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Freight & Trading Weekly

Helping to save on repositioning costs

09 Nov 2016 - by Liesl Venter
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Container sales and rental

specialist Speedspace

Botswana has embarked

on a diversification strategy

in light of the slump in the mining

industry.

Founded in 1993, the company

has for the past two decades focused

on the provision of a variety of

pre-fabricated buildings to the

Botswanan market, mostly to the

mining and

construction

sectors.

“With the

recent, and

significant,

downturn in the

mining sector in

Botswana we have

been exploring

diversification

avenues to

broaden the revenue base and

leverage existing infrastructure to

take advantage of new opportunities,”

said director Barron Charsley. “The

two recent and most significant

developments come in the form of

offering shippers own containers

(SOCs) to importers to reduce total

freight costs, and the option for

transporters to now lease containers

for cross-border use.”

According to Charsley, the SOC

business developed by Speedspace

affords freight forwarders and

importers the opportunity to take

delivery of an empty container at

the nominated port of load (with

Speedspace currently able to

offer containers at more than 115

different container ports globally),

to be used at a nominal cost when

shipping cargo into Botswana. Once

discharged and unpacked, the empty

containers can be turned in to the

Speedspace depot in Phakalane,

Gaborone.

“The net effect of this is that

importers no longer need to unpack

in South Africa for onward delivery

to Botswana, nor are they having to

pay demurrages, empty turn-in or

container repositioning fees,” he said.

The cross-border rental business

is not dissimilar to the SOC business

but allows truckers

and transporters

in southern Africa

to lease containers

from a variety

of depots in

Botswana, South

Africa, Zambia,

or Tanzania and

utilise them for

carrying cargo.

Although this

offering has been available for many

years, the significant difference in

what Speedspace was offering was

the option for clients to off-hire

containers in countries other than the

country in which they were on-hired,

explained Charsley.

“As an example, should a client

have cargo moving from Gaborone

to Kitwe, they are able to rent a

container from Speedspace in

Botswana and turn the empty

container in to Kitwe once

discharged.

“The Botswana economy is not in a

good state at present abd we envisage

a tough 12 months ahead. We believe

that unless companies are inventive

about the way they do business the

prospects for sustained growth

remain limited,” said Charsley.

INSERT

Importers no longer need

to unpack in South Africa

for onward delivery to

Botswana.

– Barron Charsley

CAPTION

Speedspace offers clients the option to off-hire containers in countries other

than the country in which they were on-hired.

 

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