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Logistics in the Mediterranean: Current Situation and Prospects

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Logistics in the Mediterranean: Current Situation and Prospects Economy and Territory | territory and transport Logistics in the Mediterranean: Current Situation and Prospects Mustapha El khayat logistics underperformance on all levels (macro-lo- University Professor gistics, meso-logistics and micro-logistics): President, Association Marocaine pour la Logistique Panorama (AMLOG), Casablanca • An elevated logistics cost equivalent to 20% of the average GDP in South Mediterranean coun- tries; Logistics constitutes a decisive factor for Euro-Med- • Atomised road transport with a predominance of iterranean integration and is present in all value the informal sector despite the reforms under 2011 chains. Studies on Euro-Mediterranean trade and way, with a significant role still played by own- Med. integration reveal the strategic importance of logis- account transport, of below-standard quality, tics. Optimisation of logistics chains is a component and international road transport dominated by of competitive advantage in the Mediterranean Re- European transport agents; gion. Based on appraisal of the situation, macro-lo- • Warehousing infrastructures underdeveloped or gistic, meso-logistic and micro-logistic decisions not developed at all, a dearth of logistics plat- have been taken and applied. It is in this dynamic form networks and skills networks throughout 267 that logistics policies have emerged in South Medi- the global logistics chain; a weak supply of lo- terranean countries to accompany those of their gistics services with little diversification, ab- North Mediterranean counterparts. To grasp what is sence of real national logistics service providers, at stake with these policies and ascertain the per- the presence of multinational operators together spectives of logistics in the Mediterranean, an ap- with the emergence of a few national operators, praisal of the state of affairs (in particular in south above all in Morocco; shore countries) is essential. • Railway freight transport monopolised by public enterprise, though accompanied by significant reforms and major investment; overview of the Current State of Logistics • Maritime and port transport fully in process of in the Mediterranean restructuring: port reform with transfer of ter- minals management to private materials han- An Underdeveloped Sector dlers, often multinationals; active private-pub- lic partnership with concession of materials The Mediterranean Partner Countries (MPCs), par- handling to private operators, often multina- ticularly those in the South Mediterranean, display tionals (Tanger Med, Casablanca, Port of Be- numerous logistics-transport weaknesses. The prox- jaia, Algiers, etc.); fleet privatisation (Morocco) imity to the European market of countries such or its strength ening in the public sphere (Alge- as Morocco and Tunisia, well-integrated into Euro- ria, Tunisia, Libya, etc.). Mediterranean trade, lends them a competitive ad- vantage in responsiveness for time-sensitive sectors Industrial and commercial agents generally prefer with respect to areas offering lower costs (low-cost insourcing logistics activities. Only some out- countries) but that are farther away. This relatively source transport and warehousing operations. Lo- competitive advantage is unfortunately hampered by gistics insourcing is due to the reluctance of these operators to trust third parties with in-company Logistics and Transport Forum, a forum for de- business information. bate on all issues relating to the global logistics Transport and warehousing represent a substantial chain. The 2008 edition bore the title “The share of the market for logistics service providers. Mediterranean in Movement.” Debates primarily Unfortunately, the level of services offered is rela- revolved around the following question: Will tively low in quality, with sub-standard technical south shore countries be ready, from the logis- conditions. tics and transport perspective, to enter the Eu- Logistics subcontracting of the 3PL type (Third- ro-Mediterranean free trade area in 2010? This Party Logistics: warehousing, inventory manage- question prompted the institutional representa- ment, order picking, organisation of physical distri- tives and operators present to assess the state bution, information and value-added services) are of affairs and make recommendations for devel- provided primarily by foreign companies or compa- oping infrastructure and upgrading institutions. nies oriented towards international trade, whereas In 2009, debate concerned the creation of a Maghreb company offers only cover transport or Mediterranean logistics community. The forum Panorama simple warehousing. allowed discussion of new policies in the logis- The bureaucratic red tape and the competition of the tics sector in Mediterranean countries; it was informal sector in road transport and warehousing launched as part of the EU-funded Invest in render the development of the formal sector and the Med project, among other participating proj- maintenance of high quality standards difficult. Fi- ects. The 2010 edition of the Forum again took 2011 nally, institutions and often legislation are not adapt- up the ports issue as a whole (infrastructures, ed to the dynamics of logistics. Information systems institutions, crisis and financing, cooperation, Med. are little or not at all developed for the real needs of etc.). The Forum has the advantage of proximity the supply chain. to the IEMed (European Institute of the Medi- Conferences and events have taken place in a number terranean), the Centre for Transportation Stud- of Mediterranean countries, organised by national ies for the Western Mediterranean (CETMO), governments, the European Union (UE), profession- the European Investment Bank (EIB), the Mar- 268 al associations, study or research centres and uni- seille Center for Mediterranean Integration versities. Trade fairs dedicated to logistics and (CMI) and the Secretariat of the Union for the transport have become meeting places for national Mediterranean (UfM). Logistics is the vehicle and international logistics providers, both public and par excellence of this Forum with a view to the private, as well as other stakeholders. All of these development of the Euro-Mediterranean area. gathering places and events have served as spaces The Marseille Center for Mediterranean Inte- for reflection, study and proposals regarding the de- gration has the mission of facilitating access to velopment of the logistics sector in the MPCs. knowledge, strengthening sustainable devel- opment and making policies converge towards Experience Exchange, Debate and Proposals greater integration, and transport & logistics on Logistics in the Mediterranean Region figures among its concerns. • Centre for transportation Studies for the A Euro-Mediterranean policy is taking form to build Western Mediterranean (CEtMo): This or- a Euro-Mediterranean logistics area of peace and ganisation was a pioneer and served as a cata- growth. Numerous Euro-Mediterranean forums lyst in politics of rapprochement regarding trans- and other gatherings have taken place and projects port and by extension logistics on both shores of have been developed since the announcement of the Mediterranean. Studies done by this centre this policy, which reflects the European Union’s vi- constitute a significant contribution towards sion concerning development in the South Medi- comprehending transport-logistics issues and terranean: how to deal with them in order to build the Euro- Mediterranean Region. The last study on the lo- • Mediterranean Logistics and transport gistics sector in the western South Mediterra- Forum (part of the International Logistics and nean is an appraisal of the state of affairs in a Materials Handling Exhibition - SIL Barcelona): sector marred by numerous structural weak- SIL Barcelona hosts the annual Mediterranean nesses. The study shows the unequal develop- ment of logistics in countries of the Arab Magh- tics platform network should be an organisation reb Union (AMU). The sector is, however, on the for cooperation and solidarity within a vision of move in certain countries of the Union: Morocco an equitable Euro-Mediterranean region. and Tunisia, but it is lagging behind to different • Projects for Integration of Logistics and degrees in the other three countries. The study transport between Italy and South Medi- proposes feasible solutions that should be inte- terranean Countries (ItalMed), and Italy grated into the ensemble of solutions proposed and the balkans (Italbalk): On 14 and 15 by other institutions (WB, EIB, CMI, etc.). July 2009, work began in Naples on the ItalMed and ItalBalk Integrated Interregional Coopera- tion Projects, dedicated to logistics and trans- Logistics and quality are linked: port integration in Italy-South Mediterranean the quality of maritime transport and Italy-Balkans relations. is an essential factor for The integrated projects, financed by the “Pro- gramme of Support to Regional Cooperation,” development and for the see the Campania Region as leader of a vast Panorama profitability of the logistics chain partnership involving eleven other Italian regions (Abruzzo, Apulia, Basilicata, Calabria, Emilia- Romagna, Friuli-Venezia Giulia, Lazio, Liguria, • The Institut Méditerranéen des transports Sicily, Tuscany and Veneto) and seven partner Maritimes (IMtM), based in Marseille, has countries: Algeria, Egypt, Morocco and Tunisia 2011 contributed to discussions on Mediterranean lo- for the South Mediterranean project, and Alba- Med. gistics by organising a number of events.
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