First-Ever Trade Mission To South Africa for Sadiq Khan, Mayor of London

Last week, Sadiq Khan embarked on the first-ever trade mission that the office of the Mayor of London has sent to not only South Africa, but the continent as a whole, making stops in Lagos, Accra, Johannesburg and Cape Town during the five-day trip. With a delegation of bureaucrats, business leaders and hopeful entrepreneurs in tow, the primary objective of the mission was to “boost trade links” between London and the respective cities and “build on the extensive connections between the region and the capital’s growing African diaspora”.

Following an invitation to attend the event in Cape Town last Friday afternoon, I listened to presentations and discussions led by local business leaders such as Karl Westvig, CEO of Tyme Bank, as well as Cape Town’s very own mayor, Geordin Hill-Lewis, and Howard Dawber, London’s Deputy Mayor for Business.

Mayor Khan himself appeared briefly in front of the crowd to provide closing remarks and the “feel-good” promises of collaboration between Cape Town and London in the startup and investment space.

Most interesting, however- and easily the best part of the day and the event altogether – was the pitches presented by the startup and scale-up representatives who had been handpicked by the Connect London team to join the delegation and pitch their businesses.

Ten different startups and scaleups were represented at the event, involved in a broad range of industries and niches, from digital learning to grassroots SaaS companies. The founders’ pitches were exciting and passionate, and I was lucky enough to chat to a handful of them after hearing their companies’ pitches (stay tuned for more on these!).

But first, what exactly was the event and the trade mission to Africa all about? My expectation and first thought (and I know I’m not the only one) was that this idea – that is, strengthening the relationship between major African cities and the UK’s bustling capital in a professional, tech context – has a great deal of potential. It sounds exciting for both sides of the pond, so to speak, and adding the fact that Khan is the first of London’s mayors to ever make this kind of move certainly adds the kind of flash these politicians thrive on. So, it’s a win-win-win, right?

Well, the practicality of actually making anything come of this, beyond showy events and big-name speakers, is a massive endeavour for a plethora of reasons. So, will this really have any impact, or is the trip just a show, a classic political move, and an attempt to curry favour among the business elite of London and the broader UK?

 

The Mission: Making London “A Partner, Not a Competitor” 

 

It would be easy to say that these events and the mission as a whole are unlikely to be more than a headline that lasts a few days, but in truth, there does seem to be some merit to these efforts. Naturally, the promises are big, bold and exciting – as they always are, out of the mouths of politicians – but the actions of the team behind the event are where the real substance lies.

And, when I refer to actions, I mean the fact that they actually handpicked ten startups based in London and brought them along to Cape Town (and Johannesburg, Lagos and Accra), introducing them to South African business leaders and potential investors and allowing them to share their work with the audience. The startups were:

 

  • Humble AI: Mahdi Shariff, CEO and Founder
  • Chekkit: Dare Odumade, CEO and Founder
  • Deep Search Labs: Maryam Fayaz-Torshizi, Managing Founder
  • Tech1M: Tommie Edwards, CEO and Co-Founder
  • The Washing Machine Project: Dr. Navjot Sawhney, CEO and Founder
  • iWarranty: Ruby Pillai, CEO and Founder
  • MOONHUB: Dami Hastrup, CEO and Founder
  • Oktopost: Colin Day, Managing Director EMEA & APAC
  • Upskill Universe: Gori Yahaya, Founder & CEO
  • Algomarketing: CEO and Founder, Abayomi Tejubola

 

We’ve got more to say about these guys – keep an eye on TechRound’s YouTube channel for the launch of “Pitch, Please”, a series in which startups provide a 60-second pitch for potential investors and consumers.

Not only this, but they invited prominent and successful South African startup founders and executives to share the stage and show both the  English and the local crowd what Cape Town has to offer.

From our perspective, this is where the value is added. It’s not the endearing speech from Mayor Hill-Lewis or the “eagerly anticipated” five-minute appearance from Mayor Khan. It was the entrepreneurs and business leaders who really stole the show.

I spoke to Howard Dawber who is the sitting Chair of London and Partners, the organisation behind the delegation, who emphasised the fact that their mission is to embrace “Cape Town as a gateway to South Africa and the continent”. Indeed, Dawber told me that they’re “hoping to find real mutual benefits” – a phrase I was expecting to hear and, naturally, was eager to probe.

“Mutual benefits” has a lovely ring to it, but is that even possible? If we pair up London, on the one hand, and Cape Town, on the other – or Johannesburg, Accra or Lagos – there’s an immediate power imbalance. It’s undeniable.

Politicians, Dawber and Khan included, are always the first to tell us all about their city’s accolades and how London is “the best city in the world”, listing statistics and providing “proof”. However, in a heartbeat, we’re also told that the relationship between the so-called powerhouse of the UK (and a major player in northern hemisphere economics) and four small African cities in developing countries is going to be “mutually beneficial”. How can both these things be simultaneously true?

I love the idea, it sounds great. London and the UK on equal footing with African cities and business leaders, providing equal opportunities and pooling resources. But the reality?

The reality is not this. The reality is not a solution that is truly “mutually beneficial”, and that’s actually okay.

As much as we were constantly told that London and Cape Town really aren’t so different (a comment met by many a raised eyebrow from the South African contingent in the audience), I think that’s taking a fairly good, realistic idea and pushing it a little bit too far. Nobody’s under any illusions that the opportunities in London and Cape Town are vastly different – Khan said it himself. Indeed, we can’t have two cities that are supposedly on an equal playing field while simultaneously tossing around quips about London being the “best city in the world” – let’s get rid of the paradox and hyperbole and get into reality.

Cape Town Mayor, Geordin Hill-Lewis, on the other hand, seemed a little bit more cautious about making big, sweeping statements. Sure, he contributed to the jestful “my city’s better than yours” banter with Dawber, but the stark contrast, perhaps more obvious to South African attendees, was the fact that Hill-Lewis was referencing the vibrancy of the city and Cape Town’s breathtaking scenery rather than seriously explaining to the audience that Cape Town is actually the best. He acknowledged Cape Town and South Africa’s remarkable growth in tech and the startup ecosystem, but he didn’t overplay his hand. South Africa is still a deeply troubled country with significant social and economic inequality and there’s no getting away from that.

Rather, his emphasis was on the idea that “there is an existing tech corridor between the two cities”, and that, I believe, is where the focus of this partnership ought to be. Sure, Dawber and Khan made the same iterations, but unfortunately, their attempt to underplay the obviously skewed power dynamic between the two cities overshadowed what should have been the primary message.

That is, there is massive potential in the relationships between Cape Town (and other major African cities) and London that absolutely can be used for the benefit of people from both cities, and this can be done without denying the fact that London is far bigger and more successful than these African cities in terms of business – it’s leap years ahead, in fact.

Indeed, it’s going to be a lot more complicated than just making introductions, and players from one side won’t necessarily have the same needs or resources as those from the other. But, just because we’re not all starting on an equal playing field doesn’t mean we can’t make this work. In fact, in many respects, perhaps that’s a massive reason why we all should be wanting to make this work.

The best and most accurate statement Dawber made, in my opinion, was that Cape Town and London have “shared synergies, challenges and ambitions”, and that a great deal of potential lies in harnessing these connections. This statement is both hopeful and tempered – it paints the picture of a shared future that is exciting but not without its challenges.

 

London and Cape Town: Did We Just Become Best Friends?

 

Well, no, not quite, but perhaps this delegation to major African cities indicates a good start to creating a pathway between Cape Town and London that really can bring mutual benefit to business leaders and investors, and more importantly, startups, on both continents. It’s not going to be as simple as just joining forces, making a few introductions and Bob’s your uncle – especially not for those on the African side of the equation.

However, the connections between the two cities are undeniable and the potential is great. Although I, and many others, may be a little bit sceptical (if not put off) by the political bravado that tends to follow these sorts of events, there’s no denying the fact that this could very well be the start of a far better working relationship between Cape Town and London, and buy-in by the offices of both mayors is essential.

So, most of all, we want to see what happens next. Once the lights are dimmed and the officials have returned to gloomy, grey-skied London, what happens next? Will this partnership blossom and bear mutually beneficial fruit? Or, was that it? Was this entire endeavour just for show in an attempt for the politicians to convince English business people that they’re making moves to expand opportunities in the English economy?

Maybe a little bit of this and a little bit of that. But, let’s see what the startups, business leaders and investors make of this. After all, they’re the ones with real skin in the game and the opportunity to embrace a tremendous amount of potential.

To be frank, we’re here for the startups and their mission, so we’ll be waiting with bated breath to see what they do next.

If you’re interested in hearing more about the ten startups that formed part of the Mayor’s trade mission to Africa, you’re not alone! Stay tuned, we’ll be sharing more about them soon!