Africa has become a key player in the international plastics and packaging industry, and African countries have a high demand for plastic products. With the steady growth of Africa's demand for plastic products and plastic processing machinery, the African plastics industry is ushering in rapid growth and is considered to be one of the fastest growing markets for plastic products and plastic machinery.
The economic transformation and recovery of African countries, the market demographic dividend of more than 1.1 billion, and the huge long-term growth potential have made the African continent a priority investment market for many international plastic products and plastic machinery companies. These plastics branches with huge investment opportunities include plastic production Machinery (PME), plastic products and resin (PMR) fields, etc.
As expected, the growing African economy is stimulating the growth of the African plastics industry. According to industry reports, during the six years from 2005 to 2010, the use of plastics in Africa increased by an astonishing 150%, with a compound annual growth rate (CAGR) of approximately 8.7%. During this period, Africa's plastic imports increased by 23% to 41%, with huge growth potential. East Africa is an extremely important branch of the African plastics industry. At present, its plastic products and plastic machinery markets are mainly dominated by countries such as Kenya, Uganda, Ethiopia and Tanzania.
Kenya
The consumer demand for plastic products in Kenya is growing at an average annual rate of 10-20%. Over the past two years, Kenya’s imports of plastic materials and resins have grown steadily. Analysts believe that in the next few years, as the Kenyan business community begins to build manufacturing plants in its home country through imported machinery and raw materials to strengthen the country’s manufacturing base to meet the growing demand for plastic products in the East African market, Kenya’s demand for plastic products And the demand for plastic machinery will grow further.
Kenya's status as a regional business and distribution center in sub-Saharan Africa will further help Kenya to promote its growing plastics industry.
Uganda
As a landlocked country, Uganda imports a large amount of plastic products from regional and international markets, and has become a major importer of plastics in East Africa. It is reported that Uganda’s main imported products include plastic molded furniture, plastic household items, ropes, plastic shoes, PVC pipes/fittings/electrical fittings, plumbing and drainage systems, plastic building materials, toothbrushes and plastic household products.
Kampala, the commercial center of Uganda, has become the center of its plastics industry, as more and more manufacturing companies have been established in and around the city to meet Uganda’s growing demand for plastic household utensils, plastic bags, toothbrushes and other plastic products. demand.
Tanzania
In East Africa, one of the largest markets for plastic products is Tanzania. In the past few years, the number of plastic products and plastic machinery imported by the country from all over the world has been increasing, and it has become a profitable market for plastic products in the region.
Tanzania’s plastic imports include plastic consumer products, plastic writing instruments, ropes and wraps, plastic and metal frames, plastic filters, plastic biomedical products, plastic kitchen utensils, plastic gifts and other plastic products.
Ethiopia
Ethiopia is also a major importer of plastic products and plastic machinery in East Africa. Traders and wholesalers in Ethiopia have been importing a variety of plastic products and machinery, including plastic molds, GI pipes, plastic film molds, kitchen plastic products, plastic pipes and accessories. The huge market size makes Ethiopia an attractive market for the African plastics industry.
Analysis: Although the East African countries’ consumer demand and import demand for plastic packaging materials such as plastic bags have been forced to cool down due to the introduction of the “plastic ban” and “plastic restrictions”, the East African countries have been forced to cool down on other plastic packaging materials such as plastic pipes and plastic household items. The import of plastic products and plastic machinery continues to grow.
