Race against time to establish Namibian logistics hub

Having put most of the foundations in place for positioning Namibia as the logistics hub for land-locked Southern African Development Community (SADC) countries, the next challenge is to identify ways of adding value and creating jobs says Harald Schmidt, secretary general of the Namibia Logistics Association (NLA). “We have a stable democracy, good government policies and the right infrastructure in place. What we are now asking ourselves is ‘why is no value being added?’ as goods pass through Namibia,” he says. The fourth Namibian National Development Plan (NDP 4) sets logistics and infrastructure as one of four key priority areas for the country. It builds on NDP 3, which had the goal of establishing and sustaining a well-developed and reliable infrastructure in order to improve competitiveness, reduce production costs and increase productivity. One of the challenges created by the success of the policies is that the road system is starting to deteriorate due to the growing number of trucks travelling along the Walvis Bay corridors, says Schmidt. “Road hauliers are carrying bulk products which should and must be placed on rail,” he says. Another challenge is a skills shortage. Here the NLA and other bodies in the industry are lobbying government to relax its regulations to allow skilled expats to obtain work permits more easily. “We must be realistic. As a country we are in a race against time. Other countries in the region also want to position themselves as the logistics hub,” he says. Angola, for example, has the advantage of good natural harbours and more favourable demographics that allow the country to build on a strong local market. It is a country of over 21 million people compared to Namibia’s 2.3 million. “We are working to create early momentum in order to get the support of the shipping lines and the rest of the logistics industry in order to create an infrastructure and support systems that will not be easy to move. “All it needs is a change of mindset on the part of both business and the government,” he says. INSERT & CAPTION We are working to create infrastructure and support systems that will not be easy to move. – Harald Schmidt