Transport Minister Barbara Creecy is advancing plans to launch a national shipping carrier.
The Department of Transport has invited shipping companies to join a steering committee tasked with shaping a model for the national carrier, working in collaboration with the Development Bank of Southern Africa (DBSA), Business Day reported on Monday.
The move, which comes 25 years after Safmarine was sold to Maersk, aims to recapture a significant share of South Africa’s import and export volumes that have been handled by foreign carriers since the country’s maritime decline began in the 1980s.
According to a government notice published on Friday, the DBSA will play a pivotal role in developing the South African National Shipping Company model.
“The department is collaborating with the DBSA for the establishment of this SA National Shipping Company model that will enable South Africa to carry its own import and export trade, which has suffered negative growth since the 1980s as SA does not have a national shipping carrier,” the notice stated.
The steering committee will include representatives from the Department of Transport, DBSA, and other key stakeholders. It will also develop terms of reference to steer the process.
This initiative builds on earlier efforts to revive the maritime sector, following the release of a draft Bill in 2022 that proposed the establishment of the SA Shipping Company (Sasco).
The draft bill originated from the 2017 Comprehensive Maritime Transport Policy, which highlighted the strategic importance of a national shipping line for South Africa’s trade competitiveness.
South Africa currently stands out as the only Brics (Brazil, Russia, India and China) member state without its own national fleet and has a record of poor management of state-owned enterprises, which has cost taxpayers an estimated R700 billion in bailouts over the past decade.
The renewed interest in a state-backed carrier comes as South Africa’s logistics sector undergoes a major transformation, with increased private-sector involvement to address port congestion and rail inefficiencies.
If the plan moves forward, the government is expected to explore opportunities to acquire existing vessels or companies, possibly funded by the Industrial Development Corporation.
Safmarine, founded in 1946, was sold to Maersk in 1999 and was fully integrated into the Danish multinational’s operations by 2020.
Major global players like Maersk, Mediterranean Shipping Company, CMA CGM, and local players such as Robertson and Caine and Sandock Austral Shipyards, currently dominate the market.
