Tag: July 2010

African Trade Hub in China Brings Mutual Profits

Post author By David South Consulting
Post date 26/10/2022
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By David South, Development Challenges, South-South Solutions

South-South trade is the great economic success story of the past decade. World Trade Organization (WTO) (www.wto.org) figures show South-South trade accounted for 16.4 percent of the US $14 trillion in total world exports in 2007, up from 11.5 percent of the total in 2000. While the global economic crisis has slowed things down, the overall trend is firmly established.

Trade between China and Africa has surged over the past decade since China joined the WTO in 2001, from around US $10 billion in 2000 to US $73.3 billion in 2007, registering a year-on-year increase of 32.2 percent. In 2008, it soared by 44.1 percent to reach a record high of US $106.84 billion, registering a year-on-year increase of 45.1 percent, according to Zhang Yongpeng of the Institute for West Asian and African Studies (IWAAS).

In the southern Chinese city of Guangzhou (http://en.wikipedia.org/wiki/Guangzhou) , a trading hub nicknamed “Africa Town” has emerged since 1998. A conglomeration of buildings around the Xiaobei road in Yuexiu district of the city, it has been equated to the famous Chungking Mansions of Hong Kong (http://en.wikipedia.org/wiki/Chungking_Mansions) . There are officially 20,000 African traders and entrepreneurs in the city of 18 million, but unofficial estimates put the number at more than 100,000. This African trading hub has emerged to the benefit of both the Chinese and Africans. It is a coming together of small traders matching Africa’s strong demand for consumer goods with China’s manufacturing powerhouse.

The traders export generators, toys, mopeds, construction equipment and other products back to Africa. The traders act as go-betweens, bringing their local knowledge of African market demands to the Chinese manufacturers.

Citizens from over 19 African countries are represented, the majority from Nigeria.

“Almost 90 per cent of goods in African markets come from China, Thailand and Indonesia,” Sultane Barry, president of Guangzhou’s Guinean community, told the Globe and Mail newspaper.

Barry has an entire floor for business in a 35-storey building packed with shops, offices, freight-forwarding companies, African restaurants, hairdressers and furnished apartments for rent by the week.

“We’re not here for fun,” said Ibrahim Kader Traore, an entrepreneur from Ivory Coast. “We work hard and do well. In Abidjan, people still swear by France, where you might be able to save US $13,000 over 25 years; in China, you can have US $130,000 in just five years.”

A trading success story, the hub has run into problems over visas and the upcoming November Asian Games in Guangzhou, which is increasing identity checks.

“I sell more than 50 per cent of the output of my brother-in-law’s TV factory to Africans,” one saleswoman told the Globe and Mail. “We need them and I’m worried there are going to be fewer of them.”

Brought together by trade and mutual interest, both communities still have much to learn about each other. Relations have had their ups and downs and Africans can face discrimination.

But the trading relationship is teaching both sides important lessons. “The arrival of the Africans taught the Chinese how to look for business opportunities,” said Barry. “The secretaries we had here didn’t speak a word of English. Our presence started a craze for learning languages: English and French. The Chinese didn’t know the basic rules of international trade. They knew nothing about documentary credit. They paid for everything cash in hand.

“The Chinese people will soon realize that it’s better for business to deal directly with ordinary Africans.”

And the pressure is on to see who will keep trading relations with Africa positive. “The door to the Chinese market has only opened a crack, mostly because visa requirements are so tough,” said Zango, a trader from Mali.

Published: July 2010

Resources

1) A Financial Times report on Africa-China trade in 2010. Website: http://www.ft.com/reports/africa-china-trade-2010

2) An article about “Africa Town” from the official Guangzhou website. Website: http://www.lifeofguangzhou.com

3) Trade Winds: Guangzhou’s African Community by Graeme Nicol is a photo book about the community. Website: http://graemenicol.com/?page_id=115

Afghanistan’s Juicy Solution to Drug Trade

African Online Supermarket Set to Boost Trade

Chinese Trade in Angola Helps Recovery

Djibouti Re-shapes Itself as African Trade Hub

Global South Trade Boosted with Increasing China-Africa Trade in 2013

South-South Trade Helping Countries During Economic Crisis

Trade to Benefit the Poor Up in 2006 and to Grow in 2007

Women Empowered by Fair Trade Manufacturer

Women Mastering Trade Rules

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP’s South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South’s innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.

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ORCID iD: https://orcid.org/0000-0001-5311-1052.

© David South Consulting 2022

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Cities For All Shows How The World’s Poor Are Building Ties Across The Global South

Post author By David South Consulting
Post date 21/10/2021
No Comments on Cities For All Shows How The World’s Poor Are Building Ties Across The Global South

By David South, Development Challenges, South-South Solutions

SOUTH-SOUTH CASE STUDY

Cities for All, recently published by Habitat International Coalition, draws together thinkers and innovators in a compilation of case studies addressing the challenges of inclusive cities in the global South. The book seeks to articulate experiences of South-South cooperation and enhance the links between different regions. David South interviews the co-editor, Charlotte Mathivet.

Published: 24 August 2010

Global Urbanist (http://globalurbanist.com/2010/08/24/cities-for-all-shows-how-the-worlds-poor-are-building-ties-across-the-global-south)

The largest movements of people in human history are occurring right now, as vast populations relocate to urban and semi-urban areas in pursuit of a better quality of life, or because life has become intolerable where they currently live. In Arrival City, Canadian journalist Doug Saunders finds that this movement —

— is creating new urban spaces that are this century’s focal points of conflict and change — centres of febrile settlement that will reshape our cities and reconfigure our economies. These Arrival Cities are where the next great economic and cultural boom will be born, or where the next explosion of violence will occur.

For most, this process is chaotic, unplanned, and fraught with risk, hardship, poverty and stress; yet, because so many are also able to dramatically improve their life chances, many millions will continue to follow this path.

The speed of urbanisation makes the question of how to build liveable cities increasingly urgent. A new book hopes to help people get closer to solutions to these vexing problems.

Cities for All: proposals and experiences towards the right to the city, published by Habitat International Coalition (HIC) in Santiago, Chile, and co-edited by HIC’s Ana Sugranyes and Charlotte Mathivet, was launched during this year’s World Urban Forum in Rio de Janeiro, and highlights ways in which urban residents across the South are defining how they would like their cities to evolve, refusing to accept social exclusion and demanding a “right to the city”.

The book is published in three languages — English, Spanish and Portuguese.

“A lot of social initiatives based on the right to the city are coming from these ‘new cities of the South'”, says Mathivet. “The book highlights original social initiatives: protests and organising of the urban poor, such as the pavement dwellers’ movements in Mumbai where people with nothing, living on the pavements of a very big city, organise themselves to struggle for their collective rights, just as the park dwellers did in Osaka.”

“Another innovative experience came from the children’s workshops in Santiago, aimed at including children in urban planning in order to make a children-friendly city.”

The cities of Africa and Asia are growing by a million peole a week. If current trends continue, mega-cities and sprawling slums will be the hallmarks of this majority urban world. In sub-Saharan Africa, 72 per cent of the population lives in slum conditions. And by 2015, there will be 332 million slum-dwellers in Africa, with slums growing at twice the speed of cities.

“The consequences have produced a deeper gap between the city and countryside, and also within the city between the rich and poor,” said Mathivet.

Cities for All details African experiences from Nigeria, Cameroon, Ghana and South Africa. Mathivet believes “one common topic affecting these countries is the problem of forced evictions, due to the rural exodus and growing urbanisation. It is therefore very important for the right to the city to include a perspective of linking the struggle between rural and urban movements, because problems in cities and the countryside are closely connected, especially in Africa.”

And the current surge to cities in Africa raises the issue of what type of development will occur. The book argues that cities aren’t automatically a solution to the plight of the poor. Cities need to be worked on, and many of the problems faced by the South’s fast-growing cities stem from a power imbalance.

“A very important thing to realise is that a city life is not a synonym for a better life or a miracle solution for poor people, nor for the ‘capitalist’ way of life,” says Mathivet. “African nations and their people have to find effective solutions on their own to overcome poverty — which they are doing — without copying development models from the North.”

“In my understanding, urban growth is not haphazard or poorly planned in ‘developing’ countries. Rather, I think that urban ‘planning’ or lack of planning is done with a goal of generating more benefits for powerful interests and fewer benefits for poor people.”

The book argues for a two-way relationship with the people who make up the majority of these fast-growing cities. And it says each city will have to customise its solutions.

“It is very difficult to apply social innovations to other countries without understanding the history and the social, economic, cultural and political context,” says Mathivet.

“Hope comes from learning of different experiences. For example, if a social movement in South Africa succsesfully avoided an eviction from a slum, it may help another social movement in Brazil to strengthen its own strategy. One of the book’s goals was to articulate the various South-South experiences and enhance the links between different regions.”

In one chapter, contributor David Harvey argues that “the right to the city is not simply the right to what already exists in the city; it is also the right to transform the city into something radically different.”

“The right to the city itself will not stop the over-whelming phenomenon of urban growth,” believes Mathivet. “The consequences produced by implementing this collective right would rather change people’s daily lives by achieving more equality in cities as well as in the relationship between the city and coutnryside in regards to growing urban populations.”

Cities for All highlights the existence of ‘cities without citizens’: the vast numbers of slum dwellers and the poor who live mostly ignored by authorities (unless they are in the way of commercial development).

“The expression ‘cities without citizens’ means the exact opposite of the right to the city proposal,” Mathivet says. “This alternative to the present global paradigm proposes to allow people to participate in the process of creating the city in terms of urban planning, decision-making, budget, public policies, etc. It is possible for people to influence their own lives and the community.”

“There is no miracle solution, and the right to the city is a banner around which people can organise themselves to articulate their struggles and demand social justice.”

The book concludes by arguing for the advantages of a ‘slow city’ approach. But how does this work in fast-growing urban areas where people are looking to quickly escape poverty, or are seeking rapid improvements to their quality oflife? Would they not find a slow city approach frustrating?

Mathivet believes a leap of imagination is required: “Cities for All is not intended to be a recipe book. The slow city experience was chosen as a conclusion to the book in order to present a different approach, but not to propose a clear solution to follow. Concluding with the slow city experience, which is radically different and difficult to apply in African and Asian cities, where the spread of urbanisation is uncontrollable and leads to major problems, emphasises that the fight for the right to the city involves imagination and the desire for another possible city …

“Moreover, slow city experiences have been developed otuside of wealthy European countries, for example in some small Argentine and South Korean cities.”

And with the coming decade unfolding, what will cities in the South be like? Are we on the cusp of a new, dark age akin to the misery of Europe’s cities during the industrial revolution?

Mathivet acknowledges that “we can see a dark future where the interests of the most vulnerable will not be the priority. However, looking at the experiences by and for the people, we cannot consider them poor, but rich of knowledge, cognitive capital, and with courage to change their lives and their communities, through self-management and autonomy.

“Cities for All aimed to show this richness … the challenges are for civil society to deepen links between different movements to build a stronger global strategy, during events like the next World Social Forum in Dakar, February 2011.”

David South is an international development consultant and writer. He writes the Development Challenges: South-South solutions e-newsletter for UNDP’s Special Unit for South-South Cooperation. He led the Communications Office for the UN in Ulaanbaatar from 1997 to 1999 and has worked for the UN in South Africa, Turkmenistan and Ukraine.

The Special Unit for South-South Cooperation is mandated to promote, coordinate and support South-South and triangular cooperation on a global and UN-systemwide basis.

This story is adapted from a piece in the July 2010 edition of Development Challenges.

http://globalurbanist.com/2010/08/24/cities-for-all-shows-how-the-worlds-poor-are-building-ties-across-the-global-south

https://www.hic-net.org/es/hic-book-cities-for-all-shows-how-the-worlds-poor-are-building-ties-across-the-global-south/

This work is licensed under a
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ORCID iD: https://orcid.org/0000-0001-5311-1052.

© David South Consulting 2021

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Innovation in Growing Cities to Prevent Social Exclusion

Post author By David South Consulting
Post date 14/12/2020
No Comments on Innovation in Growing Cities to Prevent Social Exclusion

By David South, Development Challenges, South-South Solutions

SOUTH-SOUTH CASE STUDY

As of 2007, the world became a majority urban place. The largest movements of people in human history are occurring right now, as vast populations relocate to urban and semi-urban areas in pursuit of a better quality of life, or because life has become intolerable where they currently live.

A new book launched during this year’s World Urban Forum in Rio de Janeiro, Brazil highlights ways in which people across the South are shaping how their cities evolve, insisting that they will not accept social exclusion and demanding a “right to the city.”

“A lot of social initiatives based on the right to the city are coming from these ‘new cities of the South,’ said one of the book’s editors, Charlotte Mathivet of Habitat International Coalition in Santiago, Chile. “The book highlights original social initiatives: protests and organizing of the urban poor, such as the pavement dwellers’ movements in Mumbai, India where people with nothing, living on the pavements of a very big city, organize themselves to struggle for their collective rights, just as the park dwellers did in Osaka, Japan.”

This first edition of Cities for All: Proposals and Experiences towards the Right to the City, comes in three languages – English (http://www.hic-net.org/document.php?pid=3399) , Spanish ( http://www.hic-net.org/document.php?pid=3400) and Portuguese (http://www.hic-net.org/document.php?pid=3401) – is intended to inspire people to tackle positively this fast-changing urban world.

The book’s chapters span an eclectic mix of topics, from democracy in the world’s future cities to experiences in Africa’s cities, to how the 2008 Beijing Olympics affected the metropolis, to ways of involving children in urban planning.

One innovative case study included in the book is the children’s workshops in Santiago, Chile, which aim to make a more child-friendly city by including children in the planning process.

One example of the success of a child-friendly approach has been the work of the former mayor of Bogotá, Colombia, Enrique Peñalosa (http://www.pps.org/epenalosa-2/) . As mayor of the city of over 6.6 million people from 1998 to 2001, he put children to the fore in planning.

“In Bogotá, our goal was to make a city for all the children,” he told Yes! magazine. “The measure of a good city is one where a child on a tricycle or bicycle can safely go anywhere. If a city is good for children, it will be good for everybody else. Over the last 80 years we have been making cities much more for cars’ mobility than for children’s happiness.”

His term in office saw the establishment or refurbishing of 1,200 parks and playgrounds, the building of three large and 10 neighbourhood libraries and the opening of 100 nurseries for children under five. He also oversaw the creation of 300 kilometres of bike lanes, the largest such network in the developing world, created the world’s longest pedestrian street, at 17 kilometres, and turned land earmarked for an eight-lane highway into a 45 kilometre green belt path.

Cities for All’s publisher, Habitat International Coalition (HIC) (www.hic-net.org) , says it focuses on the link between “human habitat, human rights, and dignity, together with people’s demands, capabilities, and aspirations for freedom and solidarity.”

The group works towards the creation of a theoretical and practical framework for what it calls a “right to the city.”

The cities of Africa and Asia are growing by a million people a week. If current trends continue, megacities and sprawling slums will be the hallmarks of this majority urban world. Currently in sub-Saharan Africa, 72 percent of the population lives in slum conditions. And by 2015, there will be 332 million slum-dwellers in Africa, with slums growing at twice the speed of cities.

“The consequences have produced a deeper gap between the city and countryside and also within the city between the rich and poor,” said Mathivet.

“We must think of the right to the city as a lively alternative proposal,” Mathivet said, “a banner under which social movements, academics, and social organizations are struggling against the perverse effects of neo-liberalism in cities such as the privatization of land, public spaces and services, land speculation, gentrification, forced evictions, segregation, and exclusion.”

Published: July 2010

Resources

1) Model Village India: Drawing on self-organizing methods used in India since 1200 BC, the Model Village India is based around India’s democratic system of Panchayats: a village assembly of people stemming back to pre-colonial times. Website: www.modelvillageindia.org.in

2) More Urban, Less Poor: The first textbook to explore urban development and management and challenge the notion unplanned shanty towns without basic services are the inevitable consequence of urbanization. Website:www.earthscan.co.uk

3) Building and Social Housing Foundation: The Building and Social Housing Foundation (BSHF) is an independent research organisation that promotes sustainable development and innovation in housing through collaborative research and knowledge transfer. Website: http://www.bshf.org

4) World Social Forum Dakar, Senegal 2011. Website:www.worldsocialforum.info

This work is licensed under a
Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 License.

“Cities for All, recently published by Habitat International Coalition, draws together thinkers and innovators in a compilation of case studies addressing the challenges of inclusive cities in the global South. The book seeks to articulate experiences of South-South cooperation and enhance the links between different regions. **David South** interviews the co-editor, **Charlotte Mathivet**.”

Read the full interview here: https://www.hic-net.org/innovation-in-growing-cities-to-prevent-social-exclusion/.

This work is licensed under a
Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 License.

ORCID iD: https://orcid.org/0000-0001-5311-1052.

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Mongolia Looks to Become Asian IT Leader

Post author By David South Consulting
Post date 12/12/2020
No Comments on Mongolia Looks to Become Asian IT Leader

By David South, Development Challenges, South-South Solutions

SOUTH-SOUTH CASE STUDY

A Mongolian information technology company founded by a woman has shown a way to thrive in the country’s often-chaotic economic environment. With the global economic crisis moving into its third year, Intec’s strategies to survive and thrive offer lessons for other IT start-ups in the South.

While the global economy’s prospects are still uncertain, on the positive side, many believe the best place to be is in emerging economies like Mongolia, with some foreseeing healthy growth for the next 20 to 30 years. Mongolia’s information technology entrepreneurs are looking to prove this is the case. The country has made great strides in improving e-government – jumping from 82nd place to 53rd in the UN e-government survey 2010 (http://www2.unpan.org/egovkb/global_reports/10report.htm) – and is now aiming to become an Asian software and IT services outsourcing powerhouse.

A Northeast Asian nation (http://en.wikipedia.org/wiki/Mongolia) sandwiched between Russia and fast-growing China, Mongolia grapples with the combination of a large territory, a small population (2,641,216) and limited transport infrastructure connecting it to its neighbours. Historically, it is a nomadic nation with a strong animal herding tradition. But during the Communist period, it industrialized and became more urban. After the collapse of Communism at the beginning of the 1990s, the country experienced a terrible economic and social crisis, with rapidly rising poverty rates and high unemployment.

Despite its infrastructure obstacles, Mongolia has been able to develop a lively information technology sector, often with the assistance of the United Nations. During the late 1990s, as the internet revolution exploded, the UN led on supporting infrastructure, skills development, innovation and legislation.

Information technology consulting and services company Intec (www.itconsulting.mn) , founded in 2004, has been able to thrive through the global economy’s ups and downs by identifying an under-serviced niche as a consulting, research and training company. Intec now has five full-time staff and works with a broad network of Mongolian and international consultants.

As is often the case with new businesses, Intec initially found that many doors were closed to start-up enterprises.

“The major challenges which I faced were to make people understand about the consulting services,” said Intec’s founder, Lkhagvasuren Ariunaa. “The consulting services concept was new to Mongolia and Mongolians at that time and not many organizations were willing to work with consulting services. The international and donor organizations were keen to work with consulting services companies; however, they were requiring companies to have a list of successfully implemented projects, which was difficult for a new starter like Intec.

“For example, registering with the Asian Development Bank consulting services database required companies to be operational for at least three years. So, we got registered with ADB consulting services database only in 2008. Meanwhile, personal connections and communication skills helped to find jobs and opportunities for Intec.”

Ariunaa had worked for the Soros Foundation (http://www.soros.org/) but it closed its offices in Mongolia in 2004. Faced with unemployment, Ariunaa went about seeing what she could do next: a dilemma many people face in today’s economy.

“It took me about eight months to develop a business plan and directions of operation of the company. I started in a big room at the national information technology park building with one table, chair and computer.

“It has been quite challenging years for bringing a company to the market and finding niches for us. We have franchised the Indian Aptech WorldWide Training center (http://www.aptech-worldwide.com) in Mongolia – may be one of the few franchising businesses in Mongolia. Currently that center is now a separate entity/company and it has over 20 plus faculty staff and over 300 students.”

Ariunaa had been active in the sector for over 10 years, but while knowing many of the players and organizations, she spent time researching what niche Intec could fill in the marketplace.

“Looking at the ICT market, there were quite a number of internet service providers, mobile phone operators, a few companies started developing software applications, and services etc. However, there were only two to three consulting companies in the ICT sector which to my knowledge at that time were providing consulting services, and still there was a room for Intec.”

Intec then focused on three areas: consulting services, training and skills, and research. Intec found they were pioneering a new concept in Mongolia.

Intec’s first contract was a job with the University of Milwaukee-Wisconsin in the United States to organize a three week course for American students to learn about the digital divide in Mongolia. But the global economic crisis hit Mongolia hard in 2009.

“It was challenging to survive and continue working the same way,” Ariunaa said. “There were few ICT-related jobs in Mongolia at that time, and one of our major clients left Mongolia and we had to find other clients in the market.

“One of the ways of approaching this was that we were not asking for fees, instead we would have a barter agreement – we will deliver them services and they will provide some services for us. For the company itself, we needed to find ways of financing and covering costs for renting of premises, paying salaries for staff on time, paying taxes and other expenses.”

The environment in Mongolia is being helped by the Information and Communications Technology and Post Authority (ICTPA) of Mongolia (http://www.ictpa.gov.mn) , which has been driving forward an e-Mongolia master plan. With 16 objectives, it ambitiously seeks to place Mongolia in the top five of Asian IT nations, competing with South Korea, Singapore, Japan and China.

Ariunaa believes Mongolia has many competitive advantages. “Mongolia is known for a high-literacy rate and math-oriented training and education, and ICT specialists are targeting to become a software outsourcing country for other countries. Another advantage of Mongolians is that they can easily learn other languages: we are fluent in Russian, English, Japanese, Korean, German and we believe that with these two major advantages, we will be able to do a good job with outsourcing of software development.”

While men still dominate the ICT sector in Mongolia, Ariunaa has not found being a woman a disadvantage. “In Mongolia, as gender specialists say, there is a reverse gender situation. Women are educated, well-recognized and well-respected. There were situations, when I was the only women participant in the meeting with about 20 men. But I never felt somewhat discriminated or mis-treated and I think that’s the overall situation towards gender in Mongolia.”

Intec’s success working with Aptech WorldWide Training’s franchising contract brought many advantages for a start-up. “It’s a faster way to do things, and you don’t have to re-invent the wheel.”

As a Mongolian company, Intec has found it best to play to its local strengths. “National companies have knowledge, expertise and experience of local situations, know players and understand about legal, regulatory matters. … partnership or cooperation are one of the means of cooperating with big global players.”

Intec’s success is also down to Ariunaa’s enthusiasm: “It’s fun and I love doing it – just usually do not have enough time!”

Published: July 2010

Resources

1) Advice on starting a business and succeeding in tough economic times. Website:http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1073858805

2) Changing Dynamics of Global Computer Software and Services Industry: Implications for Developing Countries: A report from UNCTAD on how computer software can become the most internationally dispersed high-tech industry. Website:http://www.unctad.org/templates/webflyer.asp?docid=1913&intitemid=2529&lang=1

3) Afrinnovator: Is about telling the stories of African start-ups, African innovation, African made technology, African tech entrepreneurship and entrepreneurs. Their mission is to ‘Put Africa on the Map’ by covering these kinds of stories from all over Africa. As their website says, “if we don’t tell our own story, who will tell it for us?” Website:http://afrinnovator.com

4) TechMasai: Pan-African start-up news and reviews. Website: www.techmasai.com

5) Ger Magazine Project: Mongolia’s first online magazine pioneered communicating on the web. Website: http://en.wikipedia.org/wiki/Ger_magazine