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Trade imbalance drives up costs

05 May 2025 - by Liesl Venter
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With increasing copper production and demand for critical minerals, Walvis Bay is solidifying its role as a key logistics gateway for the Copperbelt region. “We’ve seen a sharp rise in enquiries for cargo movement through Walvis Bay – minerals outbound for export and reagents inbound for Copperbelt mines,” said Kevin Changoo, director at Pindulo Logistics.To support this growing demand, Pindulo Logistics has expanded its operations, opening back-of-port consolidation facilities and implementing an automated weighbridge system. “These upgrades allow us to warehouse mixed loads from multiple customers, dramatically reducing turnaround times,” he told Freight News. This surge in activity aligns with Zambia’s ambitious strategy to ramp up copper production to three million tonnes by 2031. “There’s a clear shift from ad hoc shipments to contractual, just-in-time transport models, underpinned by digital tools such as realtime telematics and automated documentation,” said Changoo. “Rising demand for critical minerals like copper, cobalt, zinc and lithium is accelerating investment in mining, exploration and transport infrastructure. The shift is reshaping freight logistics across the reg ion.”He said persistent congestion at the Kasumbalesa border, power shortages in Zambia limiting mine output, poor road and rail infrastructure, as well as security risks, remained a major challenge. “There is also still an imbalance between outbound exports and inbound freight volumes that continues to constrain efficiency and drive up costs.”But, said Changoo, the region’s aggressive copper expansion targets were creating opportunities. “There is sustained demand for integrated logistics solutions. By consolidating mixed loads and offering both bulk and breakbulk capabilities, we can capture growth in mineral exports while supporting inbound reagent f lows – delivering cost efficiencies and improved cashf low management for producers and traders,” he said.Changoo added that volumes were constantly increasing, driven by surging global demand for green energy minerals. “Our Copperbelt operations have completed 7 456 crossborder trips, covering 15.8 million km and 14 244 border crossings, with copper alone accounting for 6 788 trips.”He said the outlook was extremely positive in light of growing demand and Zambia’s push to triple copper output by 2031. Mines were actively expanding, and with strong commodity pricing, it was creating a robust growth trajectory. “Continued infrastructure upgrades will further support trade f lows and cement the Copperbelt’s role in global supply chains.” In all of this, infrastructure expansion remains critical, not just from a company perspective but also across the region. “Namport’s installation of new shore cranes has accelerated vessel turnaround and contributed to a record eight million tonnes of cargo being handled in the 2024 financial year,” said Changoo. “Despite road and rail gaps and Kasumbalesa congestion, the investments being made by the public sector and the private sector are making a difference and reducing demurrage, lowering costs and reinforcing Walvis Bay as the preferred export gateway.”He said there was a definite commitment to continuous improvement. “We are busy with tailend discussions to provide practical solutions to producers and traders, ensuring faster turnaround, lower costs and greater reliability for all stakeholders.” LV

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