Port operations were mostly hindered by unfavorable weather, large waves, and equipment malfunctions. The main operational limitations were a distress vessel at Berth 601 at the Port of Cape Town and network problems. This week, huge swells in Durban caused a vessel to be delayed for about thirty-one hours. Strong winds caused our ports in the Eastern Cape to lose over thirty operating hours, even though the Port of Richards Bay only experienced minor delays this week. Due to the national shutdown, there were also very little rail activities on the ConCor this week; however, according to the most recent reports received on Thursday morning, everything was scheduled to restart at 18:00 on Thursday evening. Additionally, this week saw the announcement of a ground-breaking rail freight solution by TFR and Petredec, a British LPG value chain company, that would revolutionize gas distribution in South Africa.
Key Notes:
- An average of ~8 246 containers was handled per day, with ~8 448 containers projected for next week.
- Rail cargo handled out of Durban was reported at 2 093 containers, down ↓30% from last week.
- SARS July trade stats: exports are up by ↑1,8% (m/m), imports ↑6,6%, YTD trade surplus: R85,3 billion.
- Cross-border queue: no change; transit: ↑1,2 hrs; SA borders: 13,5 hrs (↓15%); SADC: 7,3 hrs (↑28%).
- Global container volume (dry & reefer) is down by ↓0,2% (m/m) and up by ↑5,6% (y/y) in July.
- Container rates dropped by ↓7,8% (or $406), trading at $4 775/40ft. Dry & reefer price: ↑57,3% (y/y).
- IATA reports that air cargo demand grew by ↑13,6% (y/y) in July, as global capacity grew by ↑8,3%.
Port operations – General:
- Adverse weather, high swells, and equipment breakdowns primarily constrained port operations. Network issues and a distress vessel at Berth 601 at the Port of Cape Town represented the primary operational constraints.
- At the same time, high swells delayed a vessel in Durban for around 31 hours this week. More than 30 operational hours were lost at our Eastern Cape Ports due to strong winds, as minimal delays were reported at the Port of Richards Bay this week.
- Additionally, minimal rail operations took place on the ConCor this week due to the national shutdown; however, the latest reports received on Thursday morning suggested that everything was on track for operations to resume at 18:00 on Thursday evening.
- Furthermore, British LPG value chain company Petredec and TFR announced a groundbreaking rail freight solution to transform gas distribution in South Africa this week.
Read more:
Cargo Movement Report – Full Report
Cargo Movement Report – Summary Report