SADC

African Nations Must Proceed With Needed Industrialization

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Image: proposed layout of the industrial park

October 28, 2023

My colleague, PD Lawton, presents a thorough report on the creation of an industrial park in South Africa that will benefit the entire region-(read below). This directed economic development coupled with a comprehensive trans-continental rail transportation network and accessible electricity will transform the African continent. This is the method to end poverty and hunger across Africa.

Musina-Makhado Special Economic Zone (MMSEZ) is a proposed industrial park in South Africa, designated with tax incentives as a special economic zone (SEZ). It is an initiative of the Limpopo Province provincial government and the flagship project of the SADC Industrialization Strategy in conjunction with  the African Union Agenda 2063. The aim is to promote industrialization through mineral beneficiation and value addition in agriculture and mineral resources. The manufacturing sector will produce processed metals such as steel, petro-chemicals and plastic production (processing of oil) as well as OEM`s (original equipment manufacturing) which is producing component parts for other industry sectors. Petro chemicals are needed to produce fertilizers. In 2022, South Africa imported US$1.51 billion worth of fertilizer. The security of food supply depends on synthetic fertilizer.

This economic hub is vital for a number of critically important reasons. It will serve as a catalyst for economic growth for the entire SADC region .Achieving of United Nations Sustainable Development Goals on poverty reduction cannot be achieved without African economies manufacturing on an industrial scale including in that processing of agricultural products and processing of mineral resources which is known as mineral beneficiation.”

The African Free Trade Agreement inaugurated in January 2021,remains theoretical without operational SEZs in every region and connected by modernized high tech integrated infrastructure as epitomized by the African Integrated High Speed Railway Network which has been designed to connect economic corridors across the continent  by high speed electrified railway.

Read the entire article.

Musina- Makhado: Economic Integration and Mineral Beneficiation for SADC

Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in economic development policies for Africa for over 30 years. He is a teacher, writer, public speaker, and consultant on Africa. Mr. Freeman strongly believes that economic development is an essential human right. He is also the creator of the blog:  lawrencefreemanafricaandtheworld.com

PIDA Conference: Six Economic Corridors in SADC

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African Infrastructure Discussed at Pan-African Conference in Namibia–Six Corridors Highlighted

Dec. 26—The 2017 Program for Infrastructure Development in Africa (PIDA) Week took place in Swakopmund, Namibia on Dec. 10-14. Countries throughout Africa and especially member states of the Southern African Development Community (SADC) showcased major development projects to promote regional integration.

According to an article by the SADC news agency, the six infrastructure corridor projects showcased during the event included:

1) The Batoka Gorge Hydropower Plant

2) The Zambia-Tanzania-Kenya (ZTK) Power Interconnector

3) The Kinshasa-Brazzaville Road and Railway Bridge

4) The Central Corridor in the United Republic of Tanzania

5) The Ethiopia-Sudan Power Interconnector being sponsored

by the East African Community (EAC)

6) The Abidjan-Lagos Corridor sponsored by the Economic Community of West African States (Ecowas).

The Batoka Gorge hydropower station which entails the construction of an 181 meter gravity dam and the installation of eight 200MW units with the power shared equally between the Zambia and Zimbabwe. The 1,600 MW of electricity the project will produce will be enough to ease shortages in Zambia and Zimbabwe.

Since the two countries are connected to the Southern  African Power Pool (SAPP), which coordinates the management of electricity in the region, the proposed power station will also benefit member states of SADC, with the exception of Angola, Malawi, and Tanzania.

The ZTK interconnector entails a high-voltage power transmission line connecting Zambia, United Republic of Tanzania and Kenya. Once completed it will create a link between SAPP and the East African Power Pool (EAPP), making it possible to transmit power from Cape Town in South Africa to Cairo, in Egypt.

The 2,206 km interconnector will have a capacity of 400MW. It is a Common Market for Eastern and Southern Africa (COMESA)-SADC-EAC Tripartite Priority project as well as a New Partnership for Africa’s Development (NEPAD) project under the PIDA program and the Africa Power Vision, and has been endorsed by the African Union (AU) heads of state and government.

The proposed Kinshasa-Brazzaville Road and Railway Bridge will be a railroad bridge across the Congo River to link Kinshasa and Brazzaville, the capitals of the Democratic Republic of Congo (D.R.C.) and Republic of Congo, respectively. It also will involve the construction of a 1,000 km railway to connect the cities of Kinshasa and Ilebo in the D.R.C., as well as development of road networks on both sides of the Congo River to link the two countries to the bridge. Sponsored by the Economic Community of Central African States (ECCAS), the project would be part of the Central Corridor which involves the construction of the Dar-es-Salaam to Chalinze Toll Road.

SADC Deputy Executive Secretary responsible for corporate affairs, Emilie Mushobekwa said infrastructure development “requires sustained efforts from all stakeholders to maintain the momentum of implementation. Sustaining this momentum requires that in addition to political will, other necessary enabling conditions are availed.”

PIDA is a blueprint for African infrastructure transformation for the period 2012-2040. The program was adopted by African leaders in January 2012 and provides a strategic framework for priority infrastructure projects to interconnected

and integrated region. The African Development Bank, African Union Commission, Namibian government, NEPAD, and United Nations Economic Commission for Africa organized the 2017 PIDA Week to present the project to potential donors

Chinese Firms Have Built, or are Building Hydropower PrpjectsTotaling 3.7 Gigawatts of Electric Capacity in Sub-Saharan Africa

{New China} reported Dec. 27. This is increasing the region’s installed electric capacity (currently at 28 GW) by about 15%. Projects in Cote d’Ivoire, Uganda, Zimbabwe, Angola and DR Congo have also created tens of thousands of jobs. Africa’s sub-Saharan electricity deficit is still huge, with two-thirds lacking reliable electricity access.

China’s Investment in New Transport Networks Can Set a Mark

Dec. 27, 2017–China’s Ministry of Transport held a conference, reported in the government newspaper {People’s Daily}, on the Ministry’s planned 2018 investment in transportation infrastructure. The scale of new infrastructure in 2017, also reported there, gives an idea of what it takes to build out new national transportation networks rapidly, at a time when the United States, for one, is about to hold a debate on this subject.

{Peoples Daily} reported that China’s transportation infrastructure investments were $323 billion equivalent in 2017 through November, or roughly total $350 billion for 2017 as a whole. This equals about seven years’ of surface transportation bills in the United States.

The plans for 2018 are for 5,000 km of new roads, renovation of 216,000 km of roads, 4,000 km of rail, and increasing container port freight-handling volumes by more than 15%.

Reuters reported that at this conference, the Ministry said it intended to speed up the construction of logistics hubs and inland waterways, build more roads to reach rural areas, and concentrate on accelerating the Beijing-Hebei-Tianjin urban triangle plan, mainly by improving roads and rail lines. It notes, “Infrastructure investment is expected to be among the biggest drivers of China’s economic growth in coming years.”