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Desiderio Consultants Ltd. is a think tank and a network of independent professional international development consultants established to promote and influence customs & trade-related policies in African nations to achieve trade facilitation reforms aimed at improving international and regional trade
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Negative stereotypes and narratives on Africa cost to the continent up to $4.2 billion a year, report finds

In the world of journalism, a well-known expression says “when a dog bites a man, that is not news, but if a man bites a dog, that is news”. The same situation seems to happen each time global media talks about Africa. According to a report published by Africa No Filter (an advocacy organization that rails against harmful narratives that distort the reality in Africa), most of time the continent is portrayed in the media through a distorted lens, that focuses on structural weaknesses of its economies and shifts attention from positive stories to negative events, such as famine, war, violence and election fraud. On the one hand, this is perfectly understandable. People love hearing disaster stories, as those are the ones that sell best. But when this biased narrative ends up inflating perceptions of risks by investors, calling into question the ability of African countries to take control of their own development trajectory, this becomes a serious problem for a continent that is already in the grip of debt and that needs significant flows of investment to fund its growth.

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Air transport in Africa: often not an option, but the only choice

A report published by the Konrad-Adenauer-Stiftung Institute a few months ago on the assessment of the early experiences of trading under the AfCFTA, pointed out how critical is to reduce transport costs for the shipment of products to other African markets, especially agricultural goods, for trade under the AfCFTA to take off. In analysing the experiences of some African countries within the framework of the AfCFTA Guided Trade Initiative, the report mentioned the case of Rwanda, where the government provided support to local exporters by facilitating the aggregation of shipment so to access to lower air freight rates for the export of some agricultural products (tea and coffee) to Ghana. The report concluded by highlighting how important is to reduce freight and logistics costs for African exporters – especially the smaller ones – so that they can benefit from greater economies of scale. But why air transport? Isn't it the most expensive form of transport?

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New PAFTRAC report reveals AfCFTA as African companies' act of faith

In line with the previous edition, the latest PAFTRAC Africa CEO Trade Survey Report (2024) provides an assessment of the impact of the African Continental Free Trade Area (AfCFTA) on African trade. PAFTRAC is the acronym of Pan-African Private Sector Trade and Investment Committee, an advocacy platform bringing together stakeholders from both the public and private sector to formulate policy recommendations aimed at improving trade and investment flows across the continent. Every year PAFTRAC issues a report where it describes the perceptions of African Chief Executive Officers (CEOs) about the future economic outlook of the continent based on specific surveys. All the editions of the report also make an analysis of the expectations of African businesses regarding the AfCFTA.

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AfCFTA: centripetal or centrifugal force?

Bilaterals has published on its website the findings of a recent webinar organized on 12 September by several organizations from the civil society and the agriculture sectors in Africa to collectively reflect on what the African Continental Free Trade Area (AfCFTA) means for ordinary Africans in a time of deep climate, economic and food crises. The webinar examines the AfCFTA from a perspective that is different from the one we are used to, drawing a rather apocalyptic scenario.

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Why transport costs in Africa, and in developing countries, are so high?

About 90 percent of the the global volume of cargo is currently transported by sea. Maritime trade has benefitted in the latest 70 years from a continuous growth in the tonnage of container ships, which have now reached a carrying capacity of about 24,000 containers or more. This growth in transport volumes has enabled a significant reduction of costs for this mode of transport, which have declined by up to 39 percent by weight and 62 percent by value since the 1960s. Unfortunately, this reduction has not been uniform across countries. For instance, a shipment from a low-income country to the United States costs almost twice as much as a shipment from a high-income country. On the other hand, for what concerns South-South trade, in contrast to developed countries, developing countries predominantly use road transportation as main transport modality, a mode of transport that is notoriously more expensive than maritime shipping, despite being more flexible, as it allows for door-to-door deliveries. A new World Bank report analyses the factors that cause these disparities, showing that the cost of trading within developing countries is between 3 and 14 times higher than in the United States, a situation that is also common to Africa.

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