Gilberto Rodrigues, president of Mota Engil Angola

The waterfront area at the bay of Luanda, capital of Angola.

 

Angola enjoyed a booming economy a few years ago, but the last two years were challenging. When economic growth slows down, the construction sector is usually the first casualty: jobs disappear, profits plummet, and some companies cease operations.

However one Angolan company bucked the trend and has posted healthy year-on-year growth rates. Mota Engil Angola has outperformed its rivals and even thrived under tough market conditions.

The company has proven its durability with a six-decades-long presence in Angola and does not shy away from difficult economic circumstances. Its commitment to Angola along with strong business fundamentals has been established for the past 65 years. During the Angolan civil war and before the onset of political stability in 2012, Mota Engil continued to operate and to support the country.

The president of Mota Engil Angola, engineering trained Gilberto Rodrigues, attributes the company's success to the fact that it has always stood by the nation.

"Mota Engil never left Angola. We were the only Portuguese company to stay and operate throughout the difficult days," he said.

Nevertheless, he does not exploit this commitment to win tenders for government projects. Rodrigues said, "We don't look for credit for having been here all the time, we don't wave it on our flag or wear it on our sleeves, but it is widely recognized we have been here for a long time and we have contributed to the growth of the country."

He added,"We strive every day to improve our quality. This is who we are. We do not rest on our laurels, we are here to grow the business."

Having a solid knowledge of the market ensures that Mota Engil is better equipped to deal with the challenges in recent years. His confidence in the domestic market was shown when the Portuguese parent company signed a deal in late 2010 to set up Mota Engil Angola as a separate entity.

Holding 51 percent of the shares, the company joined a partnership with other Angolan enterprises including Sonangol and Banco Privado Atlantico. He contends that the country is the largest and the most important market for the company outside of Portugal.

"Mota Engil Angola represents a crucial venture for our Portuguese parent company," added Rodrigues.

There are plenty of business opportunities on the horizon for Mota Engil. Rodrigues explained the sub-Saharan expansion, "we are looking at three business models for our African expansion. We are a construction company and we will be looking at those opportunities in countries such as Malawi and Mozambique. With our experiences, we offer professional services across the region and we will look into the mining sector."

The company maintains a strong organization, solid finances and well-trained technicians coupled with a cultural understanding of the community. Yet Mota Engil will continue to undergo changes to emerge as a powerhouse.

Chinese companies have already been investing heavily in Angola. The Chinese wave might explain the demise of some South African construction giants, but Mota Engil does not worry about its Chinese competitors.

"We already work with Chinese sub-contractors in major construction projects and in other sectors such as energy and?logistics. We are looking for potential partners," said Rodrigues.

He added they would be interested in working with qualified Chinese partners in Angola in the same way the company works with American, Brazilian, French and German partners.

"I see Chinese companies and future working relations as an opportunity not as a risk," he said.

The human side of the construction industry remains significant for Rodrigues. By opening a special training center last year in Luanda, capital of Angola, Mota Engil ensures continuous training and care for its workforce.

In signing an agreement with the Safety and Health Center at Work, employees can rest assured of receiving medical assistance at the worksite while making efforts to reduce job-related accidents and illnesses to sustain company growth.

The company is breaking ground on traditional boundaries and equipping Angola with a solid foundation for the developing economy.

(China Daily 02/29/2012 page27)