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(DTIS) Update, Volume 1 – Main report - Enhanced Integrated ...

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increase reliability would therefore depend to a large extent on the performance of services provided inthe coastal and transit countries.7.4 Institutional arrangements for regional connectivityIn addition to loss of control over logistics operations, the fact a large proportion of activities forlandlocked countries take place outside their national territory exposes the countries to numerousnon-tariff measures. Throughout the transport chain, non-tariff barriers are numerous. For a landlockedcountry like Burundi, for which 95% of transport operations, transshipment and transit take place outsidethe national territory, the removal of NTBs requires optimal international cooperation. Such cooperationcould help identify non-tariff barriers and provide a forum for discussion and resolution of the identifiedbarriers in place.East Africa has well established mechanisms for regional cooperation and integration. Forlandlocked countries such as Burundi, regional cooperation is indispensable for trade facilitation andimproved logistics performance. In this regard, increasing regional and international connectivityrequires appropriate institutions. For instance, the Central Corridor has been operational as a transit routefor Burundi since the early part of the 20th century, and specific institutional arrangements were agreedin the 1920s for traffic to the landlocked countries to pass through Dar es Salaam and Kigoma, throughconcessions agreed during Belgian rule. More modern agreements have since been agreed, but withsimilar objectives of providing access to the sea for Burundi and the other landlocked countries andregions of the Great Lakes.Having the right institutional arrangements in place to facilitate co-production of policies isparamount for a country like Burundi. Active participation in the development of the two main tradecorridors that help it connect to overseas markets is particularly important. In this regard, Burundiparticipates in two regional institutions that are critical, the Northern Corridor Transit TransportCoordination Authority and the Central Corridor Transit Transport Facilitation Agency.7.4.1 Northern CorridorThe Northern Corridor has a well-established institutional set up. The need to facilitate interstateand transit trade in East Africa led Burundi, Kenya, Rwanda and Uganda to negotiate and sign theNorthern Corridor Transit Agreement (NCTA) in 1985. Later, in May 1987, the Democratic Republic ofCongo also acceded to the NCTA, thereby becoming the fifth contracting State. The NCTA coverstransit issues along the corridor between the port of Mombasa and each of the other countries. It wasnegotiated to achieve the following objectives, amongst others: Promoting the use of the Northern Corridor for the surface transport of goods between therespective countries and the sea; Granting the member countries a right of transit in order to facilitate movement of goods throughtheir respective territories; and Taking measures to expedite the movement of traffic and for avoidance of unnecessary delays inthe movement of goods; minimizing the avoidance of Customs duties and taxes; and simplifyingand harmonizing documentation and procedures relating to the movement of goods in transit.In order to meet the above objectives, a regional institution called the Northern Corridor TransitTransport Coordination Authority (NCTTCA) was established. Over the years the NCTTCA has beeninstrumental in facilitating the proper functioning of the Northern Corridor and giving a forum forlandlocked countries such as Burundi to influence corridor development and performance. It has playedan active role in seeking infrastructure improvements on the corridor, better facilitation of trade andharmonization of regulations and their implementation. Notable achievements include:109 / 153

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