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Transnet looking for Eastern Cape rail partnerships

04 Jun 2025 - by Ed Richardson
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Commodity exporters and shippers moving containers and vehicles through Eastern Cape ports will need to invest in rail infrastructure, or be ready to commit to supporting a private operator if they want to be globally competitive in terms of logistics costs and carbon footprint.In March 2025, Transport Minister Barbary Creecy issued a request for information (RFI) to interested and affected parties in potential private sector participation in rail and port freight logistics projects.Transnet reported a net loss of R7.3 billion for its 2023/2024 financial year after a R5.1bn loss in 2022/23, largely due to increased finance costs.Rail volumes fell from 226.3 million tons in 2017/18 to 151.7 million tons in 2023/24 due to derailments, inefficiency and infrastructure damage.There are a number of projects planned, including Project Ukuvuselela, a R7bn high-capacity rail corridor between Gauteng and the Eastern Cape, specifically tailored to the needs of the automotive sector. Eastern Cape RFI projects listed by Creecy cover commodities and goods.Long delayed is the “pit-to-port rail, port and terminal infrastructure, and equipment” to support the export of manganese from Hotazel and Postmasburg to the ports of Port Elizabeth and Ngqura in Nelson Mandela Bay, “and the back-of-port arrangements”.The inclusion of the Port of Port Elizabeth means that moving the manganese dump to Ngqura will continue to be delayed.The intermodal supply chain includes the “port, container and automotive port terminals, back-of-port arrangements, and railway and inland terminals for the Gauteng – Eastern Cape (East London, Port Elizabeth, Ngqura) corridors”.Submissions closed on May 9. ER

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