Rail: A competitive advantage for trade

A number of African countries are betting on rail to achieve regional or transnational integration.

Continent wide, an increasing amount of regional rail projects are being implemented. In the north: Ethiopia to Djibouti, West: Niger to Togo and east Africa: plans of linking Rwanda to Ethiopia. That could contribute to making the continent a giant free trade area; a giant step for a fully integrated and interconnected Africa.

With an existing network of 5033 kms ideally position between mineral extraction areas (center, east and south) and two principal sea exit points in the South: Durban via Zambia and Benguela via Angola, the DRC can find in rail an interesting competitive advantage for its trade.

Solely looking at it from the option of mineral and good transport, this represents a cost effective and faster option than road (the continent still counts a number of board posts).

Locally, the privatization of those railways, at least partially, might be the only way to ensure the necessary maintenance and profitability to make it viable. The last attempt in that direction via a South African-Congolese consortium (Sizarail) seemed to start bearing fruit until canceled.

The upside of such a project is attractive enough to resources companies and major importers for PPP’s to be structured around them.

A success here could expand the experience to currently untapped routes and possibility open the door to a better-structured and profitable passenger transport.