Is the SGR a great project - YES.
Is it a good (viable) investment for Kenya - YES before the vultures came in and inflated cost.
"The SGR will cut the journey between Nairobi and Mombasa to four and a half hours from 13 hours or more currently and reduce freight costs to 8 US cents (Sh8.14) per tonne per kilometre from the present average of 20 US cents (Sh20.37)."
The above statement is the govt's main argument for lowering the transport costs by 60%. The only problem is that its false.
Every year KTDA brings in between 30,000-50,000 tonnes of fertlizer. They usually invite truckers to bid. Last year, they were paying Kes.7/ton/KM. The 30,000 tons were ferried within one week.
Bottomline : Will SGR address existing capacity issues ? NO. Will it offer more competitive pricing for cargo owners ? NO, actually its more expensive than the current prices.