State-run Thai line could alleviate capacity shortage on SA route

AS CAPACITY constraints
continue to drive up freight
rates on the SA – Thailand
route, the idea of a staterun
Thai shipping line has
been mooted as a possible
solution.
South Africa is Thailand’s
biggest trading partner in
Africa accounting for one
third of Thai trade with the
continent.
“South Africa is far from
Thailand and unfortunately,
there is no national ocean
line,” Adisai Dhummakupt,
commercial minister for
the Royal Thai Embassy
based in Pretoria, told
FTW. “A state-run carrier
would need to be a direct,
dedicated line as trade
between the two nations is
currently reliant on other
lines that tranship via
Singapore.”
Trade between the two
nations topped US$1.4bn
(R9.8bn) in 2006, with
year-to-date growth up
28% over the same period
last year. Automotive
components and
accessories have overtaken
rice as the main export to
SA, says marketing officer,
Martin Wolter-Grossman.
He believes synergies
exist between SA and
Thailand that facilitate
a beneficial trade
relationship. “But still
the main problem is
the number of vessels
moving between the two
countries.”