(23 Dec, 2025)



Deepening India–Africa Engagement

This editorial is based on “Unlocking the potential of India-Africa economic ties” which was published in The Hindu on 22/12/2025. The article brings into picture the key areas of convergence and friction in India–Africa relations and outlines a strategic roadmap to deepen trade, investment, and development cooperation in the coming decade.

For Prelims :AfricaG20,African Union,ITEC,ISA,BRI,Global South,African Continental Free Trade Area 

For Mains: India-Africa relations, key areas of cooperation and points of friction,measures to strengthen the relation. 

India and Africa share a deep historical relationship shaped by anti-colonial solidarity, South–South cooperation, and strong people-to-people ties. In the contemporary phase, Africa has become a central pillar of India’s foreign policy owing to its strategic location, demographic dividend, resource potential, and rising geopolitical importance. India–Africa bilateral trade has crossed USD 100 billion, though it remains significantly lower than China–Africa trade of over USD 200 billion, highlighting both the gap and the opportunity. Guided by principles of mutual respect, non-interference, capacity building, and development partnership, India aims to double trade with Africa by 2030, positioning itself as a long-term, people-centric partner rather than a purely extractive or transactional actor. 

Africa

How Have India–Africa Relations Evolved Over Time? 

  • Ancient and Early Historical Contacts: India–Africa relations date back to ancient times, primarily through maritime trade across the Indian Ocean 
    • Indian traders from the western coast, especially Gujarat and the Konkan region, had regular commercial links with the eastern coast of Africa (present-day Kenya, Tanzania, and Mozambique).  
    • Using the monsoon wind system, they exchanged Indian textiles, spices, and beads for African goods such as gold, ivory, and timber. 
      • These interactions were largely peaceful and based on mutual benefit, leading to cultural exchanges that influenced the Swahili civilization in language, architecture, and social practices.  
    • Importantly, these early contacts were commercial and cultural in nature, not driven by conquest or territorial control. 
  • During the Colonial Period: During this period, India and Africa came under European domination, creating a shared experience of exploitation and racial discrimination.  
    • Large numbers of Indians were taken to Africa as indentured labourers, traders, and clerks, especially to South and East Africa, forming lasting diaspora communities.  
    • This phase also marked a deep political connection, as Mahatma Gandhi’s struggle against racial discrimination in South Africa (1893–1914) shaped both Indian nationalism and African resistance movements.  
      • The colonial experience fostered a common political consciousness based on anti-imperialism, equality, and self-respect, laying the foundation for post-independence solidarity between India and African nations. 
  • Post Colonial Engagement: India and newly independent African nations forged close ties based on shared anti-imperialist struggles and common developmental challenges. India emerged as a strong supporter of African decolonisation, extending diplomatic and moral backing to liberation movements across the continent. 
    • Platforms such as the Asian–African Conference at Bandung (1955) and the Non-Aligned Movement (NAM) brought India and African states together in pursuit of strategic autonomy, peace, and cooperation outside Cold War power blocs. 
    • In the early post-independence period, India–Africa relations focused on capacity building and people-centric cooperation rather than trade. India provided technical assistance, scholarships, and professional support in areas such as agriculture, healthcare, and administration.  
    • Though economic exchange was limited, this phase built lasting trust that later enabled deeper economic and strategic engagement. 

What are the Key Areas of Convergence in India–Africa Relations? 

  • Trade and Economic Cooperation: India–Africa trade has grown significantly, with bilateral trade crossing USD 100 billion in 2024–25, and India becoming one of the top five investors in Africa. 
    • India aims to double trade by 2030 by focusing on value addition, technology-driven agriculture, renewable energy, healthcare, and services. 
    • India’s exports include pharmaceuticals, machinery, textiles, and automobiles, while Africa supplies crude oil, minerals, and agricultural commodities. 
  • Development Partnerships and Capacity Building: Development cooperation remains a core area of convergence.  
    • India has extended concessional Lines of Credit (LoCs) to African countries for infrastructure, water supply, and industrial projects.  
      • For instance, India offered a US$170 Million Line of Credit (LoC) for the Conakry Water Supply Project to the Republic of Guinea. 
    • At the India–Africa Forum Summits, India committed significant financial and technical support, including vocational training centres and support for SMEs. 
  • Education and Human Resource Development: Educational and skill development cooperation is central to India-Africa ties.  
    • Programs like the Indian Technical and Economic Cooperation (ITEC) and scholarship schemes have trained thousands of African professionals in areas such as agriculture, healthcare, and administration. 
    • Initiatives like establishment of Indian institutes in Africa (e.g., IIT Madras campus in Zanzibar) strengthen people-to-people and institutional links.  
  • Technology and Digital Cooperation: India has promoted digital cooperation through projects like the Pan-African e-Network for tele-education and tele-medicine, and is exploring wider digital public infrastructure collaboration.  
    • For example, Namibia is the first African country officially adopting India's UPI to build its own sovereign payment system. 
    • Also, recently, India agreed to set up a new State-of-the-Art Data Centre for the Ministry of Foreign Affairs in Ethiopia. 
    • Such initiatives foster shared technology solutions in governance, connectivity and innovation. 
  • Health and Pharmaceuticals: India’s pharmaceutical industry is a major supplier of affordable medicines and vaccines to African countries.  
    • During the COVID-19 pandemic, India supplied vaccines under initiatives like “One Earth One Health”, strengthening health diplomacy and building goodwill in public health cooperation. 
    • With about 20% of India's pharma exports going to African countries, Indian pharma companies become crucial for medical upliftment in Africa. 
  • Strategic and Maritime Security Cooperation: Strategic convergence has grown through joint defence engagements and maritime exercises like the Africa-India Key Maritime Engagement (AIKEYME) involving several African navies, enhancing interoperability and regional security in the Indian Ocean. 
  • Energy, Clean Technology, and Sustainable Development: Both India and Africa are working together on energy security and renewable energy initiatives, including cooperation under the International Solar Alliance and shared goals in green hydrogen and clean technologies. Such cooperation aligns with sustainable development goals and mutual growth strategies. 
  • Global Advocacy and Multilateral Cooperation: India and Africa often align on global issues such as UN reforms, climate negotiations, and representation of the Global South. India has supported greater African participation in global institutions, including advocacy around the African Union’s voice in forums like the G20. 

What are the Major Frictions Limiting the Potential of India–Africa Relations? 

  • Trade Imbalance and Limited Market Penetration: India’s exports are concentrated in a few sectors like pharmaceuticals and refined petroleum, while value-added manufacturing and services penetration remains limited. 
    • African markets often perceive Indian firms as less competitive in terms of scale, speed, and financing compared to Chinese companies. 
    • Despite India being a global IT powerhouse, its digital services penetration in Africa is still in its infancy compared to its potential. 
    • While India has signed recent agreements (e.g., the Strategic Partnership with Ethiopia in December 2025), the export of high-end machinery and processed foods remains low. 
  • Slow Implementation of Development Projects:  India’s Lines of Credit (LoCs) focus on infrastructure and capacity building, but many projects face delays due to procedural complexity, land issues, and weak local capacity 
    • Slow execution reduces visibility and impact, sometimes leading to frustration among African partners despite goodwill. 
    • India's $250 million Line of Credit for the Maputo electricity project in Mozambique, first offered in 2012, stalled in bureaucratic limbo for years without significant progress, necessitating a complete re-tendering process. 
    • On the other hand, the Addis Ababa–Djibouti railway was built with large China Eximbank buyer’s-credit loans and Chinese contractors, cited as an example of China delivering big, fast, financed infrastructure. 
  • Weak Institutional Momentum: Institutional frameworks such as the India–Africa Forum Summit (IAFS) have not been held regularly since 2015, weakening continuity and high-level political engagement.  
    • This gap contrasts with more frequent institutionalised engagements by other partners and reduces strategic focus on Africa in India’s foreign policy calendar. 
  • Logistic and Connectivity Constraints: Persistent logistical challenges such as limited direct shipping routes, high freight costs, and weak air connectivity increase transaction costs and hinder trade, investment, and people-to-people exchanges between India and Africa. 
    • These structural costs make Indian goods and services less competitive in many African markets. 
    • The ongoing conflict in the Red Sea has significantly disrupted the logistics of India-Africa trade throughout 2024 and 2025, primarily by forcing vessels to abandon the shortest route through the Suez Canal in favor of the Cape of Good Hope. 
      • A typical 20–22 day voyage from India to African markets now takes 30 to 35 days, representing a 50% increase in lead times. 
  • Security and Political Instability in Parts of Africa: Ongoing conflicts, coups, and security challenges in regions such as the Sahel and Horn of Africa create risks for Indian investments, project continuity, and the safety of the Indian diaspora.  
    • For instance, India had to launch Operation Kaveri to evacuate over 3,000 Indians from Sudan due to conflict in the region. 
    • These unstable environments deter deeper private sector participation and slow implementation. 
  • Underrepresentation in Global Governance Frameworks: While India supports Africa’s voice in global institutions, African nations remain underrepresented in UN Security Council reform discussions and other decision-making bodies. 
    • Differences over the model of reform prevent a common negotiating position. While India (as part of the G4) seeks permanent seats with the veto, the Ezulwini Consensus (the African Union's common position) demands at least two permanent seats for Africa with full veto rights and two additional non-permanent seats. 
    • This generates a joint but unresolved diplomatic priority where both regions seek greater global voice yet struggle to overcome structural barriers. 

What Strategic Reforms Are Needed to Unlock India–Africa Trade Potential? 

  • Removing Trade Barriers and Deepening Institutional Trade Engagement: India  should focus on removing tariff and non-tariff barriers by actively pursuing preferential trade agreements (PTAs) and comprehensive economic partnership agreements (CEPAs) with major African economies and regional groupings.  
    • Engaging deeply with African regional economic communities and the African Continental Free Trade Area (AfCFTA) can provide Indian exporters access to a unified market of over 1.4 billion people 
    • This aligns with the call for India to “connect, build and revive” its trade engagement with Africa through institutionalised economic frameworks rather than ad-hoc bilateralism. 
  • Shifting from Commodity Trade to Value-Added Manufacturing Partnerships: The second pillar must focus on transitioning from low-value commodity exports (such as petroleum products) to two-way value-added trade and joint manufacturing 
    • Despite incentives offered by African governments, Indian firms have underutilised opportunities to set up manufacturing units in Africa. 
    • Establishing production facilities offers a dual strategic advantage, preferential access to the U.S. market through favourable tariff regimes and direct entry into Africa’s expanding consumer and industrial markets. 
      • Moving into pharmaceuticals, automobiles, agro-processing, textiles, and light manufacturing is essential to elevate India–Africa economic ties to the next phase. 
  • Unlocking Africa’s Potential for Indian MSMEs through Trade Finance: The third pillar should prioritise MSME-led engagement, where Africa offers greater opportunities than saturated Western markets.  
    • However, limited access to trade finance, insurance, and risk-mitigation tools constrains MSME participation.  
    • India must scale up Lines of Credit, simplify procedures, and improve accessibility for smaller firms.  
    • Measures such as local-currency trade, creation of a joint India–Africa insurance pool, and blended finance mechanisms can reduce political and commercial risks, encouraging banks and MSMEs to engage more actively. 
  • Reducing Logistics and Connectivity Costs: The fourth pillar should address high freight and logistics costs, which undermine competitiveness.  
    • India needs to invest in port modernisation, hinterland connectivity, and dedicated India–Africa maritime corridors, supported by public–private partnerships. Improving shipping lines and air connectivity will reduce transaction costs, facilitate trade, and enhance business mobility—areas where India currently lags behind other global partners. 
  • Scaling Services Trade and People-to-People Linkages: The final pillar must focus on services, digital trade, and human capital exchange. India should leverage its strengths in information technology, healthcare, education, professional services, and skill development to expand services exports to Africa.  
    • Services act as high-value trade multipliers, stimulating demand for goods and strengthening long-term economic integration. Current policy frameworks remain insufficient to unlock this potential and require targeted reforms to enable smoother movement of professionals, digital services, and institutional partnerships. 

Conclusion: 

India–Africa relations are at a crucial juncture, driven by shared growth aspirations and strong political goodwill. As External Affairs Minister S. Jaishankar has noted, “Africa’s goals and agenda are India’s priority,” doubling trade by 2030 will require a shift from commodity exports to value-added manufacturing, services, and MSME-led engagement. Reducing trade barriers, improving logistics, and expanding trade finance are vital, alongside leveraging India’s strengths in digital services, healthcare, and skill development. A coherent, multi-pillar approach can convert this partnership into a durable engine of inclusive growth. 

Drishti Mains Question:

Africa occupies a central place in India’s Global South diplomacy. Discuss the significance of Africa in India’s foreign policy and evaluate the challenges that must be addressed to transform the relationship into a comprehensive strategic partnership. 

FAQs

Q. Why is Africa important to India’s foreign policy?
Africa is vital due to its strategic location, resource potential, demographic dividend, and its role in India’s Global South and multilateral diplomacy. 

Q. What are the main areas of convergence in India–Africa relations?
Trade, development cooperation, capacity building, health, digital services, security cooperation, and multilateral alignment. 

Q. What are the key challenges in India–Africa relations?
Trade scale gaps, project delays, logistics constraints, competition from China, and limited private-sector participation. 

Q. How can India double trade with Africa by 2030?
By removing trade barriers, promoting value-added manufacturing, supporting MSMEs, improving logistics, and expanding services trade. 

Q. What makes India’s Africa partnership distinct?
Its emphasis on capacity building, mutual respect, non-interference, and people-centric development rather than extractive engagement. 

UPSC Civil Services Examination, Previous Year Questions (PYQs)

Prelims 

Q. In which one of the following groups are all the four countries members of G20? (2020)

(a) Argentina, Mexico, South Africa and Turkey  

(b) Australia, Canada, Malaysia and New Zealand  

(c) Brazil, Iran, Saudi Arabia and Vietnam  

(d) Indonesia, Japan, Singapore and South Korea  

Ans: (a)


Mains 

Q. India-Africa digital partnership is achieving mutual respect, co-development and long-term institutional partnerships. Elaborate. (2025) 

Q. ‘The long-sustained image of India as a leader of the oppressed and marginalised nations has disappeared on account of its new found role in the emerging global order.’ Elaborate. (2019)