Heads of state and government adopted the sadc industrialization strategy and roadmap 2015 20631. Migration for structural transformation examines how wellmanaged migration can help to address africas development challenges. A number of countries in the developing world and particularly africa have shown a renewed interest and started to reintroduce industrial policy. Board approves afdb groups industrialisation strategy for africa 20162025 a road map for scaling up africas economic transformation 25jul2016 the strategy, approved by the afdbs board on thursday, 14 july 2016, represents a roadmap for implementing priority programs to scaleup the industrial transformation of africa. In 20 the average share of manufacturing in gdp in subsaharan africa was about 10% the same as in the 1970s. On 25 july 2016, the united nations general assembly adopted resolution ares70293, proclaiming 20162025 as the third industrial development decade for africa idda iii. The issue is seen from the perspective of the dynamics of development in what was in 1900 an overwhelmingly landabundant region characterised by shortages of labour and capital, by perhaps. Finally, coherent policies in other agencies can help industrial agencies scale up their impact on economic, social and environmental development. There is also no clear agreement on which countries fit. Assessing the risks of chinese investments in subsaharan. With the exception of south africa and the countries of north africa, all of which have diversified production systems, the economy of most of africa can be characterized as underdeveloped. In the medium term, growth is projected to accelerate to 4 percent in 2019 and 4. Industrial and technology parks are key elements of the infrastructure supporting the growth of todays global knowledge economy. It was designated in 2001 and became south africa s first industrial development zone.
Migration for structural transformation examines how wellmanaged migration can help to address africa s development challenges. Zoning in on south africas industrial development zones. Chinese investments in subsaharan african ports1 present potential threats to u. The national development plan ndp, a policy document drafted in 2012 which details how. The region could become an emerging manufacturing hub through optimal development of natural and human resources and increased technological transfers. However, this definition is not universally agreed upon. Review report on africa industrial development for csd 14 this document was prepared by nebiyeleul gessese phd, consultant, industrial ecology and energy, under the overall guidance of the nited nations economic commission for africa uneca,u sustainable development division and united nations industrial development organization unido. Li yong, directorgeneral of the united nations industrial development organisation, said. Accelerating industrial development in africa conference organized by unuwider. Idda3 third industrial development decade for africa 2016. Further, governments in east africa seem to be putting more pronounced effort into building manufacturing through the creation of industrial parks ethiopia and making land available for manufacturing, particularly labourintensive manufacturing. Unido was tasked with leading the implementation of the decade, in collaboration with a range of partners. It is located in the nelson mandela bay metropolitan municipality in the eastern cape province and it is strategically located on the eastwest trade route to service both african and global markets.
Tanzania five year development plan 201112 201516 fydp i pg. Africa industrialization day financing industrialization. For more than 40 years africas industrial development has been disappointing. By providing a location in which government, private sector and universities cooperate these parks create environments that foster collaboration and innovation. Inclusive and sustainable industrial development unido. Zoning in on south africas industrial development zones vanessa tang industrial development zones idzs have been and still are important vehicles used by developing countries to facilitate investment, create jobs and boost exports. It is argued that the liberalization of the international trade regime is unlikely to be sufficient for successful development unless the technological ability of firms is increased to allow an elastic supply response.
The history of economic development of advanced countries shows that there is a close relation between the level of industrial development and the level of national and per capita income. Industrial development zones south african government. Board approves afdb groups industrialisation strategy for. Deloitte africa, africa construction trends report, 2018. It also provides an analysis of past attempts at promoting industrial development in the region and the lessons learned from these experiences. Students will identify the global regions of industrial production and also discuss the pros and cons of various sources of energy for industrial production. Third industrial development decade for africa since 2000, the continent of africa has recorded impressive rates of economic growth. Action plan for sadc industrialization strategy and roadmap. South african research chair in industrial development. Africa industrialization day 20th november 2018 ministry of. The africa renewal information programme provides uptodate information and analysis of the major economic and development challenges facing africa today. An overview of sustainable development in africa emmanuel kwesi boon management and environmental management, free university of brussels, belgium, and university of ghana, legonaccra, ghana. Africa s share of global manufacturing has fallen from about 3% in 1970 to less than 2% in 20. With more than 60% of its population under the age of 25, subsaharan africa is the worlds youngest region.
Aida accelerated industrial development for africa background the leaders of africa have in recent years shown commitment to the industrialization of the continent in both the short and longterm, and have taken a number of major initiatives to meet the challenges of development as evidenced by their decision to dedicate the january 2008. It is a time when governments and other organizations in many african countries examine ways to stimulate africa s industrialization process. Industrialisation or industrialization is the period of social and economic change that transforms a human group from an agrarian society into an industrial society. The challenges of building an industrial economy in africa. In a special issue of its economic development in africa report this year, the united nations conference on trade and development unctad collaborated with the united nations industrial organization unido to delineate strategies and policy options for africa to foster its industrial development in the new global environment. Firstly the paper broadens the requirement of african development, and it bases primarily on four themes for africa in order to attain its development. Linking peace, governance, economic growth and global. The manufacturing sector in tanzania consists mainly of food processing 24%, textiles and clothing 10%, chemicals 8. Sas industrial development zones idz south african. Industrial development corporation of south africa world.
Industrial development of africa jicas commitment at ticad iv and its followup go shimada, toru homma, and hiromichi murakami 1. There is great concern about the prospects for the industrialization of sub saharan africa. Industrial development zones idzs in south africa, the establishment of idzs is a recent phenomenon intended to attract investment, increase exports and the competitiveness of south african products. Without a doubt, africa is one of the most blessed continents on our planet in terms of both natural and human resources. The report identifies key actions that can be taken at national, regional and continental levels to overcome barriers to intra african mobility.
Africas share of global manufacturing has fallen from about 3% in 1970 to less than 2% in 20. For instance, the share of industrial sector to national income was 26% and the per capita income in year 2000 was 36,240 dollar in usa. Needs analysis based on current and projected economic growth below is an indication of the 2010 and projected 2020 gross value add gva across the country. This will reduce the cost of business, postharvest losses. For more than 40 years africa s industrial development has been disappointing. This widespread poverty serves as a chief cause of underdevelopment in africa. The reception will be jointly coorganized by the united nations industrial development organization unido, the office of the special adviser on africa osaa and the african union and. A recent csis report, influence and infrastructure. Africa is by no means destined to lag behind the rest of the world economy. Immediately after independence, the development strategies in africa had one goal human development. So what are the causes of underdevelopment in africa and possible solutions. The industrial revolution took place from the 18th to 19th centuries, and it was a period during which mainly agrarian rural societies in britain became industrial and urban. Introduction in the 1960s, there were high hopes for newly independent subsaharan african countries.
To provide industrial infrastructure linked to international sea or airports for fixed direct investment into valueadded and exportoriented manufacturing industries. A period of stateownership, economic growth and hope in 1957, ghana under the leadership of kwame nkrumah, led the way and mobilised the people to free africa from imperialist greed. The strategic stakes of foreign projects, identifies some of the strategic risks posed by the three stages of chinese infrastructure projects, enabling beijing to potentially restrict access to. The potential of manufacturing and industrialization in africa. Furthermore, closing the infrastructure gap relative to global best performers could see the growth effect increase gdp per capita by 2. The summit also directed the sadc secretariat to develop a detailed and costed action plan for the implementation of the strategy, and design and develop an appropriate institutional framework. A developing country or a low and middle income country lmic, less developed country, less economically developed country ledc, or underdeveloped country is a country with a less developed industrial base and a low human development index hdi relative to other countries. This is about the same rate achieved in 2017 and up 1.
Before the industrial revolution took place, manufacturing was often done in peoples homes, using hand tools or basic manual machines. This involves an extensive reorganisation of an economy for the purpose of manufacturing as industrial workers incomes rise, markets for consumer goods and services of all kinds tend to expand and provide a further stimulus. The summit also directed the sadc secretariat to develop a detailed and costed action plan for the implementation of the strategy, and design and develop an appropriate institutional framework to implement the strategy. Aida accelerated industrial development for africa. Africa industrialization day financing industrialization in. The bank is actively investing in the development of these zones. African development bank, african economic outlook 2018, 2018.
At its extraordinary summit, held on 29 april 2015, in harare, zimbabwe, the sadc leaders adopted the pdf sadc industrialization strategy and roadmap 20152063 2. Productivity and industrial development in subsaharan africa english abstract. Parties interested in operating an idz may apply to the minister for a permit. The attractiveness of idzs is characterized primarily by their. Objective, themes and outcomes of the paper the main objective of the paper is based on the needs or the requirement for the african continent. The impact of globalization on afr ica in africa, its position in the international system has been considerably weakened by the fact that it has been losing the race for economic development in general, and human development in particular, to other regions, these. Much of the literature dealing with this question has typically employed a neoclassical view that assumes underlying elasticities of supply are very high and. Development of industrial parks ministry of industry, trade. One element is the extremely high level of industrial product imports into the vast majority of ssa countries. Africa s low level of industrial development and product diversification is reflected in an analysis of the international trade of ssa countries by industrial products. Africa s economic growth continues to strengthen, reaching an estimated 3. The africa industrialization day aid, celebrated on 20 november, represents a unique platform to enhance international cooperation and dialogue on the panafrican industrialization agenda, and to raise awareness of the opportunities and challenges associated with this innovation drive.
In fact, this year, the british prime minister theresa may remarked that africa and in particular nigeria is home to some of the poorest people in the world. Africa industrialization day is celebrated on november 20 each year. Trade, technology and the role of the state 453 davis, j. Tanzanias long term perspective plan 201112 202526 pg. Africa s countries have committed themselves to increasing agricultures share of their budgets to 10 percent, donors are making significantly increased commitments, and privatesector players and investment funds are pouring serious money into the area. Government focus to nurture an industrial economy pg. In this perspective, chinas center for international knowledge and development cikd launched the project development zones and industrial parks in china and implications for other developing countries. The economic development in africa report 2011 examines the status of industrial development in africa with a focus on the identification of stylized facts associated with african manufacturing. Executive briefing the future of jobs and skills in africa.
Special economic zones sezs or industrial parks can be an effective instrument to promote industrialization if implemented properly in the right context, as shown in some of the emerging countries, particularly those in east asia. Tanzania five year development plan 201617202021 fydp ii pg. Since agriculture is the mainstay of the tanzanian economy, the manufacturing industry is centered around the processing of local. What are the barriers to and the costs of development. The work was completed under the overall supervision of taffere tesfachew, director, division for africa. Productivity and industrial development in subsaharan africa. Idda3 third industrial development decade for africa. Industrial policy is back on the development agenda. Over the past five years, the world has reenergized its efforts to improve african agriculture. Evolution and current performance mulu gebreeyesus unumerit, maastricht.
Fostering industrial development in africa in the new. The economic development in africa report 2014 was prepared by a research team consisting of patrick osakwe team leader, rashmi banga and bineswaree bolaky. The future of jobs and skills in africa iii key findings the world economic forums human capital index finds that subsaharan africa currently only captures 55% of its human capital potential, compared to a global average of 65%. Made in africa the future of production on the continent. A number of countries in the developing world and particularly africa have shown a renewed interest and started to reintroduce. At that time, africa was economically better off than asia. The industrial sector of tanzania is comprised of manufacturing 53%, processing 43%, and assembling industries 4%. Africa is home to a very large percentage of the poorest people in the world. Rural development in subsaharan africa policy perspectives for agriculture, sustainable resource management and poverty reduction bulletin 370. Transaction costs and asymmetric information cause pervasive market imperfections which are particularly severe in remote marginal areas. This remarkable performance has been largely driven by the prolonged commodity boom and development assistance. The south african research chair in industrial development was awarded to professor fiona tregenna, who is the chair holder and leads the programme. To industrialise africa, the african development bank is committed to mobilising capital, derisking investments for the private sector, and leveraging capital markets.
Industrial development zones idzs south african embassy. The report identifies key actions that can be taken at national, regional and continental levels to overcome barriers to intraafrican mobility. The chair is hosted at the university of johannesburg, where it operates as a centre located in the college of business and economics and is linked to the the school of economics. I an overview of sustainable development in africa emmanuel kwesi boon encyclopedia of life support systems eolss economic development. Africa as a whole has abundant natural resources, but much of its economy has remained predominantly agricultural, and subsistence farming still engages more than 60 percent of. It was designated in 2001 and became south africas first industrial development zone. The industrial revolution, which took place from the 18th to 19th centuries, was a period during which predominantly agrarian, rural societies in europe and america became industrial and urban. The south african government seeks to transform the economy into a globally competitive industrial economy. The second most populous continent which has an abundance of highly valuable minerals. The industrial development corporation of south africa idc is a selffinancing national development finance institution whose primary objectives are to contribute to the generation of balanced, sustainable economic growth in africa and to the economic empowerment of south africans, thereby promoting the economic prosperity of all citizens.
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