Market analysis and transportation procurement for food aid in Ethiopia

Marie-Eve Rancourt, François Bellavance and Jarrod Goentzel

Socio-Economic Planning Sciences, 2014, vol. 48, issue 3, 198-219

Abstract: Empirical research characterizing transportation markets in developing countries is scarce. By analyzing contracts between the World Food Programme and private carriers, we identify the determinants of transportation tariffs in Ethiopia and quantify their relative importance. The econometric models devised from our unique dataset provide insights for shippers to improve procurement processes, for carriers to develop competitive business models and for government authorities to define effective investments and policies. Results indicate that the number of carriers on a given lane significantly reduces transportation tariffs and that policies stimulating competition may be as important as road infrastructure investments in Ethiopia's development strategy.

Keywords: Transportation procurement; Econometric model; Market analysis; Road infrastructure; Competition intensity; Humanitarian logistics (search for similar items in EconPapers)
Date: 2014
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Citations: View citations in EconPapers (9)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:soceps:v:48:y:2014:i:3:p:198-219

DOI: 10.1016/j.seps.2014.07.001

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