AFEX emerges Financial Times fastest growing company in Africa
By Onome Amuge
AFEX, Nigeria’s leading commodities market player, has emerged as Africa’s fastest growing company in the Financial Times (FT) 2023 ranking of the continent’s 100 best performing companies.
The Financial Times second consecutive Africa annual ranking comprises innovative, modern and fast-growing companies that are the driving force of the continent’s economy in the 21st century.
The 2023 list features 50 companies with the strongest revenue growth in Africa between 2018 and 2021, selected from thousands of entrants across the world’s second most populated continent.
The world’s leading global business publication placed AFEX at the summit of the ranking following the company’s remarkable revenue growth and compound annual growth of 505.289 per cent, the fastest accomplishment of any African company within the reviewed period.
AFEX’s inclusion in the prestigious list also indicates a rapid progression of the leading commodities player in Nigeria , as the country’s first private sector commodities exchange was ranked third on the overall FT Africa list in 2022, while emerging as the fastest-growing in Nigeria and first in Africa’s Agriculture & Commodities category.
In addition to the significant recognition, AFEX has doubled in revenue and expanded operations into East Africa, having financed over 450,000 farmers and traded 526,850 metric tonnes of commodities in Nigeria, Kenya and Uganda.
Currently operating over 200 warehouses in Nigeria, Kenya, and Uganda and serving over 450,000 farmers, AFEX plans to expand to 9 African countries within the next 10 years to create regional markets that balance demand and supply through intra-Africa trade. Markets considered for expansion include Benin, Togo, Ghana, Côte d’Ivoire, Tanzania, Ethiopia, and Zambia.
Through its strategic expansions, AFEX aims to address the low regional trade level, which currently stands at 14.4 per cent compared to 59 per cent, 69 per cent and 30.4 per cent in Asia, Europe and North America, respectively. By facilitating cross-border trade in Africa, AFEX said it looks to increase regional trade volume, improving capacity to meet the demand of Africa’s growing population. The company has also reiterated its commitment to continue leveraging its model of deploying infrastructure alongside access to capital and markets for the commodities sector in Africa to help accelerate the continent’s food security.
Commenting on the achievement, Ayodeji Balogun, Group CEO at AFEX, said, “We’re proud to enter FT Africa’s fastest-growing list for the second time and now ranking as the first fastest-growing in Africa. This is a testament to the hard work and perseverance of everyone at AFEX. We’re proud of the progress we’ve made so far and will continue to help farmers access markets directly.”
Balogun, who identified efficient warehousing as crucial for efficient food security, and technology, said it will play a vital role in developing the agriculture industry in Africa. He added that AFEX’s unique position enables the company to contribute to Africa’s food security while promoting sustainable development for future generations.
The Group CEO also disclosed that the company aims to impact one million food producers while driving one million MT in trade volumes by 2025.
“ We’re incredibly proud to be building such a global business,” he added.
On her part, Tabitha Njuguna, the MD AFEX Fair Trade Limited Kenya, said, “Being recognised as the fastest growing African company soon after our expansion into Kenya and Uganda is a fantastic boost as we continue to solidify our team and impact farmers in the East African market.”
According to Njuguna, AFEX Fair Trade Limited aims to impact 100,000 farmers in Kenya and 20,000 farmers in Uganda, whilst driving over 200,000 metric tonnes of commodities traded by 2025 to support East Africa’s food security and promote a fair exchange of value among players in the agricultural value chain.