AFRICA: AN EMERGING MARKET

PRESENTED BY
AFRICA KOMMT GROUP 2008 – 2009
[SOUTHERN AFRICA]

AN INITIATIVE OF GERMAN INDUSTRIES

FOR SUB-SAHARAN AFRICA

FACILITATED BY INWENT

OCTOBER 2008
BY INWENT ILT PROGRAMME PARTICIPANTS 1
 INTRODUCTION

• Southern Africa has a population of approximately 211million.

• Southern African block is made up of Angola, Botswana, DRC,
Lesoth,Malawi, Mozambique, Madagasca,Namibia, Swaziland,
south Africa, Zambia and Zimbabwe.
• Southern Africa houses Germany’s largest trading partner in Africa
i.e. South Africa.
• The region is rich in many natural resources and a stable political
and economic climate.
 OPPORTUNITIES IN Southern Africa
. Investment Opportunities:

– We appreciate the presence of Germany companies in Southern

Africa e.g., BMW, VW, Daimler, Bayer, Siemens.
– South Africa is the biggest trading partner of Germany in Africa and
Southern African rely on SA for German products. Germany industry
may invest directly in specific countries using the same successful
supply chain networks used by South Africa into the rest of
Southern Africa.
– Germany imports raw materials from South Africa but South Africa
also sources similar resources from the rest of southern Africa. It
would be cheaper for the German industry to also consider dealing
directly with the respective countries. (Coal-Zimbabwe, Zambia,
Iron-Zimbabwe, horticultural products-Malawi, Zimbabwe,Copper-
Zambia,DR Congo,Diamond-Namibia,Botswana,Angola,Crude Oil-
Angola)

Wednesday, March 3, 2010 BY INWENT ILT PROGRAMME PARTICIPANTS 3

OPPORTUNITIES IN Southern
Africa 2
– The mobile telecommunications has been growing at fast pace in
Southern Africa and companies like Siemens may take advantage of the
growth and out compete Huwei of China which is making strides in the
market. Africa has the fastest growing mobile telecommunications
industry, with a market penetration of only 30%,the market is still growing.

– The bulk of business activities in Southern Africa is heavy industrial

mining, oil drilling and agriculture. These business processes require
heavy machinery which the German industry is well known for.
 Opportunities in Southern Africa 3
Zimbabwe Platinum, iron, coal, Angola Crude oil, petroleum
cotton, tobacco, products, sisal, coffee fish
horticulture, products
Diamonds, gold
Zambia Copper, cobalt, Botswana Diamonds, beef, coal,
horticulture, coal,
cotton
DRC Diamonds, copper, Mozambique Alminium, prones,
cobalt, crude oil, coffee electricity, cotton, sugar

South Africa Platinum, gold, iron Namibia Diamonds, Uranium,

horticultural, coal, fishing, beef
Manganese