Efficient trade logistics in the global economy is critical for countries to reap the benefits of globalization. With increased economic activity and rapid development of ICT, businesses are seeking to develop and organize strategic, efficient and world-wide production and distribution networks. Focus is placed on moving goods in a predictable, timely and cost effective way as a result of expanded supply chains and global production networks.

In a highly competitive world, the quality of logistics has a major bearing on a firm’s location decision, choice of suppliers and choice of consumer markets. However, high logistics costs and low levels of service provision characterize the East African region and Africa at large. These act as a huge barrier to trade and inhibit foreign direct investment and subsequently economic growth.