By
Chris Ndibe
Chris Ndibe
Africa Free Zone
Association (AFZA) is a non-governmental and non-profit organisation. It is an
association of all the Free Trade Zones, Special Economic Zones, Export
Processing Zones, Multi-Facility Zone, Industrial Development Zones and Single
Factory Zones in Africa. It is an association formed by its members in Cape
Town, South Africa in 2004.
Association (AFZA) is a non-governmental and non-profit organisation. It is an
association of all the Free Trade Zones, Special Economic Zones, Export
Processing Zones, Multi-Facility Zone, Industrial Development Zones and Single
Factory Zones in Africa. It is an association formed by its members in Cape
Town, South Africa in 2004.
The Association
was formed to create a change in the way we perceive and operate Free Zones in
this part of the world. It is also meant to increase members knowledge, skill wages and capital. This is a
job that requires all hands being on deck with contributory ideas, coordinated
by the Secretariat of the Association.
was formed to create a change in the way we perceive and operate Free Zones in
this part of the world. It is also meant to increase members knowledge, skill wages and capital. This is a
job that requires all hands being on deck with contributory ideas, coordinated
by the Secretariat of the Association.
It is obvious
that more and more countries, developed and developing, are recognising a new
paradigm of free zone development and management.
that more and more countries, developed and developing, are recognising a new
paradigm of free zone development and management.
The new paradigm
is more dynamic, investment intensive, management driven, and enabling and
integrated economic development tool as opposed to the old.
is more dynamic, investment intensive, management driven, and enabling and
integrated economic development tool as opposed to the old.
This new
paradigm requires concerted efforts, not only on the individual zone level but
collective improvement of ideas to enable us all move progressively, especially
in this world of Global Value Chain (GVC) and the desiring ecosystem that
progresses a scheme of this nature.
paradigm requires concerted efforts, not only on the individual zone level but
collective improvement of ideas to enable us all move progressively, especially
in this world of Global Value Chain (GVC) and the desiring ecosystem that
progresses a scheme of this nature.
As opposed to
international trade of the 20th century, today’s trade in
intermediate goods and services are greater than that of final goods. The under
listed bullet points serve as compelling fortress for the present day trade
dynamics.
international trade of the 20th century, today’s trade in
intermediate goods and services are greater than that of final goods. The under
listed bullet points serve as compelling fortress for the present day trade
dynamics.
·
Importance
in intra-industry trade is rapidly growing;
Importance
in intra-industry trade is rapidly growing;
·
International
production trade and investment are now organised within global value chain.
International
production trade and investment are now organised within global value chain.
·
Different
stages of production processes are located across different countries.
Different
stages of production processes are located across different countries.
·
The
whole process from raw materials to finished products is increasingly carried
out wherever the necessary skills/materials are available or competitive cost
and quantity.
The
whole process from raw materials to finished products is increasingly carried
out wherever the necessary skills/materials are available or competitive cost
and quantity.
·
These
activities includes: design, production of components, assembling, marketing,
and customer services, Research &Development, etc.
These
activities includes: design, production of components, assembling, marketing,
and customer services, Research &Development, etc.
The message here
is that export production no longer represents a 100 per cent value-added
contribution to the economy.
is that export production no longer represents a 100 per cent value-added
contribution to the economy.
The above
analysis is presented to show why our togetherness would have been serving us
better through knowledge sharing and networking.
analysis is presented to show why our togetherness would have been serving us
better through knowledge sharing and networking.
We need to give
ourselves the skills we need for jobs of the future and not for free zones of
yesterday.
ourselves the skills we need for jobs of the future and not for free zones of
yesterday.
Though AFZA is a
non-profit organisation but has responsibility to its members.
non-profit organisation but has responsibility to its members.
Members should
run AFZA as a business if they plan to benefit from the association. In the
light of this, members should ensure the association is positioned in a manner
that yield enduring dividend. The following should also be adopted.
run AFZA as a business if they plan to benefit from the association. In the
light of this, members should ensure the association is positioned in a manner
that yield enduring dividend. The following should also be adopted.
ü The association
should build credible data bank for networking opportunities.
should build credible data bank for networking opportunities.
ü Increase the
visibility for activities of member zones in the continent;
visibility for activities of member zones in the continent;
ü Offer members
education, information and news so as to be abreast with the current idea and
tenets of free zones with the required creativity, innovation and entrepreneurship.
education, information and news so as to be abreast with the current idea and
tenets of free zones with the required creativity, innovation and entrepreneurship.
Unfortunately,
member’s zones and supervising authorities would not want to cooperate in
submitting to the secretariat’s details of zones in their country for data bank
and would not also want to pay annual dues to enable the secretariat function and
carry out benign activities. It must be remembered that you cannot prepare
omelette without breaking eggs.
member’s zones and supervising authorities would not want to cooperate in
submitting to the secretariat’s details of zones in their country for data bank
and would not also want to pay annual dues to enable the secretariat function and
carry out benign activities. It must be remembered that you cannot prepare
omelette without breaking eggs.
It is a candid declaration that if this
laudable effort in trying to convert the collective initiative into business
must be sustained, then sacrifice should serve as the compass.
laudable effort in trying to convert the collective initiative into business
must be sustained, then sacrifice should serve as the compass.
A Free Zone blog
was established to help educate members and pass news, recognising that Africa
has all it takes to attract the establishment of viable Free Trade Zone to
speed up development in the continent.
was established to help educate members and pass news, recognising that Africa
has all it takes to attract the establishment of viable Free Trade Zone to
speed up development in the continent.
Free Zones is
bound to attract positive business variables to the development of Africa: Be
it rail, ports, highways and aviation. As a reminder, November 7 and November
9, Africa Business Community will converge on South Africa, for Africa
investment forum. Stakeholders must take advantage of this stage to exchange
ideas and share workability of policies around the industry. We all must
remember that Free Trade Zone is both a development and wealth creation driver.
bound to attract positive business variables to the development of Africa: Be
it rail, ports, highways and aviation. As a reminder, November 7 and November
9, Africa Business Community will converge on South Africa, for Africa
investment forum. Stakeholders must take advantage of this stage to exchange
ideas and share workability of policies around the industry. We all must
remember that Free Trade Zone is both a development and wealth creation driver.
A cursory look
at the economic indices of Africa shows a drastic shrink on inflow of funds
from oil and gas with a conversely increases in capital from service industry
and manufacturing, especially in the food and agricultural industry.
at the economic indices of Africa shows a drastic shrink on inflow of funds
from oil and gas with a conversely increases in capital from service industry
and manufacturing, especially in the food and agricultural industry.
This has
incontrovertibly shown that investment built around production and
manufacturing of food related products for export remains the future of our
continent.
incontrovertibly shown that investment built around production and
manufacturing of food related products for export remains the future of our
continent.
We must change the game and close the
investment gap in the continent especially with the continental Free Trade
Association (CFTA) initiative which, as far as I am concern, remains pivotal to
actualising the vision of CFTA initiative.
investment gap in the continent especially with the continental Free Trade
Association (CFTA) initiative which, as far as I am concern, remains pivotal to
actualising the vision of CFTA initiative.
We
cannot stand alone and get to where we want to be. An annual conference of the
over 600 free zones in the continent is imperative. This will be padded with
training that will assist Free Zone operatives and Free Zone developing
companies with requisite knowledge.
cannot stand alone and get to where we want to be. An annual conference of the
over 600 free zones in the continent is imperative. This will be padded with
training that will assist Free Zone operatives and Free Zone developing
companies with requisite knowledge.
With Africa’s
population set to be two billion by 2050, we have the market and should set the
pace. We must take Africa’s growth story further.
population set to be two billion by 2050, we have the market and should set the
pace. We must take Africa’s growth story further.
Unfortunately the
African Union (AU) has been lukewarm toward the happenings around the Free
Zones in Africa. Rather than stay aloof, the union should galvanize the
activities of free zones through their department of Trade and industry. With
their support, we can stage the fourth industrial revelation.
African Union (AU) has been lukewarm toward the happenings around the Free
Zones in Africa. Rather than stay aloof, the union should galvanize the
activities of free zones through their department of Trade and industry. With
their support, we can stage the fourth industrial revelation.
