Publication: Logistics in Lagging Regions :
Overcoming Local Barriers to Global Connectivity
Loading...
Published
2011
ISSN
Date
2012-03-19
Author(s)
Editor(s)
Abstract
This report is based on two case studies carried out in Brazil and India on the impact of various strategies to reduce the cost of trade for small-scale producers. Small scale producers especially those located in lagging regions in developing countries lack easy access to efficient logistics services. They are faced with long distances from both domestic and international markets. Unless the enterprises are able to consolidate traffic volumes they can be excluded from international supply chains. However, the process of consolidation is not without cost nor does it occur on its own accord. It is typically handled by outside parties in the form of intermediaries. The study was designed around the horizontal relationships between the small scale producers and their vertical connections to higher tier parties involved in the same supply chain. It analyzes the cooperative approach to linking producers, the role of itinerant traders, and a newer and innovative approach to the same problem through virtual integration of farmers using modern information communication technologies. These approaches were explored by studying two separate supply chains, sisal in Brazil and soybean in India, enabling the assessment of logistics patterns from the farm gate to onboard vessel at the export gateway. The assessment of logistics performance at the sub-national level is still evolving. The more widely used density-type indicators emphasize the infrastructure dimension of logistics but do not handle effectively the relationships and service quality attributes identified by the study. A model built around spatial and social networks is proposed to represent the horizontal and vertical attributes of logistics in lagging regions.
Link to Data Set
Citation
“Kunaka, Charles. 2011. Logistics in Lagging Regions :
Overcoming Local Barriers to Global Connectivity. World Bank Study. © World Bank. http://hdl.handle.net/10986/2543 License: CC BY 3.0 IGO.”
Digital Object Identifier
Associated URLs
Associated content
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication Lao PDR : Trade and Transport Facilitation Assessment(Washington, DC, 2014-04)In Lao People's Democratic Republic (PDR), the value of trade has risen rapidly over the last decade with both imports and exports increasing by average annual rate of 24 percent. This report examines the trade logistics of Lao PDR. A trade and transport facilitation assessment was performed using a standardized toolkit and methodology developed by the World Bank to evaluate the quality of the logistics services. The assessment focused on the services used by these trades and the corridors used by these services. The assessment gave specific attention to two constraints on trade, the location of the country and the size of the trade. The study is organized in three interrelated parts: assessing the performance of the logistics sector; the international trade corridors linking Lao PDR to trade gateways in Thailand; and the supply chains used for distribution of exports. This report is presented in four sections. The first part examines the foreign trade of Lao PDR, the opportunities for growth and the logistics services in the movement of imports and exports between the country and its major gateways. The second section evaluates the performance of the corridors connecting the major origins and destinations in the country and the principal seaport used for international trade. The third section analyses the structure and performance characteristics of the supply chains used for selected trades and the implications for restructuring to support growth in the export trade. The final section presents a series of recommendations for improving the competitiveness of the exports through improvements in the structure of the supply chains, the logistics services used by these supply chains, and the corridors used by these supply chains.Publication Improving Trade and Transport for Landlocked Developing Countries(World Bank, Washington, DC, 2014-11)Landlocked developing countries (LLDCs) are completely dependent on their transit neighbors infrastructure and administrative procedures to transport their goods to port. This publication provides a comprehensive ten-year review in order to assess the progress made in improving access of LLDCs to global markets, identify the remaining challenges faced by LLDCs, and present improved and innovative ways to overcome them. This publication is based on the practical knowledge from implementing the Almaty Program policies, shared by both of our institutions. It provides a snapshot of the economic trends in LLDCs, with regard to trade costs, connectivity constraints and trade diversification. It reviews the key access policies in the Almaty Program of Action framework that include infrastructure, transport and logistics services, regional integration, trade and transit facilitation. It combines data and substantial feedback from implemented projects and policy changes. The focus of the document is general in scope and does not include detailed economic or policy analysis of all the potential components of reforms. The publication is organized as follows: Chapter1: Economics of Landlockedness; Chapter 2: Connectivity Constraints; Chapter 3: Hinterland Connections; Chapter 4: Transit and Trade Facilitation, Regional Integration; Chapter 5: Physical Connectivity, Corridors. This document is based primarily on the experience of project implementation by the World Bank, and on analytical work on trade corridors and LLDCs, including reports and presentations on progress in implementing the Almaty Program of Action.Publication Developments and Needs for Sustainable Agro-Logistics in Developing Countries(World Bank, Washington, DC, 2014-01)The Multi-Donor Trust Fund for Sustainable Logistics (MDTF-SL) aims at promoting innovative assistance projects that can break new grounds, test new ideas, and generate new knowledge for sustainable logistics that can be replicated in other countries and project. In November 2013 we were asked to write a position paper that analyses the state of affairs in Agro-Logistics. It aims to: (1) review and suggest a conceptual grounding for the MDTF-SL's activities; (2) outline the specific challenges developing countries face on Agro-Logistics; and (3) review existing attempts or interventions to meet the identified challenges. This position note starts with a definition for agro-logistics to have a mutual understanding of the concept. Section two presents emerging global trends and developments, which are then, translated to key logistics objectives in section three. Next, in section four, five international cases are presented that illustrate the needs and key bottlenecks in agro-logistics for developing countries. Section five presents an overview of potential interventions to improve logistics performances, resulting in recommendations (section six).Publication Improving Trade and Transport for Landlocked Developing Countries : World Bank Contributions to Implementing the Almaty Programme of Action(Washington, DC, 2013-06)A ministerial intergovernmental conference in pursuit of these commitments was held in August 2003 in Almaty, Kazakhstan. The conference agreed to the Almaty Programme of Action (APoA), calling for joint efforts by transit and landlocked countries-with substantial technical and financial assistance from other countries-to revise their regulatory frameworks affecting trade movements and to improve their trade-related infrastructure. The two World Bank strategies and the APoA have the same overarching objective: to support the countries targeted by the proposed objectives and actions, in order to achieve inclusive and sustainable development. The report is divided into six sections. Section one provides a comparison of Landlocked Developing Countries (LLDCs) and transit countries in terms of trade performance. It particularly focuses on the growth of total trade and Gross Domestic Product (GDP) per capita in light of trade openness and export diversification. This is followed in section two by an assessment of logistics performance and trade costs of landlocked countries, and their transit and coastal neighbors, on the basis of the Logistics Performance Index (LPI). The operational challenges for traders in LLDCs, including unreliable supply chains and delays, as well the underlying causes, are discussed in section three. Section four then focuses on the various activities of the World Bank to address the key priorities of the Almaty programme, with a focus on regional integration and trade facilitation. In continuation, section five highlights some of the regional integration and trade facilitation projects and initiatives that are being implemented. The report concludes by re-emphasizing the continued validity of several of the original APoA priorities for financial and technical assistance, in the context of the World Bank's overall strategic goals (section six).Publication Barriers to Trade in Services in the CEFTA Region(World Bank, 2011-07-05)This paper describes the economic importance of the service sector in Central European Free Trade Agreement (CEFTA) countries and current barriers to trade in services between CEFTA countries. It looks at four sectors: construction, land transport, legal services, and Information and Communication Technology (ICT) services. The intent is to stimulate dialogue on trade in services between decision-makers in CEFTA countries. In CEFTA economies, export of services accounts for about 10 percent of GDP in non coastal countries and much more in coastal countries, where foreign currency earnings from tourism are the dominant form of service = exports. Though CEFTA countries have opened their markets considerably, mostly because they are pursuing accession to the European Union (EU) and the World Trade Organization (WTO), there are still obstacles to trade in services. Some, such as the movement of professional workers, are general; others are sector-specific. In what follows, the next section illustrates the importance of the services sectors in CEFTA economies and analyzes trends in services trade and in intraregional trade for countries that have such data available. The third section describes general barriers to trade in services, and specific barriers for the four sectors specified. The analysis reviews the legal and institutional framework for trade in services and features assessments by regional companies that export such services. The final section summarizes the findings.
Users also downloaded
Showing related downloaded files
Publication Digital Africa(Washington, DC: World Bank, 2023-03-13)All African countries need better and more jobs for their growing populations. "Digital Africa: Technological Transformation for Jobs" shows that broader use of productivity-enhancing, digital technologies by enterprises and households is imperative to generate such jobs, including for lower-skilled people. At the same time, it can support not only countries’ short-term objective of postpandemic economic recovery but also their vision of economic transformation with more inclusive growth. These outcomes are not automatic, however. Mobile internet availability has increased throughout the continent in recent years, but Africa’s uptake gap is the highest in the world. Areas with at least 3G mobile internet service now cover 84 percent of Africa’s population, but only 22 percent uses such services. And the average African business lags in the use of smartphones and computers as well as more sophisticated digital technologies that catalyze further productivity gains. Two issues explain the usage gap: affordability of these new technologies and willingness to use them. For the 40 percent of Africans below the extreme poverty line, mobile data plans alone would cost one-third of their incomes—in addition to the price of access devices, apps, and electricity. Data plans for small- and medium-size businesses are also more expensive than in other regions. Moreover, shortcomings in the quality of internet services—and in the supply of attractive, skills-appropriate apps that promote entrepreneurship and raise earnings—dampen people’s willingness to use them. For those countries already using these technologies, the development payoffs are significant. New empirical studies for this report add to the rapidly growing evidence that mobile internet availability directly raises enterprise productivity, increases jobs, and reduces poverty throughout Africa. To realize these and other benefits more widely, Africa’s countries must implement complementary and mutually reinforcing policies to strengthen both consumers’ ability to pay and willingness to use digital technologies. These interventions must prioritize productive use to generate large numbers of inclusive jobs in a region poised to benefit from a massive, youthful workforce—one projected to become the world’s largest by the end of this century.Publication Pakistan(World Bank, Washington, DC, 2019-01-01)This report builds on prior work to provide a new, comprehensive, and balanced view of water security in Pakistan, stressing the importance of the diverse social, environmental, and economic outcomes from water. The report highlights the complex water issues that Pakistan must tackle to improve water security and sheds new light on conventional assumptions around water. It seeks to elevate water security as an issue critical for national development. The report assesses current water security and identifies important water-related challenges that may hinder progress in economic and human development. It identifies unmitigated water-related risks, as well as opportunities where water can contribute to economic growth and poverty reduction. The report analyzes how the performance and architecture of the water sector are related to broader economic, social, and environmental outcomes. It models alternative economic trajectories to identify where intervention can lead to a more water-secure future. A consideration of water sector architecture and performance and how these determine outcome leads to recommendations for improving aspects of sector performance and adjusting sector architecture for better outcomes. The sector performance analysis considers (a) management of the water resource, (b) delivery of water services, and (c) mitigation of water-related risks. The description of sector architecture considers water governance, infrastructure, and financing.Publication Economic and Policy Analysis for Emission Reduction from the Brick Industry in Nepal(Washington, DC: World Bank, 2024-07-10)The brick industry is one of the primary sources of carbon dioxide emissions and local air pollutants in Nepal. Coal, which accounts for one-third of the current national carbon dioxide emissions from fossil fuel sources and is entirely imported, is the primary fuel in the brick industry. The brick industry accounts for 27 percent of the total carbon dioxide emissions from coal consumption. The adoption of clean technologies or fuels in the brick industry is crucial for improving air quality, enhancing energy independence, and meeting the country’s nationally determined contribution under the Paris Climate Accord and the net-zero emission target set for 2045. Substitution of imported coal with domestic energy resources in the brick industry substantially reduces the country’s import bills. This study examines the economics of various alternatives to reduce coal consumption and corresponding emissions from the brick industry. The study considers a range of carbon taxes (US$10 to US$100 per ton of carbon dioxide), an environmental fiscal policy. The US$10 per ton of carbon dioxide tax would increase brick production costs by 2 to 6 percent, depending on the energy efficiencies of the technologies. If the carbon tax were US$100 per ton of carbon dioxide, the cost of bricks would increase by 12 to 36 percent. However, implementation of the policy may not be successful without enabling lower cost, clean alternatives. For example, replacing more coal with biomass provides direct cost and environmental savings but would require relaxing strict forest protections. The study recommends various promotional policies for non-fired alternative bricks. It also argues that since using electricity for firing bricks is an ideal option for reducing emissions from the brick industry in Nepal, the government and development partners should prioritize pilot projects for electric kilns.Publication World Bank Group Sanctions Board Law Digest 2019(Washington, DC: World Bank, 2020)This edition of the Law Digest for the World Bank Group's Sanctions Board presents structured summaries of the Sanctions Board's precedent as set out through more than 100 decisions issued since 2007. The Law Digest also includes key data relating to the work of the Sanctions Board and the World Bank Group's larger sanctions system. Themes covered in this digest include the scope of the Sanctions Board's authority, various types of procedural and evidentiary questions in sanctions proceedings, and the Sanctions Board's overall analysis of the allegations of fraud, corruption, collusion, and obstruction in projects supported by the World Bank Group that form the core of individual sanctions cases.Publication Are There More Female Managers in the Retail Sector? Evidence from Survey Data in Developing Countries(World Bank, Washington, DC, 2014-04)This paper uses firm-level data for 87 developing countries to analyze how the likelihood of a firm having female vs. male top manager varies across sectors. The service sector is often considered to be more favorable toward women compared with men vis-à-vis the manufacturing sector. Although the exploration of the data confirms a significantly higher presence of female managers in services vs. manufacturing, the finding is entirely driven by retail firms, with little contribution from other service sectors, such as wholesale, construction, and other services. The analysis also finds that the higher presence of female managers in the retail sector vs. manufacturing is much higher among the relatively small firms and firms located in the relatively small cities. These findings could serve as useful inputs for the design of optimal policy measures aimed at promoting gender equality in a country.