'Working smarter is the way forward for bulk transporters'

For bulk transporters to keep their heads above water in challenging times and show growth this year, they will need to optimise logistics operations and collaborate more effectively with service providers. “The mining and minerals sector is vital to the existence of bulk carriers in South Africa but it is plagued by strikes, diesel increases, e-toll fees and a weak, volatile currency,” says Johan van Lith, general manager of Kodav Supply Chain Management – a division of Kodav Logistics. “The days where mining and trading companies would pay shuttle rates for three months of the year, thus allowing transporters to be cushioned for the remaining leaner months, is a thing of the past,” he told FTW. He said that the challenges mentioned above could be minimised by cutting overhead costs to the bare minimum. But another curveball has come from the mines as they now have shorter loading times – only during daylight hours instead of the previous 24/7 operating hours – and are utilising the big yellow equipment on multiple projects on the same mine. “The latter means that for example one front end loader will service the mining operations as well as the loading operations. These factors have lowered the efficiency levels of the trucks by several percentage points,” he noted. To show growth, trucks need to be utilised more efficiently and more optimally, said Van Lith. “This can only be done by keeping the trucks as busy as possible,” he added. “The turning point for the industry will not be in the form of increased transport rates but rather through the collaboration of service providers and the optimisation of logistics of mines.” CAPTION Mining logistics needs to be optimised for transporters to show growth says Kodav Logistics.