Brazil wants to develop a world market for ethanol

Another leader of the emerging countries, Brazil, has also developed closer trading ties with Africa in recent years. In his new publication, the author explains that this development owes a lot to the political voluntarism of Lula Da Silva during his presidential terms (2003-2010). Important delegations of Brazilian businessmen accompanied the president during his tours of the African continent. This political voluntarism resulted in an exponential increase in business relations between Brazil and Africa which went from 3.5 billion Euros in 2003 to 21 billion Euros in 2012.       

“Brazil is seeking openings in Africa for its manufactured products, but one of its main objectives is also to develop the ethanol market, a biofuel that it manufactures from cane sugar”, explains Sebastian Santander. “Brazil has a lot of expertise in this sector; it would like to create an ethanol market on an international scale and knows that it cannot do this alone. The Brazilian companies and authorities are therefore promoting the expansion of the sugar cane industry in several African countries while also supplying them with the technical expertise required for the production of ethanol. The Brazilians hope that an increase in the number of countries producing ethanol from sugar cane will make its supply more stable which will satisfy customer requirements and contribute to the development of a world market in which Brazil would be a major player”.
 
Sebastian Santander explains that unlike China, Brazil is considered favorably by the African countries. “African countries have a positive image of Brazil. The Brazilians have surfed this wave; they have also studied what was done in the past by Europeans and the Chinese in order to avoid reproducing the kind of actions that have led to some countries having a negative image in Africa. For example, instead of sending sizeable sums of money or limiting its actions to mere exploitation of raw materials, Brazil has decided to concentrate on transmitting knowledge, in particular, by installing public companies in Africa for the agricultural sector. These companies train local personnel. In return for this transfer of knowledge, Brazil benefits from the markets. There is, however, some criticism of Brazil, particularly in Mozambique, which has granted Brazilian companies the right to use an area that is equivalent in size to two-thirds of the area of Portugal in order to develop the ethanol market.  This can cause environmental problems linked to the deforestation of these areas”.

India and Turkey extend their African networks

Following the example of China and Brazil, India and Turkey are two emerging powers that use their non-colonial baggage in Africa to good advantage. A diaspora of more than two million people of Indian origin is present in Africa. Olivier Dupont and Chacko Philip, the two authors of the chapter of the work that deals with the Indian influence in Africa, write that, with such a diaspora, “The Indian authorities avail of important networks through which they can develop strategies to develop the promotion and implantation of commercial companies and favor Indian investments”.  Increased awareness of this potential has contributed to a multiplication of commercial exchanges between India and Africa during the decade 2000-2010. Indo-African summits have also played a role in this process.  

With regard to Turkey, the arrival into power of the AKP coincided with a proactive Turkish foreign policy, notably in Africa. The development of diplomatic relations (Turkey has tripled the number of embassies it has in Africa) and increased cooperation with regard to Turkish development in Africa have contributed to the growth of commercial exchanges between Turkey and Africa, which have grown from 3 to 14 billion Euros during the last ten years.