The transformative impact of regional integration and industrialization in the SADC, 2000-2015

Abstract

Industrialisation is vital for developing countries‘ quest for sustainable growth, development, and transformation. This article examines the SADC region‘s stated objective of industrialisation and regional integration as an approach towards achieving industrialisation. This is done through an analysis of manufacturing activities as a measure of industrialisation, in relation to regional integration to determine the significance of manufacturing to the development of member states of the SADC. It examines the increase or decrease in the region‘s manufacturing sector and its significance to economic growth for the period 2000-2015. The article is not concerned with SADC‘s advancement visà-vis the stated sequential integration milestones. Instead, it focuses on claims that manufacturing is significant for integration and a significant contributor to economic growth. It also uses a mixed-methods design based on secondary sources and an examination of qualitative and quantitative data in an attempt to understand the transformative impact of regional integration on industrialisation. The latter has been consistently noted as the key driver of sustainable growth, development, and transformation, even more so for developing countries. Forward and backward linkages in the manufacturing sector and economies of scale give it a slight edge over other sectors insofar as contributions to development are concerned. This article argues that contrary to the expectation that regional integration in the SADC would lead to industrialization, the economies in the region have rather experienced deindustrialization.