Exporting Africa: Technology, Trade, and Industrialization in Sub-Saharan Africa

By Samuel M. Wangwe | Go to book overview

11

The Ivory Coast

Oussou Kouassy and Bouabre Bohoun

INTRODUCTION

Context of the study

Ivorian industry was very dynamic until the end of the 1970s. In 1960 there were fewer than one hundred firms with a combined turnover of 13 billion f. CFA. 1 By 1978 this had grown to more than 500 firms with a total turnover of 600 billion. By 1984 the number of firms had again increased, to some 750, with a turnover of 1250 billion. Average annual industrial growth was 13 per cent until 1973, and 8.5 per cent between 1974 and 1981. Manufacturing value added (MVA) grew by 3.7 per cent between 1975 and 1985. In 1960 the industrial sector represented only 14 per cent of the gross national product: this increased to an average of 23 per cent between 1971 and 1981.

But this growth in Ivorian industry began to reverse at the beginning of the 1980s. The financial and economic crisis the country experienced then hit industrial activity and exposed its structural weaknesses. There was in fact a sharp drop in industrial growth (minus 8 per cent between 1981 and 1983), a collapse in investments and accelerated obsolescence of productive capacity. Annual gross investment decreased by 50 per cent between 1981 and 1987. The crisis also meant slower growth in sales (+18 per cent a year between 1978 and 1984, +14 per cent between 1984 and 1986) and serious degeneration in the financial situation of industrial firms. Between 1981 and 1983 the debt level of industrial firms increased from 1.3 billion to 1.8 billion.

From 1981 onward, the effects of the adjustment measures adopted by the government were added to the difficulties linked to

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Exporting Africa: Technology, Trade, and Industrialization in Sub-Saharan Africa
Table of contents

Table of contents

  • Title Page iii
  • Contents v
  • Tables vii
  • Acknowledgements xii
  • Part I - Exporting Africa: an Analysis 1
  • 1 - Introduction 3
  • 2 - Trade Theory 16
  • 3 - Some Conceptual Issues and Methodology of the Study 35
  • 4 - The Changing World Economy 52
  • 5 - Main Findings of the Study 82
  • 6 - Conclusions and Policy Implications 117
  • Notes to Part I 122
  • Bibliography 131
  • Part II - Country Studies 141
  • 7 - Zimbabwe 143
  • 8 - Tanzania 199
  • Notes 243
  • 9 - Nigeria 246
  • Notes 295
  • 10 - Kenya 296
  • 11 - The Ivory Coast 344
  • 12 - Mauritius 383
  • Appendix 407
  • Index 413
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