Business Leadership South Africa (BLSA) CEO Busi Mavuso says the concerted effort that business, government and many within State-owned freight utility Transnet have made to fix the outlook of logistics in the country is starting to have some effect.

She mentions the new Transnet board having been appointed as one of the positive recent developments at the entity, as well as the entity concessioning a large part of the Durban port.

Mavuso refers to Transnet announcing International Container Terminal Services, based in Philippines, as the preferred bidder for a joint venture to upgrade Container Terminal Pier 2. The terminal handles 72% of the Durban port’s throughput.

Although the agreements are yet to be completed, there is a tangible sense of progress, Mavuso states.

She also lauds the progress made on Transnet’s development of infrastructure in the Northern Cape, given its shortlisting of three respondents to submit proposals for the design, funding and construction of a port and rail infrastructure project linked to Boegoebaai.

“This could open up opportunities for the mining sector and, potentially, green hydrogen project developers, in the province. Again, there is a long way to go before construction starts, but progress is happening,” Mavuso notes.

This is not to say Transnet’s problems have been solved, as many companies still struggle to gain access to sufficient capacity to move their output down rails or out of ports, not to mention the criminal gangs that continue to vandalise or steal equipment.

To this end, government and business are working together through the National Logistics Crisis Committee to deal with the challenges. Mavuso confirms several top CEOs with strong logistics and transport experience are working alongside Transnet executives and government officials, with Operation Vulindlela as secretariat.

Mavuso hopes this committee will, in time, make progress of the sort that the National Electricity Crisis Committee has – she believes this committee has been effective in mobilising resources, shifting policy blockages and pushing through much-needed restructuring.

“We now appear to be on the right track and I look forward to working with partners to accelerate progress [on both fronts],” she concludes.