For the last 500 years, the West has not only mapped out Africa as a cheap source of raw materials but also assumed the position as the place where industrial revolution can only happen. This strategy by the West can be traced back to 1502 with the advent of the transatlantic slave trade, and the European plantation system in the Americas where those slaves caught were used to farm large plantations. The strategy continued through European colonialism of Africa starting with the Berlin Conference of 1884–1885, where the whole of Africa was divided into segments to be conquered by the West, and the major reason for the colonization was to create and maintain colonies for the sole purpose of extracting and shipping its raw materials to supply an industrializing Europe’s needs. This system continued even after the independence of African countries. Although they left, former colonial masters like France ensured that they could still easily access these raw materials with the aid of a colonial pact.
It’s also for the exploitation of raw materials which is why the West like France and the USA tends to involve itself in the politics of African countries. It’s why they would go as far as to orchestrate the assassination of African leaders who would not give them the chance to exploit the resources of the country and place puppet leaders. This is also part of the reason why for a long time most African countries have been plagued by the resource curse, a term which means that a country is not performing well economically despite its abundant resources. Africa is blessed with so many mineral resources that are needed by European countries and from a strategic point of view, this ought to place Africa as the one in charge. Just like Julius Malema, the leader of the Economic Freedom Fighter said in one of his speeches “Africa doesn’t need the West, instead the West needs Africa, which is a very true statement.
But in reality, it seems the opposite is what is playing out because despite the abundance of mineral resources and raw materials African countries are highly dependent on Western industrialized goods. Due to a number of factors including lack of infrastructure and corruption, the abundant raw materials and minerals in Africa are exported at a cheaper rate to European countries that have the necessary infrastructure to process them into finished goods and then they are sold back to Africa at a very high rate. It’s no wonder the continent is the poorest in the world. This was the situation until the 2000s when some African governments started responding with bans on exporting raw materials to reduce the historical dependence on western-controlled markets, and taking concrete steps to add value to mineral, agricultural, and forest resources.
In an address to the Southern Africa Development Community in 2015, the late President of Zimbabwe, Robert Mugabe, captured this sentiment when he said that “If we remain exporters of raw materials we will never go anywhere while other economies flourish. Five years later when telling the Swiss that Ghana would no longer be exporting its cocoa raw, Ghanaian President Nana Akufo-Addo said, “There can be no future prosperity for the Ghanaian people in the short, medium, or long term if we continue to maintain economic structures that are dependent on the production and export of raw materials.
Now, in recent times with talks of climate change and every country is looking for ways to promote clean energy transition, once again the world is looking towards Africa which has abundant minerals needed for clean energy technologies. From lithium-rich rocks in Zimbabwe to cobalt in the Democratic Republic of the Congo, these minerals are increasingly in demand from Africa’s trade partners as part of the global green shift away from climate-warming fossil fuels. However, instead of responding to the increasing demand for these minerals needed for the clean energy by increasing their exports, some African governments decided to turn around and ban the exportation of the minerals. In fact, according to a research published in May by the Africa Development Forum, more than a dozen African nations – including Democratic Republic of Congo (DRC), Nigeria and Namibia – have restricted such exports intermittently or banned them outright.
For example, on July 27th, Ghana’s cabinet decided to ban the export of unprocessed minerals like lithium. This new policy, which is expected to be passed into law by the end of 2023, aims to “retain a significant proportion of the value chain” before a product is rolled out for export. Just a month before Ghana did, Namibia also implemented the same policy but with a leeway that smaller quantities of these minerals may be allowed for export at the discretion of the minister of mines and energy, and subject to the cabinet’s endorsement. Zimbabwe also adopted a similar measure in December 2022 regarding the export of unprocessed lithium. According to a circular issued by the country’s Ministry of Mines and Mining Development, the move is intended to fulfill President Emmerson Mnangagwa’s “vision of the country becoming an upper middle-income economy.”
Nigeria, the giant of Africa, is not left out. In 2022, the former Nigerian mines and steel development minister Olamilekan Adegbite, spearheaded the export ban on raw ore. In a speech, the former minister said African nations were calling for an end to the “plundering (of) the continent for raw materials”. Despite being a big supplier of crude oil, Nigeria is mainly reliant on imports from foreign refineries. Adegbite stated that the ore prohibition, which encourages local processing or refining before export, aims to avoid a similar problem in the mining sector. Bring the industries to Africa so that our people can be employed,” Adegbite added.
The reason for the export ban on minerals by African countries is simply to boost processing of these minerals within the continent which will ensure that Africa gains more. So as demand grows for such minerals for the energy transition, so are calls for export controls or bans in Africa – to move beyond just mining and bring more of the supply chain – and ensuing value and profits – within the continent. Think about the gains a country like Zimbabwe which is rich in lithium would make if instead of just selling raw lithium to Western countries, it sold processed lithium. It would not only gain more in terms of revenue but also provide job opportunities for thousands of people because the processed lithium would require a processing plant.
So, what will be the impact of these export bans on minerals? Some analysts like Abdullahi Lawal, a senior geologist based in Nigeria, believe that the export ban will spur the growth of processing plants in the continent. Abdullah stated that “Foreign investors will be forced to set up processing plants here in Africa. This will automatically create job opportunities for Africans,” although the added that “ In African countries with high levels of insecurity, foreign investors may not want to establish processing plants,” However, for some others, like Idakolo Gabriel Gbolade of SD&D Capital Management Ltd, the export ban could stifle trade with other African partners since a country that has banned export of such minerals wouldn’t allow these to be sent to another African nation with battery-producing plants that require lithium.
But, despite these divergent views, the policy on export ban does have its merit and will succeed in the long run provided those in charge do not mess with the larger goal.
Like Abdullahi said “It may take a while, but the economy will improve as long as the leaders are doing right by their people.
Most mineral-rich African nations are known for experiencing a “resource curse”, with bad governance linked to corruption, and environmental degradation, but there is now a chance to buck the trend on the continent as the world “turns an eye on Africa’s minerals”. And so, the continent deciding to dictate the pace of import and export of such materials would make it an unstoppable force.”
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