In an exciting development, the Fertilidea team, spearheaded by the CEO of African Business Exchange Italy Mr. Silas odiero, arrived in Zambia on the 28th of January 2024 hot on the heels of a fruitful encounter with H.E The President Hakainde Hichilema of the Repubic of Zambia during his official visit to Rome. The anticipation surrounding their arrival is palpable, marking the beginning of a promising chapter in cross-continental collaboration.

Upon touchdown, the team was graciously welcomed by Mr. Albert Halwampa, the esteemed Director General of ZDA (Zambia Development Authority), along with his dedicated team. This pivotal moment captured in the photograph signifies not only the commencement of a new partnership but also the convergence of expertise and ambition.

Silas Odiero

The event that was named Tembea Kenya cultural and business exchange, whose key  word “Tembea” means, to visit and share, was started with the sole objective of bringing together Kenyan and Italian entrepreneurs from various business sectors such as real estate, media, tourism, energy, fashion and culture,  to interact and exchange ideas.

In an interview with African Business exchange, the founder John Mwangi said that the Kenyans in Italy had become more active and vibrant than in the past and were ready and willing to bridge the economic gap between Kenya and Italy by creating a common platform where companies and investors from both countries could meet and engage.

The guests took to the stage amid traditional dances, tasty food and beautiful and well displayed traditional items and artefacts, to reinforce the powerful role played by the African Diaspora in the development of both their countries of origin and their hosting nations. The messages from all the key speakers revolved around the proven fact that what was once seen as a challenge was today an opportunity to be taken advantage of: “Africans living and working abroad are strong agents of change.”

Cleophase Adrien Dioma, Coordinator of the Italy Africa Business Week and the African October festival stated that it was encouraging to see African diaspora communities beginning to organize themselves in their cities of residence. He said it was very important for these communities to learn how best to organize and structure their efforts efficiently in order to create synergies with other local stakeholders in their specific areas.  He emphasised that the Italian government through the Italian Agency for Development which is under the Ministry of Foreign affairs, was eager to create new partnerships to unlock the potential of the public and the private sector to co-fund and propel start-ups by young African innovators in order to create long lasting small and medium businesses.

African governments such as  Ethiopia, Ghana, Mali, Nigeria, Rwanda, Senegal, Tanzania, Uganda and Kenya have acknowledged the decisive role played by the diaspora worldwide and have established specific agencies and ministerial institutions to establish stronger ties with their citizens working abroad, rightfully seen as valid resources in the short, medium and long term. Such institutions also provide guidelines and regulations to facilitate communication and economic flows between Africans working abroad and their counterparts in the countries of origin.

The African Foundation for Development and the African Diaspora Program launched by the World Bank, base their steps on the remittances made by the African diaspora. These remittances are actually said to be much more than the amounts recorded by aid organizations: in 2010 for example, the total diaspora contributions to Africa stood at $51.8 billion compared to roughly $43 billion in Oversea Development Assistance (ODA), according to the studies carried out by World Bank that year. Only two years later the World Bank figures showed that Africans in the diaspora sent back home no less than US$60 billion.

At the Tembea Kenya day, it was underlined that Kenya, in 2017 alone, received 1.7 billion USD in remittances from citizens working in the United Kingdom, the USA,  Japan and Italy among other countries that contributed smaller percentages.

This outstanding amount is said to be justified by the qualitative difference between the old and the new diaspora, the latter being formed by young and vibrant men and women prepared to discover new opportunities and become entrepreneurs and masters of their own destinies, rather than be hired by others in white collar jobs.  The remittances from the diaspora reach families, thereby helping them in their every day life by paying school fees, buying land and starting or improving local businesses. These contributions have an immediate and a long-term effect on peoples’ lives, thus representing a remarkable factor on the national building process.

Gianfranco Belgrano, the director of Internazionale, an international media group, who also spoke at the event, highlighted the important role of the media in clarifying the importance of the African workers to the Italian public. He stated that Africa was the present and the future of Europe and the world in general and hence opportunities like Tembea Kenya event, where people meet to exchange knowledge and experiences, were vital as possible avenues to building a better world than the one we live in today. He went on to say that the diaspora was a bridge and that the businesses they promote was the way to eliminate the negative stereotypes around Africa. “Let’s not forget that Africa is a booming continent, while Italy is still going through a crisis that is yet to end. In this exchange, Italy stands to gain more,” he said.

John Mwangi who is also the founder of Tembea – Italy Chapter shared his hope in light of the second edition of the event to be held next year saying, “This year we had ten exhibitors, next year we hope to have one hundred, in a much bigger location for at least two days because Italian and Kenyan banks are keen to be part of this event and to facilitate the establishment of business in both countries. This demonstrates that  African countries are now placing diaspora at the centre stage.”

By Giulio D’Ercole

The talks, held at De Santis Piazza office in Torino in early April was part of Konteh and his delegations visit to engage both business and political leaders in Italy.

Those part of the delegation included Ambassador Baryoh, the Consul General of Sierra Leone in Northern Italy, Mr. Alessandro Rosso, the Head of Chancery of the Sierra Leone embassy in Germany, Mr. David Gbenjeh, and the Acting Director of Investment Promotion, SLIEPA, Mr. Victor Bangura.

In the bilateral talks, Konteh explained that he led the team to Italy to introduce and promote key investment and trade opportunities in key economic sectors to Italian businesses, and Torino in particular.

He said, under the New Direction of His Excellency, Sierra Lione President Julius Maada Bio, the country is interested in working closely with private sector investors as partners to diversify the economy and create wealth for its people.

He furthered stated that the West African country can be a better place to do business and that its untapped investment potentials speak to the economic development drive like that of Italy.

“Central to our development agenda is our flagship program: Human Capital Development, and we expect the private sector to contribute to skills development to achieve this agenda,” Konteh said.

He reiterated on the fiscal regimes put in place for businesses and that the Sierra Leone Investment and Export Promotion Agency (SLIEPA) can provide all the necessary facilitation services to investors to speedily actualize their investment because the country believes in trade and not aid.

SLIEPA Acting Director of Investment Promotion, Mr. Victor Bangura said the Government’s aggressive business reforms are geared towards creating the conducive environment for investment.

Further, he noted that the agency has dedicated its resources to provide investor aftercare as a key priority of the Agency.

Among others, he highlighted Key on-going reforms in the country such as the quicker time is taken and lesser cost paid for starting a business, protecting minority investors, the implementation of the National Land Policy to improve land acquisition processes for investors and harmonizing the fiscal regimes.

Sierra Leone’s Ambassador to Germany (also accredited to Italy and Austria), Dr. M’Baimba Lamin Baryoh underscored the diplomatic relationship between Sierra Leone and Italy and said his focus during his tour of duty is to deepen that relationship through trade and investment.

As part of that commitment, De Santis assigned Giulia Marcon – Manager for International Affairs sector as the focal person to liaise with the delegation to plan a visit to Sierra Leone with some Italian businesses later this year.

Responding to the delegation, De Santis said she was impressed with the level of development since the new government came into place.

” I am optimistic that both countries can do business together,” she said.

As part of that commitment, De Santis assigned Giulia Marcon – Manager for International Affairs sector as the focal person to liaise with the delegation to plan a visit to Sierra Leone with some Italian businesses later this year.

The delegation further engaged Dario Gallina, President Unione Industriale of Torino and the Mayor of the City of Torino, Her Worship, Chiara Appendino, where they discussed cooperation with a network of over 2,500 businesses.

This, besides the need to invest in Sierra Leone and also an exchange program with the Sierra Leone medical school; all showing their willingness to closely work with the government and the people of Sierra Leone on trade and investment.

Where did the story of Pavoni Stone Cutting Machines begin?

Alessandro: The Pavoni story dates back 31 years to the history of the Italian Tuff industry which saw the establishment of many quarries most of which later closed down due to lack of adequate demand, leaving companies such as ours without much work. At that time Frattelli Pavoni as the company was known then, was one of the companies that was specialised in small stone cutting machines which were highly demanded due their efficiency and reliability. When the market started shrinking, we found ourselves with no choice but look elsewhere, and Africa turned out to be our easiest target owing to the relationships that existed between Italian quarry owners and their African counterparts .  We explored many markets but one of the countries that received us with a lot of enthusiasm was Kenya. To our surprise the quarries in Kenya were so much bigger than the ones in Italy which meant that we had to redesign our machines to make them bigger and more robust for that market. We basically adapted our machines to meet the needs of the Kenyan clients, in fact our machines are built with unique specifications through joint participation with the clients thus coming up with a product that is a perfect fit for the market and this has perhaps played a huge role in our success because the client gets exactly what they need.

So when did you venture into Africa?

Alessandro: In the late 80’s, in fact the first quarry in Kenya was owned by an Italian who was a friend to Pasquale. Kenya was much different then. I must say the face of Kenya has really changed from the time we first visited – the country has developed really fast and we are very proud to be part of that story, and to be instrumental in its quest for further development given there is a huge potential with so much still left to be done.

Why did you choose Kenya?

Aldo: When we started our venture into foreign markets, we exported to many countries, among them Libya, Tunisi , Yemen and a few countries in Latin America, the choice to focus more on Kenya was not a deliberate one but rather a natural one that was probably influenced by the economic  boom and rapid development in Kenya and as I said a track record of excellence and good relationship built over time from the time Pasquale started his engagement in the country. The coming up of a more sophisticated middle class has also given birth to a unique class of entrepreneurs that have grown to become a part of our clientele. Kenya also has good infrastructure and well-built functional structures that compliment business and create a friendly environment for businesses to thrive. I think this explains why 70 to 80 percent of our sales are from Kenya.

How did you manage to build such strong bonds with Africa?

Alessandro: Pasquale Pavoni made several trips to Africa especially Kenya, creating relationships and I believe we have done a good job of building on that, in fact we have enhanced the value of those relationships to position ourselves as true partners by making sure that our clients feel part and parcel of the production process. Our approach has always been to build long term relationships and also provide long term solutions.  In deed when we took over from Pasquale Pavoni in 2008 after his retirement, we conserved the same methods and guaranteed continuity in order to benefit from a very rare connection that he had built over time. The English say “if it ain’t broke don’t fix it” and that is what we did, carry on from where he left.

What makes you successful in Kenya and Africa as a whole?

Aldo: I would say attention to Detail. Every component is done by us, so we have full control of the whole process and are able to monitor and ensure we give our clients the very best quality products. Our machines are very durable, some of the machines we sold 25 to 30 years are still running and it makes us really proud when we go around the quarries with potential clients because they see our machines and simply fall in love with them. Our machines speak for themselves. Our capacity has also grown with time and now we are now able to produce up to four machines per month which is a good thing. I think this gives us an edge over the competition.  Most of the companies who sell our kind of machines, buy separate parts which they then assemble. The risk with that is that you lose control of part of the process and your delivery time is also dependent on other suppliers who may sometime delay due to unavoidable circumstances making it difficult to guarantee continuity and consistency to a clientele that is becoming more and more sophisticated and demanding.

You seem to have a special affinity for Africa, why is that

Aldo: Most Africans are easy to deal with once you get to understand them. They are very warm and kind, and it takes much less effort to establish true friendships. We have a good feeling especially with Kenyan. I think it would be right to say that the kind of treatment you get in Kenya is very difficult to find elsewhere.

What future do you see with your company in Africa?

Aldo: We believe Africa is the next frontier. The potential is immense. Things can only get better with time as the infrastructures continue to improve in almost all of the main regions of Africa.  We have noticed that our clients have become more autonomous and more prepared to deal with some of the small technical issue regarding our machine which is a very positive thing in our growth plan. They are able to give us the kind of feedback that is useful not only in developing our machines but also our approach and strategy to doing business in Africa, thanks to the close relationships that we share with them. I must add that our vision is much different from that of many companies because we ventured into Africa when there was no competition at all, more companies have now discovered and are getting into Africa.

What other countries of Africa are you interested in?

Aldo: Currently we are looking at countries such Tanzania and Somali, even if it has conflicts and other institutional problems that might make it difficult to do business there. In fact, we already have our machines in Tanzania and Somali even though they are very few for now. We are also interested in countries like Angola, Rwanda Djibouti and Ghana among others. We basically see opportunity in every country where there are good stones and quarries, because most of the companies in Africa are still using less advanced means of cutting stone. Our machines would not only enhance the capacity of the individual quarries but also the building and construction industry as a whole in any country we go to, since our machines are capable of producing between 20000 to 350000 perfectly cut stone per day.

What are some of the challenges you have had to face?

Aldo: I think one of the issues maybe the difficulty that some potential clients have in raising the initial capital to buy our machines even though more and more entrepreneurs are beginning to have more access to capital especially through asset financing offered by various African banks. The other challenge we have is government structures and policy. Some countries have poor policy compared to others making it almost impossible to enter the markets. Some countries also have the problem of concentrating development in just a few areas, mostly in the main cities while neglecting other parts of the country, making it difficult to expand. Development in a place like Kenya for example is well balanced because the government funds are spread out in the 47 counties which are very active and manage their own budgets. Thika and Juja areas in Kenya are examples of counties that have a history of dependence on stone cutting as a source of income in fact the towns (Thika and Juja) have been built around the quarries.

Where do you see Africa in the future?

Alessandro: There is great opportunity in African and one can see it in the presence of some of the biggest multinationals in the continent. During my last visit in Kenya, I noticed for example that there are so many Italian companies who have set up in the country, which is a clear sign that more and more investors are beginning to have confidence in the opportunity that Africa has to offer. Most of these companies especially Italian, bring only know how to Kenya, there are many Italian restaurants some of which do not have a single Italian working in them, the Italians have simply passed the know-how which is very interesting

What I always tell our African clients who come to Italy is that Africa must decide the future it wants for itself. The Kenyans and Africans in general are getting more educated and hence better placed to understand what is best for the continent.  Most big cities in Africa today look more and more westernised and that’s ok. What I would like to urge Africans from the bottom of my heart though, is that they must conserve their culture and identity because this is the back-borne of any successful economy. everything must revolve around this. One needs to know that he can come to Africa or Kenya for that matter and enjoy nature and the beautiful view of the sunrise and sunset which are things that may be taken for granted but that many people around the world long for but will never have. Modernity is good but should not take away everything.

What advice do you have for European companies that are planning to do business in Africa?

Alessandro: I can speak for the countries where we are represented and say that Africa is hungry for true partnerships based on mutual respect and more than anything trust. There is so much to do in Africa for those that are willing to trust not only in Africa and the opportunities therein, but also in the African people themselves and their capacity to be able to play an integral role in helping investors build strong foundations for huge enterprises that can harness the enormous potential of a continent whose real riches are yet to be fully discovered and explored. This may take time like it did in our case. But they must be seen to be doing something, they must put their best foot forward to show they believe in African and are willing to walk with Africa in the realisation of the African dream.

According to the minister, international Development Cooperation must become a pillar for relations between Italy and the African states. Thus, Italy must increase its International Aid budget, with the aim of bringing it to 0.5% of the Gross Domestic Product (GDP), just like Germany. The minister however, pointed out that the Italian government should not only peg its investments in the development of the continent to ethical and moral issues but also to economic ones, so that the Italian system can realize its full potential in the world.

He emphasized that this is the real ultimate bet that Italy must be willing to take in order to change the quality of its relations with Africa, so as to trigger the spark of a balanced and sustainable economic development and not only a buffer to poverty. The exports of Italy’s mechanical industry are worth more than the those of food, fashion and design put together; and Africa needs Italy if it is to start any serious industrialization process, however it is also important to train those who will use the machines, said the minister, to underline the potential of these markets.

It is also important for the European Union (EU) to open up and be willing to change its approach in the way it relates with Africa. The funds allocated by the EU budget to internal Cohesion (the funds for the less developed European regions, such as Southern Italy for example) should, according to the minister, be gradually moved to external cohesion, or to bolster the economies of the states neighbouring the European Union. According to the minister, in order to promote the development of the African continent, EU agricultural subsidies and protectionism should be reduced to encourage the arrival of more African products in Europe.

In 2012 Italy allocated 0.14% of the GDP to the International Development Cooperation. This percentage rose to 17% in 2013, to 0.19% in 2014, to 0.22% in 2015, to 0.26% in 2016 and now, according to the commitments made by the government, it should reach 0.27%. % in 2018 and 0.3% in 2020. The funds allocated for 2018 amount to about 5 billion, however, a substantial part of the funds will remain in Italy for use in the management of migrants. In 2017, as much as 40% of the funds earmarked for international cooperation was utilized on migrants.