BARAYAN: Making Mombasa CBD a continental trade hub

It is obvious that the Mombasa central business district remains devoid of meaningful commercial activity.

In Summary
  • We need to understand some of the parameters that bring about this success.
  • The first component is the quality of the shopping experience.

In any initiative that seeks to bring about material progress to a community or a nation, there are two questions we must answer right from the beginning.

First, what are the specific outcomes we hope to achieve? Second, by what means can we create these outcomes?

Looking at the Kenya coast, it is obvious that the Mombasa central business district remains devoid of meaningful commercial activity, especially after 6pm, despite being a leading regional port city.

Also obvious is that the Mombasa county government wishes to change this, and bring vibrancy and an 18-hour economy, with Dubai being a benchmark.

How can this be achieved?

We need to understand some of the parameters that bring about this success. The first component is the quality of the shopping experience. The second component is competitive prices commensurate with quality, and a very exhaustive variety of items to select from.

In Dubai, which is promoted as the shopping capital of the world, the hostile outdoor temperatures during the day average not less than 32⁰C, which is 5⁰C above human comfort. Massive, air-conditioned shopping malls have been the way to go for shoppers’ comfort.

In Mombasa, however, with average daytime temperature at 26⁰C, which is within human comfort, open street shopping is possible. By introducing vertical parking and designated nodes for commuters, an estimated 15km of pedestrian shopping streets can be created off the main eight streets of the CBD. 

Physical safety and security, ever present in Dubai, is not assured in Mombasa due to unchecked criminal elements. The solution to this lies in major investment in CCTV systems and increased numbers of security personnel.

Just these two developments alone would go a long way towards encouraging the evolution of the Mombasa CBD into an 18-hour economy.

However, Dubai does not manufacture much. The merchandise on sale needs to be brought there.

Yiwu, China, markets itself as The Wholesale Capital of the World. Aggregation of merchandise from various producers in China is done at Yiwu International Trade City.

There are five sectors of a total 4 million square metres where 400,000 products are on display for wholesale only. The success of Yiwu, which is not a port city and has no direct nonstop international flight, is efficient logistics. The total area this facility occupies is equivalent to two per cent of Mombasa county's total area. 

The Port of Mombasa is the most efficient in the region and has experienced logistics facilities to support the storage, clearing, handling and transportation of cargo, hence product aggregation is possible as is a flawless supply chain. 

The 21 or so Container Freight Stations domiciled in Mombasa working at under 60 per cent capacity would be ideal for this as the total underused development spaces are estimated at 100 acres. There is also the Moi International Airport, which has non-stop passenger flights to 19 destinations in eight countries. 

Lastly, we also need to understand the two types of shoppers: the tourist and the entrepreneurial shoppers.

The tourist shopper from Africa typically is from the middle- and high-income bracket buying for their personal use luxury products like designer fashions, cosmetics, jewellery and watches, which may not be readily available back home. Annually there are an estimated 68,600 people from the continent visiting Dubai spending between $2,000 (Sh270,000) and $10,000 (Sh135,000) on shopping.

The entrepreneurial shopper from Africa is however different as their objective is maximisation of profit. They prefer to buy in manufacturing or aggregating countries like China, Malaysia, Turkey and Dubai.

Statistics indicate that annually 145,500 people from Africa travel to China, 95 per cent of whom are entrepreneurs shopping for items to sell back home. Each of the shoppers spends an average of $2,500 (Sh337,500) on shopping per visit.

If Mombasa was able to attract just 10 per cent of the total number of shoppers and buyers from Africa travelling to Dubai and China and have them spend $2,500 (Sh337,500) per trip on shopping, the total expenditure would be equivalent to 50 per cent of Mombasa's current GDP.

To attain this vibrancy that makes Mombasa a regional shopping capital, resolve similar to what President Dr William Ruto has shown in advancing his agenda would be required of the governor of Mombasa.

And so, we ask: Is he up to the task? 

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