Concept Note
For development of an exploratory trade mission to Kisumu and Mombasa by the Dutch private
sector
In 2014 NABC, with the support of the EKN Nairobi, conducted a comprehensive market study: Urban
Development Spatial Planning Kenya. To test interest in the identified opportunities, the NABC, in collaboration
with the Dutch Enterprise Agency (RVO) and EKN Nairobi, organized 2 separate canvas sessions in 2015. Both
sessions were well attended and participants expressed an interest in participation in a follow-up program to
further explore specific trade and investment opportunities specifically in and around the Port of Kisumu and
Port of Mombasa. Outcomes are specified below.
In order to facilitate an informed follow up to the Kenya canvas session held an exploratory Trade Mission to
Kisumu and Mombasa in May or June 2016 is proposed. The expectation is that this mission will help inform a
structured approach to engaging the Kenyan maritime sector by the Dutch maritime sector. We plan this mission
be organized in close cooperation with the Dutch Embassy in Kenya and NL HUB Nairobi.
This is the first step to a process that seeks to eventually generate business for the Dutch Maritime sector based
on the opportunities identified. Business that: has a clear economic return for Kenya and the Netherlands; social
capital to those living in and around both ports and by extension Kenya; natural capital through employment of
sustainable business models; and inspirational capital which will facilitate local buy in and increase the chances
of success for any investments made on both ports. NABC proposes the following steps to facilitate a
constructive and productive mission:
1. Detailing the current state, processes and systems on both port of Kisumu and Mombasa;
2. Stakeholder mapping for Port of Kisumu and Mombasa;
3. A working group meeting prior to the Mission; and
4. Exploratory trade mission to Kisumu and Mombasa.
Draft Programme Trade Mission
The table below offers a draft program for the 5 day mission to port of Mombasa and Kisumu. This is a tentative
program and is subject to changes and participant input.
Day/
Time
Day 1
09:00 17:00
17:00 –
18.00
19:00 –
21.00
Day 2
9.00 –
10.30
11.00 –
12.00
Activity
Description
Location
Arrival
Nairobi
Briefing
Arrival of all participants to Nairobi Kenya and checking in to the
hotel.
Briefing meeting at the hotel to all mission participants.
Reception with embassy
Reception with dinner with embassy officials.
Nairobi
Meeting Ministry of
transport and
Infrastructure
Meeting LCDA
Introduction and presentation of Netherlands BV to national
government authorities at the ministry. (Cabinet secretary transport
and infrastructure).
Lapsset Corridor Development Authority meeting the Director of
LCDA.
Nairobi
Nairobi
Nairobi
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Day/
Time
13.00 –
14.00
Activity
Description
Location
Meeting PPP Unit
Nairobi
16.00 –
18.00
19.00 –
21.00
Travel to Mombasa
Meeting the private public partnership unit at the National Treasury,
introduction and get insight on their way of working and best case
examples.
Flight to Mombasa for all participants.
Dinner
For all participants
Mombas
a
Tour of Port of Mombasa
Visiting the port of Mombasa and all its facilities.
Meeting Governor of
Mombasa.
Introducing the mission and our agenda to the governor’s office and
his team. Meet the county government team responsible for
transport and infrastructure.
Meet with the KPA Managing Director and introduce the team and
missions agenda and get more information on the ports plans and
activities.
Meeting host information session for all active suppliers, service
companies and other port stake holders conduct meeting and match
making.
Invite the governor and MDs of KPA, KMA (Kenya Maritime Authority)
and KFS (Kenya Ferry Services)
Mombas
a
Mombas
a
Day 3
08.00 –
10.00
10.00 12.00
13.00 –
14.00
Meeting KPA
14.00 –
18.00
Meeting/ workshop with
private sector
19.00 –
22.00
Dinner
Day 4
8.00 –
10.00
10.00 –
11.00
13.00 –
15.00
15.00 –
16.00
16.00 –
17.00
Day 5
09.00 –
11.00
12.00 –
15.00
16.00 –
17.00
20.00 –
00.00
Travel to Kisumu
Flight to Kisumu
Arrival and settling in to
Hotel
Meeting the governor of
Kisumu and his team.
Meeting county gov. team
Arrival in Kisumu
Nairobi
Mombas
a
Mombas
a
Mombas
a
Mombas
a
Kisumu
Lunch meeting with the governor of Kisumu and introducing the team
and its mission to the governor.
Meeting the county government team responsible for transport and
infrastructure.
Kisumu
Visit the port of Kisumu
and its environs
Workshop for private
sector
Travel to Nairobi
Tour of the port and all its facilities.
Kisumu
Meeting the various stakeholders, suppliers and firms active in the
port of Kisumu. Match making.
Flight to Nairobi
Kisumu
Travel back to the
Netherlands
Flight back to Netherlands from Nairobi.
Nairobi
Kisumu
Meeting KPA officials
Kisumu
Kisumu
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Outcomes Kenya Infrastructure Canvas Session 2015 (3 round table sessions)
Round Table 1:
Opportunities in Mombasa
The participants where a good mix of companies to provide integrated solutions for Mombasa port and city and
together came with the following possible solutions;
1.
2.
3.
4.
Efficient and faster throughput of good arriving at the port (scanning, procedures)
Dedicated infrastructure to and from the port (toll routes/toll ways, new routes to minimize traffic jam)
Expansion of the port to handle more containers (growth of Mombasa port, import/export solutions)
Security Solutions and Certification
Main Challenges:
1.
2.
3.
4.
Financial access
Overall corruption in Kenya/Mombasa
Finding a solid business partner (contractor) in Mombasa
Traffic congestion at the port
Outcomes:
All participants agreed on the numerous opportunities within Mombasa port for KPA and County. As individual
companies they could cover a single solution or product. All participants confirmed that this will not benefit
these opportunities as competition is high on the individual market sectors.
To create a consortium of Companies to present integrated solutions for these opportunities we will have to
know which priorities there are for KPA as well as County Government. An integrated solution or solutions will
lead to efficiency in operations at the port and throughput of imported goods.
A good discussion formed around the financial access in these projects. China and Japan, who are leading
competitors in Kenya for large scale infrastructure tenders/projects have their own banks who will give the
finance to their (Chinese and Japanese) consortiums. As an African Corridor Consortium the participant know
that they will give and present a high end solution that will benefit KPA and County Government, but how to
change the mind-set that cheaper is not always better will be a challenge.
It was a challenging discussion to form a consortium between the participants but all saw the difference in
working together instead of alone to make a change and difference in this market with opportunities. Following
steps are necessary for an active follow up according the participants;
1. Follow up Canvas session based on opportunities
2. Presentation/Information on Financial Access in Kenya
3. Market information Major players (contractors) in Mombasa
The African Corridors platform should take the lead role in further shaping these opportunities, as the
Companies are already active in Kenya they do not have the direct resources to focus on these opportunities
parse. Companies expressed an interest to join a potential follow-up session, based on cases and opportunities
in Mombasa.
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Round Table 2:
Opportunities in Kisumu
All the companies identified opportunities in this areas:
1.
2.
3.
4.
Water Management a and Treatment
Road Development and construction
Dredging potential
Lake modal transportation, of goods and passengers
Main Challenges:
1. Find local contractors
2. Finance
Outcomes:
The overall evaluation was good and the companies showed interest throughout the session to continue the
discussion and find a common/integrated solution for the region. In order to compete in such a region, it’s
important to build a sector focused platform as proposed by NABC.
During the Canvas Session., the companies agreed on the added value to find a common and integrated solution
to develop such projects. Each company identified the need to jointly develop sustainable solutions for the
development of the Kisumu region.
As a proposed follow-up, the African Corridors platform can play a pivotal role in order to continue the
discussion and organise the sector in a structural way. Moreover all the companies highlighted the possibility to
join a Trade Mission to Kisumu and Mombasa and meet the local key stakeholders. The companies asked NABC
to follow up on the Kisumu Project and gather more information about the current situation and the potential
opportunities. It is imperative to development a stakeholder mapping, in which all the local public and private
stakeholders are displayed.
Round Table 3:
Opportunities in Mombasa
Majority of participants are consulting firms and hence common goal All the companies identified opportunities
in this areas:
1.
2.
3.
4.
Integrated Transport Solutions
Improved Service Provision Mombasa Port (scanning, taxation, import/export procedures)
PPPs for Passenger Transport Solutions
Services and Hardware for Integrated Passenger Transport Solutions (design, construction, hardware
such as boats etc.)
Main Challenges:
1.
2.
3.
4.
Access to Finance
Corruption (eg with Port Authority)
Financing of ‘BV Holland’: lack of available instruments to finance larger scale projects
Collection of taxes and issues with setting of value of cargo (too high, often very high taxes to be paid,
way above real value)
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5. Traffic congestion in Mombasa, due to location city (Mombasa Island)
6. Lack of public Infrastructure for passenger transport
7. Challenges in setting up PPPs
Outcomes:
Discussions around need of an adequate integrated transport transportation system for Mombasa Island. Has
various components, e.g. jetties, parking, boats. Represents opportunities for Dutch Private Sector at various
levels, e.g. design/planning/engineering, production hardware (e.g. boats, jetties), construction, dredging etc.
Also various PPP opportunities for operation of passenger solutions.
Also plenty of opportunities in the port, related to more efficient operations in both services provision as well as
in port construction and management (e.g. upgrading, improved scanning, improved taxation, port renovations
etc.).
Also integration with other sectors mentioned, e.g. Passenger Solutions and potential impact/linkage with
Tourism Industry (in resorts around Mombasa).
Good discussions and all participants agreed that 1) further information about specific business opportunities
was needed, 2) a joint presentation of Dutch Companies with an interest in being a service provider to the Port
of Mombasa would add value and 3) it would be good if a joint value proposition of Dutch Private Sector could
be prepared towards different stakeholders to position Dutch Private Sector emphasizing themes as quality,
sustainability and client orientation.
It was suggested that the African Corridors platform could play a role in further shaping these opportunities.
Companies expressed an interest to join a potential follow-up session (however, more concrete information
needed!) and/or join a focused trade mission to Mombasa (and/or Kisumu).
Overall Conclusions
The results show that the overall rate of the Canvas Session was positive, and all the surveyed participants
highlighted the canvas method as a good way to organize technical sessions around a specific business case. The
participants much appreciated the moderation role from RVO and the clear link between the private sector and
the potential business opportunities in Kenya.
Participants expressed an interest to join African Corridors as a platform to jointly further explore specific
opportunities in the market. Important that African Corridors indeed brings information and opportunities to the
next level and that site visits are targeted bringing the right stakeholders together. They also felt that African
Corridors could play a role in a joint positioning of Dutch expertise in the sector as well as formulating a joint
proposition.
Reflecting on the proposed goals, the Canvas Session was a key enabler to motive the companies, creating the
necessary traction to develop a series of follow-up activities in 2016.
All the feedback gathered during the Canvas Session and subsequent reporting, will be used to formulate a
jointly proposal with the Dutch Embassy in Kenya, to work together with the Dutch private sector, knowledge
institutions and other key parties.
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