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Volumes at Beira trending upwards

04 Jul 2024 - by -
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Cold chain volumes in southern Africa are rising as capacity improves and the sector attracts more investment.According to Marco Grobbelaar, general manager at Independent Beira Logistics Terminals and Services (IBLT&S), the Beira corridor, in particular, is experiencing an increase in volumes. Factors such as its competitive landside operations and ocean freight rates compared to surrounding ports are contributing to this growth. Additionally, the import volumes of fertilisers and the expectations surrounding them play a significant role."IBLT&S now offers 30 reefer connection points, with two dedicated areas in our expansive 130 000m2 yard for these operations. Currently, our focus is on handling frozen imports destined for Zambia and the Democratic Republic of the Congo," he said. "Regarding exports, our emphasis lies in providing seasonal supply chain solutions to customers, particularly for citrus, avocado, and similar products. This includes ocean freight logistics, where products are either transported in ambient conditions to Beira for packing, monitoring, clearance, and export, or packed in reefers at the farm, transported to Beira, stored, cross-packed at IBLT&S, and then exported."He said the biggest challenge was still equipment availability. "There is still a shortage of controlled atmosphere (CA) containers for said products," he said, indicating that despite increased investment, more was still needed.The United States International Trade Administration reiterates this, finding that Mozambique's underdeveloped cold chain infrastructure compounds issues around food waste and food security, leading to a loss of market opportunities. "There is a significant need for the development and implementation of cold chain logistics to enhance maintenance, transportation, storage, and handling, together with training and management in standards and best practices," reads a report on the agricultural sector.Grobbelaar said there were numerous opportunities for increased volumes for Mozambique, despite the challenges."The country offers shorter transit times to the Middle East, which is a rapidly growing market for agricultural products," he said. "Specifically for Beira, there is an opportunity to further develop as a potential hub for cold chain movements. This is due to its proximity to major agricultural export regions in the hinterland, resulting in shorter inland transit times from farms to the port."He also noted that new shipping line services, such as Unifeeder calling at Beira port, contributed to competitive ocean freight rates."The potential restrictions of bans of certain cold chain products into and out of other ports is benefiting Mozambique, which is very accommodating, providing the necessary inspections and permits are in place."Grobbelaar said that, in light of this, they were highly optimistic about their outlook for cold chain products."We are very optimistic about the growth we've seen and expect further increase in demand."

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Cold Chain Logistics 5 July 2024

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