Modal shift becoming more crucial than ever – Havenga

The road freight sector must
increase its engagement with
the country’s rail operator
if a more efficient transport
market share is to be achieved.
According to logistics
expert Professor Jan
Havenga of the University of
Stellenbosch, the only way of
addressing ever-increasing
logistics costs in South Africa
is through improved modal
market share.
“Half of the cost of anything
we see in South Africa can
be attributed to logistics,” he
said.
With the bulk of all freight
in the country on road,
Havenga has consistently over
the years called for a modal
shift incorporating more rail.
“If we look at what we
export then it is mostly
minerals – rocks and dirt.
Now I am not saying that
we should not export our
minerals - but we could be
beneficiating far more. If we
are not going to do that then
we have to look at how we
move these exports out of the
country. Doing it on road is
not efficient,” he said. “Freight
for South Africa is forecast to
almost triple in the next 30
years. The road system will
simply not be able to handle
it.”
“The rail system in South
Africa has many challenges
but efforts are under way
to create a more enabling
rail environment. I am very
encouraged by what I see
despite the challenges. There
are some people working
very hard to fix the railway
system,” said Havenga. “There
are challenges for the road
sector as well. Road and rail
need to work together.The
roadfreight industry needs
to be more patient with
Transnet while they have to
understand the tariff system
better. Engagement has to
happen between road and
rail, government is not going
to do it for you. Road and
rail will have to work and
find the solutions to a better
environment together.”
He said the increased
memoranda of understanding
being signed between
logistics operators and the
railways were a positive move
forward for logistics in South
Africa."
INSERT AND CAPTION
People are working
very hard to fix the
railway system.
– Professor Jan Havenga