Beit Bridge set to become OSBP

The recent decision by the Ministry of Home Affairs and the Border Management Agency to convert the Beit Bridge border post into a One-Stop Border Post (OSBP) could be good news for the trucking industry. But, warns NICK PORÉE, only if it includes very significant modernisation of freight procedures and operational efficiency.

A recent press release from the South African National Roads Agency Limited (SANRAL) raises concerns, however, as it contains references to toll roads, a new bridge or several alternatives – including a new border post. This appears to ignore the fact that the Zimbabwean side of the OSBP is already operational and that South Africa must necessarily produce a complementary installation to complete a fully functioning OSBP.

Concerns over freight facilitation and outdated concepts

There is also the question as to whether the OSBP concept is optimal for the movement of freight. This concern is highlighted in private sector comments on the OSBP policy document (Version 1.11), which note that the policy focuses mainly on the movement of people across borders, with little consideration given to the movement of goods. Trade facilitation appears to have taken a back seat throughout the industry comments on the policy document.

As noted in the private sector submission: “There have been significant developments in border management in recent years. Although the OSBP concept is still used in some developing and least developed countries in Africa, it is fast becoming the exception. In fact, the concept has not been used anywhere in the developed world for at least the last five years. It appears that the concept is internationally outdated and has been abandoned in favour of more innovative approaches to customs modernisation, including SMART borders advocated by the World Trade Organization, Single Customs Territories (which have proved effective in the East African Community) and Corridor Authorities (for example, the Northern Corridor between Kenya and Uganda).”

Lessons from Africa’s OSBP experience

Having spent many years evaluating OSBPs in the East African Community and elsewhere in Africa, the NP&A team is fully aware of the limitations and complications to commercial efficiency that can result from uncoordinated OSBP development. Many of these issues only emerge once operations are implemented, at which point it is often too late to make fundamental changes.

South Africa’s leading expert on the subject, Mike Fitzmaurice, was the process expert involved in the design of the Zimbabwean side of the OSBP, which is regarded as the most modern and benchmark OSBP in Africa. If he is not involved in the development of the South African side, there is a high risk of operational glitches or even serious failures.

Beit Bridge –  Zimbabwe’s OSBP experience

If an OSBP is to be implemented at Beit Bridge, it is relevant to consider the advice of Geoffrey Balamaga of Uganda Customs, an OSBP development expert and veteran manager of the highly successful Malaba and Busia OSBP projects. He noted: “We learned from Chirundu. At Malaba and Busia, the process was done differently. There were long and often difficult trilateral discussions, but by the time construction was completed there were very few unresolved questions.”

Key principles for successful OSBP implementation

 Balamaga identified the following points as critical to successful OSBP implementation:

1. Processes must inform infrastructure; infrastructure design should, as far as possible, be guided by process experts.
2. Planning must be undertaken jointly by the adjoining countries, including agreement on which agencies are required at each stage on either side of the border.
3. A supportive legal framework is required at intra-agency (between countries), inter-agency (within each country) and cross-border operational levels.
4. An adequate institutional framework must be established to operationalise the OSBP principle at all three levels, on both sides of the border.
5. Existing manual, duplicative and non-value-adding processes must be reviewed, simplified and unified prior to automation and digitalisation.
6. Parallel objectives and initiatives pursued by individual agencies must be identified, as many are duplicative or contradictory and result in wasted resources.
7. Human resources must be assessed for adequacy, competence and mindset, including aligned job descriptions and training, and identical operating manuals.
8. Infrastructure, facilities and equipment requirements must be clearly defined, including what can be shared and which country supplies which services.
9. For long-term continuity, clarity is required on the lead agency, facility management, funding mechanisms and agreed monitoring and communication channels.
10. Infrastructure, facilities and systems must be designed with a 30-year horizon in mind, as many early OSBPs are already operating beyond capacity and face serious expansion constraints.

Operational challenges at Beit Bridge

The fact that the Zimbabwean design and construction was handled by a private contractor, Zimborders, facilitated both modern design and rapid implementation. Current performance is, however, undermined by the Zimbabwe Revenue Authority’s anti-smuggling focus, which has resulted in physical inspections of convoyed vehicles at the Condep container terminal rather than at the border facilities.

This type of local procedural deviation negates the efficiency of the carefully planned OSBP infrastructure and highlights the need for standardised SMART digital processes rather than ad hoc local practices.

Balancing passenger movement and freight efficiency

The primary emphasis of the Border Management Agency will inevitably be the efficient movement of people, for which the OSBP concept offers substantial benefits, particularly through the separation of passenger and freight facilities. Revenue authorities, namely the South African Revenue Service and the Zimbabwe Revenue Authority, will focus on the movement of goods.

For freight, infrastructure designed for pre-clearance, green-lane movements, SMART digitalisation and harmonised systems are even more critical than the OSBP advantage itself. Currently, about 350 to 400 goods vehicles per day move in each direction. Any additional obstruction or cost at this border will accelerate the diversion of Zambian and Democratic Republic of the Congo traffic via Martins Drift and Kazungula.

The need for integrated, multi-agency planning

As highlighted in the African Union Development Agency–New Partnership for Africa’s Development report on OSBPs in Africa, customs activity is currently skewed by inbound composite manufactured and processed goods and outbound bulk goods and empty vehicles. It notes, however, that this balance is likely to change over time.

To avoid duplication, the requirements of more than 10 national departments must be coordinated into an integrated infrastructure, facilities and systems plan – matched on both sides of the border. This includes health, agriculture, forestry, policing and traffic control, all of which require facilities such as cold rooms, clinics, inspection and holding areas, laboratories, detention facilities, parking and the efficient management of utilities and services – without unnecessary duplication.

Infrastructure decisions and future-proofing

As noted by Fitzmaurice, the construction of another bridge would be a positive development, but only if it is fully integrated into a SMART OSBP traffic flow design. A new border post would imply new design and construction on both sides of the border, despite the fact that the Zimbabwean facility is already fully operational and unlikely to be replicated.

Drawing on experience from more than 20 border posts in the East African Community, any attempt to manage this development within existing departmental silos, or without close interstate coordination and agreement, would be disastrous. The fact that this is effectively a retrofit to an already operational half-OSBP further increases the complexity and reinforces the need to draw on established professional and industry expertise.

Planning before spending is essential

In conclusion, it is clear that very careful planning and extensive consultation are required before any expenditure is committed. Only through a SMART, integrated solution can Beit Bridge support efficient trade, align with the aspirations of the African Continental Free Trade Area and remain fit for purpose over a 30-year horizon.