How logistic bottlenecks continue to undermine intra-Africa trade

A major logistical gap in Africa has continued to hinder intra-African trade, even with the establishment of the African Continental Free Trade Area (AfCFTA).

For instance, moving cargo from Kenya to Ghana currently takes between 45 and 60 days, compared to five or six days for a similar shipment to the Middle East, particularly in Dubai.

A recent consignment of batteries from Mombasa port took six months to reach Ghana, while it took about 90 days to ship Kenya’s tea to Sudan.

Investments, Trade, and Industry Cabinet Secretary Lee Kinyanjui says that Kenya and the continent can unlock opportunities of AfCFTA if the sharp logistics gaps are addressed.

In his presentation at the 11th edition of the Our Ocean Conference, Kinyanjui said that fixing logistical bottlenecks would unlock the continent’s blue economy.

“There is a need for stakeholders in the blue economy to work together to address the logistical bottlenecks, improve efficiency in maritime transport and unlock greater opportunities for sustainable ocean-based development,” he stated.

Maritime transport is the backbone of the global economy, carrying between 80 to 90 per cent of global trade by volume and over 70 per cent by value.

Total global seaborne trade volumes are approximately between 12.3 and 12.7 billion tonnes annually, driven by bulk commodities, energy products, and containerised consumer goods.

Kinyanjui noted that Lamu Port’s natural deep-water harbor was an underutilised asset capable of transforming Kenya’s role in regional trade.

But blue economy consultant Stanley Chai said Kenya must develop the Mombasa port into a hub to unlock intra-Africa trade opportunities, noting that the port’s feeder status has given the East and Central African region a huge disadvantage in seaborne trade. He noted that in the recent past, a consignment of batteries from Mombasa port took six months to reach Ghana, while it took about 90 days to ship Kenya’s tea to Sudan.

Chai said that Mombasa is connected to close to 120 ports, but still faces a lack of interconnectivity within the African region because ship operators are only interested in transporting cargo to major ports or hubs in the Middle East where mega ships call.

“Mombasa Port does not enjoy opportunities in seaborne trade because of the lack of interconnectivity, as ship operators bring in small ships that take cargo to hub ports in the Middle East like Jebel Ali in Dubai, Salalah in Oman and King Abdullah in Saudi Arabia. We have to make Mombasa a hub port to unlock intra-Africa trade opportunities,” he stated.

Positioning Kenya

According to Chai, a recent study established that Kenyan tea is shipped to Oman by small ships and dumped there for weeks before other ships take it to the Sudan, causing delays of up to 90 days.

According to him, Kenya National Shipping Line (KNSL) should be revived and positioned to make Mombasa a hub port like Dubai or Salalah.

Chai noted that hub ports are costly to dock at and hence smaller ships prefer docking in Mombasa to wait for cargo coming in from the Middle Eastern hub ports. 

Mining and Blue Economy CS Hassan Joho urged governments to accelerate the implementation of decisions made at previous ocean conferences rather than allowing commitments to stall between summits.

Joho presented a mixed progress report on past conference commitments: 41 per cent of the commitments had been implemented successfully, 31 per cent are at various stages of implementation while the process of implementing 28 per cent of the commitments has not kicked off. He called on governments to convert pledges into policy without further delay.

Founder of the Our Ocean Conference and former US secretary of state John Kerry echoed the concern, arguing that Africa’s young and growing population makes the stakes particularly high for the continent, despite Africa having contributed the least to the pollution and climate pressures driving ocean decline.

Sustainable practices

“The question is whether the political will will follow the science,” Kerry noted.

Kerry further called upon all nations to ratify and implement the High Seas Treaty which will prove that the conference has moved away from speeches to binding commitments.

During the conference, 320 new commitments valued at $6.4 billion (about Sh828 billion) were announced aimed at advancing ocean conservation, sustainable fisheries, climate resilience, and the blue economy. 

The funds are meant to cater to the ocean-climate nexus, marine pollution, marine protected areas, maritime security, the sustainable blue economy, and sustainable fisheries. 

Kenya committed $200 million (about Sh40 billion) to install electronic monitoring on all industrial fishing vessels in its waters. 

French Polynesia announced plans to strengthen protections within the Tainui Atea, the world’s largest marine protected area, through more than 27,000 square kilometers of new regulated fishing areas, coastal protection zones, and seamount protections. 

Canada committed $682 million (about Sh88 billion) to the Small Crafts Harbors Program to support coastal and rural communities, fishing activities, and local economies.

The World Bank Group announced plans to invest $1 billion (about Sh130 billion) over the next two years to help developing countries build sustainable and resilient blue economies. 

WRI noted that Africa’s role in the global ocean agenda has expanded rapidly in recent years. Home to 38 coastal and island states and more than 13 million square kilometers of exclusive economic zones, the continent has a significant stake in the future of ocean health and the blue economy. 

“This conference is about turning words into commitments, commitments into action, and action into a legacy we can be proud of,” said Joho even as he handed over the mantle to host the 2027 Our Ocean Conference to Canada. 

In a statement, World Resources Institute (WRI) said that the conference has become one of the world’s leading platforms for ocean action, translating policy ambitions into measurable commitments, investments and partnerships.