Jumia is at the forefront of the e-commerce revolution in Africa

This week, Business Africa emphasizes three African trends: the expansion of mobile gaming in Ghana, the emergence of e-commerce, and the obstacles associated with the production of mushroom wine in Uganda.

Africa’s E-commerce Revolution

With the proliferation of online commerce, Africa is currently undergoing a rapid digital transformation. As per fintech Nikulipe, the e-commerce sector is anticipated to expand by $15 billion by 2028, representing a roughly 49% increase in the span of four years. Despite the fact that only 13% of Africans conducted online shopping in 2017, this percentage is expected to increase to nearly 50% by the end of the year.

Through improved warehouse centralization strategies and cost management, Jumia, the market leader, is gearing up for expansion. Nevertheless, obstacles persist, such as exorbitant shipping expenses and payment methods. Rennaud Glenisson, Regional Director at Jumia, underscores the following:

“In Africa, it’s not enough to implement digital solutions; every step, from payment to delivery, must be adapted to local realities to truly succeed in this complex market.”

He also addresses the potential market opportunities that government initiatives, such as the upcoming free trade zone in 2027, could provide for companies like Jumia.

Ghana is experiencing an increase in mobile gaming.

In Ghana, the popularity of mobile gaming is on the rise, thanks to the expanding use of smartphones and improving internet connectivity. This sector is anticipated to stimulate local development, with an anticipated 7.5 million consumers by 2027. The mobile game market is expected to generate revenues exceeding $90 million this year, while the broader video game market could reach $135 million.

Despite the prevalence of imported games, Kwesi Hayford, President of the Ghana E-sports Association, emphasizes the significance of fostering the development of local games in order to generate economic opportunities and employment.

An Ugandan Farmer’s Ambition: Mushroom Wine

Milly Ssebaggala, a Ugandan, aspires to produce mushroom wine for both domestic and international markets. Nevertheless, there are a multitude of obstacles, including a saturated alcohol market, production constraints, and restricted capital.

The global mushroom market is estimated to be worth $55 billion; however, Ugandan producers are being forced to compete with Asia-Pacific titans. Raziah Athman’s report provides additional information.