DESTINATION AFRICA
INDIA’S VISION
FEDERATION OF INDIAN CHAMBERS OF
COMMERCE AND INDUSTRY
JULY 2005
Destination Africa: India’s Vision – A Study by FICCI
Africa is at the heart of several global development initiatives in 2005. The G-8 Summit,
the U.K. Commission on Africa, the 25 % replenishing of resources for International
Development Association (IDA), the progress report by United Nations on efforts to
achieve the Millennium Development Goals etc., mark a renewed commitment on the
part of the international community towards Africa’s development. The improvement in
the political and economic stability, vast oil and gas reserves and the ongoing
restructuring of many African economies has turned the continent into a hot destination
for trade and investment.
A FICCI study titled “Destination Africa: India’s Vision” is an attempt to bring out the
opportunities offered by various African economies for enhancing trade and economic
ties between India and Africa, and the obstacles in realizing that potential. The study has
advocated an appropriate economic strategy on Africa to enhance economic co-operation.
The study points out that African economies are at a stage of development when India
could offer the most appropriate technology and products at competitive prices. It is high
time India took a pragmatic assessment of the business opportunities offered by Africa
and identified the mechanisms to exploit the potential gains.
FICCI has identified the Top 8 destinations in Africa for India’s exports namely: Nigeria,
South Africa, Kenya, Mauritius, Ghana, Tanzania, Algeria and Sudan and Top 10 product
groups for each of the Top 8 economies as targets for higher growth. The FICCI study
also took stock of the existing bottlenecks in expansion of bilateral co-operation. In the
study, five prime sectors: Pharma and Health sector, IT, Water Management, Food
Processing and Education have been identified that can act as ‘engines of growth’ to
boost Indo-Africa trade.
It has recommended strategies like strengthening of Banking Networks, signing of FTAs,
PTAs, etc. It has also highlighted the Government’s role to put in place the necessary
mechanisms and frameworks to provide direction to the industry’s efforts. The absence of
Indian Banks in many African countries acted as a major constraint to industry.
India must make its presence felt in Africa through greater visibility in the business arena
and must capitalize on the goodwill that Indian industry has acquired over the years, both
domestically and internationally. Industry initiatives coupled with Government support
can provide the platform conducive for partnering growth in emerging African
economies.
The important highlights of the study are: India-Africa bilateral trade; Identification of
Africa’s Top 8 economies and India’s trade with the identified countries; Country-wise
analysis of top 8 African economies; Economic and commercial links between China and
Africa; Current challenges facing India-Africa economic relations; Recommendations.
The study also provides data on:
• Growth of Select African Economies – Trends and Forecast
• Top 8 Export Destinations for India in Africa
• India’s Trade with Africa
• Top 10 Product Group's of Nigeria’s imports from India
• Top 10 Product Group's of South Africa’s imports from India
• Top 10 Product Group's of Kenya’s imports from India
• Top 10 Product Group's of Mauritius imports from India
• Top 10 Product Group's of Ghana imports from India
• Top 10 Product Group's of Tanzania imports from India
• Top 10 Product Group's of Algeria imports from India
• Top 10 Product Group's of Sudan imports from India
To obtain a copy or for further details, please contact:
Ms Sheila Sudhakaran
Additional Director
Federation of Indian Chambers of Commerce and Industry (FICCI)
Tansen Marg, New Delhi -110 001
Ph: 23738760-70 ext. 380, 483, 23322564 (D)
Fax: 23320714, 23721504, 23765316