85 km link road will greatly improve road links with Kenya’s south coast area and with northern Tanzania via the existing A14 (the Malindi to Bagamoyo highway). Mombasa is about 440 km from Bagamoyo. The bypass is also connected to the 5.7 km Kipevu Link Road, providing road access to Mombasa’s second container terminal.
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KENYA PORTS AUTHORITY HANDBOOK 2020
