Slide of the month October - Trade fairs in East Africa

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As official representative of Messe Dusseldorf in East Africa we are today taking a closer look at the trade fair market in East Africa. Especially, Kenya has developed as hub for exhibitions and conferences during the past years and serves as gateway to a vital region. But also the neighbouring country are hosting various types of trade fairs from small niche events with less than 100 visitors to big exhibitions with thousands of visitors. Please do not hesitate to contact us for any details about the trade fair market in East Africa and of course the engagement of Messe Düsseldorf in the region!

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16/05/2019 1© africon GmbH 2018
Trade Fairs in East Africa
When it comes to the number and quality of trade fairs in East
Africa, Kenya takes the lead followed by Tanzania.
26%
12%
9%
9%
8%
8%
7%
7%
7%
7%
Science & Research
Categories of Trade Fairs in EA
(2017, in %)
Source:www.10times.com(2018),www.tradefairdates.com(2018).
Number of Trade Fairs in EA
(2017, in number)
12
14
40
45
120
Uganda
Rwanda
Ethiopia
Tanzania
Kenya
4 companies that host majority of the trade fairs in
East Africa.
• Expogroup (UAE)
• Grow Exhibitions (UAE)
• Informa Exhibitions (UAE)
• DMG events (UAE)
Comments
Education &
training
Power& Energy
Agriculture
Medical
Building &
Construction
IT & tech
Banking &
Finance
Business
Engineering

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For an increasingly digital world, fast internet is a key driver of growth. As anywhere else, internet speeds in Africa vary greatly between countries as this slide shows: while for example Madagascar has a download speed of around 32 Mb/s, faster than that of the UK, and countries like Ghana and South Africa have speeds of above 20 Mb/s, others still lag behind. In the project this slide stems from, a client of africon and digital services company was looking for potential future sourcing locations in Africa. africon analysed indicators such as the above to prioritize countries according to their sourcing potential for the client. Though internet speed was an important determinant, a critical factor was to also consider further KPIs, such as the cost and availability of other means of production. An analysis of a mix of various critical indicators finally led to an East African country being ranked as number one. The next target is now to jointly establish a local presence in this country for the client.

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The automotive aftermarket is one of the key sectors of opportunities in Africa – not just for Germany, but for many global automotive nations as well. However, many international automotive firms face challenges when doing business in Africa as markets function differently compared to other parts of the world – and within Africa itself. The typical route to market is one example: while consumers in markets like Nigeria tend to buy parts from retailers, consumers in some East African countries – like Uganda here – tend to go for the more convenient option of buying from workshops directly. This changes dynamics in decision making, of which automotive suppliers need to be aware to efficiently position their brands in the market.

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Slide of the month October- South Africa´s construction sector

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Slide of the month July- Africa´s largest imports 2018

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Slide of the month June- Plastic film imports Nigeria

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africon GmbH was contracted by one of our clients and we successfully conducted a research on the aluminium industry in Kenya. We found out that the key drivers of this industry are the construction and real estate sectors in Kenya. Findings revealed that these sectors have experienced positive growth rates within the last five years and are expected to expand even further. Kenya’s construction sector expanded by 8.6% and contributed approximately 6% to the country’s GDP in 2017. It is also one of the major sectors attracting foreign investors to the country. According to Deloitte’s construction trends report, Kenya has remained the leading country with the highest number of projects in East Africa for four consecutive years, with projects increasing by 78% from 23 projects in 2017 to 41 projects worth $38.2 billion in 2018. The major construction projects are in real estate, energy and power, and transport, sources also reveal that the Kenyan government is spending billions of dollars on transport projects as Kenya is expected to become the logistics hub of East Africa. Challenges to this Kenya’s construction sector include: the frequent use of substandard materials, long procurement procedures, low project completion rates, and low technological knowledge. Despite these apparent challenges, continuous growth is expected in the sector as the Kenyan government plans to build 500,000 houses by 2022, and also to reduce corporate tax for developers who construct at least 400 units per year. Kenya’s real estate sector is the 6th largest contributor to Kenya’s GDP, and was valued at $5.5 billion in 2017. The sector expanded by 6.1% in 2017 compared to 8.8% in 2016, and this slowed growth rate is due to the elections and reduced credit supply (as a result of capped interest rates). The construction of new private residential buildings in Nairobi increased from 9,054 in 2015 to 10,002 in 2016, while new public residential buildings rose from 45 in 2015 to 1,062 in 2016. Some of the challenges faced by Kenya’s real estate sector include inadequate sources of funding, high land costs, and infrastructure development costs. However, government initiatives such as digitization of the land ministry, removal of land search fees, and inclusion of affordable housing as part of Kenya’s big four agenda is likely to boost real estate development over the next few years.

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Slide of the month May- Glass production in Africa

Slide of the month April- The sugar industry in East Africa

Slide of the month January- Internet speeds across africa

Slide of the month December- Automotive market in uganda

Slide of the month November- Chemicals application sectors in Nigeria

Slide of the month October- South Africa´s construction sector

Slide of the month September- East Africa Holding

Slide of the month August- South Africa´s real estate

Slide of the month July- Africa´s largest imports 2018

Slide of the month June- Plastic film imports Nigeria

Slide of the month May- Key importers CV parts in South Africa

Slide of the month March. Kenya's construction and real estate sector

Slide of the month February - Automotive parts imports in Sub-Sahrana Africa

Slide of the month Januar - The automotive parts market in Nigeria

Slide of the month December - Aluminium market growth in sub-Sahran Africa

Slide of the month September - Fish Waste in Ghana

Slide of the month August - East Africa BOPP Demand

Slide of the month June - Key capabilities of German firms in Nigeria

Slide of the month May - Renewable Energy in Sub-Saharan Africa

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1. 16/05/2019 1© africon GmbH 2018 Trade Fairs in East Africa When it comes to the number and quality of trade fairs in East Africa, Kenya takes the lead followed by Tanzania. 26% 12% 9% 9% 8% 8% 7% 7% 7% 7% Science & Research Categories of Trade Fairs in EA (2017, in %) Source:www.10times.com(2018),www.tradefairdates.com(2018). Number of Trade Fairs in EA (2017, in number) 12 14 40 45 120 Uganda Rwanda Ethiopia Tanzania Kenya 4 companies that host majority of the trade fairs in East Africa. • Expogroup (UAE) • Grow Exhibitions (UAE) • Informa Exhibitions (UAE) • DMG events (UAE) Comments Education & training Power& Energy Agriculture Medical Building & Construction IT & tech Banking & Finance Business Engineering

Slide of the month October - Trade fairs in East Africa

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Slide of the month October - Trade fairs in East Africa