friday 9/16 december 2016 no. 2228 disappointment at port ...storage.news.nowmedia.co.za ›...
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FREIGHT & TRADING WEEKLY
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FRIDAY 9/16 December 2016 NO. 2228
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Lyse Comins
Port users have expressed disappointment at the Ports Regulator of South Africa’s (PRSA) decision to approve a 5.97% overall average increase in port tariffs in 2017/18 with a view to keeping hikes at 6% or less for the next three years.
PRSA CEO Mahesh Fakir announced the record of decision in Durban
last Thursday following Transnet National Ports Authority’s application for an 8.02% hike in 2017/18 and for indicative increases of 25.11% in 2018/19 and 9.54% in 2019/20.
TNPA had asked for a 13.25% increase on marine charges for shipping lines; 8.30% on all bulk; and 5% on containers and automotives for 2017/18
“The ports regulator concluded all cargo dues
for 2017/18 are to increase by 6%, except for marine services and related tariffs – sections 1-8 of the tariff book, excluding section 7 that deals with cargo dues – that are to increase by 7.9%. Full container dues are to increase by 4.9% and all ro-ro automotive tariffs by 3.9%,” Fakir said.
“With regards to the incentive for SA-f lagged vessels announced in the 2016/17 record of decision,
all marine tariffs for existing commercial SA- f lagged cargo vessels as well as those registered in SA in 2016/17 will continue to receive a 30% discount applicable year on year until 31 March 2019,” he said.
Vessels registered in SA in 2017/18 would receive a 20% discount until 31 March 2019, while those registered in 2018/19 would receive a
10% discount, after which the discount would be reviewed, Fakir added. He said the regulator had considered comments from port users, cargo volume forecasts, the inf lation outlook, the cost of debt, the NPA’s operational requirements and relative port pricing benchmarking in conducting its assessment. He said average volume
Disappointment at port tariff increase
Transnet group chief executive Siyabonga Gama has urged manganese miners to get digging ahead of the next upturn in demand.
Speaking on the Port Elizabeth harbour quayside with a bulk carrier being loaded with skips in the background, Gama said the port was exceeding its theoretical capacity by the use of cranes and skips to supplement the ore berth.
Manganese ore is being trucked from the Northern Cape because rail cannot handle the volumes at present.
According to Gama plans to establish a manganese terminal “in the longer term” at Ngqura are still on track, and the facility will be built in modules and phases.
Transnet would be able to handle growth in exports of high-grade manganese, but there is a possibility that the mining companies will not be in a position to supply because of investment cutbacks due to the downturn in commodity prices.
He told a media briefing recently that Phase 1, which involved
the upgrading of the line between the Northern Cape and Ngqura, was nearing completion.
The objective is to create a rail link capable of handling 200 wagon trains, with the port infrastructure to match.
Transnet has come in for criticism from the local business community and residents for delaying the moving of the manganese facility to Ngqura to 2020 – the latest in a string of delays for a project that was first scheduled for 2014. – Ed Richardson
Miners urged to start digging
Siyabonga Gama on the quayside in Port Elizabeth.
To page 12
DUTY CALLS
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TFA – 10 to goMongolia on 29 November became the 100th country to ratify the World Trade Organsation (WTO) Trade Facilitation Agreement (TFA), with only 10 more ratifications needed for the TFA to enter into force. South Africa and Namibia remain the sole Southern African Customs Union (Sacu) members that have not ratified the TFA and it's not envisaged that South Africa will.
The TFA implementation is expected to reduce WTO members’ trade costs by an average of 14.3%, making it the most significant tariff and trade development for 2017.
Flat-rolled steel products rebatesOn 02 December Sars announced the insertion of rebate provisions (rebate items) for the importation of f lat-rolled steel products of iron or non-alloy steel. The tariff amendments are in respect of Part 2 “Temporary Rebates of
Customs Duties” of Schedule No 4 to the Act, 1964 “General Rebates of Customs Duties, Fuel Levy and Environmental Levy” and see the insertion of rebate items 460.15/7210.61/01.06 and 460.15/7210.70/01.06 for which the extent of rebate is full duty.
The rebate items read:460.15/7210.61/01.06 “Flat
rolled products of iron or non-alloy steel, of a width of 600 mm or more, plated or coated with aluminium-zinc alloys, in such quantities, at such times and subject to such conditions as the International Trade Administration Commission may allow by specific permit, provided the products are not available in the Sacu market.”
460.15/7210.70/01.06 “Flat rolled products of iron or non-alloy steel, of a width of 600 mm or more, painted, varnished or coated with plastics, in such quantities, at such times and subject to such conditions as the International Trade Administration Commission
may allow by specific permit, provided the products are not available in the Sacu market.”
Acrylic sanitary ware dutySars on 02 December advised of an increase in the “General” and Mercosur rates of customs duty on acrylic sanitary ware classifiable in tariff subheading 3922.10 4 to the Customs and Excise Act, 1964 – “Baths, shower-baths, sinks and wash-basins” – to 30% ad valorem. The rates of customs duty from the European Union (EU), European Free Trade Association (Efta) and the Southern African Development Community (SADC) remain unchanged at 0% or free.
Sars’ 2016/17 January commitmentsIn accordance with Sars' xviii “Increased Customs and Excise Compliance Commitments” for its 2016/17 financial year, released on 05 September 2016, for January 2017 its
commitment is to “Enhance the quality of inspections and audit to effectively address detected noncompliance” (viii) Implement a new enforcement workflow module by January 2017 that will enhance traceability of manually triggered risk interventions initiated by Customs officials at the various ports of entry.
This the first of the six commitments scheduled by the end of March 2017. After these six only one of the 18 commitments remain, scheduled for conclusion by the end of February 2018.
HS2017 – Prepare for itOn 02 December the South African Revenue Service (Sars) announced the Harmonised System (HS) 2017 tariff amendments, which will enter into force on 01 January 2017.
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Is supply chain technology advancing faster than freight forwarders can keep up?
New online forwarding e-business models – that could change the way companies buy international shipping services – are being developed, leading to fears that freight forwarders may be replaced by the freight equivalent of travel booking sites such as Expedia, according to a new Drewry Supply Chain Advisers White Paper.
E-commerce giant Amazon has already filed as a non-vessel operating common carrier (NVOCC) and global trade platform, Alibaba, has announced a US$16-billion investment in its supply chain.
Drewry associate, Philippe Salles, says these developments for both established and new freight forwarding companies are “wide and varied”, presenting both threats and opportunities but certainly forcing the need for change.
But, he adds, there is confidence amongst logistics decision makers and freight forwarders about the continuing role of forwarders and third party logistics (3PL) service providers. “There is also some healthy scepticism about new entrants to the market
offering logistics booking platforms as international freight is not as simple as booking a one-off plane ticket or hotel stay,” says Salles.
He agrees that freight forwarding requires trust, orchestration and troubleshooting and that functions such as Customs and compliance remain complex and sensitive issues but warns forwarders against complacency, noting that change is inevitable.
“Shippers expect a more agile supply chain to meet the new ‘on-demand economy,’ with shorter contracts and spot rate requests,” he comments, noting that this trend has been encouraged by the current freight rate volatility.
Salles points out that another development that is forcing change is the rise of cross-border e-commerce. “The cross-border sector is estimated to have reached 15% of global e-commerce. Shippers can sell to their overseas or regional buyers with built-in online freight services powered by independent forwarding platforms or by forwarders as part of their e-commerce suite.”
According to Salles, transactional forwarding will move further into commoditisation. “And there is no future for complex pricing models.” – Adele Mackenzie
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Liesl Venter
The Gauteng government has earmarked the west and south corridors as agri processing hubs for the province.
According to Loyiso Mkwana, a deputy director general in Gauteng’s Department of Agriculture, the province has been divided into five corridors with agri processing playing key roles in the West Rand and in the southern parts of Gauteng.
“Our goal is to turn these two regions into hubs for agri business and we will invest heavily in agri processing industries here. The goal is to unlock the
potential of agriculture in Gauteng because even though more than half of the country’s agri processing happens in the province we have yet to unlock the full potential this industry holds.”
He said the West Rand – an area that had seen major economic decline thanks to the ailing mining industry – had already received a R20-million boost when an agri-park was opened in November.
Comprising a packaging house and
training room as well as hydroponics tunnel infrastructure‚ borehole water sources and other key features, the park gives smallholder farmers
the opportunity to store their produce in modern facilities, while also being able to aggregate and grade their produce for the market.
“This facility truly provides smaller farmers with the ability to tap into commercial markets like the bigger players in the sector. It will allow us to integrate them with the mainstream commercial farming industry, ultimately increasing our output and allowing us to grow the agri processing sector and our agri exports.”
Mkwana said embedded in this infrastructure programme was unlocking the economic potential of the West Rand and Sedibeng as the Agrotropolis of Gauteng. “This will see a conglomeration of agri activities around the area, ultimately creating a synergy that will see us grow the sector significantly.”
A total of four other agri-parks have already been established in Gauteng, one being in Carletonville. The other three are in Sebokeng, Pretoria and Eikenhof.
The MEC further said that he wanted to promote investment in catalytic infrastructure across the five development corridors and stimulate economic growth.
The plan is to create an economically transformed‚ modern‚ innovation-driven agricultural sector‚ with sustainable environmental
management for healthy‚ food secure‚ developed rural and urban communities in Gauteng.
Mkwana said investments were also being made into a milling plant in Randfontein on the West Rand while a milling facility had already been established in Cullinan.
These investments, he said, along with the agri-parks, all formed part of a broader strategy of the Gauteng government to change the character of the agricultural economy in the province.
Gauteng sets up agri-business hubs
West Rand agri-park provides smaller farmers with the ability to tap into commercial markets like the bigger players in the sector.– Loyiso Mkwana
“
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South African poultry producers are feeling the pinch as additional imports
from the United States (US) – negotiated under the African Growth and Opportunity Act (Agoa) – shrink their market share. And major producers, such as RCL and Astral Foods, are reporting serious revenue losses.
CEO of Astral Foods, Chris Schutte, said: “Last year we posted record results, but we have seen deterioration in profitability. The impact of the severe drought gripping the country and the imbalance in supply and demand of poultry caused by excessive levels of imports, have placed tremendous pressure on the
poultry division’s results.”South African Poultry
Association (Sapa) CEO, Kevin Lovell, told FTW that currently one of the big companies was closing an abattoir in the North West Province. “A medium-size producer that has operated for 40 years is shutting up shop, while others struggling to pay suppliers are likely to fold soon. Even big producers are so stressed they are running out of external storage space to store
production,” he said.According to Lovell,
“importers are job stealers, while local producers are job creators”. He pointed out that at least 12 businesses had gone out of production in the past few years, at least three more were not expected to make it through this year, and most major producers had
more cutbacks to come.“The result is that there
could easily be as many as 12 000 direct and indirect
jobs lost before year-end to add to the thousands lost so far,” said Lovell. He questioned the fact that developing countries needed to make do with leftovers from the developed world. “As leftovers are often sold at discounted prices that reflect their scrap value – not their production costs – these imports arrive in South Africa at way below the normal cost of production. Clearly, producers find it difficult to compete in such an environment,” said Lovell.
He commented that trade policy was not for the faint-hearted. “It is a brutal form of Trumpism, often glossed over with genteel manners and deceitful economics.
“If we are to reset our economy and maintain
current employment in the chicken industry – and others – we need to toughen up on trade and accept that we will need to be at least as tough as those with whom we negotiate trade agreements,” Lovell said.
Consumers’ rights, however, must also be taken into account cautioned Stephan Brink, import manager of Brito’s Group of Companies and general manager of Brito’s Food International.
He pointed out that sectors of agriculture, including the poultry industry, struggled from the outset to compete in a global free market sans government subsidies and government assisted price, as well as supply and demand fixing.
‘Import protectionism won’t save local industry – export growth can’
Unlike most other sectors of the local animal protein industry, the poultry industry has refused to collectively revisit its business model.– Stephan Brink
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‘Import protectionism won’t save local industry – export growth can’
“Sadly, two decades on and, unlike most other sectors of the local animal protein industry, the poultry industry has refused to collectively revisit its business model, investigate carcass and portion subsidising, or make a concerted effort to conform to the international health and sanitary requirements (as imports do) to open and access new export markets,” said Brink, adding that instead, it had only relied on “continuously demanding” protectionism via excessive import taxes.
The ‘buy and produce local’ movement is gaining traction in Africa as the likes of Kenya, Zambia and Zimbabwe increasingly institute stricter import regulations to protect local industry.
A Confederation of Zimbabwe Industries (CZI) manufacturing sector survey for 2016 has revealed that capacity utilisation in the manufacturing sector has risen by 13.1% to 47.4%, buoyed by the controversial import ban imposed to protect the country’s beleaguered industrial sector. According to CZI, capacity utilisation was at 34.3% in 2015.
The survey results, released
in Harare late last month, showed that the rise in weighted capacity utilisation was largely due to an increase in production by companies whose products had been placed under the controversial
Statutory Instrument SI 64 of 2016. These included food, tobacco and beverages, wood and furniture, as well as paper, printing and packaging.
“The gains of Statutory Instrument 64
(SI 64) of 2016 are beginning to be realised,” said a CZI spokesperson, pointing out that the survey had polled 250 chief executive officers and directors from industry.
Buying locally manufactured goods and products will go a
long way towards creating jobs in South Africa and bringing down the current high level of imports, according to Lionel October, director general of the Department of Trade and Industry (dti).
He was speaking ahead of an economic policy dialogue held with the private sector last week to “secure a commitment from big business to support local manufacturing, boost jobs and local industries as well as to increase investments in domestic manufacturing”.
While the October 2016 trade statistics – released last week – showed a trade deficit of R4.4bn, the year-to-date figure (January 1 to October 31 2016) shows a total R14.35bn deficit. Statistics South Africa noted that it was a “major improvement” on the deficit for the comparable period in 2015 of R59.5 billion but the dti, and other industry roleplayers, still believe SA should be doing
more to create a better import/export trade balance.
‘Buy local’ movement gains momentum in Africa
Importers are job stealers, while local producers are job creators.– Kevin Lovell
“Top 5 countries from which
South Africa imported (January to September 2016)
China (18.8%)
Germany (12.4%)
United States (6.3%)
India (4.3%)
Saudi Arabia (4.2%)
A commitment by Israel to share its expertise, its knowledge and its technologies with friendly countries could result in significant benefits for South African companies.
Israeli ambassador, Arthur Lenk, told delegates at last week’s Agri African Investment Indaba in Cape Town that the country had several agreements in place with countries across Africa as well as in the Far East and India to establish agricultural centres where knowledge and research and development was shared.
“Israel is a tiny country that is mostly desert and far from its key markets yet it has achieved leader status in agriculture, water management and food security,” he said.
One such synergy was between Israel and Ethiopia where the two countries worked together to sell flowers to Europe during the European off season, he added.
“It is about creating the capability to grow and deliver flowers to a market. There is opportunity to deliver tulips to the Dutch in their off-season and we have worked closely with Ethiopia to do just that,” he said. “In the same way we have partnered with Namibia to grow
and distribute dates. The key market for dates is Ramadan but because it is moving earlier in the year and for the next decade will be in the first half of the year, dates are now needed in the off season. We have partnered with Namibia to deliver dates in that off-season.”
Lenk said Israel had in recent years continued its long tradition
of promoting agricultural and development cooperation throughout Africa and believed there was much opportunity for partnering in South Africa.
8 | FRIDAY December 9/16 2016
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Cell: 083 444 1076There is opportunity to deliver tulips to the Dutch in their off-season and we have worked closely with Ethiopia to do just that.– Ambassador Arthur Lenk
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Israel partners with Africa to create win-win solution
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The multi-carrier portal, INTTRA, has recently enhanced its platform and product offerings, including the integration of ocean schedules (which offer 12 million sailings) into its core platform.
This, according to Philly Teixeira, INTTRA president of Europe, Middle East & Africa, provides tools which carriers can use to improve data accuracy, dangerous goods capabilities and the like.
Separately, INTTRA has introduced ‘decision support dashboards’. They
allow shippers and freight forwarders to analyse and benchmark their own shipment histories, measuring on-time arrivals (shipment reliability),
booking speed and dwell time.
“Dashboards are rooted in the principle that saving time is saving money,” Teixeira added. “Shippers and freight forwarders can make more informed decisions about future shipments to better serve their
customers and operate more efficiently.”
Highlighting benefits of the INTTRA platform particularly relevant for SA
shippers, Teixeira pointed out that shippers gained multi-party visibility to bookings and shipping instructions. “This transparency,” she added, “is particularly relevant to SA’s produce industry, in which one company often negotiates all rates for a group of growers. The multiple parties then make bookings while others submit shipping instructions for the same shipments.”
The portal connects over 225 000 shipping professionals with more than 50 carriers. Over 700 000 container orders are initiated on INTTRA’s platform each week, representing approximately 25% of global ocean container trade, according to Teixeira. The platform achieved 17% year-over-year growth in container bookings in the first half of 2016.
Its eVGM service provides the operational capabilities for digital submission, receipt, processing and auditing of Solas-compliant VGMs for shippers and carriers.
“Looking at future developments, INTTRA will continue to work closely with its customers to understand their evolving needs, and to develop and refine products and services that will help them improve their businesses," she said.
Multi-carrier portal gives shippers and forwarders the edge
Shippers and freight forwarders can make more informed decisions about future shipments to better serve their customers.– Philly Teixeira
“Uncertain policy and political unpredictability are two of the biggest concerns European companies have with South Africa at present.
This is according to a survey commissioned by the European Union (EU) Chamber of Commerce and Industry in Southern Africa and set to be released next week.
According to the chamber’s regional director, Stefan Sakoschek, the survey also identified concerns around transparency and accountability.
“The survey has highlighted several attractiveness concerns in South Africa. Business is brutal and return on investment is an important factor. “European companies are mostly listed or family owned and they have to deliver that return on investment to shareholders." – Liesl Venter
Policy uncertainty stifles investment
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10 | FRIDAY December 9/16 2016
Stabilising South Africa’s agricultural sector after one of the worst droughts since the early 1900s is the immediate priority of minister of agriculture, Senzeni Zokwana.
Delivering the opening address at the first African Agri Investment Indaba in Cape Town last week, Zokwana said agriculture in the country was under immense pressure, with the country now in its second year of below optimal crop production.
With 2015’s rainfall officially the lowest ever since 1904, Zokwana said all efforts were focused on stabilising the sector in an effort to ensure it bounced back to its former glory.
“We need stakeholders to assist us in this process. Low investment in agriculture in developing countries is a persistent problem that we have to overcome. We have to dispel the myth that the private sector is on strike and does not want to invest in South Africa,” he said.
Food prices in South Africa have increased dramatically in recent months due to the current shortages that have
been experienced because of the drought and the need to import more. A situation not helped by the weak rand which has seen the price of imports increase.
Economists have for some time been predicting that the drought will have long-term financial implications on the country’s agricultural sector. Zokwana concurred saying it was imperative to increase investment into the sector to address the after-effects and impact of the drought.
He said initiatives were under way to create partnerships in the sector to have a bigger impact.
“We are talking for example with Namibia about how we can do things differently when it comes to fishing so that we can work together. We are in agreement that cooperation will render better rewards for both our countries.”
He said South Africa was also on the verge of signing a memorandum of understanding with Senegal while talks with Angola and Mozambique were under way to work together on agricultural projects.– Liesl Venter
SA works with neighbours to maximise agri-business potential
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Despite assurances that the timeframe for applications for letters of authority (LOA) for importers would be cut down to a maximum of 120 days by the end of last month, Minister of Trade and Industry, Dr Rob Davies, now says this will only be effective by the end of March next year.
The letters of authority, issued by the National Regulator for Compulsory Specifications (NRCS), are required to enable importers to have their goods released by customs. FTW understands that many importers have been waiting for over six months to get the necessary clearance
Davies was responding to a written question submitted to Parliament’s Portfolio Committee on Trade and
Industry by the Democratic Alliance Shadow Minister for Trade and Industry, Geordin Hill-Lewis.
Davies said getting through the backlog had taken longer than anticipated because of “the complexity of the required skills, human resources and
systems interventions”.
He estimated that the backlog of long-overdue applications currently stood at just over 1 600. “This will be addressed by the end of March next year,” he said.
But Geordin Hill-Lewis issued a statement last Friday, noting that this was “unacceptable”.
“There are businesses that are literally facing closure, and others that have no stock to sell over the busy Christmas season, because of this backlog. Some of them have been waiting for more
than 240 days. It is now clear that the NRCS is not able to deliver even on its most basic job and should be placed under administration by the department,” he said.
Hill-Lewis first raised this issue in Parliament in August this year where former CEO for the NRCS, Asogan Moodley, provided assurances that the backlog would be addressed by November 30. Moodley resigned just over two weeks later amid media speculation that this was, in part, due to a lack of cooperation from the Department of Trade and Industry (dti) around the issuing of LOAs.
Stefan Sakoschek, regional director of the European Union Chamber of Commerce and Industry in SA, agreed that the delays were a major problem. “Sometimes it takes a year or year and a half to get approval. Electrical products, cosmetics, automotive products are mostly affected,” he said, adding that the delay in having the goods released from the ports also incurred “hugely expensive” storage costs.
NRCS in the firing line over crippling backlog
There are businesses that are literally facing closure because of this backlog.– Geordin Hill—Lewis
“
LAST WEEK’S TOP STORIES ON
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BREAKING NEWS: New acting group CEO for EskomThe Minister of Public Enterprises, Lynne
Brown, has approved the appointment of the current group executive: generation, Matshela Koko, as acting group chief executive of Eskom.
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Blue light brigade cheat apprehended in KZNTraffic authorities are taking a hard line against motorists who flout the rules of the road – particularly in the lead-up to the festive season.
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12 | FRIDAY December 9/16 2016
Port tariff increase a disappointment
growth was expected to be 2.97%, while the inf lation outlook was 6.10% and profit (return on equity) allowed was R2.6 billion in 2017/18.
“The ports regulator is confident that the record of decision ref lects a balanced and sustainable average negative real tariff change that will result in a 10% year on year increase in allowed revenue. The NPA will be allowed to recover R12.185 billion versus the R12. 231 billion applied for,” he said.
“Operational as well as capital expenditure applied for was allowed for fully, ensuring sustainability and further development of the SA ports infrastructure system,” he said. The regulator had opted to use R539 million of the Excessive Tariff Increase Margin Credit (ETIMC) to maintain overall average tariff hikes within the SA Reserve Bank’s inf lation target band of 6% and the average indicative tariff for
2018/19 and 2019/20 was 6% or less, he added.
“The regulator is committed to reducing the cost of doing business within the SA Ports system,” Fakir said.
South African Association of Ships Operators and Agents (saasoa) CEO, Peter Besnard, said SA ports remained expensive considering service levels.
“It will be contested by the industry because we are in very tough times. Some ports have reduced their costs but we have gone up although not as much as
anticipated,” he said.“There has to be
improvement in service levels and the general running of all ports. Emphasis on the dig out port seems to have gone away but you can’t neglect the structures you have got that are generating revenue,” he said.
Citrus Growers' Association logistics development manager, Mitchell Brooke, said he was “a bit disappointed” in the container tariff hike.
“We expected a zero percent increase or even
sub zero from the viewpoint that the tariff is still very high. TNPA and TPT charges combined represent 30% of our port cost which is exceptionally high,” he said.
SA Association of Freight Forwarders’ maritime consultant Dave Watts said the regulator had done an “exceptional job” over the past eight years.
“I have no idea where we would be from a tariff perspective if it wasn’t for the ports regulator. It would have been a 30% increase over three years
and we can’t afford that,” Watts said.
TNPA CFO Mahommed Abdool said it was too early to pronounce on the implications of the decision which the authority needed to assess.
“A considerable amount of thought has gone into the request of 8.02%, taking into account the economic situation. However, our application was made on August 1 and we are now talking about three months later and more updated factors had to be taken into account by the regulator,” he said.
From page 1
FY 2010/11 FY 2011/12 FY 2012/13* FY 2013/14 FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18Tariff based on PRSA ROD R2 014,65 R2 105,11 R2 163,21 R1 228,70 R1 301,19 R1 347,38 R1 212,65 R 1 272,07
FY 2010/11 Base Tariff + TNPA Application R2 014,65 R2 254,59 R2 661,77 R2 805,51 R3 043,98 R3 332,24 R3 528,85 R 3 705,29
FY 2010/11 BaseTariff + CPI R2 014,65 R2 101,28 R2 206,34 R2 329,90 R2 462,70 R2 612,93 R2 772,32 R2 941,43
R 0,00
R 500,00
R1 000,00
R1 500,00
R2 000,00
R2 500,00
R3 000,00
R3 500,00
R4 000,00
TNPA Container Tariff for FEU (12m Containers)
Transnet has graduated a record 513 trainees nationally in 2016 through its Maritime School of Excellence.
It has committed R7 billion towards skills development and training, with around R60 million spent since 2012.
According to Transnet group chief executive Siyabonga Gama, the training is aligned with the company’s 10-year rolling R340-R380 billion infrastructure investment programme.
Maritime schools have also been established to introduce high school pupils to the maritime industry.
Around 80% have been
absorbed into Transnet’s various marine and port operations throughout the country.– Ed Richardson
Graduates at play
Graduates demonstrating their skills on one of the two new Port Elizabeth harbour tugs.