Africa on Way to Become Hub of Sea Trade

The African continent has the potential of becoming the new hub of trade in the maritime world due to maritime traffic congestion , Red Sea conflict and increasing attacks by pirates operating from the Somalian coast with global shipping companies seeking alternative sea routes and land logistic corridors.

 

Credit : Semantic Scholar

African Ports at an Advantage

The major ports of Africa include Port of Mombasa Kenya , Port of Suez Egypt, Port of Durban South Africa,  Port of Lagos Nigeria, Dar-es-Salaam Port Tanzania, Port of Abidjan Ivory Coast, Port of Beira Mozambique , Port of Tanger Med, Morocco. Recently the world’s waterways have come under increased stress due to disputes, climate change, rapid increase of population and displacements causing cargo and container congestion and logistical nightmares at critical port junctions therefore the time is opportune for Africa to reposition its place in the maritime shipping arena.Presently larger vessels are compelled to anchor at relatively calm ports in Africa.The prevailing  drought conditions on artificially built waterways such as Panama Canal accompanied with rising sea levels  have to some extent contributed in making Central and West Africa a sought after region to dock. Regional tensions within the English Channel, Hormuz Strait and Suez Canal are instrumentals in navigation of boats and vessels to African ports and the global shipping line Maersk is rerouting its container vessels towards the west of Suez Canal or to Africa. The Maersk shipping line is incurring significant losses and desperate for a revival without having to undergo unnecessary expenditures in doing so.

 

Credit : The US Sun

Rail and land Corridor Across Africa

On the rail and land corridor side the China Railways Group has invested almost a billion US dollars in Angola’s railway up gradation  and Chinese mining projects are visible in DRC and Zambia. Despite the presence of Western companies like the Swiss mining corporation Glencore in Africa Chinese mining companies are making a bee line for Africa and most mines in the DRC sell their iron ore to China where in the year 2022 more than 3/4 of worldwide cobalt production was processed.

 

Credit: CL Brief

 

Paperless or Digital Ports

At one point in time the Port of Abidjan in Ivory Coast was unable to accommodate large container ships but that has changed since the construction of a second container terminal began and 85 % is funded by China’s Eximbank and 15% by the Government of Ivory. The Government of Ghana’s vision of a “Paperless Port System” would enable the Port of Ghana to be declared feasible for clearance and finally anchoring of ships.  Such a paperless system is the precursor of a digitised port thus enabling shipping lines to carry out booking without having to move to the port. Paperless Trade through a Trade Single Window (TSW) makes trading, transporting and ship clearance a seamless process by encouraging the use of standardised digital information and documents with only one single entry point in use. Going Digital will place the Port of Ghana on a higher pedestal. Unlike Ghana regional ports of Nigeria remain at the receiving end of severe power outages impeding the Nigerian government’s vision of 24 hours port system .

 

Credit : Alamy

 

Morocco Keen to Position its Ports as Economic and  Commercial Hubs

From a strategic perspective Morocco expects to gain from
establishing itself as an economic giant as its ambitions can be gauged from its co-hosting of the 2030 FIFA World Cup along with Spain and Portugal. Geographically Morocco’s Sahara would be the International Gateway to Africa by serving as the first entry point for shipping companies potentially docking at Port of Dakhla. The flagship project of Dakhla Atlantic Port is still in the initial stages and aims to connect West and South Africa being an exclusive entry
 for shipping companies across the continent.

 

Credit : Linedin

 

The Africa maritime nations will have to make consistent and concerted efforts to present its ports as alternative shipping hubs and to support rail and road logistic corridors to connect landlocked African countries to the ports.

 

Author Razeen Ahmed & Reviewed by Nadir Mumtaz

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