Chinese-owned retail shop, China Square, at Kenyatta University in Nairobi. [Jenipher Wachie, Standard]

The outburst by Trade Cabinet Secretary Moses Kuria against a Chinese-owned retail shop in Nairobi has raised some weighty issues on Kenya's business environment.

It is unlikely that evicting the Chinese entreprenuer from the mall at Kenyatta University and replacing him with local traders will bring a lasting solution.

Kenya supports free enterprise and this means that anyone, including foreigners, is free to set up legitimate business as long as they follow the requisite procedures. Any government move that seems protectionist does not help the country's efforts to attract foreign investment.

On the other hand, the government has a duty to ensure a stable operating environment for all businesses. This includes curbing any practices that may seem designed to cut out competition because this could eventually lead to monopolistic trading to the disadvantage of the consumer.

The claim that China Square will drive Kenyan traders out of business needs to be addressed, not as a solitary case but as a wider issue about imports and foreign investment.

As Trade Cabinet Secretary, it should concern Mr Kuria that the Chinese entrepreneur can buy goods from his country, pass them through customs and pay all the requisite taxes and still sell the merchandise at less than half what local traders are selling.

Trade Cabinet Secretary Moses Kuria. [Wilberforce Okwiri, Standard]

Are local traders making huge profits by exploiting Kenyans? Is the owner of China Square sourcing the goods at preferential prices back home, which gives him an unfair advantage over Kenyan traders, or is he going for smaller profit? What is the quality of the goods sold at China Square? These are the questions that should preoccupy Mr Kuria's mind.

In a liberalised economy, businesses are free to fix the prices of their products and amid high cost of living, Kenyans are keen to make a saving where they can.

There is also the concern for local manufacturing. Many of the goods being sold at China Square - clothes, household goods et cetera - are also produced in Kenya.

If the imports are priced substantially lower than the locally produced products, this could work against the Kenyan industry, which the government should support, especially as it strives to create jobs for the hundreds of thousands of unemployed youths.

This has been a problem for years now and is not a creation of China Square, it needs to be sorted out.

There is a lot of heat from local traders who feel that the Chinese business has invaded their turf. Mr Kuria needs to clarify if Kenyans have the same freedom to set up businesses in China. Would a Kenyan be able to open an avocado shop in China, for instance? Trade is a sensitive issue globally as each country seeks to have an upper hand.

The issue at hand needs to be addressed soberly to safeguard the interests of the Chinese trader who has been given the green light to do business in the country, the interests of Kenyan traders who feel short-changed and those of the general public and their government. Mr Kuria should do what is right and just.