The global Container Port Performance Index (CPPI) has positioned Cape Town port among the lowest-performing ports globally, raising concerns within South Africa's fruit export sector. This ranking highlights the challenges faced in container handling and transport logistics, impacting the efficiency and costs associated with exports.
Chris Knoetze, managing director of Link Supply Chain Management, a logistics entity co-owned by Tru-Cape, shared insights into the port's performance metrics. "It comes as no surprise. We've ranked very poorly in previous iterations of this report, with one of the most critical metrics being gross crane moves per hour. This measures the average number of completed container movements per hour. It's crucial as it impacts both your landside and sea operations," Knoetze remarked. He also noted the discrepancy between the global decline in container freight rates post-Covid and the stagnant rates in South Africa.
For fruit exporters like Tru-Cape, the repercussions of these inefficiencies are significant. Knoetze detailed the operational challenges, stating, "The consequences of poor port operations are twofold: landside and seaside. On the landside, slow port productivity means that trucks bringing containers to the port cannot turn around as quickly." He highlighted the reduction in daily truck trips and a 14% increase in transportation costs, excluding fuel, as direct consequences of these inefficiencies.
Source: foodformzansi.co.za