Quantifying the Relative Contributions of Customs, Trade and Ports to Cargo Time Delays

Abstract

Sub-Saharan African delays for cargo are much longer than global benchmarks, reducing the competitiveness of the affected economies. This paper quantifies the contributions of customs, traders, and the port terminal operator to cargo time delays through the parallel customs and ports processes, by categorising cargo based on customs regime and declaration plans. We find that customs processes are the primary contributor for import cargo delays, while terminal operator processes are the primary contributor for transit cargo delays. Traders, however, also contribute significantly to time delays based on their response times. This is aggravated by the fact that traders from neighbouring countries are not allowed direct access to the port’s electronic invoicing system. We recommend the implementation of electronic single window systems accessible by importers from all countries served by the port and the use of intelligent customs risk engines to reduce the need for physical inspections.