Constraints to competitiveness of African commodities

Many constraints impede the competitiveness of African commodities for exports and access to international markets. These include: (i) unfavorable or discriminatory trading terms, (ii) delays in the logistics chain, (iii) low quality data and information on the constraints and opportunities to value chains, and (iv) non-conducive policy environments with high transaction costs including bureaucracy in import and export licensing and border crossing procedures. The capacity for high productivity and good quality products along the value chains from input supply to exports is low and is reflected in low productivity, high scrap rates in industry, and large post-harvest losses in agriculture, sometimes as much as 30-50% of the crop. Trade transaction processes such as licenses and quality assurance systems are completed slowly and erratically resulting in unpredictable delivery and long delivery times.

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