Import growth continues to drive up warehousing demand

KEVIN MAYHEW
THE DEMAND for warehousing space in Durban continues unabated despite the addition of thousands more square metres of facilities to meet demand, according to the managing director of Bidfreight Port Operations (BPO), Jannie Roux. In the past year BPO alone has increased its warehousing capacity by 12 000 m2 with the construction of a new facility in Maydon Wharf Road at a cost of R23m. In the Durban port area, BPO now provides some 100 000 m2 of undercover warehousing space – up 14% on last year. In the previous year the company had anticipated the demand for more A-grade warehousing capacity and purchased two existing port side undercover warehouse facilities which it adjusted to its needs. “We have weathered the storm of a stronger rand and its impact on exports. There is major growth in imports at the moment that represents the positive effect of the weakened currency for our industry. These imports are driving a huge demand for containers and the industry is being called upon to meet that demand,” he explained. The new customised facility is a dedicated warehouse to handle BPO’s more traditional business of pulp and paper exports. Commenting on the immediate operating environment, Roux says that high commodity prices will sustain demand for bulk products through the port despite the stronger rand and increased containerised imports will meet the demand for competitive consumer products within the southern African region.