In purchasing four ship-to-shore cranes and 18 rubber-tyred gantry (RTG) cranes from Liebherr Africa that arrived today in the amount of R744 million, Transnet Port Terminals (TPT) has stimulated local economic activity.

 

Four of the 18 RTGs and two cranes are headed for the Ngqura Container Terminal (NCT) in the Eastern Cape. The other two cranes will be delivered at the Cape Town Container Terminal (CTCT) in the Western Cape. The assembling and commissioning of all the equipment will utilise the services of over eight local companies in the two regions.

 

Associated with this purchase are the supplier development initiatives that will see a total of R120 million invested in local business capability and capacity locally. About R27.7 million will be used for skills transfer initiatives, while R26.5 million will be used to create new jobs and preserve the existing. Intellectual property and technology transfer initiatives for this consignment amount to R13.6 million, while an additional R5 million will be invested in small business promotion. TPT General Manager Procurement, Ntombeziningi Shezi said “It was important for us to consider the local manufacturing of components and as such the steel structures for the gantries were made at Liebherr Africa facilities in Johannesburg, Newcastle and Durban”. She added that TPT’s sourcing policy stipulated localisation as part of the qualifying criteria especially when procuring from international companies that operated in a niche market that compelled sourcing outside of South Africa.

 

According to TPT Chief Executive Karl Socikwa, TPT considers how South Africa can benefit from direct offset business when purchasing capital equipment from abroad. Transnet’s market demand strategy (MDS) was unveiled in 2012 and since then TPT’s aggressive investments have seen crane suppliers Liebherr Africa establishing a component manufacturing centre that will encourage the creation of more permanent jobs. Socikwa said, “We grow as the country grows and as we position ourselves for continued global growth, it is key for us to be a responsible corporate citizen”.

 

CTCT is currently undergoing a R5.4 billion upgrade and when all four berths and the new cranes are commissioned, capacity will increase to 1.4 million TEU. Similarly the Ngqura Container Terminal (NCT) is in its second phase of development that will see it increase operations from two to three berths. The purchase of the two ship-to-shore cranes for each terminal is therefore in line with the intended plan to service larger calling vessels and to optimise ability and efficiency.

 

Transnet Port Terminals continues to invest across its terminals to ensure growth and the sustainability of the country’s commercial imports and exports.