There’s a huge opportunity for local producers to substitute several raw materials that are imported by manufacturers in Africa.
For example, dry egg yolk (used in producing mayonnaise), sorbitol (a raw material for toothpaste), and sodium sulphate (used for making detergents), are heavily imported raw materials by manufacturers, but can be substituted by local production.
At the Africa CEO Forum held earlier this year, some of the continent’s top business leaders (from Unilever, Heineken, Tolaram and others) shared several interesting insights about the business opportunities opening up in Africa for local producers to supply inputs and raw materials to the major conglomerates.
As more multinational companies are drawn to invest in Africa, more options and opportunities for local production will emerge on the continent.
During a panel discussion at the 2017 Africa CEO Forum it was highlighted that across the continent, large companies are increasingly seeking local suppliers and resources.
Through local sourcing, multinationals can save on import costs, preserve foreign exchange and contribute to the economic development of the continent. Simultaneously, there is a multi-billion dollar opportunity for African manufacturers to become suppliers to large international groups.
Read the full article at: How We Made It In Africa