Trade lessons for Africa in the aftermath of the flight disruptions
Summary
This research paper examines the economic impact of the 2010 European airspace closure caused by the eruption of the Eyjafjallajokull volcano in Iceland on African trade. It highlights the vulnerability of agricultural exports—specifically perishables like flowers—and argues that the crisis serves as a wake-up call for African nations to diversify their export destinations beyond Europe to include South-South trade partners like Brazil, India, and China.
Key insights
- The closure of European airspace caused significant revenue losses in the aviation sector, with initial estimates placing losses at US$1.7 billion, and impacted Europe's tourism industry by approximately US$1.32 million.
- While Africa's bulk commodity exports transported by sea were largely unaffected, countries relying on air-transported horticultural perishables suffered severe losses. Kenya lost nearly US$3 million per day over six days, and Uganda lost approximately US$4 million during the same period.
- Agriculture is a critical economic pillar for Africa, accounting for roughly 30% of GDP and employing 65% of the labor force, with a significant portion of rural employment in Sub-Saharan Africa consisting of self-employed women farmers.
- The crisis demonstrates the danger of Africa's heavy reliance on Europe as a primary trading partner. The author argues that African countries must diversify export destinations and explore South-South trade opportunities with fast-growing developing markets such as Brazil, India, and China to mitigate risks from natural disasters or trade restrictions.
Cite the original document
- APA
- South African Institute of International Affairs (2010). Trade lessons for Africa in the aftermath of the flight disruptions. https://saiia.org.za/research/trade-lessons-for-africa-in-the-aftermath-of-the-flight-disruptions/
- Chicago
- South African Institute of International Affairs. Trade lessons for Africa in the aftermath of the flight disruptions. 2010. https://saiia.org.za/research/trade-lessons-for-africa-in-the-aftermath-of-the-flight-disruptions/.
- Wikipedia
- {{cite report |author=South African Institute of International Affairs |title=Trade lessons for Africa in the aftermath of the flight disruptions |date=3 May 2010 |url=https://saiia.org.za/research/trade-lessons-for-africa-in-the-aftermath-of-the-flight-disruptions/ |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{southafricaninstituteofinternationalaffairs2010trade, author = {{South African Institute of International Affairs}}, title = {{Trade lessons for Africa in the aftermath of the flight disruptions}}, institution = {South African Institute of International Affairs}, year = {2010}, month = may, url = {https://saiia.org.za/research/trade-lessons-for-africa-in-the-aftermath-of-the-flight-disruptions/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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