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“Growth and reforms” was a key theme of Minister Godongwana’s statement, with national treasury expecting the South African economy to grow by 5.1% in 2021, from a 6.4% contraction in 2020.

The emphasis on the government’s commitment to fiscal consolidation and structural reforms to lift economic growth is a welcome move.

In terms of structural reforms, the focus on improving the efficiency of South Africa’s logistics infrastructure to support export growth is one of the vital positive interventions for South Africa’s agricultural sector. “Our country currently exports nearly half of its agricultural products in value terms, and with the expected increase in production in the coming years, efficient ports and border posts will be key to sustaining South Africa’s agriculture,” says Dr John Purchase, Agbiz CEO.

Improving efficiencies

Moreover, the intention to ensure that Transnet Freight Rail allows third-party access to the freight rail network by the end of 2022 will also assist the agricultural sector, which has long desired to increase its share of products transported by rail.

“At the moment, over 70% of South Africa’s grains and oilseeds are transported by road. We want to reduce this percentage and increase the rail share,” added Dr Purchase. The consistent focus on improving the management of bulk water resources and fast-tracking the water use license application process to ensure that the 90-day target for issuing single-use water licenses is met is vital for the success of agriculture.

The finance minister’s signalling of the restructuring of state-owned companies, informed by assessing their strategic relevance, is a welcome move.

“For the agricultural sector, the priority is the Land Bank, which faces liquidity challenges. We hope that the government interventions will ensure that this critical institution continues to play a vital role in agriculture and is well managed. Agbiz will continue working with the government in this regard, as finance is increasingly a crucial part of the growth strategy in South Africa’s agriculture,” concluded Purchase.

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Sab aims to empower and equips entrepreneurs with vital business skills, access to finance geared to build and create sustainable businesses that grow their communities.

“Owning and running an effective truck business needs a strong understanding and knowledge of company costs, attending to strict vehicle maintenance and quality controls and intensive preparation for the various expenses necessary to run a transport business like mine,” says truck recipient, Gift Sithole. “Fortunately, the learnership programme I went through with SAB, prepared, and equipped me with logistics, financial and people skills to help manage and grow my business.”

Creating sustainable businesses

Sphe Vundla, corporate brand director, says: “A thriving SMME sector, powered by entrepreneurship and partnerships is central to the growth of the economy. We believe that through innovating the alcohol supply chain with initiatives such as the owner-driver programme, SAB has and will continue to positively impact the lives of individuals and communities across the country.”

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These investigations are required to complete the design of the remedial works required for the rehabilitation of the sinkhole to promote road safety and to allow for traffic to return to normal.

According to Progress Hlahla, Sanral northern region manager, the roads agency became aware of the sinkhole at the beginning of January and has since made efforts to prioritise the safety of all road users, including closing off affected lanes immediately, redirecting traffic and alerting the public on the situation.

“We have planned for further investigations of the N1 sinkhole from 6 February 2022. As a result, we will need to close the N1 Southbound between the Flying Saucer Interchange and Botha Avenue on N1/R21 from 11pm on Sunday, 6 February 2022 until 4am on Monday, 7 February 2022. Only one lane will be open during this period,” said Hlahla.

The closure is required for gravity survey testing taking place in the fast lanes of the southbound carriageway as part of the geotechnical investigations required for the remediation works on the sinkhole.

The duration of the closure will be kept as short as possible to avoid any further disruptions.

Motorist travelling southwards towards Johannesburg may consider using the following alternative routes:

• From Polokwane, offramp at Proefplaas Interchange (145) towards Pretoria CBD using the N4/M2 and join the M3 towards Fountains and join the N14.

From OR Tambo International airport, continue on the R21 towards Fountain circle and join the N14

“Motorists are requested to plan their trips accordingly, consider alternative routes and use caution when making use of the roads,” said Hlahla.

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Arrive Alive outlines several factors to help reduce the risk of hijackings, including the importance of drivers communicating with the control room and exercising caution when making unscheduled stops.

Here are some additional measures that fleet managers can implement to improve the security of their trucks and cargo.

Protect high-risk cargo

Cargo is at its most vulnerable when it’s in transit on the road because of the countless unsafe parking spots along its route and the time it takes to get it from one point to another. As a result, crime syndicates may attempt to steal it from a stationary or moving vehicle or hijack the truck carrying it.

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From the handing out of care packages to keep motorists energised, to road safety shows, to driver wellness centres, SAB is steadfast in its belief that safe roads are filled with responsible drivers.

Sphe Vundla, brand director for SAB Corporate, says, “We believe that when you drink, you should never drive, but there are other dangers present on our roads. Especially during the holidays. Now that the state of disaster has been dismantled, we have to be extra vigilant to keep our roads safe.”

This comes after SAB launched its own evidence-based responsible consumption platform. Through SAB Sharp, the brewer is able to tackle irresponsible behaviours associated with the overconsumption of alcohol with responsible driving being chief among them.

SAB Sharp: Brewer launches platform to encourage responsible drinking

2 DEC 2021

“With the impetus of Sharp at our backs, responsible driving has always been a key metric for us. When we launched Sharp, we set ourselves a goal of reducing alcohol-related road incidents and fatalities by 10%,” says Vundla.

Anchoring SAB’s efforts to reach this target is the creation and utilisation of Alcohol Evidence Centres (AEC). With a 10th AEC set to be handed over to provincial authorities in Dube, Soweto during the course of the year.

Over the years, these centres have become crucial in helping law enforcement test suspected drunk drivers and confirm their breath or blood alcohol limit using Evidentiary Breathalyser Alcohol Testing (EBAT) and registered medical practitioners. Following that, the AECs are all fully equipped to also ensure the evidence is properly collected and made admissible in court.

Live Sharp. Drive Sharp. Sell Sharp. Talk Sharp

With SAB Sharp targets in mind, and in partnership with the National Department of Transport and relevant provincial authorities, SAB has initiated and facilitated several initiatives in all corners of the country.

In the Western and Eastern Cape, care packages filled with snacks, water and an energy bar are going to be handed out to long-distance taxi drivers and motorists to help them keep hydrated and energised. These will be distributed at specific roadblocks set up on the provincial border between Beaufort West and Aberdeen.

In Gauteng, SAB, along with SAPS and JMPD will be hosting several road safety shows across the province as well as the Rand Easter Show.In KwaZulu-Natal, Driver Wellness Education points will be set up on 14 and 15 April at Caribbean Estate in Ugu District and Shel Midway in Escourt, respectively. “The main aim of these is to create awareness and provide information on the devastating impact of alcohol abuse on our roads during the Easter season and beyond,” says Vundla.

Vundla believes the key to creating a national sense of responsibility lies in partnerships. “As corporates, it is our duty to collaborate with government and civil society as we work towards a shared purpose of nurturing a more responsible and thriving society. For us, that means driving responsible drinking, especially on our roads during the holidays.”

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Experts do warn that global factors such as the ongoing war in Ukraine, which continues to drive up food prices and the shut down of major economic hubs such as China due to Covid-19, will once again disrupt the supply chain just as it was starting to normalise.

Fortunately, bulk shipping prices have declined to levels last seen before the supply chain disruption. While container prices remain inflated, these increases have slowed.

The March numbers reveal that the overall Index improved on both a monthly and a quarterly basis. The 12,8% monthly increase is the fastest increase for the Ctrack TFI since early 2015 if one disregards the bounce from the extremely weak pandemic volumes during the hard lockdown.

The improvements can mostly be attributed to the global supply chain normalisation. In addition, Road Freight was once again a major contributor to the overall growth.

All sectors improve for the first time since June 2021

Road freight increased by 20,5% on a year on year basis, the strongest growth in normal times since the inception of the Index. Rail Freight increased by 1,5%, which reveals that internal demand in South Africa is a lot more robust than previously thought.

Last month we investigated the impact that retail customer orders have on the fast-growing courier and home delivery sector. To a large extent, the continued growth in the Road Freight sector is driven by this rising home delivery and online shopping trend, which is clearly changing the way we live and how we interact with others.

The one very weak sector that has continuously declined, rail, had a great month and quarter, which could indicate that the worst of the decline is over. In all likelihood, the floods in April will cause havoc in this sector, but the growth is welcomed for the moment.

The storage sector grew by 7,9%, which can be attributed to international containers being offloaded in our harbours for more extended periods than what was previously the norm.

Thanks to the recovery of the global supply chain, both the Sea and Air Freight sectors have been growing. Europe’s increased need for bulk commodities from China is likely to positively impact Sea Freight from South Africa.

According to the International Air Transport Association (Iata), air transport via specialised freighter aircraft has almost recovered to pre-pandemic levels. Further growth is being hampered by the fact that passenger flight,,t schedules are yet to return to normal capacity. Currently, these aircraft, which carry freight below the deck, are only carrying a third of the capacity that they used to.

It can be expected that air freight will continue to increase as the international travel industry returns to normal levels in the next year or so.

Ctrack TFI linked to GDP growth

It is a well-known fact that in most countries, the transport industry and the countries’ GDP are closely linked. Similarly, the Ctrack Transport and Freight Index is linked to the South African GDP.

With this in mind, we believe that the 1st quarter GDP number will be robust, which should help the country’s growth in 2022. Transport numbers locally give a real indication of the economic activity, and it is expected that during 2022 we can expect growth of between 2,5 and 3%.

As measured by the Index, with the transport industry reporting good growth for the first quarter of 2022, the South African economy could have a better than expected year. However, this hinges on the effects of the recent floods in coastal areas and further price increases, which could hurt consumer and business confidence.

“With ongoing global and local challenges, the fact that the transport industry managed to show growth is proof of the resilience of the South African business environment and bodes well for the continued growth of the South African economy,” concludes Jordt.