Change of sourcing patterns slows down Europe-Africa recovery

While trade between Europe
and sub-Saharan Africa
remained comparatively
healthy during the global
recession, the latest data
from UK-based Container
Trade Statistics (CTS) –
which replaces the now
defunct European Liner
Affairs Association (ELAA)
– indicates that trade
volumes are only recovering
slowly in 2010.
This despite strong
foreign investment in the
area’s oil and gas sector
and the Fifa world soccer
championship in SA.
According to CI Online,
CTS figures show that
volumes moved northbound
for the first five months
of 2010 rose just 1.9%
(up to 251 100 -TEUs) and
southbound by 5.9% (to
450 600-TEUs).
These increase rates
are relatively small when
compared to Europe’s total
trade. In the January-May
period of 2010, total import
volumes rose by 17.9% and
exports by 15.4%.
The 2009 figures told a
different story. In the first
five months of that year,
imports from Africa fell by
just over 3% compared to
a 14.5% drop in Europe’s
total containerised imports.
Exports to Africa were down
less than 1%, compared
with a 3.7% decrease in the
continent’s total exports.
Press reports suggested
that part of the reason for
the rather slow recovery in
the Europe-Africa trade,
was a change in sourcing
patterns as African buyers
imported more cargo from
the lower-cost producers in
the Far East – particularly
China and India.