Within 12 years, Nigeria & South Africa will no longer dominate the African continent, report

Euromonitor International said on Friday: "Africa’s two largest economies‚ Nigeria and South Africa‚ accounted for nearly 50% of the continent’s GDP in 2017. However‚ by 2030 these two countries will represent just 37% of Africa’s total GDP‚ demonstrating the rising economic importance of Africa’s emerging markets."

Ethiopia and Rwanda are expected to be the two fastest growing economies in Africa by 2030‚ the report states.

The financial institution predicted the growth prospects for all 55 nations in Africa, looking ahead to 2030. Ethiopia is set to improve its GDP by a huge 7.5%, closely trailed by Rwanda at 7.2%.

Mozambique is the only other country expected to see its economy grow by 7% or more, sitting in third place. Côte d’Ivoire and Sierra Leone make up the top five.

Furthermore‚ the report states, Africa will show the highest growth in disposable income globally over the forecast period to 2030‚ at 9% compound annual growth rate (CAGR).

Euromonitor International’s report‚ titled “Shifting Market Frontiers: Africa Rising”‚also identifies key trends‚ some of which are summarized here:

• Africa is the world’s second most populous continent. Its growing young population is expected to command nearly 20% of the world’s population by 2025. Equally so‚ rapid urbanisation and fast-growing consumer expenditure provide long-term opportunities.
• Diversity of consumers in Africa’s 55 independent states "requires a more granular and regional approach for a successful and sustained market entry".
• A flexible long-term strategy is required to succeed in the continent. "Despite signs of growing GDP and consumer expenditure‚ the challenges of the continent‚ such as lack of infrastructure‚ paucity of skills and political instability‚ require a flexible and long-term approach."
• Africans are increasingly connected. With high mobile penetration - reaching one billion in 2017 - 2030‚ Africa will also have 16% of the world’s internet users‚ which reflects growth of over 260% from 2017. "This offers opportunities in various consumer industries‚ which include finance‚ apparel‚ food and drink‚ and beauty and personal care."

Nestle to cut 500 jobs in biggest swiss restructuring plan

Nestle to cut 500 jobs in biggest swiss restructuring plan

Nestle said it plans to make the cuts over the coming 18 months. The company will offer employees training and help to switch to other positions and accept voluntary departures

Geneva: Nestle SA plans to cut as many as 500 computer-service jobs in its home market of Switzerland as chief executive officer (CEO) Mark Schneider aims to boost profitability at the world’s largest food company.

Nestle is shifting information-technology jobs to locations including a tech hub in Spain, the company said Tuesday. Its Nespresso coffee unit is also moving jobs to Spain and Portugal and will offer positions to 80 employees affected by that reorganization. The unit will open a site in Italy to work on developing boutiques.

Schneider is starting Nestle’s biggest restructuring program in Switzerland, reducing staff there by 5% after having faced pressure from investors such as Dan Loeb to cut costs. The strength of the Swiss franc in recent years has ramped up the company’s expenses. Chief Financial Officer Francois-Xavier Roger has accelerated Nestle’s five-year restructuring plan and has predicted 700 million francs ($706 million) of reorganization costs this year.

“Nestle remains fully committed to its home base,” Peter Vogt, head of human resources, said in a statement. The company said it’s investing 300 million euros ($346 million) in the country this year. “The relationship between Nestle and Switzerland is mutually beneficial.”

The stock traded 0.4% lower at 10:53am in Zurich, having dropped 7.3% in the past year.

In recent weeks, Nespresso workers in Lausanne, Switzerland, have protested against a plan to add more weekend shifts and lengthen workweeks to 43 hours from 41 at its capsule factories.

Nestle said it plans to make the cuts over the coming 18 months. The company will offer employees training and help to switch to other positions and accept voluntary departures.

The company had 323,000 employees worldwide in 2017, ranking sixth among European employers. Nestle’s Swiss staff has swelled to more than 10,000 last year from about 6,700 in 2003.

First Published: Tue, May 29 2018. 02 40 PM IST

FMG green lights $1.7b Eliwana with 500 jobs to come

FMG green lights $1.7b Eliwana with 500 jobs to come

Fortescue Metals Group has given the go-ahead to develop a new mine and rail project in the Pilbara.

The $US1.275 billion ($1.7 billion) Eliwana mine will include development of 143km of rail, a new dry ore processing facility and other associated infrastructure.

Eliwana, which will replace Fortescue’s depleting Firetail mine, is expected to operate at 30 million tonnes per annum with capacity for up to 50mtpa over a mine life of at least 24 years.

Fortescue revealed in November it was eyeing Eliwana as a replacement for Firetail, over the Nyidinghu deposit, which lies south of its Chichester Hub.

In an announcement to the stock market Monday morning, chief executive Elizabeth Gains said the project, west of FMG’s existing Solomon Hub operation, would maintain the miner’s low-cost status and allow it to supply a premium product to the market from existing operations in the second half of the 2019 financial year.

Ms Gaines said it would also help FMG maintain a minimum 170mtpa production rate over 20 years.

“Fortescue has now shipped over one billion tonnes of iron ore in just 10 years, generating strong returns from our position at the lowest end of the global cost curve,” she said.

FMG said a definitive feasibility study had already been completed with detailed design about to commence.

The mine will be financed from operating cash flows at a capital intensity of $US42 a tonne and production will start from December 2020.

It is expected to create up to 1900 jobs during construction and 500 full-time jobs once operational.

Applications lodged with the Environmental Protection Authority earlier this year showed the Andrew Forrest-controlled miner wants to build an accommodation camp, access roads, an airstrip and water pipelines at the site.

FMG has also sought approval for two worker camps, access roads, water pipelines and two bridges crossing existing rail and road infrastructure as part of its plans to extend its existing railway line 120km west from Solomon to Eliwana.

It is understood the preliminary works will not disturb a 3km section of the proposed railway route that is the subject of 5a dispute with a local Aboriginal group.

The Wintawari Guruma Aboriginal Corporation has called on the Federal Government to intervene to force the realignment of the route to protect the Spear Hill site north-west of Karijini National Park.