Aquantuo, a fast-growing logistics company, is expanding its footprint across Africa to address cross-border trade inefficiencies.
The company, which operates in over 10 countries, has forged strategic partnerships with major airlines and shipping firms to streamline procurement, e-commerce, and third-party logistics.
The expansion comes at a time when intra-African trade remains a key focus for economic growth, with logistics bottlenecks hindering businesses from fully leveraging the African Continental Free Trade Area (AfCFTA). Aquantuo’s model aims to bridge the gap by offering cost-effective, technology-driven logistics solutions for businesses and individuals.
Addressing Trade Barriers
Africa’s heavy reliance on imports continues to drive demand for efficient logistics services. In Ghana alone, consumer goods accounted for about 50.48 percent of total imports in 2022, valued at approximately US$9.07 billion. However, high shipping costs, customs delays, and inefficient last-mile delivery systems remain major hurdles for businesses.
“We understand the logistical challenges businesses and individuals face when moving goods across borders. Our goal is to simplify the process, reduce costs, and improve efficiency,” said Clement Owusu-Donkor, CEO of Aquantuo.
To tackle these challenges, Aquantuo’s logistics network integrates procurement, warehousing, and transportation to streamline operations. By partnering with global carriers, the company has improved shipping routes between Africa and key trade partners such as the U.S., Canada, China, the UK, and the UAE.
Small and medium-sized enterprises (SMEs), which constitute about 90 percent of businesses in sub-Saharan Africa and provide 80 percent of jobs, are among the key beneficiaries of improved logistics services. With limited access to reliable trade infrastructure, many SMEs depend on third-party logistics providers to sustain their operations.
“SMEs are the backbone of Africa’s economy, and we see ourselves as a critical enabler of their success. Without efficient logistics, many of these businesses would struggle to compete,” Mr. Owusu-Donkor added.
Scaling operations amid challenges
Expanding into new markets has presented challenges, particularly in securing funding and assembling the right operational teams. Owusu-Donkor said the company has focused on leveraging its existing presence in multiple locations to scale operations while mitigating high entry costs.
“There are always unplanned expenses when entering new markets, but by maximizing our resources across different regions, we’ve been able to scale strategically,” he said.
Labor market dynamics have also influenced expansion efforts. Aquantuo has implemented structured performance assessments to ensure its workforce aligns with operational goals, particularly in new markets where early hires play a critical role in setting the business trajectory.
“The right people make all the difference. A strong team ensures that we maintain operational efficiency and stay true to our mission of transforming trade across Africa,” Mr. Owusu-Donkor noted.
Technology as a Competitive Edge
To maintain efficiency and keep up with evolving trade demands, Aquantuo is ramping up investments in artificial intelligence (AI) and data analytics. The company captures shipping patterns, customer behavior, and logistics trends to optimize operations and reduce costs.
“We are very bullish on generative AI and its ability to improve efficiency across different areas of our business. From automating tasks to analyzing data for better decision-making, technology is at the core of our strategy,” Mr. Owusu-Donkor said.
The adoption of AI has also enabled automation in customer service, order management, and predictive analytics. Industry experts say such investments are crucial for logistics firms seeking to maintain a competitive edge as e-commerce and digital trade gain traction across Africa.
Outlook on Intra-African Trade
With intra-African trade still accounting for less than 20 percent of the continent’s total trade volume, logistics players like Aquantuo see significant growth potential in regional supply chains. The company is in discussions with major partners to facilitate seamless trade within Africa, positioning itself as a key enabler of the AfCFTA framework.
“We are actively working to expand intra-African trade efforts. With the right logistics infrastructure in place, businesses can move goods more efficiently across the continent,” Mr. Owusu-Donkor said.
Analysts say strengthening Africa’s logistics sector is critical for achieving economic diversification and reducing trade costs. The World Bank estimates that the AfCFTA could boost Africa’s income by US$450 billion by 2035, with efficient logistics playing a central role in realizing these gains.
