ADCC GLOBAL PROJECTS

Manufacturing

Project Development

Manufacturing production is increasing across Africa (Sub-Saharan Africa, including South Africa), but with varying experiences across countries. While the share of manufacturing in gross domestic product declined from 18% in 1975 to 11% in 2015, manufacturing production has nearly doubled since 2000, from $85 billion in 2000 to more than $160 billion in 2015 (in constant 2010 prices). African manufacturing has grown at 3.5% annually in real terms over the past decade, more than in developed countries.

Annual average growth in manufacturing exports between 2005 and 2014 was highest in Asia (8.3%), followed by Africa (7.4%), and much lower in Europe (4.3%), the Americas (3.9%) and Oceania (2.7%). Africa's manufacturing share increased marginally, from 0.8% to 0.9%. Greenfield FDI in African textiles, clothing and leather increased from $1bnin 2016 to $4bn in 2017.

Food and beverages is the dominant manufacturing sector, followed by textiles and clothing. Successful examples of manufacturing production include automobile assembly and production in South Africa, garments in Mauritius and East Africa and consumer goods across the continent.

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