ED STUMPF: Investment in hinterland logistics the key to exporting success in Africa
The economic potential from battery metals and farm produce is being undermined by bottlenecks and irrational routes
Investors are increasingly focused on developing Africa’s ports sector, particularly amid growing global interest in the continent’s huge potential as an exporter of battery metals. However, investment in land-based logistics infrastructure should not be overlooked. It needs to be significantly improved to drive down the costs of shipping cargo to global markets.
Inefficiencies and bottlenecks in mine-to-port transport networks threaten to undermine the competitiveness of Africa’s vast reserves of battery metals, which could play a key role in international efforts to achieve carbon emission targets. Logistical obstacles could also frustrate the ability of SA to realise its agro-export ambitions. As such, investors in Africa’s ports should consider an integrated investment approach, giving them a degree of control and influence over export logistics corridors across the region. ..
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