Heavy haul rail operators across the world have been urged to adapt to rapid advances in technology and improvements in cybersecurity.

“The Fourth Industrial Revolution will change everything. The rise in technology will be profound, but it will also open [doors] for us,” World Economic Forum Centre for Global Industries head Cheryl Martin told delegates at the eleventh International Heavy Haul Association (IHHA) Conference, in Cape Town.

Future trends will include the adoption of sustainable production systems and recyclable and efficient packaging. Martin envisages increased investments in containerisation and environment-friendly packaging.

She told about 1 000 delegates attending the conference that safety, security and trust would be key.

“There is tremendous pressure about cybersecurity and data privacy. This will open up new business models. There will be digital technologies to make freight more safe,” she said, pointing out that this included features such as sensors and feedback loops.

Martin said new questions had to be asked.

“With cyber, how do you know the thing you are talking to is what it is and is not a bug in your system? There should be many opportunities to have public–private conversations about digital identity.”

Blockchain, a new technological innovation arising from Bitcoin, will also take hold. With blockchain technology, a network of computers is used to jointly manage a database. This allows for greater transparency and connectivity.

“It takes out the noise in a tender process. There is also huge potential to simplify contracting and the way you do commerce,” said Martin.

New technology is also expected to spark opportunities to optimise railway lines. This is particularly important in a capital-constrained environment.

New ways of industrial production will also change the nature of freight, with the remote control of operations, three-dimensional printing and better-quality control coming to the fore.

Artificial intelligence, or machine learning, and energy technology will change the industrial and work landscape as we know it, while technologies driving the Fourth Industrial Revolution include bio- and neurotechnologies, new computing technologies and sensing and acting networks.

In the midst of sweeping change and disruption, Martin said, it would be essential to distribute benefits fairly and to stay ‘human-centred’.

Meanwhile, changes in the retail industry over the next decade are likely to have cascading effects on the long haul industry.

Far more autonomous vehicles and robots will enter the market, while ecommerce penetration is expected to grow from 10% to 40% over the next decade.

Cross-border trade will need to adapt and trade barriers will need to be simplified. Martin said there were currently 350 international trade agreements governing cross-border flows, as well as a range of private agreements which are not aligned.

The IHHA Conference attracted about 1 000 international and local delegates and was hosted by Transnet and the South African Heavy Haul Association.

Participants at the five-day event engaged on a host of technical topics affecting the industry, including insights and updates on heavy haul developments, rail expansion plans and global technological advance.