China 'wants to set up factories in Africa'

The Chinese government has shown "strong interest" in setting up factories in Africa, helping the continent develop a manufacturing base and boost its economy, the president of the World Bank said today.

While most attention on China's investment in Africa has focused on its large-scale pursuit of natural resources, experts say a growing number of the country's entrepreneurs are experimenting with production there.

However, some questioned whether the workshop of the world was ready to outsource much of its industry.

"There is not only willingness but strong interest among some in China, and I've discussed with the minister of commerce, Chen Deming, that there may be possibilities of moving some of the lower-value manufacturing facilities to sub-Saharan Africa, toys or footwear," Robert Zoellick, the president of the World Bank, told the Financial Times.

He suggested Chinese knowhow in production and marketing could boost Africa's declining share of international trade, but admitted infrastructure improvements were needed to attract companies.

It is thought the scheme might involve creating industrial parks -- possibly part-funded by the World Bank and China -- so companies could settle in quickly and operate more effectively.

The institution sees manufacturing as a missing element in the continent's development.

China is keen that its presence in Africa should be seen as more than a resources grab