Interview with Lantosoa Rakotomalala, Minister of Industry, Trade and Handicrafts, in charge of MICA, a sovereign tool for the strategic and sustainable transformation of Madagascar's economy.
How will Madagascar's Emergence Plan boost investment in the industrial sector?
The industrialization of Madagascar is a key driver of the Madagascar Emergence Plan, whose objectives are to establish a business environment conducive to growth, investment, and employment, as well as to strengthen the competitiveness of Malagasy companies and promote foreign direct investment. The department is focusing on a portfolio of programs: promoting regional industrialization based on the specific processing potential of each district of the country through the ODOF (One District One Factory) initiative; supporting manufacturers in diversifying their activities; promoting industrial parks; and developing the marketing of agri-food and textile industrial zones. Local production of everyday consumer goods, representing a domestic market of over 26 million consumers, is thus tending to reduce imports of these goods. The infrastructure programs of the Madagascar Emergence Plan, which are currently well advanced in the country, are contributing to improving the costs of industrial inputs: road construction, development of logistics platforms, expansion of ports and airports, development of the energy sector, and large-scale agriculture.
Are you calmly considering your country's entry into the African Continental Free Trade Area (AfCFTA)?
Madagascar is among the 54 African countries that signed the agreement launched in Kigali in 2018. Ratification of the agreement, marking integration into this market of 1.3 billion consumers, requires preparation at both the government and private sector levels. Supporting the diversification of our exports, providing the private sector with greater awareness of the challenges and opportunities of integration, bolstering the productive sector's competitiveness both locally and internationally, and developing the service industry are the preparations that the Ministry and the private sector are currently undertaking in preparation for integration into the AfCFTA. Furthermore, the Madagascar Export Promotion Agency became operational in the second half of 2021 to serve as a catalyst for promoting our exports.
What importance do you give to craftsmanship and "made in Madagascar"?
The vision of crafts in Madagascar is primarily focused on artisan trades. Indeed, long considered solely as producers of handcrafted goods, the paradigm shift is based on recognizing the sector as the largest employer in Madagascar. In fact, the census conducted by INSTAT (National Institute of Statistics) in 2020 counted over 489,000 artisans nationwide. Each artisan practices a trade employing an average of five people, encompassing 147 different trades ranging from pastry chef to creator of handcrafted objects. The digitalization and formalization of the sector are current priorities, aiming to provide more training, production tools, and financing to those creating and developing micro, small, and medium-sized enterprises (MSMEs) in the artisan trades in Madagascar. For handcrafted products Made in Madagascar, the use of Malagasy raffia in major international fashion brands and the creativity of local artisans continue to impress the international market. A breeding ground for businesses and a source of decent employment, the craft sector contributes to Madagascar's growth and development and makes a significant contribution to wealth creation. MICA is therefore committed to expanding opportunities for these entrepreneurs, associations, clusters, and cooperatives.