The construction machinery industry in Africa, now worth over R116 million, is undergoing a transformation. This is fuelled by a rise in the number and complexity of projects across the continent – from the expansion of infrastructure and mining operations, to the construction of residential and commercial buildings.
As a result, the demand for heavy construction equipment on the African continent has increased steadily at 4.5% annually since the mid-1980s. Thanks to increased access to reputable second-hand dealers, the market for reconditioned machinery is growing quickly.
The construction boom in Africa
A number of factors have boosted activity in the construction industry in Africa, including the need for expansion of infrastructure, improved political stability, greater government spending, increased foreign investment (especially by China) and the need to access natural resources.
This is reflected in construction industry statistics. According to a recent report, the construction market across Africa as a whole is expected to register a compound annual growth rate of 6.4% over the five years from 2019 to 2024.
In particular, countries across both North Africa and East Africa are experiencing construction booms, with significant increases in the number and value of projects.
The South African construction industry has encountered more than its fair share of problems. Among other factors, a stagnant economy and decreased government investment in infrastructure are putting pressure on construction businesses.
Nonetheless, SA’s beleaguered construction industry remains the third-most valuable on the continent, after Egypt’s and Nigeria’s. Total SA expenditure on construction in 2018 amounted to over R430.2 billion.
Many are optimistic that from here, the only way is up. For example, Fitch Solutions has predicted tepid growth (but growth nonetheless) in South African construction, along with overall year-on-year growth in subSaharan construction of 6.8% for the coming three years.
The rise in the use of reconditioned equipment
While the African construction industry is expanding, issues of affordability and access to equipment have hindered growth.
However, this is quickly changing with the introduction of global online purchasing platforms, which allow African buyers to purchase reliable second-hand equipment from reputable dealers, at a fraction of the cost of new equipment.
The benefits of a reconditioned grader
While it may seem safer to purchase new equipment, the truth is that if you choose a reputable dealer, you can expect similar performance and value from a reconditioned machine.
If you’re looking for the best in reconditioned motor graders, choose Caterpillar, the world leader in machines and engine. Here are some of the benefits of a reconditioned Caterpillar 140G, 140H and 140K motor grader from KH Plant.
Superior quality
All KH Plant reconditioned graders go through a comprehensive reconditioning process. All repairs and replacements are in line with the specifications of the original equipment manufacturer (OEM).
Reliability
All KH Plant reconditioned graders undergo rigorous testing to ensure they’ll provide close to or the same lifetime of rugged hard work as a brand new grader.
Warranty
Our reconditioned graders are covered by both a machine warranty and a warranty on the power train.
Availability of spare parts
Caterpillar spares are readily available throughout southern Africa and elsewhere on the continent.
Affordability
KH Plant reconditioned Caterpillar graders are 40% to 60% cheaper than new machines, but will still have high resale value if you decide to sell because of their optimised condition and appearance.
After-sales service
At KH Plant, we continue to provide support and advice after the purchase of your grader.
Ease of finance
You can acquire financing for our rebuilt graders from a number of leading financial institutions.
Transport
Many of our customers need to transport their refurbished motor graders to elsewhere in South Africa or into other African countries. Find out about options for shipping a Caterpillar grader here.
