AFRICA

Private plans shelved in South Africa

21 years ago

Concerned about transport costs, South Africa has put on hold plans to contract private companies to run Durban and Coega container terminals. The decision follows abortive talks with P& O Nedlloyd last year, in which the company – hoping to run a terminal in the newly-established Coega – clashed with the government over policies and subsidies.

These include NYK, MOL, CMA CGM, PSA, HPH, Evergreen, Container Corporation of India, Larsen & Toubro and Gammon India. A contract is expected to be awarded in September or October.

State-owned Transnet has plans to invest US$764m in port infrastructure over the next five years to free up exports which are currently stifled by bottlenecks.

Coega’s capacity, currently 500,000TEUs, may be doubled. Also, SA Operations are soon to award a US31m contract to provide Durban, Port Elizabeth and Cape Town with 13 new cranes.