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Trade and Investment in Sub-Saharan Africa
Nothing ventured, nothing gained
In doing business with Africa, the old adage "nothing ventured, nothing gained" applies fully. Our trade commissioners abroad and in Ottawa as well as this Web site have a wealth of information which can help you become more fully aware of interesting and profitable opportunities to collaborate with African partners in building stronger economies across the continent.
Canada's fundamental interest in Africa is to help reverse the region's social and economic marginalization from the rest of the world. In this regard, Canada has played a leading role politically and diplomatically, reinforcing African-led efforts, keeping Africa at the top of the international agenda. The New Partnership for Africa's Development (NEPAD) presented in mid-2001 a long-term African vision for collective and national political and economic reform. It aims to achieve sustainable growth by improving the aid, trade and debt relationships between Africa and the rest of the world, and by creating the conditions necessary to attract increased capital flows. Details on Canada's role in the G8 in support of NEPAD can be found on the G8 and Africa section of our Web site.
Quick trade facts:
Total trade: In 2003, total two-way trade in goods with Sub- Saharan Africa was $2.5 billion (exports of $772 million and imports of $1.7 billion). This represented an 11.7% increase in exports and a 39% in imports from 2002. Top Canadian exports: cereals, machinery, communications equipment and used clothing. Top imports from Sub- Saharan Africa: oil (51.6% of the total), cocoa, precious stones and metals, metal ores, and fruits and nuts. Key trading countries: South Africa, Nigeria and Equatorial Guinea. The trade relationship with South Africa dominates and is increasing. Investment: The 2003 estimated market value of the stock of Canadian direct investment in Sub- Saharan Africa was $3.8 billion (mostly in mining and oil). Sub- Saharan African investment in Canada, mostly in mining from South Africa, is around $300 million.
Key trading countries
As increasing numbers of Canadian firms are finding out, Africa is eager for the goods and services Canada has to offer.
In addition to the established markets and product categories mentioned above, attention should be paid to the countries in Africa which CIDA has identified for enhanced concentration because of their governance history. It is widely recognized that good governance goes hand in hand with a good investment climate and provides the kind of environment which will be more attractive to the foreign business person. These countries are: Ethiopia, Ghana, Mali, Mozambique, Senegal and Tanzania.
A number of these countries hold out the possibility for collaboration with government entities in meeting objectives related to: education, public sector reform, health (including HIV/AIDS), peace and security, agriculture, rural and private sector development and trade and investment. etc. To the extent that there may be CIDA funding for new initiatives this could provide an opportunity for co-operation.
Areas of opportunities
Consulting services - good governance, public sector reform, education, engineering services, etc. Information and communications technologies - software development, advice on ICT strategies for economic and social development (e.g. e-commerce, e-government) Mining equipment and services Geomatics and areal surveys Infrastructure development - ports, roads Environmental products and services
View a list of trade resources now
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