Afcons Targets Huge Growth in Europe and Middle East as African Markets Slow

Afcons Infrastructure, a prominent company under the Shapoorji Pallonji Group, is strategically shifting its focus towards expanding in Europe and the Middle East due to a slowdown in African markets. Currently awaiting formal awards for three major infrastructure projects in Croatia, these bids total over ₹11,300 crore (approximately $1.4 billion), marking a significant expansion in Afcons’ international growth plans.

Key Highlights of Afcons’ Strategic Shift

• Croatian Projects: The firm is targeting large-scale projects involving road networks, bridges, and transport infrastructure in Croatia, which are part of broader efforts to enhance national infrastructure and regional connectivity within the European Union.
• International Order Book Expansion: At present, international projects represent only 12% of Afcons’ total order book. Securing these contracts would considerably increase their footprint in the European market.
• Market Diversification: Focusing on Europe and the Middle East allows Afcons to diversify its portfolio and reduce dependency on African markets, which have recently faced economic challenges.

Strategic Implications and Industry Context

Afcons has a strong legacy in infrastructure development across Asia and Africa, but recent economic shifts have necessitated a change in approach. Europe and the Middle East, with their dynamic and expansive infrastructure sectors, offer attractive opportunities for long-term contracts and growth.

Entering the European market via Croatia could serve as a gateway for further expansion in the region, providing new revenue streams and enhancing the company’s global competitiveness. Industry analysts emphasize that this pivot aligns well with global trends towards boosting economic growth and connectivity through large-scale infrastructure projects.

Looking Forward

By adapting to evolving market conditions and focusing on high-quality infrastructure solutions, Afcons continues to uphold the Shapoorji Pallonji Group’s legacy. Their approach is designed to create value for stakeholders across diverse geographies while building a stronger international presence.

For more updates, stay tuned to Questiqa Europe News.

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