InfraCo Africa, part of the Private Infrastructure Development Group in London, and Grindrod Limited have announced the development of a pioneering new freight ferry service route to transport goods to designations bordering Lake Victoria.
The firms have commissioned SECO Marine (U), an affiliate company of Mombasa-based Shipyard, Southern Engineering (SECO), to build a 96m-long purpose-built roll-on/roll-off ferry.
The new ferry service is expected to boost trade by cutting freight truck transportation times by more than half and to dramatically reduce CO2 emissions.
For those transporting fresh produce, a direct route across the lake will prevent spoilage, enabling producers to cut waste and retain the value of their products.
The service is expected to become operational in 2024.
InfraCo Africa CEO, Gilles Vaes, said the firm was “delighted” to partner with Grindrod because of its “deep knowledge of African trade flow” and it had confidence in SECO’s shipbuilding expertise.
“By bypassing congested road networks, EAMT’s scheduled marine freight service is expected to prevent approximately 130 000 tonnes of CO2 equivalent emissions each year, whilst opening up trade and promoting economic development in the Lake Victoria Basin and the wider region,” Vaes said.
In the countries bordering Lake Victoria, the majority of existing freight is transported by road, with journeys around the lake taking three to four days. Privately operated freight transport across the lake is currently undertaken only on an ad hoc basis, with smaller vessels sailing only when they are full. This approach has economic and opportunity costs for businesses, particularly those working with time-sensitive cargo.
Grindrod CEO, Xolani Mbambo, said the aim was to provide customers with efficient and cost-effective routes to market for their cargo.
“This solution will unlock economic growth in the region through a scheduled marine freight service offering, significantly improving time to get goods to the market. It will also bolster Grindrod’s existing presence in East Africa in line with our objective to grow in this region. We are privileged to be an operational partner of InfraCo on this initiative,” Mbambo said.
