Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa

Recent research suggests that isolation from regional and international markets has contributed significantly to poverty in many Sub-Saharan African countries. Numerous empirical studies identify poor transport infrastructure and border restrictions as significant deterrents to trade expansion. In r...

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Main Authors:	Buys, Piet, Deichmann, Uwe, Wheeler, David
Format:	Policy Research Working Paper
Language:	English en_US
Published:	World Bank, Washington, DC 2012
Subjects:	AIR ARTERIES BORDER CROSSINGS BRIDGE CAR CONGO COST-BENEFIT ANALYSIS CUSTOMS DEMOCRATIC REPUBLIC OF ECONOMETRIC ANALYSIS ELASTICITIES ELASTICITY EXPORTS FOOTPATHS FREIGHT GDP GDP PER CAPITA HAULING HEAVY TRUCKS HIGH TRANSPORT HIGHWAY HIGHWAY CONSTRUCTION HIGHWAY CORRIDORS HIGHWAY WIDENING HIGHWAYS IMPERFECT COMPETITION INCREASING RETURNS INCREASING RETURNS TO SCALE INDEX NUMBERS INFRASTRUCTURE DEVELOPMENT INFRASTRUCTURE PLANNING INTERNATIONAL TRADE JOURNEY LANDLOCKED COUNTRIES LOCAL TRAFFIC MARITIME TRANSPORT OCEAN FREIGHT OCEAN TRANSPORT PAVED ROADS PER CAPITA INCOME POOR ROADS PURCHASING POWER RAIL RAIL LINES RAIL TRAFFIC RAILROAD RECONSTRUCTION ROAD ROAD CONDITIONS ROAD CONNECTIONS ROAD IMPROVEMENT ROAD INFRASTRUCTURE ROAD INVESTMENT ROAD LINKS ROAD NETWORK ROAD PROJECTS ROAD QUALITY ROAD SYSTEM ROAD TRANSPORT ROADS ROUTE ROUTES SHIPMENTS SHIPPERS SUB-SAHARAN AFRICA THE GAMBIA TRADE FACILITATION TRAFFIC GROWTH TRAFFIC VOLUME TRAFFIC VOLUMES TRANSIT TRANSIT COUNTRIES TRANSPARENCY TRANSPORT TRANSPORT COSTS TRANSPORT INFRASTRUCTURE TRANSPORT POLICY TRANSPORT QUALITY TRANSPORTATION TRANSPORTATION COSTS TRIP TRUE UNDERESTIMATES VALUATION VEHICLE VEHICLE DEPRECIATION
Online Access:	http://documents.worldbank.org/curated/en/2006/12/7267078/road-network-upgrading-overland-trade-expansion-sub-saharan-africa http://hdl.handle.net/10986/9256

id	okr-10986-9256
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spelling	okr-10986-92562021-04-23T14:02:42Z Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa Buys, Piet Deichmann, Uwe Wheeler, David AIR ARTERIES BORDER CROSSINGS BRIDGE CAR CONGO COST-BENEFIT ANALYSIS CUSTOMS DEMOCRATIC REPUBLIC OF ECONOMETRIC ANALYSIS ELASTICITIES ELASTICITY EXPORTS FOOTPATHS FREIGHT GDP GDP PER CAPITA HAULING HEAVY TRUCKS HIGH TRANSPORT HIGHWAY HIGHWAY CONSTRUCTION HIGHWAY CORRIDORS HIGHWAY WIDENING HIGHWAYS IMPERFECT COMPETITION INCREASING RETURNS INCREASING RETURNS TO SCALE INDEX NUMBERS INFRASTRUCTURE DEVELOPMENT INFRASTRUCTURE PLANNING INTERNATIONAL TRADE JOURNEY LANDLOCKED COUNTRIES LOCAL TRAFFIC MARITIME TRANSPORT OCEAN FREIGHT OCEAN TRANSPORT PAVED ROADS PER CAPITA INCOME POOR ROADS PURCHASING POWER RAIL RAIL LINES RAIL TRAFFIC RAILROAD RECONSTRUCTION ROAD ROAD CONDITIONS ROAD CONNECTIONS ROAD IMPROVEMENT ROAD INFRASTRUCTURE ROAD INVESTMENT ROAD LINKS ROAD NETWORK ROAD PROJECTS ROAD QUALITY ROAD SYSTEM ROAD TRANSPORT ROADS ROUTE ROUTES SHIPMENTS SHIPPERS SUB-SAHARAN AFRICA THE GAMBIA TRADE FACILITATION TRAFFIC GROWTH TRAFFIC VOLUME TRAFFIC VOLUMES TRANSIT TRANSIT COUNTRIES TRANSPARENCY TRANSPORT TRANSPORT COSTS TRANSPORT INFRASTRUCTURE TRANSPORT POLICY TRANSPORT QUALITY TRANSPORTATION TRANSPORTATION COSTS TRIP TRUE UNDERESTIMATES VALUATION VEHICLE VEHICLE DEPRECIATION Recent research suggests that isolation from regional and international markets has contributed significantly to poverty in many Sub-Saharan African countries. Numerous empirical studies identify poor transport infrastructure and border restrictions as significant deterrents to trade expansion. In response, the African Development Bank has proposed an integrated network of functional roads for the subcontinent. Drawing on new econometric results, the authors quantify the trade-expansion potential and costs of such a network. They use spatial network analysis techniques to identify a network of primary roads connecting all Sub-Saharan capitals and other cities with populations over 500,000. The authors estimate current overland trade flows in the network using econometrically-estimated gravity model parameters, road transport quality indicators, actual road distances, and estimates of economic scale for cities in the network. Then they simulate the effect of feasible continental upgrading by setting network transport quality at a level that is functional, but less highly developed than existing roads in countries like South Africa and Botswana. The authors assess the costs of upgrading with econometric evidence from a large World Bank database of road project costs in Africa. Using a standard approach to forecast error estimation, they derive a range of potential benefits and costs. Their baseline results indicate that continental network upgrading would expand overland trade by about $250 billion over 15 years, with major direct and indirect benefits for the rural poor. Financing the program would require about $20 billion for initial upgrading and $1 billion annually for maintenance. The authors conclude with a discussion of supporting institutional arrangements and the potential cost of implementing them. 2012-06-26T16:07:55Z 2012-06-26T16:07:55Z 2006-12 http://documents.worldbank.org/curated/en/2006/12/7267078/road-network-upgrading-overland-trade-expansion-sub-saharan-africa http://hdl.handle.net/10986/9256 English en_US Policy Research Working Paper; No. 4097 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
language	English en_US
topic	AIR ARTERIES BORDER CROSSINGS BRIDGE CAR CONGO COST-BENEFIT ANALYSIS CUSTOMS DEMOCRATIC REPUBLIC OF ECONOMETRIC ANALYSIS ELASTICITIES ELASTICITY EXPORTS FOOTPATHS FREIGHT GDP GDP PER CAPITA HAULING HEAVY TRUCKS HIGH TRANSPORT HIGHWAY HIGHWAY CONSTRUCTION HIGHWAY CORRIDORS HIGHWAY WIDENING HIGHWAYS IMPERFECT COMPETITION INCREASING RETURNS INCREASING RETURNS TO SCALE INDEX NUMBERS INFRASTRUCTURE DEVELOPMENT INFRASTRUCTURE PLANNING INTERNATIONAL TRADE JOURNEY LANDLOCKED COUNTRIES LOCAL TRAFFIC MARITIME TRANSPORT OCEAN FREIGHT OCEAN TRANSPORT PAVED ROADS PER CAPITA INCOME POOR ROADS PURCHASING POWER RAIL RAIL LINES RAIL TRAFFIC RAILROAD RECONSTRUCTION ROAD ROAD CONDITIONS ROAD CONNECTIONS ROAD IMPROVEMENT ROAD INFRASTRUCTURE ROAD INVESTMENT ROAD LINKS ROAD NETWORK ROAD PROJECTS ROAD QUALITY ROAD SYSTEM ROAD TRANSPORT ROADS ROUTE ROUTES SHIPMENTS SHIPPERS SUB-SAHARAN AFRICA THE GAMBIA TRADE FACILITATION TRAFFIC GROWTH TRAFFIC VOLUME TRAFFIC VOLUMES TRANSIT TRANSIT COUNTRIES TRANSPARENCY TRANSPORT TRANSPORT COSTS TRANSPORT INFRASTRUCTURE TRANSPORT POLICY TRANSPORT QUALITY TRANSPORTATION TRANSPORTATION COSTS TRIP TRUE UNDERESTIMATES VALUATION VEHICLE VEHICLE DEPRECIATION
spellingShingle	AIR ARTERIES BORDER CROSSINGS BRIDGE CAR CONGO COST-BENEFIT ANALYSIS CUSTOMS DEMOCRATIC REPUBLIC OF ECONOMETRIC ANALYSIS ELASTICITIES ELASTICITY EXPORTS FOOTPATHS FREIGHT GDP GDP PER CAPITA HAULING HEAVY TRUCKS HIGH TRANSPORT HIGHWAY HIGHWAY CONSTRUCTION HIGHWAY CORRIDORS HIGHWAY WIDENING HIGHWAYS IMPERFECT COMPETITION INCREASING RETURNS INCREASING RETURNS TO SCALE INDEX NUMBERS INFRASTRUCTURE DEVELOPMENT INFRASTRUCTURE PLANNING INTERNATIONAL TRADE JOURNEY LANDLOCKED COUNTRIES LOCAL TRAFFIC MARITIME TRANSPORT OCEAN FREIGHT OCEAN TRANSPORT PAVED ROADS PER CAPITA INCOME POOR ROADS PURCHASING POWER RAIL RAIL LINES RAIL TRAFFIC RAILROAD RECONSTRUCTION ROAD ROAD CONDITIONS ROAD CONNECTIONS ROAD IMPROVEMENT ROAD INFRASTRUCTURE ROAD INVESTMENT ROAD LINKS ROAD NETWORK ROAD PROJECTS ROAD QUALITY ROAD SYSTEM ROAD TRANSPORT ROADS ROUTE ROUTES SHIPMENTS SHIPPERS SUB-SAHARAN AFRICA THE GAMBIA TRADE FACILITATION TRAFFIC GROWTH TRAFFIC VOLUME TRAFFIC VOLUMES TRANSIT TRANSIT COUNTRIES TRANSPARENCY TRANSPORT TRANSPORT COSTS TRANSPORT INFRASTRUCTURE TRANSPORT POLICY TRANSPORT QUALITY TRANSPORTATION TRANSPORTATION COSTS TRIP TRUE UNDERESTIMATES VALUATION VEHICLE VEHICLE DEPRECIATION Buys, Piet Deichmann, Uwe Wheeler, David Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa
relation	Policy Research Working Paper; No. 4097
description	Recent research suggests that isolation from regional and international markets has contributed significantly to poverty in many Sub-Saharan African countries. Numerous empirical studies identify poor transport infrastructure and border restrictions as significant deterrents to trade expansion. In response, the African Development Bank has proposed an integrated network of functional roads for the subcontinent. Drawing on new econometric results, the authors quantify the trade-expansion potential and costs of such a network. They use spatial network analysis techniques to identify a network of primary roads connecting all Sub-Saharan capitals and other cities with populations over 500,000. The authors estimate current overland trade flows in the network using econometrically-estimated gravity model parameters, road transport quality indicators, actual road distances, and estimates of economic scale for cities in the network. Then they simulate the effect of feasible continental upgrading by setting network transport quality at a level that is functional, but less highly developed than existing roads in countries like South Africa and Botswana. The authors assess the costs of upgrading with econometric evidence from a large World Bank database of road project costs in Africa. Using a standard approach to forecast error estimation, they derive a range of potential benefits and costs. Their baseline results indicate that continental network upgrading would expand overland trade by about $250 billion over 15 years, with major direct and indirect benefits for the rural poor. Financing the program would require about $20 billion for initial upgrading and $1 billion annually for maintenance. The authors conclude with a discussion of supporting institutional arrangements and the potential cost of implementing them.
format	Publications & Research :: Policy Research Working Paper
author	Buys, Piet Deichmann, Uwe Wheeler, David
author_facet	Buys, Piet Deichmann, Uwe Wheeler, David
author_sort	Buys, Piet
title	Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa
title_short	Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa
title_full	Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa
title_fullStr	Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa
title_full_unstemmed	Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa
title_sort	road network upgrading and overland trade expansion in sub-saharan africa
publisher	World Bank, Washington, DC
publishDate	2012
url	http://documents.worldbank.org/curated/en/2006/12/7267078/road-network-upgrading-overland-trade-expansion-sub-saharan-africa http://hdl.handle.net/10986/9256
_version_	1764406771875577856

Road Network Upgrading and Overland Trade Expansion in Sub-Saharan Africa

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