By Lwazi Mboyi
In South Africa, October is marked as transport month. Annually, various transport and logistic organisations use this month as a platform to draw attention to issues related to the transport industry. The establishment of “Transport Month” dates back to 2005, during the Transport Lekgotla of that year. The aim of this declaration was to emphasize the role played by transport when it comes to the economy, and to communities; as well as to stimulate the involvement of public, private and civil society with regard to improved transport networks and processes for all.
Topics of discourse include transport infrastructure, rising fuel costs, climate change issues affecting transportation, pedestrian safety, the aviation industry, the maritime industry and public transportation – to name a few. As transportation is a massive pillar of the economy when it comes to local, national, continental and global trade and development; transport and logistic concerns are instrumental to socio-economic growth (or the lack thereof). Additionally, optimisation of public and private transportation networks impacts virtually every business and individual in some way or another, regardless of industry or location. Even rural communities have a vested interest in transport issues as enhanced logistic infrastructures facilitate improved access to resources (such as medical supplies) and trade opportunities.
As stated by the World Bank, “Mobility is critical to sustainable development— from education and health to global warming and inclusive growth. Without it, there cannot be poverty reduction nor shared prosperity. Transport has a lot riding on it, for individual citizens and national economies”.
Vital to progress is the issue of cross-border trade on the African continent. The start of increased free trade under the African Continental Free Trade Area (AfCFTA) agreement has changed the game for Africa. The agreement aims to boost Africa’s income by $450 billion by 2035 (a gain of 7 percent) while adding $76 billion to the income of the rest of the world. The AfCFTA has the potential to lift 30 million people out of extreme poverty, driven by increased cross-border trade, which in turn is highly dependent on reliable cross-border transport and logistic systems.
To harness the potential benefits unlocked by the AfCFTA, we must therefore ensure that cross-border transport operations are conducted efficiently, safely, productively, viably and cost effectively. This requires that we urgently address challenges affecting cross-border transport systems. To succeed, we need to share as much information as possible regarding developments, challenges and opportunities which exist, as well as emerging considerations emanating from the AfCFTA. This where regulatory authorities such as the Cross-Border Road Transport Agency (C-BRTA), fellow transport regulatory authorities and customs regulatory authorities need to take the lead.
It is imperative that we decisively deal with issues such as operational constraints and Non-Tariff Barriers (NTBs) that negatively affect the performance of cross-border transport systems and in the corridors linking the COMESA-EAC-SADC tripartite – and beyond. As we do this, we must aim to ensure that cross-border road transport operations are underpinned by firstly, a harmonised regulatory environment; and secondly, a predictable operating environment.
All stakeholders within the transport and logistic sector need to work together in order to effectively cultivate impactful and sustainable positive change. This includes government bodies, businesses, regulatory organisations and other public and private sector players. Both action and information are crucial to promote collaborative solutions that will revolutionise cross-border transport infrastructure contributing to increased cross-border trade. Initiatives that promote networking and communication between African economies are valuable tools in achieving these goals. For example, the upcoming 2021 intra-African Trade Fair (IATF), organised by Afreximbank in collaboration with the Africa Union, seeks to sustainably address the gap in trade and marketing information for the successful realisation of AfCFTA objectives. This event brings together civil society, businesses, investors, public sector giants and professionals from across a wide range of industries from throughout Africa under one roof as a means to promote networking, collaboration, trade and innovation. Commenting on the issue of increasing intra-African trade, Olusegun Obasanjo, IATF Advisory Council H.E. Chief stated: “There will be challenges, but while standing at a crossroad, we have identified the right road in order to grow African economies, actualize potential and fulfil our destiny. We must work together so that we can swim together in progress, prosperity and security.”
It is not a coincidence that organisations such as the C-BRTA support capacity-building initiatives like the IATF. Such initiatives are an opportunity for us to share experiences and expertise on thematic issues revolving around NTBs affecting cross-border transport and trade flow, interventions which should be supported and embraced to address some of the challenges and to exploit the opportunities which lie ahead. Pan-African events and summits are important platforms for the sharing of information amongst stakeholders in the cross-border value chain, particularly as we work towards the full implementation of the AfCFTA.
The end goal, or main objective is to ensure that we support each other as we take the giant leap towards maximising trade opportunities within the African continent. And that, in a nutshell, is how we as a continent can help move the needle forward when it comes to African growth goals and the realization of a better economic future for all through more effective transport and logistic infrastructure.