Addis Ababa, Ethiopia (ECA) – The expansion of existing and the creation of new dry ports in Ethiopia was the subject of a day-long workshop held at the United Nations Economic Commission for Africa (ECA) this week.
With no direct access to the sea, landlocked Ethiopia appears to be at a disadvantage when it comes to efficiency of transportation of goods. However, dry ports could be a solution to this problem. ECA, on behalf of the Ethiopian Dry Ports Services Enterprise, has undertaken a feasibility study for dry ports in the country. The meeting was to review the feasibility study with a variety of stakeholders from across the country.
With a dry port, goods being transported to a landlocked country, rather than undergoing customs procedures at the seaport, would instead be transported directly to the country’s dry port, where customs clearance would take place.
Mr. Stephen Karingi, Chief of Trade and International Negotiations at ECA, said the importance of dry ports for landlocked countries could not be overstated. ECA studies have shown that, keeping distance constant, transport costs for landlocked countries are on average $2000 USD higher than those for non-landlocked countries owing to delays at seaports and border posts. Efficient dry ports could help reduce these transport costs and make them better able to compete commercially.
“The ability of landlocked countries to trade does rely on the existence of efficient and easily accessible transit corridors of which dry ports constitute a vital component,” he said. “The benefits of efficient dry ports could be enormous for Ethiopia.”
Ethiopia currently has two dry ports – one in Mojo, the other in Samera. In addition to the review and input into the final report, participants discussed the feasibility of expanding these two dry ports as well as possible locations for others.
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