Michigan AfricaN Trade Hub (The MATH Centre)

The Idea

The Michigan African Trade Hub aims to establish a supply chain ecosystem connecting West Africa and Michigan. It focuses on importing agro-products (e.g., sesame seeds, cassava, raw cashews) and critical minerals like lithium, leveraging Metro Detroit’s strategic location and ports. The trade hub will include a warehouse in Southeast Michigan.

This facility will support import-export operations, timed shipping, and market outreach to independent grocery stores and businesses. The initiative seeks to pilot shipments, secure funding, and foster economic mobility, job creation, and opportunities for minority-owned businesses, particularly in the EV and electronics manufacturing sectors.

It also aims to promote exports of Michigan-made products to West Africa, creating a reciprocal trade relationship.

The Focus

The Michigan African Trade Hub also aims to:

  1. Integrate a Mineral Supply Chain: Utilize Michigan’s ports to import minerals. With growing demand for lithium in electric vehicles (EVs) and electronics, this initiative supports Michigan’s positioning as a gateway for critical mineral trade while boosting local EV and electronics manufacturing.

  2. Export Michigan-Made Products: Explore opportunities to export locally produced goods to West Africa, strengthening reciprocal trade ties.

  3. Job Creation & Business Opportunities: Facilitate minority-owned businesses’ participation in supply chains, create jobs, and foster economic opportunities in Metro Detroit and West Africa.

  4. Focus on Key Agro-Products: The hub plans to import items like cassava, raw cashews, and sesame seeds from Nigeria to Michigan. Sesame seeds, in particular, are in high demand in the restaurant industry (e.g., sesame chicken) and grocery stores for culinary and retail purposes.

 

The Ports

The Michigan African Trade Hub plans to strategically leverage Michigan’s ports to enhance the efficiency of its import-export operations and build a robust international trade system. Here’s how the ports fit into the hub’s strategy:

  1. Gateway for African Imports: Michigan’s ports will serve as entry points for key imports such as agro-products (cassava, sesame seeds, raw cashews) and critical minerals (like lithium from Nigeria). These ports provide direct access to the Midwest market, making it easier to distribute goods throughout the region.

  2. Critical Mineral Supply Chain: Michigan’s ports will play a crucial role in facilitating the import of lithium, which is vital for the state’s growing EV and electronics manufacturing sectors. The ports’ accessibility and logistics infrastructure make them ideal for integrating a seamless supply chain.

  3. Exports to West Africa: Alongside imports, Michigan’s ports will support the export of Michigan-made goods, such as manufactured products and agricultural machinery, to West Africa. This promotes a reciprocal trade relationship, expanding economic opportunities on both sides.

  4. Strategic Location: The proximity of Michigan’s ports to cities like Detroit, Westland, and Romulus ensures that the proposed 5,000-square-foot trade hub warehouse will benefit from streamlined logistics, reducing transportation costs and delivery times.

  5. Efficient Logistics for Timed Shipping: Ports enable the hub to implement its timed shipping approach, which aligns shipments with off-takers’ needs, minimizing the need for excessive storage while maintaining supply chain efficiency.

  6. Job Creation and Economic Impact: The ports’ integration into the hub’s operations is expected to create jobs in warehousing, logistics, transportation, and trade, contributing to Michigan’s economic growth.

By leveraging Michigan’s ports, the trade hub positions itself as a key player in facilitating international trade, fostering economic mobility, and establishing Michigan as a vital link in the global supply chain.