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Reducing Transit Time And Cost

Reducing Transit Time And Cost. Shemmy Simuyemba Senior Transit Advisor. Transit challenges. Congestion at Weighbridges. 13 weighbridges on Mombasa-Busia road. Congestion at Border posts. Some 22,812 days are lost at weighbridges every year .

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Reducing Transit Time And Cost

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  1. Reducing Transit Time And Cost Shemmy Simuyemba Senior Transit Advisor

  2. Transit challenges Congestion at Weighbridges. 13 weighbridges on Mombasa-Busia road Congestion at Border posts. Some 22,812 days are lost at weighbridges every year Congestion at Port: The container terminal yard is holding close to 17000 Twenty Foot Equivalent Units (TEUs) against a capacity of 14300. On average Transporters encounter 6 and 5 road blocks for every 100 km on the Northern Corridor

  3. Competitive Advantage The Regions Competitiveness Depends on Reliable, Efficient Supply Chain Execution

  4. COMPETE FAQS • $84 million program over the next 4 years • Covers 16 countries covering East and Central Africa • Focuses on targeted value chains (e.g. Specialty Coffee, Cotton-Textiles-Apparel, and Staple Foods). • Targets Northern and Central Transit Corridors and key Transit Spurs • 4 Main Focus Areas COMPONENT 1: Reduced Barriers to Trade • COMPONENT 2: Value Chain Development • COMPONENT 3: The East and Central Africa (ECA) Trade Hub (AGOA) • COMPONENT 4: Global Food Security Response (Increasing Availability and Trade of Staple Foods)

  5. FOCUS Increasing Transit and Trade Efficiency Combined with…. Transit and Trade Polices/Instruments Road Safety Anti-corruption PPPs Infrastructure Technical Assistance to RECs / Regional Authorities on Uganda Transport Transport Northern Corridor Kenya OSBP Customs SPS Standards Tariffs IT Systems Bonds Technical Assistance to Revenue Authorities/ Customs/Ministries on Border Post Terminal Market Trading/Export Distribution Technical Assistance Port Efficiency Customs Bonds Inspections Paper work Port

  6. GOAL: COMPETITIVENESS

  7. COMPETITIVENESS CYCLE

  8. FOUNDATION OF POLICY WORK • The policy work in COMPETE will be based on the following policy platforms • EAC Customs Union and Common Market • COMESA FTA and the Proposed COMESA Customs Union • COMESA/EAC/SADC Tripartite Process for harmonization of trade regimes across the three regional blocks • Bi-Regional and Multilateral Trade Agreements focusing on DFQF market access

  9. TOTAL TRANSIT PROCESSES APPROACH START SUPPLIER TRANSPORTER CONSOLIDATOR PORT OF ORIGIN Freight Forwarding KEY TO SYMBOLS CARRIER Police Check Plant Inspectorate Standards Bureau TRANSSHIPMENT PORT IMPORTER BORDER TRANSPORTER MOMBASA PORT 10 Cost Add in US$ Customs Weigh Bridge TRANSPORTER WAREHOUSE Health Authorities

  10. IMPACT OF POOR TRANSIT/LOGISTICS

  11. COST OF TRANSPORT WTO estimates transport cost most SSA countries 5 times more than duties paid

  12. REQUIRED TIME FOR EXPORT

  13. Textiles & Apparel Coffee Cereals Horticulture Transit & Logistics VALUE CHAIN APPROACH

  14. COMPETES - SEVEN PILLARS

  15. PRIVATE SECTOR ADVOCACY AND SERVICE DELIVERY

  16. HARD INFRASTRUCTURE

  17. SOFT INFRASTRUCTURE

  18. ONGOING ACTIVITIES

  19. THANK YOU

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