@ITCnews The database: at the beginning of 2019, there were 79 trade-focused strategies under implementation across Africa. The 11 strategies that did not prioritize any sector and three other regional strategies were left out of the discussion for simplicity.
@ITCnews The remaining 65 strategies were used to shed light on the degree of overlap of sector priorities across countries. Four of the poorest nations (Burundi, CAR, Eritrea, Somalia) did not have any trade strategy in place in 2019.
@ITCnews Africa’s 65 trade strategies under implementation in 2018 specified 372 priority sectors that could be classified under 78 different types of sectors. This gives an average of about five different priority sectors per strategy.
@ITCnews First, there is a large degree of coincidence on the actual sectors that countries prioritize. Although some differences can be appreciated in the sectoral focus across African regions, vegetable products are prioritized across all regions.
@ITCnews Very few countries prioritized sectors with higher value added. What seems to be common is the interest in service strategies. The most prioritized categories of services sectors are tourism, transport, financial, educational and communication services.
@ITCnews An analysis of priority sectors in strategies currently under implementation shows that most focus on agro-industry, fisheries, coffee, as well as energy and biofuels. Among the services sectors, ICT and tourism are the most important ones. Manufacturing is not very present.
@ITCnews The pattern that emerges from sector analysis at the regional level is that agri products are prioritized across all regions, but geographic location determines the type of products. Neighbouring countries find themselves very often prioritizing the same type of agri products.
@ITCnews There are 25 strategies that mention manufacturing as a priority sector without clearly specifying the type of manufactured products that this entails. This also happens in the industry category. There is a trend to define manufacturing sectors much more loosely than other types
@ITCnews There is a dichotomy between Africa’s ambitions and its sector development priorities. While Africa’s official discourse is on manufacturing and industrialization, its trade strategies continue to focus on agriculture and primary products.
@ITCnews If the AfCFTA is to foster competitiveness and economic transformation, its strategic focus may have to deviate from previous efforts.
@ITCnews Thus, the Action Plan on Boosting Intra-African Trade, which accompanies the AfCFTA, aims to provide a comprehensive framework to pursue a developmental regional strategy. To achieve this, diversification of productive capacity will need to become a central element of the BIAT.
@ITCnews ITC's @AranchaGlezLaya: The #AfCFTA is the opportunity to change the strategic direction of the continent and to focus more on innovation and the development of higher value-added sectors.
@ITCnews @AranchaGlezLaya Diversifying trade in Africa: new strategy approaches for the #AfCFTA. Download the must-read analysis from @ITCnews: intracen.org/publication/Di…
