Trade Facilitation

Description

According to the World Bank Logistics Performance Index (LPI) (2012) which measures countries’ trade logistics efficiency, Tanzania was ranked 88th out of 155 nations which is better than most of other Sub-Sahara African nations.  On the one hand, Tanzania performed relatively well in most indicators as compared to the averages of Sub-Saharan African nations and low income countries. The country’s competitiveness in international shipments and timeliness is reflected in the World Bank Doing Business report (2013). The report states that exporting and importing a standard container of goods takes 18 days and 31 days respectively. These figures are in total 20 days less the regional average. Moreover, the same container costs USD 1,090 for export and USD 1,615 for import. Each expense is approximately USD 1,000 less than the regional average. On the other hand, Tanzania performed marginally bad in customs as compared to the average of the comparable region and income level. However, some reforms have been undertaken to improve Customs such as rolling out the Automated System for Customs Data (ASYCUDA)++ system, setting up the Customs Service Centre to process all import declarations, strengthening the risk-management and post clearing audit systems and introducing a compliant traders system. This resulted in improvements in cargo clearance times and revenue collection.

Logistics Performance Index (LPI): Country Comparison
Logistics Performance Index – Evolution