Freight Magazine April-June Issue by Freight Magazine

Southern Africa’s Only Monthly Magazine for the Industry

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A WEBHOOP PUBLICATION ISSUE 001 | JUNE 2015

South Africa Botswana Mozambique Zambia Namibia INSIDE: WOMEN IN INDUSTRY

CAPACITY 4x2TRUCK from BLT SA

CONCARGO MERGES

INTO TSI CENTRAL Clifford-Blackburn CEO

THEtheDEPARTMENT Yamoussoukro Decision(YD) for South Africa

IN THE SPOTLIGHT

COMAIR LTD ERIC VENTER

Southern Africa’s Only Monthly Magazine for the Industry || FREE ISSUE

JUNE 2015

FREIGHT MAGAZINE

EDITORIAL TEAM

editor’s note

Senior Editor Phu Jane Mabotja phu .m@freightmagazine.co.za News Editor Roxanne Price roxanne.p@freightmagazine.co.za Assistant Editor Sandy Moyo sandy.m@freightmagazine.co.za Associate Editor Fa ma Bowes fa ma.b@freightmagazine.co.za Southern Africa Editor Pulu Ngara pulu.ngara@freightmagazine.co.za Sales and Adver sing Enrae Marillier enrae.m@freightmagazine.co.za Design Director Peace Ngara peace.ngara@webhoop.co.za Circula on & Distribu on Enquiries To register for a free subscrip on to Freight Magazine, visit www.freightmagazine.co.za Key Contributors: Lindy Morton | Fes vitas 083 268 6666 fes vitas@dbnmail.co.za WebHoop Africa (Pty) Ltd No. 26 Peter Place, College Hse Bryanston, Johannesburg South Africa 2194 Tel: 011 540 0342 Copyright© 2015 WebHoop Africa (Pty) Ltd

ince this is our first issue, we are looking at how we can keep our readers happy, customer service. What is customer service? How important is customer service in general businesses? How important it is in logistics, in every industry? Professor Wessel J. Pienaar, head of Department of Logistics at Stellenbosch University, defines customer service as the integrated series of activities between the supplier and the buyer, which enhances the sale and facilitate the effective use of the suppliers' products. We all know that without consumers, the business will not survive. It is vital that the customers are always kept happy. Hence there is a famous saying in the business world: “the customer is always right.” Well, the customer may not totally always be right, however, it is crucially important to take into consideration the queries, comments and complaints of the customers. Remember, without customers, you have no business to run. Your customers are your boss, whether you like the idea or not, it is reality. Without them, you are business is just an idea. Just like Octavia Mtebele, the founder and owner of Noraclox Inn said: “your customers pay your salaries”. In logistics, customer service is as important as it is in the restaurant, a bank or any other organisation. Customer service includes a variety of activities. Those activities include (although not limited to) after sale servicing like maintenance, repairs, replacements services, attending to customer's enquiries and complaints. Therefore, customer service is a process for providing significant value added benefits to the supply chain in a cost effective way. The main objective of customer service is to supply the customer with the goods and services they require, at the right place, at the right time, at the right price, at the right quantity and at the right quality that the consumers will be happy with, and willing to pay for. I mean, who would keep coming back to a supplier that does not deliver what the

LEVEL 2 BEE CONTRIBUTOR

customer wants? Everyone wants to pay for what they believe is the best, unless otherwise the customer does not really know what they want. It is therefore very vital for the supplier to keep their customers happy. Which I believe it is not a formidable task to perform, if and when communication between the buyer and seller is constant and both parties have a considerable understanding of their duties. While the provision of the best customer service, cost should be considered. It would not make sense to provide customer service that would cost the company an arm and a leg, if the customer does not yield prosperous returns for the company. It only makes business sense that the most profitable consumer and/or product combination should be given the most attention. It is simply an 'I look out for you, you look out for me situation,' a win-win situation. The main issue here is to ensure that consumers as well as the suppliers are satisfied, at the most efficient way. Research has indicated that suppliers who consider the needs and wants of customers first are more likely to succeed in their businesses. Satisfied customers breed loyalty, in return the revenue of the company increases. Another positive that comes out of a satisfied customer, it's free advertising, by word-ofmouth. Show me any company that says they do not love free advertising. This way, money is saved, potential new customers are attracted to the business, which will lead to more income, and boom, the business is a success. “Do what you do so well that they will want to see it again and bring their friends.”- Walt Disney, The Walt Disney Company. Phuti Jane Mabotja, Editor tel: +27(81) 002 1849 e. phuti.m@freightmagazine.co.za

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June 2015 | Freight Magazine

COLUNMS

55 57

Transporting Dangerous Goods

freight magazine June 2015

Virgin Australia to step up push into air-freight market

EVENTS EDITORIALS

A Compuclearing make supply chain easy through effective information sharing

Concargo (Pty) Ltd Merges into TSI Central Station (Pty) Ltd

Durban the gateway to the World

The locally manufactured Tellap pallet-free packaging system

Criterion Equipment : refurbishment services for TCM forkli trucks

16 14

BLT SA, Taylor TXLS Log Stacker Series

Load Runners South Africa

WOMEN IN INDUSTRY

From Dust To Gold With Octavia,Founder Of Noraclox Inn, Sandton, SA

June 2015 | Freight Magazine

MATERIALS HANDLING & WAREHOUSING

INDEPTH IMPORT & EXPORT

Construction Equipment expected to rise by 2020

Companies told to elevate quality of Goods

Hard Challenges for single transport operators

DTI Commited to Growing Exports

43 45

LOGISTICS Remembering Murray Grindrod Senior, Grandson of Grindrod Group Founder.

R20 Million Rand to fund disadvantaged medical students

CHARTER SERVICES Private Jets have more fatal accidents than commercial planes

CARGO

51 53 55 56 57

Cargo hold ﬁre caused SIA ﬂight to make emergency landing

LAW & SECURITY OR Tambo security ghtened following stoaway mystery

FIREARMS & DANGEROUS GOODS Transpor ng Dangerous Goods

MANUFACTURING Intermodal Connec ons, Freight Management, Logis c’s New Equipment

AIR FREIGHT Virgin Australia to step up push into air-freight market

June 2015 | Freight Magazine

FREIGHT MAGAZINE EDITORIAL

this flow of information possible.

The sharing of information to conduct business is crucial in any industry, but none more so than the complex process of supply chain logistics. A supply chain can only be effective if necessary information is available as the product moves from each point along the process. Orders are placed to suppliers, international forwarders are notified to collect goods, carriers are advised of goods that they will be transporting and customs have to be aware of goods entering or leaving the countries, just to name some of the information that needs to be shared in the logistics process. Information technology systems, such as the CompuClearing and CargoWise One solutions, provide the efficiency to make

June 2015 | Freight Magazine

CompuClearing, established over 30 years ago as a simple customs engine, has developed to become South Africa's industry leader in the provision of IT products and services to the Customs Clearing, Freight Forwarding, Air Cargo, Supply Chain and Logistics related industries. As a wise business and wise service partner of WiseTech Global, CompuClearing has the rights to distribute and support CargoWise One in Southern Africa, in bringing a world class supply chain execution system with complete localization including interface into Customs in South Africa, local support, training, implementations, business & process analysis, Project Management and Change Control. With the emergence of technology and the advancements thereof, system interfaces also make the sharing of information easier and more efficient. This allows for discrete systems to communicate with each other.

The system allows interfacing the consignee systems with the suppliers system to allow for orders placed on the importers system to automatically be communicated to the suppliers system. Forwarders can also share information to allow for the export forwarding and clearance to populate for the import forwarding and clearance instructions. Port operations, Customs clearance messages and all other required messages can therefore be sent from a single system at a single place of entry, ensuring that all related systems are interfaced and allows for total visibility across the entire supply chain. In truth, forwarders are no longer moving goods but rather moving information and as long as the supply chain of information is correct then the physical supply chain will follow route. Access and availability of information makes it easy to operate within the business and industry as a whole.

FREIGHT MAGAZINE EDITORIAL

Concargo(Pty) Ltd merges into TSI Central Station (Pty) Ltd

Clifford-Blackburn CEO

It is with great pleasure that we announce the merging of Concargo(Pty) Ltd into TSI Central Station (Pty) Ltd) www.centralstation.co.za as of the 1st March 2015. Concargo has a rich history in the industry and specifically the Cape region. Its founders David Kruyer, Beverley Kruyer, Greg Tighe and Janine Conradie (ne Morris)

have grown the company from strength to strength over the past 28 years. TSI Central Station has a very strong footprint in Johannesburg and Durban and through the integration now in Cape Town. TSI Central Station is a total Supply Chain Management Logistics Company which offers a total onsite In-house

of Customs Clearing. We have combined over 40 years of expertise and knowledge at your disposal to ensure that compliance is met in every process so that it allows for a smooth flow of clearance of goods. We have formed relationships with various Senior SARS Officials and Port Authorities which we can approach and escalate

CYPHER LOGISTICS SOUTH AFRICA

ypher Logistics is a specialist freight forwarding company providing international air and ocean freight services.

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We cater to the import and export industry our services include Customs clearing, forwarding, warehousing, transportation and distribution of all cargo nationally and internationally. We have a strong worldwide network which enables us to complete globally. We are 100% black owned. In increasing the development of the shipping industry in Southern Africa, Cypher Logistics was established to offer personalized service and solutions that are expected from the corporate key players. The company has Senior Staff and members who are specialists in their fields

extension to your business with people that our clients can look to for reliability. Any delays could prove disastrous for you but Cypher makes sure that never happens. We pride ourselves on efficiency and our ability to speedily eradicate any complications when it comes to customs documentation. We are fully aware of and maintain correct customs procedures, which include controlling and monitoring consignments as well as the cataloguing and tariffing of import commodities. Rest assured you are getting the best advice on:- What is most economical - What will save you time and meet your deadlines - What is most cost effective Careful monitoring of all clearance processes and the accuracy of documentation is taken care of through the supervision of a senior member of staff.

years of expertise matters in order to finalize related matters efficiently.

or offsite technology service to business, from manufacturer to end user and all the component links in between. This collaboration with the clients existing suppliers achieves holistic economies of scale and meets total efficiency objectives throughout the supply cycle.

We assist and aid impoverished children, which we believe is an investment for the future leaders of our country. We also donate to various babies with aids organisations. Contact details :

TelTephone: 031 301 0742 Email: info@cypherlogistics.co.za Website: www.cypherlogistics.co.za

This enables us to offer that competitive edge to our clients as we become an June 2015 | Freight Magazine

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Southern Africa’s Only Monthly Magazine for the Industry

A WEBHOOP PUBLICATION ISSUE 001 | JUNE 2015

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FREIGHT MAGAZINE EVENTS

ransport forum together with the University of Johannesburg's Institute of Transport and Logistics Studies (Africa) or ITLS (Africa) hosted an informative event focusing on the Aviation Industry in South Africa. A panel of experts from various departments were welcomed and gave insightful information. The event highlighted important facts and researches. Amongst those who were present at the event, was the Deputy Director General of Civil Aviation: Department of Transport,Mr Zakhele Thwala, highlighting the issues and opportunities regarding the Yamoussoukro Decision(YD) for South Africa. YD is an AU (AOU) initiative to promote connectivity in the African continent, to offer open skies for African carriers. “Air transport in Africa is still characterised by: poor connectivity; lack of cooperation in African carriers; poorly run airport systems; lack of harmonized regulations; lack of adequate safety and security oversight; inadequate and aging fleet and infrastructure, distance and limited connectivity” said Mr Thwala. The implementation of Yamoussoukro Decision means, eliminating the access restrictions, frequency capacity and tariffs. The YD would also introduce fair competition on a non-discriminatory basis and it would lead to compliance with international safety standards. The implementation of the YD would bear positive outcomes and benefit the African continent. However, not too many African Counties are thrilled with the YD idea. The Deputy General also mentioned that: “At the continental level, implementation has been limited and slow and thus the

South Africa. It contributes 9.8% to the GDP and 10.3% to employment. Tourism is an export that generates foreign revenue and assist with the balance of trade. However South African Air still has high barriers that restrict tourists to visit the country. To further increase the passenger movement and tourists in the country, Mr Venter suggested that, this could be achieved through the most affordable rates at the lowest cost to the state With the increased growth of passengers, SAA is still going downhill and has been experiencing massive losses, research indicates that SAA has been making a loss of at least 2.556 Billion, however the south African government has been flooding the SAA with billions and billions of Rands, regardless of the huge losses they make. It was suggested that the government should stop wasting money on an "as good as dead" project. It makes no sense. “Further loans to SAA should cease to stop the debt trap.” Said Dr Joachim Vermooten, Aviation Specialist. According to the Business report in 2014, SAA had made a loss of about R309 Million in their routes between Johannesburg and Beijing. It was suggested that, it is of abundantly vital potential benefits of liberalising intraAfrican air markets remain unrealised.” It has been noted that only eleven (11) countries have agreed and are committed to the YD. Out of 54 countries in the African continent, 23 of them signed open skies with America, but only 8 of the 23 countries has agreed to sign open skies with South Africa. The aviation industry has an enormous potential of growing and generating massive profits for the African continent. Traffic flow is growing strongly among hubs in Johannesburg, Addis Ababa and Nairobi. InterVistas has conducted a study which shows that the African nations that liberalised air markets have benefited. Traffic flows are to increase by 81%, from 6.1 million passenger movements to 11.0 million after liberalisation. Tourism has shown a massive growth in

Deputy Director General of Civil Aviation: Department of Transport,Mr Zakhele Thwala

that SAA changes the way it operates. Mr Eric Venter, Chief Executive Officer of Comair ltd/ Kulula.com announced that, lack of organisational strategy and poor coordination is the main reason why businesses fail.

Phuti Mabotja, Editor tel: +27(81) 002 1849 e. phuti.m@freightmagazine.co.za

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FREIGHT MAGAZINE EDITORIAL

supply chain of seamless motion, over the past few years the Municipality has undertaken numerous surveys and investigations to ascertain Around the world, container the development issues ships play a vital role in supplying the consumer goods impacting on the Port. These plans are being and industrial products that developed in the interest of are essential to human life, economic growth, alleviating and with an ever expanding community and business population, Global Logistics uncertainty, and formulating and high quality cargo transportation is essential for a long term solution for future growth, There are plans for global growth, gearing up to port expansion and these are meet the challenges of a new era requires an excellent and intrinsically linked to the Durban to Gauteng freight resilient logistics platform Durban is considered to be the corridor and also the establishment of a southern gateway to Africa, and in Africa regional freight order to Capitalise from this network. growth we require a global

K&H LOGISTICS K+H Logistics is a professional International Forwarding and Logistics company that was established in 2010, it is company which pro-actively understands and anticipates the needs, perceptions, challenges and aspirations of their Customers, with very sound and close domestic and international partner networks, we always serve our clients as per their various requirements.Our active and friendly colleagues have many years experience in the transportation and logistics field. The principal of K+H Logistics is to provide clients tailor-made cargo services with highly efficient and effective ways to reduce costs and ensuring a world class service.The provision of value for money, comprehensively safe and reliable services with total emphasis on accuracy, transparency, visibility and the ensuring of total customer satisfaction on every transaction.

Our Services: * Sea Freight ( In/Outbound FCL/LCL, Dry/Reefer) * Air Freight (In/Outbound) * LCL and Groupage Shipments * Custom clearance/broking * Warehousing and Packing * Inland trucking * Documentation * Container stufď&#x20AC; ng * Bulk/Break Bulk/Over border * Abnormal Cargo * Bonded Warehousing Storage, Repackage and Distribution Tel No: 031 â&#x20AC;&#x201C; 4644799 Fax No: 086 4066207 Cell/Mobile: 083 2283644 E-mail: shaun@khlog.co.za Web: www.khlog.co.za

Hiranya Freight CC T/A K

H Logistics

FREIGHT MAGAZINE EDITORIAL

The locally manufactured Tellap pallet-free packaging system - which is a strong, lightweight alternative to a conventional bulk bag and wooden pallet - is ideal for safely handling agricultural seeds and grains, as well as food commodities and ingredients.

The locally manufactured Tellap pallet-free packaging system which is a strong, lightweight alternative to a conventional bulk bag and wooden pallet - is ideal for safely handling agricultural seeds and grains, as well as food commodities and ingredients. “Tellap is an environmentally-friendly pallet-free bulk bag that does not require fumigation or heat treating, which is necessary for conventional external pallets,” says Ken Mouritzen, Tellap. “This innovative system integrates two lightweight plastic sleeves into a polypropylene bulk bag, replacing the conventional wooden pallet, with a totally recyclable design. “An increasing number of leading bulk bag storage and transportation companies are investing in the cost effective Tellap system and are benefiting from reduced shipping costs, fuel savings, lower warehousing costs and ISPM15 compliance. An important feature in the food sector is that Tellap pallet-free bulk bags ensure a clean and safe environment.” A regular wooden pallet weighs about 25 kg, while each Tellap sleeve weighs only 1,5 kg, which means freight and disposal costs are reduced. These bags, which are rack compliant, also offer improved space utilisation in warehousing, rail cars and trucks. They can be stacked three high in a container or four high in a warehouse and can be safely loaded and unloaded by one forklift operator.

June 2015 | Freight Magazine

This system, which has specialised protective tine guards, allows standard forklifts to lift bags securely from their base sleeves or top loops, reducing the chance of damage. There is also no need for an additional worker to hook the bag onto the forklift. Sleeves increase safety, efficiency and stability. Sustainability is also critical in a modern product handling system. Tellap is made of polypropylene and is100% recyclable to avoid waste. Tellap, which is certified by TEN-E Packaging Services, global specialists in packaging component testing, has passed rigorous independent testing and meets stringent performance requirements for non-dangerous goods contained in flexible intermediate bulk containers (FIBC). This international certification and Tellap's in-house controls, ensure every customer consistently receives a safe quality product fit for every specific packaging purpose. The Tellap system is ideal for packing and transporting resins, food commodities and ingredients (including cereals and nuts) as well as pharmaceuticals, minerals and chemicals. . Tellap has patent approval from authorities in South Africa, Europe, Asia, Australasia and the USA.

FREIGHT MAGAZINE EDITORIAL

Criterion Equipment's service to its diverse customer base includes a refurbishment facility that restores an exis ng TCM forkli truck to the manufacturer's stringent speciﬁca ons. These before and a er photographs show a refurbished TCM FD30 (3Ton diesel) forkli truck

Criterion Equipment - refurbishment services - before

Criterion Equipment's service to its diverse customer base includes a refurbishment facility that restores an existing TCM forklift truck to the manufacturer's stringent specifications. “Criterion Equipment's national workshop facilities, which stock original TCM replacement parts, are equipped with the latest equipment to guarantee every refurbished machine adheres to original manufacturing standards,” says Brenton Kemp, managing director of Criterion Equipment, a wholly owned subsidiary of Invicta Holdings Limited. “Due to the current economic strain, the refurbishment of an existing machine or fleet, offers a more affordable alternative to purchasing new equipment and enables users to extend the life of existing machines by a few years. “The company's refurbishment service which encompasses cosmetic overhauls and general maintenance and repairs - ensures optimum performance, enhanced safety, low maintenance and extended service life

Criterion Equipment - refurbishment services - after

Criterion Equipment - refurbishment services for TCM forklift trucks

of every TCM machine.” Criterion Equipment's workshops, which are manned by a highly skilled team, are able to completely refurbish an existing machine according to TCM specifications and also adhere to industry specific customisations for standards in diverse applications, including mining, refineries and furnace installations.

and respraying and the fitment of decals and new tyres. Repair or recondition is also carried out on individual components like masts, transmissions, axles and engines. The Isando branch specialises in customised builds that include specialised cabs, enclosures and stoker arms.

These workshops, which only use accredited outwork service providers, offer a scope of services which include stripping; sand blasting, crack testing and repair to the chassis; as well as the overhaul and fitting of transmission.

Fitment of specialised forklift management equipment is also provided. This includes engine protection systems, transmission control systems, battery isolators and centralised greasing systems.

This service also includes rewiring, the fitment of new hydraulic hoses, a new or service exchange engine, the overhaul of brakes and masts and the recondition of hydraulic cylinders and steering axles.

Criterion Equipment's service also includes a national field services facility which provides assistance during breakdowns, the repair and maintenance of hire machines and maintenance contracts.

Customisations for specific applications, like dust proofing and fire retardance, are adhered to. Other services include priming

The company also offers a service to deliver and collect machines, particularly in the short term hire business.

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June 2015 | Freight Magazine

FREIGHT MAGAZINE EDITORIAL

Load runners SA started two years ago in 2013. Load Runners SA investigated the air and road freight services market and saw a gap for a reliable and experienced transport advisory service to handle a company's freight requirements. We offer a total transport solution plan upon analysing your company's freight requirements and securing the best freight rate and service for your needs. Many companies are unaware of the different types of transport services available to them and are therefore spending large amounts of money sending their road freight with the incorrect type of transporter causing loss of profits, time delays and receiving overall bad service due to inexperience.

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+27 81 002 1849 sales@webhoop.co.za

Our company analyses a company's freight account across the board and provides a cost saving personalised transport plan. We have companies which have been cherry picked for their fair rates and goods service delivery with whom we secure tailor-made rates for a company's profile after analysing their needs and annual expenditure. Our service extends above and beyond a bulk carrier service countrywide including Mozambique, Zimbabwe and all the way through to Zambia. We are in the fortunate position, and have set ourselves up to provide reliable, tried and tested as well as economical transporters, to move a company's freight safely to their destinations.

We are located in all the major centres of South Africa as well as cross border countries eg. Namibia, Lesotho, Botswana and Swaziland. We offer a same day express service and a domestic airfreight and bulk road freight services. We have the following modes of transport : 1 Ton, 4 Ton, 8 Ton, 12 Ton, 6m (10 Tons), 12m (22 Tons), Tri-axle (26 Tons) and 18m Super-link (32 Tons). We believe in providing the best service in the industry and always strive to make it as trouble-free as possible for the client.

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FREIGHT MAGAZINE EDITORIAL

The Taylor range of materials handling equipment, distributed exclusively in South Africa by BLT SA, encompasses the TXLS series log stackers, designed to efficiently handle a full log load, from truck or rail, in a single pass. “These robust log stackers, which are used for loading, stacking, transporting and unloading heavy loads of logs, offer improved productivity and safety, as well as fuel efficiency, reduced exhausted emissions and low maintenance requirements,” says Charity Gumede, marketing director, BLT

June 2015 | Freight Magazine

SA. “There are three models in the TXLS range – TXLS800, TXLS-900 and TXLS1000 – which are built on an all welded, high strength steel chassis and frame, with heavy duty drive and steer axles. “The key focus in the design of these machines has been on the production of high performance log stackers, that offer the forestry and timber sector efficient duty

cycles, low operating costs, extended service life and improved operator safety and comfort.” Taylor TXLS-800, TXLS-900 and TXLS1000 models have rated lift capacities of 36 288 kg, 40 824 kg and 45 360 kg respectively.

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which promotes system cooling has full flow in-tank return filtration. Standard Taylor ULTRA-VU rigid masts are designed for clear visibility for the operator. There is pressure compensated lowering control for near equal lowering speed, whether the stacker is empty or loaded. A mast tilt angle indicator is standard and a tilt lock control valve is fitted to prevent mast twist. An additional forward mast tilt allows high tiering and stacking of logs. This series has been designed for easy maintenance procedures to reduce downtime. An electronic diagnostic and maintenance monitor on the engine has a fault code history for fast problem location. The mast pivot housing is a two piece bolton structure for easy and safe service removal. For enhanced comfort and safety, the operator's station mounted is in an offset position for greater visibility over centre mounted machines. Other new ergonomically designed features include fingertip full hydrostatic steering, an air suspension seat for reduced vibration and a tilt steering wheel and hinge down instrument panel. Anti slip steps and handrails ensure safe three point mounting and dismounting

These log stackers are fitted with Tier III turbocharged diesel engines, with low emissions and efficient fuel economy. Standard engine features include an fuel/water separator, a high capacity cooling system for operation in all environments and engine/transmission protection systems. Lower fan and engine speeds reduce noise levels during operation and a built-in shut down system for the engine and transmission (high coolant temperature and low oil pressure) is standard. A high performance non-metallic pusher fan blows

dust and debris away from the operator. The transmission for the TXLS series is a remote mounted, 3-speed, fully reversing, modulated powershift system. An operator controlled electric declutch feature enables precise vehicle position control and full directional modulation ensures soft directional changes. There is a separate air to oil transmission cooler and a remote mounted filter reduces oil spills.

Other standard safety features are forward and reverse motion alarms, a high mounted tilt cylinder for mast stabilisation, a manual lowering valve system in case of emergency and dual flow control valves that prevent the load from failing. The parking brake, which doubles as an operator controlled emergency brake, has a brake saver system that prevents the operator from driving through parking brakes. Optional accessories for the TXLS series include rail car clamps, log pushers and a carriage hold down feature. BLT SA supports the Taylor range of log stackers, loaded and empty container handlers, rough terrain forklifts and reach stackers, with a technical advisory, support and spare parts service in South Africa.

This series is fitted with a large capacity heavy gauge steel wall fuel tank with an integral strainer. The hydraulic tank,

June 2015 | Freight Magazine

BLT SA delivers Taylor container handler to Transnet Engineering

BLT SA, which supplies and supports a wide range of material handling equipment used in diverse industries, has recently delivered a loaded container handler to Transnet Engineering.

bolt-on design for easy and safe service removal and the dual flow system prevents a load from falling in the event of a hose failure. This series also has an emergency lowering valve system.”

“This robust machine – the Taylor THDC955 – is being used in Pretoria to handle heavy ISO 20' and 40' containers, which have been loaded with high value engines and manufacturing components,” says Charity Gumede, marketing director, BLT SA. “This container handler, which has a rated capacity of 42 000 kg, will significantly improve operational efficiencies on site and will all also increase the overall full container storage capacity at the plant.

This series, with a heavy duty three-speed full directional modulated powershift transmission with an operator controlled air declutch, has a Tier 111 certified electronic turbo-charged engine. A high capacity cooling system with wide fin spacing reduces dirt build-up and provides efficient engine cooling. This container handler also has a lower fan and engine speed for reduced noise. High mounted tilt cylinders that are fitted to the rear and a centre mount operator station, ensure mast stability.

“Operators are impressed with the chain suspended spreader that allows for easy handling and improved driver comfort. The shock, which normally travels through the machine when handling heavy loads, is absorbed by these chains. “The Taylor THDC-955 has enhanced safety features, including forward and reverse motion alarms, wide angle rear view mirrors, as well as hand rails and anti-slip steps. Axle mounted spring-on, air-off parking brakes, with a brake saver system, prevent the operator from driving through the parking brakes. “The mast pivot housing has a two piece

June 2015 | Freight Magazine

The operator station is designed for easy control, enhanced safety and optimum comfort. The centre mount, two door elevated operator cab is shock mounted with excellent visibility through the mast. Individual fingertip hydraulic and electric controls on a hinge-down instrument panel ensure smooth, precise handling and steering is easy on a tilt steering wheel which is fully hydrostatic. A single left pedal combines both brake and inching controls. For enhanced comfort, the floor board, cab and engine compartment are insulated to

reduce noise levels and a high performance pusher fan blows dust and debris away from the operator. A vinyl mechanical suspension seat reduces vibration and an anti cinch restraint allows free movement for the operator. Maintenance requirements of these loaded container handlers are minimal. Brakes are easily serviceable without the need for axle disassembly, the filter element on the chassis is replaceable with easy access by two bolts and tanks are also bolt on for easy removal and cleaning. There are electronic diagnostics on the engine with a fault code history for fast problem location and a built-in shut down system for engine and transmission is standard. A dual element air cleaner with a restriction indicator system offers engine protection and a remote mounted filter reduces oil spills. An exhaust purifier system is an optional environmental feature. BLT SA, exclusive distributors of Taylor container handlers and reach stackers in Africa, is running accredited training internship programmes for operators, as part of Transnet Engineering's 'Supplier Development Initiative'.

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June June 2015 2015 || Freight Freight Magazine Magazine

FREIGHT MAGAZINE EDITORIAL

Limited. “Although there are no significant changes of the major truck specifications and the external appearance of this series over the previous Smart series, there have been some changes of components for improved performance. . “These new Smart concept machines have been designed and manufactured in accordance with stringent quality and safety specifications to ensure enhanced reliability and flexibility, as well as economical operation and extended service life.” Smart internal combustion engine forklift trucks, which have a power-shift transmission and loading capacities of 2, 2,5 and 3 T, are now available with two new types of engines - Isuzu C240 diesel engines and GCT K21 gasoline engines. The new Isuzu C240 engines have a rated output of 35.4,5/2500 kW/r.p.m, a maximum rated torque of 140/1800 Nm/r.p.m and a service weight of 4240 kg. The new GCT K21 gasoline engines have a

Criterion Equi launches new S engine powered trucks

Criterion Equipment has launched a new range of Smart TCM 2-3 T engine powered forklift trucks, designed for enhanced performance in all operating conditions, even harsh environments. “Smart engine-powered counter-balanced type forklift trucks are now available with

June 2015 | Freight Magazine

two new types of engines to enhance existing Kubuto diesel engines. A wider choice of gasoline or diesel engines provides the flexibility to meet the diversified performance requirements of industrial trucks,” says Brenton Kemp, managing director, Criterion Equipment, a wholly owned subsidiary of Invicta Holdings

rated output of 34.6,5/2250 kW/r.p.m and a maximum rated torque of 153/1600 Nm/r.p.m.

These engines - with a deep bass noise level, as opposed to the high pitch noise of other machines - have been designed for reduced noise levels during

FREIGHT MAGAZINE EDITORIAL

type transmission where the transmission case is combined with the drive axle housing to absorb engine vibration at two points of rubber mounting. The absorbed engine vibration is transmitted to the differential through the transmission and engine power is also transmitted to the differential through the transmission without loss, because of direct gear connection.

operation. Isuzu C240 engines, which meet Tier 3 emission control regulations, have an engine management system that delivers efficient power, enhanced reliability and economic operation. Smart forklift trucks have a mono-block

Smart machines have a full hydraulic steering system without knob shift control. All the operator has to do is keep turning the hand-wheel at the end of each position. Optional accessories, designed originally for TCM's Inoma series, are fully compatible with these machines, to ensure enhanced operation, greater flexibility and improved safety. Optional equipment and hydraulic attachments include wide view full free two and three-stage masts, side shifters, hinged

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forks, rotating clamps, load grabs and turna forks. There are fewer parts in this range than other forklifts on the market and all main components are located on the same side of the machine for effortless and efficient maintenance. Safety has been critical in the design of this new Smart series. A new fork landing mechanism ensures the fork lowering speed decelerates at a height of approximately 150 mm above the ground, enabling accurate placement of the forks into the load fork pockets or pallet. High mounted rear combination lights are clearly visible at the top of the overhead guard and are recessed to protect against vibration and to ensure extended bulb life. The front and rear pillars are welded together as a single piece head guard structure, giving additional strength to the entire frame. A rubber strip attached to the hood prevents operator slippage. Optional safety accessories include a rotating warning light, rear working lights, windshield wipers and an insulator kit. Enhanced operator comfort ensures increased productivity, especially in harsh South African conditions. In the Smart series, tilt cylinders are situated under the floor to provide an expansive floor space for easy foot movement. A multi-functional suspension seat, a small diameter easily maneuverable steering wheel, a convenient parking lever and an enlarged foot step, enhance comfort and safety for the operator. TCM forklifts, reach trucks and container handlers are available from Criterion Equipment branches, as well as dealers and agencies. The company provides a technical advisory and support service throughout Southern Africa.

FREIGHT MAGAZINE WAREHOUSING

BLT SA - new Capacity 4 x 2 trucks for reliable performance

COVER STORY

comfortable operation in all environments, which contributes to reduced fatigue and improved productivity.”

where rear brakes lock on low air pressure. An efficient lighting system ensures safe operation at night.

“

The 4 x 2 Capacity range, with a high strength all-steel cab and one-piece platform, is available in on-highway road models - ideal for applications where 'over the road' use is required and off-highway models where no 'over the road' travel is necessary.

Capacity trucks have an optional DuraRide® rear suspension, designed to minimise stress to the frame, cab and drive train. This system isolates the truck from road shake caused by rough terrain, yet provides a stable ride.

ncluded in the range of Capacity trucks from BLT SA, are 4 x 2 models, designed for enhanced performance, increased safety and minimal maintenance requirements. These 4 x 2 Capacity trucks, which can be customised for every specific handling task they need to perform, are suitable for use in diverse industries, including warehousing and distribution, airport terminals and intermodal requirement s, as well as ports and shipping,” says Charity Gumede, marketing director, BLT SA. “Key features of this robust range include reliable performance with the maximum number of lifts or moves per hour, fuel saver technology, low cost of ownership and compliance with quality and safety specifications. These machines are supported by a 10 year frame warranty.

“

Other advantages include multiple engine options, reduced emissions for enhanced environmental protection and improved driver ergonomics to ensure

June 2015 | Freight Magazine

For additional strength and durability, these trucks are fitted with a double reinforced front bumper and a 50° taper curbside deck and bumper. Front and rear tow hooks, which are standard in this range, are welded to the frame rails. These machines have a rigid suspension, power steering, automatic brake slack adjusters and a vertical exhaust with a heat shield. Standard safety features include warning devices, fully adjustable mirrors, tempered safety glass and a reliable braking system,

BLT SA, exclusive distributors of Taylor container handlers and reach stackers in Africa, is running accredited training internship programmes for operators, as part of Transnet Engineering's 'Supplier Development Initiative'. BLT SA, the principal dealer for Capacity trucks in Africa, enhances the range of new and reconditioned machines, with a rental option. The company also offers a maintenance programme to ensure enhanced performance and extended service life of equipment. Other machines available from BLT SA include industrial forklift trucks and container handling equipment.

FREIGHT MAGAZINE WOMEN IN INDUSTRY

From Dust To Gold With Octavia, Founder Of Noraclox Inn Sandton, SA Born in the dusty village in the Eastern Cape, Ntombizodidi Octavia Mtebele had a dream of being successful and to rise above her disadvantaged background. From an early age Octavia knew she would be successful one day, and nothing will stand on her way to the top, where she always wanted to be. Her father and people she chose to surround herself with while growing up played a major role in her life, inspiring her to work hard and be the best she is today. “Surrounding yourself with positive and inspirational people is vital if you want to succeed in life; however, the ball is still in your court to make your life a success.” Octavia said. Working hard and being persistent is the main key to her success. Although she had limited funds, after high school, Octavia moved to Nelspruit to pursue her tertiary level studies at Tshwane University of Technology (TUT), enrolled for a Human Resources Qualification, where she also helped with the filling and basic HR work in the university. She also worked as a casual on weekends at a major retail store. Octavia had a goal, she told herself that she will work for someone for only ten years, gather up some money and then explore on her own. When she completed her studies, she continued to work in the retail industry where she was head of Different departments with a moving annual turnover of more than 70 million Rands.

Eager to know more and learn, she ventured in various departments, from managing the whole store to sales and customer services, to logistics services in the store, for more than a decade. However she had a dream of starting her own business. With that in her mind, she made an uneasy decision to quit her well-paying job with benefits to start on her own.

“Starting out was not easy. I had to make major sacrifices and tough decisions in my life in order to succeed. It was a real struggle.” Knowing what she wanted and refusing to fail, Octavia worked hard and never gave up on her dreams. In 2012, she solely managed to put together some capital to open up a guest house and conference centre, Noraclox Inn. Today, Octavia is the owner and founder of Noraclox Inn, which is a double-storey, nine-bedroom guest house and conference centre nestled in the heart of Bryanston, Sandton, just 3 km from the N1 highway. It is situated on a popular and busy road in the suburb that links up with Bram Fischer to Fourways or Randburg or continues to become Peter Place on your way to the Sandton CBD. The beautiful guest house

caters mostly for business people and some leisure clients. Recently there have been couples getting married at Noraclox Inn, they also hold conferences and other events. With two full time employees, Octavia and her employees work together to deliver the ultimate excellent service to their clients. She gladly mentioned in the interview with Freight Magazine that, she does her utmost best to make her clients happy and feel at home. “Your clients are your boss, they pay your bills, without them, there is no point of having that fancy guest house with clean fresh linen if no one is going to put them to us.” She elaborated. Customer service is very vital in every business. A happy customer becomes a loyal customer and the best way to advertise, through word-ofmouth. Through sweat, tribulations and a lot of sleepless nights, Noraclox is a success. Hard work, being persistent and never giving up and losing focus on your dreams does pay off at the end of the day. Octavia is a living proof and an inspiration to the society and the youth of today. Octavia is working on opening other branches of Noraclox Inn in the future, to create more employment for the people of South Africa. She is on her final year with the University of South Africa (UNISA) Completing her Bcom degree.

9June 2015 | Freight Magazine

FREIGHT MAGAZINE FEATURES MATERIALS HANDLING & WAREHOUSING

Construction Equipment Market is expected to reach $240.97 Billion, Globally, by 2020, Allied Market Research Company Announcement - According to a new report by c titled, "Global Construction Equipment Market - Size, Industry Analysis, Trends, Opportunities, Growth and Forecast, 2014-2020", the global construction equipment market is expected to reach $240.97 billion by 2020, registering a CAGR of 8.9% during 2015-2020. The construction equipment market includes heavy machinery such as loaders, cranes, forklifts, excavators, and dozers, used for earthmoving, material handling, excavation and other applications across different industry verticals. Among the different types of construction equipment, loader and cranes would continue to remain the most preferred type, due to their numerous applications in construction, mining and public works. Loader segment would drive the market significantly by 2020, contributing more than 44% of the total market revenue, due to increased application in earth moving operations. Crane market is growing at a steady rate owing to the growing demand for lifting and material handling from different industries. To request more information about the report, visit the website at www.alliedmarketresearch.com .From industries' perspective, public works and rail road sector would significantly drive the market due to the increasing number of infrastructural projects worldwide. Other prominent end-user industries include oil & gas, mining and manufacturing. The construction equipment find maximum usage in earth moving and lifting &

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material handling applications. The two applications collectively accounted for around 50% of the total market in 2014. Between the two, earth moving application would grow at a faster rate during the forecast period, due to the upsurge in construction for commercial and residential infrastructure setup. Market is further segmented into solution type, comprising of product and services. The market shares of products and services would hover in the ratio of 80:20 throughout the analysis period. It is our preference that if you wish to share this article with others you should please use the following link: Asia-Pacific region would dominate the global construction equipment market throughout the analysis period due to the increased industrial and residential construction activities in this region, whereas North American market is expected to witness moderate growth. Key findings of the study • Lifting & material handling application would grow at a relatively faster CAGR of 12.4% during 2015-2020, in comparison to all the other applications • Public work activities would continue to drive the global construction equipment market over the analysis period • Excavation & mining application

involving the use of construction equipment would grow notably at a CAGR of 9.5% during 2015-2020 • The market in Asia Pacific region is expected to grow at a CAGR of 10.2% during 2015-2020 The market growth is attributed to innovation in construction equipment products along with the rising demand from public works, mining, manufacturing and oil and gas industries. Many prominent players operating in the construction equipment market have adopted product launch and acquisition as their key growth strategies. In 2011, Caterpillar acquired Bucyrus to expand the mining segment of the company and improve their mining equipment product line. Prominent companies profiled in the report include Caterpillar, Volvo, Hitachi, JCB and Komatsu. It is our preference that if you wish to share this article with others you should please use the following link: Source: http://www.engineeringnews.co.za/article/co nstruction-equipment-market-is-expected-toreach-24097-billion-globally-by-2020--allied-market-research-2015-06-11

RESPECT

SPIRIMAGINATION Imagination is the future seen right now and because we are Christocentric we believe our imagination is inspired by the Holy Spirit giving us unlimited levels of imagination.

URGENCY Time is of the essence here at WebHoop Communications, Now is the word, never Later

EXCELLENCE Everything is done to precision such that it is beyond good, it is excellent!

CONTRIPACTION

TEAM The African bush is ﬁlled with many fearsome predators: big cats and big dogs. The most successful of these are the pack hunters: lions, hyenas and wild dogs. The secret to their success lies in their highly co-operative behavior. In a hunt each member of the pack has a speciﬁc role to play. This strategy ensures that collectively the whole is greater than the sum of the parts. Our team is not just within our house but it is with you our clients, we engross ourselves within you such that we become part of you, your prey is our prey.

A combined term of contribution and impact, this is what we thrive to do not only contribute…that could be just noise!!! We contribute such that it makes a good impact on your business.

Our Thinking Is

“People of excellence go the extra mile to do what’s right.” - Joel Osteen

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FREIGHT MAGAZINE FEATURES MATERIALS HANDLING & WAREHOUSING

Tra nsport operators, which are a key component of the economic fabric of rural towns, are finding it increasingly difficult to operate in a challenging environment where pressure on margins, volatile fuel prices and increased operating costs are placing stress on their profitability - especially in cases where they rely on a 'single contract' for their survival, says Standard Bank. "Operating outside large metropolitan areas and primarily serving the agriculture and mining sectors, the role of these smaller transport operators in their local and regional economies is often underestimated," said Toni Fritz, Head of Vehicle and Asset Finance - Business of

carry other loads that either do not fit the configuration of the vehicle, or that run the risk of contamination; Often, single contracts, especially in the mining sector, involve collecting raw material at one point and conveying it to another. The cycle is then repeated. For the operator, this means having to return to the originating point without a revenueproducing load; The shortage of suitably qualified drivers and field service personnel; Volatile fuel prices that are subject to change at short notice, making it difficult to budget accurately when tendering for contracts. Toll fees add further to operating costs; In a market crowded with operators, being

"Some of these smaller operators rely on single medium- to long-term contracts with a single customer to finance their operations. Although this gives them certainty over the contract period, there are several factors that restrict them from opening up their businesses to further opportunities," said Fritz.

forced to reduce margins aggressively to obtain business. Although smaller operators can often work off a lower cost base than larger transport companies, they have to work equipment harder. This has consequences for fleet reliability as scheduled maintenance can sometimes be sacrificed to meet delivery deadlines or bolster margins; If the business presents financials that do not support the finance requirements on its own, the transport operator is forced to 'fit' financing of equipment into the contract's terms. Meaning that equipment is likely to be financed over a shorter time period, placing stress on monthly cash flows; and Industrial action in their operating sectors that can have a negative impact on the value and number of loads carried.

These inhibiting factors include: Using horse trailers that are tailored to a customer's needs. If a transporter is carrying coal, the trucks he uses in the fleet are configured to meet these particular requirements. It is, therefore, difficult to

The result of these pressures on smaller contractors is increased scrutiny by financial institutions. This often occurs in times of economic stress, when companies are seeking financial assistance to bridge gaps in their cash-flow shortages or even

Standard Bank. "Without these transport contractors, farmers and mine operations in far-flung corners of the country would find it difficult to move products and commodities. Within their towns where fuel, service and supply facilities, drivers and local labour rely on the transport sector, their contribution to the economy is even more important.

June 2015 | Freight Magazine

acquire new equipment. "The primary responsibility of any bank is to manage risk and ensure that transport operators are able to meet their commitments. This sometimes requires that customers' cash flows are 'stress tested' to assess their sustainability under different scenarios. In this case, the ability of the operator to diversify his operations and the strength and duration of single contracts become critical factors," said Fritz. "As we understand the needs of the market, we actively support the growth and sustainability of smaller contractors within reasonable risk parameters.

"There is no doubt, however, that many small contractors are beginning to feel the strain of the ongoing economic downturn. It is important that as soon as signs of financial stress become evident that operators approach the bank for assistance and advice. The sooner the step is taken; the sooner plans can be put in place to assist viable operations to meet financial challenges. "As partners in supporting economic growth, Standard Bank believes a sustainable transport sector is vital, especially in a country where there is limited rail capacity. Helping to keep trucks on the road and creating opportunities for new operators is critical to all our futures. We intend to be a part of this industry going forward," concluded Fritz. Source: http://www.bizcommunity.com/Article/196/4 54/129516.html

FREIGHT MAGAZINE FEATURES MATERIALS HANDLING & WAREHOUSING Warehouse investment is on the up: 39% of companies plan to increase the number of warehouses and 33% to expand their size.

the job of enabling easy, high-volume picking. In many warehouses, technology will need to be refreshed to keep in time

location technology, such as Bluetooth beacons, connect over the wireless network to provide your teams with a precise

The trend reflects the need both for greater capacity in hub sites and for more local depots. With more space, more staff, more Stock Keeping Units (SKUs) and the need to coordinate supply across multiple channels, the industry needs new ways to improve workflow. In this article, Mark Mackay, regional manager of Zebra Technologies South Africa, discusses the challenges facing warehouses. He explains how the Internet of Things (IoT) offers the potential to enable new workflows to meet the demand for ever faster, ever more accurate fulfilment and discusses five steps to embrace 'always connected' technology.

with changing business demands.

location of goods. With your teams spending up to 70% of their time simply walking between aisles looking for goods, the technology can have a marked impact on productivity. People can be voice-guided to their picking location - or via a map on their handheld device - to find their items quickly and without getting lost. Sensors, such as smart RFID tags, can also be used to provide a stream of data on the status of goods, with back office systems raising alerts if a problem arises (e.g. a cold store rises above a certain temperature). This is especially helpful where you're storing perishable goods such as frozen food.

The drive for bigger, better, faster There's a legacy view that the warehouse is a cost centre where the focus is on cutting costs by ironing out efficiencies. That perception is changing. The main reason for this is that, in many markets - retail and manufacturing in particular - the faster fulfilment of orders, through any channel, is a clear competitive differentiator. As the focus shifts to redesigning the warehouse to meet the demand for next-day and same-day delivery, there are barriers to overcome. One of the most important issues is the sheer size of today's warehouses. How can staff easily move around and find and pick stock in these sites? And how can they be trained faster? It can take at least 48 hours to get new people to full productivity that's too long in such a fast-paced environment. Then there's the need to achieve maximum visibility - seeing every item, everywhere across the supply chain. This is essential if the warehouse is to fulfil its role as a 'command centre', coordinating the delivery and returns of orders through any channel - online, physical and mobile. In addition, the volume of goods being processed means that automation is essential. We still come across some warehouses using paper to manage orders. This is no longer viable. What's more, legacy mobile computers may not be up to

These are not insignificant challenges. But IoT promises to help overcome them. IoT in the warehouse Three trends are enabling IoT in the warehouse. First are high-performance wireless networks that provide an alwayson connection to the back office. Second are smart sensors - such as RFID chips and GS1 compliant barcodes - and location technology that makes it easier to automate the collection of item data, monitor the status of goods and find items. Third, the easier integration of previously separate back office systems simplifies data analysis to support better decisions and gain complete visibility over the stock position. The following five steps will help you take move to IoT: 1. Optimise your wireless network: With high and dense shelves and moving equipment and inventory, the warehouse is a demanding place for a wireless network to operate. Industrial-grade wireless networks can overcome these radio-frequency challenges. They provide the reliability, speed and capacity to manage thousands of simultaneous connections and high volumes of data - and even provide coverage in the cold store. 2. Power through picking: Smarter, connected devices are easing the process. The devices, which are more intuitive, adaptable and flexible, include body-worn options and ring scanners to keep hands free. They enable workflows to be streamlined by offering picking options that include voice instructions (and confirmations), pick-to-light (where a scan of a barcode illuminates lights above the picking bin to advise how many items to pick) and scanning (of barcodes and RFID chips). Advances in interface design ensure that devices are second nature to use to slash training time. They also provide a continuous stream of data about picking progress to update the stock position. 3.

4. Connect the back office: Warehouse Management Systems (WMS), Transport Management Systems (TMS), Enterprise Resource Planning (ERP) and more - these applications are often not linked together. And to make the most of the streams of data being collected from the warehouse and beyond - through to delivery and returns - fully integrated warehouse management systems are needed to help you see stock status and track every item everywhere. New cloud-based technology provides the opportunity to deploy lowercost WMS. The industry is moving in this direction with 68% of organisations planning to implement fully featured and fully integrated WMS by 2018. 5. Optimise outgoing and incoming goods: The use of automated RFID systems to automatically log pallets out - and in - to warehouses is becoming more commonplace. And, when linked to automated WMS systems and handheld devices that instruct teams for put-away, the technology can deliver huge time savings. However, one area of the warehouse that isn't so automated is the returns process and in the drive to see everything, everywhere, using barcodes and RFID chips to manage returns into the warehouse can help provide a more complete picture of the stock position across the supply chain. business differentiator.

The sense in sensors: New

9June 2015 | Freight Magazine

FREIGHT MAGAZINE FEATURES MATERIALS HANDLING & WAREHOUSING

Nedbank (through its Capital Division) together with the International Finance Corporation (IFC) have launched a $50-million facility to help commodity traders and processors in sub-Saharan Africa import agricultural commodities and export cash crops... The scheme, which is part of the IFC's Global Warehouse Finance Program (GWFP), is focused on providing funding for farmers and traders in emerging and non-developed countries in Africa who are often unable to procure finance due to lack of sufficient conventional loan collateral. "According to the Global Food Security Index 2014, while 20 (71%) of the countries in the region have recorded an overall improvement during the year, SSA countries still make up the bulk of the bottom tier of the index," says Sekete Mokgehle, Head of Global Commodity Finance at Nedbank Capital. "The scheme is crucial in order to deal with the real challenge of food security across the continent." As the only South African bank to have signed with the IFC,

June 2015 | Freight Magazine

Nedbank is extremely pleased to be able to play its part towards ensuring that food, a basic human right, is available to all citizens in Africa." The deals are structured on a warehouse concept, with the physical commodity or collateral being stored in warehouses or other acceptable storage and in transit methods, in order to mitigate potential risks. As the product is sold, the trader pays the lender, enhancing cash flow for the farmer but still protecting the commodity on behalf of the financier. "The GWFP covers transactions in Africa, excluding South Africa, whereby Nedbank's Global Commodity Finance (GCF) division provides finance against a specific agricultural commodity. This is managed under a collateral management arrangement, stock monitoring arrangement, Warehouse Receipt Financing, in transit against a Freight Forwarders Receipt or similar financing structures," says Mokgehle. "It is important to note that GCF already provides these products and has been doing so since 1999 in its normal course

of business," says Mokgehle. He says the arrangement with the IFC will allow Nedbank Capital to provide additional funding to African importers and exporters, thereby stimulating growth in local businesses in these countries. "Although the program relates to most African countries outside of South Africa, the main focus is on the less developed countries, where financing is difficult to come by or offered at exorbitant rates. Nedbank Capital would like to ultimately assist in growth in GDP and economies of these countries and would secure food supply in respect of imports to countries where we may have previously been restricted in terms of limits and risk appetite." He adds that in terms of exports, additional funding would result in an increase in foreign exchange earnings for local countries which would stimulate job creation. "These benefits would be passed onto local farmers who would have easier access to sell their produce at more transparent and improved prices. The program therefore provides a "win-win" solution for all

stakeholders along the agri commodities supply value chain and will go a long way to ensure sustainability in the agricultural sector on the African continent." The first deal has already been signed with rice importers in Liberia, a country heavily affected by the outbreak of Ebola. The crisis heightened the issue of food security in the region, with restrictions on air travel and border closures further adding to pressures. The funding provided by Nedbank has ensured that food is still delivered to the country without any disruption. German Vegarra, IFC's Regional Head of Manufacturing, Agribusiness and Services for sub-Saharan Africa concludes, "The private sector has a crucial role to play in containing the economic effects of Ebola. By partnering with Nedbank, IFC and Global Agriculture and Food Security Program (GAFSP) will support commodity trade in Liberia, to maintain economic activity and ensure food security in the country.â&#x20AC;? Source: http://www.bizcommunity.com/A rticle/196/650/126762.html

FREIGHT MAGAZINE FEATURES MATERIALS HANDLING & WAREHOUSING

Dual distribution arrangements lining up with international practice Dual distribution is potentially a very effective method for manufacturers to get their products to market. It can allow them to take advantage of efficiencies offered by thirdparty distributors, while simultaneously allowing them to handle certain aspects or parts of their distribution chain themselves. ntil now, these potential efficiencies and benefits had to be weighed against the risk that such a strategy would be considered by the South African competition authorities to fall foul of the Competition Act. However, the recent decision by the Competition Appeal Court (CAC) in the decade-long legal battle between South African Breweries (SAB) and the Competition Commission has provided some much soughtafter clarity on the legality of such a strategy, and is a welcome decision for any business wishing to engage in such a method of distribution. In essence, dual distribution envisages a system in terms of which a manufacturer uses the services of a third-party distributor or wholesaler to sell its products to its end customers, but simultaneously also sells its products directly to end customers itself. There are endless reasons why a manufacturer may choose to adopt such a strategy, but usually there are a number of efficiency considerations that form part of the decision. The advantages are many, both for the business's bottom line and for the end customer, who hopefully gets to purchase the product at a cheaper price than he or she would otherwise have been able to. A classic example of a company using dual distribution to

maximise efficiencies is SAB. Its distribution system has become a thing of legend; the efficiency with which it is able to distribute its beer to the furthest corners of South Africa is almost unparalleled. It therefore would have been with some concern, to SAB in particular, and manufacturers in general, that the Competition Commission took issue with its distribution system. SAB's distribution system works thus: it sells its beer products by way of a primary distribution network from its seven breweries to its own wholly owned depots, as well as to a limited number of appointed distributors (ADs). A secondary distribution channel ensures that beer is distributed by the depots and ADs to customers. Each AD is assigned an exclusive territory to service. Personnel of SAB are stationed at the relevant AD in order to conduct marketing functions. ADs are required to adhere to a number of strict service standards. Their operational systems are fully integrated into SAB's systems. ADs are remunerated by SAB in two ways: first, they are paid a handling fee for each unit sold, and second, a delivery fee is paid for each unit delivered. The Competition Commission's allegations against SAB were wide-ranging, but, in essence, the complaint (which was initially brought by a number of independent distributors) can be summed up as follows: SAB was in a horizontal relationship with its ADs (ie SAB and the ADs were competitors in relation to distribution functions), and therefore the exclusive territory provisions of their agreements

constituted market division in contravention of the Competition Act. Importantly, were the Competition Commission to succeed on this point, SAB would not have been able to offer any defence, as such conduct is automatically and absolutely prohibited in terms of the Competition Act; If SAB and the ADs were not in a horizontal relationship, their vertical relationship (ie their customer-supplier relationship) resulted in a substantial prevention or lessening of competition in contravention of the Competition Act; That the remuneration system adopted by SAB to its ADs amounted to price discrimination in contravention of the Competition Act; and SAB had engaged in minimum resale price maintenance, also in contravention of the Competition Act.

In its decision, the CAC considered whether the arrangements between SAB and the ADs, which possess elements of both horizontal and vertical relationships, should fall to be analysed as one or the other, or both. In particular, whether the conduct of SAB and the ADs could be "characterised" as market division within the meaning of the Competition Act, and therefore fall foul of the Competition Act. The CAC found that although SAB and the ADs were in a horizontal relationship at the distribution level, "the horizontal elements of the agreement were incorporated in aid of the primary vertical purposes of the agreement. They were rational incidents of a vertical arrangement, not independent arrangements incorporated merely for convenience into a distribution contract." Viewed in this light, the CAC found that the horizontal features of the agreements with the ADs should not fall to be examined

in terms of the market division provisions of the Competition Act. In relation to the allegation that, when viewed as a vertical relationship, the relationship between SAB and the ADs resulted in a substantial prevention or lessening of competition, the CAC found that the evidence, when viewed as a whole, showed overwhelmingly that this was not the case. Indeed, it seems that quite the opposite may be true. The Competition Commission ultimately failed in its attempt to prove an anticompetitive effect as required by the Competition Act. The CAC did not consider whether the remuneration system adopted by SAB to its ADs amounted to price discrimination, as it found that the conduct did not result in a substantial prevention or lessening of competition as required by the Competition Act, and therefore it was unnecessary to consider the issue any further. Finally, the CAC found that the evidence did not support a case for minimum resale price maintenance. The Competition Commission's appeal was therefore dismissed with costs. Of course, the CAC's decision does not mean that all dual distribution arrangements are now automatically permissible in terms of the Competition Act. It does, however, advance the South African jurisprudence regarding the treatment of such arrangements, to bring it in line with international best practice. Provided they are structured properly, businesses will now be able to implement dual distribution arrangements with confidence that they will not be found to have breached the provisions of the Competition Act. This can only be of benefit to businesses and consumers alike. Source: The Times via I-Net Bridge

9June 2015 | Freight Magazine

FREIGHT MAGAZINE FEATURES MATERIALS HANDLING & WAREHOUSING

Port Ngqura creates jobs The Port of Ngqura has managed to create over 800 permanent jobs in the Eastern Cape, Public Enterprises Minister Lynne Brown said on Monday. The Minister was speaking at the Ngqura Container Terminal's 5th anniversary and expansion programme milestone. The Minister officially opened berths 3 and 4 at the Ngqura Container Terminal, marking a significant step in Transnet's drive to expand capacity at the port, while confirming the company's position as a leading and committed partner in the economic development of the Eastern Cape Province.

Public Enterprises Minister Lynne Brown

The state-owned transport and logistics company's investment at the port entailed the building and deepening to 16 meters of the container terminal's two additional berths and purchase of port equipment, including two megamax ship-to shorecranes, 18 rubber tyred gantries, 48 haulers and 48 bathtub trailers. "I am pleased that the Port has contributed towards job-creation in the area of the Eastern Cape. To date, more than 825 permanent jobs have been created since the 'operationalisation' [sic] of the Port in October 2009," explained the Minister. The celebrations today marked the completion of the port's third and fourth berths as well as the delivery of port operating equipment as Transnet accelerates its investment programme at the container terminal. The investments made, take the terminal's container handling capacity from 800 TEUs to 1.5 million TEUs per annum. She added that the creation of decent jobs

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remains a high priority of government. Additionally, the port has also contributed towards the transformation of the economy. "To date, the port's procurement spend is recorded at R900m of which R740m is Broad based Black Economic Empowerment spend. The transformation of the economy also remains a priority area for government. "We cannot undermine our investment towards building and developing our black suppliers. The creation of strong black industrialists shall remain top of the agenda of our government," she said. The Minister also paid tribute to Transnet for its commitment to the port which has also benefitted from being an Industrial Development Zone. "It's designation as a special economic zone has supported a broader-based industrialisation growth path in South Africa, while helping the country achieve

the objectives as outlined in the National Development Plan (NDP). "I would like to congratulate Transnet for investing about R14bn in building and developing the Port of Ngqura. This includes the latest investment of R2bn and the reason for us being here today. Its capability to accommodate the new generation of cellular container ships shows the business responsiveness that is so greatly required to give the country a competitive edge and stay ahead of market requirements," she explained. Ngqura is central to Transnet's stated strategy of a complementary port system and in this regard, Transnet has earmarked and is developing Ngqura as a major transshipment hub linking ports in the East, West and Southern Africa with their trading partners. Source: http://www.bizcommunity.com/Article/196/5 24/125423.html

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Super Group 'delivers' its own set of excellent results Super Group‚ an industrial transportatio n operator‚ says it delivered "an excellent set of results" for the year to June‚ with earnings growth resulting from its integrated logistics plan. The results were achieved despite "highly challenging" market conditions and inflationary pressures experienced in southern Africa and Australasia‚ the group said. Revenue rose 22%‚ mainly on new contracts secured in the Supply Chain South Africa businesses‚ a strong performance in the African logistics cluster and better sales in the vehicle dealerships unit. "We are expecting trading conditions in the South African economy to remain challenging over the short to medium term‚" Chief Executive Peter Mountford

Fleet Group on the Australian Securities Exchange.

said. "We are also anticipating an increase in competitive pricing pressures across all sectors and will continue focusing on driving cost efficiencies throughout the group," he said.

Through its SG Convenience warehousing for fast-moving consumer goods business in South Africa it also bought R&H Liquor Distributors‚ a liquor distributor for restaurants and hotels.

Operating profit increased by 18.6% to R1.34bn. This was driven by operational efficiencies and cost controls in each of the businesses‚ as well as new contracts. Expansion but margins remain under pressure

The group also bought a 50.1% interest in the GWM South Africa (Great Wall Motors) distributorship and acquired two GWM dealerships. But it said that none of the acquisitions had a material effect on the annual results.

But margin pressure - with the exception of its dealerships division - was a result of competitive markets‚ especially in the second half of the financial year.

Super Group's return on net operating assets after tax was 18.6% for the year. The net debt position fell 42‚8% to R91m‚ with total gearing of 1.7%.

But Mountford said new clients in consumer goods and "quite good" commodities cargoes out of Zambia‚ the Democratic Republic of Congo and Zimbabwe through Durban harbour had boosted the group.

Operating cash flow shot up 39% for the year to R2bn with a working capital outflow of R90m compared to R286m last year‚ as a result of stringent working capital management. Meanwhile‚ cash generated from operations‚ after working capital‚ increased by 65.7% to R1.9bn.

During the year Super Group undertook the listing of 52.5%-owned subsidiary SG

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Supply chain management specialist Santova‚ could look to push into busy African markets in the financial year ahead.

people who are fast becoming consumers,"

pressure on price and margins to continue.

Africa expansion on the cards

Santova earns most of its keep in South Africa (R137m in revenue in the year to February)‚ but also has a meaningful presence in the UK (R33m) and the Netherlands (R26.5m)‚ and smaller operations in Australia (R12m) and Hong Kong (R5.5m).

Gerber argued that using these countries as points of entry to neighbouring countries would be easiest because of trading bloc treaties. "With the additional investment being made by the international community into both ports (sea and air) in Africa (specifically Namibia‚ Mozambique‚ Angola and Ghana)‚ a reconfiguration of the freight forwarding and logistics business is inevitable."

He stressed that the company saw tremendous opportunities in offshore markets because intensified foreign competition in local markets was forcing small to medium-sized companies to improve the efficiency of their supply and to mull "internationalising" their businesses.

In its recently released annual report‚ Chief Executive Glen Gerber raised the possibility of seeking acquisitions globally to develop trade corridors and to control the entire supply chain from supplier to customer. "In making these acquisitions we would also look to build on economies of scale where we are lacking‚ alleviate geographical 'stumbling blocks' and enhance intellectual capital‚" he said. He cited select zones in Europe‚ the Americas‚ and East and West Africa as key to Santova's future strategy. "In East Africa we would be particularly interested in Kenya‚ while in the west our interest would be Ghana and Nigeria. These countries would serve as access points to over 1bn

Santova's shares were up strongly again on the JSE on Tuesday (4 June)‚ touching an intraday high of 230c. Although its shares have more than doubled in a year‚ there could be further upside in the price since the company still trades on a modest earnings multiple of 8.7 times. Turnover for the year to end February was hiked 21% to R214m‚ with net profit shifting up 23% to R31m. Headline earnings came in 40% higher at 17.7c/share‚ yielding a dividend of 3.25c/share. Gerber said with the world economy expected to show only modest growth‚ Santova expected intense competition and

"Companies are now implementing worldwide sourcing‚ establishing alternative production sites on each continent and selling their products in multiple markets‚ all of which require the existence of an operations and logistics solution across geographies‚" he said. Supply chain decentralisation had consequently become a preferred strategy for pulling product to demand and reducing total logistics costs‚ he noted. “For Santova‚ this borderless and integrated world economy‚ driven by globalisation and technological advancements‚ is an exciting opportunity which has already resulted in strong contributions to our earnings‚ both onshore and offshore."

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Elevate quality of goods, companies told

RETORIA: South African companies should elevate the quality of their goods and standards of their service as they infiltrate the Mozambican market and the rest of the region.This is according to the South African High Commissioner to Mozambique, Mandisi Mpahlwa, who was addressing the delegation of business people who had arrived in Maputo for the second leg of the Outward Trade and Investment Mission (OTIM) to Mozambique organised by the Department of Trade and Industry (the dti). Exploring business opportunities Mpahlwa told the 23-member delegation there was a high level of interest from the rest of the world in doing business in Mozambique. "In order for us to remain relevant and remain part of the major economic revolution that is taking place in Mozambique, we need to be cautious of the competition that is present currently in the business space," said Mpahlwa. Mpahlwa said the Mozambican economy presented opportunities in investment and trade which South African business people could tap into. He advised the delegates to use the trade and investment mission to make contacts, explore business

June 2015 | Freight Magazine

opportunities and make meaningful and beneficial partnerships. Joao Gomes of Robor Limited, a South African company that manufactures and supplies welded steel tubes and pipes, among other things, said being part of the mission provided him with an opportunity to explore business opportunities. He said the first leg of the mission in the Tete province had provided good prospects and he saw opportunities that he would followup on for his steel manufacturing company. "We have an advantage to do business with Mozambique as we are closer to the market and because of the framework that is already in place supports us," said Gomes. The investment mission will conclude on Friday. Calls for business people to partake in OTIM to Australia Meanwhile, the dti has invited businesses in the mining and capital equipment, mineral beneficiation, electro-technical and mining services as well as other companies with mining rights looking for investors, to participate in the Outward Selling and Investment Mission to Australia. This mission, from 2-4 September, will take

place on the sidelines of the Africa Down Under Mining Conference which brings together global mining executives, investors and consultants to tackle challenges and respond to opportunities in the mining sector. Trade and Industry Deputy Minister Mzwandile Masina said the mission will serve to promote South Africa's' mining sector and preview opportunities in high growth markets. He said the participation of South African companies in this mission will provide opportunities to interface with global players in the mining industry which could result in great leads for them. â&#x20AC;&#x153;We urge companies to take advantage of our Export Marketing and Investment Assistance scheme (EMIA) which covers accommodation, air tickets and excess luggage costs for their samples and marketing material to ensure that they are able to also showcase their products to potential buyers," said Masina. The closing date for entries is 3 July 2015. Source: http://www.bizcommunity.com/Article/196/5 97/130163.html

FREIGHT MAGAZINE FEATURES IN-DEPTH IMPORT & EXPORT

RETORIA: The Department of Trade and Industry (dti) is committed to growing the diversity and volume of the country's exports by ensuring that all stakeholders play an active role in the implementation of the National Exporter Development Programme

(NEDP)... The purpose of the NEDP is to increase exports, particularly of those products and services that add value and contribute to employment and the green economy. The target group is small, micro and medium enterprises (SMMEs), generally drawn from the ranks of the previously disadvantaged, while still taking into account the needs of larger potential and established exporters. Director of Industrial Policy at the department, Fanie Gagiano, said during a three-day team export South

said Gagiano.

Africa workshop in Pretoria, that one of the most important strategies was identifying sectors in which South Africa has a comparative advantage. He also identified the need to strengthen institutional support for these sectors and develop a matrix management system to ensure linkages between Industrial Policy Action Plan (IPAP), enterprise development and empowerment programmes on the one hand, and export promotion and development programmes on the other hand. "The effective implementation of export development requires commitment from a broad range of stakeholders who are involved in the export sector and supporting exporters. "The current exporter development landscape in South Africa is extensive but very fragmented, and a deeper engagement and collaboration to effect changes is required to introduce a more coherent support framework,"

The workshop, being held in Pretoria, has put the spotlight on the strategic direction in driving the national export agenda, soliciting support from stakeholders and industry, and encouraging collaboration with stakeholders in the implementation of the NEDP and the reviewed Export Council Model. Acting Chief Director of Export Development and Support, Jacob Moatshe, said the New Growth Path also prioritises the creation of jobs in South Africa through a coordinated set of actions, consisting of macroeconomic strategies, microeconomic measures and stakeholder commitments to drive employment and economic growth. "To widen the market for South African goods and services through a stronger focus on exports to the region and other rapidly growing economies, as government we must encourage collaboration with stakeholders in the implementation of the NEDP and the reviewed Export Council Model," said Moatshe.

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counterfeit sneakers at the Lebombo border post.

"On further inspection, officials discovered 150 boxes of suspected counterfeit branded sneakers among the declared consignment of wheat and bran. This amounted to a total of 4,262 pairs of suspected counterfeit sneakers with an estimated street value of R3.4 million," said the revenue service.

RETORIA: The South African Revenue Service (SARS) has confiscated R3 million worth of suspected counterfeit sneakers at the Lebombo border post.

On Tuesday, SARS' Mpumalanga Tactical Interventions Unit (TIU) stopped a truck entering South Africa at the Lebombo border post for inspection. Documentation handed over to SARS officials indicated that the truck was transporting wheat and bran.

On 13 May 2015, members of Customs' Detector Dog Unit searched a truck which had been declared empty - but instead found 85 boxes of All Star sneakers hidden in a false compartment. This action resulted in prevention of 2,040 pairs of sneakers valued at R1,632,000 from entering South Africa.

The suspected counterfeit goods included 1,918 pairs of Nike, 1,226 pairs of Adidas, 602 pairs of Puma and 516 pairs of All Stars. "The sneakers were detained pending Intellectual Property Rights (IPR) verification. The truck was also detained to determine if it is liable for forfeiture." Influx of counterfeit goods

SARS said that in the past year, the Lebombo border post has experienced an influx of counterfeit goods, with customs involved in up to 1,009 detections of goods valued at R23.7 million. “Regardless of attempts to deceive SARS officials by concealing illicit goods entering South African ports, vigilant and alert officials continue to intercept such consignments. SARS will continue to do everything in its power to ensure that illicit and counterfeit goods are prevented from entering or leaving our country."

This follows another recent interception of

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he launch of a free trade agreement by three African economic blocs in Egypt this week will be an important step towards a potentially game-changing common market spanning the continent, supporters say.

leaders at the World Economic Summit for Africa in Cape Town last week, with participants highlighting the fact that just 12 percent of African countries' total trade is with each other - compared to some 55 percent in Asia and 70 percent in Europe. "The tripartite trade agreement is really important as a first step for Africa... which then can engage with the European Union and others on a global basis," Michael Rake, BT Group chairman and a co-chair of the forum, said. Africa's share of global trade stands at around three percent.

The deal between the East African Community, Southern African Development Community and the Common Market for Eastern and Southern Africa will create a market of 26 countries with a population of 625 million and gross domestic product of more than $1tn. The Tripartite Free Trade Area (TFTA) will be inaugurated at a summit of heads of state and government on Wednesday, 3 June, in Sharm-el-Sheik, Egypt after four years of negotiations to establish a framework for tariff preferences and other commitments. "The launch of the TFTA is a significant milestone for the African continent," the South African government said. "We believe that this sends a powerful message that Africa is committed to its economic integration agenda and in creating a conducive environment for trade and investment."

Boosting trade has long been an ambition of the African Union (formerly the Organisation of African Unity), and BACKERS of the latest move are aware of scepticism surrounding its prospects. "I think Africa will surprise the world," Fatima Haram Acyl, the African Union's commissioner for trade and industry, said at the WEF. â&#x20AC;&#x153;We're going to have our continental free trade area." British colonialist Cecil Rhodes originally dreamt of unifying Africa from "Cape to Cairo" in the 19th Century under imperial rule from London -- a far cry for the diverse group of nations that will make up the Tripartite Free Trade Area. Member states will range from relatively developed economies such as South Africa and Egypt to countries including Angola, Ethiopia and Mozambique, which are seen as having huge potential growth.

The United Nations Conference on Trade and Development said in a 2013 report that one reason for weak intra-African trade is that the focus has been more on the elimination of trade barriers than the development of capacity. "If African governments want to achieve their objective of boosting intra-African trade, they have to create more space for the private sector to play an active role in the integration process," the report said. The point was supported at the WEF by Jean-Louis Ekra, president of the African Export-Import Bank, who emphasised the need for African countries to add value to their exports rather than simply sell commodities. He used the example of two major African cocoa producers who would be unable to sell cocoa to each other, but if they processed it into chocolate would be able to sell it across the continent. The need for the industrialisation of African economies was a significant issue at the WEF. Delegates noted that although the continent's growth has outstripped global GDP expansion by nearly three percentage points over the past 15 years, it faced falling commodity prices, power shortages, political instability and corruption. WEF's biennial African Competitiveness Report said Africa's prospects for long-term growth are under threat from weakness in the core conditions for competitive and productive economies. Despite the challenges, Africa's overall economy is expected to expand by 4.5 percent this year, according to a report by the Organisation for Economic Cooperation and Development, the African Development Bank and the UN Development Programme.

The move was welcomed by business

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Marching on with good trade figures

ollowing large deficits in the previous two months, South Africa recorded a trade surplus of R482.5 million in March 2015, with exports boosted by increases across most of the main export goods.

Precious or semi-precious stones exports were up by 34% y-o-y in March, electrical

June 2015 | Freight Magazine

equipment gained 13.5%, base metals were up by 3.4% and exports of vehicles and equipment surged by 43.9%. Mineral products fell by 2.2%.

In the first quarter, exports were down by 2.1% y-o-y. Mining exports were generally lower, while manufactured exports recorded strong increases during the quarter, with vehicles and equipment up by 28.6% y-o-y. During the remainder of 2015, exports are likely to improve, as production activity normalises, while the weakness of the rand exchange rate will add further support. However, electricity load shedding will

restrict volume growth in mining and manufacturing. On the import side, growth is likely to be contained by weak domestic demand, although disposable incomes will derive some support from lower fuel prices. Energy imports will be propped up by local electricity shortages but lower energy prices will more than compensate, while imports of capital equipment will remain steady as purchases for the government's large infrastructure development programme continue. Electrical equipment imports increased by 8.8%, chemical products rose by 13.7%, while vehicles and equipment gained 19.3%. Imports of agricultural goods fell by 0.2% yo-y after the strong 51.7% jump in the previous month. In the first quarter, imports were down by 0.3% y-o-y, with mineral products 28.8% lower.

FREIGHT MAGAZINE FEATURES IN-DEPTH IMPORT & EXPORT

The CEO of the Johannesburg Chamber of Commerce and Industry (JCCI), Joan WarburtonMcBride says, "As many JCCI members are involved in international trade, we are doing whatever we can to alert them to the substantial and significant changes in the customs legislation. Businesses need to understand the implications of the changes so that they can adapt their procedures accordingly."

Effects of new Customs Act need to be understood

oth the importing and exporting businesses are to be affected by the changes to the Customs Acts, which aim to modernise customs control in South Africa and bring it in line with the recommendations of the World Customs Organisation. Clearing and forwarding agents and companies involved in importing, exporting and the manufacturing of excisable goods (such as cosmetics, alcoholic beverages, cigarettes, motor vehicles and electronics) will all be affected.

Self-compliance, self-assessment focus McBride noted that there is a shift in the focus of the new legislation - where the emphasis is now on self-compliance and self-assessment. Companies will have a greater responsibility in administering and declaring the duty liability on imports and exports and as such, it is therefore vital that they understand the changes and prepare their company systems to comply.

The legislation has expanded the investigative capability of SARS in order to monitor compliance. Customs will be tracking the goods through the entire supply chain and the onus will be on the company to notify Customs ahead of each stage in the cycle. Tax authorities will be able to conduct retrospective audits going back three years. Where SARS suspects fraud, there is no time limit to how far back they can audit the company. Another feature of the new legislation is the many changes in the terminology used. McBride advises companies not to delay. "We urge companies to get their systems organised and ensure their staff are trained. The new Customs Course being run by the JCCI will be of enormous benefit in explaining the legislative changes and the implications for companies." The JCCI is running 5-day courses on the New Custom Act - the next course will be starting on 30 June 2015. Call Pam Freeman on +27 (0)11 7265300 or email members@jcci.co.za.

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Trade with Nigeria requires NAFDAC registration

ompanies and individuals trading in the food industry, pharmaceutical and medical industry, and the cosmetics industry should be aware of the laws in Nigeria regarding the

importation, manufacture, distribution, sale or even advertisement of their products. As opposed to many other countries where one can freely sell, distribute or advertise

egotiations around the establishment of a single free trade area, spanning across 26 nations known as the Tripartite Free Trade Area have been finalised, with the launch expected in May 2015.

In light of Africa Day, celebrated on 25 May annually that aims to promote economic and cultural prosperity on the continent, it is important to note that the creation of this trade block is a positive step towards improved investment flow and the facilitation and flow of goods in the region. According to Jonathan Horn, MD of Maersk Line Southern Africa, this Free Trade Area will promote active trade between South Africa and the rest of the continent. "The growing African economy offers South African companies vast opportunities and the establishment of one trade zone and economic community will only increase the opportunities available on the continent." The main objective of the establishment of the Free Trade Area is seemingly to strengthen and deepen economic integration of the southern and eastern Africa region. "It will allow the enhancement of trade facilitation and improve the flow of goods in the region by

June 2015 | Freight Magazine

one's products as one wishes, in certain industries in Nigeria one needs to register with the National Agency for Food and Drug Administration and Control (NAFDAC). NAFDAC is a Nigerian government agency under the Federal Ministry of Health which is responsible for regulating and controlling the manufacture, importation, exportation, advertisement, distribution, sale and use of food, drugs, cosmetics, medical

devices, chemicals and packaged water. The application for registration with NAFDAC is over and above one's trade mark registration therefore, having a registered trade mark in Nigeria does not exempt one from having to register with NAFDAC. It is, however, a prerequisite for registration with NAFDAC that one has an existing trade mark registration or a trade mark application which has at least proceeded to acceptance.

African Free Trade Area - new era for Africa reducing bureaucratic complexity, lowering transit times and the cost of trading." Africa is home to one of the fastest growing middle classes in the world, with many countries experiencing strong economic growth and rising disposable income. "The region therefore presents a wealth of untapped opportunities for South African consumer-focused businesses looking to expand beyond borders. "Although the region offers so much potential, intra-African trade links remain weak." According to research conducted by Ecobank, only 12% of regional trade is conducted with other African countries. This is in comparison to Europe, where 60% of trade is conducted with its own continent.

"This highlights the opportunity to improve trade between South Africa and the rest of Africa, as well as how local companies can stand to benefit from exploring the region. The Tripartite Free Trade Area will reduce risks associated with trade in the region and essentially make Africa an easier place to do business - an opportunity that South African companies should explore." As a result, businesses will face less bureaucracy, red tape and administration costs when trading within the area, and should see improved operational efficiencies of border crossings and seaports. "These are all important factors which will result in economic development and expanding interregional trade. The business community will benefit from an improved trade regime, which will reduce the cost of doing business with the rest of Africa," he concludes.

FREIGHT MAGAZINE FEATURES EVENTS

hana - Stellar Travel was honored to be a main sponsor for the Annual South African Potjie Competition. Cooking up a "Potjie" (stew) has evolved into a unique, South African, social gathering, a tradition almost as popular as the legendary "Braai". Family and friends settle around the softly bubbling "Potjie", either on a fire or a gas stove (for the modern chef) chatting, enjoying a drink and having a great old time, until the potjie is ready to eat.

The event was well attended and included, in addition to the competition, live music,

dancer performances, raffle prizes and face painting for children. The goal of the event was to raise money for

girls education. The proceeds from the event will sponsor as many girls as possible to be able to attend Senior High School in Tamale, Ghana along with covering the cost of their uniform, supplies and exam fees. A certain portion of the proceed will also go directly to the chosen schools to assist with the purchasing of tables, chairs, lockers, white boards and minor structural improvements.

Stellar Travel Sponsors Local South African Potjie Competition

Stellar Travel was delighted to have had the opportunity to participate in such a wonderful event.

9June 2015 | Freight Magazine

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SPIRIMAGINATION Imagination is the future seen right now and because we are Christocentric we believe our imagination is inspired by the Holy Spirit giving us unlimited levels of imagination.

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urray Grindrod Senior, the grandson of Grindrod Group founder John Edward Grindrod, died at the age of 79.

Murray spent 50 years with the Grindrod group, 21 years of which were served as chairman of the company. Joining Grindrod Gersigny in 1957, he became alternate director to his father in 1960.

Unicorn Lines. Under Murray’s leadership as managing director, Unicorn pioneered the country’s fully cellular coastal container service in 1971.

He supported and encouraged the purchase of Safmarine’s 40 percent shareholding in Unicorn in 1998, as well as the purchase of Island View Shipping.

While still in his early thirties, he was invited to serve on the Transport Advisory Committee of the Department of Transport

Later that year he stepped down as chairman of Unicorn Lines, handing over to Ivan Clark. However, he retained his seat on the board of Unicorn Lines and

and was later the President of the South African Shipowners’ Association.

remained the chairman of the Grindrod Limited board until retirement in 2007.

A personal sense of achievement followed the acquisition of the majority shareholding from Union Corporation’s successor, Gencor, in 1986 and the listing of the group in the same year.

He left behind his wife Pauli, daughters Anne-Marie and Josi, and sons Walter and Murray Paul – both of whom are involved in Grindrod’s operations.

When African Coasters needed an urgent capital injection to replace its ageing fleet, Murray persuaded his father and Cecil Renaud to seek finance elsewhere. He led the team that secured the finance from Union Corporation, paving the way for the modernisation of the fleet and subsequent takeover of Smith’s Coasters and Thesen’s Steamship Company and the formation of

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National airline voted Africa's best

he South African Airways Group walked off with no less than three awards at the prestigious Skytrax World Airline Awards, confirming the group was on the right strategic path which was showing in customer satisfaction results.

work and perseverance have shown detractors that the SAA Group is going from strength to strength. Excellent

airline excellence. The Paris air show follows the annual general meeting of the International Air Transport Association, held earlier this month in Miami, in the US, where the world's top airlines gathered. At that meeting, Bezuidenhout confirmed to member airlines that SAA was making good progress in its targeted turnaround and was reducing costs.

The awards were handed out on 16 June, on the sidelines of the International Paris Air Show, held in the French capital from June 15 to 21. Best at customer satisfaction South African Airways (SAA) acting chief executive, Nico Bezuidenhout, this year received the awards on behalf of the group. SAA was named Best Airline in Africa for the 13th consecutive year. Feedback from SAA's customers also ensured that the airline walked away with the award for Best Airline Staff in Africa for the fourth time. The awards for Best Airline Staff are special and coveted accolades, as they represent the combined quality performance of an airline's frontline staff, across the on-board cabin staff category together with the airline's airport staff. Mango, SAA's low-cost carrier, received the award for Best Low-Cost Airline in Africa. "Receiving three customer satisfaction awards on behalf of the group, in front of an audience of peers in the aviation industry at an auspicious event such as the Paris air show, was a most satisfying experience," said Bezuidenhout. "These awards are dedicated to the people working at SAA and Mango who with hard

June 2015 | Freight Magazine

customer service is one of the five strategic objectives of the group's long-term turnaround strategy; these awards confirm our efforts are paying off." Skytrax awards an institution in global aviation industry The Skytrax awards, established by an independent aviation research organisation, have become an institution in the global aviation industry. This year, the awards were presented at the 51th International Paris Air Show, the world's leading aviation and space industry event. The awards are based directly on annual customer satisfaction surveys conducted by Skytrax, making them the benchmarks of

Other awards received SAA has received this year: February: SAA strengthened its global position by being awarded a 4-Star rating for the 13th consecutive year; March: SAA Cargo won the African Cargo Airline of the Year Award at the STAT Times International Award for Excellence in Air Cargo; and, May: SAA was voted the coolest domestic airline in the Sunday Times Generation Next Survey Awards - the seventh year in which SAA was voted as one of the coolest brands in South Africa.

FREIGHT MAGAZINE FEATURES LOGISTICS

R20 million to fund disadvantaged medical students

mperial Logistics is a founding member of the Public Health Enhancement Fund - the Social Compact Forum - that represents a ground-breaking collaboration between the Department of Health and a group of private health sector organisations. The fund was established by Health Minister Dr Aaron Motsoaledi as a means for these organisations to assist government in priority healthcare initiatives. The companies’ contributions to the Public Health Enhancement Fund are determined by a funding formula. The forum, which comprises the CEOs of the participating companies, was created to enable the private health sector to engage with and assist the Minister and National Department of Health to tackle healthcare challenges.

Imperial Health Sciences managing director Dr Iain Barton reveals that the forum’s first project is a R20-million initiative

aimed at addressing South Africa’s chronic shortage of doctors, particularly in rural areas. According to World Health Organisation statistics, the country has 5.5 doctors per 10 000 people, which is the lowest of the BRICS countries. Following an investment of more than R7 million in its Unjani Clinics project, Imperial Health Sciences became the first private sector organisation in South Africa to start a nurse-owned and operated primary healthcare network. The Unjani Clinics are providing an affordable and accessible healthcare service in rural areas, as well as empowering black women by creating entrepreneurial opportunities for professional nurses. Twelve units are currently running in Gauteng, Mpumalanga and the Western Cape, and Imperial Health Sciences plans to establish a national network of 250 clinics in the next five years.

for transformation in South Africa’s health system, where almost 90% of the country’s population relies on the public healthcare sector. “Our aim is to contribute to this transformation – with initiatives like our Unjani Clinics, as well as our participation in the Public Health Enhancement Fund in which Imperial Health Sciences represents the healthcare distribution sector.” Strict selection criteria were applied to the 100 medical students who are currently part of the fund’s inaugural project. Students from rural communities, with limited resources, were identified as candidates. In addition, the partnering medical schools increased their intake by the number of students funded, ensuring more graduates per year. “The initiative’s aim is to train much-need doctors, but also to transform the profession’s racial and economic demographics,” Barton concludes.

Barton stresses that there is an urgent need

9June 2015 | Freight Magazine

FREIGHT MAGAZINE FEATURES LOGISTICS

IMPERIAL Road Safety continues to make South Africa’s roads safer – one school at a time!

MPERIAL Road Safety today announced the addition of the 650th school to join its IMPERIAL Scholar Patrol Improvement Project at Craighall Primary School in Craighall Park.

Aimed at educating teachers and scholars around the basics of road safety, the project looks to reinstate scholar patrol in schools and to train learners and teachers around best practice when it comes to road usage. This is of particular relevance if we consider research (Injury Mortality Survey, 2009*) that 2,247 children under the age of five died of nonnatural causes and of these, 741 children died from road traffic deaths. Mark Lamberti, CEO of the IMPERIAL Group who attended the commemorative day had this to say: “IMPERIAL is privileged to play a part in educating young learners about road safety. South Africa’s road accident rate is among the highest in the world and we see the education of children on road safety an important contributor to reducing this. The awareness of road safety brought about by the exposure to scholar patrol at an early age can only benefit our

June 2015 | Freight Magazine

older road users and we remain committed to this educational process.” Niki Cronje, Group Marketing at IMPERIAL, who has lead the Scholar Patrol Improvement Project for the past three years adds: “The project is an initiative that is close to my heart, as I too have children who use the roads every day, and it is vital for me to ensure that the project makes a difference to their safety and every single community it reaches. Today I am thrilled that we – through the help of Active Education – have managed to reach a milestone of 650 schools in such a short space of time.” “This project, through IMPERIAL Road Safety, started in October 2012 and set a goal of reaching 20 schools a month. “Marking our 650th Scholar Patrol Improvement Project at Craighall Primary is as exciting, as it is rewarding. To date we have taught 561 000learners, trained 2 600 teachers and reached numerous different communities within South Africa. In addition to this, we have painted 16.5 kilometres of zebra crossings, erected 1 300 stop signs and 1 300 ‘Scholar patrol ahead’ signs, as well as handed over 3 900 bibs.”

FREIGHT MAGAZINE FEATURES LOGISTICS

Dachser South Africa Launches Head Office, Sales And Logistics Centre With Multi-user Warehouse Facility

his new infrastructure was launched to enable DACHSER South Africa to offer clients the opportunity to save on their business costs, as they avoid the needless inventory and complex handling that is outside their core capability. Dachser is now part of only a handful of companies that offer this facility in South Africa.

Detlev Duve, Managing Director of DACHSER South Africa says, “We’ve taken our full logistics centre up a notch. As a logistics partner, we can effectively use our warehousing capacities to the fullest through flexible consolidation of multiple customers' goods in our multi-user warehouses. With a customized warehouse

various industries and customer-specific requirements.

and process design that takes picking techniques and disbursement strategies into consideration, we create a maximum degree of profitability for each of our partners.” Extensions to DACHSER South Africa’s facilities in Pomona in Gauteng have added an additional 3000 square meters of warehouse space offering 4300 pallet positions to industry in South Africa. Dachser branch offices across the countryin Johannesburg, Durban, Port Elizabeth and Cape Town – all have warehousing facilities. The warehouses are equipped for

Duve says that in the different DACHSER warehouses all goods are stored according to the individual, customerspecific and legal parameters. In addition, “DACHSER South Africa, offers removal from storage based on customer specifications (serial number, shipping unit number, and batch) or manual removal.” “The industry is changing and there is considerable price pressure,” says Duve. “DACHSER has always innovated according to clients needs. We hope that this new warehousing facility will inspire their clients in turn to be inspired, grow and dare to venture into new projects that previously would have been too costly.”

9June 2015 | Freight Magazine

FREIGHT MAGAZINE FEATURES CHARTER SERVICES

Private Jets Have More Fatal Accidents Than Commercial Planes In fatal crashes involving private or charter flights, investigators usually blame careless pilots

t about 2 a.m. on Feb. 20, 2013, private jet pilot Richard Trammell woke up in Greenwood, S.C., and drove an hour to Thomson, Ga., to prepare for a short flight to Nashville, where his client, a vascular surgeon, was scheduled to see patients. Trammell tried to sleep in Nashville but, as his mobile phone records would show, the longest break between text or calls was an hour and five minutes. “I’m kinda out of the loop,” Trammell told his co-pilot, Jeremy Hayden, as they prepared to land back in Thomson that night. As they were about to land, a warning light went off, signaling the antilock brakes weren’t working on their twinengine Beechcraft. Trammell and Hayden continued anyway, touching the ground for seven seconds before trying to lift off again. But Trammell failed to retract wing panels designed to slow the plane to a stop, according to the National Transportation Safety Board. Unable to climb, the Beechcraft lumbered forward, hit a power pole, and burst into flames. The crash killed the surgeon, Steven Roth, and four of his staff. Trammell, who with Hayden was injured, told NTSB investigators he couldn’t remember the landing. The NTSB found Trammell at fault. The pilots dispute the agency’s finding; in ongoing civil suits, they claim the pole was too close to the runway. “Those who depend on pilots to provide safe transportation deserve pilots who are wellrested and otherwise fit for duty,” NTSB board member Robert Sumwalt wrote in a statement attached to the agency’s final investigative report on the crash. “That did not happen in this case.” Since 2000 there have been five times more fatal accidents in the U.S. involving private and chartered corporate planes than airliners. Investigators cited pilot error among the causes of 88 percent of those crashes. Accident records show repeated examples of crews skipping safety checks, working long days, and overlooking hazards such as ice on the wings. In April, NTSB investigators reported the pilots working for billionaire Lewis Katz, who was killed last year when his Gulfstream GIV skidded off a

June 2015 | Freight Magazine

runway, rarely did standard preflight safety

checks.

FREIGHT MAGAZINE FEATURES CHARTER SERVICES

“This project, through IMPERI L Road Safety, started in October 2012 and set a goal of reaching 20 schools a month. “Marking our 650th Scholar Patrol Improvement Project at Craighall Primary is as exciting, as it is rewarding. To date we have taught 561 000learners, trained 2 600 teachers and reached numerous A different communities within South Africa. In addition to this, we have painted 16.5 kilometres of zebra crossings, erected 1 300 stop signs and 1 300 ‘Scholar patrol ahead’ signs, as well as handed over 3 900 bibs.”

Road Safety campaigns such as the Scholar Patrol Improvement Project are a welcomed addition to our roads and while they may seem small – they are greatly needed and appreciated as even small changes in behaviour taught to one child can help to decrease fatalities for both pedestrians and drivers on our roads. Lamberti adds: “As one of the biggest road users and a leader in mobility, IMPERIAL remains committed to road safety in every respect. With over half a million learners having participated in our Scholar Patrol project we continue to educate the communities in which we operate, to increase awareness of road safety and empower people to become change agents as pedestrians and ultimately as drivers on our roads.” Cronje concludes: “As we celebrate the 650th school reached, we would like to assure all communities that we remain focused on increasing our footprint even further and bringing real road safety change to South African children – creating safer roads and fewer fatalities”. In 2001 a chartered jet crashed in Aspen, Colo., killing 18. According to NTSB reports, the passenger who paid for the flight became irate after learning he might miss an airport curfew. That contributed to the pilot’s decision to try landing despite not being able to see the runway, investigators concluded. Private pilots are subject to the whims of the people who pay them in a way pilots for airlines aren’t, says Stuart Matthews,

former president of the Flight Safety Foundation, which promotes better practices among corporate and charter operators. “I was constantly hearing stories of corporate pilots who don’t get enough rest or who are always concerned about being pressured to press on,” he says. The Aspen crash was one of 62 fatal accidents since 2000 involving the mostsophisticated models of corporate-style jets and turboprops operated by professional pilots. That compares with 13 for passenger airlines. Since 2007, there have been 106 fatalities on the smaller planes, compared with 50 on airlines, records show. The accident rate in corporate-style aviation is elusive, and confusion in the way cases are reported tends to understate the problem. The FAA doesn't collect precise data on usage, and flights with almost identical purposes can be conducted under multiple regulations, making them difficult to track. As a result, Bloomberg had to examine hundreds of investigative reports and news accounts to tally relevant crashes. Airline crashes have become rare because carriers take steps to protect against pilot mistakes. The Federal Aviation Administration doesn’t regularly inspect many corporate aircraft operators, and pilots are often left to decide when it’s safe to land or how many hours they work. “If they don’t say yes to every flight, they worry about the owners looking for another flight department,” says Melissa Washburn, a pilot who flies business planes. Commercial aviation is regulated by multiple tiers of U.S. law, but privately owned aircraft have almost no oversight. “Nobody’s paying attention,” says Kitty Higgins, who served as an NTSB member from 2006 to 2009. The FAA has begun introducing safety data monitoring for private operations like that used by airlines, but NTSB Chairman Christopher Hart says adding new rules won’t make a difference. “A lot of times we’re talking about people who aren’t following the regulations anyway, so I’m not sure that more regulation is the answer,” he says.

9June 2015 | Freight Magazine

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FREIGHT MAGAZINE FEATURES CARGO

Cargo hold fire forced SIA flight to make emergency landing

UALA LUMPUR: Fire in the cargo hold forced a Singapore Airlines (SIA) flight to make an emergency landing at Kuala Lumpur International Airport on Sunday evening.

Singapore Airlines flight SQ425 from Mumbai to Singapore, carrying 190 passengers

touched down in Sepang at about 3.55pm, after reporting a "technical error". Fire and Rescue Department officers were despatched to the scene to assist in moving passengers off the plane before opening the cargo door. “The fire had already been put out by plane’s fire fighting mechanism when it landed,”

said Selangor Bomba operations chief Mohd Sani Harul. He said the fire was contained in the cargo hold, so smoke did not find its say into the passenger section of the plane. The cause of the fire is being investigated.

told Bernama that flight SQ425, which had departed from Mumbai, India at 8.44am, Sunday was expected to arrive in Singapore at 4.44pm. “The plane landed safely and all its passengers and crew were also reported to be safe, with no injury sustained,” he said.

A Malaysia Airports Holdings Bhd (MAHB) spokesman earlier

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FREIGHT MAGAZINE FEATURES CARGO

South African Airways Moves to Reign Supreme in Africa

hile international airlines battle for the world’s most competitive routes in the highest traffic markets, South African Airways (SAA) is shoring up supremacy in Africa.

SAA has an 80-year history of operations and has established itself as the preeminent carrier for southern Africa. With its home base in Johannesburg, it is one of few airlines that can and does fly direct from the U.S. to Africa. SAA’s Johannesburg hub positions it well to service points throughout sub-Saharan Africa. The airline is working to solidify its position against competitors that may also be eyeing the African air travel markets.

the current 3 percent of global aviation.” Staking out increased presence in West Africa, SAA recently launched new service between Accra, Ghana and Washington D.C. beginning Aug. 3. SAA claims to be offering the only nonstop flight between Ghana and D.C., and the only Skytrax four-star rated airline service from West Africa to North America. Through a recently cemented bi-lateral codeshare agreement with Africa World Airlines, SAA can now offer connections through Accra to other destinations in

Speaking at the IATA Annual General Meeting in Miami, Nico Bezuidenhout, SAA’s acting chief executive, said the airline is determined to expand its presence to more destinations in Africa. Bezuidenhout revealed the airline’s heady expectations. “Our goal is to increase our revenue in the region by 30 percent in the next twelve months,” he said. “Africa is a huge potential market for aviation and as Africa’s legacy airline, we want to see the continent contribute to more than

SAA acting CEO Nico Bezuidenhout

June 2015 | Freight Magazine

Ghana, including Kumasi, Takoradi, and Tamale, and to Lagos, Nigeria. Bezuidenhout also said the airline has completed its 90-Day Action Plan, which has resulted in significant reductions in costs, better positioning the airline for expansion within Africa. “In the first quarter of 2015, a lot of efforts went into stabilizing our airline and we achieved significant milestones. We now want to grow our capabilities and better connect South Africa to the rest of the continent,” said Bezuidenhout.

FREIGHT MAGAZINE FEATURES LAW & SECURITY

OR Tambo security tightened following stowaway mystery

OHANNESBURG - Security has been heightened at Johannesburg’s OR Tambo International Airport after two stowaways boarded a flight to London on Wednesday evening. One of them plunged to his death shortly before the British Airways plane landed. The second survived but remains in a critical condition. There is still no word on how the men managed to evade authorities at South Africa’s biggest airport and board a plane bound for London. It also remains a mystery how one of the stowaways survived the almost 11-hour long journey, enduring temperatures of close to 60-degrees below zero and extreme altitude. It’s not an impossible feat, just highly unlikely. Survival trainer, David Rabie says, "You would become stiff quite quickly and you would lose consciousness. But you would

need to have appropriate dress, the most incredible temperature controlled dress." "And you would have to have vast quantities of food to supply your body with energy." The survivor, said to be in his midtwenties, is fighting for his life. About an hour after he was found in the plane’s undercarriage, a body was discovered on a London rooftop. Police are yet to confirm the stowaways’ identities or nationalities. Southern Africa’s Only Monthly Magazine for the Industry

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FREIGHT MAGAZINE FEATURES LAW & SECURITY

Drunk Woman Tells French Airport Security 'Putin Will Kill You'

n inebriated woman was removed from a Moscow-bound flight in Paris after bellowing to the security guards attempting to appease her that President Vladimir Putin would kill them, the Ren-TV channel reported Sunday.

A video of the incident filmed by another passenger showed a blonde woman gesticulating

wildly and bellowing in heavily accented English, "Putin will kill you!" as French security officers attempted to apprehend her.

РЕКЛАМА The woman was eventually taken off the plane and the flight was delayed by an hour, Ren-TV reported.

According to fellow passengers, the woman had been drinking copious amounts of vodka in the business lounge ahead of the flight and had also been rude to the flight crew, the Moskovsky Komsomolets tabloid reported Saturday.

Alcohol-fueled debauchery on Russian flights frequently makes headlines. State Duma deputies suggested last year that alcohol consumption should be banned on all flights because of the recurrence of drunken incidents.

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FORKLIFT TECHNOLOGY A N E W E R A ON

CUSTOMS WAREHOUSING WOMEN IN INDUSTRY

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9June 2015 | Freight Magazine

FREIGHT MAGAZINE FEATURES FIREARMS & DANGEROUS GOODS

TRANSPORTING DANGEROUS GOODS column by Phu J. Mabotja n every country there are rules and regulation on the transportation of dangerous goods across borders. Dangerous goods may be defined as those substances that are classified as dangerous and hazardous and may somehow hinder the environment. According to the United Nations Economic commission for Europe (UNECE), transport of dangerous goods needs to be regulated in order to prevent as far as possible, the accidents to persons, property and the damage to the environment, the means of transport employed to deliver the goods, and danger to other goods. However, with different regulations in every country and in different modes of transport, international trade in chemicals and dangerous goods would be seriously impeded, if not made greatly unsafe. It is of the essence that the handling and carriage of dangerous goods must be carried out in full compliance with all the relevant legislation which covers all modes of transportation, the port of

loading, discharge and transit. The United Nations has developed mechanisms for the harmonization of hazards classification criteria and hazards communication tools, the Globally Harmonized System (GHS) as well as for transport conditions for all modes of transport (TDG) in order to ensure consistency in the regulatory system. The implementation of GHS is monitored by collecting information that is publicly available from various sources like the reports from members of the GHS subcommittee or NGOs; report submitted to or issued by the United Nations programs or specialized agencies such as the UNECE, IMO, WHO, ICAO. In South Africa, the transport of dangerous goods legislation is based on the UN Model Regulations on the Transport of Dangerous Goods and related legal instruments. Apart from the rules and regulations implemented, there are other things to consider when shipping dangerous goods. It is therefore crucial to take into account the

potential adverse effects of temperature, pressure and humidity variations when using airfreight to transport dangerous goods. The International Civil Aviation Organization (ICAO) together with the International Air Transport Association(IATA) work together to establish standardized rules and regulations for the transportation of dangerous goods. They ensure that the rules and guidelines on dangerous goods transportation are effective and efficient. IATA Dangerous Goods Regulations (DGR) manual is the global reference for shipping dangerous goods by air transport and the only standard recognized by airlines. IATA stats on their website that, “ Through Dangerous Goods Regulations ( DGR), an effective training program and network of accredited training schools, it is ensured that professionals have the tools and resources to transport the dangerous goods safely.”

down include large retails store, Shoprite; Vodacom, logistics firm Imperial Holdings and packaging firm Nampak.

Mozambique borders. It was reported that, the border post between South Africa and Mozambique had been temporarily closed, as South African citizens were prevented entry in Mozambique due to violent protest action, after angry Mozambique citizens barricaded the EN4 approximately 4km after the Ressano Garcia border post. News24 reported that a truck driver John Mashiloane, who works for Ngululu Carriers that he was forced to return to South Africa after the truck he was driving, was stoned a short distance from the border town of Ressano Garcia. He was forced to leave his truck grounded in Mozambique. However, it was announced in News24 that, the situation at the Lebombo and Ressano Garcia Border Post remains calm following temporary closure over xenophobic unrest. Maputo Logistics Corridor Initiative (MCLI) Barbara Mommen, said the situation returned to normal and to date no further reports of any protest action or delays at the border post have been reported.

he Xenophobic attacks that has been tormenting South Africa for the past few weeks. This misfortune does not only affect the attacked foreign nationals. The economy of the country is badly affected as well. “The impact of attacks has far-reaching implications on our economic, social and relations with the continent and the world,” said Minister in the Presidency, Jeff Rad ebe whi le brie fing journalists on the outcomes of the fortnightly cabinet meeting. Those who are attacking the fellow African brothers and sisters may not yet realise how ruinous their behaviour is to the economy of the economy of South Africa and the whole of Africa. Other African countries are retaliating to this whole misery that our land is facing. Nigeria has threatened to shut down major South African businesses that are operating in Nigeria, like the leading telecommunication company, MTN, Africa’s biggest telecommunications firms ranking first by subscribers in countries such Nigeria. Other firms under the threat of being shut

In Mozambique, South African nationals that are working in the country are being repatriated. “Kenmare Resources has repatriated 62 South Africans working at

its titanium mine in Mozambique for their safety after anti-immigrant attacks back home,” said the Irish mining firm (Kenmare Resources, the primary listing on the London Stock Exchange and a secondary listing on the Irish Stock Exchange.) the Irish mining firm is sending the workers back home temporarily for their safety in case of reprisal attacks. Kenmare is not the only company repatriating its employees; Sasol has also sent 340 employees back home for their safety. The trucks that are delivering goods from South Africa were denied access into the

9June 2015 | Freight Magazine

FREIGHT MAGAZINE FEATURES MANUFACTURING & PRODUCTION

Intermodal Connections Freight Management Logistics’ New Equipment editorial by Lindy Morton Connections to honour our pledge to provide logistics solutions at international standards. “Many of our customers are exporters and importers in highly competitive markets and require absolute reliability in every part of the supply chain to ensure cargo reaches its destination safely, in the most efficient and cost effective manner.

t’s not all doom and gloom at the Durban Harbour. In spite of port congestion, deteriorating road conditions, strike action and disruptive power outages, there is good news for KwaZulu-Natal’s logistics sector.

“Cargo handling services include the handling of unitised commodities and breakbulk cargoes, unpacking and repacking of containers and cross docking. A dependable freight, stock and document management completes our supply chain service, to and from any destination in the world.”

Freight management and logistics specialists – Intermodal Connections – which was established a year ago just 10 km from the Durban Port, has expanded its fleet of container handling equipment to meet growing demand in the region for swift, safe and reliable cargo handling.

The company’s carefully designed facility – a 10 000 m 23 m high warehouse and 2 000 m open yard area –accommodates all types of cargo, including project cargo and out of gauge cargo.

“The company’s original investment in a 45 T container handler has been boosted with the delivery recently of a mobile container handler, variable reach trucks, forklifts and a combination loaded container handler and forklift truck,” says Jo-Ann Mellon, managing director, Intermodal Connections. “Reliable handling equipment plays a critical role in enabling Intermodal

Under-cover loading, off loading and packing facilities enable work to continue in all weather conditions. These amenities include truck off-loading bays and a drivethrough area that prevents truck congestion and facilitates easy manoeuvrability for drivers. This facility, which encompasses four container loading docks, also has the capability to ground

June 2015 | Freight Magazine

containers. New to the fleet is a lightweight Mobicon mobile container handling system, designed to efficiently lift loads onto and off trucks in the warehouse and to safely carry containers around the site. The Mobicon container handler, with a 33 T lift capacity, has increased operational efficiency at the plant, also reducing demurrage costs for trucks waiting to be loaded and unloaded. Two Meclift variable reach trucks are used for swift and safe container stuffing and handling, increasing efficiency during container handling procedures. These compact reach trucks also ensure enhanced safety on site. Unlike conventional forklift trucks, robust Meclift machines, with a lift height of 6m, are able to drive into containers or reach inside a container for easy loading and unloading of cargo and equipment. Specialised lifting attachments enable efficient and safe handling of paper reels, steel coils, sheets and rebar, as well as rolls of wire up to 15 000 kg. The company’s fleet also includes a Taylor TEC combination loaded container handler and forklift truck, with a rated container capacity of 34 927 kg. This machine is able to efficiently cope with three-high stacking of loaded containers. Also in the plant are four robust forklift trucks, with capacities up to 4 T. Intermodal Connections, a level 4 contributor to broad-based black economic empowerment (B-BBEE), efficiently handles all aspects of logistics and shipments, to ensure optimum efficiency of domestic and international trade.

FREIGHT MAGAZINE FEATURES AIR FREIGHT

Virgin Australia to step up push into air-freight market column by Phu J. Mabotja

ompetition in the air-freight market is about to intensify following the end of Virgin Australia's contract for Toll Holdings to manage its cargo, allowing the airline to go it alone in expanding its business on domestic and short-haul international routes.

Virgin chief executive John Borghetti has made clear that developing the airline's freight operations is one of the final pieces

The air-cargo market tends to be the canary in the coalmine for airlines. In the midst of the global financial crisis in 2008, demand

of his strategy to reshape the business as a multi-faceted rival to Qantas.

for freight fell considerably further and more quickly than passenger traffic.

It had sparked industry speculation that the airline would consider buying or leasing dedicated freighter aircraft.

Qantas' freight division reported an underlying pre-tax profit of $54 million in the first half of 2014-15 â&#x20AC;&#x201C; its best half since 2006 â&#x20AC;&#x201C; as it benefited from an improvement in international air-cargo markets, especially on key routes such as China-US and US-Australia.

While the end of the contract will allow it to compete directly against Toll's air freight business, Virgin is yet to sign a contract with a large customer and has lost cargo volume to its arch rival. Qantas has ended up with the three largest customers in the Australian cargo market after inking a fiveyear deal with Toll to carry freight in the holds of the airline's aircraft, as well as an agreement with Australia Post. The airline also has a long-standing deal with TNT, which is owned by FedEx. The contracts with Australia Post and Toll, which is now owned by Japan Post, Virgin's head of regional operations and cargo, Merryn Macarthur, said it would now be able to "actively compete in the domestic and short-haul international cargo market" following the end of the exclusive contract with Toll to manage cargo in the belly space of the airline's aircraft. "It was really not getting the return it should have," she said of the Toll contract, which was due to expire on June 30. While Virgin is yet to sign a large new account, Ms Macarthur said a number of customers preferred to deal with an airline rather than an intermediary such as Toll. However, Qantas's head of international and cargo operations, Gareth Evans, described it as a "great week" for the airline's freight division after re-signing for five years Australia Post, the biggest cargo customer in the country, and emphasising that "we have also won Toll from Virgin". "Today we now have Australia Post, TNT and Toll, who are the three biggest freight clients in Australia. Obviously it does increase market share," he said.

Asked whether it would buy dedicated freighters, Ms Macarthur said the focus was to utilise the belly space in Virgin's existing fleet "but if anything stacks up we are willing to invest". "The immediate focus is to get the low hanging fruit, which we believe is getting more cargo into the bellies of our commercial aircraft," she said. "We have had lots of interest [from potential customers]." While it is ceasing its contract with Toll, Virgin will continue its long-standing deal with Richard Branson's British airline, Virgin Atlantic, for the sale and management of cargo on the Australian airline's international services. Virgin has had a strategy team in its Sydney offices devoted to freight, and is targeting $150 million to $200 million in revenue from its cargo business by 2017.

However, the airline said at the time that the domestic freight market had been "more challenging". Qantas took full control of air-cargo business Australian Air Express in 2012 after an asset-swap deal which involved Australia Post buying the airline's half share of road-freight business Star Track Express. The airline's freight unit has a 13-strong fleet including three 747s, one Boeing 767 used on the trans-Tasman route, and four 737 freighters. A large portion of freight is also carried in the bellies of Qantas and Jetstar passenger jets.understood to be worth more than $100 million a year in revenue for Qantas.

9June 2015 | Freight Magazine

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