At present 466 commodities imported from least-developed countries in Africa have no tariff in China. By June 2008, the value of those commodities totaled $620 million.
China's preferential tariff policy has contributed to improving the competitiveness of African commodities on the Chinese market and helped balance bilateral trade.
The upcoming African Commodities Exhibition that offers free booths to exhibitors is another effort China has made to promote trade between the two sides.
The Chinese government has also promoted African commodities among Chinese buyers and consumers through the Internet and encouraged Chinese firms to buy more African exports.
As well, the government vowed to give Approved Destination Status to more African countries so more Chinese tourists can visit.
Increasing investment
Along with the rapid growth in China-Africa trade, investment in the continent by Chinese companies is also on the rise.
In 2007, China's direct investment in Africa totaled $1.01 billion, an annual increase of 176 percent.
Chinese enterprises now have operations in 48 African countries in such sectors as trade, manufacturing, resource development, transportation, agriculture and agricultural product processing.
In recent years, comparatively stable political environment and rapid economic growth on the continent were driving forces behind China's increasing investment in Africa.
The governments of many African countries have also enhanced efforts to improve economic regulation, upgrade facilities and map out preferential policies to attract foreign investors.
They have high hopes for Chinese investors whose capital will help them increase employment and tax revenues, improve their own capacity in research and development and help expand exports.
To protect the rights of Chinese investors, China has signed investment protection agreements with 29 African countries.
The Ministry of Commerce and other investment promotion agencies in China are also available to offer policy support, legal information and financial services for Chinese enterprises planning to invest in Africa.
(China Daily August 28, 2008)
