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The COVID-19 pandemic that has affected the global socio-economic landscape has highlighted the need for Africa to industrialize and trade more to itself than to the outside world.
Speaking ahead of Africa Industrialization Day, which is commemorated each year on November 20, regional integration experts said that an industrialized Africa has the ability to protect itself from any global commodity volatility that has continued to dictate the direction of trade. and the economic progress of Africa.
Furthermore, industrializing the continent would mean that fewer raw resources would be shipped and traded elsewhere, allowing African countries to fully benefit from their natural resources and create jobs for their citizens.
In this regard, it is critical that the continent address and take advantage of harsh realities or threats, such as the current COVID-19 pandemic, and turn them into opportunities to boost industrialization and intra-African trade.
For example, increased demand for drugs and medical supplies during and after the COVID-19 period should create an enabling environment for Africa to establish its own pharmaceutical industries.
Another opportunity is to work together to ensure that the African Continental Free Trade Area (AfCFTA) is a great success.
The AfCFTA, which will come into operation on January 1, 2021, is one of the tools to achieve a fundamental structural transformation of the African economy, as it aims to dismantle trade barriers between African countries by deepening integration. through better infrastructure development, investment flows and increased competition.
At a virtual Africa Industrialization Week meeting that opened on November 16, the Executive Secretary of the Economic Commission for Africa, Dr. Vera Songwe, said that industrialization is imperative for Africa’s development, particularly now. that the global community is facing the COVID-19 pandemic.
The COVID-19 pandemic has openly exposed the emptiness of African economies on several fronts, including the fragility and weakness of Africa’s industrial capabilities, he said, adding that there is an opportunity for the continent to reconfigure its development narrative towards prioritization of initiatives that support Africa. industrialization.
Dr. Vera said that without a transition from commodities to value addition and economic diversification, African economies will have limited space to grow and develop, so industrialization is key to building socio-economic resilience and self-reliance. in Africa.
He said that even in the face of any difficulty or challenge like the COVID-19 pandemic, Africa should not lack determination to industrialize its economy because a large part of its growth and prosperity depends on the continent trading more with itself.
The Southern African Development Community (SADC) Executive Secretary, Dr. Stergomena Lawrence Tax, agreed, adding that the novel coronavirus had clearly demonstrated how far we are from achieving the development goals of advancing integration and sustainable development in the region.
As the main driver of the planned transformation for the region, the industrial sector is one of the sectors significantly affected by the COVID-19 pandemic, it said in a statement to mark Africa’s Industrialization Day.
Dr Tax said that it is therefore important for the region to understand and appreciate the extent of the damage the pandemic has on their economies and to respond with appropriate measures to ensure that the disruption does not seriously negate key developments in the momentum. industrialization of the region.
One of those measures is to implement a vibrant business stimulus to protect the private sector from the effects of COVID-19 and prepare it to participate in the opportunities created by the pandemic.
The Commissioner for Trade and Industry of the African Union (AU) Commission, Albert Muchanga, also said that public-private partnerships are crucial to push the industrialization agenda in Africa.
He said it is for this reason that African leaders reserved November 20 as Africa Industrialization Day in recognition of the need for the continent to take an annual stocktaking of where we stand on the road to industrialization.
Africa Industrialization Day was also proclaimed to raise public awareness of the importance of industrialization in the structural transformation of African economies, he said.
The theme for this year’s celebration is inclusive and sustainable industrialization in the AfCFTA era.
By bringing together the 55 African countries, the AfCFTA aims to promote the smooth movement of goods and services across the continent.
According to the AU, the AfCFTA has the potential to increase intra-regional trade from the current 10 percent to around 40 percent. sardc.net
