Mega expansion of Durban warehousing facility
RAY SMUTS
GROWTH IS often accompanied by change and so it is with SACD Freight’s Durban warehousing operation, in the midst of large-scale expansion to focus on the handling of full containers.
It’s all part of the company’s new logistics emphasis, moving away from empty container storage and into the value-added business arena.
And with its facilities strategically situated in the back yards of the major ports, it makes logical sense.
"In the past empty container storage accounted for around 50% of our business," says marketing director Geoff Popple. “We were storing empty containers on behalf of shipping lines for periods of up to 20 days.
"Our business now is to pack empty containers on the outward link,” says Popple, “although we will continue to provide empty container storage on a limited scale for our cargo customers.
“What we would like to do with the blessing of the shipping lines, among our major customers, is take their containers, put them through our Durban system and repack the cargo."
The bulk of SACD's 5 000 empties has been absorbed into the system within the port, leaving only 1 500 containers to feed the four pack stations. The company used to handle around
300 000 empties a year nationwide, but that number has been halved and will in Popple's estimation decline to around 100 000 by next year.
SACD's Durban warehouse, occupying a prime 13ha site within the port, is in the midst of an 11 000m2, R20 million expansion which will increase floor space to
33 000m2.
“There’s huge demand for warehousing space in Durban, and the new facility has attracted strong interest,” says managing director Graham Peinke.
“With warehousing space at a premium and rental rates matching the supply/demand ratio, the premises will be taken up on a first come, first served basis.”
The company's expansion is by no means confined to Durban as 5 000m2 has just been added to the Johannesburg warehousing operation at a cost of
R5 million.
The biggest project requiring an investment of
R56 million, will involve
20 000m2 of warehousing on 13ha of NPA-leased land in Paarden Island outside Cape Town.
Situated just 800 metres from SACD's existing facility in the port, the new world class warehouse due for completion by mid-2006, will be tailored specifically to meet the requirements of the wine, canned fruit and fruit juice industries.
"If you are not in fruit and wine products in Cape Town you are not a player,” says Popple.