Africa's retail race will pump up food logistics

Thanks to the African supermarket phenomenon, intra-African trade is growing and that’s good news for the food logistics business, according to John Purchase, CEO of the South African Agriculture Business Chamber. “It will take time to sort out the many trade agreements amongst countries on the continent and to really improve the situation as there are many issues that have to be negotiated and considered, but what we are seeing with the retail race on the continent is very encouraging,” he said. With Shoprite Checkers leading the pack, large retail chains such as Pick n Pay, Woolworths and Spar have been opening up stores across Africa – and that has ultimately resulted in more volumes being transported across the continent, especially perishable cargo. “By June this year Shoprite will have opened 171 new stores, including 47 outside its home market of South Africa. Pick n Pay meanwhile has clearly indicated its intent to open at least 100 stores outside of South Africa in the next four years,” said Purchase. He said with urbanisation and the growing African population, the retail sector on the continent would continue to see growth. “African trade with African countries will have to grow to support the supermarket phenomenon that we are seeing.”