THE ‘NEW’ SCRAMBLE FOR AFRICA

Amy Pate, Ph.D.Senior Researcher (Political Instability)START, University of Maryland

December 11, 2012

THE ORIGINAL SCRAMBLE

Key actors? European powers, esp. Great Britain and

France Key strategies?

Military expansion Commercial expansion Direct control of territory

Key interests? Resources Markets Leverage for European politics

THE ‘NEW’ SCRAMBLE

Key actors? United States China Russia India Brazil Australia EU Major African countries

THE ‘NEW’ SCRAMBLE

Key strategies? Foreign direct investment Foreign aid Both state-led AND private Partnerships with national elites

THE ‘NEW’ SCRAMBLE

Key interests? Resources

Mineral Agricultural

Markets (secondary) Diplomatic leverage Security

AFRICAN RESOURCES

42% bauxite 38% uranium 42% gold 73% platinum 88% diamonds 10% oil

AFRICAN RESOURCES

60% arable, undeveloped, land

Multiple crops possible

CHINA’S RESOURCE INVESTMENTS

Resources for infrastructure Chinese gets access to mineral resources Government gains infrastructure (roads,

hospitals, airports, etc), although frequently through contracts to Chinese firms for the work

Lack of conditionalities (common for Western investment/loans)

Concentrated in a few countries

http://www.businessinsider.com/map-chinese-investments-in-africa-2012-8

DISCUSSION

The Chinese Export-Import Bank (EXIM) wants to invest in the development of a mine, located in a region where an ethnic minority lives, in a moderately unstable African country.

What are the potential costs/benefits for the following: Local community where mine would be located National government China

LAND INVESTMENTCountry %age of Agricultural Area

DR Congo 48.8%

Mozambique 21.1%

Uganda 14.6%

Zambia 8.8%

Ethiopia 8.2%

Madagascar 6.7%

Malawi 6.2%

Mali 6.1%

Senegal 5.9%

Tanzania 5%

Sudan 2.3%

Nigeria 1%

Ghana 0.6%

DISCUSSION

What are the implications of foreign investors buying up agricultural land?

ADDITIONAL RESOURCES

Six-part series by Geoffrey York, The Globe and Mail.

Padraig Carmody. 2011. The New Scramble for Africa

Oxfam. “Our land, Our lives.” “Minerals

and Africa’s Development The International Study Group Report on Africa’s Mineral Regimes”