New Mutual Investment Opportunities in China’s Belt and Road Initiative (BRI) in Africa
What is Belt and Road Initiative (BRI)?
The Belt and Road Initiative (BRI) is a global infrastructure development strategy that was founded by China in 2013 and aims to invest in around 150 countries and international organizations.
BRI is a Major Country Diplomacy and aims to take the lead on a wider global scale for growth and development of China.
149 countries have been listed as parties to the BRI since August 2022 and more countries are expected to join including:
- Kenya
- Nigeria
- Egypt
- Djibouti
- Ethiopia
- Sudan
- Uganda
In this speech we will briefly discuss this project in the above-mentioned countries.
Why Africa Imports most of its bitumen from the Middle East?
You may wonder why most of African bitumen imports are from the Middle East while there are European countries and Bahrain.
Pricing:
Iran price is more feasible as it is 20% lower down the global price of bitumen due to political and economic restrictions.
Shipping:
European countries can supply the northern parts of Africa easily but it will be expensive to supply Eastern and Southern parts because the vessel has to pass the Suez Canal to reach to the destination.
Bahrain, though, has a feasible shipping price, it does not produce enough bitumen to supply Africa. UAE, on the other hand, has both enough bitumen and feasible shipping. Jebel Ali port is the second port in the world with high congestion and constant service.
Packing:
Europe and Bahrain prefer bulk bitumen therefore they almost don’t have drum. While Iran and UAE have all the packings including bulk, new steel drum and jumbo bags.
To supply bitumen to the central parts of Africa, the bitumen should be transited. Yet there is not enough infrastructure for transiting bulk bitumen and it will be much easier to move and send bitumen in drums or jumbo bags.
Why Infinity Galaxy?
Clean and clear Documentation is the most important part of exports. Several African Markets also require special documents for the custom clearance. Infinity Galaxy’s team has been in the African markets for about 10 years.
Our experts observe every bit of detail in the documents to ensure that the document packs are as they should to be. Our finance department also manage all the payments with the accounts in Dubai and Turkey to minimize any risk in the payments.
Our mission is to assist our customers to have the best purchasing experience, we publish weekly market analyses for our clients to help them buy at the best time and condition.
