Best Practices in Export Promotion Vanessa Adams USAID Trade Hub

7/31/2019 Best Practices in Export Promotion Vanessa Adams USAID Trade Hub

1/37


2/37

Unprecedented Growth Between 20002010, Africas GDP grew by 4.7% p.a. - twice the

pace of its growth in the 1980s and 1990s.

Africas collective GDP stands today at $1.6 trillion, or roughly equalto those of Brazil and Russia.

Africas Population: 1 billion; SSA: 840 million. ECOWAS 300 million.SSA to hit 2 billion by mid-century.

By 2030, SSAs total food and beverage markets to reach $1,000billion, up from $313 billion, currently.

The increase in food consumption and Fast Moving Consumer Goods

(FMCG) will mainly occur in cities. 40% of Africans live in cities today. By 2030, Africa will have 50 cities

with a population over 1 million. Urban markets will expand 4-X in 20years.

600 million Africans have cell phones.

FDI - $55 B: 5X a decade ago and much more than donor aid.


3/37

Africathe New Frontier Africa, the New Frontier, growth rate over the past

10 years exceeds every region, except Emerging Asia.

BRICS today make up 20% of Africa's trade vs 1% ageneration ago. Expected to be 50% in 2030.

A growing and aspiring middle class will reach 50million households by 2020, seeking improvedselection and quality of consumer goods and food.

Similar growth will occur in the industrial sectors forinputs, intermediate goods and outputs.

WILL THESE GOODS BE PRODUCED IN AFRICA OR IMPORTED?


4/37


5/37

Whats Holding Intra-Trade Back? High costs of doing business and trade Non-complementarity, non-harmonization

Few differentiated goods & services.

Multiple national currencies with limited convertibility

Different currencies, languages, legal and banking systems

Unfulfilled performance of ETLS and ECOWAS Compensation

Scheme Resistance to change (governments & companies)

Dominance of Informal Cross Border Trade

Red tape, in/formal fees, delays at border crossings


6/37


7/37


8/37

People, the Planet and Profit:The triple bottom line a market

driven approach to development


9/37

Choosing high-potential sectors


10/37


11/37



12/37



13/37


14/37

Preliminary network: A feasibility study

on the AfricaNow! alliance was conducted,

and the Hub is working with international

and regional partners on building a network.

International Marketing

Launched: Shea companies

exhibit under the Global

Shea bannerat international

trade shows

Alliance Operates Independently: The

ACA was conceived in 2005, and now

operates independently.

Building Membership: An interim

Executive Committee was elected to

run the Borderless Alliance, and build

a membership base.


15/37


16/37

Case Study: Global Shea Alliance annual conference connects

industry, leverages resources to drive business opportunities


17/37

Success Story Kadijatou Lah, Mali


18/37

Success Story Homefoods, Ghana


19/37

Success Story Clarisse Djionne, Senegal


20/37

Case Study: New jobs in Apparel, Ghana

Technical assistance to apparelmanufacturers and links to investorshave led to the creation of more than500 jobs in the last six months.

Key Factors AGOA increasing awareness,technical assistance on utilization

Connecting stakeholders to leverageopportunities

Identifying international buyers at trade

shows Making the case for doing business inWest Africa

Im learning a lot of things at

this job particularly how tosupervise employees. I feel

like the sky is the limit.

Helinda Tetteh,Quality Control Supervisor,

1888LuckyMills, Tema, Ghana


21/37

The market drives theconnections

Collect, analyze and operationalize

market intelligence

International Trade Shows: Key source ofmarket intelligence, market linkages

Industry Alliances: Market intelligence,analysis of opportunities, market linkages

International Brands: High visibility


22/37

International Trade Shows Cashews: AFI, ANUGA, CENTA, INC,

PTNPA

Fish & Seafood: Sustainable

Seafood Summit

Handcrafts: Ambiente, NYIGF, SIAO

Shea: InCosmetics , NYSCC,

Sustainable Cosmetics Summit

Specialty Foods: Fancy Food Show


23/37

International Conferences


24/37

Communications14,000-member distribution list for:

Newsletters (Tradewinds, ACA, GSA)

Brochures

Directories & Reports


25/37

CommunicationsWebsites

Nine websites

to market productsand disseminate

information


26/37

Performance-based FinancialService Providers

Business Plans

Investment Promotion

Financial Structuring

Negotiations

Management

Coaching

Product costing and

Pricing


27/37

Case Study: Nigeria Cashew Cluster Financing Scheme

Why so many road barriers in West Africa?


28/37

Why so many road barriers in West Africa?


29/37


30/37


31/37

BORDERLESS CampaignLaunched March 2010 for: Credible, Visible, Versatile

Communication Evidence-based Advocacy


32/37

Building regional partnerships...

Together We Build


33/37

and leveraging the private sector


34/37

Top Priority Issues for the Borderless

Alliance

Reduce

Checkpoints52%

Simplify CargoClearance

16%

Implement single

bond & ISRT12%

Implement Axleload11%

CurrencyConvertibility

9% Stakeholder Online Survey

Total Responses =106,including Transport &Logistics Companies,Manufacturers and DonorPartners

Covering respondents from21 countries, including West& Central Africa


35/37

What the Trade Hub does.

13 Number of

controls

15 1415

21

Bribes (GHC)

15

19 19

84

Delays (min) 103 107121

Q3-09 Q4-09 Q1-10 Q2-10 Q3-10 Q4-10

Evolution of IRTG indicators per trip - Ghana

Collect, analyze

information

Communicate

Mobilize

Facilitate

Support Advocacy


36/37

Parking area identified by GhanaCustoms for Express Lane

Opening Ceremony of BorderInformation Center

Ghana-Togo officials meet on Express Lane Pilot


37/37

Borderless Alliance Secretariat

USAID West Africa Trade Hub

Accra, Ghana

www.borderlesswa.com

f b k /b d l
http://www.borderlesswa.com/http://www.facebook.com/borderlesswahttp://www.facebook.com/borderlesswahttp://www.borderlesswa.com/

Documents

Best Practices in Export Promotion Vanessa Adams USAID Trade Hub