Unilever, the FMCG major is weaving fresh hopes for its market in Africa. The company foresees high prospects in the country after the BRICS summit. Africa is the company’s next potential destination after Asia and the company hopes that its African market will reach new heights within the next 10 or 15 years.
The reason why the company is banking its hopes on Africa is its population rate and a better GDP growth. The country has a population of approximately 800 million people and the country’s GDP growth is steady at 5 to 6 per cent per annum. The company expects its business to flourish in countries that have a population of 100 million and above.
The markets in the BRICS countries, – Brazil, Russia, India, China and South Africa gives the company every reason to dream big with a heavy population and better growth. The company now places its hopes on the BRICS countries along with thirteen other markets. All these countries have a population of 100 million and above and hence the company sees a heavy business potential.
The company is also planning to open a deodorant manufacturing unit in Maharashtra in India, but has not made public the details of its functioning. The plant is currently awaiting some of the approvals from the Government of India. A senior official from Hindustan Unilever Limited made it clear that once the plant becomes operational, it would serve the needs of certain South Asian countries as well.
The company also remains unfazed with the Government’s recent decision to introduce Foreign Direct Investment in Multi-brand retail and is confident of continuing its developments with the present strategy. The Indian rural areas are the greatest consumers and the company is keen about tapping the opportunity. This is because a majority of the population lives in rural areas in India. The company is eyeing growth in years to come and staying positive with its strategies, time will only tell whether this approach of Unilever to focus on BRICS countries is going to pay dividends.