Kenya Pushes Dongo Kundu Special Economic Zone Forward as Berth Construction Advances

The Mombasa Dongo Kundu Special Economic Zone is projected to generate at least 5,600 direct jobs once it reaches full operational capacity. Transport Principal Secretary Mohammed Daghar received a technical progress report on the 3,000-acre project at the Kenya Ports Authority headquarters in Mombasa. Construction of the KSh 41 billion Dongo Kundu Berth One is currently 16% complete, with 94 investors having already expressed interest in securing a footprint within the expansive industrial enclave.

Transport Principal Secretary Mohammed Daghar announced the latest updates after reviewing the status of the development alongside senior officials. Daghar stated that the special economic zone is poised for launch as authorities finalise the crucial support infrastructure required to promote industrial growth and improve the overall business environment. The comprehensive briefing brought together leadership from the Kenya Ports Authority and more than ten government agencies following an intensive inspection tour of the ongoing construction sites.

The flagship Dongo Kundu Berth One facility spans 300 metres and is scheduled to become operational by December 2028. Dredging operations are currently under way to achieve a depth of 15 metres, which will allow larger vessels to dock securely. Kenya Ports Authority Managing Director Captain William Ruto affirmed the organisation's commitment to meeting the project deadline, noting that the berth will link directly to road and rail networks to facilitate smoother cargo movement and reduce both production and logistics costs.

Ninety-four investors have formally expressed interest in the zone, with four already establishing operations on site. Among them is Taifa Gas, whose facility is 85% complete and slated for connection to the berths via a dedicated pipeline, alongside Milly Glass Limited and Afreximbank. Out of the 3,000 total acres, 1,300 acres are designated for the special economic zone, 700 acres are allocated for industrial and logistics operations, and the remaining 1,000 acres are reserved for residential developments, social amenities, and vital road infrastructure.

Why This Matters

Large scale trade infrastructure projects like the Dongo Kundu development serve as critical anchors for regional commerce by directly addressing chronic logistical bottlenecks. By integrating maritime facilities with arterial road and rail networks, the initiative lowers the cost of moving goods across borders. This operational efficiency directly impacts supply chain resilience for manufacturers operating within East Africa, reducing transit times and shielding commercial operators from unpredictable inland transport delays.

Furthermore, the establishment of dedicated industrial zones with secure utilities and dedicated pipelines attracts foreign direct investment by mitigating operational risks for heavy industries and energy firms. Aligning maritime expansions with structured land allocation for logistics and residential amenities creates self-sustaining economic clusters. These clusters foster long-term employment stability and stimulate secondary commercial ecosystems across the coastal region.

Opportunities

• Contractors and Engineers: Direct bidding opportunities for marine dredging, civil works, and the construction of the remaining seven planned berths and associated transport links.
• Logistics Operators: Early positioning for warehouse development and freight handling within the designated 700-acre industrial and logistics zone to serve incoming manufacturers.
• Energy and Utilities Providers: Commercial openings to supply industrial-scale power, water, and specialized pipeline infrastructure to heavy manufacturing tenants like Taifa Gas.
• Real Estate Developers: Investment prospects in the 1,000 acres designated for residential housing and social amenities to accommodate the incoming workforce.

Moto Seen Africa - Africa's View, Seen Clearly

#MotoSeenAfrica #SeenAfrica #SeenNetwork #AfricasView #SeenClearly #SeenInsights #KenyaBusiness #MaritimeLogistics #Infrastructure #EconomicZones #TradeFinance