Business

Economic cooperation of countries, sometimes called the policy of cooperation with foreign countries, consists of forming economic relations with foreign nations by direct and indirect means. This includes trade in goods, trade in services and capital turnover.

The aim of economic cooperation is most of all to increase the share of the national economy in the international division of labor, to achieve the turnover of size and structure (geographic and substantive) established by the state, to ensure optimal conditions for transactions, to increase the revenue from services, to improve the trade balance etc.

Sub-Saharan Africa is an interesting market for entrepreneurs not only from Poland, but from all over the World. This region, thanks to the discoveries of many natural resources, has become a rapidly growing economy with steady growing GDP. With a balanced policy and by reinvesting revenues from sales of raw materials into the development of the infrastructure, by processing raw materials and by developing the services sector, the region has a chance of long-term growth, offering a receptive market and providing raw materials for various branches of Polish industry.

Polish businesses having products of competitive quality, with goods from Western Europe and America of a lower price and with products of better quality than the Asian goods are able to actually deliver many of theirs products, capital goods, machinery and equipment. In many cases, an important element of competitive advantage is to offer a package of medium and long term financing, based on loans secured by Export Credit Insurance Corporation policies. Exporters from Europe, China etc. have successfully conquered those markets by offering a long-term financing for the exported goods. Poland is not a country of a global importance, such as USA and China, Poland did not have colonies in Africa like France, England or Belgium did and it lacks historical relations with the African countries. However, sometimes those apparent advantages of the competitors can be turned into a success of our businesses and let them effectively compete on the Sub-Saharan African markets.
For comparison, China has achieved ​​the vast penetration of the African market by increasing the trade with this area from about 1 billion US dollars in 1980 to about 10 billion US dollars in 2000. Currently, the trade has reached over 200 billion USD. What allowed this expansive development was the size of Chinese economy in conjunction with the financing that was offered at the government level and by the state-owned banks. For many years now, all of the leaders of African countries have been receiving invitations to the annual meetings of the top Chinese authorities. France, which historically had very close political and economic relations with this region, is trying to get back to African markets in a similar way. The United States are pursuing its politics as rapidly, trying to compete for access to raw materials and markets.

In many places in Africa you can notice an exhaustion of the relations with China or the countries that had colonized this region. The strain of those relations and willingness to diversity the investors alongside with the interesting variety that is offered by Polish manufacturers (high quality combined with good prices) could give a real chance to Polish businesses.
The industry of machine manufacturing, including the mining machines, taking into account the considerable dependence on the natural resources of the region, seems to be one of those chances. The production of agricultural machinery, harvesters, tractors is another example where attractive products manufactured in Poland can meet up with a demand. Manufacture of ships, light-weighted planes, helicopters or buses also has an offer that may be found interesting in the region. African countries’ willingness to set up a production and processing raw materials is an area for the building industry to offer its services of constructing the infrastructure.

In Sub-Saharan Africa you can practically find the entire table of Mendeleev: there’s platinum (approximately 80% of the world’s resources), chromium (80%), phosphates (over 70%), gold, oil, uranium, copper, tin, bauxite etc. The raw materials require, of course, significant investment and competing with global concerns, but with a selective attitude it is possible to gain access to the raw materials of relatively attractive prices (with all infrastructural constraints).

Due to technical deficiencies and underdeveloped infrastructure, Africa is a huge field of possibilities for Polish companies and professionals.
Within the activity of Omenaa Foundation, we intend to promote Polish entrepreneurs, to help them establish valuable contacts and develop their business in Africa.

We invite companies who wish to develop in sub-Saharan Africa to cooperate with us, we aim to develop Polish business and Polish brands.