2 February 2024
The citrus industry is closely monitoring the situation at South Africa’s ports as its export season approaches.
The Cape Town port’s container terminal experienced a 14% decline in the export volume of citrus fruits last week. The export volume of table grapes is 17% less than the previous season.
Paul Hardman, the industry affairs manager of the Citrus Growers’ Association (CGA), told African Farming the industry is worried about the logistical problems that may arise when it’s time to get South African citrus fruits to their export markets. The busy citrus export season starts in April.
“We hope that the congestion at the ports will be properly addressed before our producers start packing citrus,” he says.
There is hope
The announcement last year that International Container Terminal Services (ICTSI) had been appointed to develop and improve dock number 2 at Durban port is good news, according to Hardman.
“We have already started discussions with ICTSI about the project. We hope the favourable effects of the public-private partnership will be felt in the upcoming season.”
Hardman says the success of this partnership is crucial for the export economy, especially given its potential as a new model for all South African ports. “It is in the national interest to be successful. It is in no one’s interest if extreme demands come from union ranks to disrupt the process.”
Maputo port
According to him, Maputo is an alternative option for citrus exports but not necessarily ideal. “The process of crossing the border with Mozambique is somewhat complicated. The CGA is working to make Maputo a more viable option, especially for producers in the northern regions, although there are issues to crossing the border.
“It’s just better if all stakeholders work together to urgently address the crisis at the country’s ports because it makes much more financial sense to use our own ports.”
Hardman says the CGA will continue to work with Transnet management and the to improve the performance of ports.
“In the past, the government has indiscreetly rescued various state institutions from their predicament, but Transnet, which is the backbone of the export economy, deserves immediate attention.”
The CGA wants the National Treasury to intervene to support Transnet’s restructuring plan. “If this happens, such support must be accompanied by conditions that public and private partnerships in the railway network and ports are further expanded.”
