TRF still pursuing rivate sector relationships

While Transnet Freight Rail’s (TFR) memorandum of understanding (MoU) with Imperial Logistics –signed in October 2013 – “has collapsed for now”, the state-owned operator is still pursuing private sector relationships with other major logistics players, said Elvin Harris, executive manager: strategic knowledge at TFR. Speaking at the Special Interest Group (SIG) Transport Forum in Johannesburg earlier this month, Harris said that while TFR was primarily focused on moving ‘rail-friendly cargo’ back to rail, it was also prioritising relationships with other modes of transport to look at where value could collectively be added. He did not disclose why the Imperial Logistics MoU had collapsed, citing only “differences in approach” and commenting that it “takes a long time to iron out issues”. TFR’s partnership with Barloworld Logistics – signed shortly after the Imperial one in October 2013 – is going well by all accounts. “We have made lots of positive changes and will make an announcement around the partnership progress very soon,” said Kate Stubbs, marketing executive for Barloworld Logistics. “We see this as an excellent opportunity to offer our clients and the wider SA market access to rail solutions as part of their supply chain strategy and optimisation targets,” she added. Smart supply chains are no longer about rail versus road but instead are about collaborating to provide the most reliable, cost-effective option for the customer, she said. “We have realised that as private sector players we need to look at different returns and different business models to create the most competitive business strategies.”