'We intend to resurrect it when conditions are right'
THE FREE market in fruit exports (termed "free-for-all" by some) was bound to come up with some casualties.
One of these was the Rainbow Shipping joint-venture between the United States Reefer Express line
and a black empowerment group
led by Siphu Mahlele Investments.
This was intended to employ five newbuild, 12 000 ton bulk fruit carriers, offering a weekly schedule - and competing with the major lines already contracted to Capespan, which in itself still controls the export movement of more than 70% of SA's deciduous and citrus fruit exports.
But a lot hinged on Rainbow getting a big share (about 30%) of the current export market. This in a hoped-for, empowerment-encouraging deal with the PPECB (Perishable Products Export Control Board) - the body which controlled fruit export shipping allocations pre-deregulation.
"The Rainbow Shipping venture is in limbo," said Lionel Jacobs of Siphu Mahlele, "although we intend to resurrect it when conditions are right.
"This was due to the changes in the government departments and the fruit export industry, and the extremely poor rates in international shipping at the moment."
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