Page 24 - LUA November December 2024 Issue for website

INDUSTRY REPORT

adding state-of-the-art equipment
acquisition, and a modern office
complex. In Morrocco, Tangier went live
with the latest phase of its extension in
December 2023. According to the latest
analysis from the World Bank, Tangier
is one of the world's top 10 performing
ports,” says Igor van den Essen,
Managing Director of Europe & Africa,
APM Terminals.
“All regions and continents have
their unique challenges related
to infrastructure limitations and
geopolitical risks. In that sense, Africa
is not different. We see a lot of FDI in
Africa, notably in expanding infrastructure
such as container terminals. On a day-to-
day basis, we operate our fleet as flexible
as possible, making change of rotations
to mitigate impact to our customers of
congestions and delays. Our company
continuously invests in products and
services to support our customers and
Africa to compete and win in the global
markets,” says Rogelio Busto Duarte,
Managing Director Area South, Northeast
and East Africa, Hapag-Lloyd.
The implementation of the African competitive globally,” says van den Essen Forum on China-Africa Cooperation
Continental Free Trade Area (AfCFTA) of APM Terminals. (FOCAC), which drives economic
in 2021 has added another dimension to partnerships and development initiatives
this transformation. Creating the world's THE RISE OF MINERAL across the continent.
largest free trade area by number of EXPORTS Recently, Africa Finance Corporation
participating countries, the AfCFTA is According to data, Africa possesses (AFC) signed concession agreements with
driving the need for more efficient port a significant share of global mineral the governments of Angola and Zambia
infrastructure to handle the expected reserves, including 92% of platinum, 56% for the financing, construction, ownership,
33% increase in intra-African trade of cobalt, 54% of manganese, and 36% of and operation of the Zambia Lobito Rail
under full implementation. chromium. These minerals are essential Project. AFC, as the lead developer, will
“APM Terminals has been a key for producing green technologies, such as play a major role in this project, which
enabler of Africa’s trade and logistics electric vehicle (EV) batteries and wind not only provides an efficient route for
growth, which directly supports the turbines. Currently, most minerals are evacuating minerals and metals from the
goals of the African Continental Free exported from Africa in their raw form to region but also establishes a trade corridor
Trade Area (AfCFTA). We see the be refined abroad, which drives significant across Africa. This corridor connects the
infrastructure financing gap as one demand for container shipping to global Port of Lobito on the Atlantic Ocean to
of the most pressing barriers to the destinations, mainly in Asia, Europe, and the Port of Dar es Salaam on the Indian
full realisation of AfCFTA’s potential. North America. Ocean, facilitating both global and intra-
By investing in the modernisation China dominates the market, African trade.
and expansion of seaports across the accounting for 85% of global processing
continent, we are helping to create capacity and 60% of worldwide production NAVIGATING GEOPOLITICAL
the infrastructure necessary for the for critical minerals. Meanwhile, the COMPLEXITIES
successful movement of goods Democratic Republic of Congo (DRC) Geopolitical instability, particularly
across borders. refines about 7% of all copper products in regions like the Red Sea, has forced
For instance, our operations in Côte produced locally, and Zambia refines 1.3%. shipping lines to reroute vessels around
d'Ivoire have improved the capacity of the A report by the United States the Cape of Good Hope, resulting in
Abidjan Terminal, boosting its efficiency Institute of Peace highlights the growing longer journey times and increased
by 20%, and directly enhancing trade cooperation between China and Africa operational costs. Recent data from
volumes. Such advancements facilitate on green energy, critical minerals, and UNCTAD indicates that this rerouting
smoother trade integration under industrialisation. This collaboration is has intensified congestion at South
AfCFTA by making African exports more further bolstered by platforms like the African ports, opening up opportunities

22 LUA NOVEMBER - DECEMBER 2024