South Africa’s eight seaports, managed by Transnet, handled more than 300-million tonnes in the 2025/26 financial year — their best performance in 15 years and an indication that green shoots are emerging in the freight and rail entity’s recovery efforts.
Transnet on Tuesday reported a 9% increase in vessel traffic. The automotive industry did the heavy lifting, as South Africa reports a surge in car imports from China and India while it continues to ship thousands of cars to Europe.
Cargo volume throughput at the country’s eight commercial seaports, which are indispensable to South Africa’s trade with the rest of the world, increased 4.2% — the strongest growth since the 2011/12 financial year.
Transnet group CEO Michelle Phillips said the infrastructure projects across the port system are gaining momentum to support future demand and improve operational resilience.
“The overall strong growth performance signal improved the domestic economic landscape, including gains from the Transnet recovery initiatives and improvements in port and rail efficiencies,” Phillips said.
“This growth in vessel activity and cargo volumes signals that Transnet’s interventions are yielding measurable results.
“Alongside this welcomed volume increase, Transnet remains focused on sustaining operational improvements, accelerating port infrastructure investment and implementing structural reforms to support trade growth and cargo movement through South Africa’s ports.”
Vehicle volumes saw a 13.3% surge, helping the Port of Durban exceed its throughput targets.
“Container volumes also exhibited strong growth, rising by 7.1% and surpassing annual budget expectations by 3.6%, largely boosted by a 22% increase in volumes from the citrus fruits.
“Dry bulk cargo volumes increased by 4.2%, driven mainly by export demand in chrome ore, magnetite and manganese commodities,” Transnet said.
“At the Port of Durban, expansion plans are aimed at significantly increasing container handling capacity, while upgrades at the Port of Cape Town, including container stack improvements and truck staging facilities, are expected to improve efficiency and reduce congestion.”
Transnet is looking to partner with the private sector at Richards Bay Dry Bulk Terminal — one of South Africa’s largest and most strategic multicommodity dry bulk facilities, playing a critical role in supporting the export of commodities such as chrome, magnetite, coal, woodchips, chloride and alumina.
The plan is to increase export capacity at the facility by 45%, boosting the fiscus.
The terminal has an annual export capacity of 18.5-million tonnes (Mt), with plans to increase it to 26.9Mt with a primary focus on chrome and magnetite, commodities that account for nearly 50% of the terminal’s existing export throughput.
The two commodities have a robust long-term outlook due to global trends in steel production, stainless steel consumption and the transition toward low-carbon, green steel manufacturing.
The Port of Durban, the crown jewel in South Africa’s port infrastructure, is set for a major overhaul and expansion through Transnet’s own efforts and introduction of private sector actors.
Transnet has applied to the minister of forestry, fisheries & the environment to reclaim land from the sea to expand the capacity of the Durban Port — a key project — in its bid to increase capacity to between 10-million and 11-million 20-foot equivalent units (TEU) and keep South Africa’s economy competitive.
The reclaimed land will be used as a container terminal, with the objectives of improving container-handling capacity at the port, reducing logistics costs, and creating new economic opportunities for South Africa by boosting trade competitiveness.
These upgrades aim to increase the port’s capacity and efficiency without the need for a completely new port and include deepening and lengthening Durban Container Terminal Pier 2 (DCT2) to allow for the accommodation of larger vessels, among other upgrades.
DCT2 is Transnet’s biggest container terminal, handling more than 65% of the Port of Durban’s throughput and 40% of South Africa’s port traffic.
Transnet last year signed the landmark 25-year contract with International Container Terminal Services (ICTSI) to operate DCT2, a centrepiece of the country’s most far-reaching logistics reforms in a generation.
The Philippines-based ICTSI is expected to inject R11bn in investment in upgrading the container terminal and increase its capacity from 2-million to 2.8-million, representing a big lift for South Africa’s trade with the rest of the world.
The turnaround in Transnet’s operational performance coincides with that of Eskom, with South Africa set for its first winter without load shedding in a decade.
Eskom has also turned around its financial position, reporting a profit after tax of R24.3bn in the six months ended September. For its part, Transnet has narrowed to R1.8bn in the six months to September 30, from a R2.2bn loss in the comparative period.
Both entities are reliant on government guarantees.
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.