Major opportunities for local contractors
December 2002
News
The burgeoning infrastructures of countries north of South Africa's borders are creating major opportunities for local contractors. Leading instrumentation and electrical company, B&W Instrumentation and Electrical, expects to grow its business in Africa to 35% of its R90 million per annum total order book within the next year.
According to B&W managing director, John Barrow, apart from the local mining and petrochemical sectors, work from African countries holds out the biggest growth potential and companies that are experienced in working under African conditions are best equipped to undertake this work.
B&W is currently working in, or has recently worked in 10 African countries but has identified the DRC, Angola, Uganda, Tanzania, Ghana, and Ethiopia as countries which hold the greatest potential for specialist instrumentation and electrical contractors. B&W aims to grow its share of instrumentation and electrical work in these countries through the formation of joint ventures with local companies whilst also employing local personnel wherever possible and equipping them with the skills to assist in handling such projects.
"Although a large contingent of South Africans will be involved and are currently involved on our projects elsewhere in Africa, we believe that the greatest benefit to ourselves and to the countries in which we operate, lies in training local personnel to give them the skills which will enable them to maintain the projects we leave behind," said Barrow.
However, Barrow cautions that companies cannot enter the African market without having a thorough understanding of conditions. "A complete knowledge of logistics is essential in terms of personnel, food and communications," explains Barrow. "We are one of the few instrumentation and electrical contractors to go into Africa with sophisticated communications systems so that we are able to keep in touch at all times."
Barrow believes that South African companies have an advantage in Africa as they can compete on a Rand basis - which gives them a competitive edge over international companies. "At the same time we are well equipped to compete from a quality perspective as we adhere to the highest international standards."
For more information contact Ken Nel, B&W Instrumentation and Electrical, 011 907 1663, [email protected]
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