Logistics forum to ease transportation challenges

Local businesses are hopeful of easing logistical challenges through the formulation of a  National Logistics Forum which seeks to enhance public-private sector dialogue.

Malawi Confederation of Chambers of Commerce and Industry (MCCCI) chief executive officer Chancellor Kaferapanjira said the forum will identify bottlenecks within the logistics sector and how they may be resolved to guide government in formulating the right policies, strategies and actions meant to deal with them.

He said this in an interview on the sidelines of the launch of the National Logistics Forum attended by Ministry of Trade and Industry Principal Secretary Christina Zakeyu and her Transport and Public Works  counterpart Hastings Chiudzu.

He said: “Logistics is a major challenge for a landlocked country like Malawi. The cost of products exported out of the country and those imported in Malawi has 53 percent of its cost relating to logistics.

“It is, therefore, important that the private and public sectors are coming together in a forum to look at how they can become more efficient and effective to ensure that the speed of transportation of goods increases and costs are reduced.”

On her part, Zakeyu underscored the importance of the logistics sector, admitting that the increasing complexity of supplying businesses remains a challenge.

She said: “Logistics is a vital part of supply chain management that is used to plan, implement and control the flow and storage of goods and services in order to meet customers’ requirements.

“Having a proper structure in place is, thus, going to help us clearly discuss issues affecting and surrounding the sector.”

Commenting on the issues, National Logistics Steering Committee co-chairperson Kumbukani Kaluwa said Malawi’s geographical position makes it hard for businesses to access international markets, as such, the forum is a significant initiative.

Despite the importance of the logistic sector in trade, the World Bank in its 2021 Malawi Country Private Sector Diagnostic Report indicated  that the logistics sector faces a number of constraints within the borders of Malawi.