How much does it really cost to export used cars to Kenya? If you are planning to export second-hand cars from Japan, UK or USA, you need to consider the cost of the whole import process. Cost is a key factor because most Kenyans want nice but affordable used cars.
Below are some costs you must incur when exporting a used car to Kenya:
1. CFS or Port Charges
A Container Freight Station (CFS) is a facility or a warehouse where transportation cargo is consolidated or de-consolidated. They are typically located near to the ocean or airport and charge different prices depending on the size and yard of the shipments. You will get an invoice from the port indicating the amount you need to pay.
In Kenya, the cost of unloading or discharging a vessel from the port will depend on your type of car. For instance, the cost of a 4-wheel drive car such as a Prado will range from $300 to $350. A van like Toyota HiAce costs from $260 to $300 while a Saloon car Toyota Corolla costs from $185 to $220.
2. Shipping charges
This is the cost incurred in transporting cargo from one country to another. The cost of delivery or shipping in Kenya is about $100 (without value added tax). This fee is payable to the company or agents who shipped your cargo. The mode of shipping will also determine how much you pay. For instance, RoRO (which is more like a floating underground car park) may cost less than dedicated or shared containerized shipping or air freights, which are considerably safer shipping options.
3. Clearance charges
This is the fee you pay to a clearing house for completing a transaction and clearing securities trades using its facilities. This fee normally depends on the agreement between you and the clearing house agents. On most occasions, the cost ranges from $150 to $300.
4. Custom Duty
This is the tax levied by customs authorities on imports as well as exports (at times) to protect the domestic industry and raise revenue. Custom duty depends on your car model, class, make, month and year of manufacture, engine capacity fuel type and engine transmission type. All this information is crucial since it affects the Current Retail Selling Price (CRSP) of your car.
Conclusion
Whenever you want to export used cars to Kenya, ensure you are aware of all the costs that you will meet. Read the fine print, comply with the laws and procedures and also attend to the paperwork personally. This will help you avoid hefty fines and loses.
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