Africa and the Caribbean could increase their annual trade in goods and services to $1.65 billion by 2030, excluding mineral fuels, if both regions address persistent trade barriers and exploit opportunities across key economic sectors, a new report has projected.
The report, titled ‘Reshaping Africa-Caribbean Trade: Opportunities for Economic Transformation,’ was jointly produced by the International Trade Centre (ITC) and the African Export-Import Bank (Afreximbank).
It was launched on the sidelines of the Commonwealth Heads of Government Meeting in Antigua and Barbuda, where stakeholders highlighted the need to strengthen commercial relationships between the two regions despite their longstanding historical and cultural ties.
According to the report, trade between Africa and the Caribbean currently represents only a small proportion of their respective total trade, despite complementary economic strengths in agribusiness, manufacturing, services and the creative economy.
The report estimated that about 80 per cent of Africa's annual goods export potential to the Caribbean remains untapped, presenting significant opportunities for businesses to expand into new markets through improved trade promotion, investment and commercial infrastructure.
It also identified substantial opportunities for Caribbean businesses, particularly in services, where export potential is estimated at $481 million.
Other priority sectors identified for increased trade include processed food and animal feed, chemicals, minerals and metals, apparel and textiles, leather and footwear, tourism, transport services and creative industries.
The findings were based on trade and export potential analysis, detailed sector assessments and a survey involving 1,175 businesses and business support organisations across Africa and the Caribbean.
Speaking at the report's launch, ITC Executive Director, Pamela Coke-Hamilton, said changing dynamics in global trade had made it increasingly important for countries to strengthen regional economic partnerships and invest in value addition to improve resilience.
She explained that the report provided a foundation for translating identified opportunities into practical business outcomes through better market intelligence, improved logistics and increased access to finance.
“At a time of major shifts in global trade, countries need to strengthen regional ties and invest in value addition to build resilience. We know the major trade opportunities between Africa and the Caribbean, and now we can focus on helping businesses take advantage of those opportunities through better market intelligence, improved logistics and greater access to finance,” she said.
Also speaking, Afreximbank's Senior Executive Vice President, Denys Denya, stressed that both regions needed to move beyond their shared historical connections and establish stronger economic partnerships capable of delivering mutual prosperity.
Denya disclosed that Afreximbank, through its CARICOM office in Barbados, had secured $1 billion in approved transactions and committed $5 billion in regional financing to support economic cooperation and commercial activities.
He outlined several initiatives through which the bank was strengthening Africa-Caribbean engagement, including financing, deposit mobilisation under the Caribbean Depository and Enterprise Programme (CENDEP), business networking through the annual Afri-Caribbean Trade and Investment Forum, and local-currency transactions through the Caribbean Payment and Settlement System (CAPSS).
He also highlighted the bank's support for the creative industries through its Creative Africa Nexus (CANEX) initiative, noting that the programmes were designed to deepen business relationships and unlock investment opportunities across both regions.
According to Denya, the report offered a practical framework for converting existing trade opportunities into viable investments, particularly in agribusiness, manufacturing, tourism and the creative economy.
“This report offers a practical roadmap to turn untapped potential into bankable opportunities across agribusiness, manufacturing, tourism and the creative economy. Through targeted financing, stronger transport and logistics links and strategic partnerships, we can build a Global Africa connected by heritage, trade, investment and shared opportunity,” he said.
Despite the projected opportunities, the report identified several structural and operational challenges limiting commercial activities between Africa and the Caribbean.
These include high transportation costs, inadequate direct shipping connections, regulatory barriers, limited access to finance and difficulties in identifying reliable and trusted business partners.
The report stressed that addressing these constraints would be critical to unlocking the regions' trade potential, improving market access and creating new opportunities for businesses on both sides of the Atlantic.