Senegal is set to establish a new special economic zone (SEZ) in the Louga region as part of its National Industrial Development Strategy. The insights were provided by the Minister of Commerce, Industry, and SMEs, Serigne Gueye Diop. The minister provided these remarks earlier this week during a visit to the Louga Textile Industrial Platform. The minister also noted that he requested 50 hectares of land to be set aside for the SEZ project. The government’s scope of implementation entails constructing eight industrial hubs, with 14 more planned in the second phase.
Furthermore, the project seeks to drive growth and creation as its main agenda. It is part of a broader plan to develop 45 SEZs in the country, projected to generate around 3 million jobs. Minister Diop insisted, “The government aims to establish a new industrial policy focused on national self-sufficiency and fostering local innovation through the creation of these special economic zones.”
The Significance of the New Special Economic Zone in Senegal
The new special economic zone in Senegal is expected to be immensely significant in accelerating economic growth. Furthermore, it will facilitate rebalancing trade in the Louga region and the nation in general. The project also seeks to give investors developed land and produce direct and indirect job possibilities for Senegalese. Moreover, it aims to draw in foreign direct investments and support domestic value creation. The nation currently has three SEZs located in Diass, Diamniado, and Sandiara. The first two zones are focused on textiles, foods, and the production of other goods.
However, the Sandiara SEZ is focused on leveraging investors in the manufacturing, energy, and logistics industries. The zone is located in a 100-hectare patch of land, 105 kilometers from the capital city of Dakar. Through this, Senegal seeks to diversify its industry by ensuring that it has a sustainable economy. Furthermore, the projects compel the country to develop suitable infrastructure, such as good roads, thus improving other sectors.
The State of Affairs Regarding the Implementation of SEZ Projects in Senegal
The prevalence of projects such as the new Special Economic Zone in Senegal has received accolades from various government dignitaries. One of them is the first Deputy Mayor of the Municipality of Sandiara, Aliou Gning. “Senegal has a negative trade balance, and implementing SEZs is a good way to boost exports and reduce trade deficit,” he stated. Furthermore, providing insight during the SEZ in Sandiara, he noted, “We have received a large number of applications, and we intend to build a power station and a refinery to handle first gas and first oil.” Senegal is one of the first nations in West Africa to develop SEZs, but others are also picking up the pace.
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Other Similar Projects in West Africa
Apart from the implementation of the new Special Economic Zone in Senegal, Gambia is also closely behind in implementing its own. Gambia is still on track to construct the GIETAF SEZ, which started in 2018. The project is a joint venture between TAF Africa Homes Global and the Gambian government through the Gambia Investment and Export Promotion Agency. The 10-year project is expected to be one of West Africa’s largest SEZs, providing approximately 50,000 direct and indirect jobs. Furthermore, the project is the single greatest investment in Gambia’s history, totaling $300 million. Gambia’s president has often shown support for the initiative and reaffirmed the government’s commitment to ensuring its delivery.
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