Gov’t officials rush to Nimule border as truck standoff disrupts supplies

JUBA – Officials from the South Sudan Revenue Authority (SSRA) have rushed to the Nimule border crossing after a standoff between Juba and foreign truck drivers threatened to disrupt the movement of goods into the country, raising concerns about fuel and essential commodity shortages and rising costs.

The congestion at the country’s main trade gateway with Uganda follows a directive issued on February 19 by SSRA requiring that taxes and related payments be made strictly in cash, replacing the previously used digital banking system.

Freight forwarders say the order has created a major bottleneck at the border, leaving a growing line of cargo trucks stranded and delaying the delivery of supplies to markets across the country.

Daniel Deng, President of the South Sudan Freight Forwarders Association (SSFFA), said the problem began after authorities instructed banks to accept tax payments only in physical cash.

“We have registered congestion at the Nimule border due to the communication issued by the government through the revenue authority on February 19 regarding the cash payment of taxes,” Deng said.
Previously, importers cleared goods through electronic banking transactions, allowing payments to be transferred directly between bank accounts.

“The normal process of clearing was that the banks or the SSRA accepted digital banking systems where customers could do bank-to-bank or account-to-account payments,” Deng explained.

He emphasised that the dispute is not about increased taxes or new levies but rather the requirement to pay in cash.

“There are no increments, and there are no new policies. The issue is the inquiry of cash,” he said.

However, many importers say they cannot comply with the directive because the country’s banking system is facing cash shortages. According to Deng, some traders already have money in their bank accounts but are unable to withdraw sufficient cash to settle their tax obligations.

“There are some importers who already have their money in the bank, but they are not being allowed to withdraw due to a shortage of cash. If they cannot withdraw, they cannot get cash to pay for their taxes,” he said.

The impact of the standoff is already being felt in parts of the country, particularly in the capital, Juba, where some fuel stations have begun running low on supplies while prices of basic commodities continue to rise.

South Sudan relies heavily on imports from neighbouring countries, making disruptions at the Nimule border particularly significant for the domestic market.

In response to the growing backlog, SSRA Deputy Commissioner General Solomon Ariik Manyok travelled to Nimule on Thursday alongside a delegation of commissioners to assess the situation and engage with relevant stakeholders.

In a statement issued on March 5, the authority said the visit aims to address delays affecting fuel and other goods entering the country.

According to SSRA, the congestion is also linked to the rollout of a new electronic permit system intended to streamline the entry of cargo vehicles into South Sudan.

“The E-Permit system was introduced earlier this year to streamline and ease the process of obtaining entry permits for vehicles transporting goods into South Sudan,” the statement said, adding that many traders and transporters are still unfamiliar with the new system.

Officials said the delegation is engaging with authorities and stakeholders at the border in an effort to find solutions that will ease cargo movement.

Meanwhile, the freight forwarders’ association has formally asked the revenue authority to reverse the cash-only directive and restore digital payments to allow smoother clearance of goods.

Deng said discussions with the authority are ongoing and expressed hope that a solution will be reached soon.