PAMA Editorial: Manufacturing Imperatives-Energy, Policy, and Investment
The Pan- Africa Manufacturers Association (PAMA) has through its PAMA Editorial October 2025 “Manufacturing Imperatives: Energy, Policy, and Investment” emphasized that Manufacturing is once again the true test of economic leadership — a measure of how effectively nations can translate ambition into productivity and policy into investor confidence and growth. It noted that yet rising energy costs, supply-chain disruptions, volatile commodity prices, and rapid technological change are testing the limits of industrial performance.
PAMA stated that around the world, governments are recognising that sustainable growth depends less on fiscal policy or digital ambition and more on a resilient manufacturing base, adding that those that align energy reform, industrial strategy, and private investment will lead the next frontier of global growth.
This edition examines how these forces are shaping Africa’s manufacturing landscape and the policy choices that will define its competitiveness in the years ahead.
The cover analysis of the bulletin on Energy as the Lifeblood of Manufacturing, highlighted that Africa’s Manufacturing and Energy Deficit, captures a truth too long ignored: without reliable electricity, industrialisation is a mirage.
“Across the continent, factories fall silent under the weight of power outages that now last an average of 56 days a year. Nigeria alone spent over ₦1.1 trillion on self-generation in 2024 — a staggering burden that effectively acts as a tax on productivity.
“Yet amid the crisis lies opportunity. Africa’s energy deficit can become its development catalyst if governments align energy reform with industrial policy. Expanding renewable generation, modernising grids, and enabling private-sector off-grid solutions will not only power factories but also ignite jobs, innovation, and inclusive growth. The future of Africa’s manufacturing depends on turning kilowatts into competitiveness,” it stated.
PAMA examined Trade Policy as Industrial Strategy and hinted that from Washington came another policy shock: “The United States’ new 100% tariff on branded pharmaceuticals, aimed at forcing foreign manufacturers to produce locally. While controversial, the move demonstrates how trade policy can serve as an industrialization lever.”
It acknowledged that for Africa, the lesson is clear, noting that trade agreements and procurement policies must be crafted to attract production, not just imports.
PAMA maintained that by establishing regional pharmaceutical hubs, providing clear incentives for local investment, and enforcing regulatory harmonisation under AfCFTA, Africa can shift from being a consumer of other nations’ value chains to a creator of its own.
On commodities: relief and risk, it declared that the September 2025 commodity review offers mixed fortunes, ranging from Lower oil, sugar, and freight costs provide short-term relief to African manufacturers, but the collapse of cocoa prices threatens export earnings for West Africa.
Meanwhile, it stated that metals such as copper and gold remain volatile, reflecting deep global uncertainty, stressing that “these shifts remind policymakers that Africa’s industrial competitiveness depends on more than global prices. Smarter procurement systems, hedging mechanisms, and regional processing hubs must be institutionalised so that volatility fuels innovation rather than crisis.”
On continental integration and industrial vision, it expressed in brighter news that Angola’s decisive step toward implementing its AfCFTA strategy marks a milestone for regional integration.
PAMA noted that the linkage between industrial policy and trade liberalisation is now undeniable, noting that Angola’s Lobito Corridor and national action plan is a model worthy of emulation as it signals how infrastructure, logistics, and manufacturing can align to unlock Africa’s collective potential.
On counterfeiting and intellectual property protection, this editorial cited the OECD’s alarming findings on counterfeit trade — worth over USD 467 billion globally — spotlight another front in the fight for industrial survival, adding “Africa, though not a leading source of fakes, is a growing target and transit hub. Counterfeit medicines alone claim an estimated 500,000 African lives each year. Protecting intellectual property is no longer a legal nicety — it is an industrial imperative.”
PAMA calls for stronger enforcement, cross border data sharing, and digital traceability systems to defend African brands and safeguard consumers.
It mentioned economic resilience amid volatility, noting that “these structural shifts are unfolding against a diverse macroeconomic backdrop across the continent. Ethiopia’s 8.1% growth, Morocco’s price stability, Nigeria’s decelerating inflationary pressures, and Ghana’s reform driven optimism stand beside South Africa’s sluggish recovery.”
—The Editorial Board, PAMA Manufacturing Global News Bulletin