Africa is full of potential, and the African Continental Free Trade Area (AfCFTA) is an important key to unlock it. Unleashing continental opportunities requires prioritizing issues, channelling interventions in the right direction and removing barriers in vital sectors. Africa’s footprint in the international market is still small. Africa accounts for just 2.3% of global exports – with an export basket heavy on primary commodities and natural resources. While only 14% of the continent’s exports are destined for other African countries, much of this trade is in semi-processed and processed goods. Strengthening regional trade is therefore crucial to support greater value addition, diversify supply chains, boost resilience to crises and to industrialize – ultimately contributing to job creation and better livelihoods on the continent. The International Trade Centre (ITC) examined value chains to identify high-potential sectors for sustainable development in Africa and the bottlenecks for firms. The value chain diagnostic supports the continent by suggesting how governments and businesses can best develop sustainable value chains. The diagnostic contributes to Africa’s regional integration agenda and pivotal elements of the continental trade agreement. ITC’s approach – combining robust, data-driven analysis and thousands of business voices from across the continent – can help African economies develop value chains, promote sustainable economic transformation and reduce dependency on primary product exports.
Made by Africa: Creating Value Through Integration
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17 Jan 2023
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