Harare — Integration and co-operation between transit neighbours have been highlighted as factors that could strengthen trade competitiveness of Landlocked Developing Countries in times of the global economic crisis.
Speaking on the proceedings at the recently held meeting for Trade Ministers of LLDCs in Ezluwini, Swaziland, Industry and Commerce Deputy Minister Mr Mike Bimha said members present agreed that regional integration and cooperation is vital if the countries are to survive the global economic crisis.
"It was agreed that there is a necessity for LLDCs to cooperate closely with transit neighbours and integrate in regional co-operation and integration schemes.
"Efficient functioning of regional transit transport systems requires proper connection between national transport services and infrastructure networks across national boarders.
Regional integration provides for an ideal framework for such connectivity and helps create a 'win-win' situation between LLDCs and their transit neighbours," said Minister Bimha.
High transport costs have been highlighted as one of the challenges that have affected some of the major income earners for LLDCs, affecting the economic output of such countries.
"High transport costs have been highlighted as inevitably making the importing of raw materials expensive and exports uncompetitive.
"Excessive transport costs have affected LLDCs' major income earners such as the tourism sector, that is sensitive to cost variation," he said.
LLDCs because of their geography, are among the disadvantaged countries in the globe, with the global economic crisis compounding the challenges being faced by these countries.
These include poor physical infrastructure, weak institutional and productive capacities, small domestic markets and remoteness from the world.
The meeting was held to discuss challenges facing LLDCs in the current global economic crisis and to find solutions to the global crisis.

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