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CFAO Motors (Zambia) Limited At The 66th Annual Local Government Association Of Zambia

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We were excited to take part in this years’ 66th Annual Local Government conference taking place from 6th to 9th September 2022, at the Mulungushi International Conference Centre in Lusaka, under the theme “Actualizing Decentralization for Sustainable Development: Harnessing Opportunities and Mitigating Challenges”.

This years’ annual conference theme inspired us as a CFAO Motors (Zambia) Ltd to support the commitment that the government and stakeholders have shown in implementing decentralization strategies to increase economical activities in the constituencies.

At the conference, Mr. Franco Breytenbach – Group General Manager Aftersales, gave a presentation on how local companies could be part of CFAO Motors (Zambia) Ltd through Team Toyota projects. Mr. Breytenbach also emphasized on how CFAO Motors (Zambia) Ltd will continue to meet aftersales customers’ needs by being closer to them through various network facilities, or types of outlets.

A conference without vehicle displays and insightful sales consultant would not be completed, and so we had a privilege to showcase our new Belta and Rumion, our new models from Toyota family.

Rangel focusing on the African market

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Increased investment in Zambia

With a presence in Africa since 2007 (Angola), in the last two years Rangel has made strong advancement in the South African market, expanding its footprint with the opening of facilities in South Africa and Zambia, where it is already a reference for cross-border transport.

According to Tiago Pocinho, country manager for South Africa and Zambia, the company has invested heavily in its warehouse facilities in Zambia, “It is fitted with state-of-the-art equipment and cross-docking facilities, is food grade, and plans are already under way for it to be bonded.”

Rangel continues its investment in the African market, which includes increasing its own fleet, growing the local team, and expanding warehouse space in Johannesburg and Lusaka.

Rangel already has a vast portfolio of clients for land transport and customs clearances in Africa, being accredited as a Clearing Agent and ensuring connections with Southern Africa and East Africa. Providing cross border services in a strategy of corridors between Zambia, DRC, Angola, Mozambique, Tanzania and South Africa.

“We are seeing real growth on several southern African corridors to and from Zambia. Our investment into the country is proving to be very positive, and we are committed to creating the necessary opportunities to grow our business.”, refers Tiago Pocinho.

Some of the sectors where the company intends to invest the most are the mining sector and fast-moving consumer goods (FMCG), and general consumer goods, as these are the industries with the greatest potential, which Rangel intends to specialise in.

Rangel entered the South African market in 2020 by investing in its Clearing Agent service and, following the opening of the Johannesburg facility, in 2021 it opened offices and warehouse in Lusaka, Zambia and along the main borders of Mozambique, Zimbabwe and Botswana: Komatipoort, Musina and Globlersburg. Already this year it has opened its 5th facility in Zeerust and is scheduled to open in Nakop by the end of the year. Durban and Cape Town in South Africa are still scheduled to open by 2023.

“We have seen a great organic growth through the high demand for services in Africa by our clients, so we will continue to invest and expand our footprint in Africa in the near future”, adds Tiago Pocinho.

About Rangel Logistics Solutions

Rangel, is a company founded in 1980, it’s a global logistics partner with worldwide coverage that offers the most efficient solutions for each customer, type of cargo or industry, through a wide range of integrated transport and logistics services. With direct presence in seven countries and with a worldwide network of partners, it offers a portfolio of services specialized in logistics, land, sea and air transport, storage, physical distribution, express courier, customs formalities, fairs, exhibitions and works of art. Rangel’s internationalization began in 2007, with the opening of a branch in Angola, followed by Mozambique in 2011, Brazil in 2013, Cape Verde in 2015, and in 2020 Mexico and South Africa, creating a logistical triangle between America, Africa and Europe. The main asset is its people, with a multinational team of 2300 employees, assuming itself as a Learning Organization, with a focus on learning and continuous improvement. In 2020, Rangel registered a turnover of €203m, with 312,500 m2 of logistics area.

Zambia plans to unlock transport corridors potential

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Zambia intends to utilise its central geographic location in the Southern African Development Community (SADC) to unlock its potential as a key transport corridor.

According to Minister of Transport and Logistics, Frank Tayali the region presents an opportunity for the country to be exposed to multiple import and export trade and transport corridors.

Tayali made the remarks while attending the 2023 World Bank Group-International Monetary Fund Spring Meetings in Washington, D.C., USA.

He said the transport corridors that Zambia has among them; Dar-es-Salaam Corridor linking the Democratic Republic of Congo and Zambia’s Copperbelt Province, the North South Corridor linking Durban with DRC/Zambia via Zimbabwe and Botswana with a spur into Malawi via Harare, the Lobito Corridor connecting Zambia to the Democratic Republic of Congo and the Republic of Angola to the Port of Lobito on the Atlantic Ocean for Western import and export markets in the United States of America and Europe.

“The Nacala Corridor linking Zambia and Malawi to the Nacala Part in Mozambiaque which is one of the deepest port in SADC; The Beira Corridor linking large parts of Zambia, Malawi, Zimbabwe and Mozambique to the port of Beira on the Indian Ocean; and the Walvis Bay Ndola Lubumbashi Development Corridor (WBNLDC) links the Port of Walvis Bay with Zambia, the Democratic Republic of Congo and Zimbabwe.

“This route links Zambia to strategic outlet to export markets and offers a key route to the sea port on the Atlantic Ocean linking the mining companies on the Copperbelt and Northwestern Provinces of Zambia to the Western markets in the United States of America and Europe,” said Tayali, attending an event under the banner: ‘Unlocking Financing Opportunities and Development Potential of Key Corridors in Africa.

He said economic and transport corridors are critical for the development of nations.

“This is especially the case for land locked countries that need to access inputs for production or regional and global markets.”

The Minister further told the meeting that countries need to start engaging to actualize the benefits of the corridors.

“Countries need to start engaging more and more. For Zambia, President Hichilema has continued to promote economic diplomacy. During his last visit to Mozambique, the two countries announced that they will start having direct flights from Mozambique to Lusaka, Zambia. This is what we need. We need to actualize these corridors,” he said.

Tayali said there is a need to unlock the capital needed to realize the full development potential of key corridors as important trade routes for both economic growth and food security in Southern Africa.

South Africa leads peers in Global Logistics Performance Index

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The latest global Logistics Performance Index (LPI) released by the World Bank has rated South Africa, Egypt, Benin, Botswana, Namibia, Djibouti and Rwanda better than Nigeria

The LPI is an interactive bench-marking tool created to help countries identify the challenges and opportunities on trade logistics, including shipping and what they can do to improve their performance.

The LPI report, titled “Connecting to Compete 2023: Trade Logistics in an Uncertain Global Economy,” provides a measure of countries’ ability to move goods across borders with speed and reliability, the report is coming after three years of unprecedented supply chain disruptions during the COVID-19 pandemic, with soaring delivery times.

The LPI 2023 report revealed that end-to-end supply chain digitalisation, especially in emerging economies, is allowing countries to shorten port delays by up to 70 per cent compared to those in developed countries. Moreover, demand for green logistics is rising, with 75 percent of shippers looking for environmentally friendly options when exporting to high-income countries.

However, the report also noted that most time is spent in shipping, adding that the biggest delays occur at seaports, airports, and multimodal facilities.

It pointed out that policies targeting these facilities can help improve reliability, including improving clearance processes and investing in infrastructure, adopting digital technologies, and incentivising environmentally sustainable logistics by shifting to less carbon-intensive freight modes and more energy-efficient warehousing.

On average across all potential trade routes, 44 days elapse from the time a container enters the port of the exporting country until it leaves the destination port, with a standard deviation of 10.5 days.

That span represents 60 per cent of the time it takes to trade goods internationally.

The LPI report provides valuable information for policymakers and stakeholders involved in the logistics industry. It helps identify areas where countries can improve their logistics performance, thereby enhancing their competitiveness in the global marketplace.

Covering 139 countries, the LPI measured the ease of establishing reliable supply chain connections and the structural factors that make it possible, such as the quality of logistics services, trade, transport-related infrastructure, and border controls.

The report, which is based on a maximum score of 5.0, adjudged South Africa as the best in Africa and 19th in the world with a score of 3.4 per cent, followed by Botswana and Egypt which scored 3.1 per cent each to place a joint 57th position globally.

Giving an insight into the report, the World Bank revealed that the survey was conducted between September 6 and November 5, 2022 and contains 4,090 country assessments by 652 logistics professionals in 115 countries across all World Bank regions.

Mining sector surge and infrastructure development drive increase in logistics in Zambia

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Logistics volumes into and out of Zambia have grown consistently over the last ten years, with the bulk of cargo movement being driven by capital expenditure projects for mines, growing mining sector activity leading to increased distribution to key markets such as India and China, and infrastructure development.

However, DSV Zambia MD Kris van Heerden said despite the infrastructure improvements, the road and rail infrastructure could not meet existing demand let alone forecast growth – and this hinted at the opportunities in the country once infrastructure matched economic potential.

Transport’s contribution to GDP has grown, if unevenly, over the last ten years shows, as the graph below shows, and it reached a high of 1678.50 ZMW (Zambian Kwacha) in the third quarter of 2021, before falling to 1459 ZMW Million in the fourth quarter of 2021 – but still recording the highest fourth quarter of the decade.

The rising price of copper over the past 18 months and the relaxing of tax liabilities by government for mines had positively impacted mining production and led to increased exports. “At the same time, mines were investing in increasing production capacity, and this automatically impacted on inbound cargo flow within Zambia for capex investments of the mines.”

Van Heerden pointed to First Quantum Minerals, which was investing US$1.2 billion to boost productions of copper and nickel for export, as evidence of growing investor confidence in the country’s mining sector and positive reaction to the government’s Economy Recovery Programme.

The Zambian economy was projected to grow 2.0% in 2022, underpinned by recovery in the mining, tourism, and manufacturing sectors, all of which are fueling demand for logistics services.  Van Heerden said DSV Zambia was active in the Automotive, healthcare and Pharma, Energy and Mining + Projects verticals.

Van Heerden said there had been improvements in many parts of the country and government had both recognized the importance of the transport sector to the economy and was committed to entering public private partnerships as a route to maintaining and constructing transport infrastructure.

Both Kenneth Kaunda and Simon Mwansa Kapwepwe International airports were upgraded to international standards in 2021, and there have been improvements to both road and rail networks.

The Lusaka Decongest Project, which included construction, rehabilitation, and expansion of roads, has reduced travel times in the capital.

“Importantly, the recently opened 923-meter Kazungula bridge linking Botswana and Zambia over the Zambesi River, along with one-stop border posts on each side, has made regional trade that much easier, providing alternative routes for SADC movements into, out of and through Zambia.  Roads were being rehabilitated and upgraded and new roads built to improve trade corridors between mines, cities, towns and rural areas and neighboring countries”, he said.

In addition to this infrastructure development, the Zambia Revenue Authority (ZRA) had introduced, including the two international airports, and the Kitwe, Chirundu, Kazungula, Nakonde and Katimo border posts.

The implementation of compulsory pre-clearance at all the borders has ensured that goods move seamlessly into Zambia.

The Zambia Revenue Authority has also introduced the Customs Accredited Client Programme (CACP) which facilitates almost “risk free” movement into Zambia once clients have been fully audited and accredited by the ZRA.

DSV Zambia is part of DSV – Global Transport and Logistics, which manages supply chain solutions for companies from 90 countries and has been operating in Zambia for 30 years.

Faw Trucks’ Jh6 33.420ft – A Heavy Hitter in An Expanding Range.

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FAW Trucks South Africa is continuing their commitment to ensuring the South African haulage industry has access to the products it needs with the introduction of the new JH6 33.420FT 6×4 truck tractor.

“The reason for our continued growth in South Africa is the fact that we cater to virtually every need,” explains Yongjun Li, CEO of FAW Trucks SA. “Our line-up includes freight carriers, truck tractors, tippers and mixers, all assembled to exacting standards to be able to withstand the harsh conditions of the African continent.

“Since first entering the South African market 28 years ago, we have gone from strength to strength, providing local buyers with products of high quality that is not only well suited to local conditions but also boast high levels of safety, convenience and comfort. We have managed to combine this with competitive pricing, low running costs and continuously improving after-sales service.”

All FAW products arrive in South Africa in completely knocked down form and are assembled at the company’s facility in Coega.

The New JH6 33.420FT, sixth-generation product has seen more than 1.5-million units manufactured to date and exported to more than 20 countries.

The Newly designed and engineered JH6 33.420FT has a high-roof forward tilt cab with seating for the driver and a passenger. It includes a double sleeper cab with air-conditioning, a radio with USB and an air suspension seat for the driver- with multi-dimensional adjustment ability. This completely new cab design has a wind resistance factor of 0,54.

The new and improved look of the interior layout includes a multi-function steering wheel and enhanced dashboard features for better driver control along with central locking and power windows.

The 11 040 cc Euro 2 specification six-cylinder inline engine is water-cooled, turbo-charged and has an intercooler, producing 312 kW at 1 900 r/min and 1 900 Nm of torque from 1 200 r/min.

The Bosch brand manual injection pump is specifically made for African application, while the gear shifting booster makes driving feel like a car, removing much of the stress, especially on long-haul journeys – as does the  Superior Engine brake of 190kW.

American brand Con-Met wheel hubs are fitted, allowing 500 000 km of maintenance free driving.

Key dimensions:

  • Wheelbase 3 300 mm + 1 350 mm
  • Overall length 6 938 mm
  • Cab length 2 295 mm
  • Overall width 2 500 mm
  • Overall height 3 550 mm
  • Front overhang 1 495 mm
  • Rear overhang 770 mm
  • Cab to rear axle 3 850 mm
  • Minimum turning radius 7 500 mm
  • Minimum turning diameter 13 000 mm
  • Ground clearance 295 mm
  • Track 2 020 mm front and 1 830 mm rear
  • Chassis outer width 800 mm
  • Chassis inner width 640 mm

The 12-speed manual syncromesh gearbox is matched to a set of ratios specifically designed to provide optimum performance and fuel efficiency, irrespective of whether it is operating in rural areas or on the open road.

It features a forged steel I-Section beam front axle coupled to a full floating single reduction rear axle with inter-axle, inter-wheel and differential locks. Semi-elliptical leaf springs with double-acting shock absorbers comprise the front suspension, while the rear has semi-elliptical leaf springs with auxiliary springs.

Stopping power comes from the dual circuit, full air brakes with ABS.

Mass data:

  • Gross vehicle mass 33 700 kg
  • Gross combination mass 62 200 kg
  • Permissible gross vehicle mass 25 700 kg
  • Permissible gross combination mass 56 000 kg
  • Permissible front axle mass 7 700 kg
  • Permissible rear axle mass 18 000 kg
  • Unladen front axle mass 4 505 kg
  • Unladen rear axle mass 4 300 kg
  • Unladen mass total 8 805 kg

“All the products we introduce locally are carefully considered with Africa roads and driving in mind,” explains Li.

“This goes hand-in-hand with ensuring those products will provide the best possible total cost of ownership experience for the operator through the entire life cycle of the truck. Couple that with the outstanding commitment to service from all of our dealers and the value package we are offering is unbeatable.”

“At FAW Trucks customer service is, and always will be key. We go the extra mile to look after our customers and to make sure that we offer them the best deals possible,” explains Paul Lastrucci, National Aftersales Manager “When our trucks leave the showroom floor after a sale, clients can expect long-term, dedicated services and 24/7 support, ensuring their investment gives them the returns expected of modern trucks.”

Warranty and customer service

All FAW Trucks products are covered by a comprehensive warranty at industry standards, ensuring that customers have complete peace of mind in their purchases. The FAW warranty provides customers with the assurance that FAW Vehicle Manufacturers South Africa stands behind its claim of quality manufacturing.

FAW Trucks has a large parts warehouse at its premises in Spartan, from where it supplies the four main regions in Gauteng, Durban, Harrismith and Cape Town. In addition, service dealers are fully equipped, with highly trained technicians on hand for complete servicing and repairs required for not only JH6 33.420FT units, but all other models from the renowned Chinese manufacturer.

In addition, FAW Trucks has a dedicated number, 0860 329 772, which is linked to a trigger number at a dedicated and specialised Emergency Call Centre. Resolution of all incidents and queries is attempted telephonically, but – where required – further assistance such as towing is arranged.

“All models in the current range of FAW Trucks sold in South Africa represent the strength, reliability, affordability and ease of operation that the brand and its products are renowned for. Most importantly, though, the JH6 33.420FT delivers on the promise of a ‘truck built in South Africa for Africa’,” concludes Li.

A structured maintenance programme goes a long way to optimising productivity, enhancing equipment reliability and extending service life of components.

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BMG – leading engineering solutions specialists – provides engineering components and support services to all sectors, to ensure high productivity, reduce energy consumption, minimal downtime and long service life of systems.

“BMG is a complete process solutions provider to all sectors of industry, which means companies can access all essential quality branded products and essential support services from one reliable supplier. This integrated approach guarantees lower production costs and higher efficiencies,” explains Carlo Beukes, Group Sales Development Manager, BMG. “We believe the introduction of a structured maintenance management programme, which can be implemented in-house, or partially outsourced to a professional organisation, is critical to maximising production efficiencies in all industries.

“The BMG team is committed to ensuring each plant maintains full production, by providing a 24-hour customer process support for production efficiency and reliability centred maintenance.

“Maintenance of machinery can be a very expensive exercise, not only in terms of the cost of spare parts and labour, but also lost production due to machinery breakdowns or plant stoppages for unscheduled maintenance. Careful consideration therefore needs to be given to disciplined inspections and planned maintenance of all items of plant and production machinery. Over-maintenance can be almost as costly in terms of lost production as under maintenance, so a careful balance is critical.

“Care in the initial design and manufacture stage of the plant, the selection of compatible quality branded mating components, professional installation – with particular attention to meticulous alignment of coupled components – ensure reduced downtime, lower maintenance requirements and therefore lower operating costs.

“Servicing of all sections of machinery in the factory should be carefully planned on the basis of the estimated time for each procedure or service, in order to create a controlled work-load for the maintenance staff. Even small faults in design, operation and maintenance, can have a negative impact on productivity and safety.

“BMG’s proactive maintenance service – which encompasses predictive maintenance services, including condition monitoring and oil analysis – is enhanced by advanced technical and design support across all functional disciplines. BMG’s maintenance and support services also include mobile breakdown, repair and maintenance support, that ensure production plants are up and running as quickly as possible following a breakdown.”

To achieve optimum performance and extended life of components like bearings, mill gear lubrication and industrial chain, correct lubrication is as important as the appropriate selection of each part.

Although a general multipurpose grease or oil is adequate in many applications, more arduous operating conditions demand the careful choice of the correct lubricant and lubrication system. In selecting the right lubrication system and lubricant for a specific application, factors to be considered are speed, ambient temperature, load, vibration and environmental conditions.

The effects of friction and the resulting wear of moving components are significantly reduced by effective lubrication. Through a wide range of energy efficient products – which includes synthetic oils, lubricants and bespoke lubrication systems – and the support of a technically competent team, BMG ensures efficient maintenance, extended service life of components and energy savings, in any environment.”

BMG’s specialist technical division offers an oil analysis service which consists of laboratory-based sampling and analysis, as well as on site analysis and filtration and flushing. Other services include technical applications consulting, product and system design, product quality control and assurance, as well as condition monitoring services.

Conditioning monitoring identifies lubrication problems, misalignment and vibration troubles and also helps in identifying the causes of the damage, so that units can be fixed before further destruction occurs. This means reduced downtime, efficient production and substantial cost savings.

The BMG team is committed to improving operational efficiencies for customers in all industries, by providing essential filtration, separation and purification technologies.

BMG’s distribution centre in Droste Park, Johannesburg, is operational and fully stocked at all times, to support customers around the country and into Africa. A comprehensive range of equipment and components comprises bearings, seals and gaskets; power transmission; hydraulics and pneumatics; fluid technology and filtration; drives, motors and controllers; materials handling; fasteners and tools.

The BMG team works closely with customers in all sectors, including water and wastewater treatment facilities, mining, the food and beverage sector and petrochemical plants. BMG also supplies and supports service providers to power generation and pharmaceutical plants, as well as ports, rail and road facilities.

Leading engineering solutions specialists – provides engineering components and support services to all sectors, to ensure high productivity, reduced energy consumption, minimal downtime and long service life of systems.

Customs Clearance – An Indispensable Aspect of the Supply Chain

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Customs clearance is an inevitable aspect of any business’ supply chain. The rules and regulations pertaining to the import, export and transit of goods are different for every country and subject to changes. Having a reliable partner that is up to date with the most recent regulations can help to avoid extra costs and delays.

Customs Clearance operations can often lack transparency as laws and regulations are not always easily accessible. This can negatively impact the delivery time of cargo or increase the cost of standing charges and delays due to incorrect or incomplete documentation. For this reason, Alistair Group has implemented multiple processes and initiatives to reduce these effects on our clients’ shipments.

Appointing a clearance representative at each entry point (ports and borders) where we operate.

These representatives ensure all documentation and communication to the various entities are presented in a correct and timely manner; acting as seamless facilitators for our client shipments across international borders

They allow us to detect any potential issues that may arise ahead of time.

Our customs specialists aid our clients through concessions on tariff and costing issues pertaining to valuation, documentation, rules, taxes, duties and more

Customs rules and regulations are constantly reviewed to ensure our client’s cargo reaches its destination in an optimum time

Every document is double-checked by our specialized team

Implementing an online system that provides our clients with complete visibility into the clearance status of their shipment

Our Dashboard provides our clients with real-time updates on documentation verification, shipment tracking and document management

Unlike standalone agents or freight forwarders, Alistair Group is incentivized internally to clear cargo quickly to avoid standing time on our vehicles. When it comes to customs clearance, Alistair Group offers a one-stop solution. We have gained a reputation for being among the timeliest and customer-focused operator in the market. Our efficient integration of services means that we control the entire supply chain and cut out unnecessary mark-ups and middlemen. With our network of international partners, we can clear your goods almost anywhere in the world and ship your cargo by road, rail, air or sea.

Congo plans border post expansion as mining trucks endure up to 60 km queues

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Democratic Republic of Congo plans to expand its main border post with Zambia, a source close to its government said, to ease truck queues of up to 60 km that copper miners have faced this year due to increased production and inadequate infrastructure.

The backlog of trucks at Kasumbalesa, a border town and the main exit point for metals exports from Congo, is an example of supply chain disruption that will make it harder to meet future demand for copper, essential for electric vehicles.

“A construction project for a second Lubumumbashi – Kasumbalesa road is in the process of being signed,” the source told Reuters, adding that it would take at least 18 months to complete from the date the project is approved.

The source did not give an expected timeline for the approval.

“The turnaround time of trucks has increased substantially… it takes an extra 45 to 60 days for the products to reach consumption centres in Asia, Europe or North America,” said a source at a company with operations in the central African country.

This compares to around 15 days in 2019.

Africa’s biggest copper producer, Congo accounted for 1.8 million tonnes of mined production of the metal last year, about 8.5% of the global total, according to the US Geological Survey.

The long queues of trucks are due in part to increased traffic, according to Michel Kibonge Nyekuma, chief of staff for the Minister of Mines.

The largest miners in Congo include Glencore, Canada-listed Ivanhoe Mines, China’s CMOC and Kazakh firm Eurasian Resources Group. Some have increased copper production this year.

Ivanhoe, operator of the Kamoa-Kakula mine in Congo, transports its products by truck to the South African port of Durban.

It referred to a June 6 update on production, costs and timelines, saying it expects to reach the upper end of its 2022 guidance of between 290 000 tonnes and 340 000 tonnes of copper concentrate, from 105 884 tonnes in 2021. It projects further rises for 2023.

Congo is also the world’s top producer of cobalt used to make the rechargeable batteries that power electric vehicles.

Glencore, which produces most of its cobalt in Congo, saw its global output rise 46% in the first quarter of 2022 compared to the same period last year.

Miners with operations in Congo say they have been calling on the government to invest in infrastructure and switch from paper to electronic systems, arguing that projected copper shortages in future are likely to be exacerbated by transportation bottlenecks.

More border posts would add “a significant amount of processing capacity, create competition between the different provinces (and) all those customs clearing revenues would improve efficiencies,” one official at a mining company said.

CEVA Logistics Continues Africa expansion with Spedag Interfreight acquisition

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As part of its strategic growth plan, CEVA Logistics has announced announced today that it has closed the acquisition of Spedag Interfreight, an international freight forwarding expert covering several countries in East Africa.

The announcement comes after finalizing all customary closing conditions, including receiving regulatory approvals by relevant authorities. CEVA purchased the logistics entity from the M+R Spedag Group, a family-owned transport and logistics company headquartered in Switzerland.

Local expert in freight forwarding, key industries

Spedag Interfreight is one of the most competent and reliable logistics providers in East Africa with dedicated industry teams possessing leading expertise in relevant market verticals including energy and infrastructure, aid and relief, oil and gas, and commodities. Approximately 400 employees at 24 locations in Kenya, Uganda, Tanzania, Rwanda and South Sudan have joined CEVA as a result of the transaction’s closing.

CEVA extends global reach, local know-how

CEVA Logistics remains committed to a “think global, act local” growth strategy by adding Spedag Interfreight’s local market understanding to CEVA’s leading global network. The acquisition further supports CEVA’s global end-to-end logistics capabilities. CEVA Logistics is now present in 44 countries in Africa.

The company’s ambition is to make the African market account for a significant share of its revenue by 2025, and Spedag Interfreight will open new opportunities to the growth potential in East Africa. For example, Kenya acts as a key maritime gateway for East Africa. Through a recent expansion and modernization project, the port of Mombasa is expected to move more than 1.7 million TEUs in 2023. The Kenya Ports Authority expects the port to handle 47 million tonnes of cargo by 2032—a 57 percent increase from current levels.

Strategic development, growth ongoing

CEVA continues to implement its strategic growth plan under the vision of the CMA CGM Group. With the Group’s support, CEVA welcomed more than 20,000 new employees through acquisitions of Ingram Micro’s former Commerce & Lifecycle Services business and Colis Privé, France’s leading private last mile provider.

In addition, the CMA CGM Group announced in April that it had signed an agreement to purchase nearly 100% of the capital of GEFCO, the European leader in automotive logistics and an international expert in multimodal supply chain solutions. The European Commission authorized the Group to acquire the capital of GEFCO immediately, pending the final approval.

Mathieu Friedberg, chief executive officer, CEVA Logistics, says “With the addition of Spedag Interfreight in East Africa, we are continuing to execute key regional initiatives in our strategic growth plan. This acquisition is the perfect follow-on to our organic growth and M&A activity in Africa over the past two years, as well as the recent acquisitions of Ingram Micro CLS and Colis Privé. Our global scale allows us to offer a wide range of responsive logistics solutions thanks to our experienced local teams.”