As China announces a new package of investment and development measures to African countries, Barloworld Logistics, a South African-based supply chain company is well placed to help with the opportunities that will develop across the continent and on key trade lanes

Ministers and government officials from China and 48 African countries met recently in Beijing at the 4th Forum on China-Africa Cooperation (FOCAC), during the meeting it was announced that trade for 2011 hit a record high of US$166.3 billion an increase of 83 per cent from 2009.

China’s direct investment in Africa last year reached US$14.7 billion up 60 per cent when compared to 2009. During the Forum, China announced new measures to promote its co-operation with Africa. The initiatives include development assistance, credit and financing, training and trade co-operation.

“China is Africa’s largest trading partner after EU and demand and the new initiatives announced at FOCAC demonstrate the country’s long-term commitment to supporting development across the continent,” said Mr. William Tang, Managing Director for the Far East business.

The 2012 supplychainforesight research survey revealed that a vast range of industries all expect to grow in Africa. With the fast growth of GDP in some regions, demand for cargo services across most industry sectors should increase over the next five years.

“We are also seeing Chinese companies investing in projects across a range of industries including energy, aviation, construction and manufacturing throughout Africa. Demand for Chinese goods and products has also grown among African consumers,” he added.

Barloworld Logistics, is part of Barloworld Group, a multinational corporation, headquartered in South Africa celebrates its 110th anniversary in 2012. The company has three strategic divisions, Barloworld Equipment, Barloworld Automotive and Logistics, and Barloworld Handling. The logistics division has expanded its presence from its strong home base in southern Africa to the Far East, Middle East and Europe

As per supplychainforesight survey report, China invests currently 33% of its total outbound investments for Africa on infrastructure development. Other main investment flows involve the Mining sector (40,74%), Business services (21,58%) and Finance (16,4%).

“There will be some exciting opportunities for Chinese companies in Africa in the next five to ten years and Barloworld Logistics can provide a unique platform to support their expansion at the origin and the destination,” said Mr. Tang.

“Our experience of working in the African emerging markets helps us to deliver smart supply chain solutions across the continent. This translates into a competitive advantage for our customers and our global partners,” he added.

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About Barloworld Logistics
Over 70% of potential savings and service enhancements in a supply chain come from the re-engineering and integration of logistics processes. Only small savings can be extracted by “pushing” suppliers harder.

The logistics division was established in 2001 and now South Africa's leading integrated logistics player. They create strategic advantage for their clients by optimizing and integrating the client's logistics processes and information flows, thereby radically reducing their costs and increasing their service levels.
The company now has 2,300 staff across 87 offices. The integrated logistics solution offerings include supply chain consulting and design, inventory management solutions, transportation management services, warehousing and distribution design and management, freight forwarding and clearing and supply chain software and planning.

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