Home
FacebookTwitterSearchMenu
  • Subscribe
  • Subscribe
  • News
  • Features
  • Knowledge Library
  • Columns
  • Customs
  • Jobs
  • Directory
  • FX Rates
  • Contact us
    • Contact us
    • About Us
    • Advertise
    • Send us news
    • Editorial Guidelines

Forwarder diversifies to align with market needs

13 Nov 2023 - by -
0 Comments

Share

  • Facebook
  • Twitter
  • Google+
  • LinkedIn
  • E-mail
  • Print

In a strategic move to diversify its services and seize new market opportunities, Transcom Sharaf has embarked on an ambitious expansion journey. According to regional operations manager Justin Jahme, this has seen the company expanding into reefer exports out of Zimbabwe."We commenced with small-scale trial exports of lemons and oranges, and the initial results have been promising. We hope to see significant growth as the volume of reefer exports increases, and more markets in the Far East and Middle East open up to us."He said reefer imports for countries such as Zimbabwe, Zambia, and the Democratic Republic of Congo (DRC) were also increasing. These predominantly consisted of fish, chicken, and mechanically deboned meat (MDM). Diversification has been a key strategy for the company, which has also expanded its minerals portfolio. "We've diversified our operations to include the handling of essential minerals," said Jahme. "This includes chrome, vermiculite and lithium, aligning our services with the evolving needs of industries dependent on these valuable resources.”The company is also bolstering its capabilities and is currently in the process of constructing a bulk fertiliser handling terminal with a capacity of 30 000 tons. “This facility will be equipped with state-of-the-art bagging equipment, enhancing our ability to efficiently handle and distribute fertilisers, a vital component in the agricultural se c t or."According to Jahme, there have been significant increases in mineral exports from Zimbabwe, notably lithium. Concurrently, there has been a surge in imports of mining equipment and essential inputs to bolster the mining sector's growth. Notably, the security situation along the Mozambique route has proven to be more favourable compared to the challenges encountered via South Africa, where incidents of truck burning and theft have been a concern, especially for high-value cargo like tobacco and copper.“The entrance of additional shipping lines, including Unifeeder and ONE Line, with their new services, has injected a fresh wave of competition into the market. This increased competition not only translates into more competitive ocean freight rates but also leads to more frequent vessel calls and a greater availability of container equipment,” he said. Moreover, the logistics landscape has seen notable improvements, with the construction of state-of-the-art warehousing facilities in and around Beira. These modern warehouses offer increased handling capacity, enhancing the efficiency of cargo operations and storage.One pivotal development that has transformed the logistics landscape is the construction of a new road linking Zimbabwe and Beira. This infrastructure upgrade has significantly reduced transit times, resulting in quicker cargo deliveries and a reduction in transit-related damages. These positive changes are indicative of a logistics sector in rapid evolution, poised to meet the growing demands of Zimbabwe's export and import industries.Agricultural investmentsAnother positive development has been the significant agricultural investments in avocados and macadamias thanks to the region's ideal climatic conditions. “As these investments begin to yield results, additional funding will be required to establish a robust cold storage infrastructure for avocados, facilitating exports directly from Beira rather than relying on the current route via South Africa,” said Jahme. “The South African route, due to its distance and a shortage of refrigerated trucking, is ill-suited to accommodate the anticipated surge in volume. In contrast, Mozambique stands out as a more secure option, thanks to its political stability and enhanced security measures. Furthermore, the increased vessel calls have introduced more f lexibility in terms of rate offerings and transportation options, enabling faster movements and greater availability of container equipment.”He said legislative challenges linked to a lack of communication between various governmental departments remained a stumbling block in the country, adding costs to the logistics chain. Border congestion remained problematic, particularly at the Machipanda/Forbes border which has been unable to handle the massive volume increases, particularly in relation to minerals, such as lithium.

Sign up to our mailing list and get daily news headlines and weekly features directly to your inbox free.
Subscribe to receive print copies of Freight News Features to your door.

November 2023 Compendium

View PDF
November 2023 Mozambique 15Economic growth and infrastructure developments pave the way for business opportunities
13 Nov 2023
ISO tanks offer ‘green’ alternative
13 Nov 2023
Tailored solutions meet specific requirements
13 Nov 2023
Safety enhanced for goods in tank containers
13 Nov 2023
SA lags behind in training
13 Nov 2023
Investments in solar installations and generators driving up costs
13 Nov 2023
AMI doubles capacity at OR Tambo
13 Nov 2023
Smart solutions keep prices competitive
13 Nov 2023
Global trade downturn leads to sluggish demand for warehousing
13 Nov 2023
Concerns around job displacement ‘legitimate’
13 Nov 2023
Analytics identified as upcoming trend
13 Nov 2023
Shifting e-commerce landscape has major impact on the sector
13 Nov 2023
  • More

FeatureClick to view

Sea Freight May 2025

Border Beat

The N4 Maputo Corridor crossing – congestion, crime and potholes
12 May 2025
Fuel-crime curbing causes tanker build-up at Moz border
08 May 2025
Border police turn the tide on illegal crossings
29 Apr 2025
More

Featured Jobs

New

Junior Finance Manager (SAICA)

Tiger Recruitment
East Rand
14 May
New

Sales Co-Ordinator

Lee Botti & Associates
Cape Town
14 May

Estimator

Switch Recruit
Cape Town
12 May
More Jobs
  • © Now Media
  • Privacy Policy
  • Freight News RSS
  • About Us
  • Advertise
  • Send us news
  • Contact us