Partnerships keep economic growth on the boil

PARTNERSHIPS between private
enterprise and the parastatal
Mozambique Ports and Railways (CFM)
are fast-tracking the revitalisation of
Mozambique’s logistics infrastructure.
According to director in the
CFM Office for Communication
and Image, António Libombo,
it was decided to enter into
strategic partnerships because
“we as a country do not have
enough capacity to invest in the
infrastructure”.
The agreements are for 15 to 25
year concessions on rail, road and
port operations.
It has taken a while for business
and government to learn how to
work together, but now the talk is of
millions of dollars of investment that
is opening up the length and breadth
of the country. Both the Mozambican
economy and that of its neighbours is
benefiting, as can be seen by growing
volumes of traffic through all of
Mozambique’s ports.
According to Libombo, the first
concession was Maputo’s sugar
terminal in 1993, followed by the
Matola coal terminal and the fruit
terminal in 1994, with the container
terminal being privatised in 1995.
In 2003, the last of the ports
and railways under CFM’s control
was concessioned. CFM retains a
share in most of the new companies
which were formed to run the
various concessions.
Partners include companies
from Sweden, India, Denmark,
South Africa, Zimbabwe, Britain,
the Netherlands, Portugal and the
United States.
One of the most exciting new
developments is the reopening
of the rail link between Beira and
Zambia, which has been closed
for more than 23 years as a result
of the civil war. The World Bank is
assisting with the funding of the
rebuilding of the line.
It will open up Mozambique’s
Zambezi Valley for development.
“This is one of the richest areas
in Mozambique, with coal mines,
agriculture and other resources,” he
says.
Coal exports through Beira are
expected to start at four million
tons a year, with potential for 14
million tons a year.
Nacala is also mooted by some
as a port to serve the coal mines
due to its proximity and natural
draught of 30 metres. Beira, with a
draught at the entrance channel of
just 2.5 metres, has to be dredged.
The dredger, which is expected to
arrive next year, will be shared with
Maputo which will also be deepened
to cater for post-Panamax vessels.
Another plan is to build a quay
kilometres into the Indian ocean.
Nacala is, however, the harbour
that will serve the “corridor de
noord”, which will serve Malawi,
northern Zambia and the
Democratic Republic of Congo.
In addition to rehabilitating the
rail links, CFM and its partners are
investing in rolling stock. Some 45
locomotives are being refurbished,
while 10 new units are on lease
for three years from the Indian-led
consortium which is working on the
Beira-Zambia line.
Wagons are also being refurbished
or purchased.