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Analysis of Agri-Food Trade Structures

To Promote Agri-Food Trade Networks

In the Islamic Countries

99

Poor infrastructure and inadequate facility assessment

Efforts to facilitate cross-border trade are essential because of inadequate interconnected

national transport networks. Despite the necessity of road transit, only an estimated 20% of the

regional road network amongst Central African members of ECCAS countries are asphalted.

103

The region faces equally complex challenges in its ports. The ports are short on capacity and

unable to handle the traffic volume adequately contributing to inefficiencies, elevated waiting

periods for goods and high transport costs.

104

The infrastructure challenges also occur in

railway transport systems. Much of the rail systems are either underused or unconnected from

other member countries.

105

Poor infrastructure characterized by poor quality and gaps in roads, energy and ICT

(Information, Communication and Technology) connectivity create irregularities that impede

predictability in transport systems and translates to traders as hidden costs. These

shortcomings in infrastructure networks increase the cost of doing business and negatively

impact the competitiveness of goods. Consequently, in Africa, deficient infrastructure reduces

output by 2% every year.

106

The OIC can invest in capacity building measures that help member countries articulate multi-

country comprehensive, integrated multimodal regional transport as well as logistics

investment and reform programs that work together to address challenges. The policy can be

structured around consensus building, for boosting South-South trade, reducing logistics and

transport costs as well as improving overall governance. This collaboration could in the short-

term be implemented through joint efforts on trade facilitation e.g. the framework of regional

programs funded by the African Development Bank and implemented by ECCAS towards the

implementation of the WTO trade facilitation agreement. The program currently focuses on

customs-centric efforts towards compliance with the various articles of the agreement. There is

a need for completing this with actions aimed at enhancing the business environment through

policy reforms for addressing the systemic drivers of high transactions cost, including capacity

building and coalition for minimizing rent-seeking behaviors /fighting corruption.

Capacity Constraints and Support for Industrialization

Fostering industrialization within Cameroon's agricultural sector is a critical strategy for

improving the economic opportunities available in the region; this applies to all of Cameroon’s

OIC neighbors. The African Union had developed the Agenda 2063 that outlines a vision of

economic growth through industrialization of African countries. The agenda identifies

modernized agriculture and "increased production, productivity and value addition that

contributes to farmer and national prosperity and Africa’s collective food security”, as key pillars

for fostering structural transformation.

107

Overall policy efforts such as Agenda 2063 offer

Cameroon and African countries more broadly the opportunity to transform their economies by

103

Ibid.

104

Nathan Associates Inc.. (2013).

Logistics Cost Study of Transport Corridors in Central and West Africa.

Arlington: Nathan

Associates INC.

105

Ibid.

106

Ibid.

107

(2015).

Agenda

2063-

The

Africa

We

Want.

Final

Edition.

Available

at

http://www.un.org/en/africa/osaa/pdf/au/agenda2063.pdf