After elections, now focus on the vital boda boda economy
Boda boda riders wait to fuel at a petrol station along Thika Road on April 11 as the country suffered a fuel shortage.
The campaigns are over. The current fad is to talk about post-election economic focus. Be that as it may, the road transport sector through the operations of two- and three-wheelers—boda boda and tuktuk, or TTWs—presents itself as a portal of multiple opportunities, including but not limited to job creation, youth empowerment and GDP growth.
This is attributable to its generous ability to create jobs for the skilled, semi-skilled and unskilled.
Even so, the boda bodas’ value chain remains underexploited—creating an obstacle to employment, which turns out to be an impediment to the bulging youth population in need of employment. The extant value chain creates avenues for value addition at various levels—sea and inland ports, manufacturing and assembly plants, wholesale and retail, routine operations, repair and disposal.
The market for motorcycles has been rapidly expanding as projected by a spontaneous increase since the zero-rating of autos below 250 cc in 2008.
Their reliability, affordability, effectiveness and efficiency is a significant unique selling point that makes them the most preferred means for short-distance commuting. There is, therefore, a need for both the national government and, especially, county governments to streamline the sector. The gains are significant enough.
To address this, several approaches come into play, and they should be done in consultation with all stakeholders to maximise gains. First, we need to promote and enhance local manufacturing of imported components, assembling of TTWs and production expansion while protecting local industries from unhealthy competition and dumping of goods in the country.
Manufacture parts
In 2017, the Motorcycle Assemblers of Kenya, Kenya Association of Manufacturers and the Ministry of Industrialization initiated a project to manufacture five out of the usually imported 290 parts of TTWs. The project is yet to be fully operationalised.
County governments need to offer targeted support to the TTWs’ transport operators by encouragement to form savings and credit cooperatives (saccos), sponsoring rider training and public awareness campaigns. It was the formation of saccos in the matatu sector that brought back sanity to the once-intractable public transport industry.
Lastly, this invites a need to fast-track, revise (on a need basis), implement and enforce NTSA regulations on the operations of motorised TTWs and the Draft National Automotive Policy, 2019. Development and strict enforcement of humane by-laws and policies are also necessary to maintain decorum and make the sector safer for everyone.
A pragmatic focus on the two- and three-wheelers has the momentum to move the economy in the right direction to a place where dreams come true.
Mr Karuti, a psychologist, is a research officer at the Meru Youth Service (MYS). [email protected].
