African Leaders Urge Shift From Raw Material Exports to Manufacturing
Nigerian and Ugandan leaders call on African nations to prioritize local processing and manufacturing over raw material exports to drive economic prosperity.
African leaders and the World Trade Organization are advocating for a systemic shift in the continent's economic model, moving from the export of raw materials to the expansion of local manufacturing and processing. During an international conference on the African Continental Free Trade Area (AfCFTA) in Abuja, Kashim Shettima, Vice President of Nigeria, warned that reliance on commodity exports limits Africa's global trade participation. He cited Nigeria's support for lithium-processing factories in Nasarawa, Kaduna, and Abuja as a blueprint for developing critical mineral value chains.
World Trade Organization Director-General Ngozi Okonjo-Iweala highlighted a significant disparity in trade, noting that while Africa holds nearly 30 percent of the world's critical mineral reserves, it accounts for only 3 percent of global exports. Former Nigerian President Goodluck Jonathan added that the goal must be the creation of a productive economy rather than just a single market.
Similarly, President Yoweri Kaguta Museveni of Uganda has opposed the export of unprocessed petroleum, minerals, and coffee. Museveni argues that value addition through roasting, packaging, and manufacturing must occur within the continent to create jobs and increase income. He cited the economic transformations of China and India as precedents for how large populations can achieve prosperity through industrialization and economic integration.
