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The smooth flow of goods, people and investments across the emerging Euro-Mediterranean free trade area necessitates a well-functioning multimodal transport system. More efficient transport would help the southern Mediterranean countries to attract foreign direct investment, encourage exports and participate in increasingly complex cross-border supply-chains. It would also facilitate regional integration and permit the countries of North Africa and the Middle East to more effectively 'plug into' the European Single Market. The aim of this study is to map out national and cross-border policy reforms that would be needed to create a 'common transport space' that spans both sides of the Mediterranean sea. For that purpose it reviews the logistics requirements of transport users; analyses sector policies and sector performance in the countries concerned; benchmarks them against international best practice; and draws lessons from the EU-internal reform experience in the transport sector.