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Technology set to shape the future of manufacturing » Capita…

Manufacturing is key to achieving growth and expanding the manufacturing sector is often considered key to achieving inclusive and sustained development.

For good reason, for over two centuries, industrialization in the West and, more recently, in East Asia has fostered rapid technological advancement and rising income levels.

Among the widely recognized benefits of manufacturing is its capacity to gainfully employ large amounts of low-skilled workers, which is crucial for reducing poverty and creating entrepreneurship opportunities for millions of youth in Africa.

Until the 2000s, Sub-Saharan Africa had in fact been de-industrializing – the mood was gloomy, as the little manufacturing activity that had existed was slowly waning, and with it, the traditional route to development and poverty reduction.

But recently, this trend had begun to reverse across the region. Manufacturing is slow, but still showing growth in certain countries, goals to increase from single digit percentage growth to double digit industrialization percentages scores.

Despite this encouraging trend, another striking development the above figures reveal is that manufacturing as a share of real value added (GDP) in Sub-Saharan Africa actually decreased.

The future of this manufacturing renaissance depends on the capacity of Sub-Saharan African countries to expand manufacturing production beyond their domestic markets and global trade of products to earn much needed foreign currencies.

One way for greater success in Africa is an example of Bidco Africa, EABL among others buying raw materials from thousands of farmers.

Bidco Africa leading Manufacturer in the region buys thousands of tonnes of sunflower, soya, wheat, maize products from farmer partnerships giving revenue and success for thousands of agri-business and entrepreneurs of animal feed produced by the manufacturing investments.

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The cost of power and ease of doing business needs urgent reduction including investor incentives to grow manufacturing in a vibrant growth region, with over one billion people market.

International trade promotes productivity growth by unlocking the potential to both exploit economies of scale and to take advantage of competitive wage levels.

Participation in global value chains promotes knowledge spillovers and the adoption of new technologies; yet for Sub-Saharan Africa, the focus for now should be on labour-intensive, with certain skill-intensive activities with a big focus on health, quality and consumer demands .

The future of manufacturing is likely to be shaped by advancements in automation, artificial intelligence, new product innovation, higher turnover business and sustainable practices.

Smart factories with interconnected systems, 3D printing and the use of robotics are expected to increase efficiency and flexibility in production processes and high predictive, digital and agile replenishment distribution systems.

Additionally, a growing emphasis on sustainability may drive the adoption of eco-friendly materials, green value addition processes, and energy-efficient technologies in manufacturing.

Overall, a shift toward more technologically advanced, Robotics , drone deliveries, interconnected, and sustainable, green, manufacturing processes is already in play.

IA set to change the world

With changing times, many things are changing and technology is on an upward trajectory – this should be growth that should work for the betterment of the whole world.

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At the centre of many talks is Artificial intelligence (AI) which refers to the simulation of human intelligence by software-coded heuristics.

Nowadays, this code is prevalent in everything from cloud-based, enterprise applications to consumer apps and even embedded firmware to deliver amazing consumer experiences.

The year 2022 brought AI into the mainstream through widespread familiarity with applications of Generative Pre-Training Transformer among other new tech platforms.

Artificial intelligence is based on the principle that human intelligence can be defined in a way that a machine can easily mimic it and execute tasks, from the most simple to those that are even more complex and diagnose innovative solutions.

Private and public sectors can use Artificial Intelligence integrated programs to give excellence in customer service, safety, and enhanced security, predict business solutions , manage mass data, manage cost effective supply chains, and improve social services value chains across the world.

Africa is the future and we look forward to growth of most sectors and industries across Africa connecting superb talent, leaders and entrepreneurs across the world and making great impact for growth and success.

The private sector drives over 80 per cent of the GDP, a bigger support and partnership with manufacturers will result with value addition, employment, entrepreneurship, higher export earnings, new product development and mostly intra-African trade to improve overall economic development.

Chris Diaz
Business leader
@DiazChrisAfrica

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