Mines keep freight moving – even through the recession

Because “mines can only stop for so long,” Zambian freight business helped drive abnormal and heavy freight specialist Cargo- Tac through the recession, says managing director Kevin Wessels. The company moves copper concentrate and cobalt out of the Copperbelt, with machinery, abnormal loads and “yellow goods” such as earth movers and front end loaders on the northbound trip. “Even during the recession, mines still have to spend money. Equipment still needs to be replaced,” he says. Clients proved to be “very loyal” through the downturn even though a drop in freight volumes has sparked a spate of price-cutting in the market-place. “Luckily our clients understand you can only cut rates for so long. Service is going to give, the reliability of the vehicles is going to give. As an owner, you have to decide how far you are prepared to cut rates before you start compromising on your service and reputation. Wessels believes the focus on maintaining levels of service by continuing to invest in “maintaining our vehicles 100%,” and the upgrading of the company’s fleet have kept the wheels moving. “Clients understand that service comes first. We are open with our clients, and explain why we can’t afford to cut rates further,” he says. Additional services offered by Cargo-Tac include insurance, container packing and storage, project cargo and freight forwarding. Cargo-Tac is one of the first transport companies to start moving to live satellite tracking, which has helped improve the security of loads, says Wessels. “Unlike GPRS tracking, satellites are in real time. They are more accurate, and the system does not go down. “We have not had a hijacking for the past four years,” he says. Wessels is optimistic about future prospects for Zambia. In addition to the revival of the traditional copper and cobalt mining operations, he says there are signs of a revival of Zambia’s gold mining sector. Zambia produces limited quantities of gold, and mining companies have announced that they are investing in operations on the central Matala Dome deposit. “We have moved up winch winders, which means that mining companies are going underground, and going deeper. You don’t do that for copper,” he says.