According to some reports, the state-owned South African entity, Transnet has seen encouraging indications of growth. Its Northern Corridor, which is an important rail corridor in the country is seeing increased freight volumes. The Northern Corridor accounts for around 41% of all Transnet Freight Rail volumes.
Transnet has recently announced that it plans to manage a substantial amount of freight exports during the year which will close March 2024. Recent improvements in railway performance might help to recover a portion from the R150 billion lost in revenues caused by Transnet inefficiencies by 2022 that cost the country nearly five percent of the GDP in 2023.
Furthermore, Transnet Ports reports a notable reduction in backlogs for vessels in the Durban Container Port and improvements on Cape Town’s Container Terminal. Cape Town Container Terminal. In the words of Jan Havenga, a professor of logistics at Stellenbosch University, the turnaround of Transnet’s operations is mostly caused by shifts in the personnel.
This year the President Cyril Ramaphosa established the National Logistics Crisis Committee (NLCC) to deal with the bottlenecks that cause major the inefficiencies of Transnet. Juanita Maree, CEO of the SA Association of Freight Forwarders was pleased with the improvement following the involvement of the business within the NLCC especially at Durban Container Terminal Pier 2. Durban Container Terminal Pier 2.
Source: The Plantations International Agroforestry Group of Companies