India overtakes US, becomes Africa’s third largest trade partner

In 2014, India overtook the United States to become Africa’s third largest trade partner, says a new set of data, Africa-India Facts and Figures published today October 28, 2015 as the third India-Africa Summit goes on in New Delhi, India.

In 2014, Africa accounted for 11 per cent of India’s exports and 9 per cent of its imports where mineral products were the major trade commodity.

Since 2010, India’s exports to and imports from Africa increased by 93 per cent and 28 per cent, respectively. In the meantime, Africa’s share from India’s total exports has increased from 8.1 per cent to 10.9 per cent.

According to the publication India imported goods worth $40 billion from the continent in 2014 just after the European Union and China, and Indian exports to Africa amounted to $34 billion.

The report jointly published by the Economic Commission for Africa and Confederation of Indian Industry says in 2013, 16 per cent of India’s total foreign direct investment (FDI) stocks were in Africa.

“Altogether, India has the second largest FDI stocks in Africa after the United States of America. However, in terms of relative importance of Africa in the countries’ total FDI stocks, India is outstanding,” it says.

It notes that in 2013, 16 per cent of India’s total FDI stocks were in Africa, while Brazil and China had 9 per cent and 0.8 per cent of their FDI stocks in the continent, respectively.

The report states that as a of the relations between India and the continent, annual trade between India and Africa stands at $75 billion.

By Emmanuel K. Dogbevi