Buy a car
Replies: 10 - Last Post: Sep 30, 2012 11:48 PM Last Post By: traceybell
Sep 21, 2012 1:52 PM
Buy a carHi All,
I am planning to travel 5 months from Ethiopia to South Africa in November. I thought it may be easy to buy a car in Kenya. Is any one have experiece of purchase a vechicle in Eithiopia or Kenya?
Can foreigner buy a car? If so, can it be driven across other countries?
What is average cost of a reliable and cheap 4WD in Kenya? Is the price of car about the same in Ethiopia and Kenya?
Sep 21, 2012 7:28 PM
Sep 22, 2012 12:34 AM
2You can buy a car in Kenya, but they are expensive, you might get a very old 4wd 'cheap' in a private sale but it depends what you call 'cheap' I've just looked in the yesterday's Standard and the cheapest advertised there is a 1996 Toyota RAV4 at 650,000/- (over $7,500 US).
Plus in order to transfer ownership (ie the log book) you need a PIN (Personal Identification Number) these are allocated by the Kenya Revenue Authority and you need an ID or Alien Registration number in order to get one
Sep 22, 2012 6:44 AM
Sep 22, 2012 6:50 AM
Sep 22, 2012 7:14 AM
5Also, in Ethiopia you can not take a duty paid car out of the country unless you pay a deposit with the Commercial Bank of Ethiopia equal to the value of the car to ensure that you bring it back. example, a couple of years ago my friend drove his 1996 Landcruiser to Nairobi and had to deposit the 450,000 birr (about $30,000 at the time) The reason that cars are SOOOO expensive in Ethiopia is that due to hard currency shortage there is limited import of them and the duty on a 4X4 is 157%.
You could ship a car in from your home country. i see a lot of European plates passing though. However, you will have to get a carnet (a bond) from an insurance company to be allowed into most African countries. This is to prevent you from importing the car w/o paying duty. Once you return the car to your home country, the carnet is lifted.
Sep 22, 2012 9:58 AM
6worldtraveller8, it sounds like you are starting from scratch in terms of your knowledge. I would recommend doing some serious reading as this is a complicated topic.
A good place to start is http://www.africa4x4cafe.com which has lots of up-to-date contributions.
I hope it all works out great for you.
Sep 22, 2012 11:22 AM
Sep 22, 2012 11:51 PM
8re: why cars are expensive, no cars are manufactured here, the vast majority of cars are used cars imported from Japan, so you have the cost of buying in Japan plus shipping and port fees, plus the profit margins of everyone involved at each stage, then the Kenyan Government adds
25% of the amount the car is worth as – Import Duty
20% of the amount + Import Duty as - Excise Duty
16% of the amount + Import Duty + Excise Duty as -VAT
2.25% of the amount as- IDF Fee
Cars in North America are very cheap compared to European standards but the result of all the above is that a used Toyota in Kenya will cost two to three times what a similar model would cost in Europe
Sep 30, 2012 11:48 PM
10If you want to buy the car in South Africa and sell it in Kenya, it should be less than five years old - Kenya won't allow vehicles to be imported that are older than five (or maybe seven??) years old. If the buyer is happy to keep it on the foreign registration, that's another story, and it should be fine to bring an older car in.
There's also a bit of a spat going on between Kenya and Tanzania about letting each other's vehicles into their national parks. It's mainly to do with safari operators because the Tanzanians decided that Kenyan operators were stealing all their business by bringing tourists into Tanzanian parks. So they stopped allowing Kenyan vehicles in so tourists would use Tanzanian operators. Unfortunately they didn't realise that Tanzanian operators were bringing tourists into Kenyan parks and it was sort of working out evenly as tourists often want to travel the two countries and choose an operator in either country according to their own convenience. Kenya went tit for tat and banned Tanzanian vehicles in their parks as well. So now tourists have to change vehicles, drivers, guides, etc at the border to continue their safari.
Anyway, the point is that if you have a Kenyan registered vehicle you may have trouble going to Tanzanian National Parks. I am not sure if it is for private vehicles, or just safari vehicles.... but it's another thing to check out while you make your decision.
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