India accounts for 7.6 percent of Sub-Saharan Africa’s imports

In 2023, Sub-Saharan Africa sourced approximately 7.6 percent of its total imports from India, reflecting a 1.94 percentage-point rise from 5.7 percent in 2016. This is according to the Global Trade in Flux report published by Citi GPS.

India’s role in the global supply chain has strengthened in recent years, driven by trade tensions between the U.S. and China, along with sanctions on Russia due to ongoing conflicts. In 2023, India accounted for 1.8 percent of global exports and 3.6 percent of global petroleum exports.

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According to the report, India’s share of global electrical and electronics exports hit 0.8 percent in 2023, in contrast with 0.3 percent in 2016.

This was marked by a tenfold increase in mobile phone exports from India between 2018 and 2023. In 2018, India exported around $1.1 billion worth of mobile phones, however, this figure increased to $11.2 billion in 2023. The figure is projected to hit $14.5 billion in 2024.

In FY 2023, India accounted for N2.9 trillion, or roughly 8 percent, of Nigeria’s total imports, ranking as the third-largest import source after China and the United States. By the first half of 2024, Nigeria had already imported N2.2 trillion in goods from India, placing it second only to China and surpassing the United States.

Citi GPS highlighted in its report that manufacturing supply chains are undergoing a global realignment, in line with the rise of protectionism and the risks tied to U.S.-China rivalry.

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This supply chain reshaping is evidenced by the rise of countries such as India in the global manufacturing space as well as increased trade relations between China and Latin America.

Data sourced from Citi’s corporate payments data shows that between 2021 and 2024, China’s payments to Latin America increased by 29.7 percent, a signification of increased commodity exports from Latin America to China. Between 2024 and 2021, China’s payments to North America, majorly USA and Canada, dropped by 4.25 percent, as a chip war between the US and China has lingered.