INCORPORATING COLD CHAIN
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Congestion at Cape Town ' s Port imperils entire cold chain
How congestion at Cape Town ' s Port imperils entire cold chain .
The Western Cape is into its peak export period of pears , stone fruits and grapes from November until May , while facing a significant challenge as the Port of Cape Town grapples with shipping problems , equipment breakdowns and logistical issues .
Cape Town , once a reliable port and the lynchpin in South Africa ' s perishables trade , now finds itself ensnared in a protracted congestion crisis . This predicament not only disrupts the flow of fruit but also imperils the very foundation of the region ' s cold chain infrastructure and its vital perishables sector .
The challenges faced by the fruit industry at the Cape Town port are not new , spanning over four years . Cape Town ’ s decline in efficiency is attributed to equipment failures , extended maintenance lead times , and labour shortages .
John Ackermann , founding president of SARDA and owner / editor of The Cold Link newspaper , explains : “ The port boasts an extensive infrastructure tailored to the demands of the cold chain in Western Cape and further . This includes the establishment of cutting-edge facilities and had the world ' s last store for port hole containers ( Blue Store in container terminal ), underscoring the region ' s commitment to facilitating seamless exports . However , that commitment now stands compromised as congestion chokes the port ' s arteries , stalling shipments and stifling economic activity .”
The repercussions of the port crisis are dire . Fruit quality is compromised , market slots are lost , and fruit fails to reach international markets on time and as specified . This results in direct income losses for growers , impacting profitability , sustainability and potentially leading to job losses . The crisis has prompted urgent calls for immediate intervention by Transnet , the operator of the Cape Town port .
The port ' s inefficiencies , stemming from a lack of investment and poor infrastructure maintenance , have led to delays of up to three weeks in shipping produce as the container terminal ' s deteriorating condition is hindering exporters ' ability to meet international market demands .
Aerial view of generic port loading .
Table Mountain overlooking the port .
COLD LINK AFRICA • January / February 2024 www . coldlinkafrica . co . za
RACA Journal
By Eamonn Ryan
In response to the challenges , the public enterprises minister is implementing a strategic plan aimed at improving efficiency . The plan includes measures such as modifying truck operations , enhancing terminal equipment , and fostering closer collaboration between the public and private sectors .
While port authorities and government agencies ooze positivity and try to paint an improving position , Ackermann says his meetings with industry role players in the local cold chain , combined with his own everyday observation of the port , indicate no noticeable improvement at the time of interview ( early January ).
Therefore , amid assurances from port authorities of concerted efforts to address the crisis , skepticism prevails among exporters . “ The palpable absence of tangible improvements fuels frustration and underscores the urgency of the situation , particularly as the crisis converges with peak export seasons ,” says Ackermann .
He paints a grim picture of the toll exacted by the congestion crisis . Refrigerated trucks , laden with precious cargo , languish outside the port gates for days on end , their diesel generators constantly running in an attempt to preserve the quality of perishable foodstuffs . This prolonged exposure not only jeopardises the quality of product but also imposes a burden on drivers while straining the intricate workings of logistics providers and supporting industries . Ackermann believes there is no possibility of the fruit quality inside the containers not being compromised to varying degrees when they finally reach their destination .
Beyond the immediate logistical hurdles , the congestion crisis casts a shadow over ancillary services and industries . Companies that import refrigerants , the life blood of refrigeration systems , face similar problems impacting on the operation of cold stores , containers and refrigerated road vehicles .
“ Calls for remedial action could and should include expanded operating hours round the clock to enhance maintenance protocols to alleviate congestion and restore the fluidity of trade ,” says Ackermann , again noting there is little evidence of this taking place .
As discussions on mitigating the crisis intensify , stakeholders grapple with the broader implications for South Africa ' s economy . “ The nation ' s reputation as a reliable exporter of high-quality perishables hangs in the balance . Failure to immediately end congestion not only imperils current trade but may also erode long-term confidence in the local industry ' s reliability as a trusted supplier of many decades ,” he explains .
Western Cape ’ s reputation – built over decades as a premier exporter of highquality perishables – hangs in the balance due to national issues . Failure to address the congestion not only jeopardises current trade but also undermines future prospects , casting a shadow over the nation ' s economic resilience .
Cape Town ’ s fortunes have long been inextricably linked to its port , says Ackermann , given the region doesn ’ t have mining – instead it has a vast fruit , fishing and wine industries . Consequently , the urgency of resolving the congestion crisis cannot be overstated . Ackermann calls for swift and effective intervention .
“ In the face of mounting congestion , the resilience of Cape Town ' s port and its surrounding industries will be tested as peak season progresses and moves seamlessly into the citrus season .” While a concerted effort and a commitment to reform remain the only hope of navigating through this crisis and emerging stronger on the other side , there is little sign yet of such an effort , he notes .
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