[Answered] India and Africa share a long and rich relationship, and African Continental Free Trade Area (AfCFTA) is a significant step in creating a mutually beneficial relationship. Elaborate.

India and Africa have social and economic relations dating back many centuries. Our freedom movement became an inspiration for African nationalists in their desire for independence from colonialism.  The African Continental Free Trade Area (AfCFTA) is a free trade area encompassing most of Africa. It was established in 2018 by the African Continental Free Trade Agreement, making it the largest free-trade area by number of member states, after the World Trade Organization and the largest in population and geographic size.

Significant for both countries:

• AfCFTA provides a wide scope to create the largest free trade area in the world, by geography, and an opportunity to lift 30 million people out of extreme poverty.
• Single market for goods and services: thereby enabling easy movement of persons, and promoting industrial development.
• Digital transformation of Africa: India can facilitate a digital transformation of Africa through innovation and the transfer of technology, thereby contributing to the achievement of the continent’s Agenda 2063.
• Promote bilateral trade and investment: Indian industries could align their efforts with the priority areas set by a free trade agreement.
• Opportunities in services trade:with Africa in the fields of Information Technology (IT), Mobile payment solutions, banking, and financial services.
• Boost to women-oriented developmental sectors: As women consist of 90% of Africa’s labour force in the informal sector, engaged mainly in education, healthcare, and tertiary services.
• Opportunities in the pharmaceuticals and healthcare sector: India’s success in manufacturing vaccines and pharmaceuticals, and advances in telemedicine, can do so.
• Building infrastructure for cross-border supply chains: The AfCFTA seeks to facilitate international supply chains for food, pharmaceuticals, and various other essential products. India can help in achieving this. It will help Indian industries to operate efficiently in Africa.

India has a significant role to play in AfCFTA. It requires collaboration between the public and the private sectors in both India and Africa. Given the opportunities that the AfCFTA is likely to create for India, there is an inherent need for the country to accord priority to AfCFTA in its foreign policy map.