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PMAESA eNEWSLETTER - FEBRUARY 2015
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Uirab Calls For Healthy Relationships Between PMAESA Members
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PMAESA Chairman - Mr. Bisey Uirab
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"The year 2014 has seen many dynamic movements in the global political and economic landscape – some positive and some of deep concern. However, the projected positive economic growth in Africa and Asia is a sign that there is an urgent need for Africa to harness the full potential of this growth through focused engagement with the various global economic trade blocs.
At the same time, to ensure the sustainability of Africa’s economic security in the future, it will be of paramount importance to enhance the wealth and independence of its countries by decreasing reliance on imported goods, technology and services - Africa must develop its own capacity and manufacturing industries. This will not only increase international trade, but also intra-Africa trade, with the ultimate goal of creating wealth for our African nations.
The above will not be achievable unless African countries can present themselves as reliable trading partners with diverse, modern and secure maritime infrastructure and services of world-class standards, supported by efficient hinterland logistics frameworks.
Moreover, we must work together to eliminate the harmful impact of destructive competition in the maritime industry between countries and replace same with healthy collaborative relationships which will ultimately drive economic growth in the various regions of Africa.
As the newly minted Chairperson of PMAESA, I wholeheartedly commit to initiating and implementing PMAESA strategies in the forthcoming year which will support the above imperatives and at the same time endorse the realization of the AIMS 2050 vision. PMAESA will of course not be alone when embarking upon this epic voyage and we look forward to constructive engagement with the AU and other regional bodies such as SADC and COMESA in propagating the ideals of AIMS 2050.
My friends and colleagues, the year 2014 has wound up ushering 2015 and I would like to take this opportunity to wish you well over the festive season and trust that you will return rested and ready to embrace the challenges in the New Year.”
Mr. Uirab was elected the new Chairman of PMAESA Board during the Council meeting held at the Kenya Ports Authority Boardroom in Mombasa after the 10th Pan African Association of Ports (PAPC) Conference in November 2014.
Prior to his election, Mr. Uirab served the association its first vice chairman for two terms of three years each. The position of the first vice chairman went to Tanzania Ports Authority’s Director General Eng. Kipande Madeni while Mr. John Mwape of Zambia retained his position as the second vice chairman.
Kenya Ports Authority’s Managing Director Mr. Gichiri Ndua was elected the Association’s Treasurer and remains an ex-officio of the Board.
The Chief Executive of Transnet National Ports Authority, South Africa Mr. Tau Morwe who has led the Association since March 2011 remains on the Board as the past immediate Chairman.
PMAESA Secretary General Mr. Franklin Mziray, will serve as the Board Secretary.
Committee members elected were Dr. Jalal Eldin M.A. Shilaia of Sea Ports Corporation Sudan, Mr. Shekur Suntah of Mauritius Ports Authority and Mr. Osorio Lucas of Maputo Port Development Company, Mozambique.
PMAESA currently has four technical committees. The recent Council meeting at the Leisure Lodge and Golf Resort in Mombasa, Kenya elected the following to head the Technical Committees for the period of 2015/2016.
Mr. Fred Oyugi of Kenya Ports Authority (Finance), Mr. Ibrahim D. Ibrahim - Djibouti Port (Communications), Ms. Phyllis Difeto - TNPA South Africa (Ports Operations & Maritime Activities).
Namibian Ports Authority was charged with the responsibility of identifying the Chairman for the Legal and Constitution Affairs from among its ranks and file.
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Kenya Searches for a Private Port Operator
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An artist's impression of the 2nd container terminal at Port of Mombasa
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The search mounted by the Kenya Ports Authority (KPA) last month, for a private sector player, to operate the first phase of the Sh27 billion second container terminals at the Port of Mombasa, could be a game changer.
This is if it is handled transparently and the contract awarded to the most competitive bidder. No vested local or national interests should interfere with the bidding process.
Mombasa Port is on a tight race with its neighbours to retain its position as a regional shipment hub.
The race is made all tighter by the fact that Eritrea, Djibouti and Tanzania have all embarked on ambitious port expansion projects whose success would see Mombasa lose its pre-eminence.
It has not been lost on observers and analysts that the Port of Durban, South Africa, is also flexing its muscles and seeking to stretch its tentacles to the Great Lakes region. But the good news is that the competitors’ plans to take business away from KPA will succeed only if the authority rests on its laurels and fails to innovate.
The ongoing expansion of the port facilities with the new terminal projected to have a capacity of 450,000 20-feet containers (TEUs) after completion of Phase I in March 2016 is but a first step. The port’s capacity is projected to increase to 1.2 million TEUs after the project is completed in 2019.
The Kenyan Government and Japan International Co-operation Agency (JICA), who are funding the project, were unanimous that only a private player with global experience and connections in the maritime trade at that level can fully unlock the potential in the new investments.
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Dar Port Introduces Cargo Tracking System
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A PROCESS to kick-start stakeholders' engagement in introducing an electronic cargo tracking note (ECTN) as ordered by Surface and Marine Transport Regulatory Authority is expected to start this January 2015.
Tanzania Ports Authority (TPA) Director of Information Communication Technology, Mr Phares Magesa, was quoted by the press saying that ECTN will help boost the authority and Tanzania Revenue Authority's (TRA) customs duty collection.
"ECTN will ensure that we get precise information on imports and exports from authorities at the port of departure," said
Mr Magesa, who revealed that currently, both TPA and TRA rely on importers and exporters submitted documents which are often questionable. He said next January, the process of introducing ECTN which was aborted in 2013 after Sumatra intervened following an official complaint lodged by Tanzania Shipping Agents Association, contesting the awarding of a contract to Belgian based Antaser Afrique without proper procedures.
"Introduction of ECTN is very important both to us because it will boost our revenue in terms of wharfage collected but also to TRA in terms of customs," Magesa argued. He pointed out that transparency and accountability will also be enhanced especially at the country's prime port of Dar es Salaam.
"Efficiency at Dar es Salaam port will also be improved, our target is to reduce dwell time from the current nine days to five days by the end of 2015," the TPA ICT Director argued, saying Dar es Salaam port which serves six landlocked countries will become one of the most efficient ports in Africa.
He said the system which helps authorities know the real value of imported or exported goods through electronic communication would be rolled out at all seaports, airports and border posts of the country to help track cargo.
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Transnet Seals Pact with China
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Africa’s Transnet SOC Ltd and Chinese locomotives manufacturer CSR Zhuzhou Electric Locomotive (CSR) today signed an historic Memorandum of Understanding (MoU) as part of President Jacob Zuma’s official state visit to facilitate trade between the two countries.
Today’s MoU paves the way for Transnet to conclude agreements with CSR to set up manufacturing facilities in South Africa to exploit opportunities for the production and maintenance of electric locomotives as well as core rail equipment and components for African markets.
The agreement was signed in Beijing by Transnet Group Chief Executive Mr Brian Molefe and CSR Chairman and President
Mr Zhou Qinghe and witnessed by President Zuma and his counterpart President Xi Jinping.
In terms of the agreement, Transnet and CSR will contribute their respective expertise and will leverage their unique expertise and experience and provide access to the know-how of their highly qualified and specialized business divisions.
Transnet Group Chief Executive Mr. Brian Molefe and a team of senior executives are part of the delegation of business leaders who accompanied President Zuma on his official state visit to China.
Mr. Molefe is expected to conclude a similar agreement with another locomotive manufacturer, China CNR Corporation, which produces diesel locomotives.
CSR, which produces electric locomotives, was one of four manufacturers which Transnet awarded a R50 billion contract for the building of 1064 locomotives earlier this year. The other three were China CNR Corporation, German-based Bombardier Transportation and United States’ General Electric.
In line with South Africa’s commitment to boost its manufacturing capacity, all the locomotives except 70 will be built at Transnet Engineering’s plants in Koedoespoort, Pretoria and Durban, driving South Africa’s regional integration objectives. Transnet Engineering is the company’s engineering, manufacturing and rolling stock maintenance division.
The award has stringent local content, skills development and training commitments as dictated by the Supplier Development Programme, a government whose main goal is to localize the production of imported machinery and equipment. A key element of this is skills transfer that will transform Transnet Engineering into an OEM for locomotives.
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