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AFRICA
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SILK ROAD:
CHINA AND INDIA
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S NEW ECONOMIC FRONTIER
High Indian and relatively high Chinese tariffs on agricultural products are of particular concern because higher tariff rates tend to be applied to the products in which African countries have growth potential. African countries have been traditionally strong in agricultural products and are experiencing high growth in
exporting to Asian countries, including China and India (see chapter 2). However, China is a relatively liberalized market, with zero or close to zero tariffs on 45 percent of its imports. China also has plans to further lower its tariffs and bring about lower dispersion in the structure of tariffs by the end of In the case of coffee, India imposes a 100 percent tariff
on unroasted coffee beans, while China imposes a tariff of 15 percent on roasted coffee. Although the absolute level of coffee imports of China and India is not comparable to that of more advanced Asian countries, such as Japan, the rise of incomes in China and India has stimulated a much higher growth rate in overall coffee imports from the world (figure TABLE 3.2
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