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Lake Tanganyika: Turning Corridors Into Sustainable Opportunities

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Lake Tanganyika: Turning Corridors Into Sustainable Opportunities Lake Tanganyika: turning corridors into sustainable opportunities Commissioned by the Netherlands Enterprise Agency Lake Tanganyika: turning corridors into sustainable opportunities A study on maritime corridor development at Lake Tanganyika Lake Tanganyika: turning corridors into sustainable opportunities A study on maritime corridor development at Lake Tanganyika Commissioned by the Netherlands Enterprise Agency Rotterdam, 2021 Authors: Maurice Jansen Niels van Saase Susan Vermeulen Michael Dooms Freeman Dickie Geoffrey Ngombo Mwango Juliette Watiku Nyerere Table of contents List of figures ................................................................................................................................................. 2 List of tables .................................................................................................................................................. 3 List of images ................................................................................................................................................ 4 Preface .......................................................................................................................................................... 5 List of abbreviations ...................................................................................................................................... 6 Executive summary ....................................................................................................................................... 7 1 Introduction .................................................................................................................................... 15 2 Perspectives on corridor development in riparian countries ......................................................... 20 3 Democratic Republic of the Congo ................................................................................................. 22 4 Lake Tanganyika Transport Corridor ............................................................................................... 31 5 Assessment methodology on the potential of a maritime LT-Corridor .......................................... 37 6 Lake Tanganyika port assessment .................................................................................................. 43 7 Lake Tanganyika connectivity assessment ...................................................................................... 63 8 Cost base and transit times ............................................................................................................. 69 9 Corridor governance ....................................................................................................................... 76 10 A prospective competitiveness assessment and value proposition ............................................... 86 11 Vision on building a competitive Lake Tanganyika Transport Corridor .......................................... 88 Appendix 1: Overview of ships.................................................................................................................... 98 Appendix 2: Transit time and costs analysis – detailed overview ............................................................ 100 Appendix 3: Interviews Corridor Governance .......................................................................................... 104 Appendix 4: List with companies involved in corridor assessment .......................................................... 105 Appendix 5: Corridor governance initiatives ............................................................................................ 106 Endnotes ................................................................................................................................................... 134 1 List of figures Figure 1: Gross export and imports of DRC 1995-2018 ............................................................................. 23 Figure 2: Gross export and imports of Burundi 1995-2018 ........................................................................ 25 Figure 3: Gross export and imports of Tanzania 1995-2018 ....................................................................... 27 Figure 4: Gross export and imports of Zambia 1995-2018 ......................................................................... 29 Figure 5: Constructing an index according to Mazziotta and Pareto (2013) .............................................. 37 Figure 6: Overview of indicators in index ................................................................................................... 38 Figure 7: throughput volumes at Riparian ports, Source: Ecorys, 2019 ..................................................... 43 Figure 8: Throughput Kigoma Port in MT, source: Tanzania Ports Authority 2020 .................................... 48 Figure 9: Transit time and costs analysis - Northern Corridor .................................................................... 71 Figure 10: Transit time and costs analysis - Central Corridor (towards Kalemie) ....................................... 72 Figure 11: Transit time and costs analysis – Central Corridor (towards Bujumbura) ................................. 73 Figure 12: Transit time and costs analysis - Southern Corridor .................................................................. 74 Figure 13: Positioning and typology of the various case studies, source: team analysis ........................... 83 Figure 14: Connection of Lake Tanganyika Transport Corridor with intra-regional value chains .............. 87 Figure 15: high-level roadmap for Lake Tanganyika Corridor Development .............................................. 89 Figure 16: Programme Governance ............................................................................................................ 91 Figure 17: Program: Coordination and advocacy ....................................................................................... 92 Figure 18:Programme Marketing and awareness....................................................................................... 93 Figure 19: Programme Business ecosystem animation .............................................................................. 95 Figure 20: Programme Capacity Building .................................................................................................... 96 2 List of tables Table 1: Overview of research methods ..................................................................................................... 18 Table 2: Economic complexity and regional Source: Africa Regional Integration Index, 2019 .................. 21 Table 3: Main trade relations DRC .............................................................................................................. 22 Table 4: Main trade relations Burundi ........................................................................................................ 24 Table 5: Main trade relations Tanzania ...................................................................................................... 26 Table 6: Main trade relations Zambia ......................................................................................................... 28 Table 7: Zambia railway sector, source: Kasoma, A.C. (University of Zambia, 2019) ................................. 29 Table 8: Cargo volumes per corridor; source: CCTTFA Corridors Report, 2020.......................................... 31 Table 9: Overview of vessel capacity on Lake Tanganyika per agent and country ..................................... 33 Table 10: Projected traffic Mpulungu-Bujumbura; Ecorys,2019; 1) 2020 is a forecast, 2), AfDB, 2019 ..... 34 Table 11: KPIs of corridor performance in project appraisal reports and stakeholder interviews, ........... 35 Table 12: Infrastructure and equipment in Mpulungu Harbour, Zambia ................................................... 44 Table 13: Bottlenecks in Mpulungu harbour, Zambia ................................................................................ 46 Table 14: overview of investments, Mpulungu, Zambia ............................................................................. 47 Table 15: Infrastructure and equipment in Kigoma Port, Tanzania ............................................................ 49 Table 16: Bottlenecks in Kigoma port, Tanzania ......................................................................................... 51 Table 17: overview of investments in Kigoma, Tanzania (Based on JICA report outside RVO overview) .. 51 Table 18: Infrastructure and equipment in Port of Bujumbura, Burundi ................................................... 53 Table 19: Bottlenecks in Port of Bujumbura, Burundi ................................................................................ 55 Table 20: overview of investments in Burundi, Bujumbura ....................................................................... 56 Table 21: Infrastructure and Equipment in Port of Kalundu, DRC .............................................................. 57 Table 22: Bottlenecks in Port of Kalundu, DRC ........................................................................................... 59 Table 23: Overview of investments in Kalundu, DRC .................................................................................. 59 Table 24: Infrastructure and equipment in Port of Kalemie, DRC .............................................................. 60 Table 25: bottlenecks and
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