Angola: China and Brazil catch up with US as main trade suppliers

28 March 2008

Lisbon, Portugal, 28 March – China and Brazil have caught up with the United States in the list of Angola’s main trade suppliers and are rapidly approaching Portugal, which is the main source of Angolan imports, according to figures presented Thursday in Lisbon by BPI bank.

In its regular report on the Angolan economy, the Economic and Financial Studies Department of the bank said that provisional data showed that in 2006 and 2007, Angolan imports from Brazil rose 61 and 45 percent, respectively, whilst those from China rose 140 percent and 39 percent.

Last year, Angolan imports from the United States fell by 17 percent, to around US$1.2 billion, the level at which Chinese and Brazilian imports are now.

The imports of Portuguese products last year totalled US$1.52 billion, almost double that posted in 2005 and 40 percent of the total from the European Union.
“Portugal clearly has the top position, but you can see that China and Brazil are rapidly catching up,” and South Africa, “could quickly increase exports in the near future, as soon as road transport becomes possible, particularly due to logistical problems arising from the saturated capacity of the port of Luanda,” BPI said.

In relation to Angolan exports, made up essentially of oil, China is the biggest market, which with a total of US$10.605 billion overtook the United States to become the main destination.

In terms of the diamond sector, the BPI analysts identified “signs of strong dynamism,” “resulting from greater international cooperation,” by state concession holder, Endiama.

The is also the case with private investments, mainly in Luanda, Benguela, Huíla and Kwanza Sul.

“One of the driving forces for private investment, namely in the areas of construction, has been the hosting of the football Africa Cup of Nations, in 2010, when the country will have a further 39 hotels,” it added. (macauhub)