A food crisis is now threatening worldwide as a result of the Russian war of aggression. German business is watching Chancellor Scholz’s visit to Africa with interest. And has concrete suggestions.
In the opinion of German business, a reorientation of development policy is required to efficiently combat an impending food crisis in Africa.
“We need more investment in local food production and processing. Africa does not want alms, but help for self-help, as only the economy can provide, »said the chairman of the Africa Association of German Business, Stefan Liebing, on Sunday. With a view to Chancellor Olaf Scholz’s trip to Africa, he called for intensified cooperation on investments and job creation.
“We hope that this visit will mark the beginning of a new era in foreign trade and development policy – not much has actually happened yet,” criticized Liebing. Furthermore, the financing of new projects is an obstacle, he emphasized. “German industry is ready to take big steps towards climate-friendly industrialization and the supply of green energy in Africa if the federal government is willing to assume some of the risks from development funds.”
Comprehensive pact required
Africa could help with the gas supply in the short term and become the most important supplier of green hydrogen in the medium term. In addition, the continent can make an important contribution to the diversification of supply chains. Liebing: “We should use the German G7 presidency to conclude a comprehensive pact for investments in sustainable technologies with Africa.”
The VDMA, which represents more than 3,400 German and European mechanical and plant engineering companies, found that many of them had recognized Africa’s growing market potential, but were often hesitant to enter the market. Exports to Africa have so far only made up a good two percent of all German exports in mechanical and plant engineering, with by far the largest number of deliveries going to South Africa and Egypt. Overall, German investments in Africa have stabilized in 2020 and 2021 after a record high before the start of the Corona crisis. Liebing explained that the investment portfolio on the continent fell by 500 million euros in the main crisis year of 2020.
Source: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
