The African Union (AU) is in the concluding stages of fashioning an African cabotage regime to ensure that only African-owned vessels can trade within the continent's coastal waters.

Many countries have cabotage regulations that restrict which carriers can conduct trade or navigate within their coastal territories. But Africa is only now taking action to pass such legislation in a daring, but necessary, move to liberate African coastal waters from foreign dominance, and take a significant step toward building a more unified continent.

The history of maritime trade within Africa's coastal waters, particularly those of Sub-Sahara, is one of foreign domination and exploitation. Starting in the 17th century, the Dutch East India Company sent trading vessels to sail along the rocky shoreline of the Cape of Good Hope at the tip of Africa. The voyage's huge trading profits, coupled with the region's good weather, however, caused what began as a trading mission to evolve into a permanent settlement. In the following centuries native Africans suffered under oppression, segregation and eventually apartheid.

Cabotage laws

Despite the political changes seen in African countries since they gained independence in the mid-20th century, little has changed in terms of cabotage laws. Non-African companies continue to dominate African coastal waters; African commodities and raw materials are still transported aboard foreign vessels and are often exchanged for sub-standard, over-priced, foreign-manufactured goods. The continent's coastal waters remain largely unregulated and any shipping vessel is, for the most part, free to sail from one coast of the continent to another. African countries remain at a disadvantage, economically and otherwise, under these conditions, which have not changed since the continent was controlled by foreign powers.

The situation of Africa's costal waters contrasts sharply with that of other parts of the world where regulations govern the transport of cargo by foreign-registered vessels. In China, for example, the Maritime Code states, "Shipping and towage services between the ports of the People's Republic of China shall be undertaken by ships flying the national flag of the People's Republic of China."

Estimates place the value of Africa's maritime economy at around $1 trillion a year, accounting for over 90 percent of the region's total commerce, and making it vital to the 38 African nations that have coastlines. But since independence, African countries have mostly surrendered economic advantages by allowing foreign vessels unfettered access to the continent's coastal waters. Although a few individual African countries, such as Nigeria, have cabotage laws, these are difficult to enforce due to inadequate infrastructure, a lack of skilled manpower, and high operating costs.

Changing African law

The potential advantages of a unified African cabotage law are numerous. Africa could see considerable native capital enter the ship-building and maritime sectors, creating employment for maritime professionals. African countries could encourage greater cooperation through the pooling of human and material resources to enforce maritime laws and protect against piracy, bunkering, illegal fishing and other problems. The often undocumented human rights abuses suffered by African nationals working on foreign vessels could also be reduced.

There are, however, sobering points that must be immediately addressed for an African cabotage regime to be successful. Issues relating to operating costs, infrastructure and capacity need to be resolved. For example, as of 2011, all African countries combined owned less than 5 percent of the world's cargo-carrying ships. Any implementation strategies must be carefully considered, and strong enforcement mechanisms must be instituted. Despite these problems, the upcoming African cabotage law is a significant leap toward realizing Africa's economic independence. The law, when it comes into force, should prove to be a major unifying factor in the continent's drive toward forming a more united economic and geopolitical bloc.

Source: Think Africa Press

Chika Ezeanya holds a Ph.D in African Development and Policy Studies