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Facilitation of the transportation of goods entering Intra-African Trade

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.UNITED- NATIONS

ECONOMIC

and SOCIAL COUNCIL

Distr.

E/CN.3T4/ATC/9

25 February

Originalr -ENGLISH

ECONOMIC COMMISSION FORNiFRICA ORGANIZATION CF AFRICAN UNITY Symposium on Intra-African Trade Nairobi, 28 February - 3 March 1972

FACILITATION ^THS TRAi^SPORTATTOW OF GOODS EStfTERBi'O IIJTRA-AFRICAi^ TRADE

^?? Nations Economic Commission for Africa has set itself a

for Africa in the Second Development Decade. The obiective will

Africa. Many of countries possess

1/ lfIntra-African Economic Co-operation and Trade" ECA, October 1971.

M72-388

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E/CN-14/ATC/9

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economists, engineers and skilled practitioners, not in isolation as hitherto, but in clearly co-ordinated units capable of collaborating effectively with trade development and promotional agencies in whatever form they exist.

4. The idea of the expansion of intra-African trade based on economic, co operation between member States is still sufficiently new and tender to require careful nurturing - not least of all in the transport sector where in most sub-regions the immediate need is for the build-up of transport facilities sufficient to keep pace with the growing demands of new and

diversified markets.

There are two segments-,** transport [facilitation which require immediate co-ordination at both governmental and local levels:-

(i) The users of transport - who create the demand;

(ii) The^oviders of transport - who'attempt to meet tft^t demand. , The former may consist of producers entering the market.for the first time, whilst the latter may include .established' pfdviders offering facilities which are no longer attuned to the current or ..future demands, Both, therefore, require encouragement and assistance,of a positive and practical nature. , This may take various forms accor^ingVto.the.local products and the needs

and nature of the market. One; approach■';to this'problem is briefly summarized

^lir:lt is sufficiently f^exible^p meet ^ wide variety of national and lpqal problems. """"..._." ,.,. i-.,, . '- ,. ■ -..:.;-..-,. ..-.■•'. <:'■■ : ' ■

$•; Sideline's for''development:oftransp'ort support in marketing . , /

CaY At: the governmental level ; " . . . ;'.. ; ,, ... . . . ..-:

■■-.'■■ --(i) Provision of advisory services, on .transport, forqueers - ■;- : entering new markets* This would include: appreciation -:--. J:..=;/..

of terminal facilities in both countries, cost factors,

-;,-.- --,- L./rate structures, .etc.; ;. ; ■ ■■■'■ ■ "■'• ■'■

(ii) Guidance on statutory regulations,affecting the inter- , national movement of commodities: and including .customs .-■' and healthJrequir-ements -where appropriate! -■-■-- .:.'■■-

(iii) •■' Interpretation :#&.any. international agreements/between : : the trading parties.affecting transport vehicles, vessels,

or products carried in them. '-■ . ■ ■ (b) At the local level

(i) Assistance in the procurement of the correct type of

transport for the product;

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E/CN.14/ATC/9

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arising in each sector. appreciatlon of th* problems however, the groups should aim tf w JPr0p9r footinS- Normally,

ance and eventual^ be°able to act aalistvTT °f S°VeI" «

ministries in respect of future developments7 ° ^ a™

°« It is now common ground tha+ +>,~ -p

osiers, transport anfSinai ^ino^eTZ 1""Tl °f ln<UvidUal ' "

many oases outlived their usefulness a^, asf°"ated services, have in

trading community. The basic n^ed Lfa w ?° ^"^"^ ^.orated in a control and oc-ordination of the vaSous S ST0"" m°VeiCCnJc is the

-ve commodities on a given trade route S tra"SP°rt employed to'

where more than two States -»rP 17 !"' " particularly necessary

may or may not be avKL?%K™* and f^ ""^"oal facilities^

the seller with an assured movement\infc tot °°:°r+dinatira " ^ provide a form as to ensure the safe "L of tL hlS/lstant Phaser insuoh and within a stated time limif Such LI * §° W marketabl« condition resulted in reducing the final deiivt^ ' "^ ad°pted' ias al^ady

costs, but from sucf spin-of? efflluTts *fT' *"*, °°* ^ l0WSr ^

financing goods in transit, 1 ower ins-^ancf , T*'1 loKe-^"g ^he cost of

un.ti.ed loads, reducing Jsc ,J ^^S&^^SL^ lage.

capable of further expand S wouTI thff f & lim"M "^ but

^3^

may be influenced by such factor^^ as dLtl^ce ,1 ^ the Same

etc. - ors as distance, climate, atmospheric changes,

in this3y^osi™ todlfti^^if"* haS feen di=°^oed earlier 3y^osi™ todlfti^f^if di=°^oed earlier

framework, starting at ^1^^^°^ fd.the P°int that ^ this

cements, one should include from £ %%£?£ ^^

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E/CN.14/ATC/9

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necessary to ensure the success of the trade promotion. This, in

St7allows joint placing between the trade and movement agencies to be

fully effective, and at such levels as will ensure:-

(i) A policy framework which should take account of the existing statutory obligations of the countries concerned?

fix) The practical day-to-day co-operation necessary between the various modes of transport and the agencies servicing them.

This framework can operate equally in centralized economies or other forms of State organization allowing private and State operators to par-

ticiLte Adjustments to accommodate either system can easily be made* A

Jl^Uli^^l^ifioe is that this form of co-ordination Jl^UlBtif^onBid^le^ifioanoe is that this form of co-ordination of movement can start now and need not wait for ™™ "JETSc£ ^

infrastructure. Indeed, by starting now, such a co-ordinating body can play an effective role in determining the needs of the future infrastructure

requirements

In the case of land-looked and the least developed countries in Africa,

l lid ticularly int^^S

In the case of landlooked

the sal technics can be applied, particularly in^

movement needs of the land-locked countries in relation to ^ levels.

development programmes, and applying practical solutions at the local levels.

q Turning to the question of the extent to which transport agencies can

Lip inter^lfrioa trade in addition to the foregoing scheme of co-ordination, iis necTssS to examine carefully the structure of each of the modes of transport! Consider, for example, the following typical questions:-

(i) What impediments exist to pooling national shipping resources

of a sub-region?

(ii) Would the development of air freight benefit from geographical

grouping of airlines?

(iix) Within certain sub-regions, would additional rail facilities

connect up centres of production and consumption? and coula

they be justified? '

(iv) How can the programme of highway development in Africa be harnessed to ensure maximum utilization?

Tn regard to the latter, an outstanding example of pre-planning of the

futur po Sttal of a main route is given in the ™^\°\^\^Xll

Kilhwav planned to connect Mombasa with Lagos. It may be too early to be

in^easing flow of goods, and to consider reciprocal arrangements, for

example, in the "return-loading" of vehicles.

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E/CW.14/ATC/9

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10. Summary

:^^:^^"of soods

(i) Encouraging planning and co-ordination of movement at local

na-zionaj. and sub-regional levels;

(ii) Providing advance information on market or trade developments

xn lorms of weight or space - not value I

(iii) Establishing channels of communication for users and providers

of transport^ *

(iv) Encouraging innovation in the transport sector.

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