China against local traders: Is beef a case of dumping or competition?



 I was traveling from the countryside to Nairobi on Tuesday afternoon after attending a funeral there. Hundreds of parallel-parked vehicles could be seen along the Thika motorway as I got closer to Kenyatta University. What was happening was a mystery to me. I assumed that the university was hosting a gathering, perhaps a graduation. I didn't discover until much later via social media that everyone had gathered to China Square, which is close to KU, to shop and search around for deals. I took notice that it was a Tuesday rather than a weekend when most people go shopping.

There is a feeling that China Square had free publicity from the government before being thrust into the spotlight for all the wrong reasons.

It's safe to say that many customers who rushed to the retail fair on Tuesday were even more curious as a result. Nairobi street vendors protested the Chinese owners of the supermarket for undercutting them. They came from Nyamakima, River Road, and Gikomba. A faction of the administration that was vehemently in favor of the traders wanted the outlet shut down or at the very least, precautionary measures to "prevent dumping" to be implemented.

The Anti-Counterfeit Authority even conducted a raid on China Square and seized products worth Sh50 million as being fake. The agency reluctantly returned the goods after discovering they weren't. Under the strain, the hub had to momentarily shut down. It quickly made a successful return.

The government's opposing viewpoint claimed that the sanctions sought against China Square were unfair, anti-free enterprise, and even illegal. Discriminating against China's businesses that are operating legally would have disastrous effects on our relations with the Asian dragon. China is a significant investor in Kenya. This faction has prevailed so far. China Square is still operating. "A non-arbitrary and non-discriminatory investment environment is crucial to the healthy growth of practical bilateral relations," tweeted Wu Peng, director-general of China's Department of African Affairs, after the event. China had declared in writing

If you cared to follow the China Square tale, you couldn't help but catch a smell of the post-election politics in the area. Supporters of Azimio were making fun of the Nyamakima traders for thinking they would be shielded from unfair competition by the UDA government. The traders had denigrated Uhuru Kenyatta's government and said that it was "persecuting" them, ostensibly because it cracked down on fake goods and required that all vendors pay tax.

Duty on imported consolidated containers turned out to be one pretty complicated issue. Under pressure from the Nyamakima traders, the Uhuru government agreed to tax their combined shipment at a rate of Sh200 per kilogram.

According to reports, KRA has since revoked this privilege and will tax consolidated products similarly to traditional cargo, that is, according to the commodities' invoiced value. The import tariff burden on the traders will rise as a result. According to KRA, this will level the playing field for all importers and end tax inequities. Hahaha! It's time for prayers, traders. Many UDA supporters found the behavior of the Nyamakima dealers, especially the politicians who supported them, to be unsettling. They received criticism for engaging in "regional politics". Foreign Affairs PS Korir Sing'oei lamented that the tendency of focusing on China was destined to fail.

Then, on March 8, I received a lengthy, rambling email from a man introducing himself as "Mwana wa Mau Mau" with arrogance.

Although it seemed that his economics were unclear

Gitau, let me speak about China Square. You seem to be in favor of the notion. It appears to be a wonderful, inexpensive "mali mali" shop that will enable us to save money. Do you recall the stores in Uhuru Park and Nelson Kajuma? [KU Vice President Paul] After Wainaina is reinstated, does business at China Square improve a few days later?

Did you notice that the young Kalenjin MPs made up the entire group of supporters? The economic repercussions are as follows: it is the ideal Chinese marketing tactic. It is situated outside the entrance to the prosperous Mt. Kenya region. It will serve as a landfill.

Kenya Square doesn't exist in China. China Square is raising Sh15 million per day to develop China's industrial sector. CS [Moses] Kuria was accurate. He claimed that China Square would eliminate the entire Kenyan supply chain, which supports complementary firms and employs thousands of Kenyans. With the firing of taxman [Githii] Mburu, [China Square] also recovered.

The complete opposite of this is China Square. The Chinese manufacturing industry is the main winner because they have a ready market [here]. Sadly, Mt. Kenyans are among the victims. They will be forced out of business, and the money they make will be used to develop China. The next stage is to discover Chinese-speaking Kikuyu and Swahili sellers of items in your neighborhood. Then our villages will be invaded by fish and poultry with incredibly small eyes. They'll introduce a "dog choma," and they'll all be Chinese.

Manufacturing cannot be actualized in Kenya by Kenya Kwanza. Both [Rigathi] Gachagua and [William] Ruto studied oral literature, while Moi, who has benefited from Old Kenyatta's anthropology courses, taught them politics.

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