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Why Does Cargo Spend Weeks in Sub-Saharan African Ports? - Lessons from Six Case Studies (Paperback)
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Why Does Cargo Spend Weeks in Sub-Saharan African Ports? - Lessons from Six Case Studies (Paperback)
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Sub-Saharan Africa has a serious infrastructure deficit estimated
at about $48 billion a year which is impeding the continent s
competitiveness and hence its economic growth. How to solve this
problem? Some advocate building more infrastructure while others
suggest privatizing, or contracting out to the private sector, the
management of infrastructure so that the discipline of the market
will lead to more and better quality services. This book
graphically illustrates the problem in the case of Africa s ports.
With the exception of Durban, cargo dwell times the amount of time
cargo spends in the port average about 20 days in African ports,
compared with 3 4 days in most other international ports. None of
the past attempts to solve this problem have worked. The reason and
this is the major contribution of this volume is that long dwell
times are in the interest of certain public and private actors in
the system. Importers use the ports to store their goods. Customs
brokers have little incentive to move the goods because they can
pass on the costs of delay to the importers. And when the domestic
market is a monopoly, the downstream producer has an incentive to
keep the cargo dwell times long as a way of deterring entry of
other producers. The net result is inordinately long dwell times,
ineffective interventions, and globally uncompetitive industries in
African countries. The solution to decrease dwell time in these
ports relies mainly on the challenging task of breaking the private
sector s collusion and equilibrium between public authorities,
logistics operators, and some shippers and not on investing
massively in infrastructure. Addressing the challenge will also
require that there be political support from the general public for
reforms that will promote their interests. And before they offer
their political support, the public needs to be informed. This book
is a step in that direction."
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