Results are in Table II. In line with the results on timeliness reported in Table I, the
data show that delays are generally much less prevalent in East Asia than elsewhere.
In nearly all cases, delays are most prevalent in Central Asia, again probably due to the
fact that most countries in this group are landlocked. The most significant sources
of delay vary considerably across regions. In Central Asia and Southeast Asia it is
pre-shipment inspection. In South Asia it is maritime transshipment, whereas in East
Asia it is compulsory warehousing and trans loading. These categories make clear that
delays are usually due to the interaction between private and public agents and
processes. There is thus an important role for public policy as well as private sector
development in reducing the prevalence of delays, and improving supply chain
efficiency.
4. Ten challenges
This section discusses challenges facing countries eager to further develop the logistics
sector. While the trade logistics environment of each country is unique, we also think that policy makers in the region more or less face similar challenges to be overcome.
We will address ten commercially important issues critical for trade logistics
policy making.
Challenge 1: accurate measurement of logistics performance
The widely used LPI is not without flaws. The LPI is partly a perception survey and
hence is to some degree subjective. However, despite the fact that the International LPI
is based on perception, the surveyed firms are logistics providers and are, therefore,
able to represent the voices of the community of logistics providers regarding the
actual status of the sector. Because the survey respondents are experts in the field, their
answers to the survey questions are based on their actual experience to a degree. It is
also important to realize that private sector perceptions do matter. Wrong perceptions
would lead to the loss of business opportunities. Thus, when a government conducts
reforms, it is critically important to disseminate such information properly so that past
wrong impressions or misperceptions can be corrected