AFRICANGLOBE – International logistics courier company, DHL, has identified Africa as the next frontier for the global health sector, due to the huge demands for pharmaceutical products and services now emanating from emerging markets, rather than stronger markets such as Europe and North America.
Sumesh Rahavendra, Head of Marketing for DHL Express Africa, revealed this in an official statement, noting that the result of this shift has seen the continent record tremendous growth in the life sciences and healthcare sectors over the past years, as well as investment in healthcare development, especially in the logistics sector.
“Companies are increasingly turning to Africa due to the opportunities that the continent offers as it is one of the few locations that can still obtain double digit economic growth.
“The life sciences logistics model in Africa is therefore changing drastically as, in the last two and a half years, we have seen major growth in hubs like Kenya, servicing East Africa, and South Africa, which plays a key role for the Southern African Development Community (SADC) countries.”
Rahavendra identified certain factors including; rise in life expectancy, rate of urbanization and a rise of the middle class, that facilitated the this growth, also citing technological development, in terms of electronic commerce growth, as a further contributor to health sector re-emergence.
Despite certain industrial challenges such as increasing differentiation of supply chains and the need for companies to maintain a flexible supply chain to meet the growing requirements of innovative products, DHL believes the ongoing investment in the Africa will ensure the health sector continues to flourish in years to come.
By: Ehidiamhen Okpamen