Transport bottlenecks stand in the way of proposed City Deep IDZ

INEFFICIENCES AT City Deep and Kazerne should be addressed before any moves are made to finance an industrial development zone south of Johannesburg, says development zone co-ordinator Sipho Mhlongo. "If it is approved, it could be a waste of both time and public money," he said. "Bottlenecks and inefficiency at South African ports and within Gauteng's own transport infrastructure demand a rethink of the whole project." The proposed zone would include the Kazerne terminal and is intended to play a critical role in the province's economy as a hub for rail and road services in the national export drive. Currently about 40% of all cargo exported through Durban comes from these two inland ports. "Research conducted by ourselves and the private sector has indicated that the cost and reliability of transport is the major concern for Gauteng-based firms who import and export goods through coastal ports," says Mhlongo. "There may not be a case for developing the zone in view of the bottlenecks, which are a deterrent to investors. "Our research shows that the zone is unlikely to fundamentally improve the prospects of the area and the growth potential of the province in a sustainable manner, owing to the inefficiencies at the two inland ports of City Deep and Kazerne, and associated services of the transport and logistics sector. "It has become clear that there needs to be a substantive effort to increase the effectiveness of these two ports and the transport and logistics sector. This will enable firms in Gauteng to import containerised inputs and move containerised goods to harbours for export more cost effectively," said Mhlongo.