African Value Chains

EENI- School of International Business

Subject: African Value Chains. Trade Facilitation. Syllabus:

  1. Introduction to the African Value Chains
  2. Opportunities for African Companies
  3. African Growth poles
  4. How can African enterprises take advantage of the value chains?
  5. Case Study: Cocoa Value Chain in West Africa
  6. Rules of Origin and transport costs
  7. Export costs in Africa
  8. Trade Facilitation
  9. One-stop border post
  10. FDI Cooperation
  11. Case Study: Shoprite (Africa's largest food retailer)
The subject “African Value Chains” is studied...
  1. Doctorate in Business in Africa
  2. Masters: International Business, Africa
  3. Courses (Distance learning): African Regional Integration, Logistics in Africa

Languages of study English or French Chaines Valeur Afrique Spanish Africa Portuguese Africa

The African Development Bank estimates that the cost to transport a container from Durban (South Africa) to Lusaka (Zambia) - 1.633 kilometres/ 1.015 miles- are 8,000 dollars, and 1.800 from Durban to Japan!.

Sample of the subject - African Value Chains:
African Value Chains

We Trust in Africa

Description of the Subject (African Value Chains).

Regional Integration in Africa should facilitate the African Value Chains, both for regional market and for the global market.

  1. Regional Trade and cross-border investments are a key factor for the development of Value Chains in Africa (economic area of the African Civilisation)
  2. The role of Regional Economic Communities is critical, by ex. for reduce non-tariff barriers (Rules of Origin) in Africa
  3. In some African Countries (South Africa, Egypt, Morocco, Ethiopia, Kenya or Tunisia) companies are improving their value addition in several sectors

Regional Economic Communities are working in trade facilitation programs, but the cost of trading in Africa is not competitive in many cases.

By example...

  1. There are good examples of improving African Value Chains. By example, the Cocoa Value Chain in West Africa (mainly in Ghana and Ivory Coast, the world largest exporters of cocoa), has increased from 12% (2000) to 18.6% (2013), by liberalisation and incentives programs (economic free zones), attracting foreign investors
  2. Today more than 1 Million people in Ivory Coast and 800,000 in Ghana work in the Cocoa Sector. Local farmers are receiving a fixed price (70% of FOB price)
  3. The Egyptian textile sector has increased his value addition substantially, and today contributes to 27% of Egyptian total production
  4. According to the African Development Bank, the One-stop border post can help to reduce clearance times (Customs Procedures) at borders. By example, between Uganda and Kenya (Malaba), the border-crossing time has been reduced from 24 hours (2011) to 4 hours (2012)
  5. In Chirundu (border post Zimbabwe - Zambia) the One-stop border post, part of the North-South Corridor, the time for cross the border for lorries has been reduced from 3 days to 2 hours

Shoprite (Africa's largest food retailer) South Africa:
Shoprite Africa largest food retailer

U-EENI University