Civil Engineering May 2021 | Vol 29 No 4

Civil Engineering May 2021 9 Le t ter from the ed i tor South Africa is a diverse exporter of goods, and our ports play a critical role in the logistics chains that link, most notably, our mining and agricultural sec- tors to the rest of the world. In 2020 our country shipped US$86.1 billion worth of goods around the globe. We are similarly heavily reliant on imports, particularly from China. The effects of the Covid-19 pandemic on international trade highlights the important role of ports as key engines for economic growth. As the pandemic hit its peak, trade around the world halted and South Africa saw a 4.8% decline in exports from 2019 to 2020 – a decline with a direct impact on our economy. Considering their key role, it is crucial that our ports operate efficiently and cost- effectively, in line with global standards, to best serve our importers and exporters as they contribute to South Africa’s GDP. President Cyril Ramaphosa high- lighted this fact after a recent visit to the Port of Durban. In one of his weekly letters to the nation, he noted, “If the port does not function efficiently, the entire economy suffers, from importers and exporters to consumers. On the other hand, if the port works well it can drive economic growth and position our country as a gateway to the region and the continent.” DURBAN PORT INVESTMENT In recent years, the Port of Durban has slipped from its position as first in Africa to third, behind Tangier in Morocco and Port Said in Egypt. Port users, particularly shipping companies, have raised concerns over truck congestion and waiting times, ship berthing delays and anchorage times, poor maintenance of equipment, and generally low productivity in the port. Ramaphosa reported that there has been great progress over the past year in turning around the performance of the port, despite the impact of Covid-19. Through Operation Vulindlela, The Presidency has focused on rebuilding Transnet, with its new manage- ment focused on turning the performance of the port around. “Through our reform process we are steadily improving the efficiency of our ports and railways and unlocking massive investment in infrastructure. This will not only lower costs and improve the com- petitiveness of our exports, but will create thousands of new jobs in the process. Through both operational improvements and structural reforms, Durban Port will reclaim its place as the best-performing port in Africa,” said Ramaphosa. To achieve this, the port requires R100 billion in new investment over the next decade and beyond. This will completely transform the port, expanding its capacity for container handling from 2.9 million units to more than 11 million units. There are ambitious and exciting expan- sion plans for all five of the port’s precincts. These include the deepening of the Maydon Wharf channel to allow larger, modern vessels to enter the port, the infill of Pier 1 and Pier 2 to create additional capacity for containers, and the development of a new container terminal in the Point Precinct. These plans will require greater pri- vate sector participation and investment. According to Ramaphosa, partnerships with the private sector are crucial to bring new investment, technology, and expertise to port operations and to modernise equipment and infrastructure. Transnet is planning, for example, to advertise a concession later this year to build and operate the new Point Terminal. This will bring in private investment and improve the efficiency of container handling. This builds on ongoing projects, such as the Cato Ridge Logistics Hub, which will feature a dry port comprising an in- termodal terminal with a mega truck stop and staging facility, a tank farm, a logistics and industrial park, and an automotive terminal – representing R2.6 billion in infrastructure development. Cargo from Durban Port will be trans- ported via rail to the dry port where it will be transferred onto the road network and transported to its inland destination. This will improve the efficiency of movement of goods between the port and the inland industrial centres of South Africa. REALISING ECONOMIC GROWTH Despite its enormous size, Africa still repre- sents only a small portion of world trade and our continent’s exports are still largely com- modity based. It is therefore encouraging to hear government prioritising infrastructure plans such as these, which will prove critical to the recovery of the South African economy and the civils industry. It is vital that the private sector takes up these opportunities to partner with government so that we can create and sustain more robust and diverse economic growth through the import and export of a broader range of goods. We must take advantage of and realise the full potential of our ports if we are to realise our eco- nomic growth ambitions.  Seaports: our gateway to economic growth Stretching 2 954 km, South Africa’s extensive coastline positions the country in an ideal position for sea trade. South Africa’s eight commercial seaports, operated by the Transnet National Ports Authority, are a crucial trade link to the rest of the world and play a key role in our economy. Danielle Petterson Editor: Civil Engineering danielle@saice.org.za