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Export growth will overstretch SA's creaking transport systems by 2006

07 May 1999 - by Staff reporter
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Joint work with Portnet will
be accelerated this year

THE DEPARTMENT of Transport fears that transport systems will not be able to cope with growing exports from South Africa as early as six years into the new millennium.
This concern has been expressed in the department's 20-year plan, called Moving South Africa (MSA), which has identified significant problems with the alignment of local freight transport especially with regard to its capacity to support South Africa's value-added export strategy.
South Africa is faced with a challenge to improve the quality and cost efficiency of systems and operations within the freight industry, says the report.
MSA, which forms part of the department's 1999/2000 business plan, said in particular the restructuring of South Africa's ports had been identified as a critical path component of the proposed change strategy.
In partnership with Portnet, the department has already begun work on the development of a fresh approach to its port policy.
The White Paper sets out certain key guiding principles, but a detailed and comprehensive ports policy still remains to be formulated.
The joint work with Portnet will therefore be accelerated this year, through an all-inclusive Port Policy Development Process, says the report.
In the export-focused context of GEAR, and in the recognition that South Africa's future economic growth rests on our ability to compete in the global economy, the efficiency of South African freight transport becomes a matter of national concern, says the report.
The role of the department in regulating the industry across all modes requires the incorporation of a strategic perspective into our role as regulator.

Restructuring of SA ports has been identified as a critical path component of the proposed change strategy

Given the scarcity of public resources, and the network efficiency requirements for road and rail-based freight modes, the department will be required to negotiate with key industry government and labour shareholders on the strategic implications of the White Paper's policy perspectives for the regulatory environment.

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