“In retail it’s been quite stable but, of course, being a country depending on the outside world, we do feel the impact of the slowdown in Europe, especially in the export-based economies like tourism and, to a certain extent, textiles. Having said that we do have resilient parts of the businesses,” Pawan Juwaheer, the managing director at Vivo Energy, told CNBC Africa.
“Vivo Energy buys from the state trading corporation – our oil is imported from India currently,” he added.
Vivo Energy, Shell’s exclusive licensee in Africa, is a joint venture between the global energy and petrochemical company, Vitol and Helios Investment Partners.
It recently acquired a majority shareholding in Shell Ghana, with Shell Ghana expected to be renamed Vivo Energy Ghana.
“This was part of the deal globally, over the whole footprint where Shell was present so, with the exception of South Africa, there was a plan to takeover in all these countries. There are 17 in all so 15 countries have already gone to Vivo Energy now. The transition has occurred successfully and pretty seamlessly I would say,” Juwaheer stated.
He added that Vivo Energy markets Shell’s products in both the retail and commercial businesses and that it was Shell’s decision to divest.
“This was a decision of Shell previously to divest from the downstream operation in Africa and they left the space for other companies who have the appetite to invest in Africa.”