IATF 2021: Deputy Trade, Industry Minister markets Ghana as right place for investment

It is about time that African countries create partnerships and synergies for value addition to its resources, Herbert Krapa, Deputy Minister of Trade and Industry, has said.

He said “We must see the value in these partnerships and leverage our resources as such.”

Speaking at the Ghana Investment Forum held here on Friday on the sidelines of the second Intra-African Trade Fair (IATF), he said Africa was endowed with rich natural resources which could be used to embark on massive industrialisation.

Organised by the African Export-Import Bank (Afreximbank) in collaboration with the African Union (AU) and the African Continental Free Trade Area (AfCFTA) Secretariat, the IATF2021 provides a platform to promote trade under the AfCFTA by bringing together continental and global buyers and sellers, and enabling stakeholders to share trade, investment and market information as well as trade finance and trade facilitation solutions designed to support intra-African trade and the economic integration of the continent.

“The hard truth remains, that, we cannot develop and achieve inclusive economic growth without industrialisation. An even harder truth, if I am allowed to take the liberty of the language, is that African countries cannot maximise trade amongst ourselves without building partnerships within our ranks,” he said.

The Deputy Minister cited the example of Zambia, Namibia, Botswana and The Democratic Republic of Congo which have copper, required for making components like alternators in motors and alloys in a gearbox.

“The Democratic Republic of Congo and Madagascar have cobalt and you cannot make car batteries without that. Nigeria, Libya and Equatorial Guinea have petrochemicals and therefore plastics. Seat covers, carpets, bumpers, electrical insulators, lamps, door handles, air vents, the dashboard and airbags are all made from that industry.

“I use the example of the automotive industry to highlight the sad but promising reality of the Africa story. Although Africa is endowed with natural resources to manufacture nearly all 30,000 components of a vehicle, only three countries of the 55, Morocco, South Africa and Egypt, are vehicle manufacturers. If this, does not frighten us, I don’t know what would.

He said “The global chocolate industry is worth over 150 billion United States Dollars. West Africa supplies 70 per cent of the cocoa beans for that, but most of the value in a chocolate bar is generated in Europe and North America.”

West Africa receives less than seven billion of that 150 billion United States Dollars. We can no longer remain exporters of the very raw materials whose finished products rule the global economy.

He said the African Union’s Agenda 2063 could not happen without a new paradigm of leveraging the continent’s resources to boost intra African trade.

To this end, he urged African countries to make use of the African Continental Free Trade Area to change the narrative of Africa.

Mr Krapasaid the potential benefits of the African Continental Free Trade Area would not come by chance.

“We must create, build, develop and maintain partnership models that are long-lasting, scalable and transformative, in the face of the AfCFTA. Whether social, cultural or financial, our values are largely same  We must increase employment options for our youth, create linkages between governments and the private sector, provide access to new markets and supply chains, and provide skills and expertise which developing economies cannot do without,” he said.

The Ministry of Trade and Industry, he said, had embarked on a series of activities aimed at attracting investment to Ghana.

“The Business Regulatory Reforms which are currently being undertaken by the Ministry are to ensure transparency and stability in the investment climate of our country. The evidence shows that such a climate is a sure way of attracting investment into an economy,” he said.

STORIES: DAVID ADADEVOH, DURBAN, SOUTH AFRICA

The post IATF 2021: Deputy Trade, Industry Minister markets Ghana as right place for investment appeared first on Ghanaian Times.

Read Full Story