India targets Tanzania, Kenya in renewed plan to double trade with Africa to $200 billion by 2030
What you need to know:
- Some of the general problems faced by Indian exporters in the two African countries include procedural obstacles leading to administrative and bureaucratic delays as well as standards and measures imposed for various sectors impeding imports, the source added.
Dar es Salaam. India is preparing for Joint Trade Council (JTC) meetings with Tanzania and Kenya which are its top trading partners in Africa in its effort to double trade with Africa to $200 billion by 2030.
The Hindu Business Online reported on August 29, 2024 that the joint trade council meetings between India and Tanzania as well as with Kenya are scheduled for this month (September).
“The Commerce and Industry Ministry is consulting with industry councils and other ministries and departments for the JTC meetings with Kenya and Tanzania next month with a focus on existing barriers and opportunities.
An inter-ministerial consultation has been planned for the same. Africa is an important market as it holds a lot of potential and could help in its efforts to diversify,” The Hindu Business Online reported, quoting a person tracking the development.
It said in a note to the industry, the Indian government sought information on tariffs barriers as well as non-tariff barriers such as regulatory issues and sanitary and phytosanitary measures (SPS) measures.
“Both Tanzania and Kenya are promising markets and with some focused attention there is a possibility for trade and investment to grow manifold,” the source said as quoted by The Hindu Business Online.
Some of the general problems faced by Indian exporters in the two African countries include procedural obstacles leading to administrative and bureaucratic delays as well as standards and measures imposed for various sectors impeding imports, the source added.
“The government hopes to identify specific problems affecting different sectors so that solutions could be sought,” the report reads in part.
According to the report, India-Tanzania bilateral trade increased to $7.9 billion in 2023/24, posting a 22 percent growth over the previous year, which elevated Tanzania to the position of India’s second-largest trade partner in Africa, up from the third position last year, according to information obtained from the Indian High Commission in Dar es Salaam earlier this year.
India’s exports were valued at $4.6 billion during the fiscal, imports were at $3.3 billion.
India exports essential commodities such as petroleum products, industrial machinery, and tractors, which facilitate industrialisation and economic growth, the statement added. It also supplies life-saving pharmaceutical products at competitive prices.
“Indian motorcycles and automobiles are quite popular among Tanzanians,” the statement added.
Tanzania exports a variety of agriculture products to India including cashew nuts, pigeon peas, soybeans and avocado and also gold and coal.
