CAPE TOWN, Feb. 10 (Xinhua) -- China's fast economic development helps Africa in a number of ways by creating robust markets for Africa's minerals exports, making direct investments in mining operations and providing economic policy regarding growth, a noted economist said here on Tuesday.

    The statement was made by Jack Jones, executive director for CIBC World Markets based in Britain, while addressing 2,000 specialists, investors and high-ranking government officials at the three-day Investing in African Mining Conference, which openedin the coastal city of Cape Town.

    Jones said that China has adopted growth as a path to economic transformation. If sustained, the implications for the global mining industry are positive.

    China is driving commodity demand, prices and mining industry profitability, he said, adding "this creates a positive environment for South African mining empowerment. A sustained China commodity boom could do the same for South African mining."

    He said that China is greatly reliant on commodity imports. It has already taken stakes in a number of international mining operations. Whereas, Africa has what China wants -- iron ore, copper, platinum and nickel.

    "China's perception of risks should allow it to cope with Africa's many challenges. Attracting direct China investment couldrevitalize and grow African mining," he added.

    According to the ongoing international conference, China imported 25 percent of internationally traded iron ore in 2003, overtaking Japan as the world's largest iron ore importer. China has had a similar impact on copper, nickel and platinum markets.

    Analysts said that the Chinese metals demand is driven by manufacturing relocation, infrastructure developments and consumerspending. The key to new metals demand is infrastructure and consumer spending.

    Peter Richardson, who is responsible for research on light, base and precious metals, steel making raw materials and energy coal within the global metals and mining team of the Deutsche Bank,echoed that on a fundamental basis, China was the dominant influence on commodity markets in 2003.

    Specialists hold that the cumulative effective of strong Chinese demand growth has already tightened supply and demand balances for several base metals and steel making raw materials.

    Under the "soft landing" scenario for China, they forecast industrial production growth rates of 15 percent and 14 percent for 2004 and 2005 respectively. Enditem