This document discusses research topics and procedures related to freight transport in Africa and Asia. It examines modelling vehicle operating costs, improving transport system efficiency, and rural transport. Survey procedures for data collection are outlined, including roadside surveys, driver records, and instrumented vehicles. Case studies from countries like Pakistan, China, Tanzania, and Indonesia are mentioned. Charts show trends in transport costs, tariffs, fuel consumption and other metrics. Factors influencing high transport costs in Africa versus Asia are analyzed.
2. FREIGHT TRANSPORT RESEARCH TOPICS
Modelling Vehicle Operating Costs for Road Appraisal
– Can time savings be used productively ?
– Speed and fuel consumption
– Vehicle maintenance costs
Examining the efficiency and constraints of national transport
systems.
– Reducing Empty Running
– Comparative Transport Costs and Tariffs between Africa
and Asia
Improving the efficiency of rural transport
2
4. LOG LOADED TRIPS PER DAY = 0.97 -0.932 LOG WORKING TIME PER
TRIP (THE ELASTICITY SUGGESTS TIME SAVINGS WOULD BE FULLY
USED) – PAKISTAN TRAVELLING OBSERVER SURVEY
4
5. MODELLING VEHICLE OPERATING
COSTS IN RELATION TO ROAD CHARACTERISTICS
Road Appraisal Models such as HDM4 and RED calculate vehicle
operating costs as a function of road alignment, road width, traffic
volume and road roughness. The models are used to estimate the
benefits of upgrading earth and gravel roads to a paved bitumen
standard.
The models predict vehicle speeds, fuel consumption and
maintenance costs. Generally the smoother, wider and better
aligned the road surface so the lower the operating costs. Speed
is calculated by complex formula whereby the key limiting factor
(gradient, curvature, roughness, traffic volume etc) determines
the speed. Fuel is dependent on speed and gradient. Vehicle
maintenance is dependent on road roughness.
5
6. HDM4
(The Road Planning Model)
The Calculation of Fuel Consumption
FUEL CONSUMPTION
Uses the ARFCOM model - an instantaneous model
of engine power requirements which includes
• Tractive power to overcome resistance to motion
• Accessory power
• Internal engine resistance
ACCELERATION NOISE
Speeds in congested traffic conditions are not
constant and speed variations need to be included in
the fuel consumption model
7. Light Vehicle Fuel Consumption in Indonesia:
Observed to Predicted ARFCOM Results
0 50 100 150 200 250 300
ARFCOM Fuel (cc/ km)
0
50
100
150
200
250
300
350
400
450
500
ObservedFuel(cc/km)
Observed
Predicted
8. Medium Truck Fuel Consumption
(Flat Straight Road in Indonesia)
0
100
200
300
400
500
600
700
800
10 20 30 40 50 60 70 80 90 100
Speed (km/h)
FuelConsumption(cc/km)
HDMIII no congestion
ARFCOM /HDM-4 no congestion
Estimated fuel
consumption with
congestion by
ARFCOM/HDM4
9. HDM-4
MAINTENANCE PARTS CONSUMPTION
• The most important component of road user costs
• The most 'variable' and most difficult to model
• Function of new vehicle price, vehicle age and road
roughness
• HDM-4 relationships less sensitive to roughness
• Essential to calibrate
MAINTENANCE LABOUR
• Dependent on parts consumption
11. Transport Tariffs depend upon Distance, Mode
and Road Surface: Evidence from Ethiopia
Transport Tariffs (Derived from
Regression Analysis)
0
10
20
30
40
50
60
0 50 100
Distance, km
Tariff,Birrperqt.
main road rough road animal transport
12. A STUDY OF EMPTY RUNNING IN CHINA
In 1990s China had a high degree of empty running. This appeared
to relate to a high level of own account operations in addition to a
poorly developed system of commercial freight forwarding agents.
A study was carried out in Zhengzhou (at the cross roads of main
east west and north south highways) in which 1024 truck drivers
were interviewed.
Empty running data was compared with Pakistan and UK data and a
‘load matching’ analysis was carried out by computer. Potential
savings were estimated at between 13 % and 19% of total distance
travelled in the survey.
Overall with a better developed freight forwarding industry about
4% of total freight vehicle distance may be saved in China.
12
14. LOGISTICS PERFORMANCE INDEX : LPI
The LPI is a set of indicators that measure perceptions of the
logistics environment of 155 countries on several logistics
dimensions. The survey uses an anonymous, web-based
questionnaire and assess several logistics dimensions:
• International transportation costs;
• Domestic transportation costs;
• Timeliness of shipments;
• Traceability of shipments;
• Transport and IT infrastructure;
• Customs and other border procedures; and
• Logistics competence.
15. October 2007
15
2.19 2.27
2.49
2.73
3.01
3.14
3.91 3.99
2.0
2.5
3.0
3.5
4.0
4.5
West
Africa
Central
Africa
East
Africa
Southern
Africa
LAC Eastern
europe
USA Western
Europe
TransportQuality
(LPI)
TRANSPORT QUALITY IS LOW IN AFRICA : LPI
16. TRANSPORT COSTS IN AFRICA AND ASIA
Over the past 25 years there have been at least five
major comparative studies of transport costs in
Africa and Asia
The studies confirm that transport tariffs in Africa,
for comparable journeys are many times higher than
in Africa than in Asia
However there are differences in the reasons behind
the higher costs: earlier studies emphasised cost
factors while the latest study by the World Bank
(2009) puts more emphasis on very high profits.
16
17. TRANSPORT COSTS IN AFRICA & ASIA: MAIN SOURCES
TRL Study on Pakistan, INRETS & LET, Francophone Africa. See: A
comparison of the costs and productivity of road freight transport in
Africa and Pakistan. Transport Reviews, Vol 13, No.2, Rizet & Hine,
1993
A Comparison of Freight Transport Operations in Tanzania and
Indonesia,1997. TRL Report 267. J Hine, J. Ebden and P Swan)
The transition from non-motorised to motorised modes of transport.
7th World Conference on Transport Research, Sydney, 1995( S. Ellis
& J. Hine).
: Transport Prices and Costs in Africa: A review of the International
Corridors. By S. Teravaninthorn and G. Raballand. World bank 2009
17
24. DIFFERENT MODES OF TRANSPORT
Many factories in Thailand
produce the Etan farm vehicle
out second hand parts. They
can give low transport costs for
small loads travelling short and
medium distances.
The power tiller (or single axle
tractor) is now an important
means of transport, particularly
in rural Asia.
Both of these vehicles may not
be licensed to operate in Africa.
24
25. Comparison of operating tariffs
1995 for local rural transport vehicles
Thailand Sri
Lanka
Pakistan Ghana Zimbabwe
Pickup
Cents
/t km
8.7 - 13.7 39.0 -
Truck (8-12
t.) Cents
/t km
- - 2.1 20.6 21.4
Tractor
Cents/ hr
- 320 270 1 240 740
Power Tiller
Cents/ hr
123 127 - 357 -
-
27. TRANSPORT TARIFFS US$ Per Ton Km 2007
(WORLD BANK STUDY )
27
2
3.5 4
5 5 5
7
8
11
0
2
4
6
8
10
12
14
Pakistan
Brazil
USA
China
Western
Europe–long
distance
Africa-
Durban-
Lusaka
Africa-Lomé-
Ouagadougou
Africa–
Mombasa
Kampala
Africa-
Douala-
Ndjaména
Averagetransportprices
(inUScentspertkm)
28. 28
Corridor Route
Gateway-Destination
Variable
Cost
(US$ / km)
Fixed Cost
(US$ / day)
Yearly
ratio
FC/VC
Average
yearly
mileage
Average
truck fleet
age
Profit
margin
Central
Africa
(Cameroon)
Douala-N’Djaména
(Chad)
0.93 58 25% - 74% 60-70 12 74%
Douala-Bangui (CAR) 0.92 80 33% - 66% 50-60 10 120%
Ngaounderé-N’Djaména
(Chad)
1.29 29 24% - 75% 50-60 15 158%
Ngaoundéré-Moundou
(Chad)
1.70 27 29% - 70% 10-20 19 289%
East Africa
(Uganda and
Kenya)
Kampala-Mombasa
(Kenya)
0.90 65 29% - 70% 130-140 12 42%
Mombasa-Kampala
(Uganda)
0.62 92 46% - 53% 130-140 7 107%
West Africa
(Burkina and
Ghana)
Ouagadougou-
Tema/Accra (Ghana)
1.01 30 15% - 84% 30-40 12 183%
Tema/Accra-Bamako
(Mali)
0.93 34 17% - 82% 20-30 9 310%
Estimated Costs from 2007 Study
29. High Transport Costs In Africa
Earlier Studies Stressed:
• High initial input prices for vehicles, fuel, parts
• Exclusive dealerships, low demand
• Poor driver knowledge of vehicle maintenance
• Unnecessary fast driving speeds
• Poor road surfaces
• Little competition, particularly on rural routes
• Low utilisation caused by low density of demand and
operation of operator cartels
30. HIGH TRANSPORT COSTS IN AFRICA - 2
Later studies emphasised:
Most vehicles are imported second hand
Low utilisation of vehicles
High barrier costs on international routes
Super profits being made by operators
The presence of cartels preventing competition
30
31. Pakistan – a Model for Success ?
• One of the most efficient
freight transport systems in
the world
• Large network of freight
forwarding agents
– individually owned
– 25% general merchandise
– 75% specialist consignments
e.g. quarried materials, iron,
steel
– ⅓ of consignments were
“smalls” (< one ton)
Credit: TRL Limited
33. FACTORS PROMOTING LOW COST
TRANSPORT IN PAKISTAN - OPERATIONAL
On-the-job training for drivers
Drivers given a lot of responsibility
Continuous vehicle maintenance practiced
Two drivers per vehicle achieve high utilization
Oil changed frequently
Slow driving speeds
34. FACTORS PROMOTING LOW COST
TRANSPORT IN PAKISTAN - ORGANISATIONAL
Very competitive free market
Little government regulation
Efficient network of forwarding agents
Low initial vehicle prices
Many cheap parts made locally
Many good local workshops
High Density of Demand
35. DENSITY OF DEMAND : GPD PER SQ KM IN 2011
35
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
1,000,000
36. GHANA . GPRTU 1.
About 70% of transport operators belong to the GPRTU (Ghana Private
Road Transport Union of the TUC). The Union runs most of the truck
and bus parks in the country. It also enforces passenger fares.
A queuing system is enforced by the truck and bus parks. Operators
are assigned to certain routes. Customers are directed to the first
vehicle in the queue, which will move once the vehicle is full.
Freight drivers can queue for two weeks to get a load.
There are a number of large bus companies that operate in urban and
interurban routes, however virtually all rural and freight transport is
run by informal small scale operators.
36
37. GHANA -GPRTU 2.
The union tries to assist members in various ways. Michel Delaquis’
study found that they would help long serving drivers become
owners operators through advancing loans.
It is possible for freight operators to bypass the queuing system and
visit factories, etc, for loads on spec. Although ‘fines’ have
sometimes been imposed for doing this.
Freight Transport Tariffs are very high. A recent study found
transporting an import container from Accra to Ougadougou was
$4,800 compared with $654 between Newark and Chicago, (i.e. 7
times for a similar distance). An export container cost 2.5 times as
much.
37
38. MALAWI TRANSPORT COSTS
A recent study by the World Bank found a 20 fold difference in
transport charges between transport of tobacco between
local towns and city compared with the charges for
international transport to export ports.
The main reasons identified were a combination of
infrastructure issues, and segmented markets preventing
competition.
It was suggested that larger trucks would find it difficult to
operate on rural roads, and there was likely to be higher
empty running on shorter trips.
38
39. Malawi Transport Costs
for Tobacco
Origin Destinati
on
Distance
Km
Load
ton
Price
Kwacha
Price Kwacha
ton/km
Price US $
ton/km
Ag.
town
City 85 2.5 19,323 228.4 $ 2.10
Ag.
town
Export
port
2272 24.6 23,462 10.3 9.5 Cents
City Export
port
2012 19.9 24,433 12.1 11.2 Cents
Explaining High Transport Costs within Malawi - Bad Roads or Lack of
Trucking Competition?
Policy Research Working Paper 5133, Somik V. Lall, Hyoung Wang,
Thomas Munthali – World Bank, 2009
39
40. A Comparison of Transport Operations in
Cameroon
The Mayor of Ngoundere District in Northern
Cameroon decided to address the issue of poor
transport services and high tariffs. Substantial
results followed.
A comparison was made by surveys between
Ngoundere and two other Districts in the South
Cameroon
42. Characteristics of Transport in Southern
Cameroon
• Transport operations are organised by syndicates
• The syndicate determines fares and routes
• The drivers wait in line and only leave when they
are full
• The syndicate negotiates with the mayor for
access and fees for the terminal
• The vehicles tend to be small (taxis), overloaded
and in poor condition
44. Transport Characteristics in
Northern Cameroon
• There are a number of travel agencies operating
in competition with each other
• The mayor has granted licenses for these travel
agencies to operate out of individual terminals in
the town
• The operations are professional and regular
• The vehicles are clean, well maintained and large
30 seaters
46. Impact of these differences on the
customer
• In the North passenger fares dropped by 50% in 2
years as competition increased
• In the North customers had a safer and more
comfortable ride
• Greater service frequency to rural areas
• Customer/user becomes the focus
• The price of transport is dramatically lower in the
North than the South
48. Cameroon Study Policy Implications
• Support of a more competitive environment can
have a large pay off.
• In these cases infrastructure was not an issue - if
anything the quality of infrastructure was worse in
the North.
• When transport is provided as it is in the North it is
possible to start thinking about introducing subsidy
on remote and economically unviable routes.
49. 49
Further research papers are available on the TRL transport-links
website: . http://www.transport-links.org/transport_links/index.asp
Editor's Notes
Slides 9 to 24 discuss the modelling of vehicle operating costs that is used in the appraisal models HDM4 and RED.
This slide shows how well the Australian Road Research Board’s Model ‘ARFCOM’, used in HDM4, will predict fuel consumption in 30 second intervals, for a survey carried out on a congested interurban road in Indonesia. In this example Observed fuel consumption was calculated to be 1.125 x Predicted fuel consumption by ARFCOM. The R^2 value was 0.736 and the standard error 32.3.
This slide shows how fuel consumption varies with vehicle speed according to different fuel consumption models. The old HDMIII model was shown to over predict fuel consumption compared with the later ARFCOM/HDM4 model. The lowest line assumes speeds are held constant with no congestion. The middle line shows how fuel consumption increases when congestion is present.
This slide shows the wide range in maintenance costs predicted by different vehicle operating cost models. Maintenance costs are related to vehicle age. The top line was predicted from HDM (Indian relationships), the next highest line is from the VOC model RTIM. The third highest line is from HDM (Brazil relationships) while the lowest line was observed from Japanese articulated vehicles operating in Pakistan. The slide demonstrates the importance of calibration in modelling maintenance costs.
Transport tariff data was collected from the Amhara Region of Ethiopia. Tariffs are shown to be lowest for main road transport, with rough road figures about twice the main road. Moving goods by animal, beyond about 20 km are the most expensive.
Some vehicles in China were travelling over 2000 km empty. Data from TRL surveys.
The Logistics Performance Index is compiled by the World Bank and it provides a measure of the overall quality of logistics for different countries. Many different factors are considered including transport costs, customs, speed of shipment etc.
The graph shows that transport quality in Africa is lower than for other parts of the World. West and Central Africa are worse than East and Southern Africa.
The remain part of this session explores the difference in transport tariffs and costs between Africa and Asia
This slide lists key studies that are referred to in the session.
The data from this slide refers to the earliest comparative study of transport costs: between Francophone Africa and India and Pakistan.
Although long distance transport is proportionately higher for African than Pakistan– the absolute difference in unit transport costs is higher for lower volume short distance trips. This is particularly important for low volume rural transport that appears to be at a particular disadvantage in Africa.
This data came from the earliest comparative study. It shows the major differences input costs between Africa and Asia. The biggest difference appears to be in new vehicle prices. Although most freight vehicles are imported into Africa second hand there are, nevertheless, a significant number of new (very expensive) vehicles, that are able to operate at a profit, in Africa.
These cost differences are based on calculations on using new vehicles. (it is recognised that most trucks in Africa are imported second hand but there are some new vehicles in the fleet). Note the large differences in annual travel, and in final costs per vehicle ton km.
The data fore this study primarily came from a study in 1995 carried out to compare transport costs between Tanzania and Indonesia. The Pakistan data was added separately.
The data clearly shows the differences in input prices for vehicles, fuel and tyres. Again the study focussed on the differences between Tanzania and Indonesia.
The slide shows examples of the farm vehicle (Etan) that is manufactured in Thailand from second hand spare parts. Also shown is the power tiller that is increasingly used in both Asia and Africa for rural transport.
The data for this study concentrated on local rural transport vehicles rather than longer distance freight vehicles of the other comparative studies. Again the operating tariffs for local rural transport vehicles are also shown to be much higher in Africa compared with Asia.
This data came from later studies (2007) carried out by the World Bank. Note there is a large variation in transport charges between routes in Africa. On the Douala-Ndamiena corridor tariffs vary between US cents 10 and US cents 25 per tonne km.
The World Bank study put increased emphasis on high profits of operators in Africa. Note the extremely high profit margins in the last column.
This slide lists the factors found important leading to high costs in Africa. High input costs and low utilisation were identified.
The later studies emphasised high profits by African operators leading to the high transport tariffs.
The efficiency of Pakistan’s trucking industry is related to the good network of freight agents throughout the country.
A Freight Agent taking a call in Pakistan. Each major town in Pakistan may have 10-20 freight agents operating in competition with one another.
A range of factors were identified leading to lower transport costs in Africa. These are discussed on this and the next slide.
A high degree of competition is a key factor in low transport costs.
The graph shows GDP/sq km. It shows the big differences in Density of demand between Southern Asia and Africa. The figure for Pakistan underestimates its effective density of demand, most of the population is concentrated in irrigated areas of the Punjab and the Indus valley, around two-thirds of country is uninhabited desert and mountains. With the exception of Kenya the rural populations of the other countries are much more evenly spread out.
The GPRTU (Ghana Private Road Transport Union) is very powerful in the way it controls truck and bus park and transport operations throughout the country.
Slides 10 to 20 Consider compare transport operations in the North and South of Cameroon. Big differences were found.
A Map of Cameroon showing where surveys were carried out investigating transport operations.
As with other West Africa countries transport unions play an important role.
This is one of the only examples we have found where direct action was taken by the authorities to control transport unions. It had the effect of dramatically improving transport operations.
The graph shows the difference in passenger fares for different districts in Cameroon. The higher costs were found in the districts of Muyuka and Ekonda Titi in South Cameroon.
It is interesting to note that the quality of infrastructure was not an explanation of transport fares.