Tag: South Africa

  • Adidas congratulates Super Eagles at formal launch in Nigeria

    Adidas congratulates Super Eagles at formal launch in Nigeria

    As part of its strategic growth plan into Nigeria, leading sports and lifestyle brand and Super Eagles technical sponsor, adidas has formally launched its operations and also celebrated its one year anniversary in Nigeria, minutes before the country qualified for her fifth World Cup appearance coming up in Brazil next year.

    Speaking at the event, Senior Business Development Manager, Adidas, South Africa, Astruds Meintjes explained that the brand has enjoyed unrivalled success in the country due to its strategic partnership with the Super Eagles.

    “All this shows the excellent value that we are creating by consistently pursuing our strategic business plan to grow the brand in emerging markets like Nigeria,” said Meintjes. “Undoubtedly, we have learnt valuable lessons that will be beneficial to our consumers as we expand our stores to Lekki and Kano in December, and the rest of the country’s major cities in due course.”

    “I must also congratulate the Super Eagles for putting up a convincing display and earned for the country well deserved fifth FIFA World Cup qualifications. On behalf of adidas, I congratulate Nigerians, the Super Eagles, Stephen Keshi and the whole team.” Meintjes added.

    Earlier in his welcome remarks, Managing Director of Mopheth Sport Nigeria Limited, Adekunle Oyegade shared his delight at Mopheth Sport’s partnership with the adidas global brand that is associated with excellence, innovation, quality, passion and performance.

    “Adidas is an aspirational brand and our presence in the Nigerian market is to fulfill the aspiration of the Nigerian consumers’ quest for authentic and quality products. Our experience in the last one year has been exciting and encouraging,” he stated.

    Speaking further, Oyegade noted that: “Today is unique for two reasons; one the Nigerian National team qualified for the 2014 World Cup in Brazil and secondly, we are formally launching the Adidas brand in Nigeria, and we are glad you made out time to be with us on this day, both for National pride and to associate with two winning brands like adidas and the Super Eagles.”

    Adidas currently operates from two locations in Lagos and Abuja. The Lekki and Kano branches are expected to open shop in December 2013.

    Before October 2012, Adidas had enjoyed a strong presence in Nigeria through the sponsorship of the Super Eagles. The formal launch and plans to open other outlets in Lekki and Kano was both part of its strategic growth plan into Nigeria and an indication of brand acceptance among Nigerians.

    Activities that marked the launch included a guided tour of the adidas store, a talk through the painstaking quality-conscious production processes that every Adidas product goes through, as well as a raffle draw during which prizes including Original footballs, signed Super Eagles jersey and a winner to the UEFA Champions League game at Stamford Bridge, London.. Also there was fashion show, with models adorning adidas products on the runway, to the admiration of the invited guests.

  • The other side of ASUU strike

    SIR: In the words of a South African living Legend and an enigma of democracy, Nelson Mandela, “the only powerful weapon which you can use to change the world is education”. To Mandela, education is the major weapon needed to wage war against all forms ignorance, illiteracy, arrogance, economic oppression and maladministration. With education, change, the most sacrosanct thing in the world, is achievable with marvellous ease.

    To affirm that public education in Nigeria is at the moment in shambles is an understatement. Public education has gone awry. Sub-standard private schools have submerged the public owned ones while public secondary schools are in a state of disrepair as parents across all social status have discarded them for private ones.

    Polytechnics have been relegated to dustbin while most of the public universities are blot on the landscape. The most heart-breaking part is that no one is willing to accept blames.

    In Nigeria today, the Academic Staff Union of Universities (ASUU) is popular not because it’s the beautiful bride of the educational system, but because it is an association that government at all levels and universities students dread.

    It is disheartening that the union is demanding from the federal government, salaries and allowances for the months they were out of work. The Nigerian Labour Act 2004 is unambiguous. It states that unions can go on strike but no payment for the time outside work. Why is ASUU now demanding for salaries for the work not done? Who will the pay for the house rents of the students for the period ASUU members were out of work? Who will compensate our needy and poor parents for the impending double money they will be paying when ASUU finally resumes? Who will compensate those whose mobilisation for the National Youth Service Corps (NYSC) ought to have been perfected since July?

    And the thousands of students that missed the Batch C Mobilisation as a result of ASUU strike? Who will pay for the wasted time, delayed destinies and ruined future of students?

    The statement issued on November 1, by the national executive councils of the Senior Staff Association of Nigerian Universities (SSANU) and the Non-Academic Staff Union of Universities (NASU) in respect of the ongoing strike embarked on by ASUU vindicated my position that ASUU is greedy and selfish.

    I reproduced the statement for the records: “The three Non-Teaching Staff Unions of NAAT, SSANU and NASU are opposed to any extraneous demands by either ASUU or any group in the university which are prejudicial to the welfare of our members. Our stand is that government should jettison the so called ASUU’s Memorandum of Understanding (MOU). The MOU being referred to by ASUU is for their selfish end and it is bound to generate more crises in the university sub-sector. The Non-Teaching Staff Unions in the universities will stoutly resist any attempt to sell the universities to ASUU”.

    Now, assuming without conceding that the National Association of Nigerian Students, NANS– given their opposition to the strike – had been bribed by the federal government as some ASUU activists had been alleging without evidence, are SSANU and NASU also bribed?

     

    • Maxwell Adeyemi Adeleye,

    Magodo, Lagos.

  • Dangerous lifestyles of Nigerian hustlers in South African enclave

    Dangerous lifestyles of Nigerian hustlers in South African enclave

    Fresh from an adventure into the Johannesburg’s underworld governed by drug, sex, murder and other anti-social activities, SEUN AKIOYE writes on how many Nigerians live in a part of the South African city

    He wanted to be known simply as IK. He looked at the undercover reporter and said in a tone that conveyed no emotions: “Do you want to make money? Can you hustle on the streets? Are you man enough to survive on this street like these other boys?”

    IK and the reporter were standing at a corner in the crowded Quartz Street in Hillbrow, Johannesburg on the evening of October 29, 2013. He had just resumed for work on the streets and had been introduced to the reporter as a new prospect who was willing to make out his fortunes in the dangerous and perilous drug world in Johannesburg. IK’s first impression about his new prospect was very unfavorable: the reporter appeared too naïve and scared to be a successful drug baron.

    “My man, the streets are very dangerous and you must be very hard to survive. But the boys are making a living, the same way I am also struggling,” IK said, clutching the reporter’s shoulder with a friendly hand.

    Quartz Street is made up of predominantly of Nigerian immigrants. Apart from a sprinkle of Zimbabweans, all commercial activities are carried out by Nigerians and they are mainly from the South East. On the surface, there are the African food stores which sell Nigerian foods at exorbitant prices. There are the dry cleaners, internet cafes and bars owned and operated by Nigerians. But the real business of Quartz Street lies in its ugly underbelly, the world of cocaine and other illicit drugs. It’s a world so secretive that only few people are admitted into it; a world so dangerous that very few survive it.

    Johannesburg, for many Nigerians and other immigrants, is the New York of South Africa. It exists so that the poor can survive. It is the only city in South Africa where immigrants can make ends meet doing multiple odd jobs. The city, derogatorily referred to as Johaness-hustle-burg by many locals and immigrants, also has the highest crime rate in the country. Aside from the usual criminal tendencies of frustrated locals, the crime rate is also fueled by the underground drug world. In Johannesburg, sadly, the drug world is controlled by Nigerians.

    The crime world in the city is centered on three localities: Berea, HillBrow and Julies. In the first two neighborhoods, the drug kingpins rule while Julies is the headquarters of the credit card fraud business.

    There are many stories about the cocaine world in Berea and HillBrow. Even among Nigerians, the name is mentioned with reverence and fear. They are tales so dangerous they sound almost unbelievable until of course one gets the evidence or a glimpse of that drug world. It is both dangerous and secretive. No one answers his real name in that world and there are multiple rumours of backstabbing, tradeoff and murder.

    Getting information about how the drug business runs is no mean feat. One would have to be introduced by a member or someone who has the confidence of the drug lords. Lately, those who operate in this world had taken more precaution about the way the business is run. It was authoritatively gathered that early in October 2013, one of the kingpins was “dropped” in Julies. The drug lord was said to have been accosted by some men and several bullets were fired into his heart. He died before his body hit the ground. The late drug lord had reportedly led less than a sterling life with reports of several droppings he had either ordered or personally carried out.

    Apart from these usual fatal confrontations, there are cases of ‘brothers telling on brothers.’ “Our people are wicked. If they see that you are making it, they will be the one to tell the police the kind of job you are doing. We have many cases of brilliant people who have been ruined like that.

    “This job is a very dangerous one. If you are not careful or if you play too smart, you may not live to regret it or make amends,” a source said.

    The real centre of activities for the drug business is Berea, a sleepy neighbourhood just outside Johannesburg city centre, and that world is controlled by Nigerians, mainly from a particular part of the country.

    Very few understand how the Nigerian cartel that runs the drug world in Berea operates or how dangerous it could be when threatened. Those who rule the drug world are often not seen, preferring instead to use what is known in local parlance as the “hustle boys.”

    The hustle boys can be found on every street in Berea. They look tough and hardened, more by the conditions under which they have to operate than by anything else. Even though their primary occupation is selling cocaine, marijuana and other hard drugs, they often have an alibi as all of them sell small provisions like sweets and kola nuts. There are others who sell jewellery, gold and diamond while a few others indulge in currency trading.

    The most dangerous spots in Berea are Soope Street, Fife and Prospect Corner. On Soope Street, the houses are derelict and crying for rehabilitation. Most of the tenants here are Zimbabweans and Nigerians. On the houses are inscriptions warning residents that guns, knives and other dangerous weapons will not be allowed.

    Down the road in Soope Street is Soope Lodge, which is said to be owned by a Nigerian. It is the home of drug addicts and dangerous drug lords. Outside, emaciated bodies slept on the pavements and the stairs.

    Walking down Soope Street, it is common for one to hear a particular Nigerian language. You would find Nigerian men engaged in heated arguments, idling away. There are other men from Zimbabwe, wasted by drugs. They look more like skeletons than human beings, a result of years of drug abuse. But it is hard to find a Nigerian whose life has been wasted by drugs as much as South Africans and Zimbabweans.

    The corner of Prospect and Fife Street is where the real drug business thrives. On this particular day, more than 40 Zimbabweans and South Africans stood on one side of the street sniffing cocaine; they looked like the worst human specimen, completely ruined by the drugs they use. On each side of the road could be found Nigerians selling provisions. But that was a façade that conceals their real business as drug couriers and small-time hustlers for the real kingpins.

    According to the investigation carried out by The Nation, the “boys” who sell by the road side get their supply from a house between number 1 and 3, Prospect Corner, Berea. This house is said to be so dangerous that only accredited and “certified” drug lords can access it.

    “That is where we get our supplies from. Not all of us can go inside there, but we have different levels of command. My own immediate boss can go inside and whatever he buys there, we will repackage and resell on the street,” one of the ‘boys’ told The Nation.

    It is hard to find an innocent soul in Berea as almost everyone is involved in drug business. The talk among Nigerians is that anyone living in Berea must be into drug business. One of the hustlers simply called Daniel explained life on the edge in Berea.

    “You know, there is no job in this country and the only people who make it are those who can hustle. Although it is dangerous, if you can survive it, you will be happy,” he said.

    Happiness, in Berea context, The Nation learnt, meant climbing up the ladder in the underworld and buying a car. “The first thing the Nigerian buys after he becomes happy is a car. We have people who drive very expensive cars and that serves as a status symbol. Those of us who are still hustling can’t afford such luxuries,” Daniel further explained. In Hillbrow, you need to hustle to become a man”

    It was 7pm on Quartz Street, Hill brow. More Nigerians were pouring into the streets and the Olympic Bar was filled to the brim. It is a storey building with a veranda that looks outside into the street. Not everyone can go inside and only those who have attained a level of street credibility are permitted. Up there, fun and enjoyment went on unabated while the legendary music of Fela blared from a big speaker on the veranda. Outside, Zimbabwean security guards stood at attention, frisking anyone going into the bar.

    A large crowd gathered outside the African Food Stuff store. Trading activities began as cars poured into the street. As a car pulled up, one of the boys would move swiftly towards it and the ‘exchange’ would take place. Apart from those selling by the road side, many of the buildings on the street also acted as sales point.

    But there are other legitimate businesses on Quartz Street. Chigozie, a 29- year- old Nigerian, sells fried yam on the street. A slice of the delicacy costs R10 and it goes with pepper stew. Soon, a call came on his mobile phone and he hurried off towards one of the buildings to deliver a consignment. There are others like Eze who sells jeans from the comfort of his car. He persuades passersby to patronise his “Nigerian jean.” A Nigerian-made pair of jeans costs a whopping R150.

    But apart from the frenzy of commercial activities in Quartz Street, drug business booms in its underworld. It was the reporter’s first day at “work” and IK was explaining the process of recruitment to him. The first step towards becoming one of the boys is to start selling pipe (used for smoking cocaine). According to him, the pipe costs R20 each, and if one is hardworking, one can sell up to 200 pieces a night.

    After a couple of months selling the pipe, one can graduate into running errands for the big boys in Berea or Hillbrow. By that time, one would have learnt the intricacies of the trade and know the landmines and how to approach them.

    “You need to hustle to become a man in Hillbrow. All the boys who have made it started like this, and if you can do it, you will make it too,” IK said.

    Down Quartz Street where the road links Kotze Street is the red light district where Zimbabwean ladies rule the world. Here, many Nigerians are regular patrons of the wild ladies of the night. The red light goes perfectly with the business on Hillbrow and Berea communities. The kingpins have their ladies there and when business is good, the orders flow from Berea to the red light on Kotze.

    But one needs to always plan for the unexpected either in Hillbrow or Berea. On the evening of the undercover reporting, a fight broke out at the Olympic Bar. Those who knew the underground business said it was on a deal gone bad. The “boy” in the middle of the fight had his body covered with blood. Other Nigerians stood outside watching the spectacle.

    As the fight became fiercer, the security guards moved in and pepper-sprayed the Nigerians before putting the “boy” in handcuffs. Five minutes later, a police pick-up van arrived and the Nigerians were pushed inside. The van headed towards Kotze Street and turned into Pretoria Street where the Hillbrow Police Station is located.

    The police and corruption

    Surprisingly, the Nigerians were least perturbed about the arrests made by the police. They were angry at the Zimbabwean security guards who had used pepper spray on them and had handcuffed one of their own. An argument soon broke out with the Nigerians demanding an apology from the security guards.

    “You are ordinary Zimbabweans, how dare you pepper-spray me? You are an illegal alien as we are, so you are not better off. The other day when they wanted to kill you, we were the ones who saved your life,” one Nigerian said.

    The security officers apologised and returned to their post. They knew better than to incur the wrath of the Nigerians. The reporter asked IK what would happen to the arrested Nigerians and got a shocking reply.

    “We are going to bail them. The only problem now is that they may ask each of them to pay R2000 (about N42,000) for their release. We are not afraid of the police here; they allow us to do our business and we also keep our side of the bargain. We must put their money aside every week and give them when they come to collect it,” he said.

    A similar scenario had played out in Berea a day earlier. Although cocaine was being sold and used openly and police vans patrolled the street every ten minutes, few arrests were made, if any. A hustler said the police rarely disturbed them and if any arrests were made at all, it was meant to collect their dues.

    The reporter visited the Hillbrow police station; a station with world class police facilities. It stood majestically down the hill on Pretoria Street, Hillbrow. Beside it is the police barracks where the officers live. Several state of the art cars were parked in the garage and the apartment for the police was about a 20- storey building. It looked more like the newly refurbished 1004 flats on Victoria Island than a police barracks.

    A source close to the police department, however, said there was no truth in the allegations of police complicity in the drug business of Hillbrow and Berea. “The police make arrests as soon as complaints are lodged and they are treated according to the law,” the source said.

    Credit card fraud

    After two days, IK was getting frustrated about the slow progress or the unwillingness of his new ‘recruit’ to become fully integrated into the underworld, so he looked for other options.

    “go and meet your brothers. They are into card business and there is more money there. But remember, when you make it, don’t forget me,” he said.

    IK’s advice was instructive because while kins men control the drug business, the reporter’s people are kings of the credit card scam. Their base his Green House in Julie’s area of Johannesburg. From the Carlton Centre in central Johannesburg, a R10 bus takes you down to Julie’s. Here too, there is high population of Nigerians mostly from another section of the country.

    The credit card fraud is more intricate and delicate. According to a “repentant” fraudster, it requires the cooperation of clerks and officers in big malls and hotels who would supply the credit card details of wealthy clients to the gangs. But unlike the drug business, the police routinely make arrests and therefore the business is dying.

    The dangers have also made the practitioners to be more careful and they often cooperate more with themselves. All attempts made by The Nation to speak to some kingpins were rebuffed and the repentant fraudster declined to make any more comments after a few hours.

    The reporter did not succeed with the credit card issue and returned to Hillbrow, but IK was nowhere to be found. His phone was switched off when the reporter tried to call him. Of course, no one knew him by the name IK in Hillbrow, so his whereabouts remained shrouded in mystery.

    “You are looking for your man? I suggest you better be on your way,” a sympathetic hustler said. The reporter did not need a second opinion; people do ‘vanish’ for doing less than he had already done.

     

  • No CHAN regrets says Rangers’ Nzigamasabo

    Enugu Rangers’ Burundi midfielder, Styve Nzigamasabo, has said he does not regret being ineligible to feature in next year’s African Nations Championship in South Africa after he moved to Nigeria.

    Nzigamasabo played a pivotal role for Burundi to qualify for the 2014 CHAN, but he will not be eligible for the tournament as he no longer features in his country’s local league.

    The former Dedebits FC of Ethiopia, Rayon Sport of Rwanda and Vital’O FC of Burundi midfielder maintains that his move to Rangers is a step in the right direction for his fledging career.

    “No, I can’t regret my coming to play for Rangers in the Nigerian league. Rangers are a great club who will appeal to any talented player and I am very happy to lace my boots for the club,” he said.

    “Surely, I would have loved to be in South Africa next year for the CHAN after helping my country qualify for the competition, but that is in the past, now, as I look forward to taking my career to another level.”

    The stylish Burundi star, who joined Rangers from Vital’O after impressing in two 2013 CAF Champions League matches against the Nigerian club, further said, “I trust the team we have for CHAN and I believe the coaches have capable replacements for me. All I need to do now is to help Rangers regain the glory they once had.”

    Styve’s older brother, Ntibazonkiza Saidi, features for Polish top side Cracovia Krakow, and he said he also dreams of plying his trade in Europe soon.

    “Yes, I want to play in Europe like my brother and coming to Rangers is a step in the right direction. With three matches and a Man-Of-The-Match Award in one of those games, I believe I’m on my way to greatness,” he said.

  • Nigeria, South Africa forge copyright ties

    Nigeria, South Africa forge copyright ties

    COPYRIGHT Society of Nigeria (COSON) has reached an agreement with Southern Africa Music Rights Organization (SAMRO), the continent’s oldest collective management organization on how best to boost revenue from African music around the world.

    A statement from COSON indicated that the agreement stemmed from a visit by SAMRO’s CEO, Mr. Sipho Dlamini to the COSON Corporate Headquarters in Lagos recently.

    Chairman of COSON, Chief Tony Okoroji, said that SAMRO and COSON were in a unique position because of the size of the economies they represent, hence the need to work together to inspire the rest of the continent.

    During the meeting, COSON and SAMRO agreed to explore the sharing of common database technology to ensure more efficient documentation and monitoring of the use of the music in the repertoire of both organizations across the world and the proper collection and distribution of royalties due to their members.

    The discussions in Lagos were joined via teleconferencing by the CEO of Music Copyright Society of Kenya (MCSK), Mr. Maurice Okoth whose organization has also pledged to work with SAMRO and COSON on the agreed project.

    Okoroji said the agreement by three of Africa’s most acclaimed CMOs to work together is expected to result in the increased value of African music and increased return to African music right owners across the world.

  • 2014 CHAN: Nigeria draws Mali

    2014 CHAN: Nigeria draws Mali

    Nigeria has been drawn alongside Mali, South Africa and Mozambique in the Orange African Nations Championship billed for South Africa in January 2014.
    The draw held in Cairo, Egypt on Wednesday also pitched Zimbabwe, Uganda, Burkina Faso and Morocco together in group B.
    South Africa and Mozambique will play the first match of the three-week soccer fiesta on January 11 in Cape Town.
    The pairings:
    Group A
    South Africa
    Mali
    Nigeria
    Mozambique
    Group B
    Zimbabwe
    Uganda,
    Bukina faso
    Morocco
    Group C
    Ghana
    Congo Brazaville,
    Ethiopia
    Libya
    Group D
    DR Congo
    Mauritania
    Burundi
    Gabon
    CHAN will take place between 11 January  and 1 February next year.
  • Nigeria leads South Africa, Angola on $40.6b FDI

    Foreign Direct Investment (FDI) inflows to Nigeria, South Africa and Angola may average $40.6 billion yearly over the next five years, a report by Ernst & Young, global accounting firm has said.

    It polled 505 global executives, and 60 per cent said their perception of Africa as a business destination had improved over the past three years. Nearly three quarters said they believed Africa would become more attractive to potential investors over the next three years.

    A report on global capital inflows, said as African oil and mineral reserves draw investors from emerging and developed markets. Around a quarter of a million new jobs are likely to be created in the three countries as a result.

    It was noted that majority of the foreign investors are targeting the Nigerian bond market where there is sovereign guarantee and improved returns compared to other developed countries. There has also been a strong portfolio inflow to the high yields on local-currency debt, including 91-day Treasury bill which was 14 to 15 per cent.

    Intra-African investment has also been a significant driver of growth, with Kenya, Nigeria and South Africa among the top investors into the rest of the continent.

    Nigeria topped the list of countries expected to draw significant funds over the next five years, with the report forecasting an average of $23 billion per year in FDI inflows and around 95,000 new jobs. But recent militant attacks in the continent’s top oil producer, which has been the largest African recipient of FDI over the last decade, could deter some investors, it added.

    FDI inflows to South Africa were projected to average $10 billion a year, generating up to 125,000 new jobs, compared with $7.6 billion a year and 30,000 new jobs in Angola.

    Ernst & Young said more regional integration and increased investment to close an infrastructure gap, which will require an estimated $90 billion yearly, would boost Africa’s standing among investors.

     

  • MultiChoice, South Africa groom female students

    MultiChoice, South Africa groom female students

    MULTICHOICE Nigeria has exposed 20 female undergraduates of the University of Lagos to its business environment and operations through the Take a girl student to work initiative.

    The initiative, conceived by the South African Consulate General in Lagos to hold yearly, is a day when young female students across institutions of learning in Nigeria are exposed to the realities of the workplace.

    They get the opportunity to spend a day at work by visiting corporate offices, government departments, and many other businesses in Lagos during which they interact with professionals on the field so as to give the learners a true picture of the work environment and expose her to different career options available in the market place.

    Addressing the 20 participants, all final year students, at the company’s premises in Lagos, Head of Public Relations Multi Choice Nigeria, Mr Segun Fayose said: “The initiative is coming against the background that over a long period of time, the girl-child has been disadvantaged in comparison to the male child. So the initiative is an attempt to strike a balance to make the girls catch up with the boys in the corporate world.

    “So this project is to expose you to what happens in the corporate world immediately after your National Youth Service Corps (NYSC) because all of you here are final year students.”

    Praising the initiative, one of the participants Nduku Ngozi an Accounting student, said she now knows how a business environment operates.

    “What we usually learn in class is more of theory than practical. For me, coming here has really exposed me to the situation and happenings in the business firm.”

    Another student, Obiageli Ndu – Walter of the Cell Biology and Genetics department, said she has learnt to be confident.

    “We were taught entrepreneurial skills, and to be confident for you to excel in that business. This initiative is really an eye opener. It dawned on me that certificate is not enough; and that you need to build yourself skillfully to suit the environment around you,” she said.

    Abiola Adesanya, a Zoology student, urged Multichoice to sponsor an education programme in their school which will benefit students.

    “A career forum can be of help in my school where ideas will be shared and students impacted with knowledge. This initiative has also shown me that for you to face challenges you need to be strong, stand out even when critics try to pull you down.”

    MultiChoice Media/External Relations Executive Mr Timothy Okwu said that about seven staff of the company once participated in previous initiative, in which he invited one of them forward to share her experience with the participants.

     

  • The rise and rise of Shoprite

    The rise and rise of Shoprite

    Seven years ago, retail giant Shoprite landed in the country when it opened its first outlet at The Palms in Lekki, Lagos. Between then and now, it has opened other outlets in Ibadan, Ilorin and Enugu. It still wishes to have more outlets, but it says it is being constrained by space. Tonia ‘Diyan reports.

     

    Retail giant Shoprite is contemplating expanding, but it is being hampered by space. Its parent company, Shoprite Holdings Ltd (SHL) claimed in its South African home country on Wednesday that it was being slowed down by lack of sites in Nigeria.

    Nigeria, with more than 160 million people, could eventually carry about the same number of stores as Shoprite has in South Africa, Chief Executive Officer Whitey Basson said in a presentation in Johannesburg.

    South Africa’s largest retailer, which has more than 800 stores in its home market, is in the process of adding 37 stores to the seven it already has in the West African country.

    “Nigeria could handle 600 to 800 stores if you look at the size of the cities,” Basson said. “Growth in Nigeria can go quickly, but that’s not dependent on Shoprite, but on sites. Non-South Africa property development is slower than we like.”

    As food retail in South Africa is becoming saturated and more competitive, Shoprite is expanding in the rest of Africa. Sales for the year through June climbed 28 per cent to 11.7 billion rand ($1.1 billion) in supermarkets outside its home market as the rand weakened against the dollar and some African currencies, making imports from South Africa more affordable. Supermarkets in the region contribute 14.2 per cent to total revenue.

    In addition to a lack of available property, supply lines outside of South Africa “remain a huge challenge,” Basson said. Shoprite’s lead time in Nigeria is 117 days and the retailer is considering building a distribution center in the west African country.

    According to Mr Whitey Basson , the chief executive officer, “Several cities in Nigeria have populations of more than eight million people. I can’t say all of them have the same spending power, but Nigeria can support the same number of supermarkets as South Africa.”

    “Even if you have 60 per cent of the population living in poverty, 40 per cent of the Nigerian population is still bigger than the South African population,” he said

    Mr Basson said the grocery store made a 19 per cent rise in first-half earnings and has about 950 supermarkets with 729 of them in South Africa. It plans to open more stores outside of South Africa, preferably in Nigeria soon but for the lack of properties. It also plans to enter the Democratic Republic of Congo.

    Given its population and potential for growth, retailers are increasingly targeting Nigeria. The country’s population cannot be compared to South Africa’s 50 million, according to World Bank estimates.

    Shoprite turned the tide of grocery shopping in the country when it opened in 2006 as an anchor store at The Palms, Lekki, Lagos.

    Consumer spending is improving in Africa’s biggest economy due to decades-low interest rates and above-inflation wage hikes, but the outlook is uncertain due lack of property in choice areas.

    Shoprite, a domestic merchant seen likely to lose the most from discounter Wal-Mart’s entry into the country, has been on an aggressive expansion drive in Africa.

    It said sales increased 13.2 per cent to 41 billion rand ($5.4 billion) after increasing prices by an average of 4.6 per cent and gaining nearly 30 million rand from favourable currency swings.

    Shoprite the leading retailer across Africa and the brand choice for many consumers across the African continent work hand in hand with many local Nigerian suppliers, buying in bulk in order to pass the cost savings onto shoppers. So this way, shoppers can continue to enjoy a world class shopping experience whilst saving money.

    Its large following of loyal shoppers can be attributed to their ability to offer the widest range of products and the highest standards of freshness and quality while maintaining the lowest prices.

    The past few years have seen the rise of modern shopping malls in Nigeria with Shoprite as the anchor tenant. It is just a natural progression from what has always been a way of life for an average Nigerian. Some Nigerians are great spenders.

    The potential buying power of Nigeria was recognised with the advent of democracy in 1999. There is recognition by the outside world that there is a lot of wealth here and there should be a market here. But the potential for more malls in Nigeria is hindered by insufficient access to land. A certain amount of land is required for a shopping mall, it is has to be a land in the right location and in the right place.

    According to Erejuwa Gbadebo, chief executive officer Broll Nigeria, there should be support from financial houses such that would provide access to finance for projects such as the shopping malls. These are projects that create jobs and stack up a revival in the micro economy around a place.

  • South Africa is destination of the year

    South Africa’s reputation as one of the world’s most sought-after offshoring destinations has received endorsement from the European Outsourcing Association (EOA), which named the country as its destination of the year.

    Last year’s winner was another African country, Morocco. It was honoured along with MEDZ Sourcing, which manages business parks in Morocco that are dedicated to offshoring.

    The EOA is Europe’s most important association of professionals and experts in the outsourcing industry, according to AbderrafieHanouf of MEDZ Sourcing. It has over 1,000 corporate members representing national trade associations from Austria, Belgium, France, Germany, Italy, Spain, The Netherlands, theUnited Kingdom.

    South Africa was a finalist last year, and this year saw off competition from Russia and Serbia to clinch the top spot, and put the continent of Africa on the global map. It also boosts the African brand

    The ceremony took place on in Amsterdam. South Africa was entered by the national association, Business Processing enabling South AfricaBusiness Processing enabling (BPeSA), and the award comes hot on the heels of its October, last year’s triumph at the London-based National Outsourcing Association’s yeraly ceremony, where it was voted the UK offshoring destination of the year.

    BPESA Western Cape Chief Executive Gareth Pritchard was delighted with the honour, saying it confirmed the quality of service that South Africa offered to its European clients. “Services in other languages, combined with a growing base of high-end skills in financial and legal services, have highlighted the country’s status as a world-class offshoring location,” he said.

    Offshoring contributes about $895-million to the province’s economy and employs thousands of people, according to the Western Cape’s minister of finance, economic development and tourism, Alan Winde.

    Statistics from the City of Cape Town reveal that the city’s outsourcing industry grew from 20,428 agents in 2007/8, to 27,552 in 2011/12 – a year on year increase of 10.5 per cent.

    During the same period, the offshoring sector increased from 2,963 to 4,727 agents. This represents a remarkable yearly growth of 16.9 per cent. Last year, the industry attracted investments of $57-million).

    A survey by the international research group Everest Consultancy named South Africa as one of the top three emerging offshore business process outsourcing (BPO) destinations in the world.

    Offshoring goes one step further than BPO, which relocates business processes that a company performs in-house, such as accounting or customer call centres, to a third-party service provider, to carry out on behalf of the company.

    Outsourcing becomes offshoring when the third-party service provider is located in another country.

    South Africa is expected to make steady progress in the offshoring sector in years to come, said senior analyst ParthaIyengar of technology research firm Gartner. He predicted the creation of 40,000 new jobs through offshoring by next year, while the local insourced sector would provide jobs for 120,000 people.

    Iyengar said by 2015, he expected offshore contact centre jobs in South Africa to grow over three times the number in 2010.

    Firms making use of South African facilities include, among others, British Gas; Amazon; Switzerland’s Edelweiss Air; global outsourcing leader WNS; Bloomberg; Virgin Mobile; Everything Everywhere, which handles communications for the Orange and T-Mobile brands; and British retailer Asda, which has been running its contact centre from Cape Town since 2005.