Textiles, Clothing, Shoes, Bags And Other Traditional Commodities Account For 65.2% Of Africa'S Total Exports.

Africa is the second largest continent in the world, with vast territory and abundant natural resources.

In recent years, thanks to the huge demand of the African market and the high attention of the central government and Fujian Province, the economic and trade cooperation between Fujian and Africa has been developing steadily and steadily.

At the same time, with the continuous strengthening of political mutual trust between China and Africa, Sino African relations have been upgraded to a new stage. The economic and trade cooperation between Fujian and Africa has ushered in a new historical opportunity, and there is a broad space for deepening cooperation.

Economic and trade cooperation between Fujian and Africa

Deeper and deeper

The scale of trade continues to expand.

Since 1996, Fujian's trade with Africa has expanded year by year, and its trade volume expanded from US $160 million in 1996 to US $8 billion 530 million in 2015, with an average annual growth rate of 27.52%. The proportion of total trade volume in the province increased from 1.04% to 5%.

Among them, exports to Africa expanded from US $130 million in 1996 to US $6 billion 40 million in 2015, with an average annual growth rate of 24.61%, accounting for 1.6% of our total exports from 5.3% to 5.3%. Imports from Africa gradually expanded from US $30 million in 1996 to US $2 billion 490 million in 2015, which has increased from 0.4% to 4.4% in the province.

Market diversification is becoming more and more obvious.

At present, Fujian has established trade relations with 54 African countries.

In 2015, Fujian exported 15 countries to Africa for over 100 million US dollars. Egypt, Nigeria, South Africa, Algeria, Libya, Garner and Kenya were Fujian's largest export markets to Africa, and the total export of these 3 billion 970 million countries to us was US $3 billion 970 million, accounting for 65.8% of the total export volume.

South Africa is Fujian's largest trading partner, the largest import market and the third largest export market in Africa.

Export products are increasingly optimized.

In addition to five traditional commodities such as textiles and garments, building materials and mechanical and electrical products are also expanding year by year.

In 2015,

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Five kinds of traditional commodities, such as bags, umbrellas, furniture miscellaneous items, were exported to US $3 billion 940 million, accounting for 65.2% of the total export volume of Africa.

With the development of African economy and the acceleration of infrastructure construction, the export of building materials related to building has steadily increased to Africa.

In 2015, ceramic tile, steel and other building materials products exported to Africa 690 million US dollars, accounting for 11.4% of Africa's total exports, becoming a new growth point for non export.

Mechanical and electrical products, such as construction machinery, electronic and electrical appliances, generating units, vehicles and their spare parts, have also been expanding their exports to Africa.

Africa has been expanding its investment sphere.

In the early 90s of last century, Fujian invested mainly in government assistance projects in Africa.

In recent years, under the guidance of the China Africa Cooperation Forum, the national "one belt and one way" strategy and the policy of encouraging China Africa cooperation in production capacity, Fujian has actively guided enterprises with certain comparative advantages into Africa to carry out productivity cooperation and achieved initial results.

By the end of 2015, the total number of overseas enterprises and branches established in Fujian was 103, and the total amount of foreign investment records amounted to US $726 million.

Attracting investment from Africa to Fujian Province starts with shame.

With the economic development of African countries, African countries' investment in our province has gradually increased.

As of 2015, Africa has accumulated 274 investment projects in Fujian, with a contractual foreign capital of US $1 billion 520 million, which actually amounted to US $880 million.

Most of Fujian's investment in Africa has come from Mauritius and Seychelles, which allow people from outside countries or institutions to operate offshore business. Taiwan, Southeast Asia and other places of Chinese capital have been pferred through third locations, partly from South Africa and Madagascar, and investment industries are mainly concentrated in manufacturing industry. Is also a major source of investment in Africa.

Cooperation between Fujian and Africa is complementary and mutually beneficial.

China and Africa have highly compatible development strategies.

At present, African countries generally expect to accelerate the process of industrialization and agricultural modernization, promote skills training and business environment change, and achieve economic independence and sustainable development.

China has actively implemented economic restructuring and industrial upgrading, and has greatly improved its industrial scale, technological level and international competitiveness. It has accumulated relative development advantages such as capital, technology, talents, equipment and quality surplus capacity.

Under the circumstances of the slow recovery, differentiation and development of the world economy, the pattern of international investment and trade, and the profound adjustment of multilateral investment and trade rules, our government issued the vision and action to promote the construction of the Silk Road Economic Belt and the maritime Silk Road in twenty-first Century. We strive to promote pragmatic cooperation and create a community of interests through "policy communication, infrastructure interconnection, trade liberalization, financial integration and people's hearts".

China and Africa have sound economic cooperation mechanisms.

At present, China Africa bilateral multilateral economic and trade cooperation mechanism is becoming more and more perfect. Especially under the advocacy of China Africa Cooperation Forum, China has launched a series of major initiatives to support Africa's development and strengthen pragmatic cooperation with Africa.

In 2012, the China Africa Cooperation Forum identified three economic and trade cooperation initiatives to expand investment and financing cooperation, expand aid to Africa and support Africa's integration. In 2015, the China Africa Cooperation Forum identified ten major Sino African cooperation plans, including industrialization in Central Africa, agricultural modernization in Central Africa, and Sino African infrastructure cooperation plan, which boosted Africa's industrialization process and all-round economic and social development.

These measures play an important leading role in Sino African relations and provide policy guarantee for the development of bilateral trade.

Fujian and Africa are economically complementary.

Africa has vast territory, large population and abundant resources, but the economy is still relatively backward, and there is a lack of funds, technology and management experience.

The African market needs a large number of imports from industrial raw materials, production equipment to people's livelihood items, especially for steel, textiles, clothing, footwear, building materials, bags, machinery, electronics and other commodities. These are the dominant commodities in Fujian.

With the rapid development of Sino African Economic and trade cooperation, Africa has become the second largest contract market and emerging investment destination for Chinese enterprises overseas.

Fujian has relatively abundant capital and technical and managerial experience suitable for Africa's economic development.

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The African market is the blue ocean for the development of Fujian enterprises.

Segment the market and tap new growth points for non exports.

Geographically speaking, the economic and trading environment of the North African countries is significantly better than that of Southern African countries (except South Africa). The commodity market is also polarized. It has 10% of the total population of the white middle and high-end consumer goods market, and also the black and medium end commodity consumer market, which accounts for 90% of the total population.

After years of development, Fujian's various durable consumer goods occupy a certain market share in the black and medium-sized majority of the low-end market.

However, the products are low-end and seriously homogenized, and export enterprises lack brand awareness and after-sales service is also lacking.

We should actively guide export oriented enterprises with stronger strength to establish brand awareness, strengthen R & D design, improve product quality and grade, establish a sound marketing network and after-sales service points, maintain and enhance customer trust, and actively and steadily expand the export of high-end traditional commodities.

In the low-end market, it is necessary to select high-quality export enterprises to participate in the African local exhibitions and to hold the Fujian brand merchandise exhibition in Africa through professional exhibitions, so as to guide export enterprises to make reasonable pricing, guarantee quality and avoid extensive growth and disorderly competition for products, such as textiles, garments and footwear, which are suitable for local needs.

We should encourage labor intensive industries to pfer to Africa and set up overseas processing trade points.

Fujian's textile, clothing, shoes, electronics and other labor-intensive industries have been developed for many years, technology and management are relatively mature and have strong international competitiveness.

But in China, due to the increase of labor costs, soaring land prices, increased environmental pressure and appreciation of the renminbi, labor-intensive enterprises have limited profit margins, industries are facing pformation and upgrading, and processing links need to be pferred outwards.

Most of Africa is low income countries, the largest "labor cost depression" in the world, with only 100 million of the population in Ethiopia alone.

In addition to the advantages of labor, some African countries also enjoy trade preferences such as tariffs on exports to Europe and the United States.

Therefore, we should actively support and guide labor-intensive industries, especially the sales market, which invest mainly in the developed countries of Europe and the United States to invest in Africa. We will pfer mature technology and equipment to the location of investment, and invest in the export of Fujian's related equipment, raw materials and semi-finished products, and create foreign exchange earnings and ease the imbalance of the balance of payments deficit for the host country.

Focusing on South Africa and other countries, we have promoted the establishment of the Fujian Africa commodity marketing network center.

Africa's regional economic cooperation is extraordinarily active, and the development of African markets should focus on areas with relatively stable political economy and strong radiation to the surrounding countries. The Fujian commodity Africa marketing network center should be set up.

For example, in Egypt in the north, South Africa in the south, Nigeria in the west, and Kenya in the East, the preferential policies among the member countries can be used to expand the non export.

At the same time, we should expand information channels and make full use of the contacts, social resources and business resources of Fujian businessmen in African countries, so as to tap the trade opportunities in the African market.