Major International Business Headlines Brief::: 05 July 2024

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Major International Business Headlines Brief:::  05 July 2024 

 


 


 

	
 


 

 


 

ü  Nigeria: NNPC Ramps Up Transition to Gas-Powered Vehicles, Launches 12
CNG Stations in Abuja, Lagos

ü  Nigeria: To Enhance Operation, NPA Acquires Tugboats for Dangote
Refinery, Lekki Port

ü  Nigeria: Don't Donate Your Pension to Churches, Mosques, Sanwo-Olu
Advises Retiring Civil Servants

ü  Nigeria: Senate Probes $5.7bn 3,050 Megawatts Mambila Power Contract,
Seeks Plant's Inclusion in Tinubu's Legacy Projects

ü  Rwanda's Horticulture Sector Grows Through Horti-Export Phase 2, Targets
Job Creation

ü  Africa: Women in Six African Countries to Benefit From $100m AfCFTA Fish
Project

ü  Africa: Historic Moment As Nigeria Wins Bid to Host Africa's $5bn Energy
Bank, Beats Ghana, S'africa, Cote d'Ivoire

ü  Botswana: Local Beef Set for EU Market Dominance

ü  Mozambique and Tanzania to Introduce Coastal Shipping Services

ü  Tanzania Ready to Enter the World of AI

ü  Ghana: Trade and Industry Minister Finds Himself in a Fix Over the
'Cement Pricing'

ü  Uganda's First Batch of Directly Imported Fuel Arrives in Mombasa

ü  Samsung expects profits to jump by more than 1,400%

ü  EU hits Chinese electric cars with new tariffs

ü  Could the 'flying piano' help transform air cargo?

 


 

 


 <mailto:zitfmktg at zitf.co.zw> Nigeria: NNPC Ramps Up Transition to
Gas-Powered Vehicles, Launches 12 CNG Stations in Abuja, Lagos

The federal government through the Nigerian National Petroleum Company
Limited (NNPC) is ramping up efforts to ensure the penetration of Compressed
Natural Gas (CNG) for powering vehicles nationwide, with the launching of 12
additional stations in Abuja and Lagos yesterday.

 

Speaking at the simultaneous inauguration of the facilities, the Group Chief
Executive of the NNPC, Mele Kyari, stated that the government was determined
to bring the use of the gas-powered vehicles closer to the Nigerian people.

 

He declared that the CNG drive has since commenced and is irreversible,
stressing that with the massive deployment of CNG stations nationwide,
Nigerians will get a cleaner and cheaper source of energy.

 

 

"It's already rolling out across the counrty, you can see the benefit,
people are saying that this works better. It's cheaper , it's cleaner and
it's accessible. And what we are going to do is to roll out across all the
states of the federation.

 

"It's already a work in progress, we will construct six CNG mother stations,
spread across the country, between now and December, you will see this
happen.

 

"We are also taking another step. We are building LNG stations in Ajaokuta,
belonging to us, two with a partnership. What this does is to bring CNG
closer across the country.

 

"Distance matters in transporting gas and that's why we are doing this so
that it becomes accessible and becomes easier and this is short term because
as soon as we complete the AKK pipeline, it gets much closer to end users,
and ultimately as we reduce the distance, cost will come down.

 

 

"We will see cheaper and cheaper fuel across the country, particularly areas
that are distant from the source of the gas, especially in the northern part
of the country", he stated.

 

With this in place, he stated that Nigerians will find it cheaper to fuel
their cars, with CNG becoming an alternative to expensive petrol which
currently sells for over N900 per litre in some states in Nigeria.

 

"And I would like to also indicate that there's no turning back on this.
There's simply no way to turn back because this is the right thing to do,"
he added.

 

Also speaking, the Managing Director of NNPC Retail, Huub Stockman, stated
that Nigerians will save at least 40 per cent of their expenses on fuel by
converting their vehicles to CNG-powered ones.

 

"These stations represent a major step in expanding our CNG presence in the
country, marking an important moment in our efforts to diversify Nigeria's
energy mix. Six of these 12 states are NNPC Retail's first CNG sites.

 

 

"CNG will be about 40 per cent cheaper than petrol in Nigeria, and with
continued investments, it will become a significant part of our energy mix.
In the next 12 months, NNPC Retail will have launched over 100 CNG sites,"
he stressed.

 

According to him, it was the first step to massive deployment of CNG,
confirming that four more sites will be added in Abuja and in the next four
to six weeks, six sites will be launched in Lagos.

 

"We're also supporting our implementation partners to set up two mechanical
training centres combined with conversion centres in Abuja and Lagos. And
it's fantastic that Nigeria is utilising its own natural resources to bring
affordable energy to the people of Nigeria," Stokman pointed out.

 

In his remarks, the Programme Director of the Presidential CNG initiative,
Michael Oluwagbemi, who was represented by a Director in the organisation
and aide to President Bola Tinubu, Toyin Zubair, said that there will be
huge savings from the deployment of CNG.

 

"When you look at CNG on the other hand, to every car owner, if you move to
CNG, at 250 litres of it, looking at the pricing today, between CNG and PMS
(petrol), you'd be saving about N6 million per annum, from nowhere.

 

"Now if you look at this, a lot of people who are already converted, they're
saving about N200,000 at the end of every month or about N380,000, depending
on how much CNG they're using.

 

"So that is on one car, that is N12 million saved on every vehicle, that is
going into PMS. Now if you look at the Keke NAPEP, which is the means of
transport for many people, and it's a whole lot of business for a lot of
people, the average savings per day would be about N7,000 using CNG.

 

"That translates to about N2.6 million per annum, for a Keke owner, if he
moves from PMS to CNG. It may surprise you that the cost of a Keke NAPEP is
actually N2.7 million, so that in one year's savings on CNG, you can buy
another Keke," he argued.

 

In his remarks, Minister of State for Petroleum Resources (Gas), Ekperikpe
Ekpo, said the commissioning of the stations will not only provide economic
benefits by creating jobs and stimulating local economies, it will also
contribute significantly to Nigeria's national goals of reducing emissions
and combating climate change.

 

On his part, the Chairman of the NNPC Board of Directors, Chief Pius
Akinyelure said increased CNG adoption will foster economic benefits by
reducing fuel costs for consumers and businesses alike.

 

- This Day.

 

 

 

 

Nigeria: To Enhance Operation, NPA Acquires Tugboats for Dangote Refinery,
Lekki Port

The Minister of Marine and Blue Economy, Adegboyega Oyetola, yesterday in
Lagos commissioned two newly acquired 80 tons bollard pull tugboats to
enhance the berthing of vessels at the Dangote Refinery and Lekki Deep
Seaport.

 

Named MT IRAGBIJI, and MT BAMA, the vessels are expected to support port
security, patrol, and surveillance and to deliver efficient pilotage and
towage services that would help the growing cargo evacuation needs of the
Lekki maritime corridor.

 

Speaking during the commissioning, Oyetola said the investment into
acquiring the marine craft is a step towards enhancing port efficiency and
strengthening Nigeria's position as a leading maritime nation in the region.

 

 

The President Bola Tinibu administration, he stated, is committed to
investing in developing the nation's maritime assets.

 

According to him, "We recognise the critical role that efficient port
operations play in accelerating economic growth and will do all that is
required to update the existing facilities to deliver on this.

 

"By acquiring these modern marine crafts, we are reaffirming our commitment
to maximise the opportunities presented by the African Continental Free
Trade Area (AfCFTA) Agreement. We are determined to optimise our competitive
edge as a littoral nation and deepen our efficiencies through the deployment
of cutting-edge technology and equipment."

 

Speaking, the Managing Director of the Nigerian Ports Authority (NPA),
Mohammed Bello-Koko, said the acquisition would enable the NPA attain a
regional hub status by efficiently servicing domestic cargo needs, winning
back transit cargo hitherto lost to maritime neighbours and positioning to
cater to the maritime requirements of landlocked neighbours.

 

 

He said the NPA has deployed a three-pronged strategy driven by people;
technology, infrastructure, and equipment such as the state-of-the-art
vessels are were commissioned.

 

According to him, the acquisition of the marine craft is part of the
fulfillment of NPA's deliverables under the Presidential/Ministerial
Performance Bond to optimise Nigeria's marine and blue economy by providing
relevant marine technology and equipment.

 

Pointing out that the marine crafts would be deployed to serve operations at
the Lekki corridor, Bello-Koko said the corridor has become a hub for
actualising Nigeria's quest for self-sufficiency in energy, agricultural
growth and trade transshipment capacity with the hosting of a 650,000
barrels-per-day Dangote Refinery, Africa's largest granulated urea
fertilizer complex and Nigeria's first fully automated Deep Seaport, which
can berth Super Post Panamax sized ships.

 

 

"Data from Dangote Petroleum Refinery and Petrochemicals shows that 120
tanker vessels have been handled in the six months from January - June 2024
with a projection for 415 between July to December, while Dangote
Fertilizers have handled 17 fertilizer vessels with a projection for 41 in
the corresponding period, We are by these commissioning and ancillary
deployments putting mechanisms in place to cater for continuous increase
going forward," he stated.

 

Bello-Koko commended the Minister of Marine and Blue Economy for the
continuous support that enabled the Ports Authority to enhance its
operational efficiencies.

 

Also speaking, Comptroller General of the Nigeria Customs Service (NCS),
Adewale Adeniyi, said customs has found it comfortable to work with the NPA
to develop the export sector, automate Customs processes, decongest the
port, and ensure port efficiency.

 

According to him, the collaboration between Customs and NPA has started
yielding good fruits as both agencies were recently ranked high by the
Presidential Enabling Business Environment Council (PEBEC).

 

This, he said, is in line with the vision of the present administration to
reposition the Nigerian maritime sector.

 

He assured that Customs would do all within its capacity to remain on top of
ease of doing business ranking for the growth of the maritime industry.

 

On his part, the Director General of the Nigerian Maritime Administration
and Safety Agency (NIMASA), Dayo Mobereola, lauded the NPA and Oyetola for
the leading role played in driving efficient service delivery in the
nation's port industry.

 

He said trade facilitation comes with efficiency and only efficient service
delivery would enable Nigeria to regain cargo lost to neighbouring West
African ports.

 

- This Day.

 

 

 

 

Nigeria: Don't Donate Your Pension to Churches, Mosques, Sanwo-Olu Advises
Retiring Civil Servants

Governor Babajide Sanwo-Olu has advised the 2000 retirees from the state's
civil service who got their contributory pension worth about N4.46b not to
donate it to churches, mosques or religious groups in the name of
thanksgiving or tithe.

 

Speaking at the 105 batch of retirement bond certificate presentation
ceremony to retirees, Governor Sanwo-Olu stated that the payment of the
pension is a testament to the unwavering commitment of the Lagos State
government to its retirees and celebrates their years of dedicated service
to the beloved state.

 

His words: "Today, we mark the 105th Retirement Bond Certificate
presentation, a historic milestone as we transition into a new era of
Pension Administration called "Pay-As You-Go." From now on, all retirees of
the state government will be paid as they retire, provided all procedures
and approvals have been completed before retirement.

 

 

"We have strategically prioritized clearing all backlogs of accrued rights
payments to ensure our retirees enjoy dignity and financial stability after
retirement. This commitment extends to the welfare of both current and
former members of our workforce, recognizing their unblemished careers in
the state public service."

 

Sanwo-Olu disclosed that since the inception of the Contributory Pension
Scheme, the state government has paid N141.2b to 35,191 retirees.

 

He said: "Under this administration alone, we have paid N59.7b to 17,039
retirees, making Lagos State a top performer in pension payments. Today, I
am pleased to announce that another 2,000 retirees will receive bond
certificates worth a total of N4.46b.

 

 

"These funds, along with their monthly contributions, have already been
remitted into their respective Retirement Savings Accounts with the Pension
Fund Administrators (PFAs).

 

"In addition to financial entitlements, the Lagos State Government, through
the Lagos State Health Management Agency, has launched a Health Insurance
Scheme tailored specifically for our retirees. This scheme will provide
access to a wide range of medical services, from routine check-ups to
specialized treatments.

 

"This initiative underscores our commitment to the well-being of our
retirees, ensuring that you receive not only what is due to you statutorily
but also additional support and assistance to enhance your lives in
retirement."

 

Speaking at the ceremony, the Director General of Lagos State Pension
Commission, Mr. Babalola Obilana, said the ceremony would not have been
possible without the support and cooperation of stakeholders and Governor
Babajide Sanwo-Olu.

 

Obilana stated: "Today, the administration of Governor Babajide Olusola
Sanwo-Olu will present another set of 2,000 retirees with a total sum of
N4,461,659,536.82, being their past service benefits prior to the
commencement of the Contributory Pension Scheme (CPS) in 2007.

 

"Today's ceremony would not have been possible without the support and
cooperation of various stakeholders. I extend my heartfelt gratitude to the
present administration under the leadership of Mr. Governor, Babajide
Olusola Sanwo-Olu, and the Deputy Governor, Dr. Kadri Obafemi Hamzat, for
their continuous support and commitment to the welfare of our retirees.

 

"I also appreciate the efforts of the relevant MDAs we collaborate with to
deliver first-class service to our retirees: the Ministry of Establishments
& Training, Public Service Office, Office of the Head of Service, State
Treasury Office, and Office of Internal Audit, among others.

 

"I must also recognize the contributions of the Pension Fund Administrators
and Annuity Service Providers towards the success of the Contributory
Pension Scheme in Lagos State.

 

"Lastly, I commend my dedicated and hardworking team, the Lagos State
Pension Commission Staff, who have worked tirelessly to make this event a
success. Well done, everyone!"

 

Obilana encouraged retirees to choose wisely between programmed withdrawal
and annuity to select the option that best suit their individual
circumstances.

 

- This Day.

 

 

 

 

Nigeria: Senate Probes $5.7bn 3,050 Megawatts Mambila Power Contract, Seeks
Plant's Inclusion in Tinubu's Legacy Projects

Abuja — The Senate yesterday unanimously resolved to probe the $5.79 billion
Mambilla Hydroelectric Power Project (MHEPP) located in Taraba State.

 

The probe will look at steps taken since 1999 till date to execute the
project, without success.

 

The power project planned to deliver 3,050 megawatts of power to the
national grid.

 

The project had suffered hiccups seven years after the Federal Ministry of
Power signed a full contract with a consortium of Chinese contractors
comprising CGGC, SHC, and CGOC in 2017.

 

The federal lawmakers noted that the Mambilla Power Plant could have gone a
long way in addressing the power woes if it had been executed for use by
Nigerians.

 

 

The Senate resolution followed a debate on a motion moved by Senator Manu
Haruna (Taraba-Central) and supported by 28 others.

 

The Senate resolved to probe the circumstances surrounding the apparent
failure of the plant to come on stream seven years after the signing of the
full contract.

 

It also suggested the urgency for the administration of President Bola
Tinubu to include the plant among its 'Renewed Hope Agenda' legacy projects
to ensure that it was delivered.

 

The Senate recalled that the Federal Executive Council under the
administration of former President Muhammad Buhari approved the $5.78bn
contract with an agreed Joint Venture (JV) funding structure of 85% from the
Chinese consortium (CGGC-45%, SHC-35%, and CGOC-20%) and 15° from the
Federal Government of Nigeria as counterpart funding for the entire project.

 

 

It had a 72-month completion timeline.

 

Apart from the 3050MW expected to be generated by the plant, it was planned
to reposition the Ajaokuta Steel Complex with $1.7bn, making it a priority
national project.

 

Haruna said: "The project has great benefits for local content in the area
of human capital development, including the creation of over 55,000 jobs;
construction of resettlement homes for over 100,000 people.

 

"It has the capacity of hauling and supplying of over 2.7million tons of
steel; production and supply of over 76 million tons of quarry stone; and
the opportunity for Ashaka and Benue cement plants to produce and supply
cement."

 

Meanwhile, the Senate has passed into law the bill seeking the establishment
of North Central Development Commission (NCDC), sponsored by the senator
representing Benue South Senatorial District and Senate Minority Leader,
Abba Moro and the other senators from North Central Nigeria.

 

 

The bill was first sponsored in the 9th Senate by Senator Moro where it
passed First and Second Readings but could not get presidential assent
before the expiration of the 9th Senate.

 

Moro had argued in his lead debate that the commission, when established
would be saddled with the responsibility of receiving and managing funds
from the federal government and donors for the resettlement, rehabilitation,
integration and reconstruction of roads.

 

He also said it would reconstruct houses and business premises of victims of
flood and farmers/herders' clashes, and communal clashes.

 

He also said the fund would be used for the construction of large format
drainage systems, dredging of rivers Niger and Benue to control flood and
incidental matters, as well as tackling the menace of poverty, illiteracy
and other related environmental or developmental challenges facing the North
Central Nigeria.

 

Similarly, the age long wish of the Nigeria Police Force to have an
exclusive Pension Board like the military outfits, got a boost Thursday in
Senate with passage of a bill to that effect for second reading.

 

The passage of the bill, titled: "Police Pension Board (Establishment)
Bill," by the Senate for second reading, was sequel to lead debate presented
on it by the sponsor, Senator Binos Dauda Yaroe (PDP Adamawa South), and
exhaustive debate on it by many senators.

 

Yaroe in his lead debate said men and officers of the Nigeria Police Force
are disadvantaged by being lumped with other public agencies under the
contributory pension scheme, managed by the Pension Commission (PENCOM).

 

He said the practice was unlike what other frontline security agencies like
the Army, Navy, Airforce, Department of State Security Services (DSS,
Defence Intelligence Agency (DIA) and the National Intelligence Agency (NIA)
were currently enjoying.

 

Yaroe said a cursory look at the difference between the pension and gratuity
benefits of the Nigeria Police and its counterpart in the military, shows
that the benefit of a Deputy Superintendent of Police (DSP) under the
current pension scheme is N2.5million, while the equivalents of DSP in the
Army (Captain), Navy (Lieutenant), Air Force (Flight Lieutenant) and DSS,
(Captain), are paid N12.8million.

 

This, according to him, means that the Nigerian Police Force is receiving
equivalent of 19.5% Pension benefit of their colleagues in the sister
agencies.

 

"The broad objective of this bill, is to bring equality, equity and justice
in the payment of pensions between the police and her sister agencies while
boosting the morale of the serving personnel and equally, to enhance the
standard of living of retired personnel of the Nigerian Police Force.

 

"The inclusion and continuous stay of the NPF in PENCOM, has placed them on
the wrong end of post service emolument life despite being saddled with the
responsibility of not only protecting the lives and property of the
citizenry but also detecting, preventing and investigating crimes as well as
prosecuting offences," he said.

 

- This Day.

 

 

 

 

Rwanda's Horticulture Sector Grows Through Horti-Export Phase 2, Targets Job
Creation

Rwanda's horticulture sector holds huge potential in contributing to the
country's economic growth, specifically in increasing export revenues and
creating decent jobs for youth and women.

 

This was witnessed through the second phase of the Horti-Export project
since 2021, which was funded by GIZ under its "Special Initiative - Decent
Work for a Just Transition" which focuses on creating decent jobs and
improving working conditions of workers within beneficiaries' operations and
beyond.

 

This was emphasised by agriculture sector players on Friday, June 28, 2024,
during discussions aimed at learning from experts and peers, and leveraging
collective knowledge and experiences to address challenges and seize
opportunities in the horticulture sector.

 

 

The conference, which was hosted by IDH Rwanda, an organisation that works
with businesses, financiers, governments and civil society to realise
sustainable trade in global value chains, also aimed at celebrating the
achievements under this project.

 

ALSO READ: Horti-Export Phase 2 to further Rwanda's horticulture exports

 

Participants engaged in discussions to shape the future of the Rwandan
horticulture sector and the agriculture sector in general.

 

Dr Chantal Ingabire, the Director General of Planning at the Ministry of
Agriculture and Animal Resources, said that the ministry, guided by the
Vision 2050 of Rwanda, has embarked on a journey of agriculture
transformation, and this transformation means shifting from a subsistence to
a market-oriented sector.

 

 

Dr Ingabire noted that projects or programmes supporting agriculture should
align with the country's vision and the ministry's strategy.

 

In the Strategic Plan for Agriculture Transformation (PSTA), now in the
fifth edition, Dr Ingabire said they are targeting to boost exports and
promotion of horticultural products and private sector engagement among the
strategy's priorities.

 

ALSO READ: Rwanda's horticulture exports generate $46m in 8 months

 

"We aim to increase from 875 million US dollars to 1.9 billion US dollars in
exports by 2030. Despite the ambitious target and complex approach, we
believe it's achievable due to our plans to ensure a consistent supply of
high-quality products," she said.

 

"Given the growing demand for high value products, and most importantly, the
engagement of the private sector, we are convinced that we will reach
there."

 

She noted that smallholder farmers are part of the private sector, like
SMEs, and they must be recognised and supported in their unique needs to
help them engage in agribusiness.

 

 

"We see the horticulture value chain as a great opportunity. The development
of this value chain is considered as a great opportunity for income and job
creation, especially for youth and women. Our target in the next five years
is to create at least 600,000 jobs for youth in the agrifood systems, from
the current target of 400,000 jobs" she said.

 

Dr Thomas Kirsch, Country Director for GIZ, a company that works in Rwanda
primarily on behalf of the German Federal Ministry for Economic Cooperation
and Development, said that agriculture is a cornerstone of Rwanda's economy
as it contributes 26 per cent of the country's GDP and employs well over 60
per cent of the working age population.

 

ALSO READ: Rwanda closer to reaching $1 billion agricultural export target

 

"While the export potential has historically been dominated by coffee and
tea, recent years have shown that Rwanda's horticulture sector holds
tremendous promise.

 

"Together, this project allowed us to create over 1,000 new permanent decent
jobs, increase export revenues of our partner companies from 25 metric
tonnes to 55.6 metric tonnes per week and improve working conditions for
over 6, 300 small and medium enterprises and farm workers," he added.

 

Gerald Habimana, representing Kojyamunya Cooperative, which specialises in
growing fruits and vegetables in Nyanza, shared his experience as a
beneficiary of the project.

 

He noted that they initially farmed products traditionally targeting the
local market, but after gaining access to irrigation, they adopted modern
farming techniques and began producing for the international market.

 

"After receiving training, we began growing chili in 2019. Despite the
challenges posed by COVID-19, which initially limited our production, we
kept on growing but in small quantities."

 

With support from various partners and stakeholders, they successfully
produced 108 tonnes in the first half of the year. He expressed gratitude to
IDH Rwanda, NAEB, and MINAGRI for their continuous support in enhancing
their production capabilities.

 

Friesen-Leibbrandt, the Chief Finance Officer (CFO) of IDH, expressed her
gratitude to the attendees for their participation and for sharing their
experiences, emphasising the importance of agriculture as a crucial sector.

 

She added, "We want to create a thriving Rwandan horticulture sector,
creating decent jobs for millions of young men and women, and keeping the
sector attractive for those young people."

 

- New Times.

 

 

 

 

Africa: Women in Six African Countries to Benefit From $100m AfCFTA Fish
Project

The African Continental Free Trade Area (AfCFTA), in collaboration with the
Mastercard Foundation and TradeMark Africa, have launched a four-year
fisheries programme aimed at creating over 240,000 jobs and increasing trade
in fish and fish products by $100 million by 2028.

 

The initiative seeks to tackle the structural challenges faced by women and
youth in the fisheries sector.

 

It will provide training, improve market and finance access, strengthen
supply chain linkages, develop digital solutions, simplify trade
regulations, ensure compliance with standards, and facilitate cross-border
market access.

 

 

It stems from the AfCFTA Secretariat's collaboration with the Mastercard
Foundation, which began with the development of the AfCFTA private sector
strategy.

 

TradeMark Africa will implement the programme, targeting Small, Medium, and
Micro Enterprises (SMMEs) in Kenya, Uganda, Tanzania, the Democratic
Republic of Congo, Zambia, Nigeria, and select island states.

 

Despite the AfCFTA's potential to create a unified preferential market,
women and youth may not automatically benefit unless adequately supported.

 

AfCFTA Secretary General Wamkele Mene highlighted the importance of
inclusive economic development, emphasising that the new program aligns with
the vision of increasing intra-Africa trade and ensuring prosperity for all
Africans.

 

"The AfCFTA offers significant opportunities for entrepreneurship and job
creation in a market of 1.4 billion people. The Protocol on Women and Youth
in Trade aims to eliminate trade barriers for women and young people in
Africa. We encourage potential beneficiaries to take advantage of this
programme," Mene said.

 

 

The initiative, titled "Women and Youth Economic Empowerment in Fisheries,"
was unveiled during the 14th Council of Ministers responsible for Trade
meeting in Zanzibar.

 

Africa's fisheries sector is vital for food security and the economic
well-being of millions of households. According to the World Bank, the
industry employs at least 12 million people, the majority of whom are women
involved in processing, marketing, and post-harvest activities.

 

TradeMark Africa Deputy CEO Allen Sophia Asiimwe called the program a
crucial step towards inclusive trade, economic empowerment, and sustainable
job creation.

 

"Addressing the unique structural barriers faced by women and youth in the
fish value chain is essential. This collaborative effort will position the
sector as a pathway for economic growth, food security, and poverty
alleviation in Africa," said Ms Asiimwe.

 

Mastercard Foundation's Executive Director of Pan-African Programs, Daniel
Hailu, expressed optimism about the program's potential.

 

"This initiative can create dignified and fulfilling work opportunities for
young men and women, boost intra-African trade, and contribute to economic
growth and poverty alleviation. Together, we are building a more equitable
and sustainable future for all," Hailu said.

 

- Business Day Africa.

 

 

 

 

Africa: Historic Moment As Nigeria Wins Bid to Host Africa's $5bn Energy
Bank, Beats Ghana, S'africa, Cote d'Ivoire

After months of international politicking and massive lobbying, Nigeria
yesterday finally won the right to host the $5 billion African Energy Bank
(AEB), first of its kind on the continent.

 

Nigeria was granted the hosting rights for the bank at an extraordinary
meeting of the Council of Ministers of the African Petroleum Producers
Organisation (APPO), the umbrella body for oil-producing nations in Africa.

 

Described as a significant step for the continent's energy sector, the bank
is expected to focus investment in oil and gas projects across the continent
and is set to start operations later this year with an initial $5 billion
authorised capital base.

 

 

The bank, a partnership between Afreximbank and APPO is meant to help plug a
funding gap in Africa amid pressure on major banks from environmental groups
to shift investment dollars away from climate-warming oil and gas projects.

 

Each African member country will contribute a minimum of $83 million for a
total of around $1.5 billion, while Afreximbank and APPO as founder members
are expected to match the amount. The outstanding $2 billion will
potentially be sourced from other investors, including Middle Eastern
sovereign wealth funds, THISDAY learnt.

 

Besides, the AEB's primary objective is to fill the imminent void that the
withdrawal of funding for oil and gas projects in Africa by the traditional
financiers could cause to the industry.

 

 

African leaders have argued that with over 125 billion barrels of proven
crude oil reserves, over 600 trillion cubic feet of proven gas reserves, and
with more findings regularly being made, it does not make sense for the
continent to abandon fossil fuels when it has the largest proportion of
world's population living without access to modern energy.

 

Minister of State Petroleum Resources (Oil), Senator Heineken Lokpobiri, who
broke the news in Abuja said the decision reflected the collective ambition
to create African solutions to African energy challenges.

 

He argued that the bank will be instrumental in providing the necessary
financial backbone for energy projects that will drive growth and
development across the continent.

 

Nigeria emerged as the preferred host nation amid stiff competition from
Ghana, Benin, Algeria, South Africa, and Cote D'Ivoire, highlighting the
nation's robust energy sector and its strategic vision for the continent's
energy future.

 

 

Lokpobiri assured Nigerians and Africans at large that the establishment of
the bank would mark a transformative era in meeting energy needs on the
continent.

 

"I want to announce to Nigerians that the Council of Ministers of the
African Petroleum Producers Organization (APPO) has just approved Nigeria to
host the headquarters of the African Energy Bank.

 

" The bigger challenge we have in Africa, as oil producing in the countries
is funding. And so, a short while ago, the Council of Ministers held a
meeting and said that the time has come for Africa to find its own solutions
to financing oil and gas investments.

 

"So based on that, the idea of African Energy Bank was conceived. And we've
been talking with our counterparts from other countries, those who were
competing with us. Six countries were competing with us, plus Nigeria, six.

 

"But today, I want to thank all of them, all the members of APPO. I want to
thank Nigerians for their support. I want to specifically thank the
president and Commander-in-Chief of the Armed Forces, who gave us the
fullest of support in ensuring that we get to this point.

 

" This is not going to be a bank for Nigeria alone. It is a bank for the
entire African continent. And I want to assure Nigerians that this is one of
the biggest achievements of this administration because funding has been a
big challenge.

 

"And once we solve that problem, all this smear campaign of abandoning
fossil fuel and all that will be completely eroded. So I want to say to
Nigerians that we've been formally given. Let all of us work together to
ensure that this bank takes off on time," Lokpobiri stated.

 

Yesterday's breakthrough came after massive lobbying by Nigeria which met
with envoys of members of APPO to convince them on why the facility should
be located in Africa's biggest oil producer a few weeks ago.

 

Following Nigeria's victory in the race to host the headquarters of the
bank, operators in the country's oil and gas industry yesterday expressed
their excitement over the development.

 

Speaking exclusively to THISDAY last night, the Managing Director of
Platform Petroleum, Mr. John Anim, said locating the bank in Nigeria would
help close the funding gap in the nation's oil and gas industry.

 

Anim said: "It's a welcome development and we are excited about the news.
It's a very good one for Nigeria because there were many countries on the
continent contending for the opportunity to host the Africa Energy Bank. At
least Nigeria is better positioned to do so.

 

"Of course, energy bank is targeted at providing funding and financing for
the development of energy-related projects. Of course, you know that one of
the challenges facing the development of the resources we have as funding is
drying up all over the world due this energy transition.

 

 

"The energy bank located in Nigeria will pool resources from different
sectors to see how funds will be available to develop energy. That will make
energy to be more affordable, reliable and available to us. So kudos to
Nigeria".

 

He maintained that the energy bank would now be another institution that
would complement the efforts of Afreximbank in addressing the funding
challenge confronting the continent's energy which has led to hobbled
development of the energy resources in Africa.

 

He added that the energy bank would equally support the interventions of the
African Development Bank (AfDB) located in Ivory Coast in making funds
available to the industry.

 

On his part, a former Chairman of the Petroleum Technology Association of
Nigeria (PETAN), Mr. Bank Anthony-Okoroafor, whose marginal field is
currently under development, told THISDAY that Nigeria winning the contest
to have the headquarters of the AEB in the country was a welcome
development.

 

"It's a good thing for us to have the energy bank here in Nigeria and we
hope we would be able to make use of the benefits. We hope the can provide
finance for most of our companies that are looking for finance.

 

"But also, we need to understand the structure of the energy bank in terms
of benefitting businesses in Nigeria. A lot of things need to be explained
about how it is structured to make money available to companies for
development of energy projects in Nigeria. But overall, it's a good one.
It's a welcome development", Okoroafor said.

 

Also reacting to the development, the Nigerian Association of Petroleum
Explorationists (NAPE) described it as a significant milestone that aligns
perfectly with the association's longstanding advocacy for the establishment
of an energy-focused financial institution.

 

In a statement issued last night, the President of NAPE, Mr. Abiodun
Ogunjobi, said the association had been passionate about the continental
energy bank initiative, noting that it holds immense potential to drive
investments, facilitate access to capital, and accelerate growth in the oil,
gas, and renewable energy industries.

 

Ogunjobi posited that the African Energy Bank would be a game-changer that
would be providing specialised financing solutions, risk management tools,
and advisory services tailored to the unique needs of energy projects and
enterprises.

 

He stated: "As the President of NAPE, I am thrilled to hear that Nigeria has
been selected as the host country for the headquarters of the
much-anticipated African Energy bank.

 

"This is a significant milestone that aligns perfectly with NAPE's
longstanding advocacy for the establishment of an energy-focused financial
institution. We have been passionate about this initiative, as it holds
immense potential to drive investments, facilitate access to capital, and
accelerate growth in the oil, gas, and renewable energy industries.

 

"The African Energy bank will be a game-changer, providing specialised
financing solutions, risk management tools, and advisory services tailored
to the unique needs of energy projects and enterprises.

 

"This will undoubtedly boost investor confidence, unlock new opportunities,
and catalyse the transformation of Nigeria's energy landscape."

 

He said NAPE stands ready to fully support the endeavour and collaborate
closely with the relevant stakeholders, including the government, regulatory
bodies, and industry players.

 

According to him: "Together, we will work towards effective utilisation of
the energy bank for the benefit of the entire nation. This is a proud moment
for Nigeria, and we are excited to be part of this journey towards energy
security, sustainable development, and economic prosperity. Let's seize this
opportunity and make the most of it".

 

- This Day.

 

 

 

 

Botswana: Local Beef Set for EU Market Dominance

The Botswana beef is poised for dominance in the lucrative European Union
(EU) market bolstered by the availability of sophisticated equipment used
for testing chemical residuals in meat donated to the National Agricultural
Research and Development Institute (NARDI) courtesy of the SADC-EU support.
The equipment has been handed to Botswana through the EU-SADC Economic
Partnership Agreement Support Programme (Residues Project) which commenced
three years back at the tune of P88 million value.

 

 

Speaking during the handover ceremony in Gaborone on Thursday at the
NARDI-Botswana National Veterinary Laboratory (BNVL), Head of Cooperation -
European Union Delegation to Botswana and SADC Clement Boutillier said the
equipment will position Botswana as beef exporting hub to the EU market.

 

He said EU in particular offers huge market potential for Botswana beef and
there is indeed room for increasing the volumes of export, adding that they
have noted with excitement the efforts made by the Botswana government to
improve the beef value chain through importation of quality breeding stocks.

 

 

"We believe that with enhanced capacity for testing and quality assurance,
Botswana will be better positioned to expand its exports, create the jobs,
and drive economic growth.

 

These ideals define our cooperation that has stood firm for more than 40
years," said Boutillier confident on Botswana growth.

 

He also said the support EPA Implementation Support Programme worth P88
million is to promote export-led economic diversification and growth in
Botswana with improved employment in targeted value chains. Boutillier noted
that positioned to expand its exports, create the jobs, and drive economic
growth.

 

 

These ideals define our cooperation that has stood firm for more than 40
years," said Boutillier confident on Botswana growth.

 

 

He also said the support EPA Implementation Support Programme worth P88
million is to promote export-led economic diversification and growth in
Botswana with improved employment in targeted value chains. Boutillier noted
that national capacity in the testing, analysis and inspection of food of
animal origin to EU and other international food safety standards to meet EU
regulatory import requirements for food of animal origin and thus facilitate
exports," he added. Boutilier indicated that machines that were supplied by
EU are of a combined value of P7.2 million.

 

 

MoA

 

Meanwhile, the Minister of Agriculture (MoA) Fidelis Molao said the EU-SADC
EPA initiative is envisaged to have a positive impact on the economy of
Botswana by bolstering beef trade through the enhanced market access.

 

Molao said the beef sector has traditionally played an important role in the
lives and economy of Botswana, adding that Botswana has gone to great
lengths to control diseases of cattle and ensure the safety and quality of
the meat products for trade.

 

"NARDI is tasked with the testing of residues samples which is conducted at
BNVL. Due to lack of capacity at BNVL, residues testing has been
subcontracted in the United Kingdom since 2008," said Molao.

 

Molao also said the lack of adequate specialized equipment, delayed
maintenance of equipment and the attainment of necessary skills were the
main challenges towards developing the testing capacity.

 

For his part, NARDI CEO Professor Julius Atlhopheng stressed that the
equipment will give NARDI the capacity to conduct more tests on daily basis
and that would boost the capacity to export beef to EU.

 

Atlhopheng emphasized the importance of Botswana's beef meeting the export
standards of the EU market, adding that NARDI is much focused on value chain
development and therefore EU support will enable them to unlock fully the
beef value chain potential and enhancing quality monitoring of food etc.

 

- The Patriot.

 

 

 

 

Mozambique and Tanzania to Introduce Coastal Shipping Services

Maputo — Mozambique and Tanzania intend to introduce coastal shipping
services in order to boost trade between the two countries, undertaken by
small and medium-sized enterprises.

 

According to Mozambican President Filipe Nyusi, who was speaking to
reporters, on Wednesday, in Dar es Salaam, on the last day of his working
visit to Tanzania, in order to put this intention into practice, the
Mozambican government is due to organize a Business Forum between the two
countries in the near future to explore the commercial gains that maritime
trade will bring to the citizens of both countries.

 

"One of the things that can be thought of and that can immediately begin is
coastal traffic between the ports, from Dar es Salaam, from Mtwara [in
Tanzania] to the port of Nacala [in the northern Mozambican province of
Nampula] even passing through the port of Pemba [in Cabo Delgado province]
because this movement will bring some activity to small and medium-sized
entrepreneurs', he said.

 

 

He explained that there are Mozambican products that are in demand by
Tanzanians, such as cashew nuts, cement, zinc sheeting, just as Tanzania
also has goods that are in demand in Mozambique.

 

"There's a lot that Tanzanians need in Mozambique, they have factories that
sometimes don't have products, so we'll have to organize a more structured
business forum between Mozambique and Tanzania', he said.

 

On the other hand, delegations from Mozambique and Tanzania expressed their
concern at the significant drop in trade between the two neighboring
countries, which fell from 55.8 million dollars in 2022 to 20.1 million
dollars in 2023.

 

 

"During our discussions, we analyzed ways and means of reversing this dismal
trade situation', Nyusi said.

 

However, the President believes that there will be greater maritime
circulation between the two countries in the near future. "The stability of
the metical [the Mozambican currency] helps a lot for those who want to do
business in Mozambique. It doesn't fluctuate much', he said.

 

Nyusi, on Wednesday, also took part as a guest in the official opening
ceremony of the 48th Dar es Salaam International Trade Fair.

 

At a meeting on Tuesday in Dar es Salaam, with Mozambicans resident in
Tanzania, his audience asked Nyusi who is sponsoring and financing the
terrorist raids that have ravaged parts of Cabo Delgado province since 2017.

 

But Nyusi could not give them any names. "We don't know very well who is
financing them', he admitted, "but we are following the matter. The Defence
and Security Forces are investigating. Now we have measures against the
financing of terrorism'.

 

"Some names are appearing', he added. "They are being questioned, but we
can't confirm that they are the ones'.

 

Nyusi stressed that caution is needed in investigating those suspected of
collaborating with terrorism. He said that some evidence suggests that the
sponsors of terrorism are rich individuals living in the major cities.

 

 

 

 

Tanzania Ready to Enter the World of AI

THE Information and Communication Technologies Commission (ICTC) has
revealed that the country is ready to deploy Artificial Intelligence (IA)
whilst allaying fear among Tanzanians that the technology would not replace
human labour but increase productivity.

 

ICTC Director-General, Dr Nkundwe Mwasaga said this recently at the Tanzania
Employers Association (ATE)'s Annual General Meeting held in Dar es Salaam
when making his presentation on 'Tanzania's readiness to adopt the IA and
the future of jobs'.

 

"AI has not come to kill jobs, but it will change the way of working and
thus increase productivity," Dr Mwasaga asserted.

 

 

Furthermore, he said, "AI technology will change the way that people work,
so Tanzanians should develop their skills and learn new areas that come with
this technology."

 

According to him, those new areas (professions) include robot coordinators,
machine learning trainers, AI ethicist, chatbot designers and AI powered
healthcare technician. In showing the readiness of the country, Dr Mwasaga
said Tanzania is gearing up to honor Africa's brightest young minds in
artificial intelligence and robotics competition for the first time in
October this year.

 

He said the competition, which is supported by the African Union (AU) and
the New Partnership for Africa's Development (AU-NEPAD) in collaboration
with the ElevateAI Institute, has been instrumental in shaping a strategy to
promote the responsible use of AI across the continent.

 

"With a prize pool of 100,000 US dollars (more than 250m/-) the competition
aims to cultivate emerging talent and create a platform for young African
minds passionate about AI and robotics," he added.

 

 

Emphasizing the significance of AI, Dr Mwasaga applauded public institutions
that have embarked on the use of emerging technologies, citing an example of
the High Court of Tanzania which has begun using AI to conduct and
coordinate proceedings in various courts in the country, a move that will
expedite the delivery of justice.

 

Recently, Chief Court Administrator, Professor Elisante Ole Gabriel
reaffirmed the court's commitment to integrating technology into its
operations.

 

According to him by 2025, all of the court's work will be done online.

 

"We have become the first institution to use the AI technology, thus
proceedings that judges used to write 200 pages now they will only talk and
once they finish to speak they press a button and it starts translating in
different languages, so the work of Magistrates and Judges will be only
small in making decisions," he said.

 

He said the AI technology has commenced in several courts in the country as
a pilot project, including the High Court of Tanzania, One stop center for
probate and family matters- Temeke among others

 

- Daily News.

 

 

 

 

Ghana: Trade and Industry Minister Finds Himself in a Fix Over the 'Cement
Pricing'

Trade Minister K.T. Hammond finds himself in a fix as Speaker advises him to
withdraw 'cement pricing' LI

 

Trade and Industry Minister Mr. K.T Hammond is still embroiled in
controversy over a Legislative Instrument (LI) aimed at tackling soaring
cement prices, as it faces potential legal hurdles when the Instrument
matures after 21 days.

 

Speaker of Parliament Alban Bagbin has advised the Minister to withdraw and
revise the Instrument following fresh objections raised by Minority members
of Parliament on Wednesday.

 

Former Minority Leader Haruna Idrisu questioned the legality of the LI,
labelling it unlawful and asserting that it lacks a proper constitutional
basis. He cited Article 11 of the constitution which mandates regulations to
be grounded in a parent act, arguing that the Ghana Standards Authority Act
2022 Act 1078 Section 80 does not authorise pricing regulations, focusing
instead on standards.

 

 

While Majority Leader Alexander Afenyo-Markin held a differing view on the
Instrument's constitutionality, he promised to convey the Speaker's advice
to the Trade and Industry Minister.

 

Despite strong opposition from cement manufacturers and the Minority, the
Minister proceeded to lay the LI on Tuesday, reportedly after revisions were
made. However, this move sparked renewed objections from Minority members a
day later, suggesting premature acceptance by their Chief Whip, Governs
Kwame Agbodza.

 

Now faced with industry resistance and legal uncertainties, the Minister
must decide whether to defend the LI or heed the Speaker's advice to
withdraw and align it with the mandate of the Ghana Standards Authority.

 

Amidst the standoff, cement manufacturers have escalated prices and
boycotted a stakeholder meeting, signalling continued tension in the
industry. All eyes are on the Trade and Industry Minister's next move
following the Speaker's advise.

 

- Accra Times.

 

 

 

 

Uganda's First Batch of Directly Imported Fuel Arrives in Mombasa

Nairobi — The Kenya Ports Authority (KPA) has announced the arrival of the
first consignment of directly imported Ugandan fuel in the Port of Mombasa.

 

The consignment was received yesterday at the new Kipevu Oil Terminal by the
Principal Secretary of the State Department of Petroleum, Mohamed Liban, KPA
Managing Director, William Ruto, and Uganda Minister for Energy and Mineral
Development, Ruth Nankabirwa.

 

The PS expressed the government's commitment to guaranteeing the safety and
security of the shipment.

 

Minister Nankabirwa asserted that the government of Uganda was fully
satisfied with the quality of refined petroleum products delivered through
the Port of Mombasa.

 

 

"Dr. Nankabirwa noted the event as a milestone by the Uganda National Oil
Company, extending her gratitude to the KPA, KPC, EPRA, and the entire
Government of Kenya in ensuring the commencement of the imports," she said.

 

Earlier, the Uganda National Oil Company (UNOC), in a circular, announced
that it would stop fuel imports reliance on Kenyan oil marketing companies
and instead source them directly from the Middle East.

 

According to Captain Ruto, the operationalization of the new terminal has
significantly propelled the operation of the Port of Mombasa, highlighting
that this development will be pivotal in attracting more oil tankers calling
at the Port of Mombasa.

 

"He said that the facility had handled a total of 9,636,098 metric tons of
petroleum products in the year 2023/2024 symbolizing the efficiency of the
Port in attracting more oil tankers calling at the Port of Mombasa," he
said.

 

- Capital FM

 

 

 

 

Samsung expects profits to jump by more than 1,400%

Widespread adoption of AI has led to a surge in demand for advanced computer
chips.

Samsung Electronics expects its profits for the three months to June 2024 to
jump 15-fold compared to the same period last year.

An artificial intelligence (AI) boom has lifted the prices of advanced
chips, driving up the firm's forecast for the second quarter.

The South Korean tech giant is the world's largest maker of memory chips,
smartphones and televisions.

The announcement pushed Samsung shares up more than 2% during early trading
hours in Seoul.

The firm also reported a more than 10-fold jump in its profits for the first
three months of this year.

In this quarter, it said it is expecting its profit to rise to 10.4tn won
($7.54bn; £5.9bn), from 670bn won last year.

That surpasses analysts' forecasts of 8.8tn won, according to LSEG
SmartEstimate.

"Right now we are seeing skyrocketing demand for AI chips in data centers
and smartphones," said Marc Einstein, chief analyst at Tokyo-based research
and advisory firm ITR Corporation.

Optimism about AI is one reason for the broader market rally over the last
year, which pushed the S&P 500 and the Nasdaq in the United States to new
records on Wednesday.

The market value of chip-making giant Nvidia surged past $3tn last month,
briefly holding the top spot as the world's most valuable company.

"The AI boom which massively boosted Nvidia is also boosting Samsung's
earnings and indeed those of the entire sector," Mr Einstein added.

Samsung Electronics is the flagship unit of South Korean conglomerate
Samsung Group.

Next week, the tech company faces a possible three-day strike, which is
expected to start on Monday. A union of workers is demanding a more
transparent system for bonuses and time off.-BBC

 

 

 

 

EU hits Chinese electric cars with new tariffs

MG owner SAIC is one the car makers hardest hit by the new tariffs

The European Union has raised tariffs on Chinese electric vehicles, as
Brussels takes action to protect the bloc's motor industry.

The new tariffs on individual manufactures range from 17.4% to 37.6%, which
is on top of a 10% duty that was already in place for all electric cars
imported from China.

This could raise the price of EVs across the EU, making them less affordable
for European consumers.

The move is also a major blow for Beijing, which is already in a trade war
with Washington. The EU is the largest overseas market for China’s EV
industry and the country is counting on high-tech products to help revive
its flagging economy.

EU officials say this rise in imports was boosted by "unfair subsidisation",
which allowed China-made EVs to be sold at much lower prices than ones
produced in the bloc.

China has denied this repeated allegation from the US and the EU: Beijing is
subsidising excess production to flood western markets with cheap imports.

The new charges come into effect on Friday but are currently provisional
while the investigation into Chinese state support for the country's EV
makers continues. They are not likely to be imposed until later this year.

So who are the potential winners and losers in this trade dispute?

It is not just Chinese brands that are affected by the move. Western firms
that make cars in China have also come under scrutiny by Brussels.

By imposing tariffs, Brussels says it is attempting to correct what it sees
as a distorted market. The EU’s decision may seem tame compared to a recent
US move to raise its total tariffs to 100%, but it could be far more
consequential. Chinese EVs are a relatively rare sight on US roads but much
more common in the EU.

The number of EVs sold by Chinese brands across the EU rose from just 0.4%
of the total EV market in 2019 to almost 8% last year, according to figures
from the influential Brussels-based green group Transport and Environment
(T&E).

Patryk Krupcala, an architect from Poland, who expects to take delivery of a
brand new China-made MG4 in two weeks told the BBC: "I have chosen an MG4
because it is quite cheap. It is a really fast car and it's a rear-wheel
drive like my previous car which was BMW E46."

T&E projects firms like BYD and Shanghai Automotive Industry Corporation
(SAIC), the Chinese owner of the formerly British brand MG, could reach a
market share of 20% by 2027.

But not all Chinese-made EVs will be hit equally by the new tariffs.

 

Winners and losers

They were calculated based on estimates of how much state aid each firm
received, while companies that cooperated with the probe saw the duties they
were hit with cut. Based on these criteria, the European Commission has set
individual duties on three Chinese EV brands - SAIC, BYD and Geely.

SAIC has been hit with the highest new tariff of 37.6%. State-owned SAIC is
the Chinese partner of Volkswagen and General Motors. It also owns MG, which
produces one of the top-selling EVs in Europe, the MG4.

"The price for not cooperating is a severe blow to SAIC, which gets 15.4% of
its global revenues from EV sales in Europe," says Rhodium Group, an
independent research firm.

For Mr Krupcala, who bought his MG4 before the tariffs hit, the EU's move
does not matter much: "I don't really care about the tariffs. I have a nice
car with a seven-year warranty."

For China's largest EV maker, BYD, it is a different story, as it faces an
extra duty of 17.4% on the vehicles it ships from China to the EU.

That is the lowest increase and one that, according to research by Dutch
bank ING will "give the automaker an advantage in the European market".

Luís Filipe Costa, an insurance industry executive from Portugal, who has
just bought a BYD Seal, says price was one of the deciding factors when he
chose his new car.

But, he added that even if the European Commission's new tariffs had already
been in place he would still have gone with BYD because "other brands would
also be affected".

Portuguese business executive Luis Costa standing next to his BYD Seal.

Portuguese executive Luís Filipe Costa chose a BYD Seal over Western brands

 

Geely, which owns Sweden's Volvo, will see an additional tariff of 19.9%.

According to Spanish bank BBVA, the company will "still export to the EU
profitably" but "its profits will be significantly reduced."

Other firms, including European car makers operating factories in China or
through joint ventures, will also have to pay more to bring electric cars
into the EU.

Those deemed to have cooperated with the probe will face an extra duty of
20.8%, while those EU investigators see as non-cooperative will pay the
higher tariff of 37.6%.

US-based Tesla, which is the biggest exporter of electric vehicles from
China to Europe, has asked for an individually calculated rate which EU
officials have said will be determined at the end of the investigation.

Still, the firm has posted a notice on some of its European websites, that
prices for its Shanghai-made Model 3 could increase due to the new tariffs.

Last year, businessman Lars Koopmann, who lives in the motor industry
powerhouse that is Germany, bought a China-made Tesla Model Y.

Mr Koopmann says he particularly enjoyed the car's high-tech features, such
as the large touch screen.

"Price was also a big factor that set it apart from premium German brands,"
Mr Koopmann says.

"If the tariffs had been in place, they would have always affected my
decision."

Localising production

While some China-based exporters will be better off than others, it is clear
from the European Commission's plans that all of them will be facing higher
costs when shipping to Europe.

The hardest hit "will be SAIC brands like MG... as well as joint ventures
between foreign and Chinese firms in China, which often have narrower profit
margins on the cars they export to Europe," Rhodium says.

"The biggest beneficiaries of the duties are European-based producers with
limited China exposure, such as Renault."

In other words, the duties are likely to do as the EU hopes they would - cut
the number of Chinese-made EVs coming into the region, easing pressure on
local manufacturers.

There is also another result of the move - some big Chinese EV firms are
planning to build production capacity in the EU, which could help shield
them from the new duties.

Work on BYD's first European factory is well under way in Hungary and
production is expected to begin there by the end of next year.

Chinese car maker, Chery, has recently signed a joint-venture deal with a
Spanish firm that will see the two companies making EVs and other types of
cars in Barcelona.

And, SAIC is looking to secure a site for its first factory in Europe.

"It’s a well architected plan to encourage companies to shift their
investments to the EU, instead of relying on exporting from China," said
Bill Russo, from Shanghai-based consulting group Automobility.

"The fact that some companies are taxed higher than others is a signal that
they will make the penalty higher or lower based on the degree the company
is committed to investing in the EU."

 

The West says China makes too much. Its workers disagree

The Chinese government placed its bet on EVs early on.

According to the Center for Strategic and International Studies, between
2009 and 2023 more than $230bn (£181bn) of state support was pumped into the
industry.

As a result its EV industry has become world leading.

The International Energy Agency says China accounted for more than 60% of
the world's new electric car sales last year.

While the vast majority of EVs produced in China are sold domestically,
overseas markets, and particularly Europe, have become increasingly
important.

"Exports are the profitable segment," said Rhodium's senior analyst, Gregor
Sebastian.

"The EU tariffs will hurt China’s EV industry because these exports help
recover losses from China's domestic price war."

Meanwhile, the world's second largest economy is struggling to shake off an
economic slowdown in the wake of the pandemic and an ongoing property
crisis.

Faced with lower domestic consumption and investment levels, China is trying
to "export its way out" of the slump, says Alicia Garcia-Herrero, chief
economist for the Asia Pacific region at investment bank Natixis.

And Beijing is placing yet another large bet on EVs by making the industry
one of its “New Three” growth drivers - a government blueprint for reviving
the economy that also relies on exports of batteries and renewable energy.

However, with major markets like the US, the EU and others imposing tariffs
and other barriers, it looks like China's latest gamble could deepen trade
tensions with some of its largest trading partners.BBC

 

 

 

Could the 'flying piano' help transform air cargo?

US start-up Aerolane is seeking the secret to airborne surfing.

 

Geese already know how to do it. When you see them flying in a v-formation,
they are surfing on the air currents created by formation members ahead and
around them.

At an airfield in Texas, Todd Graetz is hoping to use that concept to
disrupt the market for air cargo.

Aerolane has been mimicking the tricks used by migrating birds, aided by
modified planes towed into the air by another aircraft.

Smoke released from the leading plane allowed cameras installed in the towed
aircraft to capture vortices in the air that a glider can exploit to stay
aloft.

Their latest test aircraft is known as the “flying piano” because of its
poor gliding characteristics.

Its twin engines idle for electrical power while it glides along with
propellers turning for purely aerodynamic purposes.

Other tests have measured the tension in the towing line.

They spotted when the line went slack, indicating the glider is surfing
along on currents generated by the aircraft ahead.

 

Aerolane's plan is to feed all this data into a program that will guide an
unmanned cargo plane through wakes and turbulence to exploit the
possibilities of gliding long distances without burning fuel.

One or more such cargo planes could be towed by a jet, also carrying cargo,
to their destination where they would land autonomously.

The only fuel costs would come from supplying the towing aircraft’s engines.

In theory this should work like a truck pulling a trailer, with air currents
doing much of the heavy lifting. This is what Mr Graetz calls “a combination
of gliding and surfing”.

The same idea occurred to Airbus, which tested the technique in 2021 with
two A350 airliners flying 3km (1.9 miles) apart across the Atlantic.

Although the aircraft were not connected by a tow line, the experiment saw
one aircraft winning an uplift from the lead A350’s wake to reduce CO2
emissions and fuel burn.

Airbus An Airbus A350 flying behind the contrail of another jet in blue
skiesAirbus

Airbus has experimented with flying a jet in the wake of another to conserve
fuel

 

Mr Graetz, a pilot with 12 years’ experience, founded Aerolane with Gur
Kimchi, a veteran of Amazon’s drone delivery project, on the basis that
“there has got to be a better way to get more out of existing aircraft".

The project has raised eyebrows among experienced pilots. Flying large
gliders in commercial airspace means meeting strict flight safety
regulations.

For instance, the towing aircraft has to be confident it can release the tow
line at any point in the flight, safe in the knowledge that the auto-piloted
glider can make it down to a runway without dropping on top of the local
population.

Aerolane says a small electric motor driving a propeller will act as a
safety net on their cargo gliders, giving them enough juice to go around
again if a landing looks wrong or to divert to another location close by.

Aerolane An artist's impression of how a cargo glider might look, with a
chunky body and thin wingsAerolane

Aerolane hopes that a glider something like this might one day carry air
freight

 

Mr Graetz counters that Aerolane employs active commercial pilots who are
hard-headed about the practicalities of the project.

“We’ve engaged outside advisors to be devil’s advocates," he adds.

He says big freight businesses are interested in anything that allows them
to cut the cost per delivery.

On top of the cost of fuel, air freight firms also have to think about jet
engine emissions and a shortage of pilots.

James Earl, a former RAF helicopter pilot and aviation consultant, thinks Mr
Graetz may just be onto something.

“It stands to reason that gains can be had by slipstreaming and combining
efforts in the sky. And any innovation in the cargo space is good.”

However, he cautions that public acceptance of unpowered cargo flights over
built-up areas is another thing entirely.

“It should have a good gliding range to get to a landing spot in the event
of a major failure by the tow plane. Whether that can be effectively
communicated to the public is another matter though.”

Fred Lopez Fred Lopez standing in frong of a combat jet, dressed in civilian
clothesFred Lopez

Fred Lopez was initially sceptical about Aerolane's prospects

 

Regulators are likely to be cautious as well, particularly in the US, where
the Federal Aviation Authority is under pressure after serious problems with
Boeing aircraft.

Mr Graetz replies that his team has complied with every request from the FAA
so far. “The FAA has always been super risk averse. That’s their business!”

Fred Lopez spent 36 years in aviation operations at cargo giant UPS. As he
says, he’s put “my entire adult life” into working out the most
cost-effective way to operate an air freight business.

Mr Lopez admits he was profoundly sceptical about cargo gliders when
Aerolane first approached him. But the prospect of serious fuel savings won
him over and now he sits on their advisory board.

Cutting fuel costs is an obsession in civil aviation. When the upturned
wing-tips we see out of a cabin window became a standard design feature
airlines cut fuel costs by around 5%.

But gliders only consume the fuel required by their tow plane. If that too
is a cargo aircraft, a pair of gliders drawn by one jet represents a
significant reduction in fuel consumption on a large shipment.

The initial Aerolane design uses their autopilot plus what Mr Lopez terms a
human “safety pilot”. This should make certification from the FAA easier.

“Aerolane is not trying to change everything at one go” he says.

Their ultimate goal is autonomous operation using AI, or as Mr Lopez puts it
“to pull the pilot out of the seat".

And, if the flying piano can surf, then who knows what's possible?-BBC

 

 

 

 

 

 

 

 

 


 


 


 Invest Wisely!

Bulls n Bears 

 

Cellphone:         +263 71 944 1674 | +27 79 993 5557 

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INVESTORS DIARY 2024

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


 

 

 

 

 


 

 

 

 

 


Companies under Cautionary

 

 

 


 

 

 

 


CBZH

GetBucks

EcoCash

 


Padenga

Econet

RTG

 


Fidelity

TSL

FMHL

 


 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

 


DISCLAIMER: This report has been prepared by Bulls ‘n Bears, a division of
Faith Capital (Pvt) Ltd for general information purposes only and does not
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opinions expressed and recommendations made are subject to change without
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companies typically involve a higher degree of risk and more volatility than
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any companies referred to in this report. Other  Indices quoted herein are
for guideline purposes only and d from third parties.

 


 

 


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<mailto:bulls at bullszimbabwe.com> bulls at bullszimbabwe.com Tel: +27 79 993
5557 | +263 71 944 1674

 


 

 

 

 

 

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