INTERNATIONAL

Exclusive: How new Trade Information Portal plans to plug Africa’s data and finance gap - The African Export-Import Bank (Afreximbank) is building an online repository of information products for importers and exporters looking to access African markets or expand existing operations across the continent. The bank’s ambition for the Trade Information Portal (TIP) is for it to evolve into the “single authoritative reference point” for all trade and investment-related information in the African context, Lizanne Case, senior manager of trade information services at Afreximbank, tells GTR. She explains that the TIP will provide information around how current supply chains are oriented in Africa at the company, sector, market, price and trade flow levels. It will also offer professional services support. As such, she says, the TIP will be a tool to connect users looking to understand African markets; equip them with the necessary information to facilitate transactions; provide on-the-ground, direct consultancy services support to entities; and also deliver an online marketplace for buyers and sellers to connect. (Global Trade Review)

Key Words: Trade, Africa, Global

Container ports: the fastest, the busiest, and the best connected – Known as the “humble heroes” of globalization, containers are handled in hundreds of millions at container ports worldwide annually. Efficient and well-connected container ports enabled by frequent and regular shipping services are key to minimizing trade costs, including transport costs, linking supply chains and supporting international trade. Thus, port performance is a critical factor that can shape countries’ trade competitiveness. Every hour of port time saved by ships translates into savings in port infrastructure expenditure for ports, ship capital costs for carriers, and inventory holding outlays for shippers. Recognizing the importance of measuring container port performance, UNCTAD developed the Liner Shipping Connectivity Index (LSCI) in 2004 to determine countries’ positions within global liner shipping networks; the latest country-level LSCI statistics were published in July 2019. (UNCTAD)

Key Words: Globalization, Trade, UNDTAD

New WTO research puts spotlight on natural disasters and trade – New research takes a comprehensive look at the nexus between natural disasters and trade in six of the world’s most at risk nations. It examines the trade measures that could assist Dominica, Fiji, Nepal, Saint Lucia, Tonga and Vanuatu to respond to and recover from disasters, and to build disaster resilience. The research was lauded by representatives of these countries at a recent symposium on natural disasters and trade hosted by the World Trade Organisation (WTO). In any given year, it is likely that the six countries will either be hit by, or recovering from, a major natural disaster. Hydro-meteorological risks such as tropical cyclones, hurricanes, flash flooding and landslides are the most common types of disaster. But geophysical events, such as the earthquake that struck Nepal in 2015, are also a threat. Geophysical events can also provoke secondary hazards, such as tsunamis in coastal states. (trade4devnews)

Key Words: Trade, WTO, Research

WCO publishes an E-Commerce Package - The WCO E-Commerce Package, which has just been published, provides guidance to Customs administrations on establishing or enhancing the legislative, policy and operational framework for managing cross-border e-commerce. The Package includes the Framework of Standards on Cross-Border E-Commerce and the accompanying WCO Council Resolution adopted in June 2018, as well as various tools adopted in June 2109, supporting the effective and harmonized implementation of the various standards contained in the Framework. Given the phenomenal growth in cross-border e-commerce and its associated opportunities and challenges, Customs administrations are urged to implement the Framework of Standards in a phased manner, based on their national priorities, specificities, internal procedures, and resource availability. To ensure its wide application, it is recommended that Customs administrations implement the Framework of Standards in close cooperation with other relevant national government agencies and e-commerce stakeholders. (WCO)

Key Words: E-Commerce, Trade, WCO

Understanding China’s robot phenomenon – China is the world’s largest user of industrial robots. In 2016, sales of industrial robots in the country reached 87,000 units, accounting for around 30 per cent of the global market. To put this number in perspective, robot sales in all of Europe and the Americas in 2016 reached 97,300 units (according to data from the International Federation of Robotics). In addition, between 2005 and 2016, the operational stock of industrial robots in China increased at an annual average rate of 38 per cent. What is driving the rise of robots in China? In a recently published article, we dig into the underlying factors behind the country’s rise to the forefront of industrial robotics. Through a new survey, the China Employer-Employee Survey (CEES), we have collected some of the world’s first firm-level data on robot usage and provide possible explanations from both the supply and demand sides. (LSE)

Key Words: China, Robot, Trade

PAN AFRICAN

Joint statement between the USA and AU on AfCFTA - Deputy United States trade representative C.J. Mahoney and African Union Commission commissioner for trade and industry Albert Muchanga have signed a joint statement concerning trade between the USA and the African Union at the opening ceremony of the 2019 African Growth and Opportunity Act (AGOA) Forum – Below is the full joint statement:

The USA and the African Union share a common goal of enhancing the African Union's efforts to increase continental trade and investment under the African Continental Free Trade Area (AfCFTA).

The USA and the African Union share a mutual desire and common goal to deepen dialogue and cooperation on trade and investment matters and to increase trade and investment between the USA and Africa.

The USA recognises the African Union's expression of interest to work closely together to identify ways the USA can cooperate on the development of the AfCFTA. The USA recognises that one of the African Union's principal aims is to promote sustainable development as well as the integration of African economies.

The USA and the African Union intend to work together with respect to the AfCFTA to promote a sound trade policy environment, regional economies of scale, and the increased flow of goods and services on the continent in order to increase continental trade and investment, as well as trade and investment between the USA and Africa.

The USA and the African Union intend to jointly identify subject areas related to the ongoing negotiation and implementation of the AfCFTA as subjects for cooperation and for possible technical assistance and capacity building.

The USA and the African Union intend to work together to develop activities that support these priority objectives.

The USA and the African Union share a mutual desire to pursue deeper trade and investment ties beyond the African Growth and Opportunity Act, which is scheduled to expire in 2025, eventually leading to a continental trade partnership between the USA and Africa that supports regional integration.

Op-Ed: Africa’s Free Trade Agreement, a game-changer? - At a time when the US and UK are turning their backs to free trade Africa's new free trade agreement (AfCFTA) is gathering momentum writes Terje Osmundsen. Earlier this year when the Africa Cup of Nations captured the attention of Africa’s football enthusiasts, the continent’s political leaders met in Niger to launch the historic entry into force of Africa's new free trade agreement (AfCFTA). Both events can be seen as signs of a continent characterised by increased ambition and optimism. At a time when we are constantly exposed to news of political unrest, terrorism, extreme weather and corruption scandals, it is easy to forget that since the year 2000, Africa has had the second-highest economic growth of all the continents in the world. Today, the countries of Eastern and Western Africa without large oil and natural resources see the most rapid economic development, with an annual growth of around 6%. Of the world's 10 fastest-growing economies today, five are African; Ethiopia, Rwanda, Ghana, Kenya, and Ivory Coast. Corruption and bad governance is still a major problem, but according to the acclaimed Mo Ibrahim 2018 index, as many as three of four Africans live in countries where governance has improved over the last 10 years. (ESI Africa)

Key Words: AfCFTA, US, UK

Africa’s key development partners unite to tackle hunger as millions face food insecurity in times of climate change – Development partners in Africa have pledged to pool their resources to counter food insecurity on the continent. The commitment was formalized at the first Africa Food Security Leadership Dialogue (AFSLD) held in Kigali, Rwanda, August 5-6, in partnership with the African Union, leaders of the African Development Bank, the Food and Agriculture Organization of the United Nations, the International Fund for Agricultural Development and the World Bank. The event focused on strengthening and accelerating support to Africa’s food security programs and helping African agriculture adapt to climate change through increased partnerships and coordination. “We cannot afford to go on like this … Improving the enabling environment for agriculture is something we can fully control. Increased agricultural productivity is essential for eradicating hunger and undernourishment,” said Paul Kagame, President of Rwanda. (AfDB)

Key Words: AfDB, Agriculture, Development

Billions poised for Africa’s real estate sector – The growth and opportunity displayed by a diverse spread of International funds, DFIs, banks, PE firms, institutional investors and others is evidence that despite apparent indifference to African opportunities in SA boardrooms, the continent’s real estate sector has evolved. This is the view of Kfir Rusin, the host of the most significant annual gathering of capital investors in African real estate, the 10th annual Africa Property Investment (API) Summit taking place from 2-3 October in Johannesburg, whose stakeholders have been more active in the first half 2019 than in the previous 24 months.“In the first two quarters of 2019, we’ve tracked 10 significant transactions in excess of more than a half a billion dollars across multiple jurisdictions and sectors by API Summit stakeholders,” says Rusin. (African Review)

Key Words: Africa, Growth, Investment

Mobile phones replace banks in Africa - It doesn’t look like the hub of an online bank but that’s what the yellow and blue metal kiosk becomes when Albert Agane locks himself behind the metal bars every day at 6am. From his perch along a dusty suburban thoroughfare in Accra, the 28-year-old helps fellow Ghanaians withdraw or deposit cash for accounts they operate from their mobile phones. All they need to do is text. Mobile money is the fastest-growing source of income for wireless-network operators like MTN and Vodafone’s Safaricom unit, outpacing data since many Africans don’t have the latest smartphones. They need agents like Mr Agane because ATMs and bank branches are out of reach, or too costly. “In a village where there are no banks, you can go to an agent and transact,” said Mr Agane, who earns a commission of about 1 per cent for moving as much as 20,000 cedis (Dh13,588) a day. “Once people have phones there’s no need for a bank account.” The service has become an indispensable part of how Africa’s 1.2 billion people live, from buying funeral cover to borrowing money. The number of registered users in Ghana soared 11-fold between 2013 and 2017, International Monetary Fund data shows. (The National)

Key Words: Africa, Mobile, Technology

Celebrating Africa’s digital potential on UN Youth Day (By Ime Archibong, Vice President, Product Partnerships at Facebook) – Many things have been said about the future Africa and its potential, it has been called the Opportunity Continent, the Next Frontier and Africa rising, with all of these true. For me the excitement comes in how Africa can, and will one day lead in the digital economy, not only creating a better future for its young people, but for people across the entire continents, whether here in Africa or elsewhere like in Europe or the US. Africa’s young population could be its greatest asset in an age where many other regions in the world are aging as a result of declining birth rates. As the world’s human population grows from 7.4 billion people to 8.2 billion people between now and 2025, 40% of that growth will come from Africa, and with more than 628 million people aged below 24, this young, dynamic and innovative population will become one of the most powerful engines of growth the world has ever seen. (Top Africa News)

Key Words: Africa, Digitalization, Youth

TICAD7: Building a Better World through Business - Challenges in Humanitarian Assistance in Africa and the Role of Private Sector - At the 7th Tokyo International Conference on African Development (TICAD 7), the International Committee of the Red Cross (ICRC) and Waseda University will co-host a seminar to discuss post-conflict humanitarian needs and challenges. Participants will also exchange views on the expected roles and responsibilities of the Japanese private sector and academic institutions. Khaled Sherif African Development Bank Vice President Regional Development, Integration and Business Delivery will be among the high-level speakers on the panel.  “The Bank has committed to enhancing its advisory role, resources and capacities in order to scale up its support to countries affected by conflict and fragility,” Sherif notes. Private sector development in low-income countries in Africa and private investment are lagging behind. The Bank is increasingly using innovative approaches to combine private financing with concessional financing to support projects with high social benefits. (AfDB)

Key Words: AfDB, Business, Regional Integration

NORTH AFRICA

What drives the booming trade in Tunisia’s antiquities? Corruption and a weak legal framework turn cultural artefacts into easy pickings for traffickers. In March this year, customs officials in Sfax intercepted a car carrying over 600 antique coins. The driver is currently facing criminal prosecution, and a broader investigation has been launched. Tunisia has up to 50 000 sites of historical interest. In an interview with ENACT, archaeologist and international relations scholar, Youssef Cherif, said that seizures of looted antiquities occur on a weekly basis in Tunisia. ‘The famous city of Carthage and a major part of the country were built on the ruins of previous civilisations that ruled Tunisia,’ Cherif explains. Ancient cities were built on top of each other, with buildings covering ancient artefacts.  (Enact Observer)

Key Words: Trade, Tunisia, Export

Supporting Social Policies Tops 2020 Budget Draft Bill’s Priorities - The 2020 budget draft bill will give priority to supporting social policies and reducing social and spatial disparities, in addition to establishing social protection mechanisms, said Head of Government, Saad Dine El Otmani. Given that achieving these goals requires sustained and sustainable funding, the government is committed to promoting investment and supporting businesses, particularly small and medium-sized enterprises (SMEs) in order to boost economic growth, El Otmani pointed out in a guidance note on the 2020 budget draft bill. Priority will also be given to accelerating the implementation of reforms aimed at improving the mechanisms that will ensure a fair distribution of wealth (justice, advanced regionalization, tax reform), in addition to strengthening the effective management of public policies, he added. To this end, several measures will be taken, including the acceleration of the implementation of the education and training system reform, the gradual generalization of pre-school education, the strengthening of schooling social support as well as the role of education to help young people accessing the labor market, in addition to the implementation of the vocational training roadmap, which was presented to King Mohammed VI on April 4, 2019. (Morocco World News)

Key Words: Policy, Morocco, Development

EAST AFRICA

Ethiopia Kick Starts National Plan to Curb Contraband, Illicit Trade – The Ethiopian government said it is embarking on a national plan to curb contraband and illicit trade. Demeke Mekonnen, Deputy Prime Minister of Ethiopia, said, besides the stress it puts on the economy, contraband is becoming "an issue of sovereignty." For the plan to be successful, the Deputy PM emphasized, stakeholders at all levels must join hands. In spite of massive work on the part of the government seeking to ensure the sustainability of the ongoing comprehensive transformation, contraband and illicit trade are still becoming a big challenge, he noted. “We should act collectively now to prevent contraband and illicit trade, as it is a cancer for our economy,” Mr. Demeke said. (2Merkato.com)

Key Words: Illicit Trade, Ethiopia, Economy

WCO successfully pilots its ‘Advanced Post Clearance Audit’ training package in Rwanda - Under the framework of the Mercator Programme support provided to the Rwanda Revenue Authority (RRA), the WCO successfully delivered a workshop to pilot its new advanced Post Clearance Audit (PCA) Training Package. The workshop was held in Kigali, Rwanda from the 29th of July to the 2nd of August 2019, benefitting 12 Customs officers of the RRAs PCA unit. This was the third pilot workshop of the new Advanced PCA Training Package. The first one was held in November 2018 for the South African Revenue Authority (SARS) and the second one in January 2019 for the Malawi Revenue Authority (MRA). The Advanced PCA Training Package has been developed based on specific needs of Mercator beneficiary countries.  The Package provides these countries with a hands-on tool addressing the prerequisites of effective PCA implementation, and facilitative measure, to move away from controls at the border to a later stage, in line with Article 7.5 of the WTO TFA. (WCO)

Key Words: Training, Rwanda, Trade

Congo Republic oil find could quadruple national output - An oil discovery in Republic of Congo could produce nearly 1 million barrels of oil per day, a company involved said on Monday, possibly quadrupling the nation’s output and propelling it into the same league as Africa’s largest producers. Congo’s cash-strapped energy industry has been boosted by major recent finds from Italy’s ENI and France’s Total, lifting an economy hobbled by debt, civil unrest and corruption, and raising output to about 350,000 barrels per day. Production from the new field, developed by SARPD-OIL in la Cuvette region, could dwarf that, said the company’s marketing director Mohamed Rahmani. A government spokesman did not immediately comment on the discovery. SARPD estimates the field holds 1 billion cubic meters of hydrocarbons, including 359 million barrels of oil, with a potential for daily output of 983,000 barrels, Rahmani said. (Reuters)

Key Words: Oil, Export, Congo

Central Bank of Sudan gets $250 mln Saudi loan to improve public finance – The Central Bank of Sudan has just received $250 million in aid from Saudi Arabia, a statement from Saudi finance authorities informed. The fund injection is expected to loosen pressure on the local currency and contribute to exchange rate stability. This is to restore the balance of an economy long affected by a crisis that led to the ousting of President al-Bashir in April 2019. The new operation is part of an agreement signed between the East African country and its Arab partners, including the United Arab Emirates, which announced a total of $3 billion in aid for Khartoum last April. Sudan is still on the U.S. black list of countries financing terrorism. Due to this situation, and the problems of indebtedness to international institutions, Sudan can no longer get assistance from the IMF and the World Bank. (Ecofin)

Key Words: Sudan, Growth, Bilateral Agreement

Tanzania, Uganda maize imports cool off unga prices – Maize imports from Tanzania and Uganda have helped to stabilise the market price of the grain, averting fears of a sharp increase in flour prices on supermarket shelves. The price of a two-kilo packet of flour has averaged Sh123 since June, defying the Ministry of Agriculture’s projections that the cost would shoot to over Sh130 citing an imminent maize shortage in the country. The ministry had repeatedly called for lifting of taxes to allow for duty-free imports, which Opposition leader Raila Odinga, the Strategic Food Reserve Fund chairman Dr Noah Wekesa and Members of Parliament from the maize growing zones opposed, saying there was enough maize in the country. Agriculture principal secretary Hamadi Boga, who had supported the import of more than 10 million bags of duty-free maize, in an interview Friday said the price of flour will remain at the current levels if the flow of grain from neighbouring countries remains at the current level. (Business Daily)

Key Words: East Africa, Imports, Trade

Building a Regional Framework for Customs Integrity in East Africa - Between 15 and 18 July in Arusha, Tanzania, experts of 5 WCO Members of the East African Community (EAC), and South Sudan met to discuss the region’s response to corruption in customs. The workshop was jointly organised by the WCO’s Anti-Corruption and Integrity Promotion (A-CIP) Programme for Customs and the EAC Secretariat.  The workshop was also attended by observers from the WCO Regional Office for Capacity Building (ROCB) for East and Southern Africa and the African Union Advisory Board on Corruption (AUABC).  Each country fielded experts from their Customs administrations, as well as officers from national integrity and anti-corruption bodies and integrity programmes at the revenue authority level.  The workshop focused on the EAC Customs and Tax Code of Ethics and Conduct, and the EAC Integrity Action Plan: regional instruments that were adopted in 2014, and applied by Customs administrations in all Partner States. These instruments are premised on international standards, particularly on the WCO Model Code of Ethics and Conduct and the Revised Arusha Declaration. (WCO)

Key Words: East Africa, Customs, Tax

WEST AFRICA

ECA’s Chinganya praises Sierra Leone for its commitment to CRVS and ID issues - The Economic Commission for Africa (ECA) is committed to supporting the mobilization of resources required to support the implementation of Sierra Leone’s strategic plan which aims to strengthen the country’s Civil Registration and Vital Statistics (CRVS) and ID management system. This will make the system to function efficiently in supporting public administration, good governance and service delivery. This was said by Oliver Chinganya, Director of the ECA’s Africa Centre for Statistics, at an event commemorating the second Africa Civil Registration and Vital Statistics Day which also marked the official launch of the Comprehensive Country Assessment and the costed National CRVS Strategic Plan in Sierra Leone. The ECA Director praised Sierra Leone’s President, Retired Brigadier Julius Maada Bio, and his government for their commitment to strengthening the nation’s national CRVS system following the fundamental principles of Africa Programme on Accelerated Improvement of Civil Registration and Vital Statistics that have governed CRVS reform in Africa. (UNECA)

Key Words: ECA, Sierra Leone, Policy

Access Bank partners Women Affairs on ‘50m Women Speak Project with ECOWAS’ - Access Bank, through its W Initiative, has partnered with the Federal Ministry of Women Affairs on the 50 million Women Speak Project with ECOWAS designed to empower women in business across Africa on skills required to build sustainable businesses. The bank explains in a statement that the W initiative is the home of everything which Access Bank has to offer women. “It is a brand dedicated to inspiring, connecting and empowering women across every stage of their lives either as women in business, women and family or young professionals. “The initiative has identified the importance of boosting one’s business while leveraging technology and digital platforms. Hence, the partnership with the Federal Ministry of Women Affairs on its 50 million Women Speak Project with ECOWAS. This  will boost the economic empowerment of women through the provision of a capacity building and networking platforms that will provide access to information on financial and non-financial services”, the statement added. (The Sun)

 Key Words: ECOWAS, Business, Growth

Sierra Leone reviews mining licenses - The government of Sierra Leone is reviewing mining licences and contracts, aimed at ensuring investments into extractives are in line with development needs. This is part of a pledge to clean up the sector by President Julius Maada Bio, who has criticised an “extreme lack of transparency” under his predecessor Ernest Bai Koroma. Despite having significant reserves of diamonds, iron ore, titanium and other resources, Sierra Leone is a typical example of an African country failing to benefit from its natural wealth. Mining accounts for 80 per cent of exports but generates just 15 per cent of total revenues. (African Review)

Key Words: Investments, Trade, Development

SOUTHERN AFRICA

USTDA supports Zambia’s energy generation - The US Trade and Development Agency has awarded a grant to Upepo Energy Zambia Limited, a Zambian energy solutions company, to fund a feasibility study for a 150MW wind, solar and energy storage hybrid power plant project in northern Zambia. The study will evaluate the optimal mix of on-site wind, solar and battery storage technologies to provide energy generation and services to the Zambian grid. Upepo selected New York-based WSP USA, Inc. to conduct the technical and financial analysis needed to develop the large-scale hybrid project and determine its commercial viability. It is expected to be one of the first hybrid renewable energy projects in the country and will provide much-needed generation and grid support to in northern Zambia. (African Review)

Key Words: Trade, Development, Africa

Trade between China and the Portuguese-speaking countries rises 1.17% in the first half of 2019 -The value of trade between China and the Portuguese-speaking countries grew marginally by 1.17% year-on-year from January to June 2019 to US$70.139 billion, according to official Chinese figures released by Forum Macau. Chinese exports to the eight Portuguese-speaking countries in the first six months of the year totaled US$19.706 billion (a year-on-year drop of 6.13%) and imports totalled US$50.433 billion (+4.34%), leading to a trade deficit for China of US$30.727 billion. Trade with Brazil increased by 0.33% in the first half to US$51.959 billion, with China buying goods worth US$36.314 billion (+4.99%) from Brazilian companies and selling products worth US$15.644 billion (-9.03%). Trade with Angola totalled US$13.643 billion (+1.90%) in the period under review, with Chinese exports of US$935 million (-10.26%) and imports of US$12.708 billion (+2.93%). Trade with the other Portuguese-speaking countries – Cabo Verde, Guinea-Bissau, São Tomé and Príncipe and Timor-Leste – reached US$110 million in the first half of the year. (Macauhub)

 Key Words: Trade, Growth, Exports

US trade agency awards grant for project to improve internet access in rural SA – The United States Trade and Development Agency has awarded a grant to support a project that aims to help improve internet access to rural areas in South Africa. Under the project led by wireless technology company Adaptrum, the USTDA will fund several TV White Space (TVWS) deployments with the goal of establishing models that can be replicated across the country. Encompassing an unreached population of more than 20 million people in rural areas and difficult-to-reach terrain, South Africa is an ideal location for TVWS, which uses unused broadcast spectrum to deliver long-range wireless connectivity. The project is intended to demonstrate that TVWS is a feasible business solution for economically and affordably connecting rural South Africa. (IOL)

Key Words: U.S., Trade, SA

Indonesian Mission Proactively Capturing Opportunities in Botswana - The Indonesian Ambassador accredited to Botswana, Salman Al Farisi, led a group of Indonesian businessmen to explore business opportunities in Botswana on 5-7 August 2019. The three-day intensive official visit was maximised by the Indonesian Ambassador to meet with the Minister of Infrastructure and Housing Development of Botswana, hands over the Letter of Commission and Exequatur to the new Indonesian Honorary Consul in Gaborone, opened the Indonesian Pavilion at the Botswana Global Expo Exhibition and meeting with local businessmen. "Botswana is a gem hidden in Africa and has great potentials that has yet to be discovered. This country has a comparative advantage with its political stability and a more positive economic growth compared to its neighbors in Sub-Saharan Africa. We bring PT. INKA and Audie Building Industry to visit the authorities and potential business partners in Botswana. In Africa, we must have persistency, dare to bleed, and be more aggressive" said Ambassador Salman Al Farisi on the sidelines of his activities in Botswana. (kemlu.go.id)

Key Words: Botswana, Business, Economy

Angola and Cabo Verde end double taxation and guarantee free movement of goods and capital - The governments of Angola and Cabo Verde have signed three agreements to end double taxation and guarantee mutual administrative assistance in customs and tax matters, at a ceremony held in Luanda, according to official information.The agreements, which also guarantee the free movement of goods and capital, were signed by the Angolan and Cabo Verde Finance Ministers, Archer Mangueira and Olavo Correia, respectively. Minister Archer Mangueira said the agreements signed with Cabo Verde bring strategic advantages to Angola, where the elimination of double taxation will allow an increase in foreign investment, with repercussions on economic growth, knowledge and skills transfer, as well as on the construction of infrastructure and increased employment. Archer Mangueira also said that with regard to mutual administrative assistance in customs and tax matters, the documents will promote trade facilitation and make it possible to fight illegal customs practices. (Macauhub)

Key words: Angola, Tax, Trade