BMW exports through the Maputo port
Photo by: BMW
With BMW exports from the country set to more than double in 2013, BMW South Africa (SA) has added the Maputo port, in Mozambique, to the Durban port it has historically used to export the Pretoria-made 3 Series to the rest of the world.
“BMW SA has increased its production output with the introduction of a third shift, which was implemented towards the end of last year,” said BMW SA MD Bodo Donauer on Friday.
“Our overall annual production figure will increase from around 50 000 units per year, to more than 80 000 units in 2013.”
“At the same time, the total number of BMW vehicles exported from South Africa will more than double, from around 33 000 to almost 70 000 vehicles per year.
“In line with this increase in volumes, we have had to look carefully at our export logistics. . . Using Maputo in conjunction with our existing export supply chain in Durban makes sound business sense,” commented Donauer.
Around 20% of the export volumes, or roughly 14 000 BMWs a year, will be exported using the Maputo car terminal, in Mozambique.
BMW SA, however, on Friday also emphasised that it remained “committed to working closely” with Durban port owner Transnet, and that it would increase the number of BMW vehicles exported through Durban by almost 20 000 vehicles a year – an increase of more than 60%.
Grindrod Freight Services (GFS), which handled BMW SA’s road freight logistics, served as the private concessionaire at the Maputo car terminal, and was instrumental in cementing the deal.
GFS formed part of the JSE-listed Grindrod group.
“We have aligned our service offering of road freight logistics, clearing and forwarding, and terminal services with the customs requirements of South Africa and Mozambique, to provide an integrated process – from the BMW Vehicle Distribution Centre, in Rosslyn, to on-board the vessel in Maputo,” said GFS group business development executive Walter Grindrod.
“We have run trials to test the system and are confident the export route is sound. Going forward, we expect two shipments per month to take place with these vehicles, destined for markets in Japan and other parts of the East.”
Donauer said the move to Maputo was necessary as BMW SA had to ensure it was globally competitive in all elements of the manufacturing process, including supply chain and logistics.
“This means we have to develop top-quality and productive ports, which operate at high levels of efficiency, at competitive prices, to ensure a stable logistics environment.
“The decision to use Maputo is the first step in ensuring the development of a robust, well thought-out and competitive logistics network, which includes access via multiple Southern African Development Community ports, and can easily incorporate sea, rail and road freight,” he noted.
“The idea of SADC is the ultimate vision for the type of supply chain needed to fully service South African manufacturers.”
BMW SA spokesperson Guy Kilfoil told Engineering News Online on Friday that it would be feasible, for example, to consider importing parts for the Rosslyn plant through Namibia, rather than Cape Town, as this could offer a time saving of around four days.