MINISTRY
PUBLIC ENTERPRISES
REPUBLIC OF SOUTH AFRICA
Private Bag X15 Hatfield, 0028 Suite 301 InfoTech Building 1090 Acadia Street Hatfield
Tel: 012 431 1118/1150 Fax: 012 431 1039 Private Bag X9079, Cape Town, 8000 Fax: 021 465 2381
Minister Lynne Brown’s remarks about Transnet’s continental initiatives, in the Durban
Chairperson of Transnet’s Board, Ms Linda Mabaso
The Group Chief Executive of Transnet, Mr Siyabonga Gama
Richard Vallihu, Chief Executive of Transport National Ports Authority and other Executives of Transnet
Ladies and gentlemen
Welcome to Transnet, the biggest freight operator on the continent.
Today, Transnet will introduce you to a glimpse of their operations with what is the called the Transnet Learning Journey that includes a tour of the Port of Durban and visits to the Maritime School of Excellence and Transnet Engineering.
It is also based on Transnet’s need to diversify revenue sources in response to the economic slowdown in the country and the world.
The Transnet strategy is based on their mandate to develop and pursue commercial opportunities on the rest of the continent more actively. This must be done with other State-Owned Companies and the private sector.
This road into the continent started in May 2015 when Transnet adopted its Africa Strategy.
Your presence is part of Transnet’s outward drive on the continent and to raise awareness about this giant on the southern tip of Africa.
This port is one of the busiest ports in Africa. Apart from handling cargo, it also handles automobiles and containers.
The Continent has 15 landlocked countries requiring access to ports than anywhere else.
If we can address Africa’s logistics infrastructure deficit, we can change the quality of lives of all Africans. And we look to Africa as a key, under-developed market. In 2015, intra-African trade accounted for less than 18% of total continental exports. Among the key factors underpinning these numbers is Africa’s logistics infrastructure deficit.
According to the Logistics Performance Index of the World Bank, just six of the 46 African countries ranked are in the top two categories, 18 are ranked “partial performers”, and 22 are ranked “logistics unfriendly”.
Currently Transnet is pursuing opportunities in Senegal, Liberia, Nigeria, Ghana, Togo, Benin, the Democratic Republic of Congo and Kenya.
These include possible joint ventures include areas such as rail and port opportunities; the development of infrastructure at ports and establishing transport corridors in those countries.
Transnet is not only committed to develop infrastructure but their presence must also change the socio-economic conditions of those living close to these projects.
The company must also as far as possible procure locally and develop Small, Medium and Micro Enterprises in those countries.
This augers well as Transnet, who is keen to expand their footprint on the Continent.
I now invite you to sit back as Transnet National Ports Authority takes us on this tour.
I thank you.
