International Copyright, U.S. & Foreign Commercial Service and U.S. Department of State, 2015. All rights reserved outside of the United States.
“Madagascar elected a new President in January 2014, representing a return to constitutional order after a prolonged political crisis. Subsequently, the United States lifted all sanctions on the country, and reinstated its eligibility for preferential trade benefits under AGOA. This is expected to increase trade, and spur growth particularly in the textiles industry. Madagascar also offers opportunities in the extractive industries. It recently became a major exporter of Nickel, Cobalt and Ilmenite, while a number of international oil companies are currently exploring for hydrocarbons. Expected growth in the textiles, minerals, and hydrocarbon industries presents opportunities for U.S. exports of machinery and capital equipment to supply these sectors.
Additionally, Madagascar’s rich biodiversity and high level of endemic plants and animals could serve as the basis of potential investment in the eco-tourism sector. Despite Madagascar’s poverty, its unique natural environment, wide variety of resources, competitive labor force, and location on the crossroads between Asia and Africa offer potential long-term investment opportunities. While continued challenges exist for good governance, the prospects for political stability appear more positive since the formation of a new government.
This commercial guide is designed to provide U.S. exporters and investors an overview of the opportunities available in Madagascar, as well as a general guide to doing business in the country.”