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This topic has no replies. This topic was posted on 02-12-2009 09:44.

WB: Africa freight transport too expensive

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  1. Posted on Wednesday 2 December 2009 - 17:21
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    Peter Griffiths, AfricaNews reporter in Johannesburg, South Africa
    Moving goods on Africa's roads would cost you significantly more than in other region because of a combination of low transport quality and high transport prices, according to a World Bank economist.
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    World Bank transport economist Juan Gaviria said that road freight charges in some African countries were over 200 percent more expensive than countries from other continents.

    Gaviria added that South Africa was 40 percent more expensive, and that spending on regional integration was key to reducing costs.

    According to the economist, the Southern African Development Community (SADC) would need to invest $1.2-billion (¤792-million) every year for the next decade to better integrate road networks and deal with infrastructure deficits.

    Gaviria said this was necessary to make is easier for freight to move throughout Africa. Currently, trucks average 50km/h while travelling through southern Africa, but this drops to under 40km/h for much of sub-Saharan Africa.

    Adding to this, inefficient border management and facilitation of freight, meant that trucks’ velocity average in the Africa was “probably the lowest in the world” added Gaviria.

    However, infrastructure and integration wasn’t enough to ensure more sustainable and affordable freight costs.

    “Without competition in the trucking industry, the real impact of regional integration is much lower,” said Gaviria.

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