Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya

Arthur Odiwuor Odima; Joseph Okeyo Obosi; Fred Jonyo

doi:doi:10.11648/j.jppa.20230702.16

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Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya

Arthur Odiwuor Odima, Joseph Okeyo Obosi, Fred Jonyo

Published in Journal of Public Policy and Administration (Volume 7, Issue 2)

Received: 12 May 2023 Accepted: 6 June 2023 Published: 15 June 2023

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Abstract

The Kenyan government had instituted and effected a policy that all imported shipments discharged at Mombasa port and headed to Nairobi, locality and transit to be transferred via the Standard Gauge Railway (SGR). This paper examines the effect of SGR cargo transportation policy on the level of competition in imported cargo transportation market in Kenya. Data was obtained from freight forwarding companies and cargo owners as well as from key informants in imported cargo transport industry. The article adopted descriptive research design through cross sectional survey and concurrent mixed methods. Univariate, multivariate, cross-tabulations and multinomial probit regression were utilized in analysis. Equally, text analysis was used. The results show that SGR cargo transportation policy reduced the level of competition in imported cargo transportation market by 17.6%. Aspects of competition that have been affected by the policy included: limited the choices available to cargo owners/shippers to only one mode of transport; restricted transportation of imported cargo to SGR, creating SGR monopoly; limited number of entrants in imported cargo transportation from Mombasa to Nairobi; and resulted in higher cost of transporting imported cargo from Mombasa to Nairobi. The study recommends liberalization of imported cargo transport market, use of SGR to transport cargo to be discretionary, incorporation of multi-modal rail-road cargo transportation, review of the policy and expunge monopoly creating clauses and facilitating road transporters of imported cargo to explore other markets in East Africa Community.

Published in	Journal of Public Policy and Administration (Volume 7, Issue 2)
DOI	10.11648/j.jppa.20230702.16
Page(s)	77-87
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2024. Published by Science Publishing Group

Keywords

Standard Gauge Railway, Policy, Competition, Transport and Imported Cargo

References

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APA Style

Arthur Odiwuor Odima, Joseph Okeyo Obosi, Fred Jonyo. (2023). Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya. Journal of Public Policy and Administration, 7(2), 77-87. https://doi.org/10.11648/j.jppa.20230702.16

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ACS Style

Arthur Odiwuor Odima; Joseph Okeyo Obosi; Fred Jonyo. Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya. J. Public Policy Adm. 2023, 7(2), 77-87. doi: 10.11648/j.jppa.20230702.16

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AMA Style

Arthur Odiwuor Odima, Joseph Okeyo Obosi, Fred Jonyo. Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya. J Public Policy Adm. 2023;7(2):77-87. doi: 10.11648/j.jppa.20230702.16

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@article{10.11648/j.jppa.20230702.16,
  author = {Arthur Odiwuor Odima and Joseph Okeyo Obosi and Fred Jonyo},
  title = {Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya},
  journal = {Journal of Public Policy and Administration},
  volume = {7},
  number = {2},
  pages = {77-87},
  doi = {10.11648/j.jppa.20230702.16},
  url = {https://doi.org/10.11648/j.jppa.20230702.16},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jppa.20230702.16},
  abstract = {The Kenyan government had instituted and effected a policy that all imported shipments discharged at Mombasa port and headed to Nairobi, locality and transit to be transferred via the Standard Gauge Railway (SGR). This paper examines the effect of SGR cargo transportation policy on the level of competition in imported cargo transportation market in Kenya. Data was obtained from freight forwarding companies and cargo owners as well as from key informants in imported cargo transport industry. The article adopted descriptive research design through cross sectional survey and concurrent mixed methods. Univariate, multivariate, cross-tabulations and multinomial probit regression were utilized in analysis. Equally, text analysis was used. The results show that SGR cargo transportation policy reduced the level of competition in imported cargo transportation market by 17.6%. Aspects of competition that have been affected by the policy included: limited the choices available to cargo owners/shippers to only one mode of transport; restricted transportation of imported cargo to SGR, creating SGR monopoly; limited number of entrants in imported cargo transportation from Mombasa to Nairobi; and resulted in higher cost of transporting imported cargo from Mombasa to Nairobi. The study recommends liberalization of imported cargo transport market, use of SGR to transport cargo to be discretionary, incorporation of multi-modal rail-road cargo transportation, review of the policy and expunge monopoly creating clauses and facilitating road transporters of imported cargo to explore other markets in East Africa Community.},
 year = {2023}
}

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TY  - JOUR
T1  - Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya
AU  - Arthur Odiwuor Odima
AU  - Joseph Okeyo Obosi
AU  - Fred Jonyo
Y1  - 2023/06/15
PY  - 2023
N1  - https://doi.org/10.11648/j.jppa.20230702.16
DO  - 10.11648/j.jppa.20230702.16
T2  - Journal of Public Policy and Administration
JF  - Journal of Public Policy and Administration
JO  - Journal of Public Policy and Administration
SP  - 77
EP  - 87
PB  - Science Publishing Group
SN  - 2640-2696
UR  - https://doi.org/10.11648/j.jppa.20230702.16
AB  - The Kenyan government had instituted and effected a policy that all imported shipments discharged at Mombasa port and headed to Nairobi, locality and transit to be transferred via the Standard Gauge Railway (SGR). This paper examines the effect of SGR cargo transportation policy on the level of competition in imported cargo transportation market in Kenya. Data was obtained from freight forwarding companies and cargo owners as well as from key informants in imported cargo transport industry. The article adopted descriptive research design through cross sectional survey and concurrent mixed methods. Univariate, multivariate, cross-tabulations and multinomial probit regression were utilized in analysis. Equally, text analysis was used. The results show that SGR cargo transportation policy reduced the level of competition in imported cargo transportation market by 17.6%. Aspects of competition that have been affected by the policy included: limited the choices available to cargo owners/shippers to only one mode of transport; restricted transportation of imported cargo to SGR, creating SGR monopoly; limited number of entrants in imported cargo transportation from Mombasa to Nairobi; and resulted in higher cost of transporting imported cargo from Mombasa to Nairobi. The study recommends liberalization of imported cargo transport market, use of SGR to transport cargo to be discretionary, incorporation of multi-modal rail-road cargo transportation, review of the policy and expunge monopoly creating clauses and facilitating road transporters of imported cargo to explore other markets in East Africa Community.
VL  - 7
IS  - 2
ER  -

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Author Information

Arthur Odiwuor Odima

Department of Political Science and Public Administration (PSPA), University of Nairobi, Nairobi, Kenya
Joseph Okeyo Obosi

Department of Political Science and Public Administration (PSPA), University of Nairobi, Nairobi, Kenya
Fred Jonyo

Department of Political Science and Public Administration (PSPA), University of Nairobi, Nairobi, Kenya

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Plain Text BibTeX RIS

APA Style

Arthur Odiwuor Odima, Joseph Okeyo Obosi, Fred Jonyo. (2023). Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya. Journal of Public Policy and Administration, 7(2), 77-87. https://doi.org/10.11648/j.jppa.20230702.16

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ACS Style

Arthur Odiwuor Odima; Joseph Okeyo Obosi; Fred Jonyo. Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya. J. Public Policy Adm. 2023, 7(2), 77-87. doi: 10.11648/j.jppa.20230702.16

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AMA Style

Arthur Odiwuor Odima, Joseph Okeyo Obosi, Fred Jonyo. Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya. J Public Policy Adm. 2023;7(2):77-87. doi: 10.11648/j.jppa.20230702.16

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@article{10.11648/j.jppa.20230702.16,
  author = {Arthur Odiwuor Odima and Joseph Okeyo Obosi and Fred Jonyo},
  title = {Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya},
  journal = {Journal of Public Policy and Administration},
  volume = {7},
  number = {2},
  pages = {77-87},
  doi = {10.11648/j.jppa.20230702.16},
  url = {https://doi.org/10.11648/j.jppa.20230702.16},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jppa.20230702.16},
  abstract = {The Kenyan government had instituted and effected a policy that all imported shipments discharged at Mombasa port and headed to Nairobi, locality and transit to be transferred via the Standard Gauge Railway (SGR). This paper examines the effect of SGR cargo transportation policy on the level of competition in imported cargo transportation market in Kenya. Data was obtained from freight forwarding companies and cargo owners as well as from key informants in imported cargo transport industry. The article adopted descriptive research design through cross sectional survey and concurrent mixed methods. Univariate, multivariate, cross-tabulations and multinomial probit regression were utilized in analysis. Equally, text analysis was used. The results show that SGR cargo transportation policy reduced the level of competition in imported cargo transportation market by 17.6%. Aspects of competition that have been affected by the policy included: limited the choices available to cargo owners/shippers to only one mode of transport; restricted transportation of imported cargo to SGR, creating SGR monopoly; limited number of entrants in imported cargo transportation from Mombasa to Nairobi; and resulted in higher cost of transporting imported cargo from Mombasa to Nairobi. The study recommends liberalization of imported cargo transport market, use of SGR to transport cargo to be discretionary, incorporation of multi-modal rail-road cargo transportation, review of the policy and expunge monopoly creating clauses and facilitating road transporters of imported cargo to explore other markets in East Africa Community.},
 year = {2023}
}

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TY  - JOUR
T1  - Effects of Standard Gauge Railway (SGR) Cargo Transportation Policy on the Level of Competition in Imported Cargo Transportation Industry in Kenya
AU  - Arthur Odiwuor Odima
AU  - Joseph Okeyo Obosi
AU  - Fred Jonyo
Y1  - 2023/06/15
PY  - 2023
N1  - https://doi.org/10.11648/j.jppa.20230702.16
DO  - 10.11648/j.jppa.20230702.16
T2  - Journal of Public Policy and Administration
JF  - Journal of Public Policy and Administration
JO  - Journal of Public Policy and Administration
SP  - 77
EP  - 87
PB  - Science Publishing Group
SN  - 2640-2696
UR  - https://doi.org/10.11648/j.jppa.20230702.16
AB  - The Kenyan government had instituted and effected a policy that all imported shipments discharged at Mombasa port and headed to Nairobi, locality and transit to be transferred via the Standard Gauge Railway (SGR). This paper examines the effect of SGR cargo transportation policy on the level of competition in imported cargo transportation market in Kenya. Data was obtained from freight forwarding companies and cargo owners as well as from key informants in imported cargo transport industry. The article adopted descriptive research design through cross sectional survey and concurrent mixed methods. Univariate, multivariate, cross-tabulations and multinomial probit regression were utilized in analysis. Equally, text analysis was used. The results show that SGR cargo transportation policy reduced the level of competition in imported cargo transportation market by 17.6%. Aspects of competition that have been affected by the policy included: limited the choices available to cargo owners/shippers to only one mode of transport; restricted transportation of imported cargo to SGR, creating SGR monopoly; limited number of entrants in imported cargo transportation from Mombasa to Nairobi; and resulted in higher cost of transporting imported cargo from Mombasa to Nairobi. The study recommends liberalization of imported cargo transport market, use of SGR to transport cargo to be discretionary, incorporation of multi-modal rail-road cargo transportation, review of the policy and expunge monopoly creating clauses and facilitating road transporters of imported cargo to explore other markets in East Africa Community.
VL  - 7
IS  - 2
ER  -

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