Civil Engineering January/February 2021 | Vol 29 No 1
Civil Engineering January/February 2021 37 Cross-border road transport provides a critical link for the Southern African Development Community (SADC), where it carries over 90% of the goods traded by and between countries in the region. This is especially the case for landlocked countries such as Botswana, Zambia, and Zimbabwe. In most cases, cross-border road transport is the only reliable mode linking countries, connecting economies, and enabling both intra- and inter-regional trade within and between SADC and other regional economic communities in Africa. REGIONAL CHALLENGES But despite its significance, cross-border road transport faces many challenges. These include: Q Q Missing links that result in poor network connectivity and accessibility of regional economic hubs. Q Q Poorly maintained road sections along regional road transport corridors. Q Q Inefficient border management systems, outdated ICT systems and unintegrated customs systems. Q Q Disjointed regulatory frameworks characterised by inefficiency and vari- ability in regulatory requirements. Q Q Weak institutions tasked with regu- lating cross-border road transport movements and implementation of regional trade and transport initiatives. Q Q Existence of various official and unofficial roadblocks and inspection points along regional road transport corridors that increase delays, transit time, the cost of doing business and opportunities for occurrence of bribery and corruption. OPPORTUNITIES IN THE DRC These challenges hinder investment, intra-regional, regional, and intra-Africa trade, as well as economic development in the region despite the many opportuni- ties that exist in countries such as the Democratic Republic of Congo (DRC). According to the Cross-Border Road Transport Agency’s 2020 DRC Country Profile, there are many opportunities in the DRC for investors, traders, and cross- border transport operators. These include: Q Q Construction sector opportunities such as the reconstruction of regional railroad infrastructure linking the DRC to regional countries e.g. along the Benguela corridor from DRC to the Port of Lobito in Angola. Q Q Mining sector opportunities linked to the DRC’s mineral reserves which include most precious minerals such as gold, copper, and diamonds, as well as over 60% of global cobalt reserves. Q Q Significant power generation oppor- tunities linked to continental power generation. Investors can invest in or construct up to 100 000 MW of hydropower capacity that can electrify the whole of Africa. Q Q Real estate opportunities linked to a strong demand for housing and a lack of property developers in the country. Q Q ICT opportunities hold big potential given the DRC’s population size and demographics. Q Q Opportunities for investment in the agricultural value chain where there is limited commercial agriculture despite a significant amount of arable land. Q Q Significant manufacturing sector op- portunities, particularly with respect to manufacturing and processing of raw products, and investment in packaging infrastructure. Q Q A massive demand for reliable and capable transport and warehousing services. Q Q Significant opportunities in the ca- pacity building and skills development arena. The DRC’s signing of the African Continental Free Trade Agreement indicates that the country is moving in the right direction, and while political instability has been a major threat and risk to investors, the above opportunities present massive investment options which should be explored. Finding lasting solutions to the many challenges facing cross-border transport will create the right transport capability that is able to enhance cross-border trade. An efficient cross-border road transport system is expected to provide many incentives to investors to tap into the opportunities that exist in the DRC. REFERENCES C-BRTA. 2020. Annual State of Cross-Border Operations Report. C-BRTA. 2020. Democratic Republic of Congo Country Profile Report. African Development Bank. 2005. ECCAS Regional Integration Assistance Strategy for Central Africa 2005–2009. African Development Bank Group. 2019. Multinational: Central Africa Regional Integration Strategy Paper 2019–2025. African Development Bank statistics, UNDESA. 2017. The Food and Agriculture Organization, and the World Health Organization. Southern African Development Community. 2019. Towards a Common Future, Democratic Republic of Congo. Available from: https://www.sadc.int/member- states/dr-congo/ . Accessed on 27 May 2019. Makibinyane Thoso Research Specialist Cross-Border Road Transport Agency mthoso@cbrta.co.za Etiyel Chibira Senior Manager: Research and Project Management Cross-Border Road Transport Agency etiyel.chibira@cbrta.co.za Cross-border operations: tapping into opportunities in the DRC
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