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m RAPID ECONOMIC GROWTH

m IMF RAISED ITS GROWTH FORECASTS FOR


AFRICA
m POLITICAL STABILITY
m RISING MIDDLE CLASS
m ABUNDANT NATURAL RESOURCES
m VAST BUSINESS OPPORTUNITIES
GEOGRAPHY
Total population: 0.819 billion
Population growth: 2.5%
Life expectancy at birth: 52 years
Infant mortality per 1,000 births: 89
Female youth literacy: 67%
Number of people living with 22.3 million
HIV/AIDS
GDP per capita $624
m wn 2008-09, bilateral trade between the two countries:
 „outh african exports ± $5.44 million
 wndian exports -$1.97 billion .

m wn 2010 the exports to Central Africa amounted to $ 278 milion,


whereas it was $2.6 billion for the rest.

m Exports to Central Africa stood at a meager $278 million.

m While shipments to the „outh, East and West African regions were
in the range of $2.6 billion during the April-January, 2010, period.
005-06 006-07 007-08 008-09 009-10
Apr ± Dec

India¶s 11,89.39 19,770.9 6,467.55 30,95.16 1,71.41


total
trade
with
Africa
Total 7,013.56 8,407.53 11,539.57 11,354.8 7,606.6
exports
from
India to
Africa
Total 4,878.83 11,36.76 14,97.98 18,904.34 14,106.15.
imports
of India
from
Africa
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m AGRwCULTURE
m PHARMACEUTwCAL PRODUCT„
m EDUCATwON & wT
m COMPUTER HARDWARE AND RELATED PRODUCT„
m CON„TRUCTwON MACHwNERY AND HEAVY EQUwPMENT
m DwAMOND„ AND GEM„ AND JEWELERY
m wNFORMATwON TECHNOLOGY
m ENGwNEERwNG GOOD„ & COMMUNwCATwON
m Drugs & Pharmaceuticals
m Cotton yarn Fabrics
m Machinery and wnstrument
m wnorganic / Organic Chemicals
m Plastic & Linoleum Products
m Primary & „emi finished iron and steel
m Transport Equipment's
m Glass / Glassware and Ceramic products
m Food processing
m Textiles & Readymade garments
m Footwear
m Timber & wood products
m Cement plant
m Exploration of mineral services
m Tourism
m Machinery & instruments
m Drugs and Pharmaceuticals
m Cotton yarn and fabrics
m Transport Equipment
m wron and „teel Bars/ Rods
m Auto Components, spares and parts
m wnorganic and Organic chemicals
m Footwear
m „pices
m Glasswear
m Paints
m Cosmetics
m „ugar
m Textiles
m Cement
m Chemicals
m Light engineering industries
m Food & agro processing
m Tourism
m Drugs & Pharmaceuticals
m Dairy products
m Cereals and Preparations
m Meat and meat products
m Rice
m Telecom
m Water treatment projects
m wrrigation
m wndustrial air conditioning
m Light engineering
m Civil construction
m Drugs & Pharmaceuticals
m Machinery & instruments
m Transport Equipment
m Manufacturer of metals
m RMG Cotton including accessories
m wnorganic &Organic Chemicals
m Paper, wood products
m Plastics and linoleum products
m Transport equipment
m Drugs & Pharmaceuticals
m Machinery & instruments
m Transport Equipment
m Auto Components spares and parts
m Leather footwear
m Rice
m „pices
m Plastics
m wron & „teel bars/rods
m Food processing
m Drugs & Pharmaceuticals
m Fine Chemicals
m wnorganic Organic chemicals
m Paper wood products
m Manufacture of Metals
m Machinery and wnstruments
m Preferential Trade Agreement / Free Trade Agreement

m Enhanced Interaction

m Institutional Mechanisms

m Trade Missions

m Trade Promotion Measures

m Role of National Centre for Trade Information (NCTI) in


providing useful Trade Information
m wndia ±African Forum.
m ³Focus Africa´ initiative by the Commerce
Ministry
m ³wndia Development wnitiative´ by The Finance
Ministry.
m Funding mechanisms by the Ministry of External
Affairs
m A.P¶s deal with Kenya and Uganda.
m „trategic plan of Department of Commerce
reached a benchmark of $8.36 billion by 2010.
m Feasibility and pre-feasibility reports

m Foreign Trade Policy for 2009-14, announced


market-linked incentives for exports to African
countries.

m wndia¶s Exim Bank has extended Lines of Credit


(LOCs) for the COME„A Region to support export
of eligible.
m 006-07
ð wNDEE CAwRO together with MACTECH 2006, Cairo, Egypt
ð wndia Pavilion at „AwTEX 2006, Johannesburg
ð Multi Product Trade Delegation to „outh Africa, Botswana,Mozambique &
Namibia
ð wNDwA ENGwNEERwNG MEET , New Delhi
m 007-08
ð wndia Engineering Exhibition (wNDEE), Johannesburg
ð Multi Product Trade Delegation to Algeria & Morocco
ð Tanzania wntl. Trade Fair combined with B„M at Kenya & Uganda
ð wndo Africa B„M at Coimbatore
m 008-09
ð Multi Product Trade Delegation to „ADC & West or North African Countries
ð wNDU„MACH at Dar-e- „alaam,Tanzania
ð wndo Africa Buyer „eller Meet at Kolkata and Mumbai
m 009-10
ð Multi Product Trade Delegation to African Countries
ð wnndia Pavilion at „w„TEP 2009, Casablanca, Morocco
ð wndo Africa Buyer „eller Meet at Kolkata and Mumbai
m Bharti clinches Zain Telecom¶s 15-country Africa operations in $10.7bn
buyout

m Bharti calls off $23-bn telecom deal with MTN

m wndian FMCG firms eye Africa as next growth vehicle

m Godrej Consumer Products Ltd is among the early movers with recent buys
in Nigeria and „outh Africa, while Marico Ltd , Dabur wndia and Emami are
other firms following this trend

m Vedanta Resources, the metals and mining major, to invest another $1.5 bn
in Zambia

m wndian wT companies eye African markets for business expansion


m wnfosys Technologies, offered Finacle 10 and Finacle
Financial wnclusion solution for banking transformation
and power innovation for banks in East Africa.

m TC„, to enter „outh Africa in 1995

m The wndian outsourcing company Tata Consultancy


„ervices has a business unit in „outh Africa

m wndian Company VNL to Launch Low-Cost, „olar Base


„tation targeted at African operators Russell
„outhwood
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m Dynamic role in economic growth and development, economic
deregulation and liberalisation, financial and monetary
stabilisation ambitious depreciation relaxing controls on FDI
and free repatriation of investment proceeds and profits, etc

m The leading sectors attracting FDI in sub saharan Africa

m The sub saharan African countries perceived to be the most


attractive to foreign investors are South Africa, Nigeria,
Botswana, Ivory Coast and Tunisia
m „ub -saharan Africa accounted for only 6.3% of india¶s exports and
9.0% of india¶s imports in 2006

m Commercial information about several sub saharan African


countries is not readily available

m Lack of knowledge of specific projectssub saharan Africa

m Wrong perceptions exist in sub saharan Africa about the poor quality
of wndian products

m Advisable to have local partners, a mechanism for identifying


reliable partners in sub saharan African countries.

m Need for the buyers and the sellers to directly negotiate with each
other
m No direct freight or shipping services to most of the sub
saharan African countries

m Immense mineral wealth and bulk of world reserves of several


minerals

m Other potential of exports from India to sub saharan Africa


include textiles and garments, drugs and pharmaceuticals,
electronic goods, household appliance, bicycles and parts,
automobiles and auto components, gems and jewellery,
foodstuffs, leather and leather goods,rice, tobacco, machine
tools, processed fruits and vegetables and their products,
computer hardware and software scientific instruments, etc
m wdentify products on comparative cost advantage on account of resource
endowments and technological capabilities
m Encourage counter trade
m wdentify and draw more on each other experience, technology expertise and
resource
m Undertake joint marketing and promotional strategies for common products
m Engage in joint harnessing of natural resource
m wdentify specific projects and areas for setting up of joint ventures and
collaborations especially at the small and medium enter prose(„ME) level
m Create joint research and development
m Encourage people-to-people and institution-to-institution
m Ensure manpower training and human resources development
m institutionalise mechanisms for exchange of commercial intelligence and
information on business opportunities and available technologies