Big plans to develop Gabcon as regional hub

26 Nov 2013 - by Liesl Venter

Growing the Gaborone
Container Terminal
(Gabcon) remains a top
priority for the inland port
operators despite the significant drop
in volumes over the past year.
“We have no
other choice
but to grow our
inland terminals
and develop our
rail links. The
cost of logistics
in Botswana
remains
extremely high,
and since it is
landlocked and
totally dependent on imports, it is
imperative that we move more cargo
on rail,” says Modise Koofhethile,
managing director of Gabcon. “Yes,
volumes have dropped. This year
alone we are expecting to see a
drop of some 40%. And a number
of things have contributed to this,
including projects that did not take
off.”
But, says Koofhethile, he remains
optimistic that the situation can be
turned around.
“There are several plans in the
pipeline to
develop Gabcon
into a regional
hub. There is still
a lot of work that
has to be done,
but the feasibility
studies show
there is a lot of
potential.”
According to
Koofhethile, to
achieve their dreams of a regional
hub would entail bringing all the
logistics players together under one
roof.
“We have a huge facility in
Gaborone that can be developed. We
believe there is much growth that can
take place that will ultimately see the
ports brought closer to the regions.”
For Koofhethile the biggest
challenge lies in restoring faith in rail
– not just in Botswana but southern
Africa as a whole.
“Too much cargo is on road – and
unless we see a modal shift with
more cargo moving to rail, the high
costs of logistics will continue to
impact.”
He said a lot needed to be done to
upgrade the region’s rail networks,
and governments were starting to
invest in rail again.
“Rail has been neglected, but
the tide is slowly turning. The
other challenge, of course, is that
in Botswana, like many other
countries, the expectation is that
if my container arrives in Durban
this morning it should be delivered
the next day no later. The reality
is on rail at present that is just not
possible.”