Improving Transnational Transport Corridors
In the OIC Member Countries: Concepts and Cases
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participants to consistently apply these rules. For example, because of these updates, contracts
should specify which version of Incoterms they are using should apply. Rules cover the
movement of uncleared imports within territory (needed for Inland Clearance Depots (ICD),
the simplification of formalities (one stop windows) in participating countries and the freedom
to transit (removal of movement impediments) in participating countries (Rippel, 2011,
Banomyong and Beresford, 2000).
2.7. Social Factors
2.7.1. Introduction
The importance of equity and poverty alleviation in transport corridor development is
discussed in this section. Transport corridors may well leave the territory through which is
passes unaffected, indeed it may even generate external costs. The need to ensure the
corridors development is equitable and inclusive is briefly covered. Moving on from this, the
impact in poverty reduction is elaborated in more detail.
2.7.2. Inclusive growth
El-Hifnawi (2015) points at corridors contributing to inclusive growth, and to the importance
of understanding the causal change linking corridor development with poverty reduction.
Figure 7: Corridors contribute to inclusive growth
Source: (El-Hifnawi, 2015).
He illustrates this with the case of the Kazakhstan’s West China West Europe Corridor, that is
expected to have a short-term impact of 35,000 direct jobs, and more employment and
enhanced access to social infrastructures in the medium and the long term.
Through economic growth and regional integration corridors have their effect on movement of
labor, social standards, education and wage rates.