By Kingsley Jassi:
Senior government officials from Malawi, Mozambique and Zambia are meeting in Lilongwe this week to review progress on the Nacala Development Corridor development project aimed at reducing the time and cost of cross-border trade.
The corridor is being developed with support of the World Bank through the Southern Africa Trade and Connectivity Project (SATCP), providing infrastructure, customs systems and technologies to facilitate regional trade.
With one-stop border posts (OSBP) being developed on the borders of these countries and improved customs systems being put in place, there are still some milestones to be achieved to fully develop the corridor.
According to Mozambican Permanent Secretary for Transport and Communication Ambrosio Adolfo Sitoe, those at the meeting would discuss the issue of the establishment of a Nacala Corridor secretariat that would be coordinating trade activities.
He said the three countries had potential to increase trade volumes by using the corridor.
“If you take time at the port before being cleared or on the road and at the border that adds on the cost of transporting goods along the corridor and that is what we are trying to address,” Sitoe said.
Principal Secretary in the Malawi Ministry of Transport and Public Works David Mzandu said the attempt was to shift from heavy reliance on road to railway transport system.
“By addressing transport costs, eliminating trade barriers and fostering competitiveness, we can unlock new markets and economic opportunities for our member states, both within the region and beyond, through the Nacala Development Corridor,” Mzandu said.
Meanwhile, a railway operator on the corridor, namely Nacala Logistics, recently reported increased volumes of cargo being shipped on the railway in 2024, reaching 647,000 metric tonnes (mt) from 530,000mt in 2023.
