Concerns Mount Over Wajose Smartwear Impact on Small Traders Following Eldoret Launch

 



Concerns have emerged from sections of Eldoret City’s business community following the official opening of Wajose Smartwear, with local leaders warning that allowing large enterprises to operate both wholesale and retail could undermine small-scale businesses and threaten livelihoods.

The concerns come shortly after Uasin Gishu Governor Jonathan Chelilim Bii, Kapseret Member of Parliament Oscar Sudi, Rift Valley MP Joseph Wainaina, and other leaders officiated the opening of the new Wajose Smartwear outlet in the heart of Eldoret City. The launch was part of a broader push by the county government to attract investment, boost the local economy, and position Eldoret as a business and innovation hub.

Huruma Ward MCA Aspirant Harun  Maina Mwega, , welcomed the inflow of investors but expressed concern over the scale and licensing of large businesses operating both as wholesalers and retailers. He argued that such operations could “kill small businesses” that form the backbone of Eldoret’s local economy.

“We appreciate that investors are coming into Eldoret City, and we are grateful for opportunities to grow. But allowing large businesses like Wajose Smartwear to operate both wholesale and retail will harm small traders who rely on fair competition to survive,” Harun said.

He urged the county government, led by Governor Bii, to strictly regulate business licenses so that large enterprises are limited to wholesale operations, allowing small retailers to buy stock and continue serving consumers without being undercut by large corporations.

Harun raised further concerns over the county’s plan to start enforcing business license payments from March 2025. He questioned how small traders would generate the funds necessary to meet these obligations if their operations are undermined by large-scale competitors.

“It is sad that come March 2025, the county will begin seeking business licenses from small traders, yet their businesses are being restricted by competition from large investors. Where will they get the money?” he asked, stressing that current practices threaten the survival of small enterprises.

He also criticized county leaders for prioritizing large investors at the expense of local traders, arguing that such policies contradict the government’s bottom-up economic model, which is meant to empower ordinary citizens and small-scale entrepreneurs.

Harun noted that Eldoret City has over 1,000 retailers whose livelihoods depend on fair market competition. He warned that if licensing rules are not clarified, small traders may be forced to relocate to other towns, scale down their operations, or close completely, which would affect not only livelihoods but also county revenue collection.

He further highlighted the economic ripple effect, noting that large wholesale-retail operations disrupt the supply chain for smaller traders, many of whom rely on wholesale outlets to stock goods for resale. “When a large business operates both wholesale and retail, the smaller businesses cannot compete, and the whole ecosystem suffers,” he said.

Harun called for a balanced approach where investors are welcomed but local business regulations are designed to ensure that small and medium-sized enterprises (SMEs) can thrive alongside large companies. He suggested a consultative process involving county officials, traders, and ward leaders to develop clear guidelines distinguishing wholesale from retail operations.

“We want Eldoret City to grow and attract investment, but growth must be inclusive. Wholesalers should remain wholesalers, and retailers should remain retailers. That way, everyone can grow, the economy will be stronger, and we will create a truly investor-friendly environment without harming our local traders,” Harun emphasized.

He concluded by urging the county government to act quickly to prevent conflict between large businesses and small traders, calling for clear communication, fair licensing, and protective measures that uphold the city’s bottom-up development agenda.

The concerns come amid increasing investments in Eldoret City, which the county government has been promoting as a vibrant business hub with streamlined services, tax incentives, and investor-friendly reforms. While the launch of Wajose Smartwear was hailed as a milestone for investment, the debate highlights the delicate balance between attracting large investors and protecting the interests of small-scale traders who are critical to the local economy.

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