Barbara's literature - THE BICYCLE SUPPLY SITUATION: How to make the wheels go round

	Barbara Gruehl Kipke THE BICYCLE SUPPLY SITUATION: How to make the wheels go round in preparation of Nov. 19 - Dec. 8, 1995 stay in Tanzania and Kenya
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	Introduction: As part of the so-called Non-Motorized Urban Transport Component in Sub-Saharan Africa, one of the components is of course the bicycle - or better said the cyclist and his or her needs. The needs of cyclists are quite different from those of the pedestrian, where there are no vehicle requirements. In the same manner, hand cart users who transport goods for example have quite different concerns. In order for cycling to be able to take off properly, it is felt that the bicycle supply situation should be looked at in particular. This contribution is therefore aimed at bicycle product managers¹ who aim at increasing the modal split in favour of cycling. The question has to be addressed as to who should become a bicycle product manager? Is it a member of the Pilot Project Unit , a national team member or an employee of the Municipality or a combination of the three? Basis for the bicycle product manager's mandate is the decision by the transport planning authority that the cyclist modal share is to increase to a certain level (for eg. from 1% to 5% by the year 2000). It is important to have polideal support for this change in direction since there previously was no cycling policy. Discussions in both Kenya and Tanzania have shown that in both countries there is the necessary support to go forward. Some of the policy decisions are not easy for politicians to make, such as whether to subsidize the sustainable transport sector or reallocate road space in favour of pedestrians, cyclists and hand carts. In Dar es Salaam according to the Cowiconsult Report of 1983², cyclists made up a mere 0,5% of the modal split. In Nairobi, cycling represented only one per cent of the modal split in 1994³. First Interviews in Eldoret came up with a 2-10% modal split of cycling to work⁴. A provisional traffic count in Morogoro had a 31% modal split for cycling on one route⁵. We can therefore basically talk about an introduction/renaissance of cycling in Dar es Salaam, Nairobi and Eldoret, whereas in Morogoro it is more appropriate to talk about improvement of the situation for cylists/preservation of the valuable existing cycling⁶. In both cases, there is still potential to increase the role of cycling since the approach so far has been "laissez-faire" instead of integrating cyclists' needs into the transport planning process. The goal of my stay in Tanzania and Kenya in Nov./Dez. 1995 should be to come up with a CYCLING ACTION PLAN in all four Cities: Dar es Salaam and Morogoro, Tanzania & Nairobi and Eldoret, Kenya, based on Focus Group Discussions (FGD) with relevant groups such as: cyclists/potential cyclists, tricycle owners/users in Dar es Salaam, bicycle production company, bicycle sales outlets, bicycle repairers, bicycle rental outlets⁷, Government tax department and politicians, insurance companies (See Appendix 1). The bicycle suppliers should be encouraged to form a BICYCLE SUPPLIERS FORUM to lobbt' for their (and cyclists) interests. As can be seen on the cover page of this contribution, there are many aspects that have to be covered to "make the wheels go round". The topics are arranged below according to the 4 P's: Product, Price, Place (Distribution Channels), Promotion⁸, and are listed below as they appear on the cover page: PRODUCT Bicycle Manufacture/Bicyle Import Tanzania had a bicycle production facility as early as 1966 (NABICO)⁹. Times have not always been rosy for this national industry. Even today, bicycles produced locally are more expensive than those imported of similar quality. This implies that a national bicycle industry can only survive at present if subsidized. Otherwise import taxes have to be imposed on imported bicycles making bicycles more expensive to the final consumer. This becomes a political decision depending on whether developing an industrial capacity has higher priority to the national government. Strangely enough, supporting a local manufacturing capacity can not always be seen as a pro-cycling standpoint - in the past, to protect the local industry other imported bicycles were kept out of the country - to the detriment of cycling but in support of local manufacturing. Kenya, on the other hand, does not have a local bicycle manufacturing company at present. A small production facility used to exist in Mombasa, but has since closed down¹⁰.There have been recent discussions to open up an All-Terrain Bike (ATB) production facility¹¹. It would be interesting to find out what became of it. In general, it seems that Kenya and Tanzania suffer from low economies of scale and high prices for basic inputs such as energy prices in comparison to the Major bicycle-producers in India and China. If it is decided that bicycles should be imported rather than manufactured locally, it is important to ensure that sufficient bicycle import licenses are made available. In the saure manner, foreign exchange allotments for bicycle Imports should be made available in sufficient quantities. Both locally manufactured and imported bicycles need to reach a Minimum quality standard - including the assembly of Completely-knocked Down (CKD) bicycles to an acceptable standard. Bicycle Types a) Standard (black mamba bicycles) and All Terrain Bikes (ATB) -Different bicycle types should be part of the the city street picture if possible because it suggests that different market segments¹² have been reached effectively. This is important to overcome the bicycles "poor man's vehicle" image. -Exotic bicycles: It may be useful to introduce a few exotic bicycles into the pilot areas to arouse interest. For example, a cycle ambulance would receive attention in Temeke, Dar es Salaam. Residents there felt smooth roads for motorized vehicles were necessary for pregnant women in labour. The cycle ambulance would provide them wich an alternative. -It should be discussed which level of diversity is considered desirable versus how that affects efforts to standardize spare parts. b) Ladies' or gents' bicycles -Ladies' bicycles are somewhat less sturdy than gents' bikes. In Cities, however, bicycles are mainly used for personal transport rather than for extreme loading as is the case in rural areas. The aim should be to have at least half of the bicycles in the area ladies' bicycles. UNICEF in Tanzania even influenced NABICO to Start producing ladies' models when they bought ladies bicycles and gents bicycles in equal quantities. One could even go a step further and say only ladies' bicycles should be encouraged because they can be used by both sexes (similar to Hanoi, Vietnam¹³). This would reduce spare parts requirements. c) Trailers Trailers are useful when carrying loads over 50 kg. The problem with trailers is that they are still very expensive - a Small trailer in Dar es Salaam cost as much as buying a second bicycle. A bicycle is, however, more flexible as it can be used for transporting people as well as goods. It is likely that people would prefer two bicycles to a bicycle with trailer. The cost of tricycles in Dar (similar to those in use in China) needs to be determined since they can carry considerably greater loads and are more comparable to hand carts. Bicycle Accessories Planning for bicycle accessories should go hand in hand with making sure bicycles are available in the pilot areas. Bicycles need appropriate lighting if they are to be used at night. Bicycles need locks if unguarded parking facilities are to be made available. Women need carrying facilities for their children (which I have not Seen in Tanzania nor Kenya¹⁴). To my knowledge, bells are Standard equipment on bicycles (although some "fortified" their bells). The question of whether bicycle helmets should be introduced should be discussed. Infrastructure Detailed analysis and recommendations are to be found in reports from the "engineering stream". When talking to Nairobi and Dar residents, they say they want separate bicycle paths. They do not feel comfortable together with motorists. It is true that for beginners, a separate cycling path is a much more attractive environment to take up cycling. Slow cyclists feel more comfortable on a separate route rather than on a road together with motorists. Bicycle Theft/Bicycle Parking Bicycle theft can be a substantial detriment to cycling. It makes people feel bad about their bicycle -it is associated with potential loss. More importantly, it makes it an expensive proposition to own a bicycle. Bicycles can already be Stolen while in use. Bicycle routes have to be examined to ensure there are no "black Spots" in terms of bicycle theft along cycling routes. Appropriate bicycle parking facilities reduce the likelihood of bicycle theft. Bicycle parking has to be available both at home and at destination locations. It can be either unguarded or guarded parking facilities. Guarded parking facilities have the advantage that they oller employment opportunities. Both Ouagadougou, Burkina Faso and China had guarded bicycle parking facilities. In Cuba some guarded parking facilities are open 24 hours a day. At home locations, one has to find solutions for those who live in cramped quarters. One solution may be bundling bicycle parking. PRICE Bicycle Prices It is useful to compare local prices of bicycles to the prices paid internationally¹⁵ (Appendix 2). Bicycle prices should also be compared to monthly income levels. Standard bicycles in Kenya cost 2500-3500 KS in 1986¹⁶. In 1993, a lady's Phoenix bicycle cost 5000 KS¹⁷.In 1993, a new Tanzania-made Swala bicycle cost 21000 TS while a new Flying Pigeon imported from China cost 48000 TS¹⁸. If bicycle prices are high, it is useful to analyse what makes up the price of a bicycle to the final consumer. Ladies bicycles should be available at the same price as gents bicycles. It should be looked into if the price of bicycle trailers could be reduced. Credit Schemes Credit schemes are important for those lower-income groups who could not otherwise afford to buy such a vehicle. A bicycle is quite an investment to lower-income residents, even if it is less expensive than public transport in the long run. The main questions that arise wich regard to a credit scheme are-. Who will finance the credit scheme? It can either come from the government (eg. Cuba) or banking institutions etc. Who will overlook the credit schemes? for eg. the credit scheme could be managed by: employers (eg. El Salvador), the bank, a bicycle production company, a bicycle sales outlet (eg. Bogota, Columbia), a womens' group etc. Who will be the target group(s)? Income range (what about employees in the informal sector?) Gender Age What about downpayment/security? What will the payback period be? Will there be a maximum limit regarding bicycle price? And why? There is no reason to set price ceilings on bicycle credit schemes that leave out ATBs. More expensive cars are also financed so why should not an intermediary cost item be financed by such schemes. What will the interest rate be? What happens to bad debts? Refer to Appendix 3 to compare other credit schemes. It is very important to give detailed thought to the implementation of a credit scheme. Credit schemes have the potential to be misused. Bicycles may be purchased via the credit scheme, but sent to the rural areas for example. Due to the low capital requirement per credit, this type of scheme is relatively unattractive in terms of bureaucracy/loan. Perhaps the famous Kenyan "harambee" saving societies can serve as an example. More detailed Information on how harambees function should be collected. Perhaps credit schemes could be offered to bicycle rental outlets. Bicycle Registration Bicycle registration can have both advantages and disadvantages: The advantages are that registration provides information an the numbers of bicycles actually in use in a city. Bicycle registration can help in cases of bicycle theft. The disadvantages are that it can be a hurdle for someone to commence cycling. It has sometimes been a form of harassment in the past: it has taken a day of going from one department to another until one finally obtained the required sticken. It is also an additional cost factor. It should be determined what happens to cyclists who do not obtain bicycle registration. Bicycle Taxes In the past, bicycle import taxes have applied to bicycles since they were considered a "luxury good". In 1986, 80% import tax applied to bicycles and 17% sales tax in Kenya¹⁹. In 1993 in Tanzania, a bicycle retailer complained about the 10% sales tax and the difficulty in obtaining import licenses²⁰. Even today, some might say that bicycle taxes could pay for infrastructure dedicated to cyclists. A national bicycle industry may require protection. It is a policy decision whether to subsidize the sustainable transport sector. In my opinion, politicians have to be lobbied to lower or preferably drop any bicycle import taxes that may still apply to either the complete bicycle or bicycle spare parts. cycling has to be recognised as a good Substitute for comparitively more expensive motorized forms of transport. Bicycle Insurance Up until now, there is no bicycle insurance available. Insurance companies should be encouraged to offen an insurance package to give cyclists more of a sense of security. In one country for example, a bicycle credit scheure included insurance against loss of the bicycle. Insurance companies should consider their involvement a good will initiative where they should be mentioned publicly for their support as a form of advertising. PLACE Bicycle Sales Outlets There are few bicycle wholesalers of any size in Nairobi and Dar so that they can be interviewed quite easily. Most wholesalers are of Indian origin with close ties to India. In Kenya, bicycle sales outlets are run by specialists whereas in Dar, bicycles are sold by retailers who sell one item one week and another product the next. It is much harder to gain commitment from the latter, who have no special interest in the bicycle as such. A market overview of all the bicycle sales outlets should be gathered - if the number of outlets is variable over time, this should be monitored. -The bicycle sales outlets have a special role to plag since they make a living out of supplying bicycles. It is conceivable that they could be convinced to have a "mobile" sales outlet in the pilot area or a "mobile" repair unit. If a number of bicycles were bought at the same time, a special rate could be negotiated with a bicycle sales outlet. The bicycle sales outlets might be convinced to offer a hire/purchase scheme. Bicycle Rental Bicycle rental seems to be a very interesting option for those who can not afford to buy a bicycle. Bicycle rental facilities can also facilitate the process of learning how to ride a bicycle. In different areas, rental outlets have served a different clientele. In Tamale, Ghana, adult men could rent a bicycle if they were known to the bicycle rental owner. In Nairobi and Dar there were a few rental locations where one could find childrens' bikes only and as can be guessed, it was children who rented them for the fun of it. Apparently in Morogoro, bicycles are only lent out with a driver until the person is known. It should be possible to expand the number of rental outlets and see if new types of rental customers can be reached. Bicycle rental also has the advantage that bicycle maintenance can be ensured more easily. Furthermore, bicycle parking is bundled when the bicycles are not in use. In Nairobi, people who were willing to rent a bicycle to work, expressed interest in a weekly or monthly rate²¹. The issue of collateral from the person renting has to be discussed with potential bicycle rental entrepreneurs . In Nairobi, one bicycle rental outlet had all of the childrens' bicycles stolen one night. That turned the table for that entrepreneur quickly - from a profitable endeavour to a losing proposition. It might be possible to consider an insurance scheme for bicycle rental outlets. Bicycle Taxis Bicycle taxi Services are well known in India. Boda-boda bicycle taxis also exist in Uganda. In both Gases, one could say bicycle taxis are a form of bicycle rental but in this case including the driver (similar to Morogoro). They may be more expensive than mere bicycle rental, although the drivers may be able to achieve a higher level of utilisation of the vehicle by going to where the customers are, rather than waiting at a location for the customers to come to them (as is the case with bicycle rental). Bicycle Repair Of course there has to be at least one bicycle repair outlet in each pilot area. To my knowledge, this is the case in our pilot areas (although there are areas in Nairobi where one can not find a bicycle repair shop anywhere). Even though there may be a bicycle repair shop, it is to be expected that when cycling becomes more popular, more bicycle repairers will be required. It is very important in my view to have qualified repairers who have the appropriate tools - they may have to go through further education to reach Standard. It is obvious that sufficient quantities of bicycle spare parts have to be available for bicycle repairers to be able to do their job (this was not the case in Tanzania a number of years ago). PROMOTION Teaching Cycling It is important since we are talking about the introduction of cycling into an area, to ensure that teaching cycling is part of the program. An area should be chosen where there is not too much traffic (eg. Childrens' Traffic Park in Nairobi or other parks) and it is safe to cycle (eg. avoid molestation at the far end of a field in Nairobi where street children had gathered). Women and girls should be included in the teaching program since the household surveys showed that they haue less experience cycling. children in general should be targeted in the program because it is easier to learn cycling at a young age and they can be influenced more easily in their mobility habits. While learning cycling, the students should also learn the rules of the road. It will also be necessary to designate cycling teachers who should learn these teaching skills in a professional manner. Gender Issue So much the better if there was no gender issue wich relation to cycling. When asked about why they did not cycle, hardly any women said that they felt women should not cycle. More in-depth analysis of Nairobi findings indicated, however, that fewer women know how to cycle than men so that a special teaching program should be conceived for them. Furthermore, in the few bicycle-owning households that existed, none of the women in those households cycled. In Morogoro, only one cyclist out of 30-40 was a woman according to a first count in 1993²². Gender-sensitive monitoring of who is cycling should accompany the introduction of cycling into an area. In Morogoro, it should be determined why so few women cycle and how to overcome the barriers that may exist. For example, the number of ladies' bicycles on the road in Morogoro can be examined. In Eldoret women apparently used to cycle, while now it appears that cycling is no longer acceptable! More information is required to understand why such a change in social acceptability occured in Eldoret. Particularly women fall in the low-income category that can not afford to purchase a bicycle -they should therefore be included in any credit schemes. Potential Cyclists Find out who is most likely to buy a bicycle in the first round. It seemed from Focus Group Discussions (FGD) in Nairobi that the easiest group to convince to cycle are those who used to cycle before but gave up cycling due to safety concerns. Women and children are two major market segments ( approx. 75% of the population!) that should be considered as target markets. Find out for which groups a break-even could be reached by comparing their public transport costs to the cost of cycling. Perhaps school children could be involved in this exercise, as part of their mach course. Decide on which market segment(s) should be targeted²³ Cyclist/Bicycle Image Depending on how the bicycle is marketed, the bicycle/cyclist will obtain a certain image²⁴. The bicycle's image at present should be ascertained. Future positioning of the bicycle/cyclist should be discussed. For example, women and children could be targeted (approx. 75% of the population) offering them an sense of freedom, emancipation, being independant. Bicycle Promotion Bicycle promotion consists of highly visible activities to get something like a bicycle culture going. For example, bicycle promotion can include: initiate "Cities for cyclists" Project initiate cycle club Teaching cycling (See above) Get prominent citizens to demonstrate their cycling skills Bicycle parade including exotic bicycle types Bicycle races/rallies/ cyclists' demonstrations Bicycle tours of the area Competition rides: Pedestrians, matatu/dalla dalla riders and cyclists reach certain locations in the city within the shortest time possible. Closing some roads on a day to allow free cycling and walking. Painting bicycles to give them a personal touch Use of posters and jingles, bicycle Sticker, T-shirts Awards being given to the most bicycle-friendly companies Bike to work day Competition on coming up wich a Swahili ode-to-the-bicycle Song Lottery prize: a bicycle Safety awareness campaign: How to be a responsible road user Health promotion day Newspaper and TV reports on cycling activities Childrens' book on cycling Bicycle repair days (Get out the old bicycles and get them repaired) Have a second-hand market day for used bikes etc. Bicycle culture Last but not least, a bicycle culture needs to develop. It is a combination of a lot of things that can not all be quantified, but it will be a sign of success if it develops. ¹ Report No. 1, Preliminary Assessment Report, p. 17 to top ² Cowiconsult, Dar es Salaam Urban Passenger Transport Study, National Transport Corporation, Dar es Salaam, 1983 to top ³ Omwenga, M.E., Obiero, S., Malombe, J., Nairobi Action Plan for Urban Mobility and NMT, Oct. 1994, p. 3 to top ⁴ Kenya Team, NMT Workshop, Summary report and papers, Report 4B, Oct. 1993. to top ⁵ de Langen, Marius, SSATP Progress Report #1, 10/93 to top ⁶ Report No. 1, Preliminary Assessment Report, p. 67 to top ⁷ Report No. 1, Preliminary Assessment Report, p. 13 to top ⁸ Report No. 1, Preliminary Assessment Report, p. 11 to top ⁹ Report No. 1, Preliminary Assessment Report, p. 58 to top ¹⁰ bfai, Der Markt für Fahrräder-Untergeordnete Rolle im Personen- & Warentransport, 11/86, p.1 to top ¹¹ Abbot, David J. & Gold, Henry, Establishing an All Terrain Bicycle Manufacturing Facility in Kenya, CIDA, 2/1991 to top ¹² Report No. 1, Preliminary Assessment Report, p. 15 to top ¹³ Report No. 1, Preliminary Assessment Report, p. 18 to top ¹⁴ In China they make simple children-carrying aids of wire or of bambus (ie. locally-available materials) to top ¹⁵ Report No. 1, Preliminary Assessment Report, p. 55 to top ¹⁶ bfai, Der Markt für Fahrräder-Untergeordnete Rolle im Personen- & Warentransport, 11/86, p. 2 to top ¹⁷ Purchased in 7/93 to top ¹⁸ Gruehl Kipke, Barbara, Report on Initial Trip to Dar, 6/93, p. 8 to top ¹⁹ bfai, Der Markt für Fahrräder-Untergeordnete Rolle im Personen- & Warentransport, 11/86, p. to top ²⁰ Gruehl Kipke, Barbara, Report on Initial Trip to Dar, 6/93, p. 8 to top ²¹ Gruehl Kipke, Barbara, Report on Trip to Nairobi, 12/1993, p. 4 to top ²² de Langen, Marius, SSATP Progress Report #1, 10/93 to top ²³ Report No. 1, Preliminary Assessment Report, p. 15 to top ²⁴ Report No. 1, Preliminary Assessment Report, p. 16 to top
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