Wednesday, March 10, 2010

Africa's Main Trading Partners

Africa’s Exports

Sub-Saharan Africa’s total merchandise exports were $244.6 billion in 2007, a 17.2 percent increase, approximately the same increase as in 2006. However these exports are highly concentrated since in 2007, South Africa and Nigeria accounted for 50.2 percent of Sub-Saharan Africa’s total exports.

From an individual country perspective, the United States is Africa’s largest single country market, purchasing 28.4 percent of the region’s exports in 2007. China came in second at 13.4 percent, and the United Kingdom was third at 5.6 percent.  From a regional perspective however, the EU is the largest export market and the region purchased 31.4 percent of Sub-Saharan Africa’s exports, down from 32.1 percent in 2006. 


Africa’s Imports

Sub-Saharan Africa’s total merchandise imports continued to increase in 2007, growing 25.6 percent to $269.2 billion, compared to slightly lower growth of 24.1 percent in 2006. Imports are growing faster than exports and once again, South Africa and Nigeria accounted for almost half of Sub-Saharan Africa’s total imports with a 46.4 percent share. In 2007, South Africa’s imports increased by 25.9 percent to $85.6 billion, about the same growth as in 2006.  Meanwhile, Nigeria’s imports increased by 33.7 percent to $39.4 billion, which was higher than the 20.3 percent growth in 2006.

Based on a review of some of the major suppliers to Sub- Saharan Africa, no single sector appears to account for the majority of the growth in Sub- Saharan African imports. Instead, the imports appear to be spread over a range of sectors, including a variety of electrical and other machinery, refined oil, telecommunications equipment, vehicles, aircraft, iron and steel products, pharmaceutical products, medical equipment, apparel, footwear, ocean vessels, and wheat

In 2007, China continued to be the largest individual country exporter to Sub-Saharan Africa with a growing market share of 9.8 percent and $26.5 billion in exports to the region. China’s exports to the region continued to grow rapidly by 39.4 percent from 2006. Increased shipments of electrical and other machinery, vehicles (mainly motorcycles and trucks), woven fabrics, iron and steel products, woven and knit apparel, and low-end footwear comprised the largest share of China’s growth in shipments to Sub-Saharan Africa. China, however, increased its share of African exports by almost one percentage point to a 13.4 percent share.

With the exception of the Netherlands which posted an increase in market share in Sub-Saharan Africa in 2007, the market share of Africa’s other major trading partners declined from 2006 to 2007.  For instance, the market share in Sub-Saharan Africa of the EU as a whole also decreased to 27.8 percent. The U.S. market share in Sub-Saharan Africa fell slightly in 2007 to 5.3 percent, with $14.4 billion in exports to the region.

South Africa’s share of the African market declined slightly to a 3.3 percent share from a 3.4 percent share in 2006. South Africa exported more than Japan, Netherlands, Italy, and Spain to Sub-Saharan Africa, with exports to the region of $9.0 billion in 2007, growing by 23.2 percent from 2006. 

Of Africa’s trading partners represented in the chart above, South Africa imports the least from African countries.

12 comments:

William Wagner said...

Imagine if their main trading partners such as the United States suffers from economic downfall. They will be affected which will be a huge problem in that place.

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Louis said...

Africa should not focus on trading in a single country. It'll be a good idea to trade with different countries so they can avoid the issues that William said.

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