Never has there been a more affordable time to invest and build new warehousing than now.According to Terence Odendaal, founder and managing director of Teralco Logistics, the competitive construction environment and the low interest rates will certainly fuel a warehouse construction boom, especially in areas that have been designated logistics hubs. “I believe these new state-of-the-art facilities that are going up will outshine older buildings which may be cheaper but do not meet the same levels of food safety and hygiene that will certainly become a key focus in years to come.”Odendaal told Freight News that Covid-19 had thrown a spanner in the works as far as global supply chains were concerned. “Ports and borders have become heavily congested and turnaround times have been negatively impacted, especially in the SADC region. As a result there has certainly been a shift in thinking around over-reliance on a single supply chain. Diversification will be a key word going forward.”His outlook for the warehousing/depot and distribution sector is positive. Last year the company opened a fully racked, food grade warehouse in Glen Marais in Gauteng. “The strategic location alongside the R21 and only 10 minutes from OR Tambo International Airport makes it the ideal hub for both local and international distribution net work s.” Odendaal said staff had undergone rigorous training to deliver to global standards and to understand the importance of food safety and hygiene, a topic that is understandably gaining increasing importance by the day. “One of the trends we are seeing in the warehousing sector is a greater focus on service levels. I strongly believe that a reliable service provider may cost slightly more in the short run, but will save the customer 10 times that premium in the long run.”Keeping up to date with international trends and developments is just as important. “We run the risk of falling behind in terms of technological developments. For example, the Fourth Industrial Revolution is often something that is overlooked by some in our industry. At Teralco it is at the heart of everything that we do.”According to Odendaal, the African Continental Free Trade Area has been a major milestone for the industry. “Actually unlocking it may be tricky, but I can state without fear of contradiction it will mean a massive boost for South African companies exporting to the continent.”
INSERT: "New state-of-the-art facilities that are going up will outshine older buildings which may be cheaper but do not meet the same levels of food safety and hygiene."– Terence Odendaal