africon conducts largest IAM automotive study on the Nigerian market

africon conducted a major Nigeria research project for a German supplier of IAM automotive engine parts. The study – one of the most in-depth africon studies in Nigeria so far – evaluated the entire value chain of the automotive industry, the diesel generator business, the market for agricultural machinery as well as construction machinery in the country.

All areas suffer from a share of around 60-70% of fake parts in the aftermarket. Nevertheless, the numbers are huge: driven by mainly 12.5m motor vehicles and 400,000 diesel generators, the engine spare parts market in Nigeria is an industry of several hundred million dollars.

africon organizes delegation trip to Tanzania

After a successful trip to Kenya in 2015 with our client The State Ministry of Rhineland-Palatinate for Economic Affairs, Traffic, Agriculture and Viniculture, africon had this year the pleasure to organize a business delegation to Tanzania.

Nine companies from various industrial sectors participated in the three-day trip to Dar es Salaam in order to get to know the general business environment and explore the potential for their own products and services.

The africon- team consisting of Lena Schwoerer and Aneth Herman organized an excellent program with 51 personal meetings for the delegates with individually and carefully selected potential clients and partners for the participating companies among which we had a wine exporter, different machine manufacturers as well as producers of feed additives, tools and special chemicals.

During the trip, it was a special honor for the business delegation to be received by Mr Mohammed Dewji, the Group CEO and president of the MeTL Group which is Tanzania’s largest homegrown company with revenues of more than $1.5 billion, employing more than 24,000 people and with a presence in 12 countries in Africa.

To make the program round we created also some space for networking with other German companies and institutions already present in Tanzania, for example during a visit to the company Achelis (Tanzania) Ltd. and the dinner reception of the Deputy Head of Mission of the Embassy of the Federal Republic of Germany which supported us together with the Tanzanian German Business Center during the trip.

The feedback of all companies as well as our client, The State Ministry, was very positive and we could once again prove how our excellent business expertise and understanding of the local markets together with a hands-on-approach and professional organization on the ground can bring added-value to German companies.


2_delegation1    Delegation from Rhineland-Palatinate visiting a plant in Tanzania

africon-Team participates in numerous conferences as speaker and participant in discussions

Marc Zander, Managing Partner & CEO of africon GmbH, has been invited to numerous conferences during autumn 2016 as a speaker and participant in discussions on African economy. Amongst others, he participated in the conference “Universities, Entrepreneurship and Enterprise Development in Africa” in Sankt Augustin which was organized by the University Bonn-Rhein-Sieg. In Berlin, Mr Zander spoke on the “African Tech Entrepreneurship Conference”. With this recent focus on young initiatives in African economy the africon team got insights into a modern, energetic and highly inspiring part of the African continent.

Slide of the month (SOTM) September. Construction machinery imports to Nigeria

The slide of the month September, which was created during a large IAM automotive and off-highway project, shows a drastic decrease of construction machinery imports to Nigeria since 2014. Close to the last presented slide about vehicle inflow to Nigeria, statistics show an important downwards trend of the automotive sector in general. The number of imports of construction machinery decreased by 65% between 2013 and 2015. A positive change is not foreseen for the ongoing year.

However, africon predicts a large market for spare parts in construction soon, before new sales will rise in 2018. Investors might find interesting potentials in this area while detailed analysis of the formal and informal markets as much as insights into local dynamics are recommended.