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Economic blocs boost cross-border trade

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By ALFRED SAYILA  (email the author)
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Posted  Monday, October 26  2009 at  00:00

So are restrictions on axle load to protect roads where most of the countries in the region limit it to 15-18 tons compared with 26 tons in South Africa.

This means trucks on southbound routes will most of the time run empty thereby increasing haulage costs.

In the light of all this and much more cross-border trade while on the increase in Southern Africa is facing a lot of structural problems, not least lack of political will to make trade in the region more efficient, competitive, cheaper and faster.

But this can only be achieved if the major trading blocs-SADC and COMESA and the East African Community (EAC) speed up their unification to allow the harmonisation of free trade.

Endowed with plenty land, abundant natural resources, booming mining sector, growing agriculture and manufacturing industries Southern Africa has all what it takes to increase its cross-border trade business to the higher heights than is the case at the moment.

Not only that its estimated population of about 517 million offers a robust market potential for goods produced, imported and exported in the region.

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