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    Transnet expects force majeure for SA container terminals to remain in place until end Oct

    October 25, 20223 Mins Read
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    Transnet
    The force majeure declared in the automotive, bulk and multi-purpose terminals has been withdrawn.
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    Transnet: The force majeure declared in the automotive, bulk and multi-purpose terminals at its South African port operations has been withdrawn with immediate effect.

    Transnet Port Terminals (TPT), an operating division of Transnet SOC Limited, announced on 21 October that the force majeure declared in the automotive, bulk and multi-purpose terminals at its South African port operations has been withdrawn with immediate effect.

    Transnet: Backlogs remain

    However, the extent of the backlogs in the container terminals and the resultant impact on operations means that the force majeure declared for the container terminals remains in place, with TPT anticipating it will be ready to uplift it by 31 October.

    Transnet declared a force majeure on 6 October after employees embarked on industrial action, impacting the company’s ability to deliver on contractual obligations.

    Recovery plans

    TPT is implementing recovery plans to stabilize operational performance and efficiencies across its terminals following the industrial action by employees which ended on 19 October. The full workforce reported for duty with effect from 20 October. The backlogs in the container terminals are being cleared as part of the recovery plans that are underway.

    On the rail side, trolley trips are being undertaken to assess the safety of the railway network, as well as inspection of rolling stock to ensure trains are declared safe before services resume fully. Repairs to sections of the network affected by theft and vandalism are also being undertaken.

    At the ports, the emphasis is on clearing the backlog of vessels at anchorage and alongside the quay, including bulk, break bulk and containers. Evacuation of imports out of the port is underway to create fluidity within the terminals, with the immediate focus on perishable and time-sensitive cargo. All eight commercial ports remain accessible.

    Transnet Pipelines continues to transport fuel to the inland market, with contingencies in place to ensure security of supply.

    Transnet signed a three-year wage agreement with majority union UNTU on 17 October. SATAWU, which is also a recognized union at Transnet, called off its strike action on 19 October.

    In a statement Transnet said it “would like to thank its customers and industry broadly for their support and understanding during this period. Transnet continues to prioritize the safety of employees and assets as operations prepare to ramp up. Engagements with customers and industry are ongoing, with joint planning to clear backlogs created as a result of the industrial action.”

    For more information on the impact of the strike, click here.

    force majeure Ports rail South Africa Strike Transnet
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