The relationship between government and private companies should be nurtured to reindustrialise the economy, says Department of Trade and Industry industrial policy development deputy director-general Garth Strachan.

In a statement issued following the opening of logistics services provider Grindrod’s Gauteng Intermodal Terminal, in Johannesburg, on Thursday night, Strachan noted that government’s Industrial Policy Action Plan aimed to set out a roadmap for the reindustrialisation of South Africa.

At the heart of this plan was the principle of a close working, collaborative and mutually beneficial relationship between government and business.

“This is a critical principle if, as a country, we are to overcome both the constraints that inhibit industrial development and open the significant opportunities that exist. One of the constraints is the inefficiency of the country’s road, rail, port freight and logistics [infrastructure],” he pointed out.

He added that, growing the economy through growth in the agriculture, mining and manufacturing sectors, depended on a reliable, efficient and competitive rail, road freight and logistics system.

Grindrod Gauteng Intermodal Terminal CEO Kees van Welie illustrated that the intermodal terminal was intended to be a one-stop shop for their clients.

Its goals were to simplify supply chains, cut costs and grow their business.

The 130 000 m² terminal would serve as a hub, connecting markets from, Malawi, Zimbabwe, Botswana, the Democratic Republic of Congo (DRC) and Mozambique, as well as Richards Bay and Durban, in South Africa.

“This facility provides employment for over 100 people. It will handle one-million tons of containerised cargo and in excess of 100 000 containers a year,” said Van Welie.

The Gauteng provincial government also welcomed the investment with the strategic economic adviser to the MEC for Economic Development, Pelisa Nkomo noting that the terminal was a response to the province’s vision of transforming the economy and facilitating the flow of foreign direct investment into the country and Gauteng, in particular.