The selection: Wednesday, 26 August

Opposites attract? Bringing the trade and regulatory communities together (ICTSD)

Where does all this take me? The WTO, its valiant efforts in the TBT/SPS context notwithstanding, has found it difficult to emerge as the forum for regulatory cooperation. The impossibility to conclude one agreement on this front following the enactment of the TBT and SPS Agreements is the best proof to this effect. Unless it does so though, it risks seeing its relevance diminished in a world where regulation (almost) exclusively nowadays segments markets. What could be done? Here is an inventory of proposals: [The author: Petros C. Mavroidis]

Africa’s inter-trade improving but digitalization of customs procedures lags behind (UNECA)

During his keynote address at the 1st African Union Forum on Trade Facilitation for Customs Experts that was held in Congo, Brazzaville on 19-21 August 2015, Mr. Luke reported on the findings of a 2015 ECA survey, highlighting that “while no evidence of resistance to the utilization of Information and Communications Technology was found, African countries are however prioritizing institutional reforms and putting physical infrastructure in place”. Mr Luke stressed that “Africa needs good trade facilitation policies and good operational measures”.

Monitoring for Environment and Security in Africa Forum (AU)

Kenya will host the first Monitoring for Environment and Security in Africa (MESA) Forum in Nairobi from 31st August – 4th September. The Forum will examine how Earth Observation data through the MESA Project supports policy, planning and decision making at the national, regional and continental level in Africa. Commissioner for Rural Economy and Agriculture of the African Union Commission, H.E. Tumusiime Rhoda Peace, said: “By enhancing access to and exploitation of relevant Earth Observation applications at continental, regional and national levels, the MESA Project (http://mesa.au.int) contributes to the increase of information management, decision-making and planning capacity of African institutions mandated for agriculture, environment, climate, fisheries, food security and related responsibilities. This is critical for African regional integration”

Presentations posted: training workshop on trade in services negotiations for African Union Continental Free Trade Area negotiators

Africa’s squandered commodity boom erodes US trade promise (Reuters)

A fresh US trade pact could provide relief to African economies buffeted by the commodities slump but a failure to reform during the boom years has left many countries unable to profit from tariff-free access to the world’s largest market. Those countries which aim to benefit from AGOA, such as Ethiopia and Kenya, are not dependent on oil or mining, giving them an incentive to diversify into areas such as footwear and textiles exports. Ethiopia is positioning itself to become a manufacturing hub, driven in part by investments from China and India as labour costs in their own backyards rise. By contrast, big resource producers from bauxite miner Guinea to oil-exporter Nigeria failed to channel vast capital flows into diversification.

Africa, spurning America, fled into China’s arms. Now US may hold 'cure' to the continent’s fast-dipping economy (M&G Africa)

Ernesto Zedillo: 'Africa at a fork in the road: taking off or disappointment once again?' (VOX)

Ethiopia: Industry ministry seeks new strategy for cotton development (Addis Fortune)

The UK government is funding a 15-year cotton strategy for Ethiopia with intent to have a new institutional arrangement for cotton development. This was announced by the Ministry of Industry in an international bid to hire consultants using money availed by the Department for International Development. The decision to develop a strategy followed an agreement that the Cotton Development Directorate at the Ethiopian Textile Industry Development Institute was no longer enough to administer cotton development, calling for a higher structure, according to Bante Kasse, director of CDD. The problems, which are said to be above the CDD, are, rising demand, complexity of the increasing number of textile industries and supply value chain. Currently, a total of 136 textile and garment factories, at medium and higher scale are fully operational, while 10 more factories expected to join the industry “in the first phase of the GTP II.”

Arkebe Oqubay: 'Industrial policy in Ethiopia' (OUPblog)

The Ethiopian experience shows that learning by doing is just as important in policymaking as in production. Ethiopia has been making bold experiments, based on looking at what works and what does not. With each experiment and experience, policymaking capacity gradually improves. There is no short-cut alternative to learning-by-doing. The key question for many countries is whether they can experiment in the absence of policy independence? [The author is a minister, special advisor to the Ethiopian prime minister]

Mzwandile Masina: 'Navigating slow demand with radical restructuring' (IOL)

The issue is the historic position of the South African economy in the global production network. It was integrated into the global production value chain as, like most colonial economies, a supplier of raw minerals without domestic beneficiation. This meant that our growth derived from fetching increasing market prices for our minerals. As soon as the global economy drifted towards a financial collapse in the US and Europe, demand for these minerals took a dip and thus began a process of growth and jobs haemorrhaging locally. It is this structural integration of the South African economy that defines our ‘victimisation’ by the global markets. [The author is South Africa’s Deputy Minister of Trade and Industry]

SA's Gross Domestic Product, 2nd Quarter (StatsSA)

AGOA: South Africa remains closed to US poultry, pork and beef imports (USDA)

Since last reported in GAIN, South Africa has not finalized issues related to its concerns over the trade measures that stop exports of U.S. poultry, beef, and pork. Since the June 4-5, 2015, Paris meetings that resulted in the draft agreement between the USSA poultry industries on a quota, USDA and DAFF have met three times and not yet resolved the sanitary issues.

First East African Manufacturing Business Summit: a preview (Arusha Times)

Angola’s Lobito Corridor: diversification and development, or “white elephants”? (CMI)

This report analyses progress in developing transport infrastructure in this Lobito Corridor. What has been achieved? What are the main remaining challenges? Will this corridor become an engine for economic diversification and social and economic development? Will these investments in transport also lead to development for poor and vulnerable people living in the corridor? Or will this new infrastructure end up as a “white elephant” that slowly degenerates as result of poor management and insufficient maintenance? [The authors: Ana Duarte, Fernando Pacheco, Regina Santos, Elling N. Tjønneland]

China Road ships in 10 locomotives for laying SGR track (Business Daily)

China Road and Bridge Corporation is set to ship in 10 locomotives next month to be used in laying the track of the Standard Gauge Railway. “So far, the earthworks for the SGR project have been completed by over 50%. The bridges are at about 48%,” Mr Li said. “By the middle of next year, the earthworks for the entire project will be fully competed.”

Zimbabwe in port construction talks (The Herald)

Government is engaging potential developers of a multi-billion-dollar project which will link Zimbabwe to a port north of Beira in Mozambique in a bid to significantly reduce distance and cost of moving goods between the two countries. Transport and Infrastructure Development Minister Dr Obert Mpofu told The Herald Business in an interview that government is currently studying detailed proposals submitted by the potential developers and is “seriously engaging potential promoters of the project”.

Mozambique aims to establish special economic zones for agriculture (MacauHub)

Mozambique has identified 24 development poles with potential for the creation of special economic zones (SEZs) for agriculture, with a view to promoting investment and increasing farm production, the minister for Agriculture and Food Safety said. The 24 development poles are:

Namibia: Aquaculture master plan unveiled (New Era)

The Ministry of Fisheries and Marine Resources yesterday launched the National Aqua Culture Master Plan which aims to raise freshwater aquaculture output to 4 000 tonnes a year by 2023. The ministry is also striving to increase marine aquaculture production from 525 to 5 500 tonnes by 2023 and to ensure aquaculture provides food, income and employment for rural and urban communities.

Zimbabwe Special Permit briefing by Minister Gigaba (GCIS)

The ZSP process had ensured, since inception, in 2009, some degree of reduced pressure on the asylum system with Zimbabweans stay in the country regulated by way of these special permits. For us finding a viable option effectively to deal with ‘economic migrants’ will go a long way in enhancing South Africa’s management of international migration, in the national interest, and in keeping with the dictates of international law. It is this consideration informing further the ensuing review of our international migration policy. What SA needs is a modern, progressive and robust policy on international migration which will take into account the enormous current and potential contribution of immigrants to our society, and our connectedness with the rest of the world, while minimising associated risks and protecting our national interests.

Angola: IMF staff complete 2015 Article IV mission (IMF)

“The government’s timely reaction to the decline in oil prices by revising the 2015 budget will allow the central government deficit to fall to 3½ percent of GDP, compared to 6½% last year. Public debt, however, is projected to increase significantly to around 57% of GDP, of which 14% of GDP corresponds to Sonangol, by end-2015. The 2016 budget should be predicated on a conservative oil price assumption and be aimed at protecting expenditures on social assistance and critical infrastructure while preserving fiscal discipline given that a recovery in oil prices in the near term is unlikely. It will be critical to bring the public sector wage bill, as a share of GDP, more in line with the new revenue reality of the budget.

East Africa: TradeMark hires former WTO boss Lamy for logistics job (Business Daily)

The Nairobi-headquartered TradeMark East Africa has hired former World Trade Organisation secretary-general Pascal Lamy among high-profile individuals to deliver an ambitious logistics target for the region this year. Mr Lamy joins the new board of TMEA headed by board chairman of Infotech Investment Group (Tanzania) Ali Mufuruki with members that include Acumen Fund’s regional CEO Duncan Onyango, former Kenya Private Sector Alliance chairman Patrick Obath and President of the Federation of East African Freight Forwarders Association Merian Sebunya. Other new TMEA directors are Rosette Chantal Rugamba, Patricia Ithau, CEO of Econet Wireless (Burundi), Anthony Masozera, Earl Gast and Jacqueline Busingye Lutaya.

How EA port with best facilities will win race for regional hub status (Business Daily)

Economies of large scale translate to lower cost of transportation per container. The expected major beneficiary of the bigger ships calling East African ports will be the consumer. In the mainline trades Europe to Asia, depending on the season, container freight can sometimes be as low as $100 from Europe to Asia. Ports in East Africa should expect more cascades of the bigger container ships being handed down as they get displaced in their traditional routes. An adequate preparation to take full advantage of the effects of cascading is a wise port decision. [The author: Silvester Kututa]

Longest ship to dock at Dar port expected today (IPPMedia)

East African Legislative Assembly passes EAC Culture and Creative Industries Bill

EAC tops 2015 Brookings financial inclusion scorecard (New Times)

Jaindi Kisero: 'Privatisation of sugar firms not the answer; barons will gobble them up' (Daily Nation)

Carl Bildt: 'Development's digital divide' (New Times)

Senior UN climate change official envisages ‘good agreement’ at upcoming Pairs conference (UN News Centre)

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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)