Nairobi — The Kenya Revenue Authority (KRA) has reported a 256.7 percent surge in tax collections at the Kisumu Port, reaching Sh107 million in the 2024/25 fiscal year, driven by tightened surveillance and closure of tax loopholes along Lake Victoria.
The taxman said the amount rose sharply from Sh30 million collected in the previous financial year. Between May and August 2025, about 4,600 metric tonnes of sugar were imported through the port, generating over Sh170 million in duties and taxes.
"KRA's Marine Unit has enhanced border security and sealed key revenue loopholes along Lake Victoria, demonstrating significant progress in combating illicit trade and boosting tax collection in the region," the authority said in a statement.
In the 2023/24 financial year, the Marine Unit intercepted illicit and uncustomed goods valued at Sh3.19 million, recovering Sh1.6 million in revenue from the operations. Most of the intercepted goods were linked to small-scale traders smuggling items through unauthorized lake routes.
Follow us on WhatsApp | LinkedIn for the latest headlines
Speaking during a media familiarization session at the Kisumu Port, Dominic Kengara, Chief Manager of Customs for the Western Region, said the KRA Marine Unit has intensified patrols across Kenya's territorial waters on Lake Victoria.
"Our operations have greatly contributed to the reduction of illegal cross-border trade while promoting legitimate commerce through proper customs channels," said Kengara, adding that commonly smuggled goods include illicit liquor, timber, livestock, and sugar.
Exports through the port have also increased, with regular shipments of petroleum products, ceramic tiles, wheat, and fertilizer.
Kengara noted that marine clearance has eased congestion at the Busia and Malaba One Stop Border Posts, explaining that a single vessel exporting petroleum products is equivalent to 135 trucks transporting similar cargo by road.
