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Industrialisation needed to grow cross-border trade

01 Apr 2021 - by -
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Standards and quality for the African Continental Free Trade Area (AfCFTA), strong partnerships, and investments, are key to ensure inclusive and sustainable industrial development in Africa.Most experts agree that to grow cross-border trade countries will have to bring the agenda of industrialisation forward – more so in post-Covid-19 times with African economies under pressure to recover the massive impact of the pandemic. Speaking during an online event Elsie Meintjies, chief technical adviser for the United Nations Industrial Development Organization (Unido) South Africa office, said whilst there were many challenges to face, there were also opportunities for countries in Africa, including South Africa, to uniquely position itself in the world and improve their competitivity.The global move to low-carbon transportation options, such as electrical vehicles (EVs), is one area where southern Africa, for example, could establish itself as a major player. A recent study on the opportunities to develop the lithium-ion battery (LIB) value chain in South Africa in particular, initiated by Unido and the Department of Trade, Industry and Competition (DTIC), emphasizes that a “vibrant value chain” exists. It furthermore points out that mining of multiple LIB-relevant minerals, such as manganese, iron ore, nickel and titanium, is already underway in the country.According to Dr Blanche Ting, energy and low carbon coordinator for Unido, it is noteworthy that the study also mentions the minerals beyond South Africa, particularly on the African continent. Among SADC are graphite (Mozambique and Tanzania), nickel (Botswana, and Zimbabwe), and titanium (Mozambique, Madagascar) amongst others. Potential for regional industrial integration of these minerals notably though the implementation of the Southern African Development Community Industrialization Strategy and Roadmap 2015-2063, and the recent implementation of the African Continental Free Trade Agreement (AfCFTA) should therefore be explored.Dr Juanita Maree

 

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