Road transport:

Linking land-locked

countries to markets!Implementing Aid-for-Trade Road Maps

Geneva, 11 July 2013

Jens Hügel Head – Sustainable Development

© International Road Transport Union (IRU) 2013Page 2

1948: eight founder countries

2013: 170 Members in 74 countries2013: 170 Members in 74 countries

…and 26 CRIPA Members in 22 countries

Facilitating and securing trade and international road transport since 1948!

What is Globalisation?

Source: IRU

Road Transport has become a vital production tool!

The combined efforts of 29 companies in 18 countries

What does it take to have a cup of coffee in a café?

© International Road Transport Union (IRU) 2013Page 3

Road transport tonnage distancesin modern economies

Series10

10

20

30

40

50

60

70

80

90 84.9%

11.8%

2.4% 0.9%

< 150km 150-500km 500-1000km > 1000km

Page 4 © International Road Transport Union (IRU) 2013

19711980199020002010

Global evolution of container volumes in ports

© International Road Transport Union (IRU) 2013Page 5

US Chamber feasibility study confirms commercial viability!

© International Road Transport Union (IRU) 2013Page 6

2004: The Lisbon-Vladivostok Caravan 2005: The Beijing-Berlin-Brussels Caravan

2010: IRU-ECO Silk Road Truck Caravan

IRU Caravans: No country is landlocked to road transport!

2007: Black Sea Highway Caravan

© International Road Transport Union (IRU) 2013Page 7

IRU Caravans demonstrated that adequate roads exist, but that there

is little traffic!!

© International Road Transport Union (IRU) 2013Page 8

…until the trucks reached border crossings!!

© International Road Transport Union (IRU) 2013Page 9

IRU New Eurasian Land Transport Initiative (NELTI)

• From September 2008 to date• Monitoring of over 200,000 border crossings

57% of transport time lost at border crossings!

38% of transport costs due to unofficial levies

© International Road Transport Union (IRU) 2013Page 10

0

2

4

6

8

10

12

14

16

USD

Billio

ns

Transport Costs only All Costs *

Source: Hague Consulting Group * Includes lost opportunities

Any penalty on road transport is an even greater penalty on the economy as a whole!

© International Road Transport Union (IRU) 2013Page 11

How can we change this view and let road transport drive trade, progress

and prosperity?

© International Road Transport Union (IRU) 2013Page 12

To bring them hope!

© International Road Transport Union (IRU) 2013Page 13

Implement key UN trade facilitation instruments to allow

countries to be land linked!

© International Road Transport Union (IRU) 2013Page 14

Transports

Internationaux Routiers

Managed by the IRU since 1949

Securing and facilitating trade and international road transport

© International Road Transport Union (IRU) 2013Page 15

TIR-EPD Green Lanes blueprint

Reduce border waiting times, facilitate trade, increase risk management efficiency, improve customs controls, secure trade and transport!

© International Road Transport Union (IRU) 2013Page 16

We want to see this…

© International Road Transport Union (IRU) 2013Page 17

….instead of this by….

© International Road Transport Union (IRU) 2013Page 18

www.iru.org

© International Road Transport Union (IRU) 2013Page 19