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Historique
The firm was established as a partnership in Zanzibar in 1875, to manage the East African mail contract granted to the British India Steam Navigation Company in 1872. Archibald Smith had earlier worked for W. MacKinnon and Company (CLC/B/123-57) in Glasgow; Edmund N. MacKenzie had had experience in London of the operations of Gray, Dawes and Company (CLC/B/123-30). From the first, Gray, Dawes and Company enjoyed strong links with the firm, having invested heavily in its launch.
As agents of the British India Steam Navigation Company, Smith, MacKenzie and Company were soon involved in the import and export of goods carried alongside the mail. BI ships brought in British and British Indian goods, rice and cotton among them.
Locally produced exports included cloves, chillies, coconuts, copra and ivory. Agency work extended to include the representation of the Union Steam Navigation Company, Lloyd's, Reuters and several British insurance companies. The firm also furnished the expeditionary and military needs of the Imperial British East Africa Company, and, from its formation in 1895, the East Africa Protectorate (covering the territory of modern Kenya and Tanzania, excluding Zanzibar). It was further responsible for supplying coal to British and German naval vessels in the area; an activity which proved especially significant during World War One. WJW Nicol joined the staff in Zanzibar as an assistant in 1887, and became a partner in 1890.
Between 1916 and 1923, new offices were opened in Nairobi, Kisumu, Kampala, Dar es Salaam, Tanga and Lindi. Also at this time, the firm's shipping activity was hived off into a subsidiary, the African Wharfage Company Limited. This company soon established its own subsidiaries, including a branch in Tanganyika; the African Marine and General Engineering Company Limited; and the Kenya Landing and Shipping Company Limited.
In 1936, the firm became Smith, MacKenzie and Company Limited, registered in Nairobi with its main East African office in Mombasa. However, it was not until 1950 that the direction of operations moved wholesale to Kenya.
In the preparations for the launching of the Inchcape group in 1958 (see Inchcape Group introductory note), Gray, Dawes and Company Limited increased its shareholding in the firm to 53.03%. A further 29% holding was purchased by the group in 1964.