Civil Engineering August 2021 | Vol 29 No 7

Civil Engineering  August 2021 37 Freight Demand Model (which is updated sporadically by the GAIN Group). BORDER TRANSIT TIMES For northbound traffic from South Africa to Botswana (i.e. exports), the average block transit time through the Zeerust Truck Stop was 8 hours 55 minutes, and through the Skilpadshek / Pioneer Gate Border Post 12 hours 50 minutes. For southbound traffic from Botswana to South Africa (i.e. imports), the average block transit time through the Skilpadshek / Pioneer Gate Border Post was 8 hours 23 minutes, and through the Zeerust Truck Stop 5 hours 25 minutes. ECONOMIC IMPACT ASSESSMENT The estimated additional combined transit time related logistics costs at the Skilpadshek / Pioneer Gate Border Post and Zeerust Truck Stop amount to R80 million in a northbound direc- tion and R26 million in a southbound direction (see Table 1 for details). The higher northbound cost is a function of South Africa’s dominance of the bilateral trade relationship – exports from South Africa contribute 67% of the total 1.1 tonnes transiting the border post and 79% of the total freight market value of R21 billion. The additional transit-time related logistics costs at the Skilpadshek / Pioneer Gate Border Post (including the Zeerust Truck Stop) increase export trade logistics costs by 6% to R1.36 billion and import trade logistics costs by 4% to R0.73 billion. Each hour reduction in transit time will result in a cost reduction of approximately R4 million northbound, and approxi- mately R2 million southbound. Prolonged transit times were linked to several factors including out-dated border crossing procedures; inefficiencies associ- ated with customs control operations; cumbersome document processing; staff shortages; network issues; infrastructure constraints; and bureaucracy. RECOMMENDATIONS Fast-tracking the creation of a one-stop border post (OSBP) is an important step to improve trade facilitation at the Skilpadshek / Pioneer Gate Border Post. The OSBP concept refers to the legal and institutional framework, facilities, and related procedures that enable a single, harmonised clearance of people and goods at border crossings (as opposed to two-stop border post facilities with exit procedures on one side of the border and another set of entrance procedures on the other side of the border, such as is the status quo at the Skilpadshek / Pioneer Gate Border Post) (NEPAD, 2016). It includes elements such as: Q Q Improved border clearance procedures through Authorised Economic Operator (AEO) status to fast-track border clearance for compliant companies. Q Q An electronic single-window system allowing cross-border traders to submit standardised information and documents at a single entry point to fulfil all import, export, and transit- related regulatory requirements. The role of the Zeerust Truck Stop must also be re-evaluated in the context of an OSBP environment. Successful implementation of the OSBP concept in Southern Africa should include, or align with, the functions of a corridor observatory which streamlines, quantifies and tracks the processes and initiatives at all identified border posts within a broader data-driven strategic policy context, and measures performance against pre-defined policy and commer- cial objectives. The lethargy around the implemen- tation of the OSBP concept must be acknowledged and clear accountabilities must be defined going forward.  REFERENCES Africa Transport Policy Program. 2017. Truck monitoring in Eastern and Southern Africa. Havenga, J.H., Van Eeden, J. and Pienaar, W.J. 2013. Supply chain cost improvement opportunities through streamlining cross-border operations. Risk Governance and Control: Financial Markets and Institutions. 3(3):28–34. NEPAD. 2016. One-stop Border Post Sourcebook. 2 nd edition. May. World Bank. 2012. De-fragmenting Africa – Deepening regional trade integration in goods and services. Report No: 68490. World Bank. 2018. Republic of South Africa – Systematic Country Diagnostic: An Incomplete Transition – Overcoming the Legacy of Exclusion in South Africa. Report No: 125838-ZA. Table 1 Estimated additional transit time related logistics costs at the Skilpadshek / Pioneer Gate Border Post Point of measurement Export (northbound) (Rm) Import (southbound) (Rm) Total Skilpadshek / Pioneer Gate R47m R16m R63m Zeerust Truck Stop R33m R10m R43m TOTAL R80m R26m R106m

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