4 years ago

South African Business 2019 edition

  • Text
  • Infrastructure
  • Africa
  • Banking
  • Engineering
  • Construction
  • Trade
  • Economy
  • Zones
  • Energy
  • Investment
  • Invest
  • Business
  • Africa
  • African
  • Sector
  • Economic
  • Industrial
  • Mining
  • Logistics
  • Projects
The 2019 edition of South African Business is the seventh edition of this annual guide to business and investment in South Africa. Regular pages cover all the main economic sectors of the South African economy and give a snapshot of each of the country’s provincial economies. Feature articles on topical issues such as Special Economic Zones and African trade provide unique insights, together with comprehensive overviews of critical economic sectors. Other special features focus on the exciting new possibilities in renewable energy, airports as engines of regional growth and the maritime sector as an entirely new prospect for South African entrepreneurs and businesses. South African Business is complemented by nine regional publications covering the business and investment environment in each of South Africa’s provinces. The e-book editions can be viewed at

OVERVIEW Transport and

OVERVIEW Transport and logistics Plans are in place to shift freight from road to rail. The decision by Imperial Holdings to create a separate stock exchange listing for its automotive division marks an interesting departure for one of the biggest logistics companies in South Africa. Imperial Holdings employs 49 000 people and Imperial Logistics, apart from its large South African footprint, has a presence via multiple companies in other African countries and in Europe, the Americas, the Middle East and the Far East. The Motus division represents 22 OEMs through 358 vehicle dealerships and runs two car rental companies, Europcar and Tempest. Companies like Imperial Logistics and Barloworld carry just about anything while other listed companies specialise. Cargo Carriers has a fairly broad range of specialised services: fuel, steel, chemicals, gas, powders and services to the mining and sugar industries. Other companies specialise even further, for example CSS Logistics operates 12 refrigerated warehouses around South Africa. Laser Logistics describes itself as a specialist in distribution for retailers and wholesalers in the clothing, footwear, lifestyle, electronics and appliance markets. Industry news • DHL Express has launched a green distribution centre in Johannesburg. Energy consumption will be reduced by 55%. SECTOR INSIGHT A new Special Economic Zone will boost logistics in Limpopo. • The inland manganese terminal at Lohatlha in the Northern Cape has been taken over by Transnet Port Terminals. Allowing miners to move ore by rail reduces costs. Transnet also operates inland terminals in Brits (North West) and Newcastle (KwaZulu-Natal). • The building of the Musina- Makhado Special Economic Zone (SEZ) will boost Limpopo’s role as a transport and logistics hub. The Musina Intermodal Terminal, which was officially opened in June 2017, is 15km from the busy Beit Bridge border crossing. SOUTH AFRICAN BUSINESS 2019 120

OVERVIEW It will boost efforts to move cargo from road to rail. Warehousing facilities on-site make for loading efficiencies in the main cargoes such as chrome, fertiliser, coal, fuel and citrus. • The Nkomazi SEZ near the border with Mozambique in Mpumalanga has similar advantages as it forms part of the Maputo Development Corridor. • The purchase of 75% of German logistics company In Time for €137.2m in 2015 has paid off well for South African logistics company Super Group. Road and rail South Africa has 21 000km of railway lines and 747 000km of roads, 325 019 heavy-load vehicles and the road freight industry employs 65 000 drivers. The logistics and courier market is worth R10-billion. There are 135 licensed airports in the country, 10 of which have international status. Investment in improved infrastructure is being made at all of South Africa’s ports. Special Economic Zones are in place at the ports of Saldanha on the West Coast, Coega (Port Elizabeth), East London, and Richards Bay in northern KwaZulu-Natal. The Maputo Development Corridor is Africa’s most advanced Spatial Development Initiative. Run by the Maputo Development Corridor Logistics Initiative (MCLI), the corridor runs from near Pretoria in Gauteng, to Maputo in Mozambique. The Harrismith Logistics Hub at the Maluti-A- Phofung SEZ on the N3 is an inland port that can handle cargo containers and shift cargo from road to rail, reducing congestion and costs. Transnet is the state-owned enterprise focussed on transport and logistics. It comprises Transnet Freight Rail, Transnet Engineering, Transnet National Ports Authority, Transnet Port Terminals and Transnet Pipelines. Transnet Freight Rail’s operations represent about 80% of Africa’s rail infrastructure. With 25 000 employees TFR has specialist divisions for hauling coal and iron ore together with a general freight division which transports everything from grain to chemicals. The major rail haulage lines are the manganese line from the Northern Cape to Port Elizabeth; from Sishen in the Northern Cape to the Port of Saldanha GROWING WITH AFRICA Mueletshedzi Logistics (MLTL) believes Africa is fast becoming the hub of economic growth and there are opportunities to invest. The growth economy needs welldeveloped skills and services to efficiently keep up with the expansion. There must be a reliable supply of equipment, transportation, proper facilities as well as bringing together other logistics solutions to sustain the growth. With the experience and commitment that we have at MLTL, we’re well equipped to take on these challenges. We understand the needs of business and, based on our experience and commitment, we stand out as a preferred choice for reliable and sustainable logistics solutions. Mueletshedzi Logistics is a unique logistics company that offers a range of solutions in one basket. That factor makes us easy to work with as we deliver quality work at once. The company is still a growing business, but the goal is to develop into the biggest logistics company in Africa. 121 SOUTH AFRICAN BUSINESS 2019

Other recent publications by Global Africa Network: