New Logistics Business Model Launches in SA and ‘Hello Tractor’ Operates in Kenya

California-based mobility and urban services platform inDrive has launched a name-your-price freight service in SA, targeting small businesses and individuals. InDrive is already active as a set-your-price e-hailing service in the country.  inDrive.Freight’s operations have now been launched in Cape Town and Johannesburg, with a programme to expand the offering to more cities by the end of the year. The company promises the delivery of small parcels or large shipments of non-liquid freight, varying from 20 kg to 20 000 kg.

Hello Tractor, a Kenya-based smartphone app that connects small-scale farmers with nearby tractor owners, was launched to allow smallholder farmers to access farm equipment when they need it rather than having to rely on manpower and mules or donkeys to plough and harvest. According to The Economist, in sub-Saharan Africa, 60% of crops are ploughed by hand, which in turn impacts the productivity of farmers and eventual crop yield. This is why over 220m farmers in Africa live on less than $2 a day. Smallholder farmers do not have the machinery they need to fully cultivate their land. Tractors and farm equipment are expensive, and financing is virtually non-existent. Therefore, creating an online service that allows farmers to short-term rent farm equipment is a good business model.