The full access to Mali is almost two million km2, and despite being a vast country that is large landlocked in the Sahel region of West Africa, it contains significant agricultural areas along the Niger River and vast areas of mineral resources, and particularly of gold. Nonetheless, the economy is still heavily dependent on agriculture, mining, cotton production, and services, despite government and development partner attempts to refocus toward including agro-processing, renewable energy, the production of construction inputs, and logistics. With Industrialization and more local value addition than is the tendency now, Mali is considered an increasingly interesting site for investment compared to the rest of Francophone West Africa.

Reasons to Start Industry in Mali

1. Strategic Location and Regional Linkages

Although landlocked, Mali has a strategic position in West Africa and trade routes which give it access to major seaports in neighboring countries like Senegal, Côte d’Ivoire, and Guinea; Mali’s membership in ECOWAS and WAEMU makes the regional trade and cross-border investment duty-free.

2. Abundant Natural Resources

Mali is one of Africa’s largest gold producers and also has reserves of bauxite, phosphate, iron ore, and limestone; the fertile plains adjacent to the Niger River, provide an ideal area for the production of cotton, rice, millet, maize, and horticultural crops to support agro-industrial development.

3. Focus on Economic Diversification

The state’s declared focus is on industrialization, renewable energy, modernization in agriculture, and the promotion of SMEs. The country already has several programs in place that are aimed at attracting domestic and foreign investors to help change Mali’s natural and human resources into sustainable value chains. 

4. Young and Affordable Workforce

Mali has a young and rapidly expanding labor force that can offer an affordable working population to support sectors such as agro-processing, light manufacturing, and construction. The sector can reach strong cost competitiveness within the region.

5. Renewable Energy Potential

Mali has a high degree of solar irradiation and good untapped small-hydropower resources that can provide the country with unexploited opportunities for exporting solar farms, mini-grids, and rural industry energy solutions.

Availability of Raw Materials and Supporting Factors

• Minerals

Gold and others only make equal earnings since gold decimates exports earning; Iron ore, limestone, phosphate critical for mineral processing, refining and mining services 

•  Agriculture and cotton

 The rapture of the European produce is equal to Mali, Africa second-largest cotton producer and loin, cotton as also appropriate for ginning for oil edible, lulled products from rice except for oil milling, and textile she wore. 

•  Livestock and fisheries

Cattle, sheep, goats, meat processing, and leather products number...; sheep and goats as the topping numbers as well as dairy products. As for Lac based manufacturing, Inner fisheries or lizards are also feed fishing industries.

Why Select Industry for Startup in Mali

1) Agro-Processing and Food Industry

Opportunity: rice milling, edible oil refining, fruit drying, vegetable canning, cassava starch, sugar processing, etc.

Rationale: Demarcated as a strong raw material base, large domestic market, and regional export opportunities.

2) Cotton Textiles and Apparel

Opportunity: ginning, spinning, weaving, garment production, etc.

Rationale: The favorable conditions of Mali’s cotton and trade-related incentives can collectively act as a sustainable basis for the establishment of the cotton textile and apparel center.|

3) Mining Services and Metal Fabrication

Opportunity: gold refining, mineral testing laboratories, manufacturing of professional mining equipment, maintenance repair, etc.

Rationale: The mechanism of value addition to the mineral exports of Mali and support for the beneficiation efforts made by the country.

4) Renewable Energy and Solar Equipment

Opportunity: solar farm installation, development of mini-grids, solar-powered irrigation systems, cold storage, etc.

Rationale: To meet the demand for rural electrification and support agro-processing.

5) Construction and Building Material

Opportunity: production of cement, ceramics, tiles, prefabricated houses, paint, etc.

Rationale: The compelling rate of urbanization and the need for the availability of local material products with which to build.

Market Demand

• Rising domestic demand for processed foods, consumer goods, and housing materials due to the population growth.
• Regional trade expansion with the 15 members of the Economic Community of West African States creates access to a 350+ million consumer market. 
• Government procurement in energy, construction, and infrastructure supports local industry. 
• Urbanisation and the income growth create new markets in housing, retail, and services.

Government Support and Incentives

The Malian government, through its investment promotion agency, offers a range of incentives to attract investors:

Other incentives include tax holidays and customs exemptions to eligible sectors. Additionally, investors are allowed to duty-free import machinery, equipment, and raw materials to be used in the approved projects. 

Furthermore, investors are entitled to land and infrastructure support in the industrial zones among the many others. 

Profits and dividends for foreign investors are allowed back repatriation. Investors can also benefit from the public and private collaboration in power, infrastructure, and agri-value chains. Interested investors should contact the National Agency for Investment Promotion in Mali  for more information on the updated frameworks.

In sum, these factors result in a matrix of investment opportunities that can potentially turn Mali into a location for sustainable industrial development. Given these factors, the most intriguing industrial opportunities can be found in the sectors of agro-processing, mining services, renewable energy, as well as construction materials and logistics: of them linked to a natural resource and linked to a national diversification opportunity. This scenario leads to the conclusion that Mali can be considered for resource-driven, high-growth, export-oriented manufacturing. The latter implies both the high necessity for supportive government interventions and an increasing market volume.