kenya - goto.capetowngoto.capetown/pdf_repository/2015 kenya consumer goods.pdf · executive...

Kenya Consumer Goods (Personal care and Home care)

Executive Summary

This sector fact sheet provides key trade and investment related statistics for the Kenyan consumer goods sector,

particularly the personal and home care products segment. Specifically, it shows global trade and investment flows

including an analysis of top markets and products for South Africa and the Western Cape, highlighting the largest

and fastest growing products and sub-sectors. The key highlights in the consumer goods sector are provided below:

TRADE:

Despite having manufacturers in the country catering for this segment of consumer goods, demand has

continually outstripped supply leading to continual trade deficits.

Increasing its exports by 18%, South Africa was the fifth largest import market commanding close to 8%

market share and second only to Egypt within Africa.

If Kenyan import demand continues on this trend, the East African nation can prove to be a viable market

for South African exports.

In 2013 the Kenyan market once again increased its demand for South African made personal and

homecare products as exports to the East African nation increased by 32%.

South Africa’s leading export to Kenya was beauty, makeup and suntan preparations valued at

ZAR34.7m, exports of this good also increased by 29% from 2013.

After going through a years of successive export decline, Western Cape exports to Kenya rebounded in

2011. 2013 gave encouraging signs of recovery with exports expanding by 34%.

The anticipated growth in the Kenyan economy and the rate of urbanisation, gives scope for the province

to expand its product offering.

INVESTMENT:

Thus far one investment from the Western Cape has been recorded into Kenya by Woolworths in 2014.

This investment worth ZAR432.4m was part of Woolworths plans to expand its retail footprint in Kenya

and in Africa.

2

Table of Contents

Executive Summary ................................................................................................................................ 1

1. Product Description ......................................................................................................................... 3

2. African Market ................................................................................................................................. 3

3. Kenya Consumer Goods Market ..................................................................................................... 4

4. Trade ............................................................................................................................................... 6

4.1 Kenya global trade in consumer goods ................................................................................... 6

4.2 South African trade of Consumer goods with Kenya .............................................................. 9

4.3 Western Cape Trade of consumer goods with Kenya .......................................................... 11

5. FDI ................................................................................................................................................. 12

5.1 Inward FDI ............................................................................................................................. 12

3

1. Product Description

The global consumer goods industry consists of any tangible commodity purchased by households to satisfy their

wants and needs. Consumer goods may be durable or non-durable. Durable goods (e.g., autos, furniture, and

appliances) have a significant life span, often defined as three years or more, and consumption is spread over this

span. Non-durable goods are purchased for immediate or almost immediate consumption and have a life span

ranging from minutes to three years. Examples of non-durable goods include food, clothing, and gasoline.

This factsheet will focus on the personal care products and homecare products

Personal Care Products: This segment includes shampoo, toothpaste, soap, deodorants, and make-up.

Homecare Products: This segment includes household cleaners and kitchenware.

2. African Market The consumer goods sector is rapidly growing within Africa, its growth potential lies not just in the expanding middle

class but also in Africa’s overall population growth. Africa’s collective population is estimated at around 1 billion

people at present, and it is expected to grow rapidly to 1.4 billion by 2025, where China is currently. According to

data from the Population Reference Bureau, Africa is a young continent with around 41% of the total population

under the age of 15 years. In addition, Africa is becoming increasingly urbanised. According to an Africa Progress

report (2010) by consulting group Frost & Sullivan, African city populations will increase by 25% by 2025, while by

2050, 60% of Africa’s population will reside in urban areas. Urbanisation is linked to an increased demand for fast

moving consumer goods (FMCG), in which the personal and homecare products segment belongs to.

The figure below shows Africa’s top 10 retail companies with Shoprite holdings securing 1st place with USD9.87bn.

The companies are all headquartered in South Africa.

Source: The Habari Network, 2015

Several analysts have compared the African potential for FMCG favourably to the Indian potential. Both are huge,

emerging consumer markets, but unlike India, Africa has 55 countries, and that means around 55 different rules,

regulations and border controls to consider when moving FMCGs. This is one of the biggest barriers FMCGs

companies will need to overcome to maximise growth on the continent. Despite these issues, the future looks bright

for FMCG on the continent as the number of consumers and their expendable income continues to rise in the

coming decades.

1,9

1,9

2,7

3

3,1

3,4

5,1

7

7,2

9,87

0 2 4 6 8 10 12

Clicks Group

Foschini

Masscash

JD Group

Edgars Consolidated Stores

Woolworths holding Limited

The Spar Group

Pick n Pay

Massmart Holdings

Shoprite holdings

AFRICA'S TOP 10 RETAIL COMPANIES, USDbn

4

3. Kenya Consumer Goods Market

The prosperous middle class has contributed to rising demand in recent years which is not being met locally. GDP

growth is around 6% and is likely to climb to 7% in the forecasted future. Moreover, the strong regional integration

among the East African states provides even more potential for the sector due to access to larger markets.

Investment opportunities include construction of 10 wholesale markets with a total investment of USD49m;

investment in infrastructure, export houses, distribution centres, etc.

COMPANIES IN KENYA’S PERSONAL & HOME CARE MARKET

INVESTING COMPANY SOURCE COUNTRY

(IF SUBSIDIARY) SUB-SECTOR BRANDS

Unilever Kenya Ltd. United Kingdom FMCG Omo, Geisha, Lux, Sunlight, Vaseline, Lady gay, Fair & Lovely, Lifebouy and Close up.

PZ Cussons East Africa Ltd.

United Kingdom FMCG Imperial Leather Soap, Ushindi Laundry Soap, Venus Haircare, Robb Medicaments

Procter & Gamble United States FMCG Pampers, Ariel, Always, Oral-B, Gillette, Safeguard

Weidner East Africa ltd Germany Home care products Weidner

Eveready East Africa Ltd. United States of America

Personal care Schick

Colgate-Palmolive East Africa

United States FMCG Colgate, Palmolive, Ajax, Sta-soft, Speed stick, Sanex

Glaxo-SmithKline United States Pharna Sensodyne, Aquafresh, Biotene, parodontax, physiogel

Reckitt Benckiser United Kingdom FMCG Harpic, Veet, Clearosil, Woolite,Dettol, Vanish

SC Johnson United States FMCG Duck, Glade, Grand Prix, Kiwi, Mr. Muscle, Windex

Kapa Oil Refineries Kenya FMCG Limo, Tower, Toss white,

Bidco Africa Kenya FMCG Power Boy, Msafi white, Gental Washing powder, Nuru, Kuku, White Star, Msafi

Kronex Chemicals Ltd. Kenya FMCG Basil Dish Washing Liquid, Basil toilet soap,

Haco Industries South Africa FMCG ACE, miada, Bloo, Sosoft

Buyline Industries Ltd. Kenya Personal Care Luron, King of hearts, Cobra, Bigen, Maws

Interconsumer Products Kenya

Kenya Personal Care Golden Shine, Snodent, Bouncy, All-Tyme

Source: Euromonitor, Various, 2015

Unilever Kenya is the market leader in the personal care industry. The company has been present in Kenya for a

long time, and has established a strong distribution network. In the oral care market, Unilever (Close Up) faces

competition from Colgate-Palmolive East Africa (Colgate) and GlaxoSmithKline Kenya Limited (Aquafresh).

Throughout the Middle East and African region, Colgate is the number one brand for toothpaste and toothbrushes,

and the second most popular brand for mouthwash. Meanwhile, Procter & Gamble (P&G) is looking to grow its oral

care market share in the region, and recently launched its Oral-B toothbrush. As incomes rise and the proportion

spent on food declines, there is a strong growth expected in the oral care sector.

The homecare segment stands to benefit from the current boom in construction activities taking place across the

country, as it will increase the need for specialised cleaning products. According to Euromonitor (2015) two strong

multinationals led sales of home care in 2014, namely Unilever and Proctor & Gamble. These players benefit from

heavy investment in marketing and new product development and compete aggressively. Behind these leaders

are multinationals SC Johnson and PZ Cussons, with the leading domestic player being Kapa Oil Refineries in fifth

place. In the toilet care category, Reckitt Benckiser is the market leader thanks to its popular Harpic brand.

Tiger Brands, a well-known South African player in the food and beverages sector (South Africa), has recently

acquired a 51% stake in Haco Industries, which produces stationery, home and personal-care products such as

ACE and MIADI in Kenya (Financial Mail, 2015). Another South African company Distribution & Warehousing

Network (Dawn) is expected to open an office in Nairobi to distribute its branded hardware, sanitary ware, plumbing,

kitchen, engineering and other products after an initial investment of US$1m. Retailer Massmart, whose intention

to buy a stake in retailer Naivas Supermarket failed last year because of a due diligence failure on the part of the

Kenyan chain, however Massmart say they are still interested in entering Kenya and may open their own branded

outlets (Financial Mail, 2015).

5

Euromonitor International expects the introduction of new fragrances in the toilet care market to boost sales in the

near future. Meanwhile, air care products have traditionally not sold well in Kenya, as they are not considered a

necessity. However, this is slowly starting to change, and sales have picked up of late as their use in commercial

buildings has increased. Unilever is the clear market leader, with the company accounting for around half of all

sales in value terms. The company’s Omo and Sunlight brands are well established and Unilever can capitalise on

its strong distribution network that have been built over a number of years. According to research by Euromonitor

International, strong growth is expected for this category on the back of increased innovation and brand

diversification, as well as the ongoing switch from bar format cleaning products to liquid forms.

Increased competition in the beauty and personal care market spurred growth during 2014. Availability of a variety

of products for consumers to choose from, accessibility through growth in retail outlets and high end advertising

adopted by industry players, are key factors that promoted growth in this market according to Euromonitor (2015).

Value growth, however, is slightly lower than it was during the review period, as whilst consumers are spending,

they are being more cautious with their spending during times of financial pressure.

6

4. Trade

4.1 Kenya global trade in consumer goods

For the past 10 years, Kenya has been a net importer of personal and homecare products. Despite having

manufacturers in the country catering for this segment of consumer goods, demand has continually outstripped

supply leading to the continual trade deficits. Imports in 2013 once again demonstrated Kenya’s demand for

personal and homecare goods growing by 25% resulting in Kenya’s largest trade deficit in recent times.

Source: TradeMap, 2015

Kenya’s top export markets were fellow African countries and direct neighbours. Uganda (ZAR259.6m), Tanzania

(ZAR203.4m) and Zimbabwe (ZAR132.7m) were Kenya’s largest export markets. These three nations imported

65% of Kenya’s exports of personal and homecare goods.

Egypt (ZAR296.5m) was Kenya’s largest personal and homecare import market. The second largest import market,

China (ZAR195.9m) commanded 16% of Kenya’s personal care and homecare imports, followed by India

(ZAR110.8m) with 9%. Increasing its exports by 18%, South Africa was the fifth largest import market commanding

close to 8% market share, second only to Egypt within Africa.

TOP 10 DESTINATION MARKETS FOR EXPORTS OF CONSUMER GOODS FROM KENYA , 2013

TOP 10 SOURCE MARKETS FOR IMPORTS OF CONSUMER GOODS TO KENYA, 2013

RANK DESTINATION

MARKET

VALUE 2013

(ZARm)

% GROWTH 2012-2013

% SHARE

2013 RANK SOURCE MARKET

VALUE 2013

(ZARm)

% GROWTH 2012-2013

% SHARE

2013

1 Uganda 259.6 34.79% 28.15% 1 Egypt 296.5 -0.55% 23.90%

2 Tanzania 203.4 11.38% 22.05% 2 China 195.9 76.25% 15.79%

3 Zimbabwe 132.7 6.51% 14.39% 3 India 110.8 41.88% 8.94%

4 Zambia 100.9 10.83% 10.94% 4 Indonesia 97.8 55.52% 7.88%

5 Malawi 70.6 -3.17% 7.66% 5 South Africa 97.6 18.42% 7.87%

6 Rwanda 61.0 -3.38% 6.62% 6 United Kingdom 68.6 20.87% 5.53%

7 Ethiopia 41.5 -22.34% 4.50% 7 United States 52.3 41.87% 4.21%

8 Burundi 22.5 80.25% 2.43% 8 Germany 48.4 40.15% 3.90%

9 Mozambique 7.23 345.54% 0.79% 9 France 35.8 -1.72% 2.89%

10 Mauritius 6.7 37.89% 0.73% 10 Tanzania 32.7 4.29% 2.64%

TOTAL EXPORTS 922.3 13.08% 100.00% TOTAL IMPORTS 1 240.4 25.42% 100.00%


2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Exports (ZARm) 160,8 258,5 254,4 267,2 482,9 506,9 501,9 713,3 815,6 922,3

Imports (ZARm) 221,3 316,8 308,2 493,2 605,3 562,7 800,5 809,1 989,0 1 240,4

Trade Balance (ZARm) -60,5 -58,3 -53,8 -226,0 -122,4 -55,8 -298,6 -95,8 -173,4 -318,1

-400

-200

0

200

400

600

800

1 000

1 200

1 400

Valu

e (

ZA

Rm

)

KENYA GLOBAL TRADE OF CONSUMER GOODS, 2004-2013

7

The top exported consumer products by Kenya to the top destination markets are listed below:

Uganda (HS6)

Surface-active prep, washing & cleaning prep put up for retail sale (ZAR77m)

Toilet soap & prep, shaped; papers & nonwovens impregnated with soap for toilet use (ZAR60m)

Tableware and kitchenware of plastics (ZAR32m)

Household and toilet articles made of plastic (ZAR31m)

Beauty or make-up preparations nes; sunscreen or sun tan preparations (ZAR26.5m)

Tanzania (HS6)



Soap & organic surf prep, shaped, nes; papers & nonwovens impregnated with soap/preparations,

nes (ZAR63m)

Beauty or make-up preparations nes; sunscreen or sun tan preparations (ZAR36m)

Hair preparations, nes (ZAR24m)

Zimbabwe (HS6)


Toilet soap & prep, shaped; papers & nonwovens impregnated with soap for toilet use ZAR37m)

soap, nes (ZAR24m)


Other surface-active prep, washing & cleaning prep (ZAR2m)

Zambia (HS6)

Polishes, creams & similar preparations for footwear or leather (ZAR26m)

soap, nes (ZAR20m)



Anionic surface-active agents (ZAR8m)

The top imported consumer products by Kenya from the top source markets are listed below:

Egypt (HS6)

Surface-active preparations, washing and cleaning preparations, nes (ZAR329m)


Room perfuming or deodorizing preparations (ZAR2m)


Dentifrices (ZAR1m)

China (HS6)



Household and toilet articles nes, of plastics (ZAR14m)

Dentifrices (ZAR12m)


India (HS6)


Dentifrices (ZAR14m)



Surface-active preparations, washing and cleaning preparations, nes (ZAR5m)

8

Indonesia (HS6)

Non-ionic surface active agents (ZAR2m)



Powders for skin care (ZAR1m)

South Africa (HS6)


Hair preparations, nes (ZAR19m)

Personal deodorant and antiperspirant (ZAR7m)

Other oral or dental hygiene (ZZAR5m)


Kenya’s largest export of personal and homecare products were surface-active preparations to the value of

ZAR295.2m. Toilet soap (ZAR162.9m) and polishes, creams & similar preparations for footwear or leather

(ZAR90.8m) were the second and third largest exports from Kenya. Compared to Nigeria, which is another fast

growing African nation, Kenya already has personal and homecare product manufacturers active in this economy.

Therefore it is able to export a range of goods to surrounding countries.

The leading import product by Kenya was surface-active preparations, valued at ZAR275.3m. Imports of this good

were less than its exports (ranked 1st), however these imports grew faster compared to exports. Dentifrices,

(ZAR122.6m) and toilet soap (ZAR119.1m); were ranked second and third, respectively. Barring the benign

growth seen in soap & organic surf preparations, most of Kenya’s top import products experienced growth in

excess of 19%. If import demand continues on this trend, Kenya can prove to be a viable market for South African

exports and they could also use Kenya as a testing ground for exploring the other surround markets in East Africa.

KENYA'S GLOBAL TOP EXPORTS OF CONSUMER GOODS, 2013 KENYA'S GLOBAL TOP IMPORTS OF CONSUMER GOODS, 2013

RANK PRODUCT VALUE

2013 (ZARm)

% GROWTH 2012-2013

RANK PRODUCT VALUE

2013 (ZARm)

% GROWTH 2012-2013

1 Surface-active prep, washing & cleaning prep put up for retail sale

295.2 41.42% 1 Surface-active prep, washing & cleaning prep put up for retail sale

275.3 117.27%

2 Toilet soap & preparations, shaped; papers & nonwovens impregnated with soap for toilet use

162.9 15.02% 2 Dentifrices 122.6 41.30%

3 Polishes, creams & similar preparations for footwear or leather

90.8 39.99% 3 Toilet soap & preparations, shaped; papers & nonwovens impregnated with soap for toilet use

119.1 21.79%

4 Soap 73.4 -42.72% 4 Beauty or make-up preparations nes; sunscreen or sun tan preparations

106.2 40.53%

5 Soap & organic surface prep, shaped, nes; papers & nonwovens impregnated with soap/prep, nes

62.9 -15.12% 5 Tableware and kitchenware of plastics

75.5 32.20%

6 Beauty or make-up preparations nes; sunscreen or sun tan preparations

60.6 111.56% 6 Perfumes and toilet waters 64.8 19.09%

7 Surface-active preparations, washing and cleaning preparations, nes

29.3 88.80% 7 Anionic surface-active agents 55.9 39.39%

8 Tableware and kitchenware of plastics 25.3 -8.02% 8 Household and toilet articles, of plastics

48.0 181.92%

9 Hair preparations, nes 25.3 16.93% 9 Soap & organic surface prep, shaped, nes; papers & nonwovens impregnated with soap/prep, nes

40.7 3.49%

10 Household and toilet articles nes, of plastics

20.3 4.66% 10 Personal deodorants & antiperspirants

35.9 94.46%

TOTAL EXPORTS 922.3 13.08% TOTAL IMPORTS 1240.4 25.42%


9

4.2 South African trade of Consumer goods with Kenya

The figure below shows South Africa’s trade of personal and home care products with Kenya for the period 2005

to 2014. Trade between the two nations has been dominated by South African exports to Kenya resulting in

continuous trade surpluses for the 10 year period. In 2013 the Kenyan market once again increased its demand

for South African made personal and homecare products as exports to the East African nation increased by 32%.

This increase in exports combined with a minute level of imports pushed South Africa’s trade surplus to a record

level.

Source: Quantec, 2015

South Africa’s leading export to Kenya was beauty, makeup and suntan preparations valued at ZAR34.7m, exports

of this good also increased by 29%. A survey conducted by Kenyan businesswoman Suzie Wokabi (founder of

SuzieBeauty Cosmetics) showed that Kenyan women are willing to spend up to 20% of their salaries on beauty

products. Thus exports of beauty products should continue increasing for the foreseeable future. Soaps for toilet

use, (ZAR16m) was the second largest export to Kenya, it’s 253% growth displaced hair waving or straightening

preparations (ZAR14.4m) into 3rd position.

Accounting for 84% of South Africa’s imports, plastic table and kitchenware were the largest import from Kenya.

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Exports (ZARm) 41,4 61,4 60,7 89,6 80,6 87,6 79,3 75,5 90,7 119,5

Imports (ZARm) 30,9 0,6 6,0 17,3 0,1 0,4 1,3 1,5 0,9 1,3

Trade Balance (ZARm) 10,5 60,8 54,6 72,3 80,5 87,2 78,0 74,1 89,9 118,2

0

20

40

60

80

100

120

Valu

e (

ZA

Rm

)

SOUTH AFRICA'S TRADE OF CONSUMER GOODS WITH KENYA, 2005-2014

10

TOP 10 CONSUMER GOODS EXPORTED BY SOUTH AFRICA TO KENYA, 2014

TOP 10 CONSUMER GOODS IMPORTED BY SOUTH AFRICA FROM KENYA, 2014

RANK HS

CODE PRODUCT

VALUE 2014 (ZAR)

% GROWTH 2013-2014

RANK HS

CODE PRODUCT

VALUE 2014 (ZAR)

% GROWTH 2013-2014

1 330499 Beauty, makeup and suntan preparations nes

34 715 711 28.74% 1 392410 Plastic table and kitchen ware

1 065 788 48.97%

2 340111 Soaps, for toilet use, solid

16 015 583 252.91% 2 392490 Plastic household, toilet articles not table, kitchen

164 237 -

3 330520 Hair waving or straightening preparations

14 388 356 -20.69% 3 340120 Soaps 14 099 28098.00%

4 330720 Personal deodorants and antiperspirants

7 344 583 -6.01% 4 330590 Hair preparations 11 546 18827.87%

5 392490 Plastic household, toilet articles not table, kitchen

5 733 178 5345.39% 5 330499 Beauty, makeup and suntan preparations nes

6 625 -49.25%

6 330690 Oral & dental hygiene preparations, except dentifrices

5 469 540 -17.92% 6 340130

Soap; organic surface-active products and preparations for use as soap, in the form of bars, cakes, moulded pieces or shapes, whether or not containing soap

2 584 -

7 330590 Hair preparations, nes

5 467 166 -7.27% 7 340319 Lubricating oil etc containing <70% petroleum oil nes

2 122 -88.45%

8 330491 Powders, for skin care and make-up

4 647 188 103.64% 8 330410 Lip make-up preparations 1 981 2.11%

9 340220 Washing and cleaning preparations, retail

4 477 376 109.74% 9 330430 Manicure or pedicure preparations

1 100 -

10 330610 Dentifrices 3 609 959 91.02% 10 340290 Organic surfactant washing, cleaning preparations nes

1 088 6.56%

TOTAL EXPORTS 119 511 815 31.70% TOTAL IMPORTS 1 276 115 48.85%


11

4.3 Western Cape Trade of consumer goods with Kenya

In the period shown below, the province has been a net exporter of personal and homecare products to Kenya as

its exports have been far greater than its imports. The province’s trade follows a business cycle, after going through

years of successive export decline, exports rebounded in 2011 reaching their peak and then declined once again.

2013 gave encouraging signs of recovery with exports expanding by 34%.


As with national exports beauty, makeup and suntan preparations (ZAR1.8m) were the province’s largest export to

Kenya. Dentifrices (ZAR1.2m) were the second largest export followed by personal deodorants and antiperspirants

(ZAR521 501). These three products accounted for 93% of the Western Cape’s personal and homecare products

to Kenya. However with the anticipated growth in the Kenyan economy and the rate of urbanisation, there is

definitely scope to expand the product based beyond these three goods.

In terms of imports, plastic table and kitchen ware (ZAR2 587), hair preparations (ZAR2 546) and hair lacquers

(ZAR2 495) were the only significant imports.

TOP 10 CONSUMER GOODS EXPORTED BY THE WESTERN CAPE TO KENYA, 2013

TOP 10 CONSUMER GOODS IMPORTED BY WESTERN CAPE FROM KENYA, 2013

RANK HS

CODE PRODUCT

VALUE 2013 (ZAR)

% GROWTH 2012-2013

RANK HS

CODE PRODUCT

VALUE 2013 (ZAR)

% GROWTH 2012-2013

1 330499 Beauty, makeup and suntan preparations nes

1 777 169 510.53% 1 392410 Plastic table and kitchen ware

2 587 -

2 330610 Dentifrices 1 232 198 92.63% 2 330300 Perfumes and toilet waters 2 546 -

3 330720 Personal deodorants and antiperspirants

521 501 -64.80% 3 330499 Beauty, makeup and suntan preparations nes

2 495 -

4 340120 Soaps nes 46 981 75.13% 4 330741 Agarbatti, odorifers operated by burning

386 -

5 330730 Perfumed bath salts and other bath preparations

36 891 194.35% 5

6 330300 Perfumes and toilet waters

34 479 13.48% 6

7 330410 Lip make-up preparations

31 444 -7.64% 7

8 330710 Pre-shave, shaving and after shaving preparations

19 190 -3.37% 8

9 330510 Hair shampoos 16 799 - 9

10 330430 Manicure or pedicure preparations

15 422 -65.96% 10

TOTAL EXPORTS 3 798 028 33.59% TOTAL IMPORTS 8 014 1003.86%


2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Export (ZAR) 4 763 126 5 562 896 4 390 341 3 370 615 2 501 247 2 357 289 3 361 651 5 795 032 2 842 964 3 798 028

Imports (ZAR) 6 911 6 728 4 160 3 427 31 21 533 13 719 1 360 726 8 014

Trade Balance (ZAR) 4 756 215 5 556 168 4 386 181 3 367 188 2 501 216 2 335 756 3 347 932 5 793 672 2 842 238 3 790 014

0

1 000 000

2 000 000

3 000 000

4 000 000

5 000 000

6 000 000

Valu

e (

ZA

R)

WESTERN CAPE TRADE OF CONSUMER GOODS WITH KENYA, 2004-2013

12

5. FDI

5.1 Inward FDI

Between January 2004 and November 2014 a total of 10 FDI projects were recorded into Kenya’s consumer goods

sector. These projects represent a total capital investment of ZAR3.7bn which is an average investment of

ZAR372.2m per project. During the period, a total of 2,670 jobs were created. Thus far one investment from the

Western Cape has been recorded into Kenya by Woolworths in 2014. This investment worth ZAR432.4m was part

of Woolworth plans to expand its retail footprint in Kenya and in Africa.

INWARD FDI INTO KENYA'S CONSUMER GOODS SECTOR, 2004-2014

DATE INVESTING COMPANY

SOURCE COUNTRY

SUB-SECTOR CLUSTER INDUSTRY ACTIVITY

CAPEX (ZARm)

JOBS CREATED

Jun-14 Bigot Fleurs France Other (Consumer Products )

Consumer Goods Manufacturing 59.8 200

Apr-14 Woolworths (South Africa)

South Africa Miscellaneous store retailers

Retail Trade Retail 432.4 179

Oct-13 Unilever UK Other (Consumer Products )

Consumer Goods Manufacturing 2 406.3 1693

May-13 EcoZoom United States Furniture, homeware & related products (Consumer Products)

Consumer Goods Sales, Marketing & Support

51.6

18

Sep-12 Grohe Germany Furniture, homeware & related products (Consumer Products)


51.6

18

Jun-12 3M United States Other (Consumer Products )


51.6

18

Dec-11 L'Oreal France Cosmetics, perfume, personal care & household products


51.6

18

May-11 Dabur India India Cosmetics, perfume, personal care & household products

Consumer Goods Manufacturing

191.0 243

Jan-10 Cilek Turkey Furniture, homeware & related products (Consumer Products)


51.6

18

Nov-08 Oriflame Sweden Cosmetics, perfume, personal care & household products

Consumer Goods Logistics, Distribution & Transportation

374.9

265

Source: FDI Intelligence, 2015

For more information on this publication and other Wesgro publications please contact [email protected] or for more

publications visit the Wesgro publications portal on our website at http://wesgro.co.za/publications

mailto:[email protected]

http://wesgro.co.za/publications

kenya - goto.capetowngoto.capetown/pdf_repository/2015 kenya consumer goods.pdf · executive...

Documents