Despite the difficult economic climate, Transgroup Logistics has expanded its operations to meet the demand for transport and warehousing facilities in the Port Elizabeth area. Managing director Kerwin Naidoo said the BBBEE Level 1 firm, which offered road and rail transport with depot solutions, had recently opened a branch and warehouse in Deal Party in Port Elizabeth, mainly to service its customers in the automotive sector and in the general cargo business. The branch comprises 9700 sqm of under-roof space, of which 5000 will eventually be customs bonded, and 10 000 sqm of yard space, opened on November 1. Wendall Harts, who has extensive experience in the warehousing sector, has been appointed PE branch manager. “We decided to diversify our business to align with the needs of our customers who ship goods through various ports in South Africa,” Naidoo said. “We wanted to have a presence in PE so that we can facilitate services for shipping lines and their customers to expedite cargo that is transported to local automotive manufacturing plants in the area. We are seeing demand for consistent volumes of automotive parts by manufacturers,” he said. The warehouse is located 8.6km from the Port of Port Elizabeth and 18km from Coega industrial development zone and port. The secure warehouse has 24-hour security with armed response and is protected by CCTV surveillance cameras and high-voltage electric fencing. “We control the risk while cargo is under our care and one of our main areas of focus in PE, apart from warehousing will be to grow our distribution services,” Naidoo said. The company will continue to service the Durban-Johannesburg route. It has a separate warehouse facility in Germiston that concentrates on bulk mineral handling. Naidoo said that importers, exporters and transporters were feeling the impact of congestion in the Port of Durban, which needed to be addressed urgently. “Port congestion is damaging the flow of cargo to the manufacturing plants and there are a lot of vessels bypassing certain ports in SA. It is costing us a lot of money having trucks sitting at the port, with delays costing us overtime and the cost of running the vehicle. No one sees costs incurred when trucks sit there. It throws planning off immediately,” he said.
INSERT: We are seeing demand for consistent volumes of automotive parts by manufacturers. – Kerwin Naidoo