The East London automotive sector is set for a boost in export and import productivity following Transnet National Ports Authority’s (TNPA) completion of a R60m project to deepen and strengthen the automotive terminal berth at the Port of East London.
Border-Kei Chamber of Business CEO Lizelle Maurice said the completed harbour project was a step in the right direction for the automotive sector.
“Looking to the future we have been smoothing the path for another auto original equipment manufacturer to open in our city, and this announcement takes it, in my opinion, a few steps closer to reality, and that would be really good news.”
The upgrade brings the much-needed efficiency improvement, expansion of port capacity and an increase in automotive volume throughput, both into and out of the port.
Delivering a keynote address at the port’s automotive berth commissioning ceremony, acting TNPA CEO, Phyllis Difeto said: “The commissioning of the automotive terminal berth serves as an enabler in realising the port’s potential as a critical node in the transport network and in responding to global shipping demands.
“The strengthening and deepening of the berth present an opportunity for increased investment while improving the positioning of the Port of East London as ready to service the global economy.”
The investment has successfully addressed inconsistencies in berth depth, ensuring that all berths along the West Quay are now 10.5m in depth with a total length of 550m.
This allows the port to simultaneously berth two new-generation automotive carrier vessels greater than 200m in length, which allows simultaneous loading and unloading.
The previous maximum length along the West Quay was under 200m.
The vessels are the largest pure car carriers in the world fleet.
The port now boasts a doubled design-berth capacity to handle 790,000 cars a year.
This project reinforces the port’s status as a crucial hub for the automotive industry in SA.
The deepening and strengthening of the automotive berth (N-Berth) project is part of TNPA’s capital investment programme and is underpinned by Transnet’s strategy, which focuses on realigning its business with strategic sectors of the economy, with automotive one of the top sectors.
This strategy promotes investment in infrastructure that is fit for purpose to improve the competitiveness of port operations.
Provincial government spokesperson Khuselwa Rantjie said it was “tremendous news for the Eastern Cape and particularly the people of the Border area that the long-awaited R60m port upgrade is finally a reality.
“Growth in the auto sector means a lot of things, but perhaps the most important is that with growth will come job creation, and that is one of the province’s greatest needs.
“Mercedes-Benz is our premier job creator and these two new vessels with bigger carrying capacity will open the opportunity to more new vehicle exports, and other companies’ imports.”
There are nearly 20 companies operating from the East London Industrial Development Zone (ELIDZ) that supply Mercedes-Benz SA with parts and services.
“Improvements in the port’s efficiency should have a knock-on effect throughout the growing automotive sector and that has to be good news,” said Rantjie.
Maurice added that “aside from another OEM [original equipment manufacturer] bolstering revenue, the sector is a champion job creator, and the ELIDZ has an excellent training centre, in partnership with the Eastern Cape Development Corporation.
“It can bring raw recruits up to speed both quickly and efficiently.
“It’s a case of jobs all round because of the tremendous up- and downstream implications that the auto sector offers.”
Daily Dispatch
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