21
Oct
EXECUTIVE SUMMARY
India and Africa: An Enduring Relationship for Mutual Prosperity Economic, Trade and Cultural Ties between Africa and India Even hundreds of years back Indian traders, using the seasonal monsoon winds, sailed to the east coast of Africa in search of mangrove poles, ivory, gold and gemstones. The exchange flourished for centuries and it is believed that Indian muslin was used in wrapping mummies in Egypt. During the colonial period, there had been a large immigration of Indian labour to work in railways East Africa, and in sugar and other plantations in Mauritius, Madagascar and Southern Africa. They form a large part of the present Indian diaspora on the continent.
What is less highlighted and less known – is the extraordinary historical achievements of Africans in Indian sub-continent since the 1300s. The alliance between Delhi’s first woman ruler Razia Sultan and her Abyssinian general Jamal-ud-din Yaqut in creating one of the first Sultanates of Delhi, Malik Ambar of Ethiopian descent in late 16th and early 17th century who led the Bahmani kingdom’s resistance against the Mughal expansion in South India, establishment of independent kingdom by Siddis of Janjira with South-East Africa origins, are examples of such links. By the end of the 20th century, both Africa and India experienced completely new horizons in economic and political spheres – which was primarily triggered by globalisation and the subsequent urge to integrate with rest of the world. In the last millennium, Africa’s trade with Europe and the USA has dominated its trading volume, but there has been a gradual increase in trade with Asia in the recent past which is principally led by China and, to a certain extent, India. And this shift is expected to be more pronounced in the near future.
Africa-India Forum Summit: Renewed Effort for Stronger Bonds The Third Africa-India Forum Summit is now scheduled to be held in New Delhi on October 26-30, 2015 and the Indian Government wishes to make the summit a wider ranging participatory and result-oriented one.
Instead of simply enhancing goodwill measures, the third summit is to focus on utilising trade and investment opportunities to propel economic growth in these two regions, and expectations are high this time. African continent presents an opportunity to invest, trade and build economic partnerships. There are definitive advantages to be derived from robust, low cost and enduring solutions for investment, infrastructure, social, education, health etc. that India has developed that may be effective under similar socioeconomic conditions in Africa. India too stands to gain immensely from all these aspects. Besides gains from trade, India can derive benefits mainly by creating partnerships in the areas of food security, energy security and non-fuel mineral resources.
At the moment African business community has no significant presence in India, except for a few in banking business like FirstRand Bank (FRB) and State Bank of Mauritius (SBM). However, interests are expressed by the African business community to invest in India, particularly in sectors like food and hospitality. To facilitate such possible business partnerships and ventures there is a need for assistance and active intermediation from the Indian government.
Access and download the full ASSOCHAM report below.