Transnet National Ports Authority TNPA has signed an agreement with Grindrod Eyamakhosi Joint Venture to develop and operate a container handling facility at the Port of Richards Bay.
The R285 million investment in the Bayvue precinct is set to increase the ports container handling capacity from 50 000 twenty-foot equivalent units TEUs to 200 000 TEUs per annum.
According to TNPA, apart from realising the expansion of the ports cargo capacity, the strategic initiative aims to drive economic development in the northern parts of KwaZulu-Natal.
Speaking at the signing ceremony in Richards Bay on Tuesday, Transnet Board Chairperson, Andile Sangqu said: The establishment of this facility is now critical as Transnet implements its strategic framework Reinvent for Growth to restore operational excellence, enhance the competitiveness of the national freights logistics network and unlock long-term value for industry stakeholders.
This project represents a blueprint where commercial growth, community benefit, and inclusive development co-exist. The partnership between the two entities reflects Transnets ongoing commitment to enable and unlock capacity through well-regulated private-sector partnerships.
The signed agreement follows the successful completion of Section 56 of the National Ports Act No. 12 of 2005 process through which TNPA in June 2024 awarded Grindrod Eyamakhosi preferred bidder status for a 25-year concession period.
Grindrod CEO, Xolani Mbambo, said the companys investment in the project supported the companys purpose of enhancing Africa's trade and impacting local communities.
Partnering with Eyamakhosi provides valuable local insights and authenticity to our empowerment efforts. We aim to create a smart logistics hub for efficient movement of goods across rail, road, and sea, fostering regional economic integration and reducing logistics costs.'
As South Africas premier bulk port, Richards Bay has capacity to handle significant volumes of coal, dry, break and liquid bulk commodities and accommodates containers.
The container facilitys location is close to the hinterland market and aligns with Transnets commitment to lower logistics costs while reducing transport times to benefit both local and regional economies.
Once operational, the facility will incorporate the latest technology and feature specialised infrastructure equipment designed for efficient cargo handling to ensure quick turnaround of vessels.
Following the commercial operationalisation of the container facility in 2028, the project is expected to create approximately 122 permanent jobs for the benefit of the Richards Bay local community.
The development of the container handling facility is part of TNPAs master plan for KwaZulu-Natal ports, which reconfigures the Port of Richards Bay to boost its capacity to handle containers and liquid bulk commodities.
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