‘Rates have been one of the biggest casualties’

A recession can create just as much
opportunity as it can challenges, says
CronTrans group CEO Henu Cronje.
With innovation and effectiveness
at play, along with a positive attitude,
he says, companies such as CronTrans
and others do not have to be wiped
off the map just because of a global
downturn.
Having been involved in transport
and logistics for the past 19 years,
the company offers a diverse range
of services from transportation
and materials handling to logistics
management.
“With the recession northbound
volumes dropped dramatically from
February until recently,” says Cronje.
“But it does seem to be slowly picking
up. One of my biggest concerns has
however been the effect on rates. We
have continuously had to revise rates
just to keep business as competitors
were dropping rates as a way of
staying busy. The pressure on the
mining industry to cut costs also
played a role. At this stage I don’t
know when, if ever, the rates will be
back to ‘normal’.”
Cronje says while volumes and
profit have been low during February
to May this year, there has been a
stabilisation during June and the
figures are slowly climbing.
“During the past few months we
have actually acquired various new
customers and expanded our current
customer base.”