Transnet Port Terminals, Durban Container Terminal, (DCT), Pier 1’s new arrival of Terberg Haulers was fully operational by 12 August. The state-of-the art equipment, valued at R23,4 million is expected to make a significant impact on improving operational efficiencies at the busy terminal. “The benefits of having these new haulers at Pier 1 will improve the availability and ultimately, equipment reliability at our terminal,” says renda Magqwaka, Transnet Port Terminals’ GM: KZN Operations Containers. “The increased reliability will correlate to fewer breakdowns resulting in minimal interruptions to operations. Furthermore, the terminal will be able to operate SIX gangs without equipment shortages. “We are committed to delivering better services and achieving better turnaround times at Pier 1, and the arrival of these new haulers is a substantial investment by Transnet Port Terminals which clearly demonstrates that.” Driver familiarisation training took place recently, which included endurance testing on the haulers, allowing them to be handed over to operations earlier than originally anticipated. The newly designed seat of these haulers has a host of features, adjustments and lumbar support to improve the ergonomics of the machine. Furthermore, what makes these haulers different from the old ones is that the seat has a built in sensor that cuts off the engine when the operator has left the seat for more than a period of 5 minutes. The new haulers also have door sensors linked to the air conditioner that once the door is opened, the air conditioner switches off. Lastly the machines come with the same engine (Mercedes OM906LA Tier 3), which meets the Euromottheoneronsssals, infrastructureDCT pier 1 commence in January 2016.with a further 30 haulers planned to be purchased in 2017/2 3A specifications with regards to emissions. As these new Terberg Haulers are part of a replacement project, they are to replace the current Mafi Haulers, thus the terminal will decommission and phase out 14 old Mafi Haulers respectively. Transnet Port Terminals (TPT) will begin the reverse logistics process for these Mafi Haulers. The hauler replacement project is planned to be completed in 2019, with a further 30 haulers planned to be purchased in 2017/2018 and 2018/2019 financial year. The terminal is also embarking on the phased refurbishment of 18 Rubber Tyre Gantry cranes at DCT Pier 1 which is due to commence in January 2017. TPT has committed R385 million to the upgrading and improvement of equipment and facilities for Durban Container Terminals’ Pier 1. This is in line with the company’s Market Demand Strategy (MDS) launched in 2012 to create capacity well ahead of demand and improve productivity and operational efficiencies, with an additional R260 million earmarked for further upgrades in the 2016/2017 period.
“Exporting creates many opportunities for the economy and offers the advantages of a larger market with greater economies of scale, it provides an opportunity to grow and sustain business operations and it enables a region to attract investments and new business, thereby creating employment opportunities.” This is according to Trade Invest KwaZulu-Natal’s Executive Manager for Export Development and Promotion, Mr Lester Bouah. Bouah continues saying a strong international trade sector is critical to jobs growth and to a strong and competitive KZN economy. “It is essential, especially during difficult economic conditions, to encourage new entrants and to help existing exporters grow their businesses and develop new markets”. Emerging exporters, existing exporters and seasoned exporters will all gather at the Durban International Convention Centre from 17 – 21 October 2016 to learn, network and discuss export and trade opportunities. Co-located with African Ports Evolution, Export Week KZN will recognise, promote and assist with growing export opportunities in the province, giving export ready businesses a platform to enhance their international business development strategies and to help meet the critical educational and mentoring needs of KZN SMEs engaged in international trade. Being the second largest provincial contributor to South Africa’s GDP after Gauteng and boasting the highest export propensity and the highest level of industrialisation in the country, the economic structure in KZN is based on a large manufacturing sector in which growth is driven by various industries. KZN’s emergence as a hub of industrial development in sub saharan Africa may be attributed to its unmatched natural resource endowments, exceptional productive capacity, well-developed first-world infrastructure and advantageous coastal location. According to the event organiser, Ms Athi Myoli, the 2016 programme will give exporters direct access to businesses that are looking for trade partners and associations who can help them to reach new markets. Myoli says the event will host some of the top business minds who will share their tips and stories on how to build a global business. Event dates and location: Co-located with African Ports Evolution Date: 17-21 October 2016 Location: Durban International Convention Centre Event website: www.exportweek.co.za
By Ernest Mahlaule, President of the Johannesburg Chamber of Commerce and Industry In recent weeks, following the local elections, we have been reminded of the importance of democracy – and our commitment to this as a country, has encouraged all stakeholders; citizens, business, investors and politicians alike – all while the world continues to keep a watchful eye on us. However, the ongoing dispute between the Ministry of Finance and South African Revenue Service (SARS) places this new found confidence at risk. In conversations with our constituents and stakeholders, we have become aware of how reports of the ongoing dispute between the office of the Minister of Finance and SARS, is impacting confidence in South Africa, from local and international businesses. The situation continues to create instability in the Rand and local markets, which comes at a very delicate time for the local economy.” Something needs to give. If this situation continues for much longer, the greater risk is the lasting reputational damage to the country in the eyes of our current and future investors, and this is something the country simply cannot afford.” South Africa is still at risk of being downgraded to ‘junk’ status, where research from local economists has already demonstrated that, should this happen, it will take the country’s economy at least seven years to recover. The startling reality, however, is that if South Africa is downgraded to junk status – and our political will is still at odds – this could spell the beginning of more, and compounding, challenges for the country.” We hope the situation is resolved quickly and that an appropriate and lasting resolution can be found to put this debacle to rest, once and for all. Now is a time to come together and collaborate in line with the emerging consensus whereby all stakeholders comprising business, organised labour, government as well as civil society have resolved to continue working together towards reigniting the economy and create the much needed jobs for our citizens. We should further be mindful of the fact that when political will is exerted, it should never be to the detriment of the country’s common interests. The people of this country want strong leaders with a proven understanding and sense of accountability for the power of the positions they hold.
Dormac Marine and Engineering, a division of Southey Holdings (Pty) Ltd and one of Africa’s largest and internationally recognised ship repair companies, launched its new, multi-million-rand composite floating dry dock, Dormac 1, at a traditional maritime naming ceremony in Durban on 2 September. The move, the single largest investment in Dormac’s history and signifies a new era for the company which has realised a 16-year dream to own and operate a dry dock. The R300 million investment will give the Durban and South African shipping industries a major economic boost as well as create jobs and enhance skills development. Dormac Managing Director, Chris Sparg, said, “This asset will go a long way toward meeting the demand for ship repair in South Africa’s busiest port.” The state-of-the-art dry dock, the first brand new ferro concrete dock to be brought into use in Africa, and the purpose built 175 meter long quay is expected to add to the Port of Durban’s ship repair capacity, taking advantage of the 30 000 ships that sail past South Africa’s coastline and the 12 000 ships that call in at South Africa’s harbours annually. “On average, a ship is required to undergo a dry-docking every five years and the ship-repair industry requires services that are flexible, efficient and considers outside influences such as cargo availability, charter pressures and the weather.” “Up until now, Dormac has been turning away between four and seven ships every month due to the lack of ship repair facilities,” Sparg continues, “but the new dock vastly increases Dormac’s docking capacity and flexibility and will enhance the existing Port docking offering.” Sparg forecasts executing an additional 45 dockings per year – ‘a very significant capacity increase’. The dock is ready for operation and already has six docking orders lined up for September. In addition, Sparg said, “Dormac Dock 1 ‘dovetails perfectly’ with the government’s Operation Phakisa, a presidential initiative that seeks to leverage the capacity of the South African maritime industry by accelerating national marine efforts, developing infrastructure and enhancing workflows.” Besides adding to Dormac’s bottom line, the new floating dock, which requires a ready supply of skilled labour, will create an additional 80 new direct jobs with spin offs to Dormac’s business partners who will also create additional jobs. Guest of Honour and keynote speaker, Minister of Trade and Industry, Rob Davies, used the launch as the opportunity to announce that Dormac had been awarded the DTI’s Section 12i Income Tax Allowance Incentive for this project. Section 12i is part of the Department’s incentive programme to support Investment in Manufacturing Assets, to improve the productivity of the South African manufacturing sector and the training of personnel to improve labour productivity and the skills of the labour force. Addressing the economic impact of the new dry dock, Southey Group CEO, Barry Wickens said, “this investment is the largest single investment ever undertaken by our Group and is a sign of our faith and confidence in the future growth and development of the Durban Port and indeed, in the economy of South Africa.” “At a time when the World economy is not in great shape and the South African economy is currently experiencing a zero percent growth rate, the Dormac Management team has undertaken this massive R300m investment, which will generate many additional jobs in the Port, enhance the skill levels of our workforce as well as generating substantial foreign currency for the Country.” “The Southey Group currently employs 5500 people and we are looking to create hundreds of both direct and indirect jobs as a consequence of this investment. This investment is budgeted to attract substantial docking opportunities for the Port of Durban and to grow the market share for the South African ship repair industry.” Allianz Global Corporate & Specialty (AGCS) Africa insured the floating dock during the building phase and while it was being transported to South Africa. The insurance coverage will continue while it is at the Durban Harbor’s the newly constructed shipyard. “As a leading global insurer, AGCS is pleased to contribute towards the development of the marine and shipping industry in South Africa through our partnership with Dormac on this strategic project. The development is critical to the region’s ocean economy,” said Mark Govender: AGCS Africa Technical Underwriting Manager: Marine. “This latest delivery in Durban is a critical infrastructural component in support of this initiative. AGCS Africa engaged with Dormac directly from the outset of this project utilizing our global network of experts to fully understand the project needs, so we are able to offer much needed technical expertise and support.” Dormac also introduced its Apprenticeship and Learnership Class of 2016 at the naming ceremony, a group of 33 artisans, many of whom will work on the new dock. When deciding to resurrect its new building capability in 2006, Dormac was faced with a massive shortage of welding skills and it became imperative that the company embark on an intensive skill development programme. Financial director, Craig Samuels, said, “looking at this year’s ‘bumper apprenticeship crop’, it is hard to believe that we started our training programmes back in 2002 with the enrolment of only four fitter apprentices that enrolled onto the traditional three-year curriculum for artisan training.” Dormac’s award-winning Artisan Training Programme has already trained 770 artisans in less than 10 years and has won the company a number of awards. The programme will now include dry docking skills and bring in an extra 25 candidates per year. The recruitment process is already well under way and the new apprentices were also introduced at the naming ceremony. Sparg is bullish about the success of this project and maintains the company is well-positioned to compete in the international market. “We see ourselves as a world-class shipyard and believe that if you operate this business correctly, you will bring the market.”