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Home ยป Featured IND ยป Efficiencies at Port of Cape Town costs apple and pear farmers R26 000 per hectare

Efficiencies at Port of Cape Town costs apple and pear farmers R26 000 per hectare

Dr Ivan Meyer inspects Tru-Cape apples and pears that are packed and ready to be distributed to local retailers.

THERE is still room for improvement when it comes to improving operations at the Port of Cape Town (PoCT), said Western Cape Minister of Agriculture, Economic Development and Tourism, Dr Ivan Meyer.

โ€œWhile we recognise that the Port of Cape Town (PoCT) management is implementing a terminal turn-around strategy, the worryingly slow pace at which it is happening remains a deep concern and has direct cost implications for the agricultural sector in the Western Cape,โ€ said van Meyer, following his visit to Two-a-Day (TAD) in Grabouw.

TAD, previously known as Elgin Fruit Packers Co-operative Limited, is one of Africaโ€™s leading fruit-growing, packing, and marketing companies. It comprises more than 50 farms and 3 300 hectares. Total production, including processing, equates to over 200 000 tonnes per annum.

During the visit, Attie van Zyl, managing director of TAD, highlighted that the estimated total cost of inefficiencies at the PoCT to the Western Cape apple and pear industry was R999-million annually.

โ€œOur apple and pear growers are directly impacted. The total estimated cost of a dysfunctional port per hectare for our farmers is R26 000 per hectare.โ€

โ€œWhile this figure is deeply worrying, it does not show the full extent of the loss to the agriculture sector because we are not calculating the opportunities lost of growing into new markets. We are not seen as a reliable supplier to the international market because we cannot guarantee delivery,โ€ said Premier Alan Winde.ย 

Glen Steyn, the Western Cape Department of Economic Development and Tourismโ€™s project manager for logistics development, said the department has been working closely with the management team of Transnet Port Authority and Transnet Port Terminals in the Western Region.

โ€œWe appreciate our constructive engagement with Transnet Ports Authority. Our conversations include the impact of logistics on the national and provincial economies. A digital logistics planning platform is being developed with Transnet and other agencies in the container logistics chain that should assist in reducing bottlenecks and their disruptive effect on cargo movement,โ€ added GlenSteyn.

Meyer said:, โ€œThe Western Cape Governmentโ€™s Growth for Jobs strategy sets out our ambitious plan to grow the Western Cape economy by 5% annually by 2035. We aim to triple the value of the provinceโ€™s exports of goods and services (inclusive tourism) by 2035 to R450-billion. To achieve this, we need an efficient port. Productivity at the PoCT must significantly improve in the lead-up to the upcoming fruit export season if we are to achieve this goal.โ€

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