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The East African : Sep 26th 2015
The EastAfrican SEPTEMBER 26-OCTOBER 2, 2015 WORLD MARITIME DAY Region in a race to improve ports By A CORRESPONDENT The EastAfrican basa, as well the const≥uction of the $11 billion Bagamoyo d≥y po≥t in Tanzania, will inc≥ease ma≥itime e∞ciency in East Af≥ica, as bigge≥ po≥ts will att≥act la≥ge vessels and economies of scale fo≥ shipping companies. The Bagamoyo inland po≥t I will have a capacity to handle 20 million containe≥s a yea≥, giving the count≥y and hinte≥land states mo≥e inf≥ast≥uctu≥e to handle inc≥easing ca≥go handling facilities. East Af≥ican po≥ts have in the past been mostly ine∞cient with ≥epo≥ts showing that ships a≥e often fo≥ced to wait to dock, while the t≥ansit of goods th≥ough the po≥t is slow. The Wo≥ld Bank estimates that t≥ade costs a≥e 60 pe≥ cent highe≥ between Tanzania and China than between B≥azil and China, despite the distance between the Latin Ame≥ican count≥y and the wo≥ld’s second-biggest economy being almost double. The po≥t is also unable to accommodate la≥ge≥ vessels, nvestment by Tanzania and Kenya in the expansion of the po≥ts in Da≥ es Salaam and Mom- Special advertising section 5 A vessel being offloaded at the port in Mombasa. Pic: File which is becoming inc≥easingly p≥oblematic. Containe≥ ships have become bigge≥. Fo≥ economies of scale, shipping companies p≥efe≥ th≥ee la≥ge ships docking than 10 smalle≥ ones. Da≥ es Salaam po≥t’s con- st≥aints a≥e a p≥oblem fo≥ Tanzania because demand fo≥ impo≥ts is set to ≥ise d≥amatically as the population, cu≥≥ently about 51 million people, continues to g≥ow. Its population will double eve≥y 25 yea≥s if the cu≥≥ent ≥ate of g≥owth continues. Kenya has simila≥ p≥ob- lems too. And p≥oblems in Tanzanian and Kenyan po≥ts a≠ect hinte≥land count≥ies like Uganda, Bu≥undi, Zambia, South Sudan and Rwanda among othe≥s. Acco≥ding to the Wo≥ld Bank, Kenya’s logistics pe≥fo≥mance had dete≥io≥ated in ≥ecent yea≥s f≥om an ove≥all global ≥anking of 76th in 2007, to the 122nd out of 155 count≥ies on the Logistics Pe≥fo≥mance Index. Inte≥national shipments, inf≥ast≥uctu≥e and logistics competence had imp≥oved ma≥ginally since 2007, but the non-ta≥i≠ ba≥≥ie≥s along the ≥outes to the hinte≥land made costs highe≥, which in tu≥n caused the downg≥ading of Kenya’s logistics pe≥fo≥mance, even when the time to impo≥t goods, as well as the numbe≥ of documents necessa≥y, we≥e compa≥able to the sub-Saha≥an Af≥ica ave≥age.
Sep 19th 2015
Oct 3rd 2015