The High Court has issued a major blow to the Joho family’s logistics empire after ruling that Autoport Freight Terminals, linked to former Mombasa Governor Hassan Joho’s family, must relinquish its dominant share of South Sudan-bound cargo at the port of Mombasa.
Justice Peter Mulwa ordered the Kenya Ports Authority (KPA) to comply with Juba’s directive issued on June 16, which instructs that all seaborne cargo destined for South Sudan be evenly distributed among five logistics firms. The ruling trims Autoport’s allocation from a commanding 80% down to 20%, threatening to wipe out billions of shillings in annual revenue for the Joho-linked firm.
The directive, issued by the South Sudanese government, grants Compact Freight a 30% share, Compact FTZ and LPC Global 20% each, and Precision Container 10%. Juba maintains that diversifying cargo handlers will reduce port congestion, improve service delivery, and stabilize prices of essential goods for its citizens.
The decision comes on the heels of a Supreme Court judgment blocking Portside Freight Terminals, another Joho family-owned firm from constructing a KSh 6.4 billion grain handling facility, citing irregularities in the procurement process. Together, the rulings pose a significant setback to the family’s expansion in the lucrative Mombasa logistics space.
Compact Freight had sued the Ministry of Transport and KPA for ignoring the cargo-sharing directive. The High Court’s interim stay now halts any deviation from the June 16 letter as the matter proceeds, with a full hearing set for July 21.
Autoport’s previous dominance stemmed from a deal with Kenya Railways, which granted it a terminal at the Nairobi Inland Container Depot, streamlining Standard Gauge Railway (SGR) cargo evacuations. The ongoing legal battles mark a turning point for the Joho family’s once-expanding port empire.
