22 September 2014 South Africa, Swaziland and Mozambique enable smooth flow of cargo MAPUTO - South African state-owned freight and logistics company Transnet and port and rail operators in Swaziland and Mozambique today launched the Maputo Corridor Joint Operating Centre (JOC). The Centre is a major milestone for the three countries in their drive to provide a seamless flow of cargo services for their customers. The JOC enables Transnet, through its rail freight division, Transnet Freight Rail, Mozambique rail and port operators respectively, Caminhos de Ferro de Moçambique (CFM) and Maputo Port Development Corporation (MPDC) and Swaziland Railway to establish common operating and maintenance philosophies. These efforts are aimed at enhancing operational efficiencies on the freight corridor, which runs from Mpumalanga Province in South Africa through Swaziland to the Port of Richards Bay and the Port of Maputo in Mozambique. The JOC houses representatives from all four partners under one roof, focusing on the integration of planning and operations, and managing all cross-border operations and stakeholders. The JOC, which has been in operation since 2013, has already realised significant efficiency gains. These include an impressive 24% reduction in dwell time at Komatipoort, and an unprecedented 57% reduction in dwell time at the ports in Maputo. Dwell time refers to the time it takes to turn around vessels and trains. In the JOC’s first year of operation, Freight Rail’s volumes to Mozambique grew from 2.6 million tonnes per annum (mtpa) to 4.5 mtpa. Magnetite exports through Maputo increased from an average of 10 trains per week, to an average of 18 trains per week. Turnaround time for Maputo magnetite was reduced by 47% from 118 hours to 62 hours - which is 10 hours faster than the service design time. Page 1 of 3 To ensure the JOC’s effectiveness, the four operators have aligned and integrated investment plans, maintenance standards, safety, operational philosophies and skills development across the corridor. As a result, there has been an alignment on standard operating procedures, maintenance and safety standards amongst the three countries. This includes the activation of an integrated cross-border train plan for coal, magnetite, containers and fuel. Crucially, these milestones will enhance adherence to scheduled train movements across rail and port facilities throughout the corridor. Developing and strengthening partnerships with other regional cargo operators, including ports and railways, addresses a key aspect of Transnet’s Market Demand Strategy (MDS), which is that of shifting cargo from road to rail. The majority of freight outside of South Africa is still on road. The MDS is Transnet’s R312 billion seven-year infrastructure investment programme intended to revitalise and expand the company’s rail, ports and pipelines infrastructure. About two-thirds of the investment will be on rail. In addition, Transnet’s Shareholder, represented by South Africa’s Ministry of Public Enterprises, has identified regional integration as a key objective of both the MDS and the New Growth Path. The latter guides South Africa’s economic strategy. Transnet is also partnering in similar initiatives to co-ordinate tactical and operational functional responsibilities across borders on the North-South Corridor (Zimbabwe, Zambia, DRC and South Africa) in Bulawayo and the East-West Corridor (Botswana and South Africa) in Mahalapye. The Maputo Corridor is set to grow rapidly in aligning the execution of operations as well the finalisation of a five-year investment plan for all the operators on the Maputo Corridor. A double digit percentage cargo growth is expected at the Maputo Ports over the next three years and all the operators are preparing themselves for such demand. The JOC firmly Page 2 of 3 believes that this effort could well serve as the blueprint for regional collaboration for all business going forward. -EndsFor further queries, contact: Transnet SOC Ltd Viwe Tlaleane 011 308 2384/083 979 0707 [email protected] Mike Asefovitz Transnet Freight Rail (011) 544 9599 / 083-286-2078 [email protected] CFM Alves Cumbe +258 82 3044530 [email protected] Maputo Port Development Company Soraia Abdula +258 84 3199124 [email protected] Swaziland Railway Sive Manana +268 78022238 [email protected] Page 3 of 3
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