August 2012 Whisperings on African Business Developments and Opportunities by Africa Project Access www.africaprojectaccess.co.za

There is increased questioning of South Africa's status as the GATEWAY INTO AFRICA.  Some observers point out that South Africa is not geographically well‑positioned and that a number of major multinational firms have established their regional HQ's in Nairobi, Kenya.  Companies are also increasingly accessing their target markets directly.  Relatively few Canadian and Australian junior miners operating in Southern Africa have established full offices in Johannesburg.  The east‑west development corridors effectively cut out South African ports which some deem to be too expensive.  United Nations relief agencies appear to have reduced their procurement offices in South Africa and refocused on Nairobi due to the apparent lack of South African business interest in relief aid opportunities in the sub‑continent.

A new growth node will be created if the attempts to link BRAZZAVILLE AND KINSHASA by BRIDGES ACROSS THE CONGO RIVER are successful.  This would constitute a market of some ten million people.

The reviewers of the USA AFRICAN GROWTH & OPPORTUNITIES ACT (AGOA) are warning that if South Africa is excluded from this agreement, this could have an adverse effect on the region as South Africa is a major supplier to its neighbouring markets.

Suppliers to MINES IN TANZANIA prefer routing supplies from the north via Mombasa in Kenya rather than from the south through Dar es Salaam in Tanzania.  The reason given is that there are fewer weighbridges on the northern route.
Operations at DAR ES SALAAM PORT IN TANZANIA are limited by the relatively small size of the port.  There is also no dedicated berth for bulk cargo.  The private DSM CORRIDOR GROUP is building a bridge to a road running next to the terminal with a conveyor belt to permit the direct discharge of bulk cargo.
RUSSIAN RAILWAYS has announced its intention to access rail Projects in Ethiopia, Kenya and Namibia.  It has already undertaken Projects in North Korea, Serbia and Libya.

Companies involved in the ZAMBIAN MINING SECTOR report that the Government's new restrictions on holding and dealing in US Dollars is hampering operations especially as most of the miners' requirements are from abroad and hard currency is required for their inputs.

The recent announcement of financial closure for the Henri Konan Bedié toll bridge in Abidjan is further evidence of the rapid ECONOMIC RECOVERY OF IVORY COAST/COTE D'IVOIRE after years of unrest and civil war.  It is further evidence that countries with inherent basic infrastructure can be turned around relatively quickly.  Could this be the case for Zimbabwe where basic infrastructure remains?

Africa Project Access is a South African company providing specialist consulting services and information regarding projects in Africa.

Its contact details are –
Contact person:                           Paul Runge
Telephone:                                  +27(0)11 465 6770
Fax:                                            +27(0)11 465 9580
Email:                                         afric.projs@pixie.co.za
Website:                                     www.africaprojectaccess.co.za
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