Nairobi, May 31 -- Uganda has backed out of a deal that requires all goods imported through Kenya with final destinations being neighbouring land-locked countries be transported on the standard gauge railway.

The directive to ferry goods directly from Mombasa to the Naivasha Inland Container Depot (ICD), supposed to take effect on June 1, was agreed at a virtual meeting attended by presidents of Kenya, Uganda, Rwanda and South Sudan.

It was intended to cut the time taken from Mombasa to the Uganda border in a bid to reduce transmission of Covid-19 by truck drivers along the transport corridor. But Uganda appears to have reconsidered its positions, saying use of SGR should be optional.

"The option of using Naivasha ICD for transit cargo w...