Assessing the need for a dry port to alleviate congestion surrounding the Port of Durban : a citrus case

Date
2024-03
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Stellenbosch : Stellenbosch University
Abstract
ENGLISH SUMMARY: Port congestion poses a critical challenge to the efficient export of citrus fruits, thus impacting global trade and supply chain resilience within the industry. This research investigates the multifaceted dimensions of port congestion at the port of Durban within the context of the South African citrus industry. The primary objective is to evaluate the feasibility and potential benefits of establishing a dry port as a strategic intervention to mitigate existing logistical challenges faced at the port with the aim of providing a framework that aids in facilitating more efficient international trade. While employing a pragmatic mixed-method approach, the study analyses the implications of port congestion on key stakeholders, including shipping companies, industry associations, and regulatory bodies. The research encompasses a literature review, providing insights into global dry port management strategies, the role of dry ports, the importance of international trade, the citrus industry in South Africa as well as broader topics that fuel the readers’ understanding of the research. Through an analysis of primary data, including interviews with 17 industry experts and stakeholders, the study uncovers the specific challenges faced by the citrus industry in navigating port congestion, affecting export schedules, quality control, and market competitiveness. Data from the Ports Regulator of South Africa provides the quantitative data utilised within the study. The research findings highlight the need for strategic interventions, leading to a series of recommendations aimed at enhancing railway capacity and fostering government investment in port infrastructure. The exploration of long-term Public-Private Partnerships (PPPs) and the adoption of development-attracting methods, such as Special Economic Zones (SEZs), emerge as additional recommended strategies for mitigating congestion-related disruptions and avoiding future bottlenecks. This research contributes to the existing body of knowledge by illustrating how the strategic establishment of a dry port can address logistical challenges and stimulate economic growth within the perishable domain. The implications extend beyond congestion relief, encompassing economic stimulation, job creation, and a repositioning of South Africa favourably within global trade networks. The study highlights the necessity for ongoing research into the optimal location, design, and governance of dry ports within South Africa. Lastly, this research provides a practical framework for addressing operational inefficiencies in the citrus supply chain, emphasising the potential transformative impact of a dry port on trade dynamics and economic development for the Republic of South Africa.
AFRIKAANSE OPSOMMING: Hawe-kongestie stel 'n kritieke uitdaging vir die doeltreffende uitvoer van sitrusvrugte, en het 'n impak op globale handel en voorsieningskettingveerkragtigheid. Hierdie navorsing ondersoek die veelvlakkige dimensies van hawe-kongestie van Durban hawe binne die konteks van die Suid-Afrikaanse sitrusbedryf. Die primere doelwit is om die haalbaarheid en potensiele voordele van die vestiging van 'n binnelandse hawe te evalueer as 'n strategiese ingryping om bestaande logistieke uitdagings wat by die hawe ervaar word te verminder ten einde meer doeltreffende internasionale handel te fasiliteer. Terwyl 'n pragmatiese gemengde-metode-benadering gebruik word, ontleed die studie die implikasies van hawe-kongestie op sleutelbelanghebbendes, insluitend rederye, bedryfsverenigings en regulerende organisasie. Die navorsing behels ’n literatuuroorsig wat insigte verskaf in globale binnelandse hawebestuurstrategiee, die rol van binnelandse hawens, die belangrikheid van internasionale handel, die sitrusbedryf in Suid-Afrika asook breer onderwerpe wat die lesers se begrip van die navorsing aanwakker. Deur 'n ontleding van primere data, insluitend onderhoude met 17 bedryfskenners en belanghebbendes, ontbloot die studie die spesifieke uitdagings wat die sitrusbedryf in die gesig staar as gevolg van hawe-kongestie. Hierdie kongestie beinvloed uitvoerskedules, kwaliteitbeheer en mark mededingendheid. Data van die hawereguleerder van Suid-Afrika verskaf die kwantitatiewe data wat deur die studie benut is. Die navorsingsbevindinge beklemtoon die behoefte aan strategiese ingrypings, wat daarop gemik is om spoorwegkapasiteit te verbeter en regering investering in hawe-infrastruktuur te bevorder. Die verkenning van langtermyn Openbaar-Private Vennootskappe (OPV's) en die aanvaarding van metodes wat ontwikkeling lok, soos Spesiale Ekonomiese Sones (SESs), kom na vore as bykomende aanbevole strategiee om kongestie verwante ontwrigtings te versag en toekomstige knelpunte te vermy. Hierdie navorsing dra by tot die bestaande liggaam van kennis deur te illustreer hoe die strategiese vestiging van 'n binnelandse hawe logistieke uitdagings kan aanspreek en ekonomiese groei binne die bederfbare domein kan stimuleer. Die implikasies strek verder as kongestieverligting, en beklemtoon ekonomiese stimulasie, werkskepping, en 'n gunstige herposisionering van Suid-Afrika binne globale handelsnetwerke. Die studie beklemtoon die noodsaaklikheid van deurlopende navorsing oor die optimale ligging, ontwerp en bestuur van binnelandse hawens in Suid-Afrika.
Description
Thesis (MCom)--Stellenbosch University, 2024.
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