There is just too much
red flag waving in the
press about China taking
over Africa economically,
according to Duncan
Bonnett, African trade and
investment specialist at
consultants, Whitehouse &
Associates.
“But it’s not so,” he
told FTW. “We’ve done
a lot of work in Southern
and East Africa and our
experience would suggest
that the China fear factor is
overplayed.”
The idea that China is
using trade and investment
as the foundation for
dominance in Africa is
vastly overestimating the
actual Chinese involvement
in the continent.
“While some are sceptical
of whether China-Africa
trade benefits Africa as
much as China, those in
the know say that much
depends on whether African
countries and businesses
position themselves to
leverage the strategic
opportunities that have
opened up as a result of
China’s involvement in
the African continent,”
Bonnett said. “It is therefore
important that stakeholders
from all industries gather to
discuss China-Africa trade
on a regular basis to discuss
and pave the way forward
for increased trade between
African and Chinese
businesses.”
The investments also
shouldn’t be misread, he
added.
“It’s only a small
investment in coal and oil in
Africa,” he said, “although
a bit stronger in copper in
Zambia and the Democratic
Republic of the Congo.”
What’s more important is
that Chinese projects are not
ring-fenced.
“For example,” Bonnett
added, “it is often presumed
that if China develops a
mine in Africa it will import
everything – material,
labour and everything else –
from China.
“But it’s not so. They buy
locally and from the region,
for example a lot from
here in SA. There isn’t a
significant drive to acquire
everything in China – they
acquire from where they
think is best.”
Also, Bonnett stressed
that people misconstrued
China’s involvement in
construction projects.
“They’re not exclusively
Chinese projects. Take
a bridge, for example.
They will also have South
African and other foreign
contractors involved in
building roads and other
infrastructure.
“None of this indicates
China colonising Africa
through trade and
investment. Not at all.”
CAPTION
Duncan Bonnett ... ‘Investments
shouldn’t be misread.’
