- The brutal truth is that Kenya cannot become a first-world nation unless we improve our industrial capability.
At the time of independence in 1963, Kenya’s Gross Domestic Product (GDP) was $926.6 million, while Singapore's was just $917.6 million. Nowadays, Singapore's GDP is $466.8 billion, while Kenya's is now $113.4 billion.
One may ask, when did the rubber meet the road? I will tell you this: the answer is industrialization. The trajectories of both countries will illuminate where we went wrong as a nation.
At independence, Kenya chose the agricultural sector as the backbone of its economy with less emphasis on the industrial sector, while Singapore chose export-oriented Industrialization, which focused on attracting foreign investment and developing export-oriented industries such as electronics like Hewlett Packard (HP) and petrochemical industry like Shell, among others.
To get back to basics, Industrialization is the process by which economies transition from agrarian based systems to manufacturing and industrial production. This in part brings about societies that evolve economies and cultures hence driving technological advancements, urbanization and improved standards of living.
At the moment, Agriculture is the most significant contributor to our economy in the second quarter of 2024. The sector added roughly $8 billion U.S. dollars, approximately KSh 1.03 trillion. This thereby concludes that Kenya economically is still in the agrarian revolution.
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The brutal truth is that Kenya cannot be a first-world nation if we do not improve our industrial capability. Let us examine examples of industrialization from around the world to better understand its profound impact and the lessons we can learn to achieve sustainable development.
The birth of industrialization began in 18th-century Britain. James Watt's improvements on the steam engine made it possible for the machine to be practical for use in factories, mines, and transportation. They also mechanized textile production and improvement in iron-making techniques revolutionized productivity tenfold.
Access to raw materials within its borders, like coal and iron ore. With all these advancements, cities sprung up like Liverpool, Birmingham, and Manchester. Factories sprung up, leading to rural-to-urban migration in search of jobs. With that, industrialization spread to other parts of Europe.
The U.S.A. soon followed suit in the 19th and 20th centuries. The expansion of railway transport, discovery of oil, and rise in steel production under the guise of Andrew Carnegie transformed the country into an industrial giant. Henry Ford introduced the Ford Motor Company, which developed assembly-line production that transformed the manufacturing of automobiles, making them affordable.
Japan, despite facing considerable damage after the Second World War and having limited natural resources, was able to have a thriving electronics and automobile industry.
People like Kiichiro Toyoda, who founded Toyota, and Akio Morata, with Masaru Ibuka, founded Sony, an electronics company that created the home videotape recorder.
By the 1980s, Japan had become the second-largest economy, a testament to resilience and strategic industrialization. They also developed in textile, shipbuilding and steel.
Lastly, in China, the Chinese Communist Party was under the leadership of Mao Zedong. He prioritized self-reliant industrial development. The country focused on heavy industries like steel, coal, and machinery. Other industries they delved into were automobiles, steel, and construction.
China’s journey punctuates how targeted policies, global trade and long-term planning can transform a nation.
What can we, as Kenyans, learn from these superpowers? These countries illustrate that each journey to industrialization is unique and shaped by historical, cultural, and economic contexts.
Kenya is far more blessed with natural resources like coal and oil. We have already shown our brilliance with the mobile money market like M-Pesa. We are already moving in the right direction in technological advancements. If we move with speed in advancing our textile, automobile, steel, and construction, it would mean everything to us.
The country is on a continent with a population of 1.5 billion people and a ready market. If we have made Agriculture this efficient, imagine the possibilities we could gain from industrialization.
