Government is seeking to finalise a plan aimed at improving its rail network and move cargo away from its overburdened roads. While the economy loses a billion rand per day to its logistics crises, government has said an urgent turnaround is needed to improve its 31 000km locomotive network as more and more cargo moves from rail to trucks. The Department of Transport hosted a discussion with industry stakeholders regarding the Freight Road to Rail Migration Plan on Thursday - the latest development in the wake of President Cyril Ramaphosa forming the National Logistics Crisis Committee last year. Transnet, the South African National Roads Agency and private sector companies were all in attendance. The Freight Road to Rail Migration Plan is part of government's strategies to improve the country's ongoing logistics crises. In October last year, the government unveiled its Freight Logistics Roadmap to improve the ports and rail networks and encourage private sector participation, and Cabinet has since approved the plan. The DoT's deputy director-general, Rirhandzu Mashava, said operational deficiencies and underinvestment in railway infrastructure mean that South Africa's railway has been unable to handle increasing cargo movement demand, resulting in expensive transport costs for businesses.
