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  •  Commissioner advocates effective urban transport system in Lagos
    Commissioner advocates effective urban transport system in Lagos
     Commissioner advocates effective urban transport system in Lagos
    Commissioner advocates effective urban transport system in Lagos
    Education2 weeks ago

    Commissioner advocates effective urban transport system in Lagos

    Dr Frederick Oladeinde, Lagos Commissioner for Transportation, says effective and efficient urban transport system will promote trade and commerce in the state and Africa at large.

    Oladiende made the assertion at a maiden meeting of the Centre For Applied Research in Supply Chain-Africa (CARISCA) on Friday in Lagos.

    The commissioner,  represented by Mr Gbolahan Toriola, Director of Operation,  Ministry of Transportation, said a strong institution, partnership, legal framework and implementation is beneficial in achieving an effective and efficient urban transport system in the state.

    The News Agency of Nigeria reports that CARISCA is in partnership with School of Transport and Logistics of the Lagos State University (LASU) Ojo in  ensuring sustainable urban mobility.

    The topic of the programme is: “The Impact of Urban Transport Systems on Fast Moving Consumer Goods Supply (FMCGs) Chain”.

    “The efforts of the state in driving a sustainable model for public transportation cannot be said to be without challenges, but with partnership with relevant stakeholders,  work is ongoing  round the clock, in a bid to tackle the situation.

    “With the ongoing transportation reforms and infrastructural investment going on in the state, in the next 25 years, Lagos will experience a growth that will align with global standards.

    “We align with the principles of urban mobility and other international convention, in order to achieve a sustainable urban mobility and transportation network,” Oladiende said.

    He added that the objective of the state was to encapsulate the growing national consciousness on issues of road infrastructure, policy, technology, road safety and affordable transport network, that would trigger significant reduction in operational cost.

    “The government is working tirelessly to proffer urban transportation solutions in terms of policy, guidelines, infrastructure, technology and operations that are sustainable and in line with global standards,” the commissioner noted.

    Prof. Charles Asenime, Dean, School of Transport, LASU, said that the attitude of some Nigerians, particularly drivers, had also contributed to the bad traffic situation in the state.

    Asenime said that if the Lagos government and other stakeholders could sort out the traffic situation in the state, it meant such could be replicated anywhere in the country.

    Also speaking, Prof. Gbadebo Odewumi, former Dean, School of Transport, LASU, said that the government still needed to pay more attention to transportation in the state.

    “The Lagos State Transport Management Authority (LASTMA) needs to be more empowered to shield the operatives from the regular attacks they had been exposed to, particularly from law-breaking motorists,” he said.

    Mr Tonye Preghafi, Chief Innovation Officer, Red Star Express Plc, said that many FMCGs companies were using data analytic to solve problems, generate insights and actions, to solve customers sales.

    Preghafi, then urged organisations to always use innovative technology for e-commerce and to drive consumer sales.

    “Availability is the new innovation, having products on the shelf is better than any new product innovation,” he said.

    AWA
    NewsSourceCredit: NAN

  •  Meeting with the Checkers consultant
    Meeting with the Checkers consultant
     Meeting with the Checkers consultant
    Meeting with the Checkers consultant
    Africa3 weeks ago

    Meeting with the Checkers consultant

    On July 22, 2022, the Indonesian Consul General in Cape Town, accompanied by the Consul of Economy, met with the South African retail consultancy Checkers, Ms. Natasha Scholtz and the Director of Red Wolf Global, Mr. Martin Scholtz, a shipment in South Africa. to discuss the sale of Indonesian FMCG products in the South African market.

    The meeting is a follow-up to the previous meeting with the Director of Red Wolf Global on July 19, 2022, in which the Indonesian Consulate General in Cape Town provided samples of Indonesian products for later evaluation by Checkers against the potential sales of these products. in the South African market.

    The Consulate General in Cape Town conveyed the experiences and challenges faced in the effort to bring Indonesian products into the South African market, including prices and payment terms.

    Another cause for concern is that Indonesian products available in the South African market are generally available for cash and take away located in Township, giving the impression that the quality of Indonesian products is less competitive compared to products from other countries. .

    It is hoped that the meeting can provide information so that Indonesian products can be accessed in retailers, thus changing the perceptions of local consumers regarding the quality of Indonesian products.

    Consultant Checkers said that Indonesian products that want to be marketed should be compartmentalized into high-quality terms that can be offered to retailers and products that can be sold in large volumes for profit can be offered to franchises that sell products in bulk. .

    In addition, Indonesian FMCG products are of good quality, but require prior introduction to the local community, which can be done by utilizing franchises that sell products in bulk to cash-strapped retailers for resale to local consumers. .

    In order to assist in the marketing process, Checkers passed on the Checkers retail group contacts that the Indonesian Consulate General in Cape Town could approach to promote Indonesian FMCG products.

    As a follow-up, the Indonesian Consulate General in Cape Town will contact and approach relevant retailers regarding the marketing potential of Indonesian FMCG products, and will continue to seek the marketing potential of Indonesian products to support the implementation of the economic diplomacy.

  •  Indonesia Meeting with Red Wolf Global Companies Shipping and South African Distributors
    Indonesia: Meeting with Red Wolf Global, Companies Shipping and South African Distributors
     Indonesia Meeting with Red Wolf Global Companies Shipping and South African Distributors
    Indonesia: Meeting with Red Wolf Global, Companies Shipping and South African Distributors
    Africa4 weeks ago

    Indonesia: Meeting with Red Wolf Global, Companies Shipping and South African Distributors

    On July 19, 2022 in Paarl, Western Cape, the Indonesian Consul General in Cape Town, accompanied by the Consul for Economy, met with the Director of Red Wolf Global, Martin Scholtz, to discuss possible cooperation in terms of import FMCG products from Indonesia to the South African market.

    Red Wolf Global is a shipping and distribution company with a business area in the Western Cape province. From a number of shipping operations, Red Wolf Global has an extensive network, primarily with major South African retailers Checkers, OK Store and SPAR.

    The Indonesian Consulate General in Cape Town took the opportunity of the meeting by bringing FMCG products from several leading manufacturers in Indonesia to further discuss possible sales in the South African market.

    Red Wolf Global welcomed the samples brought by the Indonesian Consulate General in Cape Town and said that these products had potential, but again the problem that became a challenge was the price.

    In this case, the Indonesian Consulate General in Cape Town conveyed that in various meetings with representatives of distributors or retailers, it was always conveyed that the higher prices of Indonesian products compared to similar products were also supported by better quality. .

    Another challenge you face is that the Indonesian products available in the South African market are generally available for cash and take away located in Township, which gives the impression that the quality of Indonesian products is less competitive compared to products from other countries. . Given this, the availability of Indonesian products in retailers is expected to change the perception of local consumers.

    Red Wolf Global expressed its commitment to being able to help bring Indonesian products to the South African market and scheduled a meeting between the Indonesian Consulate General in Cape Town and Checkers representatives on Friday, July 22, 2022. The meeting will further discuss the product. samples that have been provided by the Consulate General in Cape Town and there are presumably other products that have sales potential.

  •  Driving payments transformation in Africa through partnerships
    Driving payments transformation in Africa through partnerships
     Driving payments transformation in Africa through partnerships
    Driving payments transformation in Africa through partnerships
    Africa4 weeks ago

    Driving payments transformation in Africa through partnerships

    Payments have traditionally been a challenge for African businesses and their banks. Companies must work with a host of partners, for example, to handle the many forms of payment customers use, as each nation favors a different set of options. Card payments, where banks excel, have very low penetration, which is a problem for banks given the size of the unbanked population and the popularity of mobile money.

    In a continent where merchants and consumers are increasingly switching to digital payment channels, banks and other financial service providers (FSIs) need to find ways to modernize their payments infrastructure.

    Fintech companies, on the other hand, are disrupting this payment landscape by revolutionizing the way consumers access financial services. By collaborating with fintech companies, legacy financial institutions can leverage their technology to remain competitive in a now digital-first landscape, while fintechs can leverage established structures to expand their reach.

    “The payment ecosystem is very complex. Banks and fintechs need to collaborate to be successful. This is how we will be able to facilitate higher levels of financial inclusion at all income levels.” reiterated Faith Nkatha Gitonga, Country Manager for Cellulant in Kenya, speaking at the Africa Fintech Summit, which was held at the Radisson Blu Hotel in Upperhill Nairobi and hosted by Dx5 (formerly CIO Africa).

    He cited the recent partnership between Cellulant and Gray Finance (https://bit.ly/3RPIHRo) that enables customers to conveniently receive international payments in local currency using mobile money as a prime example of how partnerships open up smooth and efficient transactions for thousands of people. of people on the continent. He also revealed that the ability to integrate mobile money and bank transfers within the African continent is the main value proposition that Cellulant offers to partners like Grey.

    He stated that Cellulant (https://www.Cellulant.io/) believes there are abundant opportunities in the payment space in Africa, as the continent is not yet a cashless economy.

    “There are still cash-heavy industries like the fast-moving consumer goods (FMCG) industry that provide many opportunities for entrepreneurs to innovate and provide relevant and appropriate payment solutions.

    “Even in Kenya, which has one of the highest levels of financial inclusion, only 50-60% of our transactions are digital; in other parts of sub-Saharan Africa, this is often 30% or less.”

    Cellulant sees fintech partnerships as a means to support financial inclusion and growth not just for individual companies but for Africa's economy as a whole. Faith discussed Cellulants' evolution over the years, from a digital content business to mobile and digital banking and now to a provider of digital payment solutions (https://bit.ly/3ct1XUB).

    “Customer satisfaction is what sets Cellulant apart from other players in the market. We strive for excellence and the best results when serving our clients in our 35 markets.” Fe noted. “This is a culture that the founders instilled in our staff from the earliest days.”

    He stated that this laser focus on the customer is the main reason why leading brands in different sectors, such as aviation, telecommunications, e-commerce, food and beverage services, transportation applications, retail and remittances, trust Cellulant to power your payments.

    “We are committed to making sure they are well cared for and satisfied with the services we provide. We like to say that 'when you follow the customer, you follow the money' Over the years, we have been innovating because we want to be at the heart of what the customer feels and wants. We always want to be ahead of that.”

  •  Nomanini launches StockNow a digital retailer solution to bring affordable working capital to Africa s informal retail markets
    Nomanini launches StockNow, a digital retailer solution, to bring affordable working capital to Africa’s informal retail markets
     Nomanini launches StockNow a digital retailer solution to bring affordable working capital to Africa s informal retail markets
    Nomanini launches StockNow, a digital retailer solution, to bring affordable working capital to Africa’s informal retail markets
    Africa2 months ago

    Nomanini launches StockNow, a digital retailer solution, to bring affordable working capital to Africa’s informal retail markets

    Nomanini (https://Nomanini.com), a fast-growing fintech platform in Africa, today announced the launch of a new supply chain finance solution called StockNow that connects financial services and goods providers consumption to serve Africa's informal retailers at scale.

    StockNow, a user-friendly app for retailers developed by Nomanini, makes it possible for micro and small informal retailers to buy stocks digitally.

    Ten million informal retailers in Africa are reached by FMCG global value chains, but lack access to responsible and affordable financial solutions to keep their shelves stocked to attract customers and grow their businesses.

    The StockNow app connects casual retailers with distributors of relevant fast-moving global consumer brands in the general trade market, allowing them to purchase products using stock advances to keep their shelves stocked with essential products, ensuring business continuity. and support for last-mile consumers.

    Providing informal retailers with access to critical business financing solutions

    Launched in Tanzania with key partner Nestlé ESAR, Nomanini's launch of StockNow has formalized the relationship allowing for a more strategic approach to alleviate some of the challenges experienced by retailers in the broader market in Africa, especially as they recover from the effects of the pandemic.

    “COVID really highlighted how important these retailers are to their communities,” explains Nomanini CEO Vahid Monadjem. "And unfortunately, their lack of access to responsible business finance solutions means they are particularly vulnerable during and after times of crisis."

    “In response to the challenges we saw retailers face during the pandemic and related closures, we established the opportunity to accelerate the development of our digital working capital solutions to provide tools that help retailers keep their shelves stocked with products. essential”. He continued.

    As sole proprietors, informal sector retailers require stability, and working capital solutions such as the StockNow app, which is available on Android devices and feature phones, can provide greater resilience and cushion against shocks. StockNow will also allow them to build a stronger financial history and trade with more confidence and volume over time.

    StockNow is available now and rolling out to thousands of casual retailers in Tanzania, with plans underway to scale the solution across the continent, from Mozambique to Uganda, the Democratic Republic of the Congo and Egypt.

    FMCG scaling to emerging markets faces challenges as without affordable working capital, many informal retailers go through periods where they are unable to pay suppliers to replenish their inventory due to a lack of cash flow. at the time of delivery. As a result, stock is unexpectedly returned to the warehouse, leading to high operating costs.

    Nomanini's StockNow solution helps FMCG overcome these challenges by providing a comprehensive solution to provide responsible working capital so casual retailers can stock their shelves in a predictable manner.

    By digitizing the supply chain, StockNow enables FMCG to increase operational efficiency by unlocking business data and gaining visibility into casual retailers' sales and preferences. The automation of settlements and the incentivization of electronic payments within the value chain also lead to greater efficiency.

    For Nomanini, the launch of StockNow marks a major shift from B2B business technology solutions to a step towards integrated stock advancements in the FMCG value chain.

  •  NBCC UAC seek increased performance of consumer goods sector
    NBCC, UAC seek increased performance of consumer goods sector
     NBCC UAC seek increased performance of consumer goods sector
    NBCC, UAC seek increased performance of consumer goods sector
    Economy3 months ago

    NBCC, UAC seek increased performance of consumer goods sector

    The Nigerian-British Chamber of Commerce and United Africa Company of Nigeria (UAC) have highlighted the need to tackle the challenges facing the Fast-Moving Consumer Goods (FMCG) sector in the country.

    They made the call at the NBCC May 2022 Breakfast Meeting with the theme: “Restructuring in FMCG sector” on Thursday in Lagos.

    Mrs Bisi Adeyemi, NBCC President, noting the significance of the FMCG as one of the largest sectors of the Nigerian economy, said it contributed about five per cent to Gross Domestic Product (GDP) in 2019.

    Adeyemi added that the market capitalisation report of the Nigerian Exchange Group (NGX) for December 2019 also highlighted the importance of the sector with FMCG constituting 17 per cent of its total value.

    She, however, noted that the sector had recently been affected by a number of factors ranging from the COVID-19 pandemic to technological, supply chain and distribution, power and security challenges.

    She said Nigeria’s largest FMCGs companies were yet to recover from the blows of the 2020 pandemic as profits slowed last year.

    Adeyemi stated that research showed that Nestle, Nigerian Breweries, Dangote Sugar, Cadbury, Unilever and Nascon recorded a combined profit of N81.9 billion in 2021; a two per cent decline from the N83.9 billion recorded in 2020.

    This, she noted, signalled that inflationary pressures had weakened consumers’ wallets and constrained their purchasing power.

    “Further analysis shows that the profits of the FMCG companies have been declining since 2017, even before the pandemic.

    “According to the report, sustained deterioration in the country’s macroeconomic indicators have weakened consumers’ real income due to high inflation, weak economic growth, large-scale unemployment and increasing inequality.

    “Our objective is to put these issues in context and hopefully make some

    recommendations to tackle the challenges,” she said.

    Mr Fola Aiyesimoju, Group Managing Director, UAC Plc, said recent performance in the FCMG sector was indictive of the need of further evolution to engender sustainability and growth.

    Aiyesimoju said UAC had identified the importance of value creation with focus on the three pillars of people and governance, structure and growth and returns.

    He added that the company’s aim was to generate attractive shareholder returns of 25 per cent per annum by growing a limited number of businesses, targeting market leadership among other parameters.

    He revealed that UAC sold 35 million units of snacks, water and dairy in packaged food and beverages monthly.

    “Our most impactful decisions will be around industry selection and capital allocation.

    “Boards must be constructed with the right mix of skills, experience and independence to provide oversight, establish strong internal controls and shape strategy.

    “The company’s culture is to focus on performance, accountability and policy adherence with zero tolerance for governance breaches.

    “It also leverages thoughtful innovation and technology for a robust enterprise resource planning system with full suite of office applications for better efficiency, to enhance margins and Return on Invested Capital (ROIC),” he said.

    (NAN)

  •  Nigerian beer market fundamentals strong Nigerian Breweries CEO
    Nigerian beer market fundamentals strong – Nigerian Breweries CEO
     Nigerian beer market fundamentals strong Nigerian Breweries CEO
    Nigerian beer market fundamentals strong – Nigerian Breweries CEO
    Business4 months ago

    Nigerian beer market fundamentals strong – Nigerian Breweries CEO

    Nigerian Breweries (NB) Plc Chief Executive Officer, Mr. Hans Essaadi, said the Nigerian beer market remained strong with high growth potential despite currency challenges.

    Eaaaadi made this known at the press conference ahead of the company's Annual General Meeting (AGM) on Thursday in Lagos.

    He said the fundamentals of the Nigerian beer market were strong with high growth potential due to its abundant population despite the Russia-Ukraine crisis.

    Essaadi also assured shareholders of a higher dividend for years to come despite the challenging operating environment.

    He noted that the company was well positioned to ensure a higher return on investment for all its shareholders.

    "We will continue to deliver sustainable growth to our shareholders through our wide range of products," he said.

    He noted that the company has recommended a total dividend of N12.9 billion, culminating in N1.60 per share, due to each shareholder of the company for the official year 2021.

    According to him, the dividend was against N7.5 billion paid in the comparative period of 2020.

    Essaadi noted that the high cost of living and rising fuel prices, particularly diesel, were slowing the growth of the fast-moving consumer goods (FMCG) sector.

    He said the company had remained dynamic and resilient with its processes, allowing it to weather the storm over the last 75 years.

    “The deteriorating currency situation has caused foreign suppliers to run out of patience with their Nigerian partners, mostly manufacturers who are finding it difficult to settle their growing foreign accounts payable.

    “Our outstanding foreign accounts payable increased by one cent in 2021 and due to lack of foreign exchange, the task of acquiring input materials has been difficult and this hampered the completion of our capacity expansion plan.

    “With the reintroduction of the excise tax on non-alcoholic beverages and the increase in the excise tax rate for alcoholic beverages, these additional costs will lead to an increase in the price of the finished product.

    "Volatility is expected in the beer sector, but we are confident in our growth capacity and we have our pricing strategy, as well as the cost and value agenda to maintain market leadership," he said.

    Essaadi added that the company would maintain shareholder value and meet consumer demands in the current year.

    Company secretary Mr. Uaboi Agbebaku said NB had created a share-for-cash dividend plan that would allow investors to reinvest in the company and buy new shares with its dividends.

    Agbebaku said the initiative was put forward for foreign investors who might face dividend repatriation challenges due to a shortage of foreign exchange.

    He said that under the shares-for-cash deal, both local and foreign investors would have the opportunity to receive cash or buy new shares with their dividends.

    Agbebaku explained that those who would opt for the new shares were expected to complete a stock election form for cash dividends by April 12.

    “This is the third year we are doing this. What we saw in the second year was that there was a noticeable improvement from the first time.

    “More people are starting to appreciate the benefit of doing this, so we expect there will be more uptake this year in terms of the number of investors who will opt into the scheme.

    "As for whether the scheme is here to stay, the situation might not necessarily be the same when we make the decision and that will determine whether we want to keep it or not," he said.

    The company's Supply Chain Director, Mr. Martin Kochl, said the company recognized the importance of sustainable local sourcing of its agricultural raw materials and the marketing of local raw materials.

    KochI said the company was making conscious efforts to partner with local and international research institutes to improve the performance and adaptability of registered sorghum varieties.

    “We expect the tonnage to increase again and we are working with a range of partners and research institutes to increase local sourcing and bring higher yielding sorghum varieties to market and we are exploring other alternatives,” he said.

    Source Credit: NAN

  •  RedCloud Announces Expansion of Its Open Commerce Marketplace
    RedCloud Announces Expansion of Its Open Commerce Marketplace
     RedCloud Announces Expansion of Its Open Commerce Marketplace
    RedCloud Announces Expansion of Its Open Commerce Marketplace
    Africa9 months ago

    RedCloud Announces Expansion of Its Open Commerce Marketplace

    Our goal is to help FMCGs around the world, their distributors and vendors, grow their business on their terms, connecting them directly anywhere, anytime.

    LONDON, UK, November 9, 2021 / APO Group / -

    RedCloud (www.RedCloudtechnology.com) announced the availability of its Open Commerce Platform, a decentralized marketplace for B2B buyers and sellers, in Argentina, Brazil, Peru, Nigeria, South Africa and Mexico. The platform, accessible through the Red101 application, now has a pipeline of one million merchants, with more than 270,000 merchant downloads to date.

    Designed to ensure frictionless commerce, RedCloud's open commerce platform was developed after years of researching digital solutions to solve the financial, operational and logistical challenges faced by FMCGs, distributors and local merchants around the world. whole.

    RedCloud has found that for brands, local supply chain infrastructure is inadequate or too difficult to access, meaning that a typical FMCG business will never reach a tiny fraction of potential traders.

    RedCloud's technology allows any brand to connect their local distributors and sellers through a single API. With the Red101 app, brands and retailers can see where their products are going and how they are performing.

    Justin Floyd, Co-Founder and CEO of RedCloud commented, “We provide a frictionless platform where any brand in the world can connect to any seller. This is what open trade means. Every supply chain is broken. Commerce is dysfunctional and chaotic, and markets like Amazon don't trust brands or sellers. Our goal is to help the world's FMCGs, their distributors and vendors, grow their business on their terms, connecting them directly anywhere, anytime.

    The platform allows traders to create a digital trading profile, so that they can complete all transactions digitally and upload their physical money to deposit points or ATMs. Additionally, by getting a clearer picture of each trader's performance, RedCloud can provide inventory and asset funding through the Red101 app.

    RedCloud's open commerce platform uses a transactional model, charging a 4% commission on all products sold through its platform. There are no fees for payments and RedCloud does not charge transaction fees for processing payments.

    For more information on RedCloud, visit RedCloudtechnology.com.

  •  MarketForce Appoints FMCG Distribution Veteran Arthur Bourekas as Commercial Director
    MarketForce Appoints FMCG Distribution Veteran Arthur Bourekas as Commercial Director
     MarketForce Appoints FMCG Distribution Veteran Arthur Bourekas as Commercial Director
    MarketForce Appoints FMCG Distribution Veteran Arthur Bourekas as Commercial Director
    Africa11 months ago

    MarketForce Appoints FMCG Distribution Veteran Arthur Bourekas as Commercial Director

    Arthur aligns with our ambitious growth plans and brings significant expertise to this critical new role for MarketForce

    LAGOS, Nigeria, September 28, 2021 / APO Group / -

    MarketForce (MarketForce360.com), the Kenya and Nigeria based B2B platform for the retail distribution of consumer goods and digital financial services in Africa, is pleased to announce the appointment of Arthur Bourekas (https: // bit.ly/3AND7pV) as Sales Director, effective October 1, 2021.

    Mr. Arthur has over 25 years of business growth, logistics and distribution experience in some of the world's toughest countries. He worked for AG Leventis (Nigeria) PLC and PZ Cussons in Nigeria, Indonesia, Malaysia and Australia. He is a seasoned FMCG distribution expert in Africa, where he spent over 17 years supporting NSE-listed conglomerates to conquer African markets, including running an affiliate supporting Coca-Cola Hellenic in Nigeria (the one of the largest Coca-Cola bottling companies in the world).

    Most recently, Arthur has been involved - at a very high level - with Alerzo, a Nigerian B2B retail technology startup that also helps retailers stock inventory directly from manufacturers.

    “The distribution of consumer products in Africa remains to be done efficiently. Even multinationals with years of experience can often optimize their distribution and add real sales growth to their business. Innovation and focus are essential! I am confident that with the platform MarketForce has built so far, along with the expertise being built within the organization, we are destined to revolutionize the industry and become a formidable force. - Arthur Bourekas, new Commercial Director of MarketForce.

    Managing sales, logistics and distribution operations in the most populous countries of Southeast Asia and Africa provides MarketForce with a wealth of partnership, sales, logistics and distribution skills. These countries have thousands of islands, regional geopolitical complexities, and a total of 500 million people - the kind of experience that matches MarketForce's ambitions to be the largest B2B retail distribution company in Sub-Saharan Africa.

    “Arthur aligns with our ambitious growth plans and brings significant expertise in this critical new role for MarketForce as we enable informal traders to maximize their profits and grow in the digital age. His extensive experience in emerging markets, ability to drive business growth and in-depth knowledge of technical distribution in Nigeria will be invaluable in our efforts to deepen our reach in the East African market while expanding into the West African market. - Tesh Mbaabu, co-founder and CEO of MarketForce.

  •  Speedaf express Announces Completion of Round A Financing to Build a Leading China Africa Express Brand
    Speedaf express Announces Completion of Round A+ Financing to Build a Leading China-Africa Express Brand
     Speedaf express Announces Completion of Round A Financing to Build a Leading China Africa Express Brand
    Speedaf express Announces Completion of Round A+ Financing to Build a Leading China-Africa Express Brand
    Africa1 year ago

    Speedaf express Announces Completion of Round A+ Financing to Build a Leading China-Africa Express Brand

    Speedaf express (www.Speedaf.com), a leading China-Africa integrated logistics service provider, officially announced the completion of its Round A+ financing. This round of financing was led by TRUSTBRIDGE, followed by northern light VENTURE CAPITAL, and VISION+CAPITAL on the basis of Round A. The tens of millions of dollars raised in this round will be mainly used for logistics network expansion in emerging markets, IT system construction and talent team structuring, to build the No.1 brand for China-Africa logistics.

    Speedaf express was founded in 2019, with ZTO Express as one of the original shareholders. Speedaf express focuses on cross-border door-to-door logistics services between China and emerging markets such as Africa, the Middle East and South Asia, etc, and provides domestic express services, LTL, warehouse and other value-added services covering the whole region. Relying on a self-built service network and information systems, Speedaf express creates one-stop, full tracking, and door-to-door integrated logistics service solutions. The cross-border air and sea shipping services provided by Speedaf express cover more than 50 countries.

    With its localized operations, Speedaf express has launched local express and LTL networks in Ghana, Uganda, Kenya, Nigeria and Morocco. Meanwhile, it has also established distribution centers, stations and warehouses to ensure effective nationwide coverage in those countries.

    In the future, Speedaf express will further expand its express and LTL network in Africa and other emerging markets, and will continue to improve the construction and operation of distribution centers, stations, vehicles and line-haul transportation, develop diversified value-added services, and strengthen information management systems.

    "We sincerely thank our new and original shareholders for their trust and support of Speedaf express. This is an important milestone in the development of Speedaf express," said Gary Suo, CEO of Speedaf express. "We are very optimistic about the development prospects of China-Africa cross-border logistics and local logistics business in Africa, and are committed to bringing advanced management concepts and operation models from China's express industry to Africa. Combined with understanding of local markets and talents, Speedaf express has set out a business model tailored for African nations that will quickly build up a local operation network with guaranteed service quality. In the era of e-commerce, a logistics network capable of covering thousands of households is a necessity. Speedaf express has built up an end-to-end ecology through 'self-operated + franchised stations' to better and more flexibly serve a majority of e-commerce platforms and sellers. Improved service quality and network depth will help more enterprises develop in emerging markets."

    Regarding the investment in Speedaf express, Wang Zhaoqian, vice president of northern light VENTURE CAPITAL, said that “Our investment philosophy in the logistics industry is to find new logistics opportunities being generated by new business, and invest in a market with inadequate logistics. Therefore, after initial communication with the Speedaf express team, we swiftly made the decision to invest. We believe Speedaf express will become a logistics giant between China and Africa by building up local service networks in Africa, and further improving air transportation networks.”

    Liu Yiran, Partner of VISION+CAPITAL, said, "VISION+CAPITAL led Round A financing for Speedaf express in late 2020 and continues to invest in this round. Speedaf express has achieved rapid growth of both cross-border and local logistics business in just over a year. The rapid financing in a short period of time is the capital market's recognition and affirmation of the team and the huge potential of the cross-border logistics market. We expect China's supply chain to play a greater role in post-pandemic cross-border trade, while local logistics infrastructure in Africa willprovidegreater value along with the internetization and booming e-commerce market in Africa."

    The African logistics market has shown rapid growth in recent years thanks to accelerated urbanization, the development of new distribution channels such as e-commerce, and the growth of a FMCG retail sector. Data shows that the sub-Saharan Africa e-commerce market is expected to grow at a compound annual growth rate of approximately 22%. With the increased investment of global capital and e-commerce players, the African e-commerce market is expected to enter a period of rapid growth, resulting in greater logistics demand. In particular, the official launch of the African Continental Free Trade Area on New Year's Day 2021 will improve the overall convenience and pace of goods’circulation in Africa, encourage more African countries to integrate into the regional and global value chains, and add new impetus and vitality to Africa's socio-economic development.

    As China-Africa economic and trade cooperation deepens, globalization and technological development will create more opportunities for the development of Africa's logistics industry. Through continuous investment in technology and symbiotic development with partners, Speedaf express will further consolidate its leading position of China-Africa express delivery while building a last-mile logistics network covering "China-Africa".