Benin-Niger corridor study delivers insights into transportation costs and associated freight product prices
Study by CPCS uncovered 9 key barriers keeping freight transportation costs high along the Cotonou-Niamey corridor, ultimately impacting product prices for Beninese and Nigerians
Findings provide likely reasons as to why this heavily travelled corridor is struggling with high freight costs, high and variable freight shipment duration as well as limited reliability.
For this research project, CPCS drew upon its extensive international data analysis experience and its work in the infrastructure sector currently underway or recently completed in Sierra Leone, Benin, Senegal, Nepal, Burkina Faso, Tunisia, Ivory Coast and Ghana.
Summary:
- Study identifies 9 major obstacles keeping freight transportation costs high along the corridor between Cotonou, Benin and Niamey, Niger
- Researchers quantified and delivered in-depth mapping of the freight transport value chain along the Cotonou-Niamey corridor
- Study recommends best options for policy and institutional reform to address key obstacles
- Findings intended to help both countries’ public authorities and the MCC make informed decisions for better interconnected economies
Financed by the US international development agency Millennium Challenge Corporation, this study follows in the footsteps of another one CPCS did for the Cotonou-Niamey railway line, which included a competitive assessment compared to the road corridor option.
Deep understanding of infrastructure in Africa
The study consisted of a freight transport analysis as well as a political and economic review that looked at market dynamics, governmental and non-governmental organizations affecting the transportation sector.
Moreover, a series of consultations took place with public, private and civil society representatives to better understand their roles in the freight market value chain, their interests and concerns about the functioning of the freight transport market, and their buy-in and resistance to potential reforms that could emerge.
Next steps
The Benin-Niger-US governments have since used the findings to guide them and are now looking at setting up a regional development grant to enhance cross-border efficiencies and reduce the cost of transportation along the road corridor.
