TPT task teams address shrinking container volumes

Transnet Port
Terminals (TPT)
has set up special
task teams to look
into the fall
in container
volumes
at South
African
ports.
Container
volumes are
down 4.5%
year-on-year
from 4.571
million in
2014/15
to 4.366
million in
2015/16. Export iron ore
is down 2.8% from 59.7
million tonnes in 2014/15
to 58 million tonnes in
2015/16, according to TPT.
“The task teams have been
put in place to ensure that
everything possible is done
to generate additional
container volumes in
2016/17,”
said Willie
Coetsee,
TPT senior
manager:
strategy.
He told
FTW that
the task
teams
would be
responsible
for strategic
market
analysis, a
renewed focus on customer
service, cost containment
and improved efficiency.
Coetsee said that
transport and storage at
South African ports had
contracted by 2.7% in
the first quarter of 2016
following a contraction of
0.3% in the final quarter
of 2015.
“The decline in the first
quarter of 2016 was largely
the result of lower activity
in land transportation,
both passenger and
freight,” he said.
“Technically, after two
consecutive down periods,
a country or industry is
said to be in a recession.”
Investment in
manufacturing and mining
could help to reverse the
trend, he added.
“The decrease in
cargo volumes is a global
phenomenon as a result
of the slow-down in the
Chinese economy and the
continuing commodity glut,”
said Coetsee. “We estimate
that it will take another 18
months to two years for the
world economy to stabilise.
World seaborne trade
recorded approximately
2% growth in 2015, and is
expected to remain in that
range until 2019, far lower
than previous levels of about
5% growth per annum.”
But despite the drop in
container volumes Coetsee
said that South African
ports were performing
on par with international
norms. “The ports
regulator brought out a
benchmarking report at
the end of last year and in
most cases our ports are
performing above the world
average,” he said.
INSERT & CAPTION
We estimate that
it will take another
18 months to two
years for the world
economy to stabilise.
– Willie Coetsee