INTERVIEW: TANGIER-MED - AFRICA’S GATEWAY TO THE WORLDFull Story On Page 11

AFRICATRADE-WATCH

China, Nigeria Sign N2 Trillion Railway Deal

ISSUE 36 | MAY 2014

Mozambique: Port of Maputo After 11 Years of Concession

TNPA Offers Insight Into Future Plans For SA’s Ports

25 29 37

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AFRICATRADE-WATCH

ISSUE 36 | MAY 2014

Contents03 /African Group News

13 /Pan Africa

15 /Western Africa

27 /Eastern Africa

33 /Southern Africa

Interview: Tangier-Med - Africa‘s Gateway to The World

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China, Nigeria Sign N2 Trillion Railway Deal 25

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Mozambique: Port of Maputo After 11 Years of Concession

South Africa: TNPA Offers Insight Into Future Plans For SA’s Ports

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Website: www.delmas.comEmail: lhv.marketing@delmas.netTweet: @DelmasWeDeliver

CMA CGM Marseille Head Offi ce4, Quai d’Arenc 13235 Marseille cedex 02 France

Tel : +33 (0)4 88 91 90 00

www.cmacgm.com

Disclaimer of LiabilityCMA CGM / DELMAS make every effort to provide and maintain usable,

and timely information in this report. No responsibility is accepted for

the accuracy, completeness, or relevance to the user’s purpose, of

the information. Accordingly Delmas denies any liability for any direct,

indirect or consequential loss or damage suffered by any person as a

result of relying on any published information. Conclusions drawn from,

or actions undertaken on the basis of, such data and information are the

sole responsibility of the reader.

THE TRADE & TRANSPORT REPORTBrought to you by CMA CGM / DELMAS Marketing

Rachel Bennett Dominic Rawle

The CMA CGM Group has become the first carrier to provide 5,700 TEU capacity vessels offering a direct call to West Africa.

The improved ASAF service will now deploy 12 post-panamax vessels of this scale. The use of such containerships to West Africa marks a major turning point for the trade, as infrastructure improvements at several West African ports now allow the use of gearless ships that triggered the assignment of larger ships. This direct loop operates at lower unit costs and offers shorter transit times. Furthermore, the move enables companies to improve their efficiency and competitive position, and respond to developments in the market.

The ER CANADA made its inaugural call at Walvis Bay [Namibia] on May 9th, Pointe Noire [Congo] on May 14th and will call Luanda [Angola] on May 17th.

The moves enables the CMA CGM Group to further develop in Africa where it has had a presence since 2001, when the WAX trade was created - linking West Africa with China. Consolidated with the acquisition of DELMAS, the maritime transport expert in Africa, in 2006, the CMA CGM Group is now the leading transport in Africa. With 72 offices in 43 countries, 25 maritime services, 1,300 employees, the CMA CGM Group has transported over 1,200 000 TEU in 2013 from/to Africa.

CMA CGM Targets West Africa With 5,700 TEU Vessels

The Group aims at reinforcing its maritime services with the opening of new trades and calls, developing the creation and modernization of its ports infrastructures, extending its solutions for intermodal transport so as to deliver cargo inland and creating new logistics platforms. The evolution of this service fits perfectly into this strategy.

Mathieu Friedberg, Vice President Delmas and CMA CGM Africa Lines

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AFRICAN GROUP NEWSCMA CGM / DELMAS

ASAF SERVICE PROFILE - Rotation: Shanghai, Ningbo, Chiwan, Nansha, Singapore, Tanjung Pelepas, Port Kelang Walvis Bay, Pointe Noire, Luanda,

Cape Town, Port Kelang, Shanghai - Frequency: Weekly - Direct calls in Northern China Ports - Calls at CMA CGM dedicated Port Kelang hub allows relay on CMA CGM global service network and dedicated feeders

to and from all ports in Far East and South East Asia. - Support of in-house specialists in offices both in Asia and in West Africa.

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CMA CGM / DELMAS has improved its service coverage with a new direct link from US Gulf to Southern Africa.

The new KHULU service was launched this month as follows:

- Rotation: Houston, Walvis Bay, Cape Town, Durban, Maputo, Richards Bay, Houston - Landlocked connections: Onward transportation to the heart of Austral Africa countries: Zimbabwe, Zambia, Botswana,

Lesotho and Swaziland through the Durban gateway. - Vessels: 6 x 1,400-1,866 TEU range 1,454-teu. Amber Lagoon [built 1997], the 1,866-teu Atacama [built 2004], the 1,454-

teu Grey Fox [built 1998], the 1,866-teu Lombardia [built 2005], the 1,644-teu Marie [built 1999] and the 1,400-teu Purple Beach [built 1998].

- Transits:

Walvis Bay Namibia

Cape TownSouth Africa

DurbanSouth Africa

Maputo Mozambique

Richards Bay South Africa

Houston, US 27 30 35 42 49

The KHULU service offers a direct link from Houston, Texas, to all main Southern African ports. This new service will enable CMA CGM / DELMAS to cater for the growth of the South African market, already making more than 9% of its trade with the United States in the mining industry, gas and chilled goods sectors.

Houston is home to 25 Fortune 500 companies and is known as the “Energy Capital of the World” due to its large concentration of oil, gas and renewable energy companies. Its economy is diverse and robust, and matches with the types of industries that South African entrepreneurs are pursuing such as in medical, transportation and manufacturing. In February 2014 the Greater Houston Partnership lead a trade delegation of top business officials to discuss commerce and investment opportunities to South Africa, the first in a decade. Annual trade between Houston and South Africa totalled US$1.3b in 2012.

Khulu Service: New Direct Service USA / South Africa

SOUTH AFRICA-US TRADE FACTBOX

- South Africa is currently US 38th largest goods trading partner

- US$15.8b 2-way trade: US $7.3b exported / US$8.5b imported

- Exports: Machinery, precious stones, vehicles, electrical machinery, optic and medical instruments

- US$295m - US exports of agricultural products inc: dairy products [$28m], wheat [$25m], planting seeds [$24 million], and poultry meat [$24m]

- Imports: Precious stones [platinum/diamonds], vehicles, iron and steel, ores, slag, ash, machinery

- US$253m – US imports of agricultural products from South Africa: wine/beer [$69m], fresh fruit [$59m], tree nuts [$42m].

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AFRICAN GROUP NEWSCMA CGM / DELMAS

In order to strengthen our offer in the Indian Ocean, both import and export, the CMA CGM Group has deployed a 2nd vessel on its fortnightly Indian Ocean Feeder service thus optimizing rotations with a second loop.

First Loop:

The CMA CGM Group, which is already the sole carrier to offer regular calls in the 7 ports of Madagascar, will continue to expand intra-regional trade as well as national cabotage in Madagascar. The 2-Indian Ocean Feeders offer onward connections with the Groups MASCAREIGNES EXPRESS service for Europe, Persian Gulf and India, MOZEX service for Asia and the SHAKA service for the African continent.

Indian Ocean Feeder Service Upgraded

MADAGASCAR FACTBOX [2012]

Exports Cloves [10%], Knit Sweaters [9.9%], Crustaceans [7.0%], Refined Petroleum [5.4%], and Titanium Ore [3.6%]

Imports Refined Petroleum [19%], Rice [2.8%], Raw Sugar [2.5%], Packaged Medicaments [1.9%], and Cars [1.8%]

Export destinations France [32%], Singapore [6.8%], Germany [6.6%], China [5.9%], U.S [4.8%]

Import origins U.A.E [15%], China [14%], France [7.9%], S. Africa [6.1%], Other Europe [5.9%]

Second Loop:

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CMA CGM / DELMAS has extended its ports coverage on the SHAKA2 service covering the Asia-South Africa-Indian Ocean trade. The service now includes a direct call to Kaoshiung, Taiwan and Hong Kong.

SHAKA2Rotation: Shanghai [Tue], Ningbo [Wed] Kaoshiung [Fri], Hong Kong [Sun], Yantian [Mon], Tanjung Pelepas [Fri], Port Louis [Sun], Durban [Sat], Port Elizabeth [Fri], Singapore [Wed], Kaoshiung [Wed], Nansha [Fri], Hong Kong [Sat], Yantian [Sun], Shanghai.

SHAKA2 Service New Features

From mid-May CMA CGM / DELMAS will offer a new weekly feeder service calling Pointe Noire to Lobito and Namibe. To enhance connectivity Pointe Noire will be offered as a main hub port to all main service routes covering Asia, India, Middle East, South America.

Pointe Noire Logistics Hub

POINTE NOIRE FACTBOX - Container terminal operated by Port Autonome de Pointe Noire. The Stevedore is Congo Terminal. - Conventional port is managed by operators such as Bolloré Africa Logistic Manutention, Congo Services, Socotrans,

Socomab - Quay: 800m with ongoing extension of 270m [G4] - Draught: Being extended from 12 to 15m - Berths: 11 [G1 to G4: containers / D1 to D5: containers & multipurpose / MOLE [M7 & M8: logger & multipurpose] - Yard: > 38 ha - Reefer Plugs: 588 - Full storage container capacity: 14,100 TEU full with traffic in excess of 518,000 TEU pa / 8,000 TEU empty - STS [Ship to shore gantries]: 2 / MHC [Mobile harbour cranes]: 3 / RTG [Rubber Tyred Gantries]: 2 / Reach stackers: 26 - Gates: Daily 07H30-17H00 & 18H00-06H00 / Continuous loading/unloading 24/7

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AFRICAN GROUP NEWSCMA CGM / DELMAS

Forty-six years after pioneering the first front-wall refrigeration unit, Carrier Transicold Pte Ltd, presented its 1-millionth unit during a ceremony at its Singapore manufacturing facility. The milestone unit, a PrimeLINE unit with XtendFRESH atmosphere control system, was presented to CMA CGM, the world’s 3rd-largest container shipping company.

As a shipping line CMA CGM / DELMAS strives continuously to extend its range and quality of services. As such we provide a specialist reefer desk to offer customers total refrigerated transport solutions. The desk provides one entry point for both our customers and our agency network, offering expertise on reefer business and the African market. The objective is to identify customer needs and apply appropriate service solutions.

Transicold Presents CMA CGM With 1-Millionth Reefer

Aware of the humanitarian and social challenges facing many African countries, the CMA CGM Corporate Foundation decided in 2012 to put CMA CGM’s expertise at the service of French non-governmental organizations [NGOs] Actions contre la Faim [ACF] / Action Against Hunger and Médecins Sans Frontières [MSF] / Doctors Without Borders.

Our latest operation transported 9-containers of medical and logistics equipment for MSF as well as 40-tons of nutritional food for ACF. Based on seed/peanut oil the food is enriched with vitamins and minerals to help fight severe malnutrition in children under the age of five over the course of 1-year.

CMA CGM Foundation: http://www.cma-cgm.com/the-group/foundation Actions contre la Faim: http://www.actioncontrelafaim.org/Médecins Sans Frontières: http://www.msf.fr/

CMA CGM Corporate Foundation Containers Of Hope: Central African Republic Operations

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On April 14 the Groups new office in Toliara [Tuléar], Madagascar, was inaugurated. Toliara, the capital of the Atsimo-Andrefana region, is located 936km south-west of the capital Antananarivo. As a port town it acts as a major import/export hub for commodities such as sisal, soap, hemp, cotton, rice, and peanuts. Since the creation of CMA CGM Madagascar in 2003, the CMA CGM Group, has continued to develop on the island to meet the growing economy of the Malagasy industrial area.

Another agency was opened in Antsiranana [Diego Suarez], the capital of Diana Region, thus bringing our presence in Madagascar to 8 offices of which 5 are owned. Antsiranana has one of the largest deepwater harbors in the Indian Ocean and exports coffee, corn, peanuts and cattle. Meanwhile AUXIMAD has been appointed as our new agent in Vohemar.

Madagascar: New Agency Offices Launched

The Office of Ports and Harbours of Gabon [OPRAG - www.ports-gabon.com] celebrated its 40th anniversary on April 11-12th. Coinciding the celebrations a conference debated the theme of ‘Port Modernism And African Growth: What Contributions Can Be Made To Fight Poverty?’ which also talked about port development. Thierry Millot, General Manager Delmas Gabon, was invited to present the CMA CGM Group as the #1 in transportation. The CMA CGM / DELMAS PC Sud service offers weekly connections calling at both Libreville and Port Gentil ports.

Port activity in Gabon has been rapidly expanding since 2013 with quantities of goods through 2-main commercial ports increasing by 25.4%. Exports are predominant representing 63% of overall traffic compared to 37% for imports. Main industries in the country are petroleum extraction and refining; manganese, gold; chemicals, ship repair, food and beverages, textiles, lumbering and plywood, cement.

CMA CGM Attends 40th Anniversary of OPRAG Gabon

CMA CGM TOLIARA [Tulear]Avenue de FranceRoute du PortEnceinte COMATOMahavatse IIToliary 601

CMA CGM ANTSIRANANA [Diego Suarez]1er étage Immeuble Ny HavanaAvenue Lally TollendalAntsiranana 201

CMA CGM VOHEMAR AUXIMAD Tel: 261 32 40 575 01E-mail: auxi.vohemar@auximad.mg

Exports $10.2 billion (2012 est.)

Export commodities Crude oil, timber, manganese, uranium

Export partners Japan 24.1%, US 17%, Australia 11.3%, India 7.4%, China 5.4%, Spain 4.1% (2012)

Imports $3.638 billion (2012 est.)

Import commodities Machinery and equipment, foodstuffs, chemicals, construction materials

Import partners France 28.2%, China 12.6%, US 9.4%, Belgium 5.8%, Cameroon 4.3% (2012)

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AFRICAN GROUP NEWSCMA CGM / DELMAS

With our new eBusiness platform, CMA CGM / DELMAS has expanded the range of available documents for online and printing to provide self-assistance to our customers and make it easier to do business with us.

BL Management Complete environment to manage BLs from draft review to original print.

Online Documents Access a comprehensive repository of business documents 24/7. View real-time status of shipment documentation through a dashboard. Notifications are sent when documents are available. BL [draft, WayBill and Original]. Booking confirmation, notice of arrival and import delivery order have been added. Release order, release confirmation, loading confirmation and general export notice will be available online by the end of the year.

Uploads Throughout the shipment life cycle, documents can be uploaded to the platform. They will be attached to shipment details for efficient communication to our local agency. Beginning with the dangerous goods declaration during the booking request, many other documents can be added later including; customs documents, health certificates, commercial invoice, packing list, letter of credit, letter of indemnity, letter of renouncement, bank guarantee, etc. Customers accessing their original BLs can also request change of destination [COD], Switch BL and make many other types of requests online.

To access the eBusiness platform, customers need to register on the website. Once the account is activated, customers will be able to access approved services. For more information regarding our features on line, consult our eBusiness pages. You can also contact our eCommerce Experts.

Our ebusiness Offer: http://www.delmas.com/ebusiness/our-offerRegistration: http://www.delmas.com/ebusiness/registration/information

CMA CGM / DELMAS Website: eBusiness Area Expanded

Our current e-customers are excited about the availability of these features online. We hope you will leverage them to expand your eBusiness with CMA CGM Group. We also welcome your suggestions on how we can enhance our website to further meet your eBusiness needs.

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Tangier-Med: Africa‘s Gateway to The World

What facilities does this terminal offer our customers?All Group activities are handled at the Eurogate Terminal which offers standard stevedoring services. The terminal is located in a free zone area, offering 40-ha with a storage capacity of 35,000 TEU and 800 reefer points. The Eurogate Terminal works 24/7 allowing immediate feedback from the facility at any time.

How many TEU’s do you handle for the Group each month/year?The Group handles an average of 85,000 TEUS per month and we have transhipped more than 873,214 TEUS last year.

How do you ensure that all container tracking is updated efficiently?We are working with PROGRESSIF COPRAR, that allows a 100% cargo control for our customers, we receive all information regarding the container discharge and load in real time and not until the end of operation. The COPRAR/CODECO are integrated automatically to our in-house system LARA, and all information is reflected directly into the on-line CMA CGM customers platform. In case of any issues, we also have a dedicated person to insure integration of the data.

How do you monitor the efficiency of the hub?We have in place 100% cargo control. The terminal is working with the latest EDI format that can offer the necessary data to all kind of vessels and agency requirement. Automation allows us to control in real time the status of the container [discharged, stacked, exact position in yard, loaded, gated-in, gated-out, etc].

What other advantages does Tangiers Med offer?The terminal is well-positioned as an ideal transhipment hub for the Western Mediterranean and an intersection for all East-West and North-South trades, as well as being Africa‘s gateway to the world. Also this free zone port contains a logistic platform [Med Hub] which is connected to main commercial/industrial and logistics zones by rail and highway.

Tangier-Med is a cargo port located on the Straits of Gibraltar, about 40-km east of Tangiers, Morocco. Situated at the crossroads of major maritime routes the port is positioned just 15-km from the European mainland and links all worldwide zones with the African market. It is one of the largest ports on the Mediterranean and in Africa by capacity. This month we interview Omar BAROUDI, Office Manager Cargo Flow Manager, CMA CGM Maroc – Tangier Agency, about the impact of this facility.

How long has the Group been calling at Tangier-Med?CMA CGM / DELMAS started using Tangier Med as a Hub in August 2008, 1-year after the 1st terminal start up. In the space of just 5-years we now have 20 services calling at Tangier-Med on a weekly basis from Africa, Far and South-East Asia, India, North Europe, North & South America and the Mediterranean area:

Amerigo ExpressAngola ShuttleEPICFAL 1FEMEX 1 EB

FEMEX 1 WBGuinea ExpressMED CARAIBEMEX 3NAF 1: Tangier Shuttle

NAF 2: Alger ShuttleNAF 3: FRDKK ServicePC CenterPC Hebdo NB / SB

For more information on these services please visit our website: http://www.cma-cgm.com/products-services/line-services

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INTERVIEWSCMA CGM / DELMAS

Competitive Advantages Tangiers-Med is the most efficient port for connectivity to/from West Africa and North European/Mediterranean markets.

Schedule Reliability The terminal works under fix berth windows offered to shipping lines. Intelligent operating systems combined with additional technical tools that enhance the terminal operations.

Best Transit Times Tangiers-Med is the first port on the trade routes from West Africa and Far East-North Europe and connects with more than 70 direct destinations worldwide. The high number of services calling the terminal in a weekly and bi-weekly term, both transoceanic and regional feeders, allows the transhipped cargo to have a minimum stay in terminal.

Modern Equipment The Eurogate terminal is capable of handling the latest and future generations of container vessels with a capacity up to 1.3 million TEU capacity. There are 8 state of the art cranes.

PORT FACTBOX Tanger Med 1: Terminaux à Conteneurs 2 container terminals with a total capacity of 3 million TEU2,093,408 TEUS handled in 2011 One of the largest ports in the Mediterranean1,600-m of linear wharf, 80-ha of surfaceAble to receive the largest container ships in the worldPort depth 16-18 m

Tangier Med 2 2 container terminals: TC3 / TC42.8 km of linear docksPort depth 16-17 mSimultaneous capacity of 5 latest generation container ships 160ha of land

Tanger Med 2

Tanger Med 1

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China-Africa Trade Volume To Top US$400 Billion By 2020

Chinese Premier Li Keqiang has made a 4-country tour of Africa visiting Ethiopia, Nigeria, Angola and Kenya. Premier Li laid out a framework for China-Africa cooperation in a speech at the African Union headquarters setting the target for bilateral trade volume to top US$400 billion by 2020. Li Keqiang met the chairperson of the African Union Commission Nkosazana Dlamini Zuma noting that China firmly supported the Union’s leading role in African integration and maintaining regional peace and security.

According to the minister, as infrastructure construction to improve regional inter-connectivity is vital for Africa’s economic integration, China, with a competitive advantage in this regard, will eye deepening cooperation on road, railway, port, aviation, electricity and communication, and Li’s visit aimed to push forward such projects. In addition, the Chinese premier has agreed to facilitate the shift of Chinese labour-intensive industries - such as manufacturing - to Africa, helping the growth and prosperity of “Made in Africa” and making investment the pivot of a closer, more inclusive and sustainable China-Africa economic and trade relationship.

China-Africa trade expanded to US$210.3 billion in 2013, a remarkable jump from US$250 million in 1965. China has been Africa’s largest trading partner for 5-consecutive years. Chinese direct investment in Africa amounted to US$25 billion by the end of 2013, with more than 2,500 Chinese companies doing business in Africa, covering finance, telecommunication, energy, manufacturing and agriculture, and creating more than 100,000 local jobs. China has vowed to increase loans for African countries by US$10 billion bringing the total pledged amount to US$30 billion.

[Forum on China-Africa Cooperation 06/05/14]

Chinese Global FDI Outflows (US$BN)

Trade Between China & Africa

Chinese Exportsto Africa

Imports from Africa

2013 Figures

US$210.2 billion5.9% y-o-y

US$92.8 billion8.8%

US$117.4 billion3.8%

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PAN AFRICA

TRADE

AfDB Approves €40m Agreement To Boost African Trade FinanceThe African Development Bank [AfDB] has approved an unfunded €40-million risk participation agreement [RPA] with French BNP Paribas to support trade finance activities in Africa. The 50:50 risk sharing facility would broaden the availability of trade finance across Africa over a 3-year period by targeting small and medium-sized enterprises and indigenous firms in vital economic sectors such as agriculture and manufacturing.

BNP Paribas would match the AfDB’s undertaking in every transaction, thereby creating a portfolio of up to €80-million; however the facility was expected to facilitate about €500-million trade in intermediate and finished goods, raw materials and equipment to support the continent’s economic growth. The AfDB explained that the majority of African banks had weak capital bases, which constrained their ability to obtain adequate trade limits from international confirming banks and to undertake sizeable transactions that could have substantial development impact.

[Engineering News 02/05/14]

New U.S. Trade Offices In Africa Will Support New OpportunitiesThe planned opening of new U.S. trade offices in 4-African countries demonstrates the U.S. commitment to supporting Africa’s developing economies. In 2014, the Commerce Department’s International Trade Administration will open offices in Angola, Ethiopia, Mozambique and Tanzania, in cooperation with the U.S. Department of State.

The new offices will support White House initiatives like Trade Africa and Power Africa, which have spearheaded a larger campaign to bolster development throughout the continent.

[United States Department of State 30/04/14]

Trade Africa:A partnership between US and sub-Saharan Africa, launched by President Obama in July 2013, that seeks to increase internal and regional trade within Africa and expand trade and economic ties between Africa, the United States and other global markets.

Power Africa:An initiative President Obama announced in June 2013 that aims to double access to power in sub-Saharan Africa.

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Borderless Alliance Initiates Programs To Harmonize Working Hours At BordersOn March 11th, Borderless Alliance, under the USAID Towards Inclusive Markets Everywhere Annual Program Statement [TIME APS], organized a meeting for border officials and other trade, transport and logistics industry practitioners drawn mainly from the Elubo and Noé borders to harmonize activities at the borders. The meeting followed a study on transport costs conducted by USAID West Africa Trade Hub on the Tema–Ouagadougou corridor, which documented procedures, costs and delays based on the experiences of traders who use the corridor.

Participants were drawn from the Ghana Shippers’ Authority, Ghana Customs, Ghana Immigration Service, Ghana Institute of Freight Forwarders, and BIVAC International Ghana Limited. Others were from the Ivorian Shippers’ Office, Phytosanitary Services, the Ivorian Customs, the Ivorian Freight Forwarders Association, Observatoire de la Fluidité des Transports and the Côte d’Ivoire National Facilitation Committee. Issues discussed include the prospects of aligning and extending the working hours at the 2-borders and also identifying other important barriers to trade and transport along the corridor to guide infrastructure investments and procedural reforms.

The Borderless Alliance team later presented the recommendations and observations to the Côte d’Ivoire and Ghana National Facilitation Committees with the mandate to implement reforms.

[Borderless Alliance – March 2014]

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WESTERN AFRICAECOWAS / TRADE

ECOWAS Signs MoU With Borderless AllianceThe Economic Community of West African States [ECOWAS] and the Borderless Alliance have signed a Memorandum of Understanding [MoU] to collaborate on creating a borderless and cohesive West Africa region. Even though, for some time now, ECOWAS and Borderless Alliance have been working closely on facilitating trade in the region, with the former financing some of the activities, the MoU is to formally establish a framework for cooperation between the 2-institutions to promote trade and private sector competitiveness.

[Borderless Alliance – March 2014]

Areas Of Cooperation - Promotion of private sector competitiveness, investment and regional trade in member states - Identification of corridor trade and transport performance - Obtaining evidence to enhance decision making in regional transport/trade improvements and advocacy - Identification of gaps in the implementation of private sector - Trade related community protocols and policies by member states/stakeholders to enhance competitiveness in region - Strengthen regional integration and free movement.

Borderless Participates In Door-To-Door Container Services WorkshopFollowing a recommendation from a Translog Symposium, a bi-annual transport and logistics event organized in 2012, a 2nd follow-up workshop, in which Borderless Alliance participated, was held in Ouagadougou, Burkina Faso, from March 20-21st to assess progress in the implementation of the recommendation.

The 2-day workshop, which served as a platform to develop a strategy to promote the use of door-to-door container services by landlocked countries in West Africa, was organized by the Burkinabe Shippers’ Council [CBC], in collaboration with the Union of African Shippers’ Councils [UASC] and the Port Management Association of West and Central Africa [PMAWCA].

The event brought together more than 100 participants from West Africa including representatives from the security forces, Shippers’ Councils, the SSATP/World Bank, Ports of Benin, Côte d’Ivoire, Ghana, and Togo.

Key Issues Discussed - Container deposits and demurrage - Road transport costs - Direct Bill of Lading - Container terminal operations and port infrastructure

In order to promote the concept of containerization, participants agreed to deal with such challenges as the high costs of deposit to shipping lines, which are unattractive to importers in land-locked countries; and ports delays in the region, which decrease the lay days of containers and increase the risk of demurrage.

Follow-up activities include a West African regional transport observatory meeting to be held in Ouagadougou on 8-9th April, an international symposium on transport and logistics, dubbed Translog 2014 to be held on 7-9th October and the inclusion of Borderless Alliance in a technical team on Containerization for landlocked countries.

[Borderless Alliance – March 2014]

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Turkey/Senegal To Found Business Council

Turkey and Senegal signed an agreement to establish a business council. The trade volume between Turkey and Senegal reached US$125 million in 2013, up from US$19.4 million in 2002 and has increased 5-fold during the last decade. The 3rd session of the Turkish-Senegal Trade, Economic and Technical Cooperation Joint Committee was held in Turkey’s capital with the last one held in Dakar in 2010.

[Turkish Press 11/04/14]

Central West Africa Shows Up For Turkish TUSKON EventHundreds of businessmen from central West Africa traveled to Turkey to attend a trade event coordinated by the Turkish Confederation of Businessmen and Industrialists [TUSKON] in zmir. The event, titled the Turkey-Central West Africa Trade Bridge, was hosted by the Association of Aegean and Mediterranean Industrialists and Businesspeople [ESDEF], a member of TUSKON. The construction, furniture, food, agriculture, textile, cosmetics, gold mining, sesame production, solar energy and machinery sectors were represented at the event.

Trade agreements and investments worth US$30 billion have resulted from the Turkey-World Trade Bridge, a semi-annual trade and investment summit organized by TUSKON since 2006.

[Cihan 05/05/14]

EU / WAOGS Summit Addresses Piracy & Maritime Security Concerns A West Africa Oil & Gas Security Summit will address a number of maritime security issues, including sessions on measures against sabotage. The event will be held in Lagos on 18-19th June 2014. Although there have been attacks in Benin, Côte d’Ivoire, Ghana, Guinea and Togo amongst others, to date most attacks in the region have taken place in Nigeria’s Niger Delta region. The latest occurrence of piracy in Angola, Africa’s 2nd biggest oil producers, heralds in a new era of acute maritime security concerns for the oil & gas industry across West Africa.

[Digital Journal 12/04/14]

More information can be found at http://www.waoilgassecurity.comFor regular updates follow @IRN_Security on Twitter and join the LinkedIn Group ‘Global Security Networking Platform’.

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WESTERN AFRICAECOWAS / TRADE

Cameroon/UK Trade and Investment ForumCameroon’s PM lead a delegation of some 150 to the UK from 7-9th May. The first ever UK-Cameroon Trade and Investment Forum was aimed at exploring business opportunities in the Energy, Agriculture, Infrastructure and Tourism sectors of Cameroon by over 200 UK companies and members of the Government. UK investment interest in Cameroon is the result of the successful 2013 UK-Cameroon Joint Commission that took place in London in which some 150 UK companies took part.

[FCO 02/05/14]

Ghana To Establish International Trade CommissionThe Ghana Government is to establish an International Trade Commission before the end of 2014 and will open International Trade Offices in China, Japan and South Africa to boost trade. The Ministry has put in place a new export strategy in order to increase the volume of future exports.

[GNA 16/04/14]

Gambia Inaugurates National Export Strategy The current level of Gambian exports stands at about D4 billion for 2013 out of a provisional total trade value of D16 billion. So the government have inaugurated a new National Export Strategy [NES] Implementation Committee to boost domestic demand and promote a presence in export markets.

[Daily Observer 16/04/14]

Liberia Launches National Trade Policy, Export StrategyPresident Ellen Johnson-Sirleaf has launched the Liberia National Trade Policy and the Liberia National Export Strategy, both spanning the period 2014-2019 and outlining government’s strategy for creating inclusive growth through trade competitiveness. The Trade Policy is government’s overarching strategy for steering the country towards regional integration into ECOWAS and multilateral integration into the World Trade Organization [WTO]. The National Export Strategy will provide support to 6-key sectors where the best opportunities exist to generate export diversification: rice, oil palm, rubber, cocoa, cassava, and fisheries. President Sirleaf also announced the National Small Business Empowerment Act and the Bureau of Small Business.

[Heritage 02/05/14]

Nigeria And Kenya Sign Agreements To Promote TradeKenya and Nigeria have signed 3-agreements and 4-MoU’s aimed at promoting trade and agriculture. The signing ceremony was witnessed by Presidents Uhuru Kenyatta and Goodluck Jonathan at State House, Abuja. A Joint Business Council [JBC] has been established in Abuja which aims at bringing together private sector players from both countries.

[The Star 07/05/14]

18

Angola Luanda Port Upgrade - Aims To Be Africa’s Busiest Hub

Angola’s main port of Luanda has seen 2-new cranes installed and training provided to reduce its cargo unloading time by 80% as the government plans to build a new terminal bigger than Africa’s busiest in Durban. The port had an average 3-day turnaround to handle vessels carrying 912,900 containers last year from 16 days and 406,700 TEUs in 2008. That is around a third of the number handled in Durban*. The port authority has invested in modern loading and unloading infrastructure and a port pier and plans to increase the number of containers handled to more than 1-million by the end of 2014. Luanda port processes 80% of cargo shipped to Angola, where imports account for almost all of manufactured goods in the market as the country. Of Luanda’s 11.3 million tons of total cargo unloaded last year, 70% was in containers and the rest was bulk. That compares with a total of 6 million tons in 2007.

A proposed port at Barra do Dande, 50km north of the main Empresa Portuaria de Luanda EP, will probably become a regional hub, transferring shipments by railways and rivalling Durban as a gateway to landlocked countries such as copper-rich Zambia. Dande is likely to handle 13,000TEU vessels. No estimates on costs, construction dates or the scale of the proposed port have been set as President Jose Eduardo dos Santos’ office reviews the project. But it is expected the hub port will be strategically well located in a way that cargo from South and Central America, the U.S. and even Europe will be well linked.

About 60% of cargo arriving in Luanda is construction material and is processed through 5-terminals including Sonils, a unit of state-owned oil company Sonangol EP, where unloading occurs for most supply ships from oil companies operating offshore. Angola is Africa’s biggest oil producer after Nigeria. A freight railway line that was supposed to start more than a year ago linking the port with a terminal 30km inland at Viana will begin commercial service next month after new locomotives are bought. The rail shipping cost may undercut the US$250 per container fee charged by truckers for the same route.

[*The average unloading time for a container ship at Durban port was about 2.5 days in the fiscal year through March, when crews processed 2.63 million TEUs. Durban Africa’s busiest port according to the Port Management Association of Eastern and Southern Africa [PMAESA] handled 44.8 million MT of cargo in 2013-14.]

[Bloomberg 24/04/14]

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WESTERN AFRICA

PORTS

Cote d’IvoireSan Pedro Port Seeks US$1.65 Billion For Expansion

San Pedro port is seeking 777 billion CFA francs [US$1.65 billion] from private partners to fund upgrades that aim to make it one of West Africa’s top shipping hubs, including for iron ore and nickel.

San Pedro is already the world’s leading port for cocoa exports, shipping more than half of total output from Ivory Coast, the top producer of the chocolate ingredient. It also exports coffee, palm oil, timber and cotton. But the government of President Alassane Ouattara wants to make the port the centrepiece of an ambitious plan that would see more than 8 trillion CFA francs invested in the development of the country’s predominantly agricultural western regions. Ivory Coast has long neglected its potentially lucrative mining sector in favour of a concentration on soft commodity exports but is now seeking to diversify its economy.

India’s Tata Steel is finalising exploration and feasibility studies for its Mt. Nimba and Mt. Gao concessions and plans to invest around $1 billion to develop the two iron deposits. It plans to use the ore mined in Ivory Coast to supply steel mills in Britain and the Netherlands operated by its subsidiary Tata Steel UK, the 2nd-largest steel producer in Europe. Detailing the investment plans, San Pedro is seeking private partners to finance the construction of a new 500 billion CFA franc terminal to handle ore exports. A proposed second container terminal is expected to cost 260 billion CFA francs, while a multipurpose terminal will cost an additional 17 billion CFA.

San Pedro entered a partnership with Port of Antwerp International [PAI], a subsidiary of Antwerp’s port authority, in 2012 as part of efforts to secure US$230 million in financing from private investors. The port announced in February it planned to build a new refined fuel terminal targeting distribution in the country’s west, as well as export markets in neighbouring Liberia, Guinea and Mali.

[Reuters 09/05/14]

20

GhanaGPHA To Build Satellite Truck VillageThe Ghana Ports and Harbours Authority [GPHA] will, as part of a World Bank project, construct a satellite truck village at Ashaiman to provide adequate transit parking area for haulage trucks waiting to load from the port. Facilities at the village will include parking areas for trucks and vehicles, documentation, processing facility and maintenance facility. Haulage trucks now park indiscriminately along the streets of the harbour city. On completion, the truck village will serve as a safe and secure truck park for haulage trucks, ease the much talked about vehicular congestion around the port and also facilitate transit trade through Ghana. Drivers who failed to comply with the law by registering at the truck village would not be allowed to enter the port.

[Ghanaweb 16/04/14]

Tema Bulk Cargo Handling JettyAn ongoing US$122-million construction of a bulk cargo handling jetty at the Tema port will increase the capacity of the port and provide additional berths with the view to reducing waiting time for vessels. The GPHA had undertaken 15-projects between 2010-13: upgrade, expansion and dredging works as well as acquisition of various equipment and installation of Optical Character Recognition System [OCR] to control pilfering at the ports.

[Ghanaweb 16/04/14]

Takoradi Port ProjectA €197million construction project at Takoradi port, funded by a KBC bank loan from Belgium and started in 2012, is due to be completed in 2016. The project includes a 1.08-km breakwater extension, reclamation works, dredging and a bulk cargo handling berths for manganese, bauxite and clinker. Additional facilities being provided for the Sekondi ABS Fishing Harbour are lay-by wharf of 160m, a fish net-mending area, an ice plant to produce 30 tons per day and a fuel dispensing station for fishing vessels at a cost of US$25million. Funding is from the Japanese government. When completed, the project will provide additional berthing facilities and promote fishing activities.

[Ghanaweb 16/04/14]

21

WESTERN AFRICA

PORTS

LiberiaPIOM to Build Alternative Port in SinoeThe Putu Iron Ore Mining [PIOM] in Putu Petrokon, Grand Gedeh County, has disclosed plans to construct an alternative port in Grand Butal Point, Kponkpo Mongar Town in Sinoe County, if government grants it iron ore mining license. PIOM intends to construct this new port directly south of the Sapo National Park, at Grand Butal Point in order to handle the modern equipment that PIOM will use, as well as the expected volume of iron ore that will be shipped through the port. The port would be completed in 6-years once PIOM starts full operation. The Government has 90 days to grant or deny the license. If licensed, the company will have the right to mine ore for at least 80 years.

[New Dawn 05/05/14]

Barnes Steps Down As NPA Chairman Nathaniel Barnes has stepped down as Chairman of the National Port Authority [NPA]. The resignation comes in the wake of the recent controversy regarding the NPA’s handling of a tugboat bid won by Charles Gyude Bryant, the former head of the National Transition Government of Liberia.

[FrontPageAfrica 25/04/14]

Sierra LeoneBAM To Build Petroleum JettyBAM International and its South African joint-venture [JV] partner Stefanutti Stocks have been awarded the contract for the engineering, procurement and construction [EPC] of a petroleum jetty at the Kissy Oil Terminal at Freetown port. It will take 1-year to design and complete the project. The new petroleum jetty comprises a 240 metres steel trestle on steel piles, including a concrete offloading platform of 12x25m, 4-mooring dolphins, 2-breasting dolphins and a fender rack.

[Port News 07/05/14]

22

Nigeria

Lekki Port Project ReviewEnvironmental And Social Impact Assessment [ESIA] SummaryThe purpose of the proposed Lekki Port is to serve the robust growth in demand for container port infrastructure. In recent years, container demand has increased at a rate 2.5 times Nigeria’s GDP growth, or around 13% annually. As a result, total projected demand for the Lagos region is expected to reach 2-million TEUs by 2015; however, land availability and transport constraints will limit expansion of existing port capacity to 1.4 million TEUs.

Building Lekki Port would allow for the efficient development of modern port infrastructure and provide new capabilities for Nigeria to serve the newest container ships. The Lekki location would also enable the new port to serve other parts of Nigeria more efficiently by avoiding the traffic congestion of downtown Lagos. Upon completion of the final development phase, the port would handle large modern vessels including container carriers with a capacity of up to 8,000 TEUs.

Port construction would require 41 months and entail harbour and channel dredging, construction of marine structures, site preparation, and construction of landside structures. Port operations would be conducted by terminal operating companies that enter into sub concession agreements with the project sponsor. Port container traffic is expected to generate approximately 7,500 daily truck trips.

[AfDB 28/04/14]

Location The proposed Lekki Port site is located on the SE Coast in the Ibeju-Lekki Local Government Area [LGA] of Lagos State, about 60-km from Lagos. The area proposed for the port is 90-ha and is part of the Lagos Free Trade Zone [LFTZ], which includes a northern land parcel of about 130-ha.

Configuration The proposed port would encompass both marine and land infrastructure. The port site would occupy about 90-ha. The utility corridor to the north of the port area will include a water treatment plant and a power plant and require an additional 1-ha.

Dredging Estimated total dredging volume is approximately 13-million m3. Approximately 4.5-million m3 of this would be used for reclamation/beach protection between the eastern breakwater and the groyne and to the east of the groyne. Remaining material would be placed in an offshore dump site.

Breakwaters A main 1,645-m breakwater and a 320-m secondary eastern breakwater will protect the harbour and berths. The shoreline to the east of the secondary breakwater would be shifted seawards resulting in the formation of a new beach. The main breakwater will be a rubble mound type with concrete blocks on the outer layer to dissipate wave energy. To the east of the secondary breakwater, a beach would be reclaimed, protected by a groyne 225-m-long on its eastern side designed to mitigate erosion of this area that would be accelerated due to the disruption of normal sediment transport patterns from construction of the main breakwater.

Quays The overall quay length would span 1,523-m with 1,200-m dedicated for the container terminal. Under the current design, the approach channel would extend for about 6-km, reach 150-m wide and would be dredged to a depth of 14 m. The planned turning circle would be 670-m in diameter and dredged to a depth of 14-m. The Inner Basin would be 270-m wide dredged to a depth of LAT-13.5-m. These depths and turning diameters will set limitations on size and capacity of ships using the port.

Storage & Handling In the paved container storage and handling area, containers would be stacked in blocks within the terminal to a maximum stacking height of 6-laden containers. The broad operating concept for the container terminal comprises Ship-To-Shore [STS] container cranes at the quay and Rubber Tyred Gantry [RTG] stacking cranes in the yard. Several new buildings would be required at the terminal, and each building would fill a specific function in port operations. The existing buildings include 2-warehouses that would be removed. Port operations would require installation of a utility infrastructure including water supply and distribution, wastewater treatment, communications networks, and electrical distribution and lighting, as well as firefighting facilities. A 30 MW power plant, which would have 10 MW of emergency standby power capacity, would be fully dedicated to supply electricity needed to operate the port facility.

Staff The operational port workforce would initially require about 355 full-time employees, increasing to >1,700 employees spread over 3-shifts at full capacity.

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PORTS

24

NigeriaChina, Nigeria Sign N2 Trillion Railway DealChina Railway Construction Corporation Limited has signed a contract for a US$13.1billion [N2 trillion], railway project with the Ministry of Transportation for a coastal railway line that will transverse 10-states of Nigeria. The length of the railway line will be 1,385 km in one-way mileage and a design speed of 120 km/h including 22-railway stations which is expected to be built along the line. A subsidiary, the China Civil Engineering Group Co., Ltd., signed the contract and is discussing details based on the released framework.

[Vanguard 07/05/14]

25

WESTERN AFRICA

RAIL

GhanaGhana Bans Export Of Scrap Ferrous Metal To Support Local IndustryGhana has banned the export of ferrous scrap metal effective immediately in a bid to make more raw material available to sustain the West Africa country’s steel industry. Trade Minister Haruna Iddrisu noted the government was drafting legislation to establish an international trade commission to deepen and enforce anti-dumping measures in Ghana. Steel manufacturers in Ghana have complained they do not have enough raw materials to sustain the industry yet tonnes of the metals are exported to countries which in turn dump finished goods on the market at cheaper prices.

[Ghanaweb 15/04/14]

NigeriaCustoms Fast-Tracks Goods Clearance With New Technology In Tin CanImporters and freight forwarders should see an improvement in goods clearance following the introduction of new technology platform, which according to the Tin Can Island Ports Controller, Mr Jibrin Zakare, has helped in making it possible for importers to process cargo clearance documentation within 1-day. Under the new platform, the transmission of the Pre-Arrival Assessment Report [PAAR], which is a mandatory document for clearing goods in the ports and which earlier took months to process, can now be completed in a day.

[This Day 05/05/14]

Carriage Of Motor VehiclesA circular #003/2014 has been issued by the Nigeria Customs Service regarding the carriage of motor vehicles on Nigeria bound vessels/aircrafts. Effective 1st May 2014 all vessels carrying vehicles into Nigerian ports must satisfy the following conditions on the inward manifest:

- Detail chassis number - Model / Make - Manufacture year - Vehicle identification number [VIN] number

Any vessel that contravenes the above directives shall be denied customs boarding/clearance. This is in line with the provision of Customs & Excise Management ACT Cap C.45 LFN 2004, Part III Section 56 with the power to reject or cancel clearance of ships.

New Vehicle Transit Regime Debuts At Seme BorderFor ease of shipment from country to country, the Nigeria Customs Service has commenced a new vehicle transit regime for automobiles being imported into the country from neighbouring countries like Benin, Cameroon, Chad and Niger beginning with Benin Republic and Seme Border as area of pilot implementation.

The new policy, in line with the Transit Code, will see all Nigerian bound vehicles imported from the affected countries being handed over to the Nigerian Customs by the country’s customs administration after due clearance. The scheme will have names of officers responsible for transfers and receipts of manifests/vehicles from both countries. It will also indicate location of formal handing and taking over of imported vehicles on transit.

[Vanguard 05/05/14]

DELMAS website offers comprehensive data sheets covering information on waivers, pre- shipment inspection [PSI], Pre-Arrival Assessment Report

[PAAR] as well as prohibitive and restricted imports lists.

https://www.delmas.com/products-services/shipping-guide

26

WESTERN AFRICA

REGULATORY

EAC States Told to Execute Trade SystemKenyan Electronic Single Window System LaunchedPresident Uhuru Kenyatta has called on East Africa Community [EAC] member states to fast track implementation of electronic single window system to boost regional trade. Better known as the Kenya Tradenet, the portal will ease faster and efficient trade facilitation and improve the business environment. Speaking during the launch of the Kenya National Electronic Single Window System, Uhuru said the system will strengthen integration envisioned under EAC.

With Rwanda already implementing a Single Window System while similar efforts are underway in Tanzania and Uganda, President Kenyatta called upon the cabinet secretaries and ministers in charge of East African affairs to work with their national Treasury colleagues to move the region forward.

“This launch marks the beginning of a new chapter towards a paperless cargo clearance process. The realisation of this initiative will undoubtedly go a long way in transforming the way we conduct international trade transactions, not only in Kenya but also in the wider East African region.” The use of the Electronic Single Window System is geared at centralizing trade services such as tracking of goods, custom clearance, and electronic payment, including through mobile money. The system will also integrate with Kenya Revenue Authority, expected to make clearance at Kenyan ports faster and easier. Kenya TradeNet is owned and managed by Kenya Trade Network Agency [KenTrade], a State Corporation mandated to implement, operationalise and manage the system. [The Star 03/05/14]

EAC Information Resource Centre LaunchedAn East Africa Community [EAC] Information Resource Centre has been opened to fuel growth and development within the region. digitization of all EAC information would improve accessibility and information sharing with Institutions, Partner States, consultants, researchers, development partners and the general public.

KenyaExports Drop To 3-Year Low / Netherlands Second Spot Netherlands has overtaken the United Kingdom and Tanzania to become Kenya’s 2nd biggest exports destination in the first 2-months of the year. Kenyan goods worth Sh7.62 billion were exported to Netherlands in January and February, according to data by the Kenya National Bureau of Statistics [KNBS] - a 21.3% increase over the Sh6.28 billion recorded in comparative period last year. Kenya exports cut flowers and horticultural produce as well as tobacco and raw materials to the Netherlands.

In the past the UK has been a major destination for miraa [khat] from Kenya but banned the stimulant in 2012.

Country Jan-Feb 2014 Movement Jan-Feb 2013

Uganda Sh7.89 billion 19.1% Sh9.75 billion

Netherlands Sh7.62 billion 21.3% Sh6.28 billion

UK Sh6.16 billion 20.2% Sh7.72 billion

Tanzania Sh5.68 billion 12.2% Sh6.47 billion

Kenya’s total exports in the first 2-months have decreased to a 3-year low, and analysts worry this might affect affect Gross Domestic Product [GDP] growth in Q1. Total exports declined to Sh85.71 billion compared to Sh93.82 billion in January and February last year and Sh86.45 billion in 2012. Slow domestic demand coupled with a widening trade deficit are expected to dent GDP expansion.

[The Star 08/05/14]

27

EASTERN AFRICAEAC / COMESA / TRADE

South SudanDefers EAC AdmissionStretched by a raging civil conflict, the South Sudan government has asked leaders of the East African Community to delay its admission into the bloc. The newest nation on earth asked for time to consult. South Sudan applied to join the community shortly after its independence in 2011, but the application has met with some resistance from Ugandan traders and human rights activists. Negotiations have been postponed to October 2014.

[Observer 05/05/14]

28

MozambiquePort of Maputo After 11 Years of ConcessionThe 16th April marked the 11th year of the concession of the Port of Maputo to Maputo Port Development Company [MPDC] which has a lease to operate the port up until 2033. It is a consortium between the publicly owned port and rail company, CFM [49%], and its private sector partner Portus Indico [51%]. Portus Indico is formed by DP World of Dubai, Grindrod of South Africa, and the local firm Mocambique Gestores.

During the past year there has been a massive investment in infrastructure, equipment and human capital that have changed the nature of the operations of the Port of Maputo. This includes rehabilitation of the main port road and widening of the access gate to heavy vehicles, the expansion of the car and the ferro terminals, the rehabilitation and expansion of Berth 5, the rehabilitation of berths #3 and #4 [ongoing], as well as increasing storage capacity due to investments in slabs and warehouses.

Port operations have become more efficient with the acquisition of a new fleet of payloaders and a RAM Revolver, and in the maritime operations, under the partnership with P&O Maritime, MPDC acquired a new naval fleet, consisting of 2-new tugs, a new pilot boat and a new multipurpose vessel. MPDC inaugurated 2-new tugs this month. The Sereia and the Bulani each of 1,750 horsepower, were specifically designed for the needs of Maputo port at a cost of US$15 million.

The new tugs are part of the port master plan under which total investments of US$1.8 billion are to be made in order to raise the port’s handling capacity to 50 million tonnes a year by 2033. Maputo port has steadily increased the amount of cargo handled over the past decade. According to MPDC, the figure rose from 5-million tonnes in 2003 to 15-million tonnes in 2012 and to 17-million tonnes in 2013. This is a growth of 260%. In that period, MPDC undertook investments of US$362 million. Perhaps the most significant improvement was dredging the access channel, deepening it from 9 to 11m. This increased the maximum size of ships that could dock at the port to rise from 40,000 to 60,000 deadweight tonnes. Quays and warehouses were rehabilitated and new port equipment acquired. Nonetheless, several of the quays are out of operation, putting a physical limit on how much cargo the port can handle.

The MPDC master plan includes spending US$107 million on upgrading these berths, which amount to 770m of quay. The access channel will be deepened again, to 14m, at a cost of US$50 million dollars, allowing ships of up to 82,000 tonnes to dock. But the largest investments will be the expansion of the Matola coal terminal [US$834 million dollars], expansion of the container terminal [US$300 million], and the construction of a new bulk cargo terminal [US$110 million]. The focus is shifting from the port’s Maputo terminal to the adjacent Matola terminal. Maputo has a current capacity for 12 million tonnes of cargo, and MPDC plans to raise this to 20 million tonnes by 2033. But capacity at Matola is expected to quadruple, from 7.3 to 30 million tonnes, most of which will be coal.

[Port of Maputo 16/04/14]

Pemba Port Environmental Impact Under Consultation The environmental impact study for the construction of port facilities in Pemba in the northern Mozambican province of Cabo Delgado will be put up for public consultation in the first week of May. Port company Sociedade Portos de Cabo Delgado plans to carry out a project to build port facilities made up of an oil and gas services centre, which will be built around 5km away from the current port of Pemba. The process of assessing the environmental impact of the project was awarded to a consortium made up of South Africa’s WSP Environmental and Mozambique’s Impacto. Construction work is due to begin in 2015. Initially work will involve opening up access roads so that in January 2015 the logistics hub itself can be built. The new port will have a 300-m dock capable of receiving ships with a maximum draught of 12-m and a variety of other facilities on a 36-ha plot. Following the discovery of natural gas deposits in the Rovuma basin off the coast of Cabo Delgado province, the region has become the location of a host of development projects.

[Macauhub 24/04/14]

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EASTERN AFRICA

PORTS

TanzaniaPresident Maps Out Plan For Transport HubTanzania aims to hike cargo volumes through its main Dar es Salam port in 2015 by almost 40% over 2013 levels, part of plans to expand and build new transport links and become a regional hub. President Jakaya Kikwete noted bureaucratic hurdles had delayed plans by a Chinese firm to build a new port at Bagamoyo, 75 km north of Dar es Salam, but those were now resolved. Last year, Tanzania signed a framework deal with China Merchants Holdings [International] Co to build a new port, special economic zone and railway network that could involve more than US$10 billion. Work has yet to start in earnest.

Tanzania wants to capitalize on a long coastline and upgrade existing rickety railways and roads to serve growing economies in the land-locked heart of Africa from Uganda on its north border to Malawi in the south. But the president acknowledged the pace of progress had been held back by red tape, while experts said existing transport links were crumbling or inefficient, including Dar es Salam port where ships often wait days to dock, driving up costs. Cargo through Dar es Salam port is climbing and is expected to reach 18 million tons in 2015, up from 13 million tons in 2013. As part of a broader effort to improve the business environment, an office overseeing the president’s “Big Results Now” initiative, which works on swift delivery of major infrastructure and other projects, would also now identify obstacles to business and ensure they were addressed. The president also outlined plans for projects that include developing a port at Mtwara south of Dar es Salam that could serve northern Mozambique and Malawi, as well as upgrading the rail network - which could involve building new wider, standard gauge lines instead of the existing - and slower - narrow gauge.

Kenya has similar plans for a new port at Lamu, north of Mombasa port which is now east Africa’s main gateway, and new transport links to Uganda, Rwanda and other land-locked states. Kenya, the biggest economy in east Africa, and Tanzania, the No. 2, have long competed for political and economic influence in the region, although both are also members of the 5-nation trading bloc, the East African Community [EAC]. Tensions erupted in public last year when Tanzania complained it had been side-lined by Kenya, Rwanda and Uganda over plans to unify their customs and speed up moves towards political federation. Burundi is also a member of the bloc.

[Reuters 11/04/14]

30

Tanzania Hikes Exports By US$700mTanzania has seen its exports go by US$700 million due to increasing activity through the export processing zone window. To date, the Export Processing Zone Authority [EPZA] has registered 113 companies which have set up factories for producing goods for foreign markets. EPZA is an autonomous government agency. It operates under the Ministry of Industry and Trade. It is responsible for steering and implementing government policy on promotion of SEZs in the country. The Authority functions as a one stop service center for all prospective and existing investors. Among existing investment sectors in Tanzania are; agro processing, textile and garments, lapidary, leather processing, fish processing, forest and forestry products, ICT industries and assembly.

[EA Business Week 27/04/14]

TPA Invests 11bn/- In Dar Es Salaam Port Cargo Clearance Over 11bn/- has been invested for the installation of a system that will facilitate cargo clearance at Dar es Salaam port as of May 2014. Dubbed the ‘Electronic Single Window System’ [ESWS], it is the brainchild of the Tanzania Ports Authority [TPA] and is expected to reduce container congestion and fast-track cargo clearance at the port. Following the move, the port will be capable of handling 15 million tonnes of cargo compared to the current 13 million tonnes per year. A Memorandum of Understanding [MoU] between TPA and a Belgian firm, PHAEROS Group has been signed to introduce the ESWS project. The money will be used to buy software and cover its installation as well as meet capacity requirements. The ESWS will remove delays in cargo clearing and forwarding and customers will not be required to physically go to the port for documentation with the hope that cargo will be cleared from the port in less than 5-days compared to the current 9- days. By 2015 the port will have the capacity of handling 18 million tonnes of cargo per year. Tanzania is the first country in Eastern and Central Africa to have such technology.

[Guardian 28/04/14]

31

EASTERN AFRICA

PORTS

BurundiElectronic Cargo Tracking Note [ECTN]Please note new Electronic Cargo Tracking Note [ECTN] regulations are to be enforced in Burundi. According to Burundi customs official’s ECTN will be in place from May as per information from customs officials:

- ECTN is issued at origin and it is compulsory - ECTN is checked before cargo reaches Burundi borders - If cargo is sent to Burundi without a ECTN the Consignee is liable to cover penalties - Penalties range between US$10,000 and US$50,000 - Official document from OBR regarding ECTN will be issued and circulated shortly - Taxe de Surete / Security Charges has already been implemented for all imports @ 1.15% of the commercial value

RwandaImports Products Conformity Assessment to Standards [IPCA] ProgrammeThe Rwanda Bureau of Standards [RBS] will implement the Imports Products Conformity Assessment to Standards [IPCA] programme from May 8, 2014. Imports Products Conformity Assessment to Standards [IPCA] is a conformity assessment process used to verify that imported products are in conformity with the requirements of applicable standards before exporting to a destination country.

This process is aimed at ensuring that products imported into the Rwandan market are of the required quality for health and safety of people and protection of the environment. The programme is carried out by an authorized third-party agency, consisting of physical inspection with combination of laboratory testing, documentary review and factory audits. The agency which will carry out the process worldwide on behalf of Rwanda Bureau of Standards [RBS] is SGS Société Générale de Surveillance S.A, based in Switzerland - http://www.sgs.com/en/Public-Sector/Product-Conformity-Assessment-PCA/Rwanda-IPCA-Services.aspx

ContactRwanda Bureau of Standards [RBS]Kigali-KicukiroKK 15 Rd, 49PO Box 7099 Kigali-RwandaTel: 250 252586103 E-mail: info@rbs.org.rw

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REGULATORY

NamibiaTrade Booms Between Namibia And ChinaNamibia’s Ambassador to China, Ringo Abed, says the volume of trade has increased with more and more Chinese inquiring about investment opportunities in Namibia.

China is Namibia’s 6th largest export market. Namibia’s exports to China in terms of value grew from N$939 million in 2011 to N$1.2 billion and N$1.4 billion registered for 2012 and 2013 respectively. It is envisaged that this amount will increase substantially once the Husab mine in Namibia, the biggest Chinese investment in the mining industry in Africa, starts production next month and uranium is exported to China. Swakop Uranium [Pty] Limited, the company that was formed to operate Husab mine, will become a substantial contributor to the Namibian economy. The project will contribute 5% to GDP generating N$1.7 billion. Exports to China - Uranium ores and concentrates - Unrefined copper and copper anodes for electrolytic refining - Non-industrial diamonds - Fish products: oysters, rock lobsters, live sea urchins - Negotiations on-going for export of Namibian meat and meat products

Furthermore there are discussions on how China can assist Namibia with the establishment of an industrial park close to Walvis Bay port. The industrial park is aimed at building and boosting the capacity of Namibian industries whilst attracting investors in large-scale value-addition manufacturing industries such as chemical, solar energy, mineral beneficiation, salt, fishery and agro-processing. Meanwhile the government has requested Air Namibia consider introducing direct flights from Windhoek to Beijing, Shanghai and Guangzhou in China.

[New Era 30/04/14]

Turkey Seeks To Strengthen Trade With NamibiaThe Turkish Ambassador to Namibia, Deniz Cakar, says Turkey wants to strengthen trade relations with Namibia and is working towards doubling trade volumes by next year. Although volumes were low, Turkey is focusing on improving relations. Since the establishment of an embassy in 2012, trade volumes have grown.

[New Era 06/05/14]

Namibia To Strengthen Economic Ties With SenegalPresident Hifikepunye Pohamba and his Senegalese counterpart Macky Sall have stressed the need to promote economic cooperation. Citing the vast experience of the Dakar Port Authority, and the ongoing expansion of the Port of Walvis Bay, the leaders directed the 2-port authorities to explore cooperation.

On the continental level, the leaders reiterated their commitment to the implementation of the Comprehensive Africa Agriculture Development Programme [CAADP], in line with the African Union [AU] Programme for Infrastructure Development in Africa [PIDA], which will serve as a basis for discussions during the NEPAD Financing Summit for Africa’s Infrastructure to which development partners are invited.

[New Era 15/04/14]

CMA CGM / DELMAS Target Namibia – New ServiceThe new Khulu service has started offering direct services from USA to Namibia. Starting at Houston the service calls at Walvis Bay, Cape Town, Durban, Maputo and Richards Bay before returning to Houston. The Group specialises in the transport of containers, break bulk well as heavy lift and project cargoes using a fleet of multipurpose vessels. The transit from Houston to Walvis Bay is just 27 days!

33

SOUTHERN AFRICASADC / TRADE

South Africa India, South Africa Trade Up 31% / IBSA MeetingBilateral trade between India and South Africa grew 31% to US$7.6 billion in the just ended financial year, against US$5.8 billion in the same period last fiscal.

Both countries managed to improve trade relations despite the economic growth in South Africa slowing down to 2.5% in the financial year ended March, 2014, against 3.8% logged in the same period last year. Many Indian companies have invested in South Africa - prominent among them are US$15-billion investment by Apollo Tyres, and US$8 billion by KLT Automotive and Tubular Products. Exim Bank has opened a branch in South Africa to promote bilateral trade. Meanwhile the next meeting of the international tripartite grouping between India, Brazil and South Africa [IBSA] is expected to be held in the latter half of this year. The 3-countries have formed the body to galvanise South-South cooperation. Intra-IBSA traded recently touched US$23 billion.

[The Hindu 25/04/14]

AGOA Creates Goodwill For USAThe South African Government will consider giving some US producers the same access to the local market as the EU, if that’s what it takes to save its African Growth and Opportunity Act [AGOA] benefits. Trade and Industry Minister Rob Davies believes President Barack Obama plans to make this proposal at the 1st US-Africa summit, which convenes in August.

AGOA offers South Africa and most other African countries duty-free access to the US market for most of their goods. They do not have to reciprocate. AGOA has substantially boosted South African exports to the US, especially of manufactured goods such as cars. But AGOA is due for renewal by the US Congress next year and some influential legislators are under pressure from their constituency companies to withdraw AGOA benefits from South Africa because it has done so well out of them.

Some legislators are also unhappy that South Africa has increased tariffs on imports of US foodstuffs such as beef, pork and chicken, even as it enjoys tariff-free access to the US market under AGOA. And they are complaining that they are being beaten in the South African market by their EU competitors, which have a reciprocal free trade agreement with South Africa that lets in EU goods at lower tariffs.

[Business Report 05/05/14]

Dow Jones Launches 6-New Indices S&P Dow Jones Indices [SPDJI] has launched 6-new indices to meet the demand of South African investors for index-based investment strategies and benchmarks. The new indices formed part of SPDJI’s continuous expansion of its South African indices and followed the launch of 9-new South African indices in February. The indices include a market capitalisation-weighted index and an index designed to track large-, mid- and small-cap companies listed on the JSE.

[Engineering News 02/05/14]

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NamibiaNamibia/DRC Agree On Dry Port Facility At Walvis BayNamibia has agreed to look into the request by the Democratic Republic of Congo [DRC] for a dry port facility at Walvis Bay. Foreign Affairs Minister Netumbo Nandi-Ndaitwah told her DRC counterpart Raymond Tshibanda N’tungamulongo during official talks that Namibia was committed to assisting landlocked Southern African Development Community [SADC] member states with space to import and export goods.

[APA 05/05/14]

Botswana Dry Port in Walvis Bay ScrutinisedThe Botswana dry port currently under construction in Walvis Bay is under scrutiny as residents are up in arms as no environmental impact assessment [EIA] study was done prior to construction. Residents attended a meeting with representatives of the authority, Botswana railways and the Ministry of Environment. Residents felt proper procedures were not followed and their inputs were not noted, whilst they have to deal with the potential hazards. Representatives were not aware that an EIA study was not conducted but were under the impression that “everything had been done under the legal framework” of Namibia, and only learned about the breach of regulatory process at the meeting. Namport port plans to erect a N$10 million sound-proof fence around the site which is under discussion with the Botswana government.

[New Era 07/05/14]

South AfricaTransnet Awards R760m Maydon Wharf Reconstruction ContractState-owned Transnet has awarded a R760-million contract to a joint venture [JV] comprising Stefanutti Stocks and Axsys for the reconstruction of the steel sheet pile quay walls at Maydon Wharf, in Durban. The contract was signed by Transnet Capital Projects on behalf of Transnet National Ports Authority [TNPA]. The contract forms part of the project’s 2nd phase, with the 1st phase having started in July 2011 with the reconstruction of berth #12. The project was initiated following a 2007 feasibility study, which showed that the 60-year-old steel sheet pile quays were failing. Construction has been planned to minimise disruptions and congestion, with only 4-berths to be out of commission at any one time.

Maydon Wharf is the largest break-bulk and dry-bulk handling precinct in the Transnet ports system and has been developed in phases since the early twentieth century. It covers 120 ha and includes 15 berths that are collectively able to handle over 7-million tons of cargo yearly. The reconstruction and deepening of berths 1 to 4, as well as 13 and 14 will start in May and is scheduled for completion by December 2016.

[Engineering News 22/04/14]

State-Of-Art Port Control Centre Opens In Cape TownSouth Africa’s first maritime port of entry control centre has been opened at Cowrie Port in Cape Town harbour. The facility, which represents a milestone to secure, modernise and control the nation’s borders, places all government departments involved in immigration and border control under one roof. These include the departments of home affairs, health, agriculture and fisheries, the police service and the revenue service [Customs]. Furthermore the government hopes to establish a border management agency by the end of 2016, taking advantage of the lessons learnt from Cowrie Place.

The port processes more than 870,000 containers as well as 730,000 tons of dry bulk p.a. A total of 6,173 commercial vessels and 55 passenger vessels entered and/or left the port in 2013, while more than 62,000 people entered and/or departed from Cape Town harbour.

[SAInfo 02/05/14]

Ports Regulator Announces New CEOThe Ports Regulator of South Africa appointed Mahesh Fakir as CEO, effective May 1, for a period of 5-years, following the end of former chief Riad Khan’s contract.

[Engineering News 25/04/14]

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SOUTHERN AFRICA

PORTS

Richards Bay April Coal Exports Fall 13% On YearApril coal exports out of the Richards Bay Coal Terminal fell 13% y-o-y and 21% on the month to 5.45 million MT. RBCT shipments at the end of April stood at an annualized rate of 64.2 million mt, the lowest for the first 4- months of the year since 2011. RBCT was hit by a power failure in February which halted operations for a few days and caused a build-up of vessels waiting to load cargoes, although operations have since returned to normal. Southern Asia [includes India and Pakistan] accounted for the majority of exports, with 3.17 million MT [58%] shipped to the region during the month, up 52% on March. Western Europe was the second largest destination, although shipments fell heavily to an 8-month low. The region accounted for 13% of total exports, taking 731,840 mt in April, down 56% on the month. This month, the terminal is scheduled to close for around 10-days for annual maintenance.

[Platts 06/05/14]

IHC Merwede To Build Dredger For TransnetIHC Merwede has been awarded a contract for the design, construction and delivery of a 5,500m3 trailing suction hopper dredger [TSHD[ to Transnet National Ports Authority [TNPA]. The TSHD will join TNPA’s existing fleet of IHC Merwede-built vessels, which features: the 4,200m3 TSHD Isandlwana, ordered in 2008; and the grab hopper dredger Italeni ordered in 2013. The dredger will be 101.5m long with a breadth of 22.4m, depth of 7.5m and a draught of 6.0m. It will have a hopper capacity at highest overflow level of 5,500m³.

[Dredging Online 23/04/14]

Transnet Terminal Tariff Hike A BlowThe manufacturing sector is calling on Transnet to review its latest port terminals tariff increase of 9.25%. Manufacturers say the latest hikes are unwelcomed and will further stagnate the sector.

[SABC 08/04/14]

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TNPA Offers Insight Into Future Plans For SA’s PortsThe Transnet National Ports Authority [TNPA] has embarked on a national road show that will provide both internal and external stakeholders with a glimpse of short-, medium- and long-term planning for South Africa’s 9-coastal ports. It was stressed that port demand drivers such as volumes, shipping technology, the cost of capital and sustainability had played a role in planning. Another important factor was determining break points that would inform scenario planning and ultimately the formulation of national development strategies.

[Creamer 05/05/14]

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SOUTHERN AFRICA

PORTS

Richards Bay Plans to expand and rehabilitate the dry bulk terminal are on hold until volumes increase. In the medium term, if the project went ahead, the TNPA would extend the finger jetty in the harbour to provide another 2-coal berths as well as an additional bulk liquid berth. There are no immediate plans to construct a container terminal in Richards Bay, but in the longer term, the TNPA could develop a 22km stretch along the coastline adjacent to the industrial development zone [IDZ]. Future developments include another coal facility as well as one to handle liquid petroleum gas [LPG] on the southern breakwater. This would be sufficiently far away from the local community and nearby developments and allow for a 500m exclusion zone.

Durban The dig-out port is in early stages with investigations under way. The project will provide 16 additional container berths, as well as facilities for automotive exports as it is located close to the Toyota manufacturing plant. One critical issue under consideration is the relocation of the single-buoy mooring, as this would be located directly in the line of shipping. There is debate of doing away with this altogether and creating a “very deep water berth” at the front of the port. A request for proposals [RFP] has been issued for the construction of a cruise terminal at berth AB in Durban, which was expected to connect with the Point Waterfront development. Once the rehabilitation of berths along Maydon Wharf is complete, Durban will have 7-berths for deeper/longer vessels to facilitate the consolidation of different types of cargo. The proposed purchase of additional land at Bayhead had been abandoned, but there are plans to improve logistics and ease back of port congestion. Development of Salisbury Island would provide capacity for a further 1.8-million TEUs provided the TNPA acquire the full amount of land needed from the Department of Public Works.

East London Extremely difficult to develop the port as it is hemmed in by the city and has a bottom section that comprises hard granite which requires blasting, raising environmental issues. Another constraint is the steep bank alongside this river port. The grain elevator is on its last legs will be dismantled shortly. From 2019 onwards, the TNPA envisages the speeding up of maritime commercial activity. TNPA have looked at a proposal to build the outer basin in the long term. However, at this stage, the costs are exorbitant and the expected volumes too low.

Ngqura Although the port has been constructed to facilitate the import and beneficiation of raw materials, this has not materialised and the TNPA is looking to develop areas set aside for break bulk to handle containers, creating capacity to handle 2-million TEUs. The port currently has 4-container berths of which two are fully operational and one is currently being equipped. The steep bank to one side of the port and flat on the other present significant development challenges in the future. However, because facilities handling bulk liquids, gases and chemicals do not need back up areas, it would be possible to locate these on the steeper side. Development of a manganese facility is entering the execution phase and expected to handle between 22-25-million tons, depending on the equipment that the operator put on the berth. The proposed Mthombo refinery and the granting of a licence to PetroSA for a petroleum pipeline directly to Gauteng will, if proceeded, have a major impact on the port’s development and the TNPA has looked into the need for additional berths should this licence not be granted and product needed to be transported to Durban for distribution. Additional berths would then also be needed in Durban. An area on the breakwater has been created to house a LPG gas facility and an area set aside for the repairing of rigs. This was expected to grow with the facilities carrying out the work being located in the IDZ behind the port.

Port Elizabeth Plans underway to relocate the manganese stock pile/tank farm to Ngqura. This would free up a large area for development into recreational facilities in line with the TNPA’s people ports vision. TNPA has retained the option of developing the central basin alongside the port should the facility for repairing rigs prove too costly in Ngqura. This would also accommodate container traffic in the longer term. TNPA believes the port could handle double the number of vehicles currently moving through Port Elizabeth, reaching 450 000 units.

Mossel Bay Proposals to develop the port is severely restricted by encroachment of the city. Nevertheless, there are plans to construct 2-deep-water berths.

Cape Town Limited by extreme congestion and pressure from the city to extend the waterfront. The RFP for a cruise liner terminal on E berth had gone out and the TNPA is looking into the possibility of linking this with the waterfront. The FPT licence expires in 2017 and might not be renewed. As the majority of fruit is containerised, there is only enough cargo to occupy one out of seven berths. The TNPA is looking into using these more productively. Plans do include 2-bulk liquid berths and the increasing of container capacity.

Saldanha Bay Plans for an oil rig berth. An operator has been appointed to import LPG through the single-buoy mooring and the TNPA is looking at a possible land acquisition for a tank farm. As iron-ore volumes grow, TNPA is look into expanding facilities. Once break bulk topped 8.5-million tons it will “need to make a big decision” as to whether to expand the port facilities or reroute break bulk to another port.

Nolloth TNPA is looking into commercial development. The jetty is being rehabilitated to accommodate fishing vessels.

South Africa’s Port Plan

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