Global shipping company Hapag-Lloyd expands presence in Africa, opens office in Kenya

KENYA – Hapag-Lloyd, one of the world’s leading liner shipping companies has announced the opening of a new office in Kenya as part of its growth strategy in Africa.

The German shipping company mainly transports agricultural goods out of Kenya, especially tea, coffee, fruits and textiles, and ships in chemicals, foodstuffs and a wide range of goods made of plastic or rubber.

Setting base at East Africa’s largest economy, Hapag-Lloyd’s main business in Kenya will be managed from the port city of Mombasa served by 19 staff members and supported by an office in Nairobi with 6 employees and 1 employee in Uganda.

Global food logistics market size is poised to grow by US$ 55.86 billion during 2020-2024 progressing at a CAGR of 8%

RESEARCH and Markets

The new office will be headed by Country Manager Prashant Sindhwani.

Setting base in Kenya will further enhance the company’s regular inland connections to and from Mombasa with landlocked East African countries – such as Uganda, Rwanda, Burundi and South Sudan.

As part of its growth strategy, the shipping company is seeking to develop inland connections to Somalia, Southern Ethiopia and Northern Tanzania.

“Kenya is the economic hub of East Africa and the most important growth region on the continent.

“By opening our new office in Kenya, we expect to continue our robust growth on the African continent,” said Dheeraj Bhatia, Senior Managing Director Region Middle East at Hapag-Lloyd.

With the opening of the new office, Hapag-Lloyd now has own five offices on the continent in South Africa, Egypt, Ghana, Nigeria and Kenya.

Via the gateway port of Mombasa, the shipping company offers two different services i.e., connecting Kenya with some of the most important ports in Asia, such as Singapore and Shanghai through the China Kenya Express Service (CKX).

Further to that it links the East African country with the west coast of India and Jebel Ali in Dubai through the East Africa Service (EAS2).

“Our Strategy 2023 focuses not only on becoming the “Number One for Quality”, but also on selected growth markets worldwide. We see an enormous growth potential in Africa and will further invest into our services and selected countries,” Rolf Habben Jansen, Chief Executive Officer at Hapag-Lloyd said.

With a fleet of 234 modern container ships and a total transport capacity of 1.7 million TEU, Hapag-Lloyd ensures fast and reliable connections between more than 600 ports on all the continents.

The company operates in an industry with a global market size valued at US$7.641 trillion in 2017 according to Allied Market Research. The logistic market is projected to reach US$12.975 trillion by 2027, registering a CAGR of 6.5%.

Focusing on food logistics, the market is poised to grow by US$ 55.86 billion during 2020-2024 progressing at a CAGR of 8% during the forecast period, indicates Research and Markets.

In a congratulatory note, German Ambassador to Kenya Annett Günther stated, “Kenya as a regional and continental hub for trade relies on strong and efficient logistics service providers.

“Hapag-Lloyd has been serving the region for many years, so it is a logical step, and a good sign for the business community in Kenya, that they are now establishing a permanent presence in Mombasa and Nairobi.”

The company recently opened its Quality Service Center in Mauritius.

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