The Pan-African Manufacturers Association has identified major challenges impeding the growth of Africa’s manufacturing sector, citing inefficient border processes, high trade costs, and poor infrastructure as significant obstacles.
This was disclosed by PAMA’s Interim President, Ahmed Mansur, during the 2024 African Economic Conference held in Botswana on November 24.
In the November edition of PAMA Manufacturing’s global news bulletin released and sent to PUNCH Online Tuesday, Mansur also emphasised the need for regional collaboration and robust public-private partnerships.
Themed “Securing Africa’s Economic Future Amidst Rising Uncertainty,” the conference focused on overcoming economic hurdles facing the continent.
Mansur said, “Our manufacturing sector faces significant challenges, including inefficient border processes, high trade costs, and poor infrastructure. These factors are preventing us from realizing the full benefits of the AfCFTA. We must collectively work towards reducing trade costs, addressing infrastructure deficits, and improving border efficiency.
“By working together, African countries can create a more conducive environment for manufacturing, attracting investment, and stimulating economic growth. The sector contributes a mere 11% to Africa’s GDP, far below its potential owing to the challenges facing the sector.”
He called for targeted investments in infrastructure and actionable policies to enhance the competitiveness of African industries.
“For Africa to achieve sustainable economic growth, the private sector must be positioned as the engine of industrialisation. This requires creating an enabling environment that reduces trade barriers, facilitates access to capital, and fosters innovation in critical sectors, particularly manufacturing,” he said.
An official of the African Development Bank, Dr. Anthony Simpasa, urged governments, development partners, and the international community to strengthen their support for Africa’s private sector, describing it as a pillar of economic stability and growth.
“PAMA’s participation at this high-profile event underscores its commitment to advancing the interests of African manufacturers and fostering industrial competitiveness across the continent,” Simpasa concluded.