By Adonis Byemelwa
The
launch of the Standard Gauge Railway (SGR) between Dar es Salaam and Dodoma
marks a transformative milestone for Tanzania’s transportation sector. This
development introduces new opportunities for improved connectivity and economic
growth while challenging existing modes of transport to innovate and adapt.
The
SGR train promises to revolutionize travel between Dar es Salaam and Dodoma.
Covering the distance in just about three hours, it offers a significant
reduction in travel time compared to buses, which take between eight and ten
hours.
This
efficiency benefits personal and business travelers, providing flexibility,
better use of time, and facilitating the movement of people, thereby boosting
business activities. Faster travel times can expand business reach, improve
supply chain efficiency, and open new markets.
Increased tourist footfall can boost local
businesses and hospitality services, while the operation and maintenance of the
SGR train create job opportunities, contributing to the local economy.
The
aviation sector, which offers the fastest travel option between Dar es Salaam
and Dodoma (45 minutes to one hour), now faces competition from the SGR train.
However, this competition can drive improvement and growth within the sector.
Air Tanzania Company Limited (ATCL) CEO,
Ladislaus Matindi, believes the new transportation channel brings positive
competition. “We still believe our air travelers will remain loyal. Yes, it’s a
new competitor close to our service, especially in terms of time; but it cannot
match us because our flights take 45 minutes to one hour, providing our
customers with a faster option.”
Experts
suggest airlines might reconsider pricing strategies to remain competitive,
enhance customer experiences, and offer better services. There is potential for
intermodal collaboration, such as integrated ticketing systems, providing
seamless travel options for passengers connecting to flights after their train
journey.
Matindi
noted the opportunity for discussion with their Tanzania Railway Corporation
(TRC) counterparts to make it easier for customers. “If they come from Dodoma
by train en route to Mwanza, they can just proceed with the same ticket without
being bothered.”
Aviation
expert Upendo Gabby, “I believe those who might be affected are luxury bus
owners, as their customers may opt for the train. But for air travel, I believe
its customers will continue to be very loyal due to its prestige.”
Buses
have long been the preferred mode of transport for many travelers between Dar
es Salaam Dodoma and other regions. However, the SGR train necessitates
adaptation for bus operators to remain relevant. The Tanzania Bus Owners
Association (Taboa) Secretary General, Priscus John, highlighted, “The impact
is massive; it is greatly affecting us already.”
He
lamented, “We need to be looked at in terms of taxes because we also provide
employment and contribute significantly to our country's development.”
According to him, over 200 buses have already been affected, risking the jobs
of 400 drivers and conductors. Fuel stations servicing these buses are also
feeling the impact.
Passengers aboard the Tanzania electric train for its test drive from Dar es Salaam to Dodoma on April 22, 2024.Photo: Courtesy
Ticket
agents for popular buses (Shabiby, ABC, and BM) in Dodoma have reported a
significant drop in customers. “Indeed, the number of passengers has suddenly
decreased, although not drastically,” says one of the Shabiby bus agents. “For
the first time, we are allowing buses to leave the station without enough
passengers,” she said. A Kimbinyiko agent mentioned, “We are already feeling
the pinch of this train. Previously, tickets were always in high demand, but
now they remain unsold, and customers can get a bus ticket at any time, unlike
before.”
Transportation
expert Gilbert Kateisaki suggested that bus operators might target
budget-conscious travelers who prioritize cost over time, offering lower fares
compared to the train and flights. “They can also diversify their services,
such as luxury buses with added amenities or focusing on routes not covered by
the SGR.
Improving services, like offering free Wi-Fi,
more comfortable seating, and better customer service, is another strategy,”
she suggested. Additionally, she noted, that there is potential for
partnerships with SGR services for last-mile connectivity to passengers
traveling to areas not directly served by the train.
Kateisaki
said collaborations between the railway and aviation sectors can enhance
intermodal transport, offering seamless travel experiences, while bus operators
can explore niche markets and improve service quality to stay competitive.
“It's a good moment that all stakeholders
should work together to create a robust and competitive transportation
ecosystem, ultimately benefiting the people and the economy of Tanzania.” She
said, that with strategic adaptations and collaborations, the transportation
sector can evolve to provide better services and ensure sustainable growth for
all stakeholders involved.
Looking
at other countries, there are examples of how transportation niches have
managed to coexist and thrive. In Japan, the Shinkansen (bullet train) runs in
harmony with an extensive network of buses and flights, providing comprehensive
travel options for passengers.
The
integration of these services through unified ticketing systems and coordinated
schedules ensures that passengers have a seamless travel experience, enhancing
overall connectivity. Similarly, in Europe, high-speed trains coexist with
low-cost airlines and bus services, each catering to different segments of the
market. This balance ensures that travelers have multiple options depending on
their preferences for cost, speed, and convenience.
With
strategic adaptations and collaborations, Tanzania's transportation sector is
set for evolution and sustainable growth. The construction of the SGR, a key
flagship project of the Third Five-Year National Development Plan 2021/22 –
2025/26 (FYDP III), is set to enhance regional connectivity, linking Tanzania
with its landlocked neighbors and transforming the nation's transport
landscape.