Freight Transport by Road in South Africa
Price
R 1 700.00(ZAR) estimated $ 110.87 (USD)*
Road Freight Transport
This report focuses on the transport of freight by road, a sector which generated total income of more than R125bn in 2014, thus contributing approximately 3.7% to GDP. Statistics SA’s estimate of a total outsourced contract road freight payload of 574,560,000 tons for 2014 can be doubled as there is a 50/50 split between outsourced and in-sourced road freight transportation. In this highly competitive sector, industry players are optimising innovation and smart partnerships to develop more collaborative operations using multi-modal and intermodal transport options.
Challenging Conditions
As the road freight sector and the economy enjoy an interdependent and symbiotic relationship, the current weak economy, both globally and domestically, is having a negative effect on the volume of goods requiring transportation by road. As fuel remains the largest contributor to road transport costs and many inputs are imported, the weak rand dollar exchange rate is a matter of concern. With tight profit margins of an average 4%, role players are looking at ways to reduce soaring operational costs.
Legislative Changes
Also of concern to stakeholders is the impact of proposed changes in the regulatory environment. The implications of some of the regulations covered by the Amendments to the National Road Traffic Act are far-reaching and could result in an operational loss of up to 40%.
Report Coverage
The Freight Transport by Road report discusses current conditions, details the extensive M&A activity that has occurred in response to conditions and trends, and describes factors influencing the success of the industry. The report profiles 55 companies including large players such as Barloworld Ltd, Grindrod Ltd and Bidvest Freight (Pty Ltd as well as small companies such as Ethos Road and Transport Services CC which has 16 employees and transports aggregates used in road construction projects. Also profiled are companies active in the local furniture removals industry which is dominated by two players, The Laser Transport Group, which includes Stuttaford Van Lines, Pickfords Removals, AGS Frasers International Movers and Magna-Thomson International Movers, and Elliott Mobility (Pty) Ltd.
Table of Contents
| PAGE | ||
|---|---|---|
| 1. | INTRODUCTION | 1 |
| 2. | DESCRIPTION OF THE INDUSTRY | 1 |
| 2.1. | Industry Supply Chain | 3 |
| 2.2. | Geographic Position | 3 |
| 3. | SIZE OF THE INDUSTRY | 3 |
| 4. | STATE OF THE INDUSTRY | 9 |
| 4.1. | Local | 9 |
| 4.1.1. | Corporate Actions | 13 |
| 4.1.2. | Regulations | 16 |
| 4.1.3. | Enterprise Development and Social Economic Development | 19 |
| 4.2. | Continental | 22 |
| 4.3. | International | 26 |
| 5. | INFLUENCING FACTORS | 28 |
| 5.1. | Implications of Amendments to the National Road Traffic Act Regulations | 28 |
| 5.2. | Road Conditions and Infrastructure | 29 |
| 5.3. | Movement from Road to Rail | 29 |
| 5.4. | Economic Environment | 31 |
| 5.5. | Government Initiatives | 33 |
| 5.6. | Private Sector Initiatives | 34 |
| 5.7. | Rising Operating Costs | 35 |
| 5.8. | Information Technology | 36 |
| 5.9. | Technology, Research and Development (R&D) and Innovation | 37 |
| 5.10. | Labour | 38 |
| 5.11. | Cyclicality | 42 |
| 5.12. | Environmental Concerns | 42 |
| 5.13. | Crime and Security | 43 |
| 5.14. | Electricity Supply Constraints | 44 |
| 6. | COMPETITION | 45 |
| 6.1. | Barriers to Entry | 47 |
| 7. | SWOT ANALYSIS | 48 |
| 8. | OUTLOOK | 49 |
| 9. | INDUSTRY ASSOCIATIONS | 49 |
| 10. | REFERENCES | 51 |
| 10.1. | Publications | 51 |
| 10.2. | Websites | 53 |
| APPENDIX 1 | 55 | |
| Current and Future Road-Related Projects on the African Continent | 55 | |
| COMPANY PROFILES | 59 | |
| ACCESS FREIGHT LOGISTICS (PTY) LTD | 59 | |
| ASPEN LOGISTIC SERVICES (PTY) LTD | 61 | |
| Barloworld Logistics Africa (Pty) Ltd | 63 | |
| BIDDULPHS REMOVALS AND STORAGE SA (PTY) LTD | 66 | |
| BIDVEST FREIGHT (PTY) LTD | 68 | |
| CARGO CARRIERS LTD | 71 | |
| CROSSROADS DISTRIBUTION (PTY) LTD | 75 | |
| DAMCO LOGISTICS (PTY) LTD | 78 | |
| DIGISTICS (PTY) LTD | 81 | |
| DPD LASER EXPRESS LOGISTICS (PTY) LTD | 83 | |
| ELLIOTT MOBILITY (PTY) LTD | 86 | |
| EZETHU LOGISTICS (PTY) LTD | 88 | |
| GAC LASER INTERNATIONAL LOGISTICS (PTY) LTD | 90 | |
| GAN-TRANS (PTY) LTD | 93 | |
| GRINDROD (SOUTH AFRICA) (PTY) LTD | 94 | |
| IMPERIAL GROUP LTD | 97 | |
| LASER GROUP (PTY) LTD (THE) | 101 | |
| LASER LOGISTICS (PTY) LTD | 103 | |
| LASER TRANSPORT GROUP (PTY) LTD (THE) | 105 | |
| NAMIBIA LOGISTICS (PTY) LTD | 107 | |
| ONELOGIX GROUP LTD | 109 | |
| ROADWING (PTY) LTD | 112 | |
| RTT GROUP (PTY) LTD | 114 | |
| SUPER GROUP LTD | 116 | |
| TRANSNET SOC LTD | 119 | |
| UNITED BULK (PTY) LTD | 123 | |
| UNITRANS SUPPLY CHAIN SOLUTIONS (PTY) LTD | 125 | |
| UTI SOUTH AFRICA (PTY) LTD | 130 | |
| VALUE LOGISTICS LTD | 134 | |
| VINCEMUS INVESTMENTS (PTY) LTD | 138 | |
| VITAL DISTRIBUTION SOLUTIONS (PTY) LTD | 143 |
