Africa is Moving
2014-02-07
One of the main messages of the recent conference Looking Ahead- The Outlook for Africa 2014 was that Africa is moving and that KwaZulu-Natal needs to assess what it is doing to keep up with the pace.
Hosted by Africa Frontier s Advisory at the Moses Mabhida Stadium on the 30 January 2014, much valuable insight was given into both the business opportunities and restraints on the continent of Africa. The general consensus was that there is much potential for long term growth within the continent.
The eye-opening quiz -how well do you know Africa? ─ resulted in many delegates resorting to Google, which well highlighted the general lack of knowledge about Africa’s geography, politics and economy. The message here was that Africa has opportunity and that the continent is rising but it is necessary to have an understanding of its people, the market place and its drivers in order to produce what Africa wants.
Africa has a vast, constantly growing population. This growth is coupled with a desire for consumer goods that are packaged and branded for the wider African market rather than assuming that established branding is competitive. Sectors that have opportunity include manufacturing, fashion and clothing, fabrication of rudimentary products such as farming implements, and dairy. Entrepreneurs in the private sector, if they are interested in long term business growth, should look to position themselves to do business in Africa. However, any potential investors should be aware of political risks within some countries. In order to offset the risk, business partners in countries of operation should be carefully sought and prudently selected.
KwaZulu-Natal has long been regarded as a springboard into Africa and an important facet of the global value chain. Durban is the busiest port on the continent and Richards Bay manages the biggest volumes of cargo in South Africa. The new DubeTrade Port through its vision of an aerotropolis containing the King Shaka International Airport, a cargo terminal, warehousing, offices, a retail sector, hotels, and an agricultural area is actively positioning itself a catalyst for global trade. The overall goal is that through the ports and the aerotropolis, KwaZulu-Natal will become a major transport hub in Africa. However, much has to be accomplished in terms of logistics, the provision of services and the improvement of infrastructure before this objective is realised. Other projects underway in Africa are also cause for concern as they may overtake this vision through the continued high tarrifs levied and port inefficiencies experienced.
The informative and thought provoking programme included presentations and forum discussions by Africa Frontier s Advisory CEO, Dr Martyn Davies ; Professor Jonathon Foster-Pedley, Dean and Director, Henley Business School-Africa; Peter Draper, Senior Research Fellow South African Institute of International affairs, Neville Matjie, General Manager Trade and Investment; Colin Grieve Chief Representative Officer AfrAsia Bank, South Africa; Dr Clive Coetzee General Manager: infrastructure Management and Economic Services, KZN Provincial Treasury; Saxen van Coller, CEO Dube TradePort ; Cas Coovadia Managing Director, Banking Association of South Africa; Yolande van Wyk , Chief Executive Officer, eWallet solutions, First National Bank.