This CAI paper is the first in a two-part series that focuses on the relationship between Africa and South Korea; one which has received surprisingly little coverage. Whilst the relationships between Africa and the People’s Republic of China (PRC), or Africa and the general West, dominate world media and economic interest, the Africa-Korea relationship is noteworthy and significant because of the positive contribution South Korea is making to the continent. The first paper discusses South Korea-Africa aid and investment and the second will focus on South Korea’s economic interest in Africa.

An agricultural revolution in Africa

The PRC and the West’s involvement in Africa has emphasised inter alia privatisation, natural resources and/or industrial production. On the contrary, South Korea focuses more on growing the agricultural sector. Naturally South Korea shares the PRC’s interest in Africa regarding access to new and expanding markets and to natural resources, but South Korea’s approach to the continent arguably facilitates more sustainable development than the PRC or Western approaches do.

In November 2010, President of South Korea’s Rural Development Agency (RDA) signed a memorandum of understanding (MOU) titled ‘The Korea-Africa Food and Agricultural Cooperation Initiative (KAFACI).’ The KAFACI emphasises capacity-building in the mould of Saemaul Undong (as advocated by the Korea Saemaul Undong Centre (KSUC)), an agricultural movement in South Korea initiated by the South Korean government in the 1970s, which eventually led to the eradication of rural poverty in South Korea. Given that more than 80% of Africa’s population resides in rural areas, with large numbers experiencing starvation, building agricultural capacity in rural areas of countries particularly struck by these challenges, like Ethiopia, is of immense importance. As noted by S. A. Assefa, Secretary General of the Ethiopian Institute of Agricultural Research, "Agriculture is the basis of the Ethiopian economy. Agriculture is where 85% of the total workforce find their jobs, where 43% of the nation's GDP comes from, and where 90% of national revenue is generated." KAFACI currently has 16 members, namely Angola, Cameroon, Cote D’Ivoire, Democratic Republic of the Congo, Ethiopia, Gabon, Ghana, Kenya, Malawi, Morocco, Nigeria, Senegal, Sudan, Tunisia, Uganda, and Zimbabwe. Considering the success of bilateral projects between the RDA and Kenya, success is likely to follow in these other African countries.⁽²⁾

In 2009, for instance, South Korea initiated its attempt to boost food production in Kenya by introducing new rice growing technologies there. The Korea Project on International Agriculture (KOPIA) worked closely with the Kenya Agricultural Research Institute (KARI) to boost food production by demonstrating new rice planting methods and introducing Kenyan farmers to simple and efficient pedal-driven bicycle thrashing machines that enabled famers to increase the speed of thrashing and reduced the cost of labour.⁽³⁾ Furthermore, South Korea established a KOPIA Centre in Kenya, where farmers are taught to artificially inseminate livestock where vinyl greenhouses and poultry farms are in operation.⁽⁴⁾ A KOPIA Centre is also likely to be established in the Democratic Republic of the Congo in the near future.⁽⁵⁾

The Kenyan KOPIA Centre in Kenya announced in 2010 that it is introducing “affordable technology to farmers, including greenhouse investment, potato research, broiler feeding and embryo transfer, to promote efficiency in harvesting and introduce value addition techniques to farmers.” Initiatives like the embryo transfer technique is expected to increase livestock productivity and improve disease resistance and Kenya may benefit significantly from this dissemination of agricultural techniques and technology.⁽⁶⁾ The KOPIA Centre in Kenya has come to be viewed favourably by local communities, such as the Mwea community, and many Kenyans are excited about the prospect of cooperating with the KOPIA Centre.⁽⁷⁾

Practical development assistance

In 2009, the Export-Import Bank of Korea, under the auspices of its Economic Development Cooperation Fund (EDCF), offered US$ 35 million worth of aid to Cameroon to assist the country in training industrial workers via the construction of advanced vocational training centres, with the offer later being accepted and confirmed. The development aid was pinned for the construction of three training centres, purchasing of training materials, and the education of people that can teach students.⁽⁸⁾

Also in 2009, at the second Korea-Africa Forum, South Korea pledged both credit and grants aimed at eradicating poverty and fostering sustainable development in Africa.⁽⁹⁾ South Korea and 15 African states adopted the ‘Green Growth Initiative 2009-2012,’ an initiative which emphasises low-carbon growth, in 2009.⁽¹⁰⁾ South Korea also promised that it would train more African industrial trainees – approximately 5,000 – in South Korea and that the country would also send a greater number of aid workers to Africa.⁽¹¹⁾ Finally, South Korea promised during the forum to double its African development aid to US$ 214 million by 2012.⁽¹²⁾

In 2010, South Korea then loaned – again under the auspices of the EDCF and within its framework of support for ecological projects in Africa – US$ 35 million to Mozambique in support of the construction of solar energy plants in Mozambique’s northern Niassa province. This financial support will aid in the construction of three solar energy plants with a capacity to generate 400 to 500 kilowatts of power. These solar energy plants will increase the number of households that have access to electricity: statistics show that a mere 2% of rural areas and 22% of urban areas in Mozambique enjoy electricity.⁽¹³⁾

During the 2010 KOAFEC (Korea-Africa Economic Cooperation) Ministerial Conference, South Korea announced that it intends to increase its aid to Africa to approximately US$ 1 billion. South Korea furthermore announced that it would be supporting 24 projects on technological cooperation with Africa with US$ 11 million from a joint trust fund at the African Development Bank (AfDB), that it would combat climate change, facilitate green growth in Africa, and foster greater IT sector cooperation with Africa by offering consulting for moulding and strengthening Africa’s IT industries.⁽¹⁴⁾

South Korea furthermore extended its US$ 200 million co-financing agreement with the AfDB in 2010 when the two entities signed an MOU.⁽¹⁵⁾ This MOU provides the AfDB with greater capacity to co-finance sovereign loans and sustain green growth in Africa. MOUs were also signed on knowledge partnership strategy and trade investment promotion.⁽¹⁶⁾

To illustrate the breadth of South Korea’s involvement, as it stands, under the auspices of KOAFEC, South Korea has provided Angola with loans for the following projects: agriculture modernisation project (US$ 31.4 million); government ICT infrastructure project (US$ 35 million); poultry processing project (US$ 49 million); establishment of advanced technology centre (US$ 46 million). South Korea has furthermore provided Cameroon with a US$ 35 million loan for the construction of advanced vocational training centres; Ethiopia with a US$ 16 million loan for the establishment of an Ethio-Korean technical college; Ghana with a US$ 30 million loan for technical and vocational education training; Kenya with a US$ 10.7 million loan for the expansion of a technical development centre; Madagascar with loans for a national disaster management centre (US$ 30 million); the construction of a hospital centre in Antsirabe (US$ 23 million); and for the rehabilitation Toliara Province Road No. 35 (US$ 14.12); Mali with loans for phase one of an irrigation development programme (US$ 21.6 million) and a government administrative network project (US$ 39.65 million); Mozambique with loans for the construction of a hospital in Quelimane (US$ 25 million); rural electrification in Gaza province (US$ 49.08 million); and for phase one of the Nacala Road Corridor upgrading project (US$ 20 million); Senegal with a US$ 25 million loan for government ICT infrastructure establishment; and Tanzania with loans for the establishment of vocational training centres (US$ 18 million); the Kilimanjaro-Arusha transmission line project (US$ 25 million); the construction of Malagarasi Bridge and Road (US$ 25 million); the improvement of the water supply system in Dodoma Town (US$ 49.6 million); and the establishment of Muhimbili Medical University Hospital (US$ 49.5 million).⁽¹⁷⁾

Concluding remarks

South Korea’s role in Africa is set to become more prominent and those African countries which are closely cooperating with South Korea may greatly benefit from such interaction. South Korean support for development initiatives may shield Africa from the harmful effects of the global financial crisis to some extent. Despite critics’ allusions to selfish exploitation of Africa by external actors, South Korea’s rapid economic and social development, and especially South Korea’s IT and agricultural expertise, holds valuable promise for the continents’ future. Part two of this paper will discuss South Korea’s economic interest in Africa and how these interests may affect the involved communities.

NOTES:

(1) Contact Casper Hendrik Claassen through Consultancy Africa Intelligence’s Eyes on Africa Unit ( eyesonafrica@consultancyafrica.com This e-mail address is being protected from spambots. You need JavaScript enabled to view it ).
(2) S.J. Kim, ‘Korea to help 16 African nations in rural development, agriculture’, The Korea Times, 7 November 2010, http://www.koreatimes.co.kr.
(3) M. Njagih, ‘Help much needed: Korea to help Kenya boost food security’, African Press International, 11 December 2009, http://africanpress.wordpress.com.
(4) H.S. Kim, ‘Korea transfers agricultural technology to six nations’, Korea, 14 May 2010, http://www.korea.net.
(5) Ibid.
(6) F. Obura, ‘Boon for farmers as Kari lands partnership with Korean firm’, The Standard, 13 October 2010, http://www.standardmedia.co.ke.
(7) C.W. Yeon, ‘Agricultural Technology with IT Convergence’, IT Times, 3 August 2010, http://www.koreaittimes.com.
(8) ‘South Korea to offer US$ 35M in assistance to Cameroon’, Balita, 26 November 2009, http://balita.ph.
(9) ‘Seoul to double Africa development aid to $214 mln by 2012’, Balita, 25 November 2009, http://balita.ph.
(10) Ibid.
(11) Ibid.
(12) Ibid.
(13) ‘S Korea loans 35 mln USD for solar energy plants in Mozambique’, Xinhua News, 20 October 2010, http://news.xinhuanet.com.
(14) J.H. Kim, ‘Korea to share experience with Africa’, The Korea Herald, 15 September 2010, http://www.koreaherald.com.
(15) R. Leonzon, ‘South Korea hikes aid for Africa’, Devex, 16 September 2010, http://www.devex.com.
(16) Ibid.
(17) ‘New Partnership with EDCF for Growth & Development’, KOAFEC, 2010, http://www.koafec.org.

Written by Casper Hendrik Claassen ⁽¹⁾