‘Regional exports to grow 50pc’

Southern African Development Community (Sadc) Industrialisation Strategy and Roadmap forecasts exports from the region to increase by at least 50 percent of total exports by 2030 from the current negative 20 percent.

The Sadc Industrialisation Strategy and Roadmap, which was adopted by Sadc leaders in 2015, is anchored on three pillars namely industrialisation, competitiveness and regional integration.

Sadc said in a statement that it hoped the region would fully benefit from its vast natural resources and the strategy was developed as an inclusive long-term modernisation and economic transformation scheme that enables substantive and sustained raising living standards.

“The Sadc Industrialisation Strategy and Roadmap foresees an increase in manufactured exports to at least 50 percent of total exports in Sadc by 2030, from less than 20 percent at present, and to build market share in the global market for the export of intermediate products to East Asian levels of around 60 percent of total manufactured exports.

“It is expected to ensure that the region fully benefits from its vast natural resources,” said the bloc.

“The strategy was developed as an inclusive long-term modernisation and economic transformation scheme that enables substantive and sustained raising of living standards across the region.”

The Industrialisation Strategy and Roadmap foresees the lifting of the regional growth rate of real Gross Domestic Product (GDP) from 4 percent annually (since 2000) to a minimum of 7 percent a year.

It also seeks to double the share of manufacturing value added (MVA) in GDP to 30 percent by 2030 and to 40 percent by 2050, including the share of industry-related services, and to increase the share of medium-and-high-technology production in total MVA from less than 15 percent at present to 30 percent by 2030 and 50 percent by 2050.

“With the aim to improve the policy environment for industrial development and support implementation of the Industrialisation Strategy and Roadmap, the Sadc Protocol on Industry was approved by the 39th Sadc Summit in Dar es Salaam, Tanzania in August 2019.

“The Protocol will enter into force following ratification by two-thirds of Sadc member States, and by end of March 2020, only Seychelles had ratified the Protocol,” said Sadc.

Once ratified, the Sadc Protocol on Industry will become a stand-alone and binding legal instrument that will entrench and give legal effect to the Industrialisation Strategy and Roadmap and its related Costed Action Plan and would ensure adequate coordination, monitoring and evaluation of implementation.

The protocol is expected to strengthen the economies of countries in Sadc and ensure they are driven by industrial development and not based on exports of raw resources.

It is envisaged that this will help in strengthening the level of industrial development in the region.

“Furthermore, in order to ensure an integrated strategy for Small and Medium Enterprises (SMEs) development in the region, the Sadc secretariat developed a regional framework for supplier development with the special focus on building capacities and capabilities of SMEs to participate in the implementation of the Industrialisation Strategy and regional value chains.”-herald.cl.zw