Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
Enhancing UNIDO’s Industrial Capacity Building Tools
Presentation of key findings from the final report
Industrial Capacity Building Tools Presentation of key findings from - - PowerPoint PPT Presentation
Enhancing UNIDO s Industrial Capacity Building Tools Presentation of key findings from the final report Maria da Graa F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015 THE PROJECT Overview and
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
Presentation of key findings from the final report
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Overview and objectives
London School of Economics and Political Science and UNIDO collaboration. The consultancy project is part of the LSE graduate programme MSc Development Management.
Maria da Graça F. A. Prado Michael Mbate Anja Rangette Jonathan Rejaud Armin Scheffczyk
Deliverable
Project report (10,000 words) delivered 27 April 2015
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Conceptual framework Case study: Brazil Case study: Kenya Q&A Recommendations
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Is evidence-based analysis already part of industrial policy strategies in developing countries and, where it is not, what can it contribute? Is EQuIP a relevant and effective tool capacity-building tool for country- specific industrial diagnosis?
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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countries
diagnosis/monitoring
policies
implementation stage
and conflicting priorities
consultants
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Relevance Effectiveness
plans / political discussion
sustainability
themes
analysis:
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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studies: Brazil, Kenya
EQuIP to cases + five benchmarking countries
DATA COLLECTION
Overarching themes of the case study analysis for the application of EQuIP
DISCUSSION AND SUGGESTIONS
Assessing EQuIP’s relevance and effectiveness for industrial policy
CONCEPTUAL FRAMEWORK
Analysis of EQuIP application results in the context of country industrial policy plans
CASE STUDY ANALYSIS
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Industrial, Technology and Foreign Trade Policy (PITCE): emphasis on technology, innovation and exports. Human capital and infrastructure for doing business. Productive Development Policy (PDP): renewed importance on sustainable industrial production, addressing export diversification, SMEs, employment, and promotion regional trade. Greater Brazil Plan (PBM): innovation, technological upgrade, export diversification, human qualification, sustainable production, regional and non-regional focus
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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EQuIP PITCE PDP PBM
Tool 1: Industrial growth and capacity - domestic and export dimensions
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Tool 2: Sub-sector competitive performance
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Tool 3: Industrial and export upgrading
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Tool 4: Diversification - domestic and export dimensions
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Tool 5: Inclusive industrial development
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Tool 6: Greening industry - energy efficiency and vulnerability
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Tool 7: Global Value Chains (GVCs)
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Tool 8: Industrial organization and firm profiling at sub-sector level Tool 9: Industrial capabilities
✔ ✔ ✔
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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The application of EQuIP shows interlinkages and conflicting objectives that helps in the process of capacity- and skill-building
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Other themes of analysis underscore similar conflicts, trade-offs and also synergies in the process of industrial policy implementation. Brazilian case reflects how capabilities are built in this process. In countries with multiple institutional instances involved in industrial policy EQuIP can enhance the communication link between the agencies and ministries.
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Objective of Kenya’s industrial policy: To promote labor intensive, commodity based, technology-intensive and value added upgrading underpinned by strong infrastructural capabilities. Approach undertaken in the report: Conduct an industrial policy diagnosis to assess how Kenya’s performance is aligned or deviates from the set national objectives
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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EQuIP tool is not only aligned with the objectives of the KNIPF but also introduces new aspects which Kenyan policymakers should be wary of.
EQuIP KNIPF
Tool 1: Industrial growth and capacity - domestic and export dimensions Tool 2: Sub-sector competitive performance Tool 3: Industrial and export upgrading Tool 4: Diversification - domestic and export dimensions Tool 5: Inclusive industrial development Tool 6: Greening industry - energy efficiency and vulnerability Tool 7: Global Value Chains (GVCs) Tool 8: Industrial organization and firm profiling at sub-sector level Tool 9: Industrial capabilities
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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EQuIP framework provides policymakers with a comprehensive view of industrial policy at both the macro and sub-sector level:, EQuIP shows that Kenya performed well in both absolute and relative terms,
SCORECARD: Kenya's Manufacturing Sector Dimensions Industry indicators (MVA) Trade indicators (Exports) 1995 2005 2013* 1995-2013 1995 2005 2013 1995-2013 Structure (%) 9.9% 11.8% 11.7% 1.8 28.1% 32.4% 36.0% 8.0 Capacity (Current USD) 27.6 55.2 129.9 3.7 37.4 61.9 89.9 1.4 Impact (%) 0.01% 0.03% 0.04% 3.08% 0.03% 0.03% 0.03% 0.59% Food, Beverages & Tobacco Dimensions Industry indicators (MVA) Trade indicators (Exports) 1990 2000 2010 1990-2010 1990 2000 2010 1990-2010 Structure (%) 38.5% 33.0% 37.2%
14.9% 22.7% 22.3% 7.4 Capacity (Current USD) 15.1 11.8 23.8 57% 3.4 4.3 13.7 309.5% Impact (%) 0.1% 0.0% 0.1% 0.0 0.1% 0.1% 0.0% 0.0
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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EQuIP highlights that policy makers should be cautious of the static nature of ‘growth enhancing sectors’. Labor intensive sectors are shrinking and capital intensive sectors emerging. Other (most) sectors are stagnant.
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Contrary to the objective KNIPF, EQuIP shows that MHT exports stagnated around 10% between 2000-2010. In other countries such as Tanzania and Ethiopia, this performance has regressed overtime.
competitiveness
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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EQuIP highlights constraints on infrastructural capacities in Kenya, especially the energy sector.
KNIPF underscores the importance of industrial ‘enablers’, such as infrastructure, finance, energy and innovation..
GERD funding (2010, in %)
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Effectiveness Provides an overview over trends in key policy areas
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Effectiveness Highlights trade-offs and conflicting policies
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Regional trade
‘Kenya aims to become the provider of choice for basic manufactured goods in Eastern and Central Africa’ (Vision 2030)
Visualization of trade streams
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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External factors
Currency exchange rates, commodity prices, ..., inform industrial strategy-making
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Triangulation
Streamline tools to build capacities and emphasize ‘starting point’
Tool 4: Diversification Tool 9: Industrial capabilities
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Disaggregation
Highlight important structural characteristics of certain indicators
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Training
to its full potential
emphasize the ‘starting point’ objective
Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Maria da Graça F. A. Prado, Michael Mbate, Anja Rangette, Jonathan Rejaud, Armin Scheffczyk | 29 April 2015
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Postal address
London School of Economics and Political Science Houghton Street, London WC2A 2AE UK
Maria: M.D.Ferraz-De-Almeida- Prado@lse.ac.uk Michael: M.Mbate@lse.ac.uk Anja: A.A.Rangette@lse.ac.uk Jonathan: J.P.Rejaud@lse.ac.uk Armin: A.Scheffczyk@lse.ac.uk