Cargo Handling, Storage and Warehousing

South Africa’s cargo handling, storage and warehousing sector forms part of local and global supply chains and it depends on local and global trade and economic growth to produce goods requiring transportation through its ports and airports to final destinations. The cargo sector is influenced by economic conditions, trade and consumer buying power and is highly reliant on Transnet and SAA. The sector faces challenges due to the poor economy and the outbreak of the coronavirus pandemic. The commission of inquiry into state capture, corruption and fraud in the public sector, includes sector participants Transnet and SAA.

Congested Ports

About 80% of South Africa’s international trade is moved by sea through Transnet’s ports in the form of containers, dry bulk, liquid bulk, break-bulk and automotives. Air freight accounts for a very small percentage of total freight moved. Major challenges at South Africa’s ports include efficiency issues and congestion, bad weather conditions, equipment downtime and go slows. Namibia is slowly replacing South Africa as the gateway into the SADC region, with capacity expansion at Walvis Bay.

Coronavirus

South Africa’s cargo sector is directly affected by the restrictions in place to contain the spread of coronavirus and it will feel the effect the pandemic will have on the economy. Coronavirus has led to reduced transport services and port entries, although ports remained open during the lockdown and the transportation of essential and non-essential air cargo was allowed.

Report Coverage

This report on Cargo Handling, Storage and Warehousing focuses on port operations and air cargo, with comprehensive information on the state and size of the sector, operational issues, infrastructure development, corporate actions and government and private sector initiatives. There are profiles of 52 companies including the dominant players Transnet and SAA, major companies such as Barloworld Logistics, BidAir and Imperial Logistics and port terminal operations such as Burgan Cape Terminals.