Urban Freight in Developing Cities

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Relevance of freight in urban transportation

The economic development of urban agglomerations depends heavily on a reliable and friction- free supply of goods and materials. At the same time, freight transportation in urban centres contributes considerably to air pollution, noise emission and traffic congestion. On the level of a typical metropolitan area in a developing country, on average 40–50 % of commercial vehicle freight volume is incoming, 20–25 % is outgoing, and the remaining 25–40 % are intra-metropolitan runs. However, typical good flows vary among different functional city areas. Large urban agglomerations include industrial zones and therefore mostly act more as origin for goods transport than as destination. In contrast, city centres, be it the downtown centre or a suburban commercial centre, are usually strong net goods consumers. This implies that more goods are received than dispatched in these precincts. Delivery of sometimes small shipments to the various retail establishments is the main topic here. Urban freight transportation and urban development are interdependent: A strangulation of the flow of goods in and out of a metropolis would certainly increase the retail price levels, impair the development of the urban centre itself, slow down economic activity and drain the financial resources from the municipal budget. On the other hand, only a stringent and long term metropolitan policy on urban transport can ensure an efficient and sustainable supply structure.


Development of new models for low and middle income countries

Concepts which have proved useful in a western economy do not necessarily work in a developing country environment. Some Asian conurbations present a much higher pressure for action and may therefore be a fertile ground for the implementation of innovative urban logistics concepts, if approached in the right manner. The measures so far implemented in low- and middle income countries may be less sophisticated, but generally it can be said that there is a high degree of public awareness and a sense of urgency concerning urban logistics problems. Many initiatives are underway in prospering cities of Asia and Latin America, aimed at alleviating the negative effects of urban freight transport while securing a friction-free supply of goods into the cities. In many instances, these programs focus on the eco-efficiency of the national vehicle fleet and on the performance of the road infrastructure. Increasingly, traffic management measures can be observed, in some cases accompanied by the provision of truck parking space or of urban logistics centres.


Problems induced by urban freight traffic

Roadspace occupation

Roadspace is scarce in just about any urban agglomeration. Especially if larger than necessary vehicles are used, if unnecessary long distances are travelled in urban regions, and if the off-loading process is organised in an inefficient way.

Green House Gas (GHG) and particle matter (PM) emissions


Noise emissions

Traffic noise has severe impacts on health and overall quality of life. It may lead to stress and increased blood pressure. In the medium and long term, the reduction of traffic noise in the vicinity of residential areas is likely to become a focus in all regions.

Impairment of road safety


Damage to road infrastructure


Congestion/delays


Negative impacts on economic competitiveness and urban development

A functioning city goods distribution and transport system is a major precondition for sustained economic development and thus, for poverty reduction. If a reliable and efficient supply of goods to inner city retail outlets cannot be established and ensured, commercial activity might shift to more easily accessible locations.


A review of proven city logistics concepts

Prior to discussing possible measure to improve the efficiency of city logistics systems for developing cities, it is helpful to quickly review the past development of the sector and illustrate some logistical concepts which have proven to be economically viable and sustainable. Usually they have developed organically out of private sector initiative.

Farmer direct selling

Organised street markets

Street markets are a common appearance in most cities, and may take place daily, weekly or biweekly. Sometimes these markets are specialised, e.g.

Wholesale and morning markets for Perishables

Delivery of building materials

In rapidly growing urban agglomerations, up to 30 % of the transported goods tonnage is building materials and construction equipment. In congested metropolitan areas and commercial inner city districts, the logistical bottleneck is the off-loading operation at the construction site. Sometimes, no off road parking is available at all, space is always scarce and if not organised correctly, the off-loading operation produces long vehicle queues.

Development of the “third account” transport sector

Proprietary logistics centres

Conclusions

Categorization of measures.png


Further Information

Further and more detailed information can be found on the homepage of the Sustainable Urban Transport Project. The Sustainable Urban Transport Project aims to help developing world cities achieve their sustainable transport goals, through the dissemination of information about international experience, policy advice, training and capacity building.

References

Bernhard O. Herzog 2010, Urban Freight in developing cities