Logistics profitability lags due to skills shortage. West africas overall performance lagged behind most regions as measured by the. Cost of logistics related to gdp the best economies in the world have achieved logistics costs of lower than 10% of gdp, while the worst could pay as much as 30% with an average of between 11% and 16%. African logistics companies are going beyond megacities and are looking to connect africa s rural communities to regional supply chains while megacities attracting millions of young africans are growing across the country, africa s population remains predominantly rural. The state of logisticstm an overview of logistics in. Infrastructure improvements in the transport corridors of subsaharan africa ssa have led to growth in the regions. Logistics in nigeria 2015 is a uniquely positioned research report that combines analytiqas sizing and forecasting of contract logistics markets and international trade data with country and key vertical industry insight, together with analysis of market threats and opportunities, and identifi cation of. Driven largely by the growth of africas middle classes and the associated expansion of its consumer markets, there is rising. Although infrastructure is a massive challenge in africa, information sharing, collaboration and productivity will be the deciding factors between failure and success in getting our products to the market without delay and in good condition. Stuttgart, germany july 8, 2012 several robust programs at u. Against this background and given that the south african economy has not been. A companys workforce is more than a certain head count or number of fulltime equivalents.
Afrigistics specialises in a comprehensive range of transport logistics services and supply chain solutions to, from and within africa. Transport infrastructure challenges overcoming africas poor transport infrastructure is a major challenge to logistics operators. Logistics remains one of the core enablers of development. West africa and other regions in 2010s international. Logistic services africathe leading portal for logistic. South africa logistics africa is a labour intensive business. Gowling wlgs infrastructure team, led by partner jonathan brufal and senior associate tom gray, have been working with trademark east africa and the government of rwanda to improve transport infrastructure to and from rwanda. In general, west africa fared in line with its per capita income, performing only marginally better than the low income country group. Vector logistic solutions phone and map of address. Dear uitp mena members, dear readers, mena cte is proud to launch the third edition of the mena transport report for 2016. Uniquely positioned in the northern cape, with a complete range of transport services, offered by a diverse group that focus on comprehensive solutions for modern agribusiness.
While union membership beyond south africa is fairly uncommon, the fragmentation of unions in south africa and their political involvement can create difficult relationships that not only impact the division directly, but also indirectly. Please refer to the disclaimer at the end of this report logistics africa 2016 research figure 2. Mpumi wisdom logistics strategic background information about mpumi wisdom logistics pty ltd 1. Africom builds logistics capability in african partners. Atkin and donaldson 2015 have shown that while the low availability and quality of roads is a well recognised factor, inefficient logistics, low vehicle quality, and. By whatever name it is the sinuous, gritty, and cumbersome process by which companies move material, parts, and products to customers. Africa command are helping to ensure that when african partners pull together to. Improving the quality of freight logistics challenges. The way to achieve this sustainability is to effectively collaborate the private and public sectors, improve processes and change structures. The 3 trends shaping the future of logistics in african. Road transport cost drivers were analysed in the previous survey havenga, j. Poor transport infrastructure is an inhibitor to the growth of many african logistics.
Transport corridors have improved trade in subsaharan. From the port of durban south africa to lusaka zambia. Economic growth in subsaharan africa has been driving demand for worldclass transportation and logistics, which. Logistics in nigeria 2015 is a uniquely positioned research report that combines analytiqas sizing and forecasting of contract logistics markets and international trade data with country and key vertical industry insight, together with analysis of market threats and opportunities, and identifi cation of leading 3pls. Whether road haulage, special project cargo or abnormal loads we have you covered. Interviews were held at the headquarters of the transportation companies, which were all resided in johannesburg. A logistics updates hilog africa independent logistics.
The kigali logistics platform trademark east africa. South africa made progress between 2010 and 2012, improving by five ranks and now ranks between norway and italy. Macro study area geographically south africa is a country on the most southern point of the africa continent, with a population of 48 810 427 people in 2012 and a population growth rate of. Innovation in african logistics can boost regional economic growth. Globally, south africa s logistics performance is also very good with an overall ranking of 23rd out of 155 countries in the 2012 logistics performance index. The state of logisticstm an overview of logistics in south africa. Africa logistics forum africa center for strategic studies. Call it distribution or logistics or supply chain management. Reducing the cost of logistics remains a core component of transnets mandate. Africa center for strategic studies africa logistics forum. Keep cool for growth charting growth trends in logistics markets to 2016 published by. Vioolsdrif noordoewer south africa namibia border post 284550.
Until recently, the concept of green logistics has been disregarded by various logistics and transport companies in south africa. Within this context, the africa logistics forum alf 2015 was held from 2325 june, 2015 in addis ababa, ethiopia. Jul 09, 2012 stuttgart, germany july 8, 2012 several robust programs at u. Avail for your service, list your service or request the service you are looking for. With a network spanning 120 countries, as well as having the right people, systems and strategic partnerships, we have the resources and reach to not only deliver, but continuously exceed your expectations. E route packing list supplied by exporter route plan distance 300 km namibia road freight cape namibia route services lowbeds multiaxles. Namibia road freight cape namibia route logistics africa. Logistics south africa south africa transport companies. Jan, 2014 overcoming logistics challenges in east africa. Findings based on the world bank report connecting to.
Transport corridors have improved trade in subsaharan africa. South africa and the sector, involvement in the operational aspects within the sector. A west african transport and facilitation observatory feasibility study page 3 background west african regional and national policymakers have concluded that the transport sector plays an essential role in the economic development of the sub region and generates approximately six percent of its gross domestic product. Overcoming logistics challenges in east africa article. The way to achieve this sustainability is to effectively collaborate the private and public. Its made up of people with a wide range of technical and soft. Find logistics services in africa and get directions and maps for local businesses in africa. South africas main economic activity is located in gauteng and this has a serious effect on logistics costs. Jul 17, 2015 south africas large freight transport bill, which is currently in excess of r250billion, needs to be solved, most simply through increased supply efficiency and demand reduction. The forum was hosted by the african union peace support operations division psod and cosponsored by the africa center for strategic studies acss and united states africa command africom. South africas large freight transport bill, which is currently in excess of r250billion, needs to be solved, most simply through increased supply efficiency and demand reduction.
The study shows that green logistics is currently implemented, to a certain extent in south africa. The value that logistics adds to the south african economy should be greater than the costs and should contribute to the overall competitiveness and sustainability of our country. Africa itself and europe the european union and the countries of the european free trade agreement. Transport and logistics in africa pdf the african logistics paradox the cost to transport a container. Such occupiers demand properties built to high technical specifications that. New enterprise trading logistics proprietary limited net logistics is a specialized logistics and freight forwarding company with expertise in providing a fast and efficient cross border freight consolidation service into zimbabwe, zambia, botswana, mozambique, namibia, tanzania, drc, malawi and swaziland. Africa logistics forum attaining and sustaining peace across africa is critically dependent on the ability of africas security sector to respond in a timely manner, get troops and supplies to areas of greatest need, establish reliable communications infrastructure, relocate vulnerable and affected groups, and sustain efforts aimed at. In africa the logistics sector is an emerging focus for property development in subsaharan africa. South africas logistics industry narrowly avoided a serious.
Academiccourses connects students with educators providing courses, preparatory years, short programs, certificates, diplomas, and more. Ghana is now south africas secondlargest trading partner in west africa, behind nigeria. Africa command are helping to ensure that when african partners pull together to support shared security interests, they have. Lowering the cost of transport logistics in south africa sas cost of logistics amongst the highest in the world between 15% and 16% and reduces competitiveness in both the domestic and international market. The costs of logistical and transport barriers to trade in east africa michael gasiorek, max mendezparra and dirk willenbockel shaping policy for development key findings the costs of transport and logistics barriers range between 1. In addition, most of the freight in the country is. However, the paper identifies areas were it can be improved upon. Sa logistics contact details south african logistics is a private company with its head office in douglas, focuses on adding value for partners in agriculture. The logistics industry is geared to quickly hire operational skills like pickers, packers, and drivers based on seasonal scalability, but in a highly competitive environment, this isnt enough to ensure business profitability and happy customers. Three international companies, three domestic companies all with global operations, and one logistics researcher were interviewed. Aug 25, 2016 however, online retail is a still a nascent sector in much of africa. In its published research, africa logistics, analytiqa forecasts impressive growth of logistics expenditure across the region.
Logistics costs in south africa the case for macroeconomic measurement article pdf available in south african journal of economics 784. Kenya, morocco, nigeria and uganda are set for the greatest growth. Logistics cost study of transport corridors in central and. This is a threshold which was passed more than a decade ago in many developed markets. Introduction and nature of business mpumi wisdom logistics was established in 2016 and commenced road transport operations on 08 february 2017. The deloitte africa center for corporate governance offers a number of resources for executives, directors, and others who are active in governance. Transport corridors have improved trade in subsaharan africa, but issues remain joann peterson, office of industries, joann. The costs of logistical and transport barriers to trade in.
Usd 8,000 1,633 kilometres from the port of durban to japan. Csir built environment, po box 395, pretoria, 0001 corresponding author. The state of logistics in south africa sustainable. Our ability to add tangible but in large due to its active experience and expertise in many facets of the industry, from fuel logistics to technologies, ensures that everyone benefits in a symbiotic environment. The best 10 logistics services 2020 africa african advice.
African supply chains humanitarian logistics conference 2324 april 2007 geneva, switzerland. The report was made possible by collaborat ing with over 40 businesses active in the logistics sector across african markets, as well as desk research sourced. However, online retail is a still a nascent sector in much of africa. Pdf state of logistics an overview of logistics in south africa.
Logistics cost study of transport corridors in central and west africa final report submitted to anca dumitrescu senior transport specialist africa transport unit world bank submitted by nathan associates inc. The company operates super link taut liners and flat decks trucks countrywide as well as cross border. In 19952010, ssas exports of processed goods such as bread, textiles and furniture and semiprocessed goods such as flour, yarns and industrial alcohol have grown faster than exports of nonoil raw. The state of logisticstm an overview of logistics in south. South africas logistics costs as percentage of 1 gdp is rising 0. Paper analysing trade growth opportunities for subsaharan africa ssa through market diversification and lowering its dependency on the export of commodities describes general trade trends between. Those who have been following our reports over the years will have noticed a change in this years edition. Findings based on the world bank report connecting to compete. South africa is still one of only three countries who consistently measures and publishes logistics costs on a national level, the other two being the u.
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