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African Countries Link Factories, Logistics and Ports to Boost Investment

BUSINESS IN AFRICA: Zoning in — African countries pair factories, logistics and ports to boost investment

BUSINESS IN AFRICA: Zoning in — African countries pair factories, logistics and ports to boost investment

Daily Maverick - Latest News

What changed

African governments and investors are building industrial zones that combine factories, processing plants, warehouses and ports. Kenya has begun construction of the planned $16 billion Dangote East Africa Petroleum Refinery in Lamu, while Nigeria has signed agreements to explore a 10,000-hectare development linking a proposed deep-sea port to a special economic zone.

Why it matters

The wager is simple: moving goods becomes easier when production and transport sit close together. Kenya’s refinery is planned as part of a wider corridor linking Lamu with regional markets, and the proposed Nigerian project brings DP World, Ogun State and the Ogun Deep Sea Port Company into the same development.

That changes the role of a special economic zone. It is no longer just a patch of land with tax incentives. The stronger version is an industrial chain: raw materials arrive, factories process them, warehouses store the output and ports move it onward.

Togo offers the clearest operating example. Togo Soja, based at the Adétikopé Industrial Platform, shipped its first processed shea-butter export on 1 October. The quantity was not disclosed, but the commercial direction is clear: Togo is trying to export more finished products rather than raw commodities. Export taxes on cashew nuts, soybeans and shea nuts, introduced in January 2026, reinforce that push.

The Africa Finance Corporation invested $150 million in Arise Integrated Industrial Platforms in 2020 to support expansion into Benin and Togo. Its infrastructure chief, Osam Iyahen, said the aim is to capture more value in Africa, create jobs and increase exports. That is the promise these zones must now deliver in practice.

Logistics will decide how much of that promise survives contact with daily business. Agility Global has opened warehouse facilities in five African countries, with some already fully occupied. Its tenants include e-commerce companies, agro-processors, manufacturers, vehicle assemblers and fast-moving consumer-goods distributors; about 65% are multinationals and 35% are small and medium-sized businesses.

The outlook is promising but conditional. Kenya’s final project scope, financing and completion timeline remain unspecified, and Nigeria’s development is still at the exploration-agreement stage. The important test is whether these corridors reduce the cost and complexity of making and moving goods enough to turn industrial ambition into durable processing, exports and manufacturing.

Sources (1)
  1. Daily Maverick - Latest NewsBUSINESS IN AFRICA: Zoning in — African countries pair factories, logistics and ports to boost investment

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