As the year winds down, welcome to the December edition of our Global Logistics Update. The holiday season is expected to be extremely dynamic, with increased demand, condensed timelines and evolving strategies shaping the logistics landscape. By planning early, businesses can navigate port challenges and meet customer expectations during this critical peak season.
South African Ports
South African ports are integral to regional and global trade, acting as key hubs for exports, imports, and transshipments across southern Africa. Managed by Transnet National Ports Authority, these ports support a variety of cargo types, including bulk commodities, containers, liquid fuels, and automotive products. The main ports including Durban, Coega and Cape Town each continue to experience varying degrees of challenges as summarised on a weekly basis below:
We highlight in these images vessels currently at anchorage pending berth at our main ports, showing Durban Port still quite congested. Port congestion and delays have been reported with Durban at 12 days, Cape Town at 7 days and Coega at 4 days on average.
Transnet’s Anchorage Report 2/12/2024 for Durban – Vessels waiting to berth
South African ports have been undergoing modernization to increase their efficiency and capacity. TNPA has invested in upgrading local ports with new equipment, expanded terminal capacity, and digital tracking systems to improve efficiency. We hope to see some critical developments from early 2025
Durban Port takes delivery of nine rubber-tyred gantry cranes
According to Durban Terminals, the cranes form part of the terminal’s fleet replacement strategy to improve reliability and efficiency of port equipment. The assembly of the nine RTGs will take place on-site, with handover to operations planned for May next year.
https://www.freightnews.co.za/article/durban-port-takes-delivery-nine-rubber-tyred-gantry-cranes
SA Ports Regulator announces 4.4% tariff hike
The South African Ports Regulator (SAPR) has granted an inflation-related 4.4% average tariff increase for the services rendered to port users by the Transnet National Ports Authority (TNPA) for the 2025/26 period.
https://www.freightnews.co.za/article/sa-ports-regulator-announces-44-tariff-hike
Global Ports
Regional dynamics are shaped by economic policies, trade agreements, and technological adoption. Herewith a brief analysis adopted from joint market research:
The Asia-Pacific region dominates the international freight market, driven by high trade volumes and manufacturing activities in countries like China, India, and Japan. Europe holds a significant share, supported by its robust logistics infrastructure and strong export activities, particularly in Germany and the UK. North America is another key market, led by the United States, where technological innovation and e-commerce growth play pivotal roles. Latin America and the Middle East & Africa, though smaller in scale, are emerging as important markets due to infrastructural development and increasing trade activities.
Recent developments underscore the industry’s focus on digital transformation and sustainability. Leading players have been investing in advanced technologies for secure and transparent transaction management and real-time tracking of shipments. These developments reflect the market’s adaptability to changing demands and future challenges.
Air Freight: Statistics show a drastic increase in peak season volumes, resulting in increased congestion and higher freight rates. Although some routes are showing stable cargo movement, flight availability is limited in popular routes.
Sea Freight: Global sea freight reflects a mixed scenario of demand fluctuations, capacity adjustments and ongoing challenges. Container demands continue to increase as we enter December month and capacity including blank sailings and schedule amendments persist.
Port Updates:
Africa & Indian Ocean Islands
Schedules in this region are erratic at present resulting in multiple changes to published schedules. Delays and congestion have been reported intermittently.
Angola / Kenya / Nigeria / Senegal / Tanzania – Berthing delays of 3-5 days experienced at main ports
Mauritius – Berthing delay of 7 days experienced at port louis due to capacity constraints
Mozambique – Berthing delay of 6 days experienced at Maputo port
Delays at Mauritius transhipment hub spark box line congestion surcharges
Canada
Montreal / Toronto / Vancouver – Berthing delays of 4-10 days experienced at main ports
USA
Vessel waiting times is between 3-5 days at all main ports
Argentina / Brazil / Mexico – Berthing delays of 3-8 days experienced at main ports
Germany / Netherlands / Turkey / UK – Berthing delays of 3-6 days experienced at main ports
India
Major ports like Nhava Sheva and Mundra are dealing with congestion, which is exacerbated by broader disruptions in vessel schedules and increased demand.
Berthing delays of 1-2 days are currently experienced
Ningbo / Shanghai / Xiamen / Shekou / Taiwan – Berthing delays of 2-4 days experienced at main ports
Shippers face a perfect storm
Shippers who are already dealing with the impact of ongoing conflict in the Red Sea and the threat of further strike action at ports on the US East Coast and Gulf Coast, will have another factor to consider next year – Trump 2.0.
https://www.freightnews.co.za/article/shippers-face-perfect-storm
Indian port workers call for strikes
Labor groups informed port authorities that workers will begin indefinite strikes at all ports starting December 17 in protest of the lack of action on long-standing concerns.
https://www.freshfruitportal.com/news/2024/11/28/indian-port-workers-call-for-strikes/
Freight News
We understand the importance of staying up to date with the latest trends, challenges, and advancements in our industry and we wish to highlight just a few articles which you might find of interest.
Maydon Wharf Terminal pilots articulated skips
https://www.freightnews.co.za/article/maydon-wharf-terminal-pilots-articulated-skips
South Africa’s love of trucks takes a heavy toll
https://www.freightnews.co.za/article/south-africas-love-trucks-takes-heavy-toll
Indian Ports may face strikes over unmet assurances in December
https://indiashippingnews.com/indian-ports-may-face-strikes-over-unmet-assurances-in-december/
The high cost of inaction: Legal challenges threaten SA’s port future
South African rand steady after US Inflation report
https://www.hellenicshippingnews.com/south-african-rand-steady-after-u-s-inflation-report/
Cargo compliance uncertainty dogs Botswana pre-clearing decision
No Improvements in real-world in containership efficiency despite investments in green ships
Sources & References
Seatrade Maritime / Loadstar / Freight News / GoComet / Maersk / Openpr / Transnet / WeFreight / MSC / AfricaPorts / Container Statistics / Flexport / SACO / Hellenic Shipping