The selection: Tuesday, 1 September

Donald Kaberuka, AfDB President 2005-2015 (AfDB)

Sovereign wealth funds can ease Africa risks, new AfDB head says (Bloomberg)

Africa rising: the new growth agenda (International Growth Centre)

The IGC has now published 'Africa rising: The new growth agenda', a conference report summarising the lectures, panels, and framework sessions from the 3rd annual Africa Growth Forum. Africa Growth Forum 2015 was attended by 186 delegates, including researchers and policymakers from over 20 different countries and 50 different institutions and ministries. [Downloads available]

Intra-African trade rises as market access between blocs improves (The EastAfrican)

Intra-African trade increased by 50% to $61bn between 2010 and 2013, according to recent data released by the African Development Bank. The rise is attributed to improved market access and a strong growth in re-exports among African countries.

Trade between China and Sub-Saharan Africa: can the reliance on raw materials be reversed? (Bridges Africa, ICTSD)

It appears that trade policy has only little room for manoeuvre. Bilateral tariff elimination will yield only limited gain because China is already one of the most open markets for African countries. China’s average tariffs towards least developed countries in general, and SSA in particular, are already low: between 2005 and 2010, the weighted average tariff fell from 2 to 0.5 percent (average tariff fell from 7.14 to 2.83 percent). Because SSA’s export volume to China is small, the tariff reduction has limited welfare and terms of trade effects. [The authors: Manitra A. Rakotoarisoa, Cheng Fang]

Economic Partnership Agreements: what has Africa gained and what can it lose? (Bridges Africa, ICTSD)

It is therefore timely for ACP policymakers to forge strategic responses, by taking bold steps within their own intra-regional trade agenda, as a way to mitigate the ‘tsunami effect’ of mega trade deals. It may also be appropriate to build strategic alliances with other non-participating countries, in order to take the lead at the WTO to address some of the issues that might affect the global trading system once those mega-trade deals are agreed. [The author: Isabelle Ramdoo]

South Africa: July 2015 merchandise trade statistics (SARS)

The South African Revenue Service has released trade statistics for July 2015 that recorded a trade deficit of R0.40bn. This figure includes trade data with Botswana, Lesotho, Namibia and Swaziland. The R0.40bn deficit for July 2015 is due to exports of R94.21bn and imports of R94.61bn. Exports increased from June 2015 to July 2015 by R4.26bn (4.7%) and imports increased from June 2015 to July 2015 by R10.14bn (12.0%). The cumulative deficit for 2015 is R25.23bn compared to R53.37bn in 2014. [Download]

South Africa’s bold priorities for inclusive growth (McKinsey Global Institute)

A new McKinsey Global Institute report, South Africa’s big five: Bold priorities for inclusive growth, recommends reigniting the country’s economic progress by focusing on five opportunities: advanced manufacturing, infrastructure, natural gas, service exports, and the agricultural value chain. If government and businesses prioritize them, these five initiatives alone could by 2030 increase GDP growth by a total of 1.1 percentage points per year, adding 1 trillion rand ($87 billion) to annual GDP and creating 3.4 million new jobs. [Downloads available]

Pakistan firm fights SA duty (Business Day)

The International Trade Administration Commission, which investigates and sets tariffs on imported products, is facing legal action by a Pakistani cement firm. South Africa’s four largest cement companies have been named as respondents. The Karachi-based firm has filed papers in the High Court in Pretoria contesting the 14.29% provisional antidumping duty imposed in May on its cement exports to the Southern African Customs Union following complaints by local producers. Itac plans to oppose Lucky Cement’s application for the court to set aside its decision.

ArcelorMittal SA steel mills to close as industry crisis bites (Business Day)

Ben Turok: Haggard country is crying out for sagacity (Business Day)

Irvin Jim decries state incoherence (Business Day)

Botswana: Moody's sees a wider budget deficit for Botswana (Mmegi)

Botswana’s projected P4 billion budget deficit for the 2015/16 financial year could turn out to be much larger due to the downturn in the diamond market, credit rating agency, Moody’s says.

Madagascar: systematic country diagnostic (World Bank)

Chapter four discusses the role and challenges of the private sector, the main driver of growth. Chapter five discusses the challenges for achieving higher human capital in a country with a very young population and some of the highest infant stunting and malnourishment rates in the world. Chapter six discusses the faces of poverty, which are predominantly rural, agricultural and informal. A structural transformation has not started in Madagascar and poverty and environment are closely intertwined. The chapter also discusses the challenges to enhancing the management of natural resources and protecting the poor from natural disasters and impacts of climate change. Chapter seven summarizes the challenges and prioritizes the reforms.

Made in Brazil, packed in Kenya: how tariff windows feed Kenya’s sugar cartels (Daily Nation)

Has Uganda been re-exporting into Kenya the sugar it imports duty-free from Brazil? Do the Ugandans really have a sugar surplus as they claim? These two questions are at the heart of the controversy over sugar imports from Uganda, yet if indeed Uganda is re-exporting sugar into Kenya, then what the political opposition should be fighting for is stricter inspection of imports from Uganda for compliance with rules of origin under the East African Customs Union. So far — and despite the polarised debate among the political elite as to whether President Uhuru Kenyatta signed away major concessions on sugar imports during his recent visit to Uganda — there are no indications that the stipulations on rules of origin have been eliminated, or even relaxed, from Uganda sugar imports. [The author: Jaindi Kisero]

John Kamau: 'The fall — and rise — of Tanzania’s Kilombero, and Tom Mboya’s fears over Kenya sugar firms' (Daily Nation)

Wamwangi clashes with privatisation team over sugar mills sale (Business Daily)

Why Kenya should stop the fight (Daily Monitor)

Exit Kenya’s sugar, enter Tanzania rice: Kampala’s new trade war (The EastAfrican)

Tanzania: Mega rail project ‘to start soon’ (The Citizen)

President Jakaya Kikwete will officiate at the ground-breaking ceremony for the much-anticipated standard gauge railway line in the next two weeks, Transport minister Samuel Sitta said yesterday.

Preventing conflict in Central Africa: ECCAS caught between ambitions, challenges and reality (ISS)

The Economic Community of Central African States has a long way to go in preventing regional crises. Many challenges remain in making the infrastructure (especially the Central African Early Warning Mechanism and the Central African Multinational Force) operational and effective, and there is a gap between ambition and reality. These obstacles and challenges include ECCAS’ highly centralised and state-focused structure; a narrow, militaristic approach to security issues; and the wider institutional setting. Matters of responsibility in relation to the African Union also remain unresolved. With regard to the cross-border dimension of security issues and the high number of upcoming elections in the region, ECCAS’ participation in maintaining peace appears crucial.

Remittances from West Africa’s Diaspora: financial and social transfers for regional development (AfDB)

Migrant remittances, namely the money migrants send to their countries of origin from their host countries, are increasingly significant for West Africa. In 2014, the amount sent home totalled US $26 billion (of which US $20.9 billion was sent to Nigeria) and amounted to 3.2% of the region’s GDP. The magnitude of these transfers, which make West Africa the second recipient sub-region on the continent, reflects the size of the West African diaspora, estimated at 9.1 million people in 2011, or 2.6% of the population of the region. As recently highlighted in the 7th edition of the West Africa Monitor Quarterly these financial flows are an opportunity for regional development. [West African Quarterly Monitor]

Nigeria: External reserves rise to $31.43bn (ThisDay)

Nigeria's foreign exchange reserves were $31.43bn on August 27, up by 1.12% from $31.08bn a month earlier, data from the Central Bank of Nigeria showed on Monday. The forex reserves of Africa's top crude exporter were down 20.65% year-on-year from $39.61bn a year ago.

‘Nigeria spends $1.5bn annually on importation of tomato products’ (ThisDay)

Director General and CEO of the Raw Material and Research and Development Council, Dr Husaini Ibrahim, has revealed that Nigeria spends around $1.5 billion annually on tomato products importation from China and other parts of the world. Ibrahim said such imports were unsustainable following the economic downturn befalling the country, and added that the country can reverse the trend with the introduction of improved seeds that yield more in dry season farming.

Tomorrow, in Harare: Stakeholders workshop on draft competition policy for Zimbabwe (UNCTAD)

Kazungula Bridge Project: construction of Zambia One Stop Border Post facilities (AfDB)

Gerard Kambou: Impact of low oil prices on sub-Sahara Africa’s economies and lessons learned (World Bank)

Namibia: Geingob urges Namibians to respect foreigners (New Era)

Zim diamond polishing centre to open soon (NewsDay)

Kenya: Govt to lobby WTO for freer trade in services (The Star)

Somalia: food security and nutrition assessment (FAO)

Justin Fox: 'Maybe this global slowdown is different' (Bloomberg)

Peter Drysdale: ‘Asia's strategic weight’ (East Asia Forum)

---

SUBSCRIBE

To receive the link to tralac’s Daily News Selection via email, click here to subscribe.

---

This post has been sourced on behalf of tralac and disseminated to enhance trade policy knowledge and debate. It is distributed to over 300 recipients across Africa and internationally, serving in the AU, RECS, national government trade departments and research and development agencies. Your feedback is most welcome. Any suggestions that our recipients might have of items for inclusion are most welcome. Richard Humphries (Email: This email address is being protected from spambots. You need JavaScript enabled to view it.; Twitter: @richardhumphri1)