Mohamed Jaffer faces court battle over held wheat imports

Mombasa-based businessman Mohamed Jaffer is once again at the center of a legal dispute as Ugandan importer Pan Afric Commodities Ltd moves to court against his company, Bulkstream Limited, over wheat shipments held at the port of Mombasa.

Wheat dispute pits Pan Afric against Bulkstream

The case stems from what the importer describes as a prolonged delay in the release of its cargo. Pan Afric Commodities says Bulkstream has withheld 1,514 tonnes of wheat imported from Ukraine, despite repeated demands for its release. Consequently, the firm has filed a suit seeking the immediate handover of the consignment.

According to court documents, Pan Afric Commodities purchased about 2,837 tonnes of wheat under a charter party agreement, with a Bill of Lading issued on Sept. 21, 2018. The shipment was to be handled by Bulkstream, which operates under Jaffer’s logistics empire.

Mohamed Jaffer boosts port logistics reach

Jaffer, who chairs the MJ Group, has long been a key player in Kenya’s port logistics and grain handling business. His flagship company, Grain Bulk Handling Limited (GBHL), has managed a large share of grain imports through the port of Mombasa for nearly three decades. The port, a trade hub for East and Central Africa, remains the cornerstone of Jaffer’s business interests.

While his operations have expanded significantly inland, last year, his company, GBHL, launched a new grain-handling terminal in Nairobi’s Embakasi area, designed to lower transportation costs and reduce congestion at the coast. The project has drawn praise from millers and manufacturers who depend on steady grain supplies.

Mombasa businessman Jaffer’s court cases pile up

However, the latest lawsuit adds to a string of court battles surrounding Jaffer. In a separate case, the Mombasa Law Court recently postponed judgment in a $116 million land dispute involving Mayport Limited, linked to the tycoon. Judge Lucas Naikuni of the Environment and Land Court said on Sept. 22 that a heavy docket had delayed the decision for the eighth time.

Jaffer is also involved in a legal dispute over a $14 million payment to a company linked to him for land acquired for Kenya’s Standard Gauge Railway. The payment was earlier ruled as erroneous, but the case remains unresolved following an appeal challenging that decision.