23075 export 09/2013

40

Upload: donhan

Post on 31-Jan-2017

226 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: 23075 Export 09/2013
Page 2: 23075 Export 09/2013

23075 Export 09/2013

Page 3: 23075 Export 09/2013

Publisher: Ken Nortje, [email protected]

Editor: Jodi Newton, [email protected]

Advertising: Debbie Poggiolini [email protected]

Sales manager: Sophia [email protected]

Production: Johan Malherbe, Meinardt Tydeman Jenny van Lelyveld, Patrick Letsoela

Layout: Cecilia Goto

Dispatch: Willie Molefe

Circulation/Subscriptions: [email protected]

Subscription rates:Local R340,00 Africa R370,00 Overseas R2 050,00

Published: Monthly

Address:Malnor (Pty) Limited2 Hermitage Terrace, Richmond, 2092

Private Bag X20, Auckland Park, 2006

Tel: 011 726 3081/2, Fax: 011 726 3017

e-mail: [email protected]

Editor’s Comment

1 ExPort & imPort SA // September 2014

A not-so-sleepy seaside

Editor’s Comment

“Vaalies” in the thirty-plus age bracket will remember trips down to the South Coast in much the same fashion: The drawn-out drive and padkos (road snacks), outdated hotels, graphic dissections at the Sharks Board, immediately followed by bunny chow and fleeting courses on how to deal with Blue Bottle stings and heat exhaustion... all part and parcel of a healthy social unit's coastal vacation...

Goes without saying, there's much more to South Africa's port city of Durban than sun-baked toes and shark intestines, as there is more to my home town, Johannesburg, than an “energised” night life and bile-inducing traffic. KwaZulu-Natal (KZN) withal is doing a good job at showing itself off. A very good job. In fact, Gauteng and its provincial pals might want to take a few pointers from the marketing crew of good ol' Durbs.

October and November are especially lively months for Durban and eThekwini municipality. Next to hosting three major ports conferences and exhibitions at the city's ICC; including the African Ports Evolution conference (see our October issue), the upcoming 12th Intermodal Africa, the Smart Ports and Cities conference, and the Durban Good Food and Wine Show, it's that time of year again too for the annual KZN Export Week hosted by Trade & Investment KwaZulu-Natal.

Structured much the same as 2013's Export Week KZN – a successful event where networking opportunities and usable workshops were plentiful – this year's program promises to be a gem to both established exporters and those export-ready businesses looking to trade internationally. See our cover editorial in this issue for details and contacts.

Another seaside gathering of note, at the end of October, is the Maputo Corridor Logistics

Initiative's (MCLI) big celebratory bash – the group's 10th anniversary event in Maputo, Mozambique. The all-day event on the 30th will include an exhibition and rail, border and business and investment opportunities sessions. The day will end with a gala networking event attended by MCLI stakeholders from the length and breadth of the corridor.

I'm amazed time and again by the accomplishments of the small but dedicated MCLI team and its partner companies. Achieving in only a decade as much as this group has, and securing the support of a considerable chunk of industry, is no simple undertaking. A sincere “well done” to CEO Barbara Mommen and her team (Ivor, Trudi), and, naturally, the work of former CEO of the MCLI and the newly appointed CEO of the South African Shippers Council (SASC) Brenda Horne-Ferreira. Brenda writes in this issue of her new role and the fresh direction being taken by the council. If the MCLI's good fortune is anything to go by, watch this space closely...

In closing here, I would like to congratulate the winners and all involved in the recent Exporter of the Year banquet and awards organised by Exporters Club of South Africa – Eastern Cape. Jendamark Automation (Pty) Limited took home the overall award for Exporter of the Year 2014. This thriving company provides top notch production lines and assembly facilities to export orientated customers, largely to the automotive industry. Take a look at our Awards page in this issue.

You never can have enough networking (or sunblock for that matter...). Enjoy.

JLN

Jodi Luke Newton, export & import SA Editor

BEE compliant24

602

Expo

rt 09

/201

4

Page 4: 23075 Export 09/2013

2 ExPort & imPort SA // September 2014

Regulars1 Editor’s Comment – A not-so-sleepy seaside

20 export & import International: the ebola task force, coal import bans, FIAtA's

congress, europe's top performer, and more.

22 Country Profile – brazil

26 Trade News – Connecting with Wesgro, coffee export success, Acsa's first female Gm, truck manufacturer appointments, new models, and much more

36 Events Calendar – 2014's most complete industry

contentsOfficially endorsed by Wesgro and

the Exporters Clubs of South Africa – Eastern Cape and

Western Cape

On the Cover

Page 12

trade & Investment KwaZulu-Natal:

ready for export Week 2014

September 2014 // Volume 12 Number 9

4 Guest Editorial SASC's journey, the new CeO

6 Freight at Sea Why you should carefully consider your maritime insurance options

8 Economy Reviewed Luke Doig's economic and business review of South Africa

10 Agriculture Is the poultry sector set for a radical transformation?

14 Telematics Finding your keys to optimal freight logistics

16 Freight on Rail John batwell’s all-encompassing Africa rail overview

24 Advertorial Value Logistics' warehouse management and outsourcing advice

28 Awards Celebrating the eastern Cape's exporters

4 6

3230

8

14 22

10

Page 5: 23075 Export 09/2013

24579 Export 09/2014

Page 6: 23075 Export 09/2013

4 ExPort & imPort SA // September 2014

As the newly appointed CEO and member of the South African Shippers' Council (SASC) board, I sincerely believe that it is time to take

a quantum leap of transformation into a southern Africa region, all-inclusive, multi stakeholder, public private stakeholder shippers' council – one that focuses on transport and logistics as the enabling factors to making us more globally competitive.

This is what is needed in an environment where the likes of Transnet, Sanral and the industry as a whole is investing hugely in the Market Demand Strategy to support this country's National Development Plan. I am confident it will contribute to create greater trust between the public and private sector, cost efficiencies and cost reductions across the supply chain, build much needed skills and passion, especially in way of the women and youth of our country, to create employment and make us more competitive globally.

In line with research on world best practice for shippers’ councils (which clearly indicates that every economy of note has a strong national/regional shippers’ council which affiliates with global councils), SASC has embarked on its path of transformation. We aim to be the aggregator of an innovative, collaborative, all-inclusive public-private partnership of all role players across the southern Africa supply chain, into global markets, with strategic focus on transport and logistics, as we believe that together, through aggregate innovative collaboration and visibility, we shall be globally active, competitive and make a difference!

In line with its transformation mandate, SASC seeks to represent southern African cargo owners and transport and

logistics stakeholders in all matters that impact the competitiveness of South African supply chains worldwide.

We therefore strive to understand the infrastructural requirements, operational service levels, human resources, and other needs and requirements of members and to influence relevant stakeholders through collaborative efforts. Therefore SASC strives to provide advocacy on behalf of industry and to engage with government and other players on strategic issues in a positive manner for the benefit of southern Africa as a whole. This can have a direct influence on the efficiencies of, and relationships within, the supply chains.

SASC operates with the vision of being “The preferred voice through which southern Africa Transport and Logistics stakeholders influence and improve the global supply chain”, with the values of SASC including integrity, confidentiality, commitment and trust, as well as being outcomes-driven.

The mission of SASC is so aimed at understanding the needs and requirements of members in order to influence relevant stakeholders; being the preferred point of entry for industry stakeholders on collective issues; as well as being a source of supply chain knowledge and industry skills development, generally. It is the objective of the Council to be the aggregator across the industry to represent the interests of its members throughout the supply chain and join forces with other related associations to promote a healthy logistics climate throughout the southern Africa business environment.

In line with global changes across the industry, where cargo owners and transport and logistics service providers

have become an integrated unit in the supply chain, it was inevitable that the council expand its membership base as well as move its focus from purely local to regional, as more and more cargo owners are users of both local as well as regional ports and corridors as well as trading in and out of the region.

In way of our vision, to be a voice of cargo owners in South Africa, and playing a regional role in SADC, SASC is also representing South Africa internationally in regard its affiliation with the Global Shippers’ Forum (GSF) and the European Shippers’ Council (ESC). The council has in tandem been increasing its visibility nationally and internationally through engagement with UNCTAD and the Swiss, Indian and Dutch Shippers' Councils. SASC looks to further engage and collaborate with government departments such as DPE, dti and DOT, for example, and, as mentioned, Transnet and all its operational units; the Ports Regulator, Sanral, CBRTA, SAMSA, and any other stakeholders impacted by our global competitiveness.

Members of the council may be any natural or legal person that carries out business and is a user or provider of logistics-related services in the context of transport, storage, handling, packaging, finance and insurance, consulting and support services and qualifies in terms of an involvement in the supply chain. SASC is a non-profit membership organisation, registered with the Department of Social Development (registration number: 055-301-NPO).

An indispensable industry, its council, the transformation – get involvedCompiled for export & import SA by Brenda Horne-Ferreira, CEO, SASC

Guest Editorial

Further details regarding SASC and membership can be found on the new SASC website www.sashippers.net and will be revised and updated as the transformation process rolls out.

Page 7: 23075 Export 09/2013

24366 Export 07/2014

Page 8: 23075 Export 09/2013

In excess of 190 maritime incidents were reported in the six months from January to June 2014 – from the grounding of cargo ships, collisions at sea and in port, water

ingress, engine failure through to suspected piracy – with the crew, ships and cargo reported missing for months on end. These perils represented significant financial losses to cargo owners without the requisite marine insurance to protect their financial interests in their cargo, and in particular, for general average losses.

“Many importers and exporters run the gauntlet of not insuring their cargo in a bid to save on costs, the reality is that goods in transit are highly susceptible to damage by fire or storm, theft, jettison or mishandling,” explains Jeffry Butt, Marine Manager at Aon South Africa*.

“Cargo insurance is an essential means to guard against serious financial loss, and in particular as the application of general average losses grows and become more commonplace.”

A general average occurs when a voluntary sacrifice is made to safeguard the vessel, cargo and/or crew from a common peril for example, jettison of cargo to lighten a vessel in order to get to the closest port to prevent a ship from sinking and even piracy.

If the sacrifice is successful, all parties contribute to the loss based on a percentage share that their cargo value bears to the full value of loss suffered, with the maximum contribution not exceeding the full value of their cargo.

“Let’s take an example of cargo being jettisoned to prevent a ship from sinking. When general average loss occurs, the owner of the vessel will arrange for an average adjuster to assist with the evaluations of the cargo on board, the value of the vessel as well as potential consequential risk to lives and the environment. The average adjuster will then provide each cargo owner with an average guarantee or bond to be signed and returned. This confirms the commitment from each cargo owner that they accept responsibility to pay their proportionate share of the collective cost of the cargo that was sacrificed to save the ship and all the goods and cargo still on board. General average only applies in the case of a successful sacrifice,” explains Jeffry.

There have been instances of general average where the proportionate share each cargo owner had to pay was equal to 60% of the value of their cargo on board the affected vessel; however, it has become more common that open ended average guarantees are required to be signed and returned to average adjusters. For example, if a particular cargo owner had cargo to the value of R10 million on board the affected vessel, his contribution will be R6million up to R10 million. For any business without adequate marine insurance cover in place, this kind of exposure can be potentially devastating.

If the cargo is not insured, the cargo will not be released until the cargo owner posts a guarantee in the form of a cash deposit, bank guarantee or bond. If the cargo is insured, the insurance company will post the General Average Bond and Guarantee

to meet the cargo owner’s contribution and facilitate release of the cargo.

“Consequential losses and trade disruptions are also a huge risk factor. Salvage operations can take weeks and even months, leaving companies without their cargo and no sales activity. In the case of piracy, ships and cargo can be held for months on end before any ransom negotiations even begin. This leaves business massively exposed to profit loss risks if they are not insured properly,” explains Jeffry.

Given the quantum of risks that can befall valuable cargo while in transit, is essential for all ship and cargo owners to make sure that they have spoken to a specialist advisor who understands the full set of risks facing a marine business in order to provide a comprehensive risk assessment.

“This will assist not only in identifying what type of cover is best-suited for the business but will also save the company from suffering significant potential losses, especially in the event of a sacrifice being made and a general average being declared,” concludes Jeffry.

6 ExPort & imPort SA // September 20146

Freight at Sea

Lost at seaA spike in number of maritime losses has highlighted the need for traders to consider carefully their cargo insurance options. Skimping on the adequate insurance offerings as a means to cost saving, or not insuring cargo at all, is not a feasible consideration at sea.

About Aon South AfricaAon South Africa is provider of risk management services, insurance and reinsurance brokerage, human capital and management consulting, and speciality insurance underwriting. The company employs more than 1 300 professionals in its 16 offices in South Africa with its head office in Sandton Johannesburg. Aon employs over 1 800 people on the African continent.

Jeffry Butt, Marine Manager at Aon South Africa

Page 9: 23075 Export 09/2013

Full truck loads throughout South Africa and neighbouring countries

Tel: +27 (0)11 615 6479 / 0861 000 NGL(645)Fax: +27 (0)11 615 6479

Quinton de [email protected] • +27 (0)82 573 0595

Mark [email protected] • +27 (0)82 557 4869

www.ngllogistics.co.za

We cater for all needs and offer the following:

Speed X, same day deliveries •

Same day direct loads•

Special Projects•

Promotions and Roll-outs•

Specialized Vehicles•

Over Border Deliveries•

2440

7 Ex

port

07/2

014

Page 10: 23075 Export 09/2013

8 ExPort & imPort SA // September 2014

While the SA Reserve Bank’s Monetary Policy Committee voted six to one not to raise rates

recently, the theme of the statement from the meeting was the “anaemic” state of the domestic economy and highlighted the downside risks to the weak growth outlook. All of the concerns noted by the bank are valid and paint a picture of a moribund business environment. The SARB only trimmed its 2015 GRP growth forecast by 0,1% to 2,8% and similarly to 3,1% in 2016. What are the real chances of this being achievable? And if even these modest outcomes can be achieved, are they sufficient to reverse and indeed galvanise the fragile state of confidence? Further, are these outcomes possible if further rating downgrades occur? That may in turn likely trigger more aggressive rate hiking later.

Current account deficit must narrowThe CAD ballooned to -6,2% (saar) in Q1’14 from -4,5% the previous quarter, amounting to a record figure of R222 billion during the quarter. This compares to the -5,8% seen in calendar 2013 and the previous peak of -7,2% recorded in 2008 (see graph). Export growth of 7,4% in the first seven months of 2014 (R522,1 billion to R560,5 billion) is lagging import growth of 9,4% over the same period (R563,2 billion to R616 billion). The destination of South Africa’s exports is detailed in the table here. Despite

Europe’s woes, they have recaptured some of the ground lost in the past few years while America’s share has ebbed somewhat to approach 9%. The most interesting trend is that with regards to Africa – can it grow even further to above 30% and usurp Asia’s share which has fallen marginally in 2014?

So while import volume growth slowed in Q2’14 (black line in graph, rhs), export volume growth (purple line) did likewise. This latter development should begin to normalise (improve) once mining and manufacturing begin

to produce again after the deleterious impacts from the strikes. Were it not for the movement from R9,98/$ and R13,32/€ in September last year to R11/$ and R14-25/€ respectively now, this performance may indeed have been worse. Some salvation may also come through via less import demand due to slower household consumption and fixed investment spending (refer to unemployment, disposable income and private spending paragraphs below). As indicated by the SARB however, the exchange rate is vulnerable to the slow pace of the adjustment of the current

Economy Reviewed

Written for export & import SA magazine by Luke Doig, Senior Economist with Credit Guarantee Insurance Corporation

Republic of South Africa - the business and economic review

(Source: SARB)

RSA export destination 2012 Jan – July 2013 2013 Jan – July 2014

Africa 28,4% 27,8% 28,7% 30,0%

Europe 20,1% 21,3% 21,3% 22,6%

America 10,4% 10,1% 9,4% 9,2%

Asia 30,8% 31,9% 32,3% 31,5%

(Source: www.sars.gov.za)

Page 11: 23075 Export 09/2013

9 ExPort & imPort SA // September 2014

account deficit. If narrowing in the CAD is not seen in the quarters ahead, the adjustment will be forced through via a weaker exchange rate. Or a rating downgrade in December. Or both.

The US has indicated that interest rates will not rise for a ‘considerable’ period following the imminent ending of quantitative easing; this may imply that rates will remain on hold until mid-2015. In an attempt to boost the Eurozone’s flagging fortunes, the European Central Bank allotted €83 billion to banks under its Targeted Long-Term Refinancing Operation as it seeks to boost private sector loans (to households and non-financial organisations). Banks in the region will get another chance of another tilt at the €400 billion TLTRO pot in December; there will be six further rounds between March 2015 and June 2016 with the facility expiring in September 2018. These developments have bought us some breathing space, but not much.

Unemployment soaringMuch is being made of the fact that the economy has regained the jobs lost following the global financial crisis. According to the Quarterly Employment Statistics (data extracted from firms’ formal employment details), employment fell from 8,12 million in Q4’08 to 8,086 million in Q1’10 before recovering to 8,507 million in Q2’14. Over this period, government has added 267 000 jobs while the private sector has shed 272 000. According to the Quarterly Labour force Survey (a household survey), the official or narrow level of unemployment was at 23,2% in Q1’08 (4,371 million people) vs the latest level of 25,5% (5,154 million). However, the expanded definition of unemployment (which includes discouraged labour) rose from 30,9% to 35,6% or from 6,453 million to 8,332 million. This is an increase of 1,879 million compared to the rise of

783 000 more unemployed people under the narrow definition. This goes some way to explaining the declining growth rates being experienced in household consumption expenditure.

Inflation risks elevatedThe SARB’s decision to keep rates on hold was bolstered by inflation peaking at a lower level earlier than expected; their forecasts are for average inflation of 6,2% this year (the latest reading in August of 6,4% did not include the large cuts of 67c/l for petrol and 25c/l for diesel in early September), 5,7% next year and 5,8% in 2016 and include an Eskom tariff rate increase of 11,6% and not the earlier approved 8% (to allow Eskom to recover previous cost overruns). Crude oil prices have continued their fall, from $104-88/bbl on 1 August to $97-47/bbl currently. For the month-to-date, petrol has over-recovered by almost 9c/l and diesel by 11c/l although the recent ZAR weakness has caused petrol to under-recover. Since Eskom’s large tariff increases commenced in 2008, tariffs have risen a cumulative 255% versus just over 50% for average consumer prices – a rate of increase 5 times as fast and now businesses and consumers will have to face another tariff hike of almost double the inflation rate.

As disposable income growth fallsRetail sales have grown 2% in real terms in the first seven months of the year - including a 0,9 real contraction in June – versus 3% in the same period last year. Real disposable income growth for households fell to 2,5% in 2013 from 3,9% a year earlier and continued this amelioration into 2014 with Q1 and Q2 figures of 1,7% and 1,3% (saar) respectively. Household consumption expenditure growth has reacted similarly, with growth of 1,8% and 1,5% (saar) in Q1’14 and Q2’14 respectively.

And private firms desist from investingReal Gross Fixed Capital Formation growth of 4,4% last year and 4,7% in 2012 has fallen dramatically to record just 2,6% in Q1’14 and 0,5% in Q2’14 (saar), with government focused on winning elections and weak confidence afflicting private sector fixed investment. Real building plans passed (2010 constant prices) grew just 0,8% in the January to July 2014 period (R42,6 billion from R42,2 billion) while buildings completed fell 13,1% in real terms to R23,4 billion from R26,9 billion.

The RMB/BER Business Confidence Index eked out a five point gain to 46 in Q3’14 from the previous quarter while the FNB/BER Building Confidence Index edged up to 45 points in Q3’14 from 41 in Q2’14 (< 50 = net contraction, > 50 = net expansion). Confidence of main contractors rose to 53 points, boosted by residential activity but the sideways trend in non-residential activity bodes ill.

Can we grow at 2,8% next year?Reality has dawned at the SARB with 2014 growth expectations lowered to 1,5% - which we have been maintaining for quite some time now – but believe that the bank’s 2015 GDP growth forecast of 2,8% will require the entire constellation to shine on us. While an improving global backdrop offers some hope, we will have to ensure that strike activity is contained, that productivity improves and that no ZAR shock occurs.

Our adverse indicator remains at elevated levels and the same applies to our payment default leading indicator and indeed actual claims levels. To that extent while we would dearly hope for an improvement in the overall business operating environment, we deem it prudent to adopt a cautious outlook.

Economy Reviewed

Page 12: 23075 Export 09/2013

10 ExPort & imPort SA // September 2014

The South African Poultry Association (SAPA) said in a recent statement that it will “embark on a turnaround strategy earmarked to

transform the entire poultry industry for the benefit of all its members, especially the black poultry producers”.

According to SAPA, black poultry producers have complained of being marginalised and not genuinely represented within the association’s activities. They accused industry leaders of undermining their efforts to grow and making a positive contribution in the economy. All major producers have now pledged to support the industry transformation process and provide the team appointed to lead transformation of the industry with all the help required.

What does it all mean? According to Sol Motsepe, Senior Executive at the South African Poultry Association, the association resolved, at a recent special meeting, to create a new business model that will align with government’s economic empowerment policy and close the economic gaps between black and white poultry farmers.

“We are currently in discussions with government,” says senior executive Sol Motsepe. “This has been going on since 2012 and we have since agreed on the principles and processes to be followed. Government has and still continues to provide extensive support and advice on the matter and we will continue working with them. The departments involved are the dti, daff, edd and rural development.”

At this meeting, eight senior officials from SAPA and producers were

entrusted to drive the transformation process. Justice Zotwa was appointed as the Chairperson for the transformation committee.

Zotwa is the current Chairperson of the Developing Poultry Farmers Organisation (DPFO) and has been in the poultry industry for almost 18 years. Zotwa is currently studying towards a Master’s degree in philosophy with the University of Stellenbosch and possesses a BTech degree from Durban University of Technology. He also has a number of diplomas and certificates in teaching and poultry farming.

Other committee members are Achmat Brinkhuis (DPFO Western Cape Chairperson), Colin Steenhuisen, Kevin Lovell (SAPA CEO), Marthinus Stander (SAPA Chairperson), Sol Motsepe (SAPA Senior Executive), Robyn Barnsley (Egg Organisation Chairperson) and Willie Bosoga (DPFO Gauteng Chairperson)

SAPA’s transformation agenda follows the recent announcement by the Deputy Minister of Trade and Industry, Mzwandile Masina to create in the next three years 100 black industrialists, who will participate in the productive sectors of the economy as part of government’s radical economic transformation programme.

Deputy Minister Masina announced numerous initiatives that government will undertake in order to achieve its objectives of creating and supporting black industrialists.

The initiatives include effecting reforms to the Preferential Procurement Policy Framework Act (PPPFA), customising incentive schemes offered by government and its agencies, launching

a financial support scheme suitable for black industrialists, and the establishment of an advisory panel on black industrialists.

“The association has realised that transformation is not only a compliance issue,” says Zotwa. “We want to bridge the racial divide and ensure that everyone – black or white – benefits from this exercise. The changes we are going to implement are going to be all encompassing.”

According to Zotwa, the black economic empowerment policy is simply not a moral initiative to redress the wrongs of the past.

“It is a pragmatic growth strategy that aims to realise the country's full economic potential while helping to bring all the roleplayers into the economic mainstream,” says Zotwa.

“South Africa requires an economy that can meet the needs of all our economic citizens in a sustainable manner. That will only be possible if our economy, in our case, builds on the full potential of all persons and communities across the poultry landscape in South Africa.”

Zotwa asserts that no economy can grow by excluding any part of its people, and an economy that is not growing cannot integrate all of its citizens in a meaningful way. "As such, our new strategy will stress a transformation process that is associated with growth, skills development, development and enterprise and not merely the redistribution of existing wealth."

*The figure is based on revenue collected by members of the SAPA

Poultry sector set for radical transformation

Industry in Focus: Agriculture

It’s an important industry for South Africa; one worth in excess of R49 billion annually*. Despite having had its fair share of negative media coverage of late, the poultry sector is ready for a turnaround it’s hoped.

Entrusted to drive the transformation process: Chairman of the newly formed transformation committee for the poultry sector, Justice Zotwa

Page 13: 23075 Export 09/2013

24658 Export 09/2014

Page 14: 23075 Export 09/2013

TR

AD

E &

INV E S T M E N T K W A ZUL U- N

ATAL

EX P O R T W E E K 2

0 14

12 ExPort & imPort SA // September 2014

On the Cover

Page 15: 23075 Export 09/2013

Strategic PartnershipsStrategic partnerships with and subsequent co-presentation of various workshops together with, amongst others, the Swiss Import Promotion Programme (SIPPO), the Centre for the Promotion of Imports from Developing Countries (CBI) and the Department of Trade and Industries (DTI).

Lead generationThe EDPU of TIKZN provides the linking of KwaZulu-Natal companies with potential buyers, as well as assistance with information on possible distributors that KwaZulu-Natal companies can use for their products to enter a specifi c market.

Export advisory servicesThe EDPU provides on-the-ground support and advisory services for existing and emerging KwaZulu-Natal exporters, including assistance with the following:• Introductions to government and private-sector contacts• Tariff implications for certain products• Compliance with the requirements of certain trade agreements• Advice on the suitability of products and services• Assistance with the identifi cation of potential business partners and customers• Assistance with the identifi cation of domestic suppliers of products and services• Export supply-chain advice

Export incentivesAssistance with accessing Department of Trade and Industry (DTI) export incentives and assistance with business matching linked to incentives.

Contact details:

Durban offi ce:Physical address:Trade & Investment House,1 Arundel Close, Kingsmead Offi cePark, Durban, 4001Postal address:Trade & Investment KwaZulu-NatalPO Box 4245Durban4000Tel: +27 031 3689600Fax: +27 031 368 5888Email: [email protected]: http://www.tikzn.co.za

Gauteng offi ce:Physical address:Financial Place, 99 GeorgeStorrar Avenue, Groenkloof, Pretoria,0181Postal address:TIKZN Gauteng Offi ceFinancial Place99 George Storrar AvenueGroenkloof0181Tel: +27 (0) 12 346 4386Fax: +27 (0) 12 5011788

TRA

DE &

INV E S T M E N T K W A Z UL U- N

ATAL

EX P O R T W E E K 2 0 14

Export Week brings together government representatives, business heads, bankers and large export companies

from KwaZulu-Natal, to discuss the current and future exports from KwaZulu-Natal as well as specifi c

opportunities in new markets.

17 - 21 November 2014

On the Cover

13 ExPort & imPort SA // September 2014

Page 16: 23075 Export 09/2013

14 ExPort & imPort SA // September 2014

Telematics solutions have become increasingly common as a means to mitigating the many challenges currently faced by freight transporters in

southern Africa. These solutions though often differ from supplier to supplier, and are limited by an inability to integrate. In order to optimise and gain maximum control over logistics processes, access to integrated real-time information is critical – which requires a platform to bring disparate telematics together.

These are the words of Michael Frans, Business Development Manager-Automotive at T-Systems in South Africa. Frans believes that for the freight transport sector to gain greater control and optimise their processes, helping them to deal with numerous challenges effectively, businesses must have the necessary information available in real time.

The Future Now report released recently by Innovation Group points in the same direction – to a future which “will be technology-led, most likely heavily influenced by disruptive innovations using Big Data – like driver-less cars and telematics”, says Glen Mollink, Chief Executive Officer at Innovation Group. The report, he says, highlights a technology-driven revolution in any number of industries – and especially those in high-tech sectors like the automotive industry and logistics.

The fleet management industry faces an exciting future – but requires immense innovation by current players if they are to compete with these ‘disruptive innovations’, finds the report.

“Telematics solutions have become increasingly common in the transport

and logistics sector as a way of providing much-needed information,” says Michael Frans. “However, when trucks and trailers from different suppliers with different telematics systems are combined into a single convoy, valuable information may be lost, as manual reconciliation between the different systems is required. Often, different systems from various suppliers cannot work seamlessly together. In addition, individual systems do not provide any benefit to any of the stakeholders outside of the owners of that system.”

The key to unlocking the value of telematics especially, believes Frans, “lies in breaking down these siloes to deliver visibility between the different providers. In order to gain a full understanding of the entire cargo transport chain, integrating multiple systems into a portal that offers full end-to-end visibility is critical to efficiency.”

Frans explains that if we are to effectively tackle the challenges in the cargo logistics sector, siloes need to be broken down using an integrated, cloud-based, vendor-neutral aggregation platform to bring together information from various telematics systems in real-time. A standardised interface, with dynamic central data visualisation that is independent on vehicle manufacturer, telematics provider or stakeholder, will create visibility throughout the value chain. This enables all stakeholders to obtain the information they need to monitor and track cargo throughout the value chain, in real-time.

“For example, using such a solution, it can be ensured that trucks are only sent to cargo yards for a pickup once cargo has been offloaded and is ready

to be moved. This will reduce backlog and improve planning and turnaround times. Another example is if adverse weather conditions or road accidents cause delays, all necessary stakeholders can be notified. Information can also be made available to improve journey times and gain an accurate view of arrival times, alleviating congestion and disruption.

In addition, systems for monitoring cold chain goods can be put into place to deliver automatic alerts should temperatures fall outside of acceptable range. Customers can even use these systems to track and trace items in real time, particularly if RFID chips are used as part of the shipping process.

Frans emphasises that there are endless possibilities for the data stored within telematics solutions but it all rests on how this data is managed, and the ability to break down siloes to deliver real-time information to stakeholders when and where they need it. This in turn helps to close the gap between transport and logistics providers and their customers. Bringing all stakeholders closer together, providing effective services and minimising frustration, will help cargo logistics organisations achieve zero distance with regard to customer service.

“However, achieving any of these goals requires that siloes be broken down, as operating in isolation will never deliver the required visibility. Integration and real-time information into the flow of goods throughout the transport and logistics sector, and a platform to aggregate the data from the many points in the value chain, are critical in delivering optimisation and control of processes,” concludes Frans.

Telematics

Technology, information – finding your keys to optimal freight logistics

Michael Frans, Business Development Manager-Automotive, T-Systems in South Africa

Page 17: 23075 Export 09/2013

22341 Export 03/2013

Page 18: 23075 Export 09/2013

16 ExPort & imPort SA // September 2014

Inadequate monetary resources from governmentThe Namibian rail system suffers from inadequate financial resources from government. Namibia’s transport infrastructure contributes 5% of GDP. Projects ongoing at this time embrace the replacement of 30 kg/m to 48 kg/m track on the north-eastward system out of Kranzberg. The Aus-Luderitz line is also undergoing the same heavier track replacement with work expected to be finished now in September. This latter line can convey mineral, fruit and petroleum traffic. A commuter service is under consideration out of the capital city of Windhoek – four radiating routes out of this city, including one to the international airport, are being ear-marked. Two prospective regional railways – the Trans-Kalahari and Trans-Caprivi links are currently under consideration.

Huge financial injection neededThe railway company requires $400 million for about three years to kick-start normal operations. National Railways of Zimbabwe (NRZ) owes a huge debt, but other parastatals such as the Grain Marketing Board, Zimbabwe Power Company and Ziscosteel actually owe the national railway millions of dollars. NRZ is also not benefiting from its 15% stake in Beitbridge Bulawayo Railway (BBR) which last gave out a dividend in 2006 and expects to break even at the end of this year. Towards the end of July the Zimbabwean media came to announce that NRZ - operating at less than 55% capacity - had secured a $460 million loan from the

Development Bank of Southern Africa to make a start on rehabilitating infrastructure. NRZ employees demonstrated in main centres over the first week-end of August over outstanding salary payments. Zimbabwe’s rail system has historically been pivotal in the region in terms of export and import traffic between Central African countries and both Mozambique’s and South Africa’s seaboard.

Rebuilt motive power and wagons on cardsRift Valley Railways (RVR) is adding 1 400 wagons to its fleet and will take delivery of 20 GE-rebuilt locomotives (work undertaken in Mt. Vernon, USA) in 2014/2015 as well as 10 locomotives which are being refurbished in RVR’s workshops. The rebuilds comprise the GE B23-7 Bo-Bo DE which are being rebuilt to a Co-Co DE. The GE B23-7 type was first offered to the rail industry by General Electric back in 1977. The initial three locos arrived in the country in early September (see photo). In RVR service, the units’ running numbers will be 9601-20. In mid-July, RVR commissioned two high capacity railway track maintenance machines that will automate and hasten track restoration. The equipment manufactured by Austrian firm Plasser & Theurer.

Benguela line top-notchCaminhos de Ferro de Benguela (the 1 344 kilometre CFB) is now completely rebuilt from the Atlantic Ocean at Lobito to Luau near the border with the Democratic Republic of Congo (DRC). The Chinese construction company has carried out the work to very high standards, using rail substantial enough to carry heavy loads such as iron ore. Luau, previously an inconspicuous village, now boasts an impressive, multi-track passenger station. A big container depot is being provided, together with associated bonded warehouses. East of Luau, the original railway crosses the Kasai River, which marks the DRC border, into Dilolo. It is understood occasional trains run from here to Lubumbashi. The track is however in very poor condition and there are frequent derailments.

German infrastructure consultant scores contractGerman infrastructure consultant Gauff Ingenieure has been awarded a $US8,6 million contract to design the new

The Namibian rail system suffers from inadequate financial resources from government – Photo: J Batwell collection

Freight on Rail

Zimbabwe

Needing a huge finanicial injection to kick-start normal operations – Image: K Luckey

Angola

Rift Valley Railways will take delivery of 20 GE-rebuilt locomotives (work undertaken in Mt. Vernon, USA) in 2014/2015 – Photo: IRJ

Kenya

Namibia

Regional rail round-upCompiled for export & import SA magazine by international rail analyst John Batwell

Uganda

Page 19: 23075 Export 09/2013

standard gauge railway line linking Uganda's capital Kampala with Kigali in Rwanda. Around 1 400 kilometres of new railway are to be constructed in Uganda and Rwanda. This includes the section from Malaba on the Kenya/Uganda border via Kampala to Mirima Hills on the Uganda/Rwanda border and then on to Kigali. There will also be branches to other towns in the two countries. The line would be designed to carry freight at 80 km/h, with the aim of attracting traffic away from the roads.

Largest locos in Africa begin arrivingTen heavy duty locomotives made their way in June to Mozambique on board the heavy lift vessel ‘BBC Xingang’ for

use on the new Nacala corridor by CLN (80% Vale/20% CFM Joint Venture). They are the General Electric BB40-9WM and the largest diesels in Africa at 176 tons (22 ton axle load on 8 axles); they are 4 000 hp and there are 50 in the order (with options on another 37), numbered 1800-1849 (GE 62356-62405 of 2014). The first 10 landed were 1800-08 and 1811. The second tranche is 1809/10/12-19 while the third tranche for loading was 1820-27/29/30.

Financial injection of US$80 millionThe governments of Tanzania and Zambia, the two shareholders of the Tanzania-Zambia Railway Authority (TAZARA), have agreed to inject US$80 million into the operations of the railway firm in the next 12 months. Of this amount, $9,20 million will be disbursed immediately to cater for two months outstanding employees' salary arrears and working capital. The move was announced during the TAZARA Council of Ministers meeting held in Lusaka in early July.

Plans have been put in place for Tanzania and Zambia to operate this railway system independently within the respective two countries’ borders. As a point in case, there would be two passenger trains one had to catch to travel the entire 1 860 km route, each train operated by each country unlike the long-standing arrangement of a single boarding over the whole run. Goods traffic would run the whole distance between the two countries in the usual fashion.

17 ExPort & imPort SA // September 2014

Freight on Rail

The General Electric locos have begun arriving at the port of Nacala – Photo: J Batwell collection

Mozambique Tanzania/Zambia

2379

7 Ex

port

02/2

014

Page 20: 23075 Export 09/2013

24659 Export 09/2014

Page 21: 23075 Export 09/2013

24659 Export 09/2014

Page 22: 23075 Export 09/2013

20 ExPort & imPort SA // September 2014

IMO joins Ebola task forceUK – The International Maritime Organisation

(IMO) has joined the international ad hoc Ebola Travel and Transport Task Force to help monitor the situation and provide timely information in response to the outbreak of the disease. The IMO, the International Chamber of Shipping (ICS) and the Cruise Lines International Association (CLIA) have joined forces with, amongst others, the World Health Organisation (WHO), the International Civil Aviation Organisation (ICAO), and International Air Transport Association (IATA) in the task force. Maersk Line meanwhile said that it will not stop calling at West African ports stricken by the deadly virus.

Coal import ban proposed China – The globe’s top coal importer is

expected to curb shipments of low-quality coal, responding to calls for support from the country's miners who are seeing widespread losses due to oversupply and anaemic demand for the fuel. The China National Coal Association has reportedly sent a proposal to the government calling for imports of low-quality coal with ash and sulphur content exceeding 15% and 0,6%, respectively, to be halted, sources from coal producers and power utilities said. (Reuters).

First full-process overseas plantRussia – A foundation-laying ceremony for

auto-manufacturer GWM’s new Tula Oblast full-process manufacturing facility was held recently – a move that the company says is an important moment in the “brand's evolution”. Russia is Europe's second-largest car market. Entirely funded by GWM, the Russian facility will build 150 000 vehicles.

Iveco Stralis launchTurin – Iveco has launched its all new Stralis Efficiency

Package, a series of innovations aimed

at reducing total operating costs for hauliers on three key fronts: fuel consumption, maintenance costs and a broader product offering. Following the EcoStralis’s path, subsequently continued by the Stralis Hi-Way Euro VI, which led to an overall fuel reduction of 10% compared with the 2007 Stralis, as certified by TÜV, Iveco is now generating an additional reduction of 2% thanks to the introduction of several substantial enhancements.

Vic Falls Airways granted licence Zimbabwe – the country’s government

has reportedly issued an operator’s licence to an indigenous airline, Vic Falls Airways, which is set to fly international routes. The airline says it will be the only local operator to offer direct flights to London. The company will also offer direct flights to Guangzhou and Johannesburg. A director of the company said this was an important time to launch as the “political situation in the country had stabilised”. As of October, the airline will fly into London’s Gatwick twice a week, and plans to have the same frequency for Guangzhou and Johannesburg

Europe’s top performerRomania – The European country’s

economic performance has made it one of the leaders in Europe’s recovery, reports international credit insurer Coface. Its growth has exceeded expectations, with GDP rising by 3,5% in 2013. Significant contributions came from the agricultural and industrial sectors, in particular from car production supplying mainly foreign customers. The main contributor to the year’s growth came from exports (which recorded a strong increase of 13,5%) and in particular exports of agricultural products and cars.

Indonesia’s wood product exports up Indonesia – A report by the International

Tropical Timber Organisation has found that Indonesian wood products have continued to increase since the beginning of 2014 when the national timber legality assurance scheme (SVLK) became operational. In the first three months of this year exports of wood products totalled US$1,4 billion. (Wood Panels International)

APHIS selects electronic labelsUS – The USDA’s Animal and Plant

Health Inspection Service (APHIS) is phasing in the use of electronic barcoded shipping labels for Plant Protection and Quarantine and Biotechnology Regulatory Services permits. APHIS has created a cost and time saving process for emailing new electronic non-gummed barcoded labels, which will eliminate the need to mail labels. The new shipping labels will be emailed to the permittee as an attached PDF.

FIATA Congress heads to Istanbul Turkey – One of the largest and most

important gatherings of the global logistics and freight forwarding industry, the FIATA World Congress, will be held in Istanbul this year. The Congress’s theme for 2014 is ‘Sustainable Growth in Logistics’ and will be held at the Istanbul Hilton Bomonti Hotel and Convention Centre from 13 to 18 October.

KION India is officialIndia – Voltas Material Handling, one of the country's leading

suppliers of forklift trucks and warehouse technology, will now officially be operating under the name KION India. This marks a further step forward in the integration of Voltas Material Handling into the KION Group, which took over the company more than a year ago. KION India will continue to sell both electric and IC forklift trucks as well as warehouse technology products under the established Voltas and Baoli brands in India.

export & import International

Page 23: 23075 Export 09/2013

24750 Export 09/2014

Page 24: 23075 Export 09/2013

22 ExPort & imPort SA // September 2014

Suggested use of a collection agent

Country rating key – political risks: 1 = low, 2 = medium, 3 = highCommercial risks: A = low, B = medium, C = high

Researched and compiled by Nthabiseng Gumbo & Cindy Motloung, Economic services – Credit Guarantee Insurance

Country S/T business S/T political Debt recovery rating cycle indicator indicator

2B

2010 2011 2012 2013

Agriculture 5 5 5 6

Industry 28 28 26 25

Services 67 67 69 69

GDP composition, value added (% of GDP)

Credit Guarantee Insurance Corporation of Africa Limited

Credit Guarantee House, 31 Dover Street, Randburg, 2194, PO Box 125,

Randburg, 2125, Tel: 011 889 7000, Fax: 011 886 1027,

Email: [email protected]

Federative Republic of Brazil

Credit Guarantee country profile

Credit Guarantee experienceCover considered on an open basis

Recent political highlights• Brazilgaineditsindependencein

1822 and underwent more than a half century of populist and military government until 1985. The country continues to pursue industrial and agricultural growth and development of its interior. Exploiting vast natural resources and a larger labour pool, it is today South America’s leading economic power and a regional leader. High income inequality and crime remain pressing problems, as well as recent years’ slowdown in economic growth.

• DilmaRoussseffwassworninasBrazil’sfirstfemalepresidenton

1 January 2011, marking the start of a new political era after eight years of rule by President Luiz Inacio Lula da Silva. She will stand for re-election in October 2014. The political process in Brazil is characterisedbytheoften-difficultrelations amongst the executive and legislative bodies and the powerful state governors. Consequently, Rousseff’s ability to implement her political agenda depends on her capacity to form strong alliances within Congress.

• Saggingconfidenceposesthebiggest threat to President Dilma Rousseff’s chances of a second term in the October elections. In an effort to prevent voters from feeling the pinch, Ms Rousseff has loosenedthefiscalreins.InMay2014 public spending was 16% higher than a year earlier and revenues 8% lower. As a result Brazil posted its second worst monthly primarybudgetdeficitever(ie,before interest payments).

• RecentpollsshowRoussefflosingher comfortable lead ahead of the

5 October election among voters concerned with the weakening of the Brazilian economy and the rising cost of living under her administration. Many Brazilians are angry about the high cost of the stadiums that were built to host the recent football World Cup. They say the $11 billion Brazil spent on the sporting event should have gone to improvedeficienthealth,educationand public transport according, according to a June 2014 Thomson Reuters report.

• Brazildoesnothaveanyborderdisputes with neighbouring countries. Rather, its main external threats come from drug production in nearby countries. The president’s administration has placed great emphasis on border security with Brazil mounting several large-scale security operations along its borders. The most recent such exercise, Agata 8, ran for three weeks from the beginning of May 2014 and was the largest to date, involving 30 000 members of the armed forces, police, and other government agencies.

• Therehavebeensometensionswithin the governing coalition and the government has suffered several defeats on issues that cross party lines. The coalition remains virtually intact but, as the 2014 election draws closer, allied parties will be tempted to demand a higher price for their continued support. Rousseff will also have to be on her guard against the emergence of new corruption allegations, as the renewal of the cabinet following a succession of scandals during

her tenure means that it will be harder to pass off any new controversies as a legacy from the previous government.

• Rousseffhasbeenstrugglingto

maintain a good relationship with the Partido do Movimento Democratico Brasileiro (PMDB) party. This has resulted in delays in voting and defeats on several important bills. The fragility of political alliances in Brazil means that there is always the risk of one or more of the allied parties withdrawing from the government. CallswithinthePTtofieldpopularformer president Lula as the party’s presidential candidate in 2014 reflectalackofconfidenceinPresident Rousseff’s leadership.

• Atameetingon15July2014inBrazil, the leaders of Brazil, Russia, India, China and South Africa announced that they were establishing a development bank which will be based in Shanghai to challengetheinfluenceofvenerableinstitutions like the World Bank and the International Monetary Fund.

Recent economic highlights• Brazilhasapopulationof 202 656 788 and a 90,4% literacy

rate and is the largest country in South America.

• IHSstatesthefollowingregardingnext year’s economic outlook: “on the external front, there is light at the end of the tunnel; the Brazilian economy will accelerate in 2015. At IHS, we do anticipate a more favourable external environment in 2014, so the contribution from trade to the growth equation, at least, will notbesignificantlynegative.TheUSeconomy will accelerate and Europe will move into positive growth after a prolonged recession; China will post stable growth somewhere around 7,0 to7,5%. Our latest forecast calls for Brazilian GDP to expand

1,0 to 1,2% in 2014, before accelerating to 1,9 to 2,1% in 2015. A more aggressive stance by the

Page 25: 23075 Export 09/2013

centralbankagainstinflationmayhelp improve business sentiment and investment.” The IMF forecasts real GDP growth of 1,3% in 2014 and2%in2015.Inflationstood

at 6,6% in July from 6,5% the previous month.

• TheHSBCBrazilManufacturingPMIreflectedworseningoperatingconditions for a fourth consecutive month in July 2014. Both output and new orders fell as the economy slowed. The PMI posted 49,1 in July upfrom48,7inJunereflectingafallin output albeit at a slower pace than in June. Capital goods producers were the only sub-sector who saw an improvement in business conditions. Evidence showed that lower production was linked to the World Cup. Additionally a drop in overall demand was related to the World Cup as new orders and overseas business fell during the month.

• InAugustthePMIimprovedforthefirsttimeinfivemonthsduetorisesin output and purchasing activity; the indicator rose to 50.2 in August from 49.1 in July. Intermediate goods producers recorded the strongest growth while new business in the Brazilian manufacturing sector remained unchanged. There was a slight improvement in new export orders and purchasing activity rose for the second consecutive month.

• Thenationalstatisticsagencyreported a 1,4% fall in industrial production. The industrial sector is facing headwinds as a result of higher interest rates impacting on domestic demand and a stronger currency which makes exports less competitive. The central bank has kept the benchmark Selic (BZSTSETA) rate at 11% since April after raising it from 7,25% in 2013 inordertostifledemandandcontaininflation.

• Consumerconfidencehascontinuedto drop since April 2012 due to high inflationandweakeconomicgrowth.However,confidencelevelshaverisen partly attributable to the World Cup.Theconsumerconfidenceindex measured by the think tank Fundação Getúlio Vargas (FGV) rose to 106,9 in July from 103,8 in June.

• InMarchStandard&Poor’scutBrazil’s sovereign credit rating to BBB- from BBB, the lowest level of investment grade as a result of sluggish growth and expansionary fiscalpolicies.AdditionallyMoody’srecently stated that “the credit-negative trends of lower growth and

higherinflationsuggestthatmacroeconomic conditions will not improve during the rest of the year, even after uncertainty surrounding the coming October general election fades away”. The ratings agency has forecast growth of 1,3% in 2014 and 1,5% in 2015.

• Brazilrecentlyissued$3,5billionofgovernment bonds in exchange for cash and old debt securities. The bonds are due in 2045. The country also sold $1,3 billion worth of seven-year bonds in March, three days after Standard and Poor’s lowered the credit rating.

• Argentina’sdebtdefaultwillpossiblyaffect Brazil’s economy; Brazilian exporters are forecasting lower sales while the greatest impact is likely to be felt in the auto industry. Brazil sends approximately 90% of its car exports to Argentina. However, Brazil’sfinanceministerstatedthatthe effect of Argentina’s default on Brazil was non-existent for now.

• Brazil’stravelandtourismsectorhadenjoyedasignificantboostduring the FIFA 2014 World Cup year according to the World Travel & Tourism Council (WTTC) when unveiling its Economic Impact 2014 report for Brazil. WTC is the global authority on the economic and social impact of the travel and tourism industry. Brazil has recently made moves towards eliminating visas for short haul trips for Mexican nationals with passports. The Economic Impact Report 2014 for Brazil shows that travel and tourism grew its total contribution to the Brazilian economy by 3,4% in 2013 and is predicted to grow its contribution by a further 5,2% during this world cup year and outperform the Brazilian economy by 3,6%. Domestic tourism makes up 95% of the sector’s contribution to the Brazilian economy.

• GiventhatChinaisakeytradepartner of Brazil and that relations between the two countries gained momentum at the recent BRICS Summit, Brazil can take advantage of the changing economic situation of its partner.

• Brazilrecordedagovernmentbudget surplus equal to 1,9% of

the country’s gross domestic product in 2013 Government budget in Brazil averaged 2,0% of GDP from 1998 until 2013, reaching an all time high

of 2,8% of GDP in 2008 and a record low of 0,8% of GDP in 1998. Brazil’s central government posted

aprimarybudgetdeficitof 1,946 billion reals (US$865 million) in June. • PresidentDilmaRousseff’s

administration has given up billions of dollars this year through tax cuts evenasitsfiscalmanagementcomes under scrutiny. Reduced levies on goods from furniture to automobiles comes as economists expect the world’s second-largest emerging market to grow at the slowest pace since the recession in 2009.Whileofficialshavereiteratedpledgestomeetthisyear’sfiscalgoals, these results take the budget results further away from the target.

• Theprimarysurplusasapercentageof gross domestic product in the year through June was 1,4% of gross domestic product, compared with 1,5% last month, according to the central bank report issued in June 2014. Brazil’s government said in February it is targeting a 1,9% primary surplus target this year.

• Brazil’srankingimprovedbytwoplaces in the 2014 World Bank Doing Business Report, standing at 116 out of 189 economies. The greatest improvement was in “Resolving insolvency (+11)”.

The categories that dropped by four points are the following: Dealing with Construction Permits,

Registering Property and Getting Credit.

Latest trade developments • MajorexportsfromBrazil:Transport

equipment, iron ore, soy beans, footwear, coffee, automobiles

• MajorimportstoBrazil:Machinery,electrical and transport equipment, chemicals products, oil, automotive parts, electronics

• MaintradingpartnersofBrazil:China, US, Argentina, Netherlands, Germany, South Korea

• SA’sexportstoBrazilin2011totalled R5,9 billion, R6,5 billion in 2012, R6,3 billion in 2013 and

R3,4 billion in January to June 2014• SA’simportsfromBrazilin2011

totalled R12 billion, R13,7 billion in 2012, R15,5 billion in 2013 and R7,4 billion in January to June 2014

23 ExPort & imPort SA // September 2014

Credit Guarantee country profile

SA exports to Brazil (TOP 5)

2012 2013

Products iron and steel R1 670 370 080 Chemicals R1 863 360 384

Chemicals R1 663 625 018 Products iron and steel R1 419 093 500

Mineral products R1 497 661 701 Plastics and rubber R1 220 931 983

Plastics and rubber R766 554 379 Mineral products R925 578 812

Machinery R498 450 231 Machinery R34 148 913

Page 26: 23075 Export 09/2013

24 ExPort & imPort SA // September 2014

Outsourcing in any industry has grown significantly over the last decade for three fundamental reasons:

Businesses outsource operations •that don’t form part of their core business – thereby allowing them time and energy to focus on where they are strong, and leave non-core functions to the experts.Businesses benefit from shared •resources in an outsourced environment, with the benefit of not having to manage human resources challenges.Businesses benefit from the •specific expertise that a dedicated outsource partner can bring to their business, thereby reducing the learning curve and maximising the effectiveness.

Though attractive, there are some unique challenges businesses face when looking to outsource any aspect

of their supply chain. Some of these include their current infrastructure, their current staffing and their legacy systems. Any one of these could prevent businesses from even considering the idea – and this is often at the cost of some major opportunities to reduce costs and risk.

Here’s why: A supply chain, like any other chain, is only as strong as its weakest link. That link is often the warehouse. Businesses struggle with challenges ranging from staff issues to overstocked warehousing to underutilised resources to ageing systems. These problems manifest themselves everywhere along the supply chain, and the knock-on effect and cost implications are significant.

With ageing systems, businesses fail to compete – and their supply chain as a result is often caught up in the reality of the status quo created by this ageing infrastructure and technology.

Value Logistics continues to invest significantly into the technology, processes and people that enable efficient supply chains. Not only does Value Logistics offers fully owned end-to-end supply chain solutions where we control, own and manage each part, more specifically we offer state-of-the-art facilities backed by leading edge technology and professional people.

If you believe that warehousing is about space only, then there is never a good time to make the shift. If you believe that outsourcing your warehouse management is about expertise and system, you may make a step in the right direction and find a partner.

But when you realise that outsourced warehouse management is about space and people and systems and structure – and is central to your supply chain efficiency – then you are likely to give us a call.

Warehouse management and outsourcing

Advertorial

Contact the Value Logistics team: 0860 1000 46 or [email protected].

In Value Logistics’ experience, when working with businesses looking to maximise their costs and reduce their risks within their supply chain, many company owners have been surprised how significantly optimised warehousing can influence this. It is often one of the most underutilised effectiveness initiatives available. Value Logistics helps businesses leverage this opportunity.

Page 27: 23075 Export 09/2013

24705 Export 09/2014

Page 28: 23075 Export 09/2013

26 ExPort & imPort SA // September 2014

Trade News

Online international trade facilitator Best SA Exporters (www.bestsaexporters.com) recently assisted Café Caps and Caffeluxe to establish two new international clients: in France and Switzerland.

Café Caps is a South African company that manufacturers a range of high quality Nespresso compatible coffee capsules under their own brand name, Caffeluxe, as well as private labels for their clients.

Best SA Exporters finds new international clients for their export-ready medium-sized South African FMCG manufacturers.

For further information contact [email protected]

Caps off to SA coffee capsule exporter

From left is: Nicholas Roberts, Best SA Exporters – Creative; Ryan Theron, Best SA Exporters – Sales; Daniel Querido, Café Caps/Caffeluxe – Sales; and Ryan Brauer, Café Caps/Caffeluxe – Creative – Photo courtesy Sam Burrows

Forming part of the Wesgro Connect pilot programme, Wesgro, Cape Town and the Western Cape’s official Tourism, Trade and Investment Promotion Agency hosted a Connect Up networking session at the Two Oceans Aquarium in Cape Town on Wednesday, 3 September.

The Connect Up session which accommodated a targeted group of local businesses by invite only, consisted of interactive discussions between local business people wanting to know more about exports and captains of industry who shared their expertise in areas such as customs and excise, VAT, business development strategies and exchange control.

Soraya Mohideen, Project Manager on the Wesgro Connect programme, believes that one of the ways for companies to accelerate their exports is to be paired with experts who have vast knowledge in the field: “We know that for a company to enter a foreign market is not easy and there are barriers that may hinder their expansion which could be detrimental to our entrepreneurs. The Connect Up sessions aim to address some of these barriers and equip potential exporters with the necessary expertise to avoid pitfalls,” says Mohideen.

Based on a speed dating concept, Connect Up gives local companies the opportunity to engage directly with captains of industry as they exchange fresh ideas, valuable information and gain insights into maximising their business export potential.

Connect Up forms part of a pilot programme led by Wesgro and the city of Cape Town which aims to assist local businesses in growing their market linkages and fast-track companies who are export-ready or already exporting.

“Many businesses had the theoretical background but didn’t know how to apply it,” says Mohideen who conducted the

initial survey and impact assessment and now heads a team tasked to deliver the pilot.

“There are no similar national programmes with an export focus and the city decided to conduct export market linkages and export mentorship programmes to determine the scale of a possible full implementation. This has led to the birth of the Wesgro Connect programme.

“The Wesgro Connect programme will see knowledge transfers from mentors to a group of SMMEs that are already exporting or are export-ready. “We are recruiting mentors on a voluntary basis, with the criterion being that they have export experience and reside in the Western Cape,” she adds.

With the market linkages programme, Wesgro aims to connect businesses with sector development agencies, export councils and other industry bodies. The pilot programme will focus on exports to BRICS countries, Middle East and Africa. Criteria for businesses which are selected for the market linkages programme is that they must be export-ready.

Connect Up: preparation to export

Tim Harris, head of Cape Town’s investment directorate opens proceedings during the first Connect Up session

Page 29: 23075 Export 09/2013

27ExPort & imPort SA // September 2014

IFEA 2014 invests to reinforce position as Africa’s top food and drink expo

Advertorial

The most prestigious food and drink trade event on the African continent is returning to the Sandton Convention Centre in Johannesburg from 5 to 7 November. Hosted in South Africa for the first time last year, organisers, Specialised Exhibitions

Montgomery, are going above and beyond to ensure that IFEA 2014 is bigger and better than any other industry trade show – and that includes hiring some big names to head up this year’s expo.

Explains Chris McCuin, Business Development Director for Montgomery, who was instrumental in the growth of IFE, the company’s flagship international food and drink event in the UK, of which the African IFEA is a clone: “We are committed to investing in the Pan African show and are planning for it to be an absolute force to be reckoned with. We have in the past few months taken on a new Portfolio Director and are now bringing on a new Event Director locally, as well as enlisted the expertise of a Brand Director based in London, all of whom are working towards the one goal of cementing IFEA’s reputation as the leading international food and drink trade event on the African continent.”

McCuin joined Fresh Montgomery at the beginning of 2010 to take over the Directorship of IFE and was instrumental in launching IFEA in Johannesburg, South Africa in 2013. Christopher has a solid background in international exhibitions having managed some of the largest, most

established exhibitions throughout Asia and China since 2003.

Heading up IFEA in South Africa is Werner Douglas, Portfolio Director of Specialised Exhibitions. Douglas, has a wealth of knowledge and experience in the development of sales processes and techniques.

The most recent addition to the IFEA team, on board with plenty of time to take IFEA 2014 to greater heights, is Nicholas Sarnadas, Event Director at Specialised Exhibitions Montgomery. Sarnadas joins Specialised Exhibitions Montgomery from the South African Chefs Association (SACA) where he held the positions of Events Manager and National Culinary Team South Africa Logistics Manager. Sarnadas has been engrossed in the industry for the past six years.

“With everything from never-seen-before product innovations from the largest number of international food and drink suppliers ever exhibiting at any one time on the African continent, to a myriad of new product sourcing, networking and educational experiences, IFEA 2014 will be nothing short of extraordinary,” concludes McCuin

For more information on IFEA 2014, see below.

Chris McCuin, Business Development Director for Montgomery

2470

6 Ex

port

09/2

014

Page 30: 23075 Export 09/2013

28 ExPort & imPort SA // September 2014

Awards

In its 33rd year, the Exporters Club of South Africa – Eastern Cape – continues to celebrate the achievements of the province’s exporters, and once again hosted the annual Exporter of the Year banquet in recognition of such. More than 450 guests attended the event at the

Boardwalk Convention Centre in Port Elizabeth at the beginning of August.

Guests were welcomed by master of ceremonies Jane Stevenson and the guest speaker on the night was Jason Barrass of ABSA Capital, the Platinum sponsor of the prestigious event.

A big congratulations to Jendamark Automation (Pty) Limited. The company walked away with the overall award for Exporter of the Year 2014 – having achieved the most success in the period under review. Formed in 1989, Jendamark Automation provides world-class production lines and assembly facilities to export orientated customers, predominantly to the automotive industry, with the pharmaceutical, food and beverage and packing industries benefiting from the company’s services.

Best exporter for 2014 in the small business category for direct and indirect exporters with export turnover up to R25 million is Howden Donkin (Pty) Limited. A merit award in the same category was awarded to Mend-A-Bath International (Pty) Limited for improvement in profitability

Best exporter in the medium enterprise category for direct and indirect exporters with export turnover between R25 and R100 million went to Jendamark Automation with a merit award issued to Salego Industries (Pty) Limited for improvement in profitability

Best exporter in the corporate category for direct and indirect exporters with export turnover greater than R100 million went to Shatterpruffe. A merit award to Eberspacher South

Africa (Pty) Limited for their improvement in profitability and capital investment.

Best provider of services to exporters – a category for service providers to the export industry, usually forwarding and clearing agents, shipping lines and agents, other forms of transport including courier, insurance agents, underwriters, financial services providers, went to the Coega Development Corporation. A merit was awarded to Jas Forwarding (Pty) Limited for their improvement in profitability, job creation and capital investment.

In a new category, best exporter of OEM equipment for the automotive industry, went to Volkswagen Group South Africa.

The SJM Flex Environmental award for exporters that are ISO 14001 accredited and that pursue excellence in environmental management went to Volkswagen Group of South Africa for the third consecutive year, with a merit award earned by Ford Motor Company South Africa (Pty) Limited and General Motors South Africa for continuous improvement.

2014 winner of the IDC Job Creation award for exporters who have created the most sustainable jobs over the last year went to Shatterpruffe. Whille Jendamark Automation was recognised once more with a merit for job creation.

Other sponsors of the event were Transnet National Port Authorities (gold), the Eastern Cape Development Corporation (gold), Credit Guarantee (silver), Industrial Development Corporation (silver) SJM Flex (silver) and KPMG (bronze). The Weekend Post and Kingfisher FM were the media sponsors.The judges for the SJM Flex Environmental award were Dr Anton de Wit (NMMU), Johnny Pitorino (SJM Flex), Phinda Xipula (SJM Flex), Gareth Andrews (Green Leaf) and Quintin Levey (Exporters Club chairman). The independent judges for the other awards were Zodwa Kepeyi – ECDC, Steve Burgess – NMMU Business School, Zoe Waters – NMBBC, Lance

Schultz – AIDC, Neil Mattheus – ABSA Capital, Kingsley Dell-Robinson (IDC) and Quintin Levey (Exporters Club chairman).

The Exporters Club is aimed at organisations involved in exporting, either directly or indirectly, and for organisations with an interest in exporting. There are currently approximately 290 organisations on the club's database, including automotive, pharmaceutical, agricultural and services industries. The club annually undertakes several activities in promoting its aims. Monthly meetings are held which are conducive to networking with informative speakers on a variety of export-related subjects. These functions are free for members and R100 per person for non-members.

For further information on the club, contact the chairman, Quintin Levey at [email protected]

Well done, exporters, South Africa!

Proud moment: winners and judges of the recent Eastern Cape Exporter of the Year banquet and awards in Port Elizabeth

Page 31: 23075 Export 09/2013

23347 Export 10/2013

Page 32: 23075 Export 09/2013

30 ExPort & imPort SA // September 2014

Trade News

Airports Company South Africa (Acsa) announced the appointment of Bongiwe Pityi as the first female General Manager of South Africa’s O.R. Tambo International Airport.

“I am very excited, but also humbled by the fact that I have been appointed to lead Africa’s premier airport,” said Pityi. “I have no doubt about the challenging task ahead, and am equally confident that during my two-

year stint in Brazil I learnt lessons that will enhance my ability to add value.I do feel privileged that I will be supported by a strong and effective management team.”

With 14 years experience in the aviation industry, Pityi most recently held the position of Deputy Director: Operational Readiness Planning at the Guarulhos International Airport, in São Paulo, Brazil, in which Acsa has a stake.

Acsa’s first female GM

Bongiwe Pityi is to head South Africa’s flagship airport, O.R. Tambo International

Plans by Zimbabwe to drive a policy promoting vehicle assembly through the importation of knocked-down kits and the importation of higher tariffs on imported vehicles will significantly dent exports by South Africa’s automotive industry.

Total automotive exports from South Africa to Zimbabwe were worth a total of R1,85 billion last year, of which R1,1 billion was attributable to vehicle exports and R839 million to automotive component exports, according to the latest South African Automotive Export Manual published by the Automotive Industry Export Council.

Norman Lamprecht, the executive manager of the National Association of Automobile Manufacturers of SA, said that Zimbabwe had already introduced some surcharges on vehicle imports, which was similar to what Nigeria had done. Lamprecht said this could have a significant negative impact on South African automotive exports because Zimbabwe was one of the top destinations in Africa for these exports. But he said any tariff increases by Zimbabwe applicable to South Africa would be in conflict with the Southern African Development Community (SADC) free trade agreement. This agreement is between the SADC member states with almost all tariff lines traded duty free.

Lamprecht said the agreement was subject to the rules of origin, which specified 40% local content and completely knocked-down vehicle assembly. In terms of the definition, this meant that all parts must be in unassembled format, which meant a production facility and paint plant were required.

Lamprecht said there was already some vehicle assembly taking place in Zimbabwe but it only amounted to a few hundred vehicles a year. He questioned whether it would be economically viable for Zimbabwe to produce vehicles on a small scale and protect its industry with high import duties. Lamprecht added that Africa was the dumping ground for global used vehicles, which were the main competition for new vehicles and grey imports on the continent. Reports from Zimbabwe suggest that used vehicle imports will still be permitted. He said used vehicle imports undermined any new vehicle manufacturing industry, which was the reason they were not allowed in South Africa.

Nigeria last year emerged as a potential competitor to South Africa for foreign direct investment by global multinational vehicle manufacturers. This followed the Renault-Nissan alliance and west African conglomerate Stallion Group announcing their intention to jointly launch vehicle assembly in Nigeria and indicating there was potential to develop the plant into a major manufacturing hub for Nissan in Africa.

However, Nissan SA managing director Mike Whitfield, who is responsible for the sub-Saharan Africa region, including South Africa and Nigeria, stressed it did not pose any threat to the domestic motor industry and was an opportunity for cooperation and complementation.

SA’s auto industry, the Zimbabwe development

South African supermarket chain Pick n Pay wants more Zimbabwean agricultural products to add to the current basket of commodities being exported across the Limpopo River.

The company’s director of group enterprises, Dallas Langman, made the statement at the opening of the new TM

Msasa branch, Harare, recently. Zimbabwean fruits and vegetables, he said, can be traded anywhere in the world due to their quality. The South African supermarket chain has, for the past two years, been importing strawberries from Zimbabwe and hopes to extend the product range to other commodities.

Pick n Pay wants Zimbabwe produce

Page 33: 23075 Export 09/2013

Import and export trade volumes for DHL Express Sub Saharan Africa remain strong and are forecast to grow.

“The first half of 2014, revealed strong continuing growth for DHL Express Sub Saharan Africa’s top three import trade lanes: the United States, France and China while the top three Sub Saharan Africa’s export trade lanes were to Great Britain, the United States and France,” explains Charles Brewer, Managing Director for DHL Express Sub-Saharan Africa.

Deutsche Post DHL in August released their second quarter results, which saw the company achieve an increase in operating profit globally of almost 11%, thanks, in part, to increased profitability within its DHL Express business unit.

“Trade in Africa continues to present huge opportunities for both established and emerging markets and as stronger connections and trade relations are forged between SSA and the rest of the world, supported by innovative logistics supply chains, the faster Africa’s economic development will accelerate.”

Even with the accelerated growth that the continent has experienced, Africa is the world’s least connected continent, when considering the ease of moving people, trade, information and finance, according DHL’s Global Connectedness Index.

“Going forward, regional integration will continue to play a key role in unleashing the continent’s growth potential. Some of the areas being talked about and focused on include a continental free trade zone, single customs union, a common currency, etc. all of which should significantly improve intra-regional trade, which presently is less than 20%.

A good example of this is the recent and rapid progress made by the East Africa Community (Kenya, Uganda, Tanzania, Rwanda and Burundi) who are working incredibly hard on developing a number of critical and trade boosting areas such as projects to improve the roads, ports, rail and critically, the customs border environment and have recently introduced a common visa for the region.”

“For DHL Express Sub Saharan Africa, the first half of 2014 was characterized by robust growth in the Energy sector – particularly due to exploration companies mobilizing new campaigns in countries such as Cameroon, Congo and Gabon.

The Technology sector continues to provide ongoing opportunities for DHL to provide innovative solutions, particularly through cross-business unit collaboration as customers look to align their internal requirements to achieve efficiencies and cost containment. Financial Services, although under competitive & regulatory pressure, has continued to grow – mainly driven by the need to provide customers with financial instruments quickly and effectively.”

31 ExPort & imPort SA // September 2014

Trade News

DHL Express strengthens Africa’s links

2458

2 Ex

port

09/2

014

Charles Brewer, Managing Director for DHL Express Sub-Saharan Africa

Page 34: 23075 Export 09/2013

32 ExPort & imPort SA // September 2014

Volvo Group company UD Trucks Southern Africa has announced the resignation of the company’s managing director, Jacques Carelse.

Rory Schulz, a well-respected and experienced stalwart at the company and UD employee since 1991, has been appointed acting managing director.

Said Torbjörn Christensson, the company’s president for the southern African region: “We have every confidence in Schulz and we know that he is dedicated to the

success of the company, its dealers and UD Trucks customers across the region. In addition, the UD Trucks Southern Africa management team is one of the most experienced and knowledgeable in the industry,” said Christensson. He also acknowledged Carelse’s contribution to the success of UD Trucks during his 20 years with the company.

The company says that more model introductions are planned for the southern African market over the medium and long term.

Fortunate Mboweni of Bidvest Panalpina Logistics is the winner of the Region Africa Middle East phase of the Young Freight Forwarder of the Year competition (export & import SA August issue), which is held by the International Federation of Freight Forwarders Association.

Fortunate’s prize is to attend and participate in the FIATA World Congress in Istanbul in October this year. At this Congress Fortunate and the three other regional winners representing the Americas, Asia Pacific and Europe will compete to become the global winner.

The global winner will receive a total of five weeks' training in New York and London, as well as at one of the IATA major centres, with all expenses paid by competition sponsors, the Transit Trade Club and International Air Transport Association. The competition was developed to encourage training in the freight forwarding industry and to further develop the professionalism of young people.

Winners were chosen from dissertations on how they handle all aspects of the international movement of goods that are not the usual run of the mill cargo. Fortunate’s dissertation was called “Multimodal transport operations in practice: radioactives and abnormals from and to South Africa”.

Fortunate is a channel controller at BPL and she is currently studying for the Generic Management NQF level 5 qualification.

Heading for finals of young freight forwarder competition

From left is Charles Dey, Dave Walls, winner Fortunate Mboweni and Basil Pietersen, President of the South African Association of Freight Forwarders (SAAFF)

UD Trucks appoints new MD

Interim MD of UD Trucks Southern Africa, Rory Schulz

Hino SA has added an eighth model to its popular 500-Series range of trucks. The 6x2, long-wheelbase 2626 (260 hp engine/26 tons) freight carrier has an excellent payload capability, a fuel-efficient powertrain and the manufacturer’s competitive lifetime costs.

"The 6x2 freight carrier market has exhibited significant growth over the past five years, rising from about 250 units a year to more than 500, so it is important for Hino to have a model to suit this growing demand," explained Hino SA vice president Ernie Trautmann.

"Previously we had only the shorter wheelbase 1626 and 1726 models with a tag axle to offer in the 6x2 market. Chassis were extended or shortened where required for the specific load type. Now the new longer wheelbase 2626 derivative offers a significant improvement of 2 000 kg in payload."

"We are already receiving serious enquiries about the new model from operators and are pleased we have been able to fill this gap in our 500-Series line-up," added Trautmann.

Hino tops up 500 range

The longer option: Hino’s 6x2, long-wheelbase 2626 model

Trade News

Page 35: 23075 Export 09/2013

33 ExPort & imPort SA // September 2014

Trade News

Professional services firm WSP in Africa has strengthened its rail infrastructure capability by bringing specialist railway engineering and consulting company Seporo into its Transport and Infrastructure division.

“The need for infrastructure development across the African continent is well known. In South Africa in particular, government has committed to spending R827 billion on infrastructure development over the next three years under the National Development Plan. WSP has always had exceptional global rail expertise supporting

our local team, but this demand requires increased local capacity,” says Darrin Green, chief operating officer for WSP’s Civil & Structural Engineering team.

The Seporo team adds extensive surface and underground railway systems experience. Gavin Higgs, one of Seporo’s founding directors and now technical director with WSP, brings 33 years of specialist railway design, construction and maintenance experience to the team. His partner, Eugene Annandale, now principal associate at WSP, brings a further 36 years’ experience in the railway engineering field.

Darrin Green, chief operating officer for WSP’s Civil & Structural Engineering team

Hyundai Automotive South Africa opened its commercial vehicle assembly plant on the East Rand of Gauteng as part of a multi-million rand investment in its Commercial Vehicle division in the local automotive market. The Semi-Knocked-Down (SKD) assembly plant in Apex, Benoni, is expected to produce 50 units a month, focusing

specifically on the Hyundai HD65 and HD72 trucks. For now the trucks produced in the plant will be distributed in the South African market, but Hyundai is investigating options to export to markets in the sub-Saharan region of Africa. Of the vehicles assembled in the Benoni plant, 20% could be exported to neighbouring southern African countries.

Hyundai plant opens

WSP strengthens rail capabilities

2379

0/R

1 M

alno

r Cre

ativ

e 07

/201

4

Page 36: 23075 Export 09/2013

34 ExPort & imPort SA // September 2014

Entrepreneurs and business owners made it in their chosen fields by having the confidence to do things their way. They didn’t conform to a mould

established by third parties.

Clients with an independent mindset like this make up a substantial portion of the customer base at Bidvest Bank, and that includes clients running import and export businesses.

Serving the entrepreneurial importer/exporter requires an approach as individual as the person concerned. These clients expect to drive the transaction and make all the key choices.

This is why Bidvest Bank allows customers to choose what approach to take to a critical process like international corporate payments.They can opt for a secure online payment solution. It’s fast, convenient and suits many clients in the import and export field. But it doesn’t suit everyone. At Bidvest Bank that’s not a problem because personal service has always been a source of competitive advantage.

Customers can also opt for personal, offline payment solutions. This is easy to arrange as a dedicated relationship manager is seconded to every corporate client. Clients simply stipulate the payments approach that suits them best and the relationship manager makes sure it happens.

For instance, once the necessary safeguards have been put in place, the client can call the Bidvest Bank dealing room directly to authorise international payment.

Another option is to sit face-to-face with your dedicated relationship manager. No need to even leave your office, your relationship manager comes to you.

Jill Murtagh, the bank’s head of payments, points out: “Because relationship managers are seconded to each corporate clientwe get very accurate feedback onclient preferences.

“Entrepreneurial clients don’t like to be regimented. They tell us they feel lost in the system when they deal with some

other banks. They come to us because we don’t impose our own system.

“With us, they’re in charge and have the right to choose.”

Earlier this year, Bidvest Bank launched a new internet payment platform, but simultaneously announced that personal service and personal choice remained embedded in the way the bank conducts business.

“We can provide sophisticated web-based systems,” says Murtagh, “But we don’t impose them. Our new service enjoyed ready acceptance, but established one-on-one options remain as popular as ever and are the preferred choice of many import and export clients.”

In addition to global payments, the bank provides trade services (open account payments, foreign bills for collection, letters of credit, guarantees, trade finance loans and CFCs) and exchange control services.

For further information, visit www.bidvest.co.za

Personal service – a source of competitive advantage

Advertorial

Jill Murtagh, Bidvest Bank’s head of payments

Combined Motor Holdings (CMH) is expanding its commercial vehicle offering with a R45 million investment in a new state-of-the-art UD Trucks dealership in Pinetown, KwaZulu-Natal.

The new dealership will join the existing CMH Commercial UD dealership in Pietermaritzburg and its collection of on-site satellite service centres to further improve the company's service to truck fleets on

the N3 highway, one of South Africa's busiest trade routes.

"A truck, especially one of the calibre of a UD Trucks vehicle, is measured on its work rate and in order to remain profitable a truck fleet must spend as much time as possible on the road," says Ron Byng, dealer principal of CMH Commercial UD Trucks. "With that in mind we have invested heavily in creating a one-stop shop to fleet owners."

The new CMH Commercial UD Trucks dealership in Pinetown is a full-service operation. The facility is equipped with state-of-the-art repair, servicing and diagnostic equipment and several specialised services, such as brake and roadworthy testing, can now be done on site.

The dealership also offers full 24-hour roadside assistance, after hours servicing and a dedicated express service facility for time-pressed fleet operators.

New UD dealership to serve KZN and N3 trade route

Page 37: 23075 Export 09/2013

24621 Export 09/2014

Page 38: 23075 Export 09/2013

To add your event to our calendar or request further information of an event, contact the editor: [email protected] or visit the web pages provided.

*Highly recommended

Events in Africa

21st Business Opportunities and Franchise Expo (BOFE)Coca-Cola Dome, Northriding, Johannesburg, South Africa11 to 14 September/www.bofe.co.za

PMA Congress (Professional Movers Association)The Boardwalk Hotel, Port Elizabeth, South Africa11 to 14 September/www.pmamovers.co.za

Electra Mining AfricaExpo Centre Nasrec, Johannesburg, South Africa15 to 19 September/www.electramining.co.za

*Aerospace Africa & Defence 2014 (AAD 2014) exhibitionAir Force Base Waterkloof, Pretoria,South Africa 17 to 19 September (Trade days) 20 to 21 September (Public days)/www.aadexpo.co.za

Agri Mega Week Mega Park, Bredasdorp, South Africa17 to 20 September/www.agrimegaweek.co.za

*SA Agricultural Outlook Conference CSIR International Convention Centre, Pretoria, South Africa30 September/www.agrimark.co.za

TransAfrica ‘Expo and Conference’ Expo Centre, Nasrec, Johannesburg, South Africa7 to 9 October/www.transafricaexpo.co.za

1st African Marketing Confederation SummitVictoria Falls, Zimbabwe15 to 18 October/www.africanmc.org

Connecting Africa: Transport Infrastructure Cape Town, South Africa20 to 22 October/ connectingafricalse.marcusevans.com

The New Mozambique Gas and Petroleum Law Johannesburg, South Africa22 October/www.africaninfex.co.za

*The 12th Intermodal Africa SouthDurban, KwaZulu-Natal, South Africa23 to 24 October/www.transportevents.com

CGCSA summit Vodaworld, Midrand, South Africa28 to 29 October/www.cgcsa.co.za

*MCLI’s 10th Anniversary EventMaputo, Mozambique30 October/www.mcli.co.za

14th World Conference: Cities and PortsDurban, South Africa3 to 8 November /www.citiesandports2014.aivp.org

China Sourcing Fair (CSF) Expo Centre, Nasrec, Johannesburg, South Africa13 to 15 November/www.chinasourcingfair.com/southafrica

*Import Management Certificate Course (JHB Chamber)Johannesburg, South Africa3 to 8 November/www.jcci.co.za

10th PAPC ConferenceMombasa, Kenya16 to 19 November/www.papc2014.co.ke

International events

6th International Conference on Magnetic Refrigeration at Room Temperature (Thermag VI)Victoria, Canada7 to 10 September/www.iesvic.uvic.ca

Port Finance International MoroccoMorocco15 to 16 September/ portfinanceinternational.com

*ChillventaNuremberg, Germany14 to 16 October/www.chillventa.de

Fruit Attraction (Fruit and Vegetable Trade Show)Madrid, Spain15 to 17 October/www.ifema.es

*FIATA World CongressIstanbul Bomonti Hotel & Conference Centre, Istanbul, Turkey18 October/[email protected]

14th Symposium on Heavy Vehicle Transport Technology San Luis, Argentina 27 to 30 October/www.hvttconference.com

Port Senior Management SeminarIsrael13 to 27 November/www.galilcol.ac.il

Asia Logistics and Maritime ConferenceHong Kong Convention and Exhibition Centre, Hong Kong18 to 19 November

6th Mining Turkey Istanbul, Turkey 27 to 30 November/www.madenturkiyefuari.com

Vietnam ExpoHo Chi Minh City, Vietnam3 to 6 December/www.vietnamexpo.com.vn

India Cold Chain ShowBombay Exhibition Centre, India10 to 12 December/indiacoldchainshow.com

20

14

eve

nt c

alen

dar

Page 39: 23075 Export 09/2013

24437 Export 08/2014

Page 40: 23075 Export 09/2013

2462

0 E

xpo

rt 0

9/20

14