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Rail reforms offer fresh hope for agricultural logistics
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Farmer's Weekly SA
The South African citrus industry has welcomed government’s decision to open Transnet’s rail network to private operators, seeing it as a potential game-changer for agricultural logistics.
READ Freight rail revival on the cards for Overberg agri corridorPrivate operators to enter Transnet rail networkThe rail reform initiative follows the National Rail Policy approved by Cabinet in March 2022, which, for the first time in Transnet’s history, allows for private-sector participation while keeping infrastructure under state ownership.
- Advertisement -Creecy said the Transnet Rail Infrastructure Manager estimated that the new train operating companies would carry an additional 20 million tons of freight per annum from the 2026/27 financial year.
“The participation of private operators will go a long way in increasing Transnet rail volumes and assist producers in the mining and agriculture sector [with meeting] rail cargo volume expectations [for] exporters, and encourage the upgrade of the rail infrastructure,” she said during a media briefing.
“In February this year, the CGA released a [Bureau for Food and Agricultural Policy] report on the impact of logistics inefficiencies on our industry.
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