2019 – Posted in: Press Information Bureau – Tags: african country, indian diaspora, international relation

Indian Business Community in Africa

(Ministry of Commerce & Industry)

WHAT

The Commerce Ministry and Indian High Commissions and Embassies of eleven African countries arranged an interaction over Digital Video Conference (DVC) over two days, on 3rd and 6th May 2019, with the Indian business community in Africa.

The interactions with Indian Diaspora were held in Tanzania, Uganda, Kenya, Zambia, and Mauritius, Nigeria, Mozambique, Ghana, South Africa, Botswana, and Madagascar.

This initiative was held in order to build an effective engagement withthe Indian Diaspora in Africain order to further deepen and strengthen India-Africa trade ties.

INDIA’S TRADE

India’s total trade with the African region during 2017-18 was USD 62.69 billion (8.15% of India’s total trade with the World).
India’s share of exports to African countries as a percentage of India’s total exports to the world was of the order of 8.21% in 2017-18.
Africa region’s share in India’s total imports from the World accounted for 8.12% in 2017-18.

WHY AFRICAN COUNTRIES

African countries present immense opportunities for India with the world’s largest land mass, 54 countries, a population growing to be almost equivalent to that of India
Huge mineral resources, oil wealth, a youthful population, falling poverty levels and increasing consumption patterns.
Africa has a huge demand for new business models for market entry, stable market access, entrepreneurship and investments in transport, telecom, tourism, financial services, real estate and construction.
The Indian community in Africa is playing a vital role in all fields like politics, business and education.
Current strength of the Indian Diaspora in the African countries is 2.8 million.
Indian Diaspora in Africa constitutes 9.11% of the total Diaspora of India.

MAJOR ISSUES HIGHLIGHTED BY INDIAN BUSINESS COMMUNITY IN THESE 11 COUNTRIES

Improving the Line of Credit system and developing a facility for an affordable and competitive funding.
Setting up of Indian Banks/financial institutions in Africa
Enhanced Buyers’ Credit facility for promotion of trade between the two regions
Reviewing and liberalizing visa policies from both sides
Need for direct flights between the India and African countries
Exploring the possibility of rupee trade to address the issue of shortage of dollars in region.
Creation of common database of buyer-suppliers in the two regions for facilitating matchmaking for enhancement of bilateral trade.
Development of a robust trade dispute settlement mechanism
More frequent and structured country/sector specific trade exhibitions in Africa
Establishment of country chapters of FICCI or CII in Africa
Frequent visits of policy makers, chamber of commerce and investors for familiarization with local business and investment regime for informed decisions

Source: PIB

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