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PUBLISHED ON July 22nd, 2015

South Sudan link road upgrade to boost Turkana oil search

The upgrade of a key link road between Kenya and South Sudan is set to kick-off early next year, raising prospects for enhanced cross-border trade and ease exploration of petroleum deposits within the Lake Turkana basin.

Kenya and the World Bank on Monday signed a Sh50 billion deal for the rehabilitation of part of the 601 kilometre highway that links Eldoret to Nakodok on the border with South Sudan.

The 960km Eldoret-Juba road is presently in a deplorable state, partly due to high traffic by relief agencies’ heavy commercial vehicles taking supplies to South Sudan and lack of regular maintenance.

The new highway will be built to bitumen standards and a one-stop border post built at Nadapal besides other transport amenities.

“Producers of agricultural, livestock, fishery and mineral products from the region will benefit from regional and global export opportunities. It will also facilitate the extraction of petroleum recently discovered in Turkana and neighbouring counties,” World Bank county director, Diarietou Gaye said.

South Sudan is currently trying to open up its economy to trade with partners in eastern Africa in a bid to consolidate its growth after it successfully seceded from Sudan in July 2011.

Its poor transportation link to Kenya was among the weaknesses that a team appointed by the East Africa Community (EAC) Council of Ministers fronted last year to delay Juba’s membership to the regional bloc.

Treasury secretary Henry Rotich said the project will involve the rehabilitation of the entire road sections and laying of a 600 km fibre optic cable from Eldoret to Nakodok.

“Apart from facilitating connectivity between Kenya and South Sudan, the project will facilitate cross-border trade and reduce transportation costs. It will also aid emergency relief supplies and humanitarian effort in the region,” he said.

The project will be implemented over six years to 2021 as part of the East Africa Regional Transport, Trade and Development Facilitation Project (EARTTDFP).

“Fibre (optics) spurs and rings will also be constructed and provision made for connecting refugee camps, schools, hospitals and other strategic locations, including pastoralist road side markets, export processing zones, rest stops and community service centres along the route,” Infrastructure principal secretary John Mosonik said.

The planned one-stop border post at Nakodok will supplement the role of the new highway in boosting regional trade.

The one-border-post concept helps in harmonising transit clearance procedures by having officers from two bordering countries handle transit documents concurrently, saving on time.

Currently, goods are separately inspected by officers on either side of the border, leading to delays.

Impatient truckers and traders often resort to offering bribes either to jump queues or expedite clearance of their cargo. Kenya and other EAC members have adopted the one-stop-border system as they harmonise customs clearance to reduce the cost of doing business.

The section of the planned road from Lokichar to Juba would form part of the Lamu Port Southern Sudan Ethiopia Transport Corridor (Lapsset) – a Sh2.5 trillion integrated infrastructure project meant to improve trade between Kenya, Ethiopia and South Sudan. It entails construction of a new port in Lamu as well as a railway, pipeline, highway, airport and refinery.

Besides cutting over-reliance on Kenya’s existing Mombasa port, the project is aimed at deepening trade and opening up northern Kenya, a vast area whose vast economic potential is yet to be tapped because of infrastructure challenges.

Source: East African Business Week

Disclaimer: The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of TradeMark Africa.

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