Home Africa Value chain development crucial for Africa’s growth: AfCFTA official

Value chain development crucial for Africa’s growth: AfCFTA official

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Value chain development crucial for Africa’s growth: AfCFTA official

Value chain development crucial for Africa’s growth: AfCFTA official

ACCRA, Jan. 29 (Xinhua) — Africa needs to focus on developing value chains to achieve its growth objectives, an African Continental Free Trade Area (AfCFTA) official has said.

Speaking during the Africa Prosperity Dialogue, which closed in Ghana Saturday, AfCFTA Secretary General Wamkele Mene stressed that the well-developed value chains would help the continent achieve the target of 7 percent annual growth set in the African Union’s Agenda 2063.”Today, whether it is cocoa, oil, metals, or wood, the lack of physical transformation into higher-value products is widespread, impeding the production of high-quality jobs,” said Mene. “Developing value chains and production networks in Africa is vital for enhancing productivity, deepening economic integration, and increasing resilience against economic shocks.”Mene believed the continent’s role as a key supplier of raw materials, including lithium for the renewable energy market, offers an additional strategic advantage to Africa for manufacturing and exporting more sophisticated finished products.

Geopolitical trends are also working in Africa’s favor, with countries and businesses seeking to diversify their suppliers, said the official.”The combination of these factors, coupled with the operation of the AfCFTA, offers a unique opportunity to our countries to develop regional value chains and transform the continent from a raw material exporter to a manufacturing hub and key player in global value chains,” he added.The Africa Prosperity Dialogue was organized by the AfCFTA Secretariat and the Africa Prosperity Network as a platform for African leaders, captains of business, investors, and other stakeholders to delve into road maps for Africa to achieve prosperity.