{"id":23960,"date":"2013-10-02T15:23:10","date_gmt":"2013-10-02T13:23:10","guid":{"rendered":"http:\/\/www.myza.co.za\/2013\/10\/india-africas-oldest-ally\/"},"modified":"2013-10-02T15:23:10","modified_gmt":"2013-10-02T13:23:10","slug":"india-africas-oldest-ally","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/india-africas-oldest-ally\/","title":{"rendered":"India \u2013 Africa\u2019s oldest ally"},"content":{"rendered":"

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Johannesburg \u2013 South Africa\u2019s Trade and Industry Minister Dr Rob Davies has called India Africa\u2019s oldest ally, as he praised that country for its continued involvement in Africa\u2019s development.<\/p>\n

Davies addressed the opening of the 3rd Africa-India Trade Ministers\u2019 Meeting in Johannesburg on Tuesday. The high level gathering is being attended by ministers of trade from several African countries including Nigeria, Ethiopia, Benin, Namibia, Senegal and Libya, among others.<\/p>\n

\u201cOur relations with India are undisputed. We have been partners for many years and our trade relations continue to grow from strength to strength,\u201d said Davies.<\/p>\n

At the gathering, he called for India to help Africa become \u201cindustrial producers\u201d by forging a mutually beneficial relationship.<\/p>\n

\u201cThe continent of Africa needs to industrialise. The option of simply producing value added products and exporting those to the developed world is no longer viable. The rich world remains immersed in low growth and in fact is trying to industrialise itself,\u201d Davies said.<\/p>\n

Africa needed to have another leg which builds on internal markets. But the problem with mobilising internal markets in Africa was linked to colonialism which, divided the continent into 54 countries.<\/p>\n

\u201cAs individual countries, even the biggest of us\u2026 don\u2019t really have the basis of a domestic market of its own of the scale of India or other emerging economies do,\u201d said Davies.<\/p>\n

The minister was adamant, despite India\u2019s weak growth in 2012 and this year, the target of achieving $90 billion total trade between Africa and India in 2015 was still a realistic one.<\/p>\n

\u201cIn 2011, Africa and India\u2019s bilateral trade reached $60 billion, suggesting we are on track to reach that target.\u201d<\/p>\n

But Davies was also not shy to say South Africa needed to pay more attention to the quality and content of that trade.<\/p>\n

\u201cIt\u2019s not just the question of content \u2013 it\u2019s a question of what we are trading. We need to record that while Indian imports in Africa have risen by an average of 14%, they still predominantly (import) mineral fuel, lubricants and gold. In other words we continue to supply raw material and this needs to change.\u201d<\/p>\n

This was echoed by African Union Commission Chairperson Dr Nkosazana Dlamini Zuma, who acknowledged India as an important partner in efforts to promote regional integration in Africa, but said trade needed to be balanced.<\/p>\n

\u201cIn addition, while calling for more Indian foreign direct investment in Africa, such investment should be diversified and encourage local private sector participation, particularly for women and Africa\u2019s growing youthful population,\u201d Dlamini Zuma said.<\/p>\n

\u201cWe look forward to these investments contributing to Africa\u2019s agenda of promoting industrialisation and value addition to its raw materials within the continent prior to their exportation and to the development of African skills and know-how.\u201d<\/p>\n

India\u2019s Commerce and Industry Minister Anand Sharma said the Asian country was committed to play a meaningful role in Africa\u2019s development.<\/p>\n

\u201cIn 2012, Africa registered a strong growth and India had a bad year but our trade continues to be strong. We need to ensure not only our growth should be sustainable but it must be inclusive.<\/p>\n

\u201cWe are accountable to the millions of our people who we want to be economically independent,\u201d Sharma said.<\/p>\n

India has begun investing in the energy sector in Africa as well as in mining, including uranium and hydrocarbons, precious metals and gemstones, especially gold and diamonds. \u2013 SAnews.gov.za<\/p>\n

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