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Trucking Markets, * South Africa - Growing logistics costs a constraint to trade
Increasing logistics costs, and inefficient and poor-quality infrastructure
Johannesburgo,Gauteng,SA -Engineering News, by Carla Thomaz -5 June 2009: -- The fifth State of Logistics Survey states that the increasing logistics costs, and inefficient and poor-quality infrastructure in South Africa continue to be a significant constraint to international trade, inward investment and economic growth... The survey was compiled by technology research, development and implementation organisation the Council for Scientific and Industrial Research, and Imperial Logistics, a logistics and supply chain management company... Institute of Transport and Logistics Studies (Africa) senior researcher Rose Luke, says that logistics is critical to intra-African trade... A study by the US Department of Commerce found that it costs more to ship a ton of wheat from Mombasa, in Kenya, to Kampala, in Uganda, compared with shipping wheat from Chicago, in the US, to Mombasa... However, the survey reported that South African logistics costs are 14% higher compared with those of the rest of the world. This is a result of being far way from all sources of imports, and relying heavily on road transport instead of rail transport... The World Bank ranked South Africa 124 out of about 150 countries in terms of domestic logistics costs, in 2007... (Picture: CHIRUNDU BORDER POST. Poor road and rail infrastructure, as well as long waiting times at borders, results in costs, and also hamper regional producers ability to access regional and international markets)Labels: trucking markets
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