Chinese competition ends project of Portugal’s Efacec in Angola

22 February 2007

Lisbon, Portugal, 22 Feb – Chinese competition brought an end to an investment project of Portuguese engineering company Efacec in Angola, but will not affect the high turnover achieved in that country, said the company’s chief executive at the beginning of the week.

In an interview with Portuguese news agency Lusa, Alberto Martins said that in order for a 4 million euro investment in a electrical transformer factory to be viable a contract/program was needed to guarantee orders for at least five years.

But the two electricity companies in Angola, ENE and EDEL, are more interested in importing products from China, covered by the credit line Beijing granted Luanda.

The Angolan transformer factory, which came close to being built a year ago, would have created 100 direct jobs and annual turnover of close to 5 million euros.

Most of the machinery for the factory is already in Luanda, which was originally used in an Efacec factory in Macau.

Despite the end of the project, Efacec’s turnover in Angola has been rising by 100 percent a year and is expected to continue to do so until 2009, as it benefits from Angola’s reconstruction projects.

In 2006, Efacec posted turnover of 50 million euros in Africa, including North African countries, which is 10 percent of the group’s total turnover.

In Brazil Efacec increased its presence in the state of Pernambuco, the fourth state in which it has direct involvement, and expects to triple turnover by 2009.

In January Efacec acquired a electrical materials repair company in Fortaleza, the capital of Pernambuco.

The group has a small industrial unit in Sao Paulo and representational offices in Salvador and Manaus, as well as the new unit in Fortaleza.

Its activities are focused on automation of electrical power systems, telecommunications, industrial logistics and airports, engineering and services. (macauhub)

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