Southern Africa Trade and Connectivity Project (SATCP)

Project Overview

The Southern Africa Trade and Connectivity Project (SATCP) is a regional initiative involving Malawi and Mozambique. The project is designed to improve trade connectivity, reduce the cost and time associated with cross-border trade, strengthen regional value chains and improve access to infrastructure along strategic trade corridors.

The project recognizes the importance of efficient transport and trade corridors to Malawi's economic development. As a land-linked country dependent on regional transport routes, Malawi requires efficient border systems, reliable trade infrastructure and strong cooperation with neighbouring countries. SATCP supports improvements along strategic regional corridors, particularly the Nacala and Beira corridors, which are important routes connecting Malawi to regional and international markets.

Project StatusOngoing

CategoryRegional Trade

End Date30 June 2027

Objectives

The project aims to support Malawi and Mozambique in improving regional trade coordination, reducing trade costs and time, developing regional value chains and improving access to infrastructure. Specific objectives include reducing the cost of domestic and cross-border trade, reducing delays associated with the movement of goods, improving coordination between institutions involved in trade, and strengthening regional cooperation between Malawi and Mozambique.

Additional objectives include improving access to strategic trade infrastructure, supporting the development of competitive regional value chains, improving border management systems and procedures, promoting the digitalization and automation of trade-related processes, improving the efficiency of strategic transport and trade corridors, supporting private sector participation in regional trade, and improving sanitary and phytosanitary information and compliance systems.

Key Components

SATCP is structured around five main components that address trade connectivity, infrastructure, value chains, digitalization and institutional capacity.

Trade Facilitation and Regional Coordination — simplification of trade procedures, border management improvements, digitalization, and regional cooperation between Malawi and Mozambique.
Improving Trade and Transport Infrastructure — targeted infrastructure investments along the Nacala and Beira corridors to reduce logistical constraints.
Strengthening Regional Value Chains — enterprise development, market linkages, quality compliance, and productive investments in value chains with regional trade potential.
Trade Digitalization and Information Systems — electronic trade information systems, digital platforms for standards and regulatory institutions, and sanitary and phytosanitary information systems.
Institutional Strengthening and Project Management — technical assistance, capacity development, training, coordination, and monitoring and evaluation.

Beneficiaries

Primary beneficiaries include exporters and importers, MSMEs, farmers and agricultural producers, processors and manufacturers, transport and logistics operators, cross-border traders, businesses along trade corridors, government agencies responsible for trade and border management, standards institutions, and consumers.

Expected Outcomes

SATCP is expected to contribute to reduced trade costs, reduced time for movement of goods, improved border management efficiency, increased regional trade, improved coordination between trade-related institutions, better access to trade and transport infrastructure, increased participation of businesses in regional value chains, improved market access for producers and enterprises, increased private sector competitiveness, improved digitalization of trade-related processes, improved access to sanitary and phytosanitary information, stronger institutional capacity, improved corridor performance, and stronger economic integration between Malawi and neighbouring markets.