Group selects Nigeria for Japan-Africa trade

The African Diaspora Network Japan has referenced Nigeria as a prime location to bolster economic relations between Japan and Africa.

It advocated that Japanese companies tap into the African market through the African Continental Free Trade Area.

At the 2024 Osaka-Africa Business Forum in Japan and followed by The PUNCH virtually, with the theme, ‘Let’s Walk with Africa,’ ADNJ leaders and speakers highlighted Nigeria as one of the prime locations for businesses looking to establish a foothold in Africa.

An adviser on small and medium enterprises, Nose Yukio, in her keynote address, outlined Africa’s unique market potential, citing the continent’s rapidly expanding population and abundant natural resources.

“The African continent will make up a quarter of the global population by 2050,” Yukio noted, adding that the relatively untapped nature of the market presents an opportunity for new ventures.

She urged attendees to consider “untapped markets,” particularly in Nigeria’s Lagos, advising to “choose the first countries in Africa to visit and do business with by splitting by regions; in North Africa, it is Egypt as it is close to Europe via the Swiss Canal which is good for logistics.

“In East Africa, it is Kenya, and in West Africa, it is Nigeria with the port city of Lagos.”

Yukio advised Japanese firms on strategies to succeed in Africa, stressing the need for products that meet local demand.

“To succeed and not fail, look at the market for something needed, for example, automotive products, power generators, and water filters,” she explained, adding that by focusing on essential, high-demand goods, companies can avoid the common pitfalls encountered by international firms in Africa.

She further encouraged Japanese companies to “do business with local materials” and to capitalise on Africa’s competitive labour costs to manufacture products locally.

Meanwhile, Japanese-Malian professor Oussouby Sacko, who spoke on ‘Reconstructing the African Dialogue,’ described Africa as “the final frontier of the global economy.”

He urged Japanese business leaders to appreciate the continent’s diversity and unique challenges, rather than viewing it as a monolithic market.

Sacko acknowledged that educational gaps can hinder Japan-Africa trade partnerships and encouraged attendees to “work together and find solutions.”

He further stressed, “Africa needs to work with Asia,” highlighting the mutual benefits of strengthened cooperation.

A representative from the Japanese government underscored the administration’s commitment to fostering Japan-Africa partnerships, despite challenges such as insecurity.

“We are partnering with businesses in Africa because it makes us happy and helps us make money,” the government official said, adding that Tokyo would continue to provide information on opportunities across the continent.

The official lauded ADNJ’s expanded focus on tangible business partnerships, commending its efforts to invite more African companies and entrepreneurs to Japan.

The President of ADNJ, David Kpondehou, expressed pride in the organisation’s initiatives, which aim to reshape perceptions and promote cross-continental business interactions.

“ADNJ is leading the way to change the narrative that Africans can travel on a business trip and come to Japan for 10 days,” Kpondehou said.

He highlighted projects like the Japan Africa Youth Agenda 2025 and the Pan African Network in Japan as key pillars in ADNJ’s mission to strengthen ties.