As part of the Africans Investing in Africa series, this chapter looks at the opportunities and challenges in the transport and logistics sector. This is a very large and strategic economic sector, and the companies interviewed were mainly in the road transport and logistics sectors. Most freight moved between African countries is moved by road as, apart from South Africa, the railway sector in Africa has been allowed to decline so that rail, typically, accounts for less than 5 per cent of the volume of goods transported in Africa. Volumes of cargo moved by air are insignificant compared to that which travels by road within Africa and by ship to and from the rest of the world, although this air cargo is important and has a high value, such as diamond and gold exports and urgent replacement parts for industrial machinery, or are time sensitive, such as cut flowers and vegetable exports to Europe. Although there used to be regular ferry services and cargo carriers on Africa’s major water ways, water transport in Africa has declined to almost non-existent except on sections of major rivers such as the Congo and the Nile.
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