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Galloping FDI infrastructure in Africa stands to shred red tape blocking intra-African trade
STEPS are being taken, admittedly small ones, to rectify Africa's key trade problem, that is intra- rather than inter-continental trade.
As Kenyan President Uhuru Kenyatta once said: "There cannot be a good reason why it is easier for us to trade with Asia, Europe and the Americas, than with fellow Africans" in a call to arms to African states to drastically reduce trade barriers.
Easier said than done as opening up economies, that is closing down trade barriers, entails many an important ox being gored - important at least to to the powers that be whoever and wherever they lurk.
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Battle of the Canals: Suez-Panama high stakes game for peoples of the Mediterranean and Black Sea
LIKE politicians in a tight race, the Suez and Panama canals vie for a vote of confidence from world shipping interests. And if the stakes are high for the 3.8 million Panamanians, they are far higher for the 557.3 million who inhabit the 17 countries around the Med and Black Sea for whom the Suez Canal provides so much.
As for winners and losers in this global Battle of the Canals, many factors contend to produce rationales and scenarios that are sound one day and foolish the next. But all agree on one point. Victory hinges on getting cargo to the east coast of North America - principally the United States.
Of course, the Suez route is the only choice for Europe, and if it has any rival, it is the Arctic Northern Sea Route over Russia. But that's in the Never-Never Land of state-funded souls whose dreams depend on global warming. Today, there are also trains and trucks from China to Europe offering advantages to small niche markets.
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Too much law, too little order in suppressing growing threat of West African piracy AS a global industry, piracy has seen better days, and the reason for its pronounced decline off the coast of East Africa and Indian Ocean is a willingness to kill and prosecute pirates with an energy that was absent in the past.
Five, six years ago before a Russian naval force landed on one of their own captured ships and shot anyone who looked like a pirate mindless of who was friend or foe, they spared one of the captured sea robbers, cut off his ears and sent him home to share the experience with his brethren. After that pirates, did not mess with Russian ships.
Meanwhile other naval forces behaved more like Ferdinand the bull. The Germans were tied to rules of engagement that prevented them from firing unless fired upon. Pirates continued their piratical activities mindful not to fire on the Germans, whose ships followed meekly behind until they were sent packing by piratical threats to end the lives of hostages they persisted in following.
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China's strategy in the Mediterranean stands to fundamentally alter Asia-Europe trade patterns
The longer one looks at the map of the eastern Mediterranean, the advantage of China's choice of the Port of Piraeus, near Athens, becomes clear if not obvious.
While its location is not ideal for "wayporting", that's not so important these days because of US east coast harbour dredging and the Panama Canal's expansion combine to reduce demand for it, though it remains the best way to get Asian boxes to West Africa. The idea involves using big ships through Suez then transshipping them on smaller ships from a Mediterranean base to serve ports from Montreal to Miami - or West Africa.
The bigger advantage the Greek location is the wider access it provides to mature consumer import markets in Italy, Greece and Turkey and to newer emerging markets of the Balkans and Black Sea. Ditto for exports - not to mention a cruise terminal which stands to bring in serious cash given the aging population of the western world.
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Mediterranean & Africa
Trade Specialists |
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