'Competitive rail would help grow Ngqura volumes'

An increase in the diversion of transhipment cargo from Durban to Ngqura has created a window of opportunity for importers and exporters in the Eastern Cape. For the first time a shipping line is able to offer direct calls to and from Ngqura servicing all six of the main continents, says Arthur Waters, Eastern Cape regional director of Mediterranean Shipping Company. MSC has been the pioneer in the port of Ngqura. On Sunday, October 4, 2009, the MSC Catania was the first commercial vessel to call on the port of Ngqura – and since then MSC has had a further 557 vessels, making MSC the biggest port user at the port. On July 8, the 11 660- TEU MSC Sola became the largest vessel to call on Ngqura. A total of 5 097 containers was handled on and off the MSC Sola, making it the biggest single shipment to be handled on one vessel by the port to date. Ngqura is being used by MSC for transhipment cargo in order to accommodate the upgrading of the port of Durban. Waters urges shippers in the Eastern Cape and rest of the region to take advantage of this opportunity to leverage the logistics links to the rest of the world. “We now offer a direct service to all global destinations, and we need to ensure that it continues,” he says. In addition MSC has its own container depot, handling both dry and reefer containers, while MSC Logistics has a fleet of trucks to service the landside operations for importers and exporters. “This creates a ‘One Stop Shop’ for all our clients,” says Waters. While shipping lines like MSC are playing their part in helping Transnet achieve its stated goal of positioning Ngqura as a regional hub, Waters believes that the parastatal could do more on its side. Total logistics costs from the port to the hinterland and back need to be equalised with those of Durban and Cape Town. There are various ways this could be achieved – including through equalised rail rates, lower marine costs, or a combination of both. Shipping lines are marketing their services as a through bill of lading, and not just port to port. They – and their clients – choose the most cost-effective option looking at the total costs, and not just those of the port, he says. “We are lobbying hard through the Nelson Mandela Bay Business Chamber to make Eastern Cape ports more cost-competitive,” he says. CAPTION The MSC Sola being worked by six gantries in the port of Ngqura.