As the logistics industry counts the cost of the violence of the past few days – which has seen the closure of the Port of Durban and parts of the N2, N3 and N4, and destruction of trucks, their cargo, shopping malls and distribution centres - the South African Association of Freight Forwarders (Saaff) has called for a collective response from the private sector to the situation at hand.
The organisation is busy formulating a seven-point plan to restore normality and enable supply chains to continue functioning. “It focuses on securing the N2, N3, N4 and our harbours. Cargo needs to move. Balance needs to be restored to the import and export of cargo, and fluidity needs to be factored back into the system. Essential cargo needs to be prioritised. Our plan addresses these elements,” says Saaff chairperson Dr Juanita Maree.
“Saaff is appealing to all key stakeholders to play an active role in restoring South Africa's crucial trade lanes along the main transport corridors of the N2, N3 and N4. We call on communities to come forward with any footage, drone footage or contacts of the looting and criminal activities that will help identify those involved. The perpetrators and instigators of these criminal acts need to be brought to book,” says Maree.
What must be done
There is an urgent need to protect our commercial ports as key national areas of interest, since they are the main arteries funnelling essential goods into our country, she adds. “At this critical juncture, it is vital for cargo to move, as further delays will not only deplete supplies, but will create further congestions, imbalances, and ultimately cost for all involved – especially the end-consumer, who can ill afford it at this critical moment. The ensuing shortage of goods will only worsen an already compromised food security situation.”
South Africa’s transport corridors need to be preserved, she adds. “They are of huge importance, especially for increasing trade between countries and cities along and around the corridors and accelerating regional development and regional integration through their effects on commodity markets, the labour market and tourism.”
For supply chains to operate, the national highway corridors and our harbours need to be able to move cargo safely and securely.
Saaff believes its role is to guide its members, share verified, good information, and bring solutions to the table that are relevant for supply chain architects. “To do this, we need to work together with all role-players in the supply chain.
“Hard lessons were learned during lockdown 5 and we do not need a repeat of regulations that attempt to impose artificial restrictions on the natural flow of cargo, such as the ill-fated attempt to define ‘intended destinations’.”
And while the events of the past few days may be front and centre in South Africa, they will reverberate far beyond South Africa’s borders, says Federation of East and Southern African Road Transport Association (Fesarta) CEO Mike Fitzmaurice: “What has happened in South Africa in this last week has also impacted hugely on other landlocked countries in the SADC region who rely heavily on South Africa for imports of fuel, groceries, pharmaceuticals, mining equipment/spares, vehicle spares, tyres and much more. Those countries that have used South Africa as a transit route for exports through the Port of Durban will now turn to alternate routes for exports such as Walvis Bay, Beira, and Dar es Salaam.”
This was also bad news for South Africa’s global image, he added. “We are likely to see some large-scale disinvestment in the country, as in the apartheid era. We can expect to see further downgrades to our junk status by the likes of Moody’s, Fitch, and Standard & Poor’s in the short term, and the rand is likely to breach the R15 to the dollar very soon.”
