India-Africa should target to double trade to USD 200 bn over next seven years: Piyush Goyal

Union Minister of Commerce and Industry Piyush Goyal, emphasized the deep bonds and evolving partnership between India and Africa at the 19th CII India-Africa Business Conclave held in New Delhi on Wednesday.

Goyal said, “It is wonderful to see the Brotherhood, the friendship between the people of India, the people of Africa… growing from strength to strength, sharing very deep bonds, looking at ways and means to expand our cooperation.”

He echoed the sentiments of Prime Minister Narendra Modi, affirming that “Just like Prime Minister Narendra Modi had said, and I quote, India’s engagement with Africa will continue to be guided by 10 principles. The first and foremost principle is Africa will be at the top of our priority.”

Goyal elaborated on various initiatives led by Prime Minister Modi, including efforts to bring the African Union into the G20 as a permanent member, and India’s role in raising issues of common interest at multilateral forums like the WTO.

Goyal said, ” Our effort to raise issues of common interest at various multilateral forums like the WTO, protecting the interests of the Global South, of less developed countries and developing countries in Africa, the various forms of assistance that we have been able to give from India through the lines of credits aggregating over USD 12 million to over 40 countries.”

He added, “All of these are only the beginning. We have a long way to go. I see tremendous potential in this beautiful relationship. And I’m very confident. Let’s take to my colleagues, my friends from different parts of Africa.”

Underlining the importance of investments, Goyal said, “We are all looking to attract a greater degree of investments to bring for our people. We had a very good trade record last year, the year 2023 where we clocked nearly USD 100 billion our overall investments in Africa are about USD 47 billion but again… I think there’s so much more we can do together.”

Goyal mentioned certain areas for taking forward the India-Africa relationship.

He said, “First, can we look at doubling our trade? And set a benchmark to double this trade number from 100 billion to 200 billion between Africa and India. We should look at doing that in the next seven years so that we can increase the target at 10 per cent growth. Driving deeper technology penetration in Africa. I’m sure a technology-driven partnership will further strengthen the bonds between Africa and India.”

He added, “Mineral-rich Africa can complement our increasing needs for critical minerals, particularly for the great thrust India is giving to the electric vehicle sector. India would have several offerings for the African countries.

“Likewise, we have good demand for oil seeds, for pulses, lentils, and similarly, other products which we import, in large measure, cotton, rubber and African countries, if they are already producing to be a source for India, or we could help you in your plantation sector to develop newer products for export to India. The MSME sector plays a critical role, and increasingly important role, both in Africa and in India,” he further added.

Malawi’s Minister of Trade and Industry, Sosten Gwengwe, offered a perspective on Africa’s economic trajectory.

He underscored the growing trade relations between Malawi and India, saying, “Malawi has a growing trade and investment relations. India is one of Malawi’s major export destinations where many commodities including pigeon peas, soybean, mangoes, macadamia nuts, chillies, ground nuts and peas have found their way to the Indian market.”

Rui Miguens de Oliveira, Minister of Industry & Commerce, Republic of Angola said that India is a crucial partner for African countries.

“India has emerged as a crucial partner for African countries, especially Angola. Bilateral and multilateral relations with India are especially important, given the current global conditions and technological requirements. Africa must leverage the opportunities offered by trade initiatives such as the Duty-Free Tariff Preference (DFTP) Scheme offered by India.”