Namport’s investment in a new container terminal in the port of Walvis Bay has given fresh impetus to Namibia’s plans to be the gateway for the movement of cargo between its neighbours and the rest of the world, according to Clive Smith, acting chief executive officer of the Walvis Bay Corridor Group (WBCG). Smith, who also heads up the WBCG Logistics Hub, told FTW that the WBCG had been tasked by government to implement the recommendations in the Namibian master plan for the development of an international logistics hub for SADC countries. The plan states “Namibia should make the most of its
geographical advantages and streamline the whole logistics system by shortening the lead time for cargo transit and reducing the handling cost in freight transport. “It is possible for Namibia to have an international competitive edge in the logistics sector. “Utilising this potential is quite important for Namibia as it cannot attract a labour-intensive manufacturing industry at the moment.” The WBCG has identified the regions, commodities and other cargoes that will benefit most from using Walvis Bay as a gateway for trade, says Smith. “Our studies of the markets have identified what we as a country – which includes the logistics companies – have to do to attract the cargo, and not just what the WBCG and Namport have to do,” he says. A number of opportunities have been identified for companies providing services throughout the logistics value chain. Two of the priority
commodities that have been identified are copper from the Democratic Republic of Congo and Zambia, fertiliser and frozen poultry from Brazil. The focus on the Copperbelt is already producing results, with growth in copper exports through Walvis Bay being balanced by increased imports. “In the first quarter of 2019 we saw an increase in the volume of imports of mining equipment and supplies,” he says. Growing traffic between Brazil and Walvis Bay has been a longterm strategy of the WBCG, and Smith believes there is “huge potential”. What is needed to unlock the potential is direct calls between the two countries – which could be induced with the opening of the new container terminal. In addition to being the world’s third-largest agricultural exporter, Brazil is a major exporter of automotive products, mining equipment and other manufactured goods. Brazil is also among the world’s top 30 importing nations, according to the World Trade Organisation. The WBCG is working with importers of fertilisers to make greater use of Walvis Bay and its corridors. There is potential
for up to 500 000 tons a year to move through the port, says Smith. Increasing imports of commodities such as sulphur, sugar and fertilisers through Walvis Bay is part of the strategy to balance loads, which will help drive down transport costs. Further cost reduction will come from the development of a dry port in Grootfontein, which will reduce the road haul leg and introduce the cost-effectiveness of rail between Walvis Bay and Grootfontein, he says.
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Growing traffic between Brazil and Walvis Bay has been a long-term strategy. – Clive Smith
