As 2025 unfolds, it presents a timely opportunity for India to re-evaluate its Africa policy, drawing lessons from the past year’s strategic milestones while charting new directions for the future. Prime Minister Narendra Modi’s visit to Nigeria, the inauguration of a naval base in Mauritius, and the appointment of defence attachés in several African nations were all defining moments of 2024. Yet, an area that has remained largely under-discussed in India’s foreign policy discourse is its potential to support Africa’s most ambitious economic initiative — the African Continental Free Trade Area (AfCFTA).
Launched in January 2021, AfCFTA has positioned itself as the world’s largest free trade zone by number of participating countries. With 54 of 55 African nations signed on and 47 ratifications to date, the agreement is designed to eliminate trade barriers, enhance intra-African commerce, and eventually transform the continent into a unified market of over 1.2 billion people with a combined GDP of $3.4 trillion.
While Africa’s intra-continental trade stood at a mere 13.2 percent in 2022, AfCFTA aims to push this figure to 52.3 percent by 2050 — potentially injecting $29 trillion into the African economy. This surge in trade is projected to boost the continent’s GDP by an average of 7 percent annually, lifting 30 million people out of extreme poverty and raising the incomes of an additional 68 million living on less than $5.50 a day.
At the heart of the agreement lies the Rule of Origin (RoO) protocol, which provides preferential market access to goods produced within the bloc. By prioritising local production, RoO aims to revitalise sectors such as agriculture — a critical component of Africa’s economy employing over 240 million people — and feed the industrial ecosystem. Currently, Africa contributes just 1.9 percent to global manufacturing output, a figure the AfCFTA is designed to improve.
A Natural Partner for Africa’s Integration
India, with its own journey through trade liberalisation, economic reform, and digital integration, is well-positioned to support AfCFTA’s implementation. It already shares deep economic ties with Africa — bilateral trade volumes have reached $103 billion in the last decade, placing India as Africa’s third-largest trading partner after China and the European Union.
India exports pharmaceuticals, textiles, machinery, transport equipment, and mineral fuels to African nations, while importing crude oil, precious stones, raw cotton, and agricultural goods. In 2023, India accounted for 6 percent of Africa’s global exports and 5.6 percent of its imports, while Africa contributed 9.6 percent to India’s exports and 7.8 percent to its imports.
But India’s support can go well beyond trade figures. One of Africa’s key barriers to intra-continental trade is its fragmented and underdeveloped transport infrastructure. Many of the continent’s railways and roads were designed during colonial times to connect inland resources to ports, facilitating exports to Europe and Asia rather than enabling trade within Africa itself. India’s infrastructure development experience could play a pivotal role in helping African nations invest in the regional logistics networks essential to AfCFTA’s success.
Agriculture and Technology: A Missed Opportunity?
Africa’s agricultural sector, which makes up around 35 percent of the continent’s GDP and employs half its population, remains critically underdeveloped. While 80 percent of African food is produced by smallholder farmers, poor access to technology, fragmented markets, and tariff barriers hamper the sector’s full potential. If AfCFTA manages to remove such barriers, intra-African agricultural trade could increase by an astonishing 574 percent by 2030.
Here too, India has much to offer. With its strong record in agri-tech innovation, India could collaborate with African governments and regional blocs to bring modern tools — such as drones, AI-based soil health trackers, and smart irrigation systems — to smallholder farmers. There’s precedent: India has already made significant investments in African pharmaceuticals and transport; agriculture could be the next frontier.
India can also offer its expertise in digital public infrastructure. Platforms like DigiLocker could help streamline trade documentation for African exporters, while initiatives such as India’s e-NAM (National Agriculture Market) could be adapted to create a continental trading platform for agricultural produce.
Cultural Ties, Policy Alignment
Beyond economics, India and Africa have long shared a commitment to South-South cooperation, driven by historical solidarity and mutual development goals. As African nations move forward with “Agenda 2063: The Africa We Want” — the African Union’s blueprint for inclusive growth and sustainable development — India has the opportunity to become a strategic partner, not just a commercial one.
India’s External Affairs Minister Dr. S. Jaishankar has described the country’s evolving foreign policy as one that is “big, long, and smart,” aiming to engage more deeply with global partners. No region aligns more closely with this vision than Africa, where opportunities for collaboration in trade, technology, and governance are growing each year.
Yet, the road ahead is not without obstacles. Many African countries face serious challenges, including sovereign debt, political instability, and the looming effects of climate change. Still, hope remains strong. At the 2024 African Union Summit, UN Secretary-General António Guterres declared that “the 21st century can be Africa’s century,” provided the right partnerships are formed.
The Road Ahead: From Presence to Purpose
To that end, India’s Africa strategy must evolve beyond diplomatic visits and defence deals. It must prioritise long-term institutional collaboration that supports the structural goals of the AfCFTA. From building digital trade platforms and regional logistics networks to investing in agri-tech and training programs, India’s contributions can be both transformative and mutually beneficial.
By helping Africa implement the AfCFTA, India doesn’t just support a regional trade pact — it invests in a vision of shared prosperity, resilience, and global rebalancing. In doing so, New Delhi also ensures its own relevance in a rapidly changing world.
[1] Samir Bhattacharya is Associate Fellow in Observer Research Foundation, India
