Abstract
This paper focuses on key areas for reducing transport costs in
Southern Africa emerging from recent research on cross-border
freight between Malawi, Mozambique, South Africa, Zambia and
Zimbabwe. We consider the impact of competition, border delays
and lack of return loads on transport rates which could be
reduced significantly through increased availability of return loads
for transporters, linked to growing industrial capacity in each
country. Furthermore, increased competition and reducing delays
for transporters contributed to a large reduction in transport rates
between Lusaka and Johannesburg, with similar effects from
Malawi. Margins charged in refrigerated transport are high due to
low levels of rivalry and lack of return loads. Measures to reduce
border constraints and enable greater rivalry between transporters
from different countries could have a downward effect on
transport rates in the region which are shown to be above
benchmarks for efficient transport.