Make Beira Corridor top priority

28 Aug, 2016 - 05:08 0 Views

The Sunday Mail

Clemence Machadu Insight
Howdy folks!
Zimbabwe is a landlocked country, or land-linked as some say these days. What this means when it comes to trade is that we have to use other countries with seas each time we want to ship our goods for trade. This is always going to happen until, by the “grace” of God, new plate tectonics happen, leaving us with vast oceans on the peripheries of our borders. But while we dream for that to happen, we have to make sure trade happens efficiently and that the movement of our exports and imports is smooth.

At the moment, Beitbridge is the busiest border post in Southern Africa. Our exports are concentrated to South Africa, including those going to other countries via the Durban Port. A recent article by The Herald’s Thupeyo Muleya narrated the plight of Beitbridge, and there are a few statistics I would like to borrow from his great piece.

Muleya indicated that a total of 170 000 people, 2 100 buses, 25 000 private cars and 15 000 trucks pass through the town every month. This also explains my earlier point that our exports are too concentrated to South Africa. Imports too.

The main reason is that some of the products will just be passing through South Africa, going to or coming from other countries. South Africa is just a passage-way to the sea. This is what we have to put up with as a land-linked country; kupfuura nemuchivanze chemuvakidzani nguva dzose.

But what also worries one are the challenges of dealing with the Beitbridge border post when exports are this concentrated. Muleya cited that a delay of three days at the border increases transport costs by about US$500 per truck per day, which is passed on to the importer.

The importer will further pass the same cost to the consumer, whose disposable income is diminishing.

While Beitbridge seems to have reached its peak, there appears to be an alternative – the Beira Corridor in Mozambique. This is another gateway to the sea with exciting opportunities that remain untapped.

You see, Beira is the shortest route to the sea for Zimbabwe.

The distance between Harare and Beira is only 559km, while that between Harare and Durban is 1 683km.

What you can see already is that using the Durban port is very expensive as one has to pay roughly three times more in transportation, insurance and other costs.

Beira has been in existence since 1889 as a gateway for Zimbabwe, Zambia and Malawi’s exports to the rest of the world.

As we now seek to foster the competitiveness of our local products, as well as export competitiveness, we also have to fully explore the enormous opportunities that the Beira Corridor can offer.

Right now, 71 percent of our exports go to or through South Africa, while 38 percent of our imports come from or through the same country, according to the International Trade Centre.

Our trade with Mozambique is still low, as only 15 percent of our exports go to or through that country, while 2,8 percent of our imports come from or through it.

Using the Beira port, therefore, presents an opportunity for us to decongest the Beitbridge and Durban port concentrations, ensuring our goods move efficiently and cost effectively.

Government hinted last year that it was engaging potential developers for a multi-billion dollar infrastructure project which will link Zimbabwe to the Beira Corridor.

Memoranda of Understanding for the development of the Beira Corridor were signed between Zimbabwe and Mozambique years back, but that initiative is moving at a snail’s pace.

There are a number of borders that are used to get into Mozambique from Zimbabwe, including Nyamapanda, Espungabera and Forbes.

Forbes is, however, the gateway to the Beira Corridor and needs to be upgraded to ensure it has the capacity to handle traffic efficiently.

Expanding it also means the areas surrounding it have to be cleared for new infrastructure to be established.

Part of the area is infested with landmines which were planted by the enemy to discourage our freedom fighters from moving to and from Mozambique during the liberation war.

It needs to be demined.

But it is encouraging that already, the road from Harare to Mutare has been rehabilitated and movement of traffic is smooth there.

There is also a railway link between Zimbabwe and Mozambique, although it needs to be refurbished.

But we are already moving the bulk of our oil from Mozambique into the country through a pipeline that links both countries.

Mozambique has stood with us since the day of the liberation struggle, and Guy Arnold’s book, “The World’s Strategic Highways”, details how the Beira Corridor played a role in ensuring the Ian Smith regime bowed down.

From Arnold’s narrative, we also get to understand how we should now utilise the Beira Corridor to grow our economy sustainably. Around 1973, when it was becoming clear that the Frelimo forces were winning the war against the Portuguese, the greatest fear that architects of the Unilateral Declaration of Independence had was that the Beira Corridor would be shut down by the new patriotic leaders in support of the Zimbabwe nationalists who were fighting Smith’s regime.

That’s how the Rhodesians quickly built a new rail link from Rutenga to Beitbridge as a contingency measure.

And indeed, from 1976 to 1980, the new government of Mozambique closed its borders to suffocate UDI, a move that denied Smith the use of Mozambique’s efficient railways and ports, while allowing Zimbabwean guerillas to operate from its soil.

That’s why many of our veterans’ narratives begin with “I crossed into Mozambique in…” But the point I want to make is that Mozambique made a great sacrifice when it shut its borders to Ian Smith’s goods. It was a move that apparently affected its own economy, as the movement of cargo was providing it with revenue.

Our good neighbour was only yearning to see an end to the war, with the black majority emerging as winners. And after attaining our Independence in 1980, Mozambique made its railway and ports available once more to Zimbabwe, to ensure we have the shortest route to the sea for our exports and imports.

Mozambique was, however, later faced with a civil war which resulted in the closure of the Beira Corridor for a period.

It was during that time that infrastructure at the Beira Port was neglected, resulting in fewer cargo being handled. It was only in 1992, when the civil war eased, that traffic started to be noticed. We are now faced with no barriers or excuses to redevelop the Beira Corridor and foster efficient trade facilitation. The question now is: What are we waiting for?

Later folks!

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