Madagascar Industry Sectors

 Madagascar’s industry sectors are limited to textile production and agricultural products processing. Agriculture is the mainstay of Madagascar’s economy. As per the 2009 figures, agriculture accounts for 26.6% of GDP while industry contributes only.8% and services 59%. Gradually, tourism is also emerging as a major contributor to the economy.[br]

 Madagascar’s industry sectors are limited to textile production and agricultural products processing. Agriculture is the mainstay of Madagascar’s economy. As per the 2009 figures, agriculture accounts for 26.6% of GDP while industry contributes only.8% and services 59%. Gradually, tourism is also emerging as a major contributor to the economy.[br]

Major Madagascar Industry Sectors

Some of Madagascar’s major industry sectors are:

 

• Mining sector: Madagascar largely depends on the export of mining products to earn foreign exchange. Gems are the primary mining product for the country. The most common gems found in Madagascar are aqua, ruby, sapphire, emerald, hessonite, tourmalines, lolite, quartz and beryl. The gem mining industry is spread across the country. Madagascar gems are highly priced in the international market. 

• Textile industry: It is one of the sectors that have attracted foreign investment. The large inflow of foreign capital can be attributed to tax incentives by the government. Textile production dominates the industrial sector of the country. A major share of the textile production is exported to neighboring countries. The establishment of export processing zones and heavy US financial support are also responsible for the development of this sector. 

• Fishery: Due to Madagascar’s long coastline, fishery is one of the traditional economic sectors of the Madagascar economy. Earlier it was the largest foreign currency earner. It employs a large portion of the population living in coastal areas. Since the late 1990s, the government has invested huge sums of money in developing the sector to meet the needs of the growing population. The country exports both inland water and coastal water fishes. 

• Handicrafts: The handicraft industry is not a major contributor to the economy of the nation. However, it offers seasonal employment to a large population, particularly during non-farming seasons. The country produces a range of handicraft products, such as weaving, wood, leather work, paper craft, pottery and metal works.[br]

 

For the development of the industry sector, the country is dependent on financial support from international donors. In 2000, Madagascar qualified for financial aid under the HIPC (heavily-indebted poor countries) initiative powered by the International Monetary Fund (IMF) and the World Bank. The country also receives considerable support from western economies such as the US, Canada and Germany.