Some transporters and cargo owners are locked in growing disputes following the recent fuel price increase, driven by the conflict in the Middle East, with some operators halting services as negotiations over transport costs stall. Several drivers are currently stranded in countries such as Tanzania, where they had travelled to pick up cargo under contracts agreed before the latest fuel price adjustments. ALSO READ: Transport fares revised with new fuel prices “I know at least four of them, but the number is likely higher, especially those still in Dar es Salaam,” said Noel Nkurikiye, Secretary General of the Rwanda Professional Truck Drivers Union and Managing Director of Consultant Tarzan of Transport Rwanda (COTATRARWA). He explained that many contracts were signed based on previous fuel prices, making it difficult for drivers to absorb the sudden increase. “Some cargo is coming from places like Europe, with drivers contracted to collect it from the port. A trip to Dar es Salaam can require at least 1,200 litres of fuel. With an increase of Rwf257 per litre on diesel, this adds more than Rwf300,000 in costs,” he said. ALSO READ: Why Rwanda's fuel demand surged by nearly 40 percent in April According to Nkurikiye, a driver who had agreed to transport cargo for $3,500 may now need about $3,800 to cover the additional expenses, often facing resistance from cargo owners. As a result, some drivers have parked their trucks while negotiations continue, leading to delays and financial losses. “The drivers are not operating at the moment. They are waiting for agreements to be adjusted, and that is already causing losses,” he said. Nkurikiye criticised the timing of the price adjustments, noting that fuel and transport tariff changes are sometimes implemented with little notice. “There should be prior communication before enforcement. Announcing changes that take effect the next day makes it difficult for stakeholders to adjust or renegotiate contracts,” he said. He added that while small fuel price increases may have limited impact, a sharp rise like the recent Rwf257 per litre significantly disrupts operations and should be communicated in advance. “If agreements are made and then prices change while drivers are already on the way to the port, it creates unexpected costs for transporters,” he said. He warned that if such costs are not adjusted, transporters risk incurring major losses. For instance, a fleet handling 20 containers could face losses of up to $6,000 if rates are not revised, prompting some operators to suspend services. Given the current situation, he said, some disputes could escalate to court as parties fail to reach agreements.
