Transport Costs Set to Rise After Diesel Price Jump

The Kenya Transporters Association (KTA) has warned of increased transport costs following a sharp rise in diesel prices, urging its members to adjust their rates to reflect the new operating environment.

In an advisory issued on April 14, 2026, the association said diesel prices had increased by KSh40 per litre, rising from KSh163 to KSh203 per litre. The association noted that this represents an increase of approximately 24.5 percent.

KTA emphasized the impact of fuel costs on the transport sector, stating that fuel constitutes the single largest cost component in road freight transport, accounting for approximately 55% of total operating costs. Based on this, the association outlined the expected effect on overall expenses.

According to the advisory, Transport Cost Increase (%) = Fuel Price Increase (%) × Fuel Cost Share (%), which translates to 24.5 percent multiplied by 55 percent, resulting in an estimated 13.5 percent rise in transport costs. The association further noted that this translates to an estimated 13–14% increase in overall transport operating costs.

The association cautioned that the increase in input costs cannot be sustained without adjustments. “Such a substantial rise in input costs cannot be absorbed sustainably,” KTA stated, adding that it is necessary for members to immediately review their cost structures and adjust transport rates accordingly to reflect the new cost realities.

KTA also urged members to engage their clients and partners to ensure transparency during the transition. It advised that transporters should engage their customers and contractual partners promptly, and clearly communicate the basis of the changes to maintain continuity of service.

The association said it will continue to monitor developments in fuel pricing. It added that it remains committed to safeguarding the interests of transporters across Kenya and the wider region, as the sector responds to the latest cost pressures.