Establishment of Analytical & Measuring Instrument Sales Company in RSA

As part of its efforts to promote globalization and to enhance the sales and service structure in southern African markets, Shimadzu Corporation’s wholly owned subsidiary in the United Arab Emirates, Shimadzu Middle East & Africa FZE (SMEA), established a wholly owned sales subsidiary, Shimadzu South Africa (Pty) Limited (SSA), on October 1 in the Republic of South Africa (RSA), which boasts Africa’s largest economy.

The establishment of the new local company reconfigures the sales structure and provides powerful technical support to the local sales distributors in South Africa and surrounding countries. The establishment of the new local company reconfigures the sales structure and provides powerful technical support to the local sales distributors.

The university and research sector offers the largest market for analytical & measuring instruments in South Africa. The new company will focus on this market and as well as the minerals, food, agriculture, and pharmaceuticals markets. In the medium to long term, business will expand across the entire Sub-Saharan African region (southern, central, and central-western Africa), increasing the penetration of the Shimadzu brand.

Overview of the New Company

1. Company name Shimadzu South Africa (Pty) Limited (SSA)

2. Capital 6 million Rand (approx. $880,000)

Wholly owned by Shimadzu Middle East & Africa FZE (SMEA)

3. Locations Headquarters: Johannesburg, Republic of South Africa

Branch: Durban, Republic of South Africa (Sales and Service)

4. Representative President: Shintaro NISHIMURA

5. Staff 13 (including one Japanese) at time of establishment

6. Scope of business Sales and service of analytical & measuring instruments in South Africa and ten surrounding countries.

* 11 countries (South Africa, Namibia, Botswana, Zambia, Zimbabwe, Mozambique, Madagascar, Lesotho, Mauritius, Seychelles, Swaziland)

7. Annual sales 2012 (planned): $8.6 million

2014 (3 years after establishment, planned): $13.2 million

8. Established October 1, 2011

.Situation in Republic of South Africa

•RSA GDP represents 30 % of the entire economy of Sub-Saharan Africa (southern, central, and central-western Africa).

•The RSA government is advocating a switch away from mineral dependency to a knowledge economy. It is doubling research and development expenditure as a proportion of GDP and promoting the training of people involved in science, engineering, and technology. This is expected to lead to increased demand for analytical & measuring instruments by universities and government research organizations.

•The university and research sector represents the largest market for analytical & measuring instruments in RSA.

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