The evolution of the shipping industry as we know it

By introducing its small

ro-ro containership

Voorloper on the local

coastal trade in 1971,

Durban-based Unicorn Lines

pioneered the swing to full-scale

containerisation of South African

shipping services.

The extensive infrastructure

associated with containerisation

– terminals, depots, land

transport networks, vast computer

systems and the finalisation of

the associated documentation

procedures – was being developed

to operate the complex container

system.

Representatives of shipping

lines and the port authority

travelled extensively within

southern Africa to acclimatise

clients to the new system. Thus,

much of the preparatory work

had been done when Safmarine’s

SA Morgenster berthed at Cape

Town’s semi-completed container

terminal on 1 July 1977. She landed

one 20-foot container and then

returned to her discharge berth

to complete cargowork. That

symbolic operation marked the

official inauguration of the South

Africa-Europe Container Service

(SAECS).

Before the end of that year, the

first of three 1310-TEU custombuilt

containerships, and Table

Bay, the first of nine 2500-TEU

containerships built for the

South African service arrived.

Safmarine’s SA Helderberg

followed in January 1978, the first

of the four “Big Whites” that would

operate on the trade for more than

30 years.

Unicorn expanded its coastal

container service, initially with

four Durban-built Trampco-class

vessels and later with two small

containerships to act as feeder

ships for SAECS.

By 1981, the Far East service –

“Safari Service” – had also been

containerised and the US service

followed as well.

The troubled 1980s in South

Africa affected shipping. Apart

from widespread anti-apartheid

protests, President PW Botha’s

“Rubicon” speech in 1984 brought

great despondency as many had

believed that

he would signal

apartheid’s end

and the release of

Nelson Mandela.

Instead, the

speech plunged

the country

into greater

crisis. The rand

tumbled in value

against foreign

currencies

and the country faced serious

financial difficulties caused by

stricter trade sanctions. As cargo

volumes declined, shipping lines –

particularly those operating from

South Africa to North America

and Europe – felt the effects as

disinvestment and other trade

sanctions took effect.

February 1990 saw radical

political changes in South Africa

with the unbanning of several

political organisations, and later,

the announcement that Nelson

Mandela would be released

from prison. A groundswell of

hope improved the country’s

economic welfare and as trade

sanctions disappeared after

1994, trade escalated, bringing

new containership operators to

South African ports, and boosting

existing services.

Containerisation enabled

vast amounts of cargo to be

moved extremely efficiently,

but it required global transport

networks involving feeder service

networks that dovetailed with

trans-continental

logistics systems.

To achieve

greater efficiency

amid increased

competition

and rising costs,

even the largest

shipping lines

had combined

their systems,

expertise and

assets with those

of others to form huge consortia

offering clients global door-to-door

services. Numerous shipping lines

– including the once-giant P&ONedlloyd

group – were swallowed

into these consortia; some others

simply stopped operating.

The need to operate within large

partnerships affected Safmarine.

Although it had tried to move

into complex European logistics

networks by acquiring a Belgian

shipping company, a further

restructuring of the company in

1999 saw Copenhagen-based A P

Moller buy Safmarine’s container

division. Despite local misgivings

that the doyen of South African

shipping had passed into foreign

hands, and it headquarters moved

first to Antwerp and then to

Copenhagen, its fortunes improved

markedly.

New, larger vessels with greater

reefer capacity for the carriage of

larger volumes of containerised

perishable cargoes replaced the

30-year-old 2500-TEU “Big

Whites” and other older vessels,

and as shipping boomed in the

wake of rapid Chinese economic

growth, Safmarine ships carried

good cargoes at favourable

freight rates. Some of the whitehulled

ships were transferred to

Australasia-Asia trades where their

reefer capacity moved meat and

fruit to the huge Asian markets.

The combined effect of the

credit crunch and the flattening of

the Chinese economy from 2007

reduced demand for cargo slots and

therefore freight rates dropped, a

trend that was aggravated by the

introduction of numerous larger

ships. Safmarine was not exempt

from the slump in rates.

In 2016, Safmarine symbolically

moved its head office to Cape

Town, and although its structure

and role had changed since it

became part of the AP Moller

Group, the South African shipping

community welcomed this move.

The familiar brand with its unique

cursive logo had returned home

where it had begun operations

seventy years earlier.

Containerisation required

global transport networks

involving feeder service

networks that dovetailed

with trans-continental

logistics systems.

Korean-built Safmarine Mulanje represented a class of larger vessels that were introduced to the company’s fleet in 2007. Photo: Brian Ingpen