Namibia’s Logistics Sector Struggles to Keep Up with Rising Trade Volumes

Namibia is stepping up its logistics game as trade volumes climb. With more cargo moving through its ports and borders, the country is actively expanding capacity, streamlining operations, and investing in smarter infrastructure. Positioned as a key trade and transit hub in southern Africa, Namibia isn’t waiting to be overwhelmed, it’s taking bold steps to lead. Efficiency is no longer optional; it’s the engine driving competitiveness. And Namibia is making sure its logistics sector is ready to deliver.

Harold Schmidt, Secretary General of the Namibia Logistics Association (NLA), stressed the urgent need for action as trade volumes continue to grow. He highlighted the importance of strengthening logistics systems to meet rising demands. “With more cargo expected to move through the country, we must ensure our systems, infrastructure, and regulatory frameworks are designed for speed, reliability, and cost-effectiveness,” he stated.

He emphasized the critical role of streamlining the logistics chain to boost efficiency and reduce unnecessary expenses. Addressing regional trade challenges, he pointed out the detrimental effects of non-tariff barriers on trade corridors. “It is not in our—or the region’s—interests to have non-tariff barriers (NTBs) on our corridors. Our goal is to ensure that cargo moves as quickly and efficiently as possible at a competitive price.”

As the push to enhance intra-regional trade intensifies and African nations increasingly recognize their economic interdependence, Schmidt called attention to the urgent need to address non-tariff barriers (NTBs) that threaten to stall progress. He emphasized that trade disruptions in one country often ripple across borders, affecting neighbouring economies and undermining the broader goal of regional integration.

Citing a recent development, Schmidt pointed to Botswana’s decision to revise its in-transit cargo clearance procedures, specifically, its move to prohibit the consolidation and movement of cargo under a single Received-in-Transit (RIT) entry. This policy change, he warned, has already begun to cause unintended consequences beyond Botswana’s borders, disrupting supply chains and increasing costs for neighbouring countries that rely on the same corridors.

“We are currently facing an issue that has caused significant costs and delays in one corridor. If a three-country bloc cannot resolve this, how can we expect to expand intra-regional trade further north?” Schmidt asked. He warned, “What happens when other countries observe what Botswana is doing, weigh the costs and benefits for their own systems, regardless of the wider impact on trade, and start following suit? It will make trade in our region unaffordable.”

Schmidt stressed that such unilateral policy shifts do not occur in isolation, they strain relationships between trading partners, reduce corridor efficiency, and make it harder for neighbouring countries to plan and execute their own trade and logistics strategies. Landlocked countries, in particular, are disproportionately affected, as they rely heavily on smooth transit through coastal and transit nations. The cascading delays and cost increases caused by NTBs can reduce competitiveness, discourage investment, and ultimately slow economic growth across the region.

To counter this trend, Schmidt advocated for stronger collaboration and harmonization of trade procedures. He urged countries to prioritize practical solutions, such as coordinated pre-clearance systems and shared regulatory frameworks, to ensure smoother cargo movement. “We are also strong advocates for pre-clearance, as this will prevent cargo movement from being interrupted at different borders. Solutions that enable efficient and cost-effective trade are available, but they require countries to collaborate to implement harmonized systems, procedures, policies, and regulations that align with one another.”

With growing expectations on the logistics sector to unlock Africa’s trade potential, Schmidt highlighted the critical role of forward-thinking policies and regional cooperation. “We need to think outside the box to truly seize the many opportunities that currently exist. Namibia has done an excellent job of promoting itself as a viable trade option. However, to turn this potential into reality, we must ensure that the necessary policies are in place and that we implement processes that fulfil that promise.”

In this increasingly interconnected landscape, the success of one country’s trade policy hinges on the stability and alignment of its neighbours. For intra-African trade to thrive, a collective commitment to removing NTBs and building a seamless logistics environment is no longer optional, it is essential.

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