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CONSTRUCTION WORLD
SEPTEMBER
2015
EQUIPMENT
The recently published report, Deloitte
on Africa: African Construction Trends
2014, notes that investment by value
of mega projects under construction in Africa
grew by 46,2% in 2014 (from USD222-billion in
2013 to USD326-billion in 2014). Average project
value increased by 84%, fromUSD689-million in
2013 to USD1,27-billion in 2014.
“Power will be one of the continent's biggest
opportunities for the construction industry
in Africa going forward because the ability to
source power comes in many different formats,
all of which present huge opportunities for
the construction industry,” comments Terry
Gillham, Bell Equipment director of sales and
marketing. The development of road infra-
structure is another substantial opportunity for
construction in Africa, he says.
For construction players, quality equipment
is integral for the success of these projects.
“The right choice of the right equipment is
very important because a contractor doesn't
want to be going into any major construction
project in Africa in particular, with incorrect or
inferior equipment,” says Gillham. “It must be
good, reliable equipment that is well supported
by a company with the ability to service that
equipment because of the remote locations of
these projects,” he adds.
“Customers are looking for durability and
equipment that works well and performs under
stress – this is critical in all African countries,”
comments Riccardo Balma, Africa marketing
manager at CNH Industrial Construction Equip-
ment, one of the exhibitors at BAUMA CONEXPO
AFRICA 2015.
Investment in technological advancements
is another pertinent factor for equipment
suppliers. “Research and development (R&D)
is very important for all equipment suppliers,
particularly those servicing the mining and
construction sectors, not only to retain their
place in the market, but to continue meeting the
needs of their customers, whose requirements
are constantly evolving to tackle the new and
interesting challenges that come with working
in Africa,” says Crewe.
“Today the construction industry focuses
on latest technology developments and CNH
Industrial Construction Equipment is at the
forefront of the industry.
“After sales service is of great importance
to us and this is why we offer extended
warranty coverage and a wide range of main-
tenance plans that can be customized with
the dealer. Dealers play a key role to build this
customer satisfaction.
CNH Industrial construction equipment focuses
not only on technology to improve equipment
performance,” says Balma, “but also on keeping
equipment as cost effective as possible. “
“BAUMA CONEXPO AFRICA looks forward
to having new technologies and develop-
ments in earth moving equipment on display
in September. An equipment trade fair of this
nature will assist construction players to opti-
mise their operations, and therefore contribute
to the growth and development of the conti-
nent,” says Crewe. “As an African manufacturer
Elaine Crewe, CEO of BAUMA
CONEXPO AFRICA.
FROM PIT TO PROFIT
“With a relatively buoyant outlook, and a number of economies
across the continent experiencing some of the fastest and highest
growth in the world, it is no wonder that current investment in
infrastructure is so significant and growing. This is very good
news for earthmoving equipment companies operating in Africa,”
comments Elaine Crewe, CEO of BAUMA CONEXPO AFRICA.
we are proud to be able to showcase our prod-
ucts at an African trade show of this stature,”
concludes Gillham.
Balma says that BAUMA CONEXPO AFRICA
2015 offers a big opportunity for CNH Industrial
Construction Equipment as the company has
a strong focus on Africa. “BAUMA CONEXPO
AFRICA provides continent-wide opportunities
for customers tomeet us and our dealer , and we
will be present to showcase the strength of both
our products and our services,” he concludes.
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STRATEGIC ACQUISITION
Isuzu Truck South Africa recently announced the acquisition of
Port Elizabeth based KANU Commercial Body Construction and
Automotive Chassis Technologies (ACT) in a 100% buyout of each
entity, effective from August 2015.
This transaction will see Isuzu Trucks
change frombeing a typical commercial
Original Equipment Manufacturer (OEM)
to an enterprise type of business that has the
capacity to initiate and build products according
to client specifications.
“This acquisition complements our growth
strategy. We believe the acquisition of KANU
and ACT will definitely enhance our current
business structure. The move to acquire these
entities will centralise the process of buying our
trucks where everything will be processed from
one central point of contact,” says Isuzu Truck
South Africa COO, Craig Uren.
The directors of Isuzu Truck South Africa,
with full support of Isuzu Leadership in Japan,
have developed new strategies and plans with
structures in place to lead the business into this
new business cycle.
“Our scope of work and business is no
longer only focused on what leaves the factory
gate. Together with our dealers and supplier
base, Isuzu Truck South Africa will have a more
integrated relationship with current and future
customers in the life of their trucks,” says Uren.
This acquisition also comes with a new
appointment within the business. Current plant
manager, Sipho Sandla will move into a new
role as general manager leading the KANU/
ACT operation in Port Elizabeth, with outgoing
owner of KANU, Tony Wright, staying on in an
advisory capacity for a minimum of 12-months
to ensure a smooth transition. In 1991, Sandla
graduated with a Higher National Diploma
in Mechanical Engineering (B.Tech). To date,
Sandla has been working as an engineer in the
automotive manufacturing sector for over 23
years and has vast experience in all aspects of
the assembly line.
“Isuzu Truck South Africa will continue to
be one of the major contributors in the Eastern
Cape’s Gross Domestic Product (GDP). We
believe that every truck we sell into the market
possesses an economic opportunity with great
return on investment. The more we sell, the
more economies we create, and with that, the
creation of new job opportunities. South Africa
and the continent at large need greater and
stronger growth for our economies to develop,”
concludes Uren.
Sipho Sandla, new general manager of KANU/
ACT and Craig Uren, COO of Isuzu Truck
South Africa.
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