WASHINGTON, June 28, 2016—Did you know that 94% of shipments imported into Germany meet the quality standards of global logistics operators, compared to only 40% in Bolivia? Or that importing goods into Georgia requires traders to deal with just one agency, but in Madagascar, traders must deal with 10?
All of these issues, and more, are captured under the broad category of logistics – the methods and procedures a country uses to move goods across borders. Infrastructure, procedures, regulations, geographic characteristics and even political economy issues all play a role in defining the strength of a country’s logistics.
Global trade depends on logistics, and how efficiently countries import and export goods defines how they grow and compete in the global economy. Countries with efficient logistics can easily connect firms to domestic and international markets through reliable supply chains. Countries with inefficient logistics face high costs – both in terms of time and money – in international trade and global supply chains. This can severely hamper a nation’s ability to compete globally.
