The International Trade Centre (ITC) and the African Export-Import Bank (Afreximbank) have released preliminary findings suggesting significant potential for growth in trade between Africa and the Caribbean. Current bilateral trade stands at $729 million, but through enhanced value addition, trade facilitation, and improved logistics, this figure could rise to $1.8 billion annually by 2028.

Key sectors identified for potential growth include travel, transport, minerals and metals, wood, paper, rubber, plastics, processed food, and animal feed. These sectors are pivotal in driving both goods and services trade between the two regions.

The 'Strengthening AfriCaribbean Trade and Investment' project, launched during the 31st Afreximbank Annual Meetings and the third AfriCaribbean Trade and Investment Forum (ACTIF) in Nassau, aims to boost trade and investment by mapping out promising value chains and identifying barriers to growth. The initiative will produce comprehensive sector profiles and a detailed report expected to be published at the Fourth ACTIF in 2025.

Prof. Benedict Oramah, President of Afreximbank, emphasized the vast untapped opportunities and affirmed the bank's commitment to realizing these potentials through a robust project pipeline and investment strategy across both regions. Collaboration with ITC is integral to bridging knowledge gaps and building capacity, particularly among small and medium-sized enterprises (SMEs).

Pamela Coke-Hamilton, Executive Director of ITC, highlighted the role of SMEs as critical drivers of increased trade, underscoring the need for targeted sector prioritization and investment.

Addressing challenges such as high tariffs on processed goods and weak logistics infrastructure will be crucial in unlocking trade potential. Tariff reductions and harmonization of non-tariff measures are identified as strategies to stimulate trade, alongside improvements in trade logistics performance.

Overall, the project aims to strengthen partnerships, leverage existing agreements, and promote integration efforts between Africa and the Caribbean to foster sustainable economic growth and development across both regions.