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Swazi Rail looks at creating demand to grow the business

25 Feb 2010 - by James Hall
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Whether countering a challenging
economic climate that has seen
a decline in cargo shipments
or anticipating a more robust
business environment, Swaziland
Railway operates under a proactive
philosophy espoused by CEO Gideon
Mahlalela, past president of the
Southern Africa Railway Association.
The key is to encourage development
of new industrial sectors that when
established can use rail for transport.
Under the previous more passive
approach, clients would come with
orders to move cargo, and the rail
line would work to accommodate the
demand, acquiring new equipment or
expanding routes as needed.
“I’m doing it differently. I’m
trying to create demand. Local or
transit, wherever it comes from. I
look at opportunities where they may
be, and work to make those happen,”
Mahlalela says.
As an example, he mentions
Swaziland’s large coal deposits.
The mineral is most economically
transported by rail. Indeed, all of
Swaziland’s coal is exported, directed
to Mpumalanga on Swaziland
Railway trains.
“Coal deposits in Swaziland are
one and a half billion tonnes. This is
a large amount of material that can
be transported.
To make such new business
a reality for the rail company,
Mahlalela is working with
government and private sector
players on initiatives to get the
mineral out of the ground.
Other countries’ rail systems
should adopt a proactive strategy that
seeks out new opportunities, in part
to correct the region’s over-reliance
on road transport, he said.

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