Associate researcher at the Institute of International and Strategic Relations (IRIS), Jean-Joseph Boillot believes that Africa represents a “joker” for India in the face of China.
Where are Indian ambitions to deploy more widely in Africa?
They should not be compared to Chinese or even French ambitions because the methods of intervention are very different. The central state plays a modest role. But a clear turning point was taken by Indian companies around ten years ago. After moving towards Western countries and experiencing disappointments there, they understood that it was easier to go to developing and local markets, such as Africa.
Even if we remain very far from Chinese figures, India is now the continent’s second largest trading partner. Today it is a giant in Africa, but quite invisible. This relationship is also built from the many communities of Indian origin established there for generations, and from NGOs which are extremely active in segments such as microfinance or low-cost medicine.
In which sectors, precisely, does India play an important role in Africa?
There has been a breakthrough by Indian companies of all sizes in sectors such as transport, with motorcycles for example, or small mechanical equipment. At a time when the Chinese offer is moving upmarket, Indian products correspond well to the needs of African consumers. We also find Indian players in services, health, but also agriculture.
Indeed, India, which is number two in the world for agricultural production, is threatened by a shortage of land. It is therefore looking for land in Africa to exploit rice, peanuts or oil palm trees. And in raw materials, it will provide itself with resources that it does not, or no longer, produce itself: critical minerals, oil, gold and diamonds.
Can India compete with China in Africa?
The two countries do not play in the same court in terms of geopolitical or economic influence. But the Indians present themselves as an alternative: thanks to them, there are not only goods made in China. Likewise, Africa represents a wild card for India. To survive against its Chinese adversary, it had to build new alliances.
This is why, over the past fifteen years, there has been a strengthening of the India-Africa axis, with an increasingly extensive diplomatic network. This was to support the development of private trade in a region perceived as an important consumer market and a reservoir of strategic raw materials. But also to strengthen relations with this continent made up of fifty-five countries, which holds a determining weight in decision-making at the UN and in other bodies such as the World Trade Organization.