Factors Affecting International Trade Logistics Performance Of Ethiopia
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Date
2020-06
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Addis Ababa University
Abstract
As countries of the world becomes more and more integrated through trade, there is a need
for efficient logistic system, in which customers who are interested in products manufactured
in another location can quickly find it at low cost. Ethiopia is among the fastest economic
growth in the world, but characterized by poor performance of trade logistics measured in
terms of cost, quality and time. Six factors were identified to measure how these factors affect
Ethiopian trade logistics performance as identified as customs, regulation, port, domestic
transport service capacity, trade finance, logistics regulation and logistics infrastructure.
Based on the survey of 361 respondents from key logistics operators, and regulators,
descriptive, correlation and regression analysis were run to see the effect of these logistics
factors on trade logistics performance. Based on the analysis all the six variables have
significant and positive effect on trade logistics performance. The study also recommends
improving the six factors that will ultimately improve Ethiopia’s international trade logistics
competitiveness.
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Keywords
Port, customs, trade finance, regulation, infrastructure