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Finance

Top Investment Opportunities & Great Business Ideas To Start in Africa (Part 9)

Mining Equipment Repair and Spare Parts Supplier

The mining industry in Africa is the largest in the world. The economies of many African countries depend on the exploration and production of minerals. Africa’s mineral reserves rank among the top three in bauxite, cobalt, diamond, phosphate, platinum and vermiculite. Uranium, platinum, nickel, bauxite and cobalt are exported from Africa to the rest of the world.

The machines and equipment used in these mines require regular maintenance and spare parts. It is a profitable business idea to become a supplier and repairman of mining machinery and equipment due to the following advantages: The economies of many African countries depend on the mining industry, which generates huge revenues.

The machines in these mines are vital to the economy and require maintenance. For example, 85% of Botswana’s export earnings come from diamonds. International suppliers and OEMs have very strict requirements for regular maintenance schedules. Local businesses will have lower costs. Local companies in Africa can obtain huge profit margins. Investors interested in the mining industry should consider stocking spare parts for mining equipment. In addition, they should consider providing internal services for the maintenance of mining machines. They can seize a very good and profitable market opportunity.

Tire recycling

Tire waste recycling is a very important sector for the sustainable development of our global economy. In addition, the government and international development agencies strongly support the recovery of investment in Africa. They provide economic and financial incentive programs for investment recovery. For African decision makers, tire recycling is a very profitable business idea. The number of cars and trucks in all African countries is increasing. In Nigeria, there are more than 12 million cars. In Kenya, this number exceeds 3 million. The tires can be used for about 4 years. This means that there are more than 12 million waste tires in Nigeria alone. Government incentives and funds from international development organizations have promoted investment in waste tire recycling facilities.

The South African Recycling and Economic Development Initiative REDISA is responsible for a program to collect and recycle used tires in Africa. Other countries in sub-Saharan Africa also have grants for sustainable development. Investors in sub-Saharan Africa will benefit greatly from investing in the waste tire recycling business. They must comply with government plans and funding from international development organizations. The final materials for recycled tires are rubber and scrap cables. They can be sold on the aftermarket. In addition, companies can make money from government subsidies.

By Alexander Asiedu Ofori

A passionate writer, content creator and a Pan-African

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