Del Monte demands Sh37 million from Kenya Railways for spoilt pineapple shipment

Fruit processing company Del Monte wants Kenya Railways to pay it Sh37.6 million (US$339,000) as compensation for a consignment of pineapples damaged following a train accident inside Dandora Railway Station last year. Del Monte has sued Kenya Railways, arguing that the state corporation has refused to pay for the damaged consignment of pineapples, or release documents that would enable filing of a detailed compensation claim. Kenya Railways is yet to file a response in the suit.

The multinational has since February, 2020 had a contract with Kenya Railways for the transport of fruits meant for export to Mombasa. Under the contract, Kenya Railways had agreed to pay for any loss or damage to goods, in the event that the state corporation was in custody at the time of any incident. Only acts of nature, war, government orders or client packaging negligence would excuse Kenya Railways from liability.

Then, in the early morning of June 3, 2020, a train derailed inside Dandora Railway Station. Kenya Railways at the time said that the incident involved a train plying the Ruiru-Nairobi route, forcing the company to suspend passenger services between the two towns on June 3, 2020.

Del Monte's suit has now revealed that freight services were also affected, and that goods worth millions were destroyed by the train derailment.


Publication date:

Receive the daily newsletter in your email for free | Click here

Other news in this sector:

Sign up for our daily Newsletter and stay up to date with all the latest news!

Subscribe I am already a subscriber