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Cargo ships in Durban South Africa

A new report exploring southern Africa’s logistics sector suggests that supply chain investments and improved infrastructure could boost intra-regional trade by as much as 50% over the coming five years

As trade corridors expand and the demand for sustainable supply chain solutions grows, the report, by Reload Logistics, points to a promising future for the region, with trade also surging on the back of the African Continental Free Trade Area (ACFTA).

The report — Unlocking Southern Africa’s Trade Potential in 2025 and Beyond — projects that by 2030, the ACFTA will boost intra-African trade by over 50%, creating new commodity flows while regional infrastructure investments address network gaps.

It also sheds light on the transformative trends shaping infrastructure, trade integration and digital innovation that are driving southern Africa’s logistics landscape.

Satellite tracking, for example, has reduced cargo theft by 40% along high-risk mining corridors by identifying unauthorised stops and route deviation.

Similarly, port congestion algorithms are assisting bulk carriers in predicting optimal loading windows, reducing demurrage costs at major ports and terminals across southern Africa by up to 20%.

Key insights from the report include:

Critical minerals driving growth: Southern Africa provides around 30% of the world’s critical minerals for electric vehicles, including cobalt and copper, contributing to the transition towards cleaner energy.

Strategic infrastructure investments: The Kasomeno-Mwenda Road Project is removing over 300 km from Democratic Republic of Congo (DRC) to Tanzania routes, while the Dar es Salaam Maritime Gateway Project plans to double port capacity to 30 million tons by 2030.

Technological transformation: Technological logistics solutions have improved route optimisation by up to 15%.

Sustainability imperatives: By 2030, demand for green logistics could reach approximately US$350bn globally, with exporters increasingly adopting lower-carbon transport options.

Transformative trade corridors: Port developments at Dar es Salaam, Durban, Walvis Bay and Beira are enhancing efficiencies and opening cross-border opportunities.

“Southern Africa’s logistics sector is at a pivotal turning point, shaped by rising trade activity, major infrastructure investments and the growing demand for efficiency,” the report noted.

“With the region’s economy expected to grow by 4.2% in the coming years — driven by commodity exports and transport network improvements — producers, traders and manufacturers must adapt to an increasingly dynamic and interconnected environment.”

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Maersk opens a state-of-the-art warehouse in Dakar to streamline supply chains and drive regional logistics efficiency. (Image source: Maersk)

A.P. Moller – Maersk has officially opened its advanced warehousing facility in Senegal, marking a major step in expanding its integrated logistics footprint across West Africa

The new 10,000 sq m site is ideally located between the Port of Dakar and the city's industrial zone, offering close access—just 10 km—to essential logistics infrastructure, industrial operations, and consumer markets.

This strategic placement enhances distribution within Senegal and supports cross-border logistics into neighbouring West African nations, reinforcing Maersk’s goal of offering fully integrated supply chain services tailored to customer needs.

"This investment in Dakar demonstrates our long-term commitment to Senegal and the broader West African region. By establishing this modern warehouse facility, we're delivering on our promise to create seamless, integrated logistics solutions that enable our customers to optimise their supply chains and accelerate growth," commented Thomas Theeuwes, managing director for Maersk West Africa.

Smart. Sustainable. Seamless.

The facility includes 5,100 sq m of indoor storage, 7,036 pallet positions, and an additional 500 sq m of outdoor space. It supports diverse product categories such as consumer goods, electronics, fashion, and retail items.

Value-added services like labelling, packaging, palletisation, order management, distribution, and pallet customisation are also available. This comprehensive offering enables clients to entrust all cargo-related processes to Maersk, simplifying operations.

"West Africa represents a dynamic and rapidly evolving market with unique logistics challenges," continued Theeuwes. "Our customers deserve reliable, efficient warehouse solutions that connect seamlessly with transportation services. This facility directly addresses those needs and will contribute to the economic growth in the region."

The warehouse is equipped with a modern Warehouse Management System (WMS) and Electronic Data Interchange (EDI), allowing real-time transaction tracking and better supply chain transparency through integration with customer systems.

Designed with sustainability in mind, the warehouse draws 60% of its power from solar energy and uses electric material handling vehicles. Enhanced safety measures include forklift cameras, pedestrian sensors, a robust fire protection system, and 24/7 security surveillance aligned with international and local safety standards.

This Dakar site adds to Maersk’s extensive West African facility network spanning over 100,000 sq m across eight countries—Dakar, Abidjan, Tema, Douala, Lagos, Conakry, Lome, and Cotonou—all operating under uniform HSSE protocols.

Work begins on the Cross Rivers State SAPZ. (Image source: AfDB)

Nigeria’s Cross River State has commenced the construction of its Special Agro-Industrial Processing Zone (SPAZ), set to play a key role in transforming agricultural trade and logistics in the area

The SAPZ aims to tackle food insecurity, enhance local production, and position Nigeria as a food export leader by leveraging Cross River’s ports and research assets to boost global trade, reduce food imports and drive prosperity through the agro-industrialisation of crops like cocoa and cassava.

The project is one of a number of similar schemes being supported in Nigeria by the African Development Bank (AfDB).

The groundbreaking in Cross River follows that of Kaduna, which took place days earlier, while six other states — Kano, Kwara, Imo, Ogun, Oyo, and the Federal Capital Territory — are included in Phase 1 of the US$538mn SAPZ programme.

There are plans to expand to the remaining 28 states this year pending approval for Phase 2 funding.

Nigeria’s vice-president Kashim Shettima said the SAPZ programme has been recognised as a national priority for food security in the country.

“There is no better time than now for the federal and state governments, development partners, the private sector, and our communities to work hand in hand to ensure the success of the SAPZ project.”

AfDB president Dr Akinwumi Adesina called it a “big day” for Nigeria, bringing “good news to farmers, agribusinesses and all rural areas of Nigeria. Good news of jobs, wealth and prosperity with agriculture as a business.”

He also highlighted Cross River’s export potential: “Bakasi deep seaport will turn the state into a logistics hub in Nigeria and the Gulf of Guinea, enabling trade with Cameroon, Equatorial Guinea and Guinea Bissau.”

The 130-hectare Agro-Industrial Hub in Adiabo will leverage the ports of Calabar and Bakassi, plus a 23 kVA power plant in Tinapa and a 630 kVA Calabar power plant.

Its Agricultural Transformation Centre, supported by the Cocoa Research Institute of Nigeria and the University of Calabar, sits 45 minutes from Ikom, Etung, and Boki, boosting cocoa production for global markets.

Adesina added that the SAPZs will help Nigeria reduce food imports, conserve foreign exchange, expand local production and processing of food and agricultural commodities, strengthen the Naira, and attract significant private investment into the development of agricultural value chains.

The AfDB has committed US$934mn to SAPZs across 11 African countries.

In Nigeria, the initiative has also received funding from the Islamic Development Bank, the International Fund for Agricultural Development and the Green Climate Fund.

Cross Rivers State Governor Bassey Otu said the establishment of clusters of smallholder farmers focused on staple and cash crops such as rice, cassava, millet, cocoa, and oil palm marked a vital step toward agro-industrialisation.

“These initiatives are aimed at strengthening food security, diversifying our state’s economy toward export-oriented agriculture, and boosting our GDP,” he said.

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Nuno Rangel, CEO, pictured at the new South African warehouse. (Image source: Rangel Logistics Solutions)

Portugal-based Rangel Logistics Solutions has invested a further €6mn (US$6.8mn) in a new warehouse facility in South Africa

The family-owned international logistics group first entered the South African market in 2020, keen to explore opportunities arising out of the African Continental Free Trade Area (AfCFTA) agreement.

The company will also open a new office in Nakop, on the Namibian border, to augment its presence in Zambia and Tanzania, according to Tiago Pocinho, Rangel’s country manager.

Covering an area of 10,000 square metres, near OR Tambo International Airport, he said the new South African warehouse will serve as a central hub for Rangel’s expanding Contract Logistics offering.

The facility also provides bonded storage, divided into an OS Bond Store (Operating Store) for goods storage up to 24 months and an SOS Bond Store (Special Operating Store) for storage up to six months, as well as cross-docking services.

The new warehouse is expected to create at least 160 new jobs.

Since entering South Africa, Rangel’s primary focus has been on transportation and cross-border logistics as it sought to establish a presence at key border points, but it is now looking to strengthen its footprint in the logistics sector.

Rangel CEO Nuno Rangel said he anticipated further growth in line with the Contract Logistics business, leveraging the AfCFTA and expanding regional trade links.

He said the warehouse enhances Rangel’s South African capabilities while facilitating trade between neighbouring markets such as Mozambique, Zambia, Angola, the Democratic Republic of Congo (DRC), Tanzania, Botswana, Zimbabwe, and Namibia, with an emphasis on supporting the mining sector.

Today, we are becoming a benchmark in transport for the mining sector in the main logistics corridors of the SADC region, from the DRC to the main ports — Durban, Beira, Walvis Bay and Dar es Salaam — carrying out highly demanding and complex operations, especially in the transport of copper (cathodes, concentrate, blister) cobalt hydroxyde and zinc,” he said.

Since 2020, Rangel has opened four offices on the main South African borders and expanded its presence to Zambia in 2021 and then Tanzania in 2022, bringing the total investment in the three countries to €7mn (US$8mn).

“We want to be an African company and not only help connect the Southern African Development Community to Europe, but also facilitate trade among African countries,” Rangel said at the launch ceremony of the new warehouse.

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Volvo Trucks introduces Euro 6 FH model in South Africa, prioritising sustainability, performance, and driver experience. (Image source: Volvo Trucks)

Volvo Trucks South Africa has unveiled the Euro 6 version of its flagship long-haul truck, the Volvo FH, marking a significant step forward in its mission to deliver more sustainable and efficient transport solutions

The newly introduced technology meets the stringent Euro 6 Step E emission standards, which significantly reduce harmful pollutants, positioning Volvo as a frontrunner in clean transport innovation in the country.

While Euro 2 is still the current standard in South Africa, the introduction of Euro 6 demonstrates a bold move towards environmentally responsible operations. With improved fuel efficiency and lower emissions, the Volvo FH Euro 6 is tailored for South Africa’s demanding long-haul market, where fuel and operational costs are key concerns.

“The introduction of the Volvo FH Euro 6 demonstrates a significant commitment by Volvo Trucks to reduce emissions on heavy-duty vehicles,” said Waldemar Christensen, managing director of Volvo Trucks South Africa.

Efficient.Sustainable.Ready

The truck is available in four engine power variants—420hp, 460hp, 500hp, and 540hp—all under the D13K engine range and in multiple cab configurations including Sleeper, Globetrotter, and Globetrotter XL. It also integrates features like cooled Exhaust Gas Recirculation (EGR), Diesel Oxidation Catalyst (DOC), Diesel Particulate Filter (DPF), and Selective Catalytic Reduction (SCR) with AdBlue injection to meet emissions targets.

Volvo Trucks also emphasises comfort and safety. Enhanced insulation, ergonomic cabs, and advanced systems like the optional Camera Monitoring System (CMS) ensure a pleasant and secure driving experience.

“About 90% of the environmental impact generated by a truck occurs during its operation – when it emits harmful exhaust gases,” explained Takalani Tshirame, senior manager of product support.

Volvo Connect, a digital platform, allows fleet managers to monitor truck performance, optimise fuel use, and increase uptime with real-time data. Backed by a nationwide dealer network and trained technicians, Volvo ensures the FH Euro 6 is supported throughout its lifecycle.

“We are passionate about crafting a driver experience that fosters a comfortable, safe and enjoyable environment. By prioritising the needs of our drivers, we aim to create a sense of well-being and satisfaction that extends beyond the drive itself, recognising the profound impact it can have on their overall quality of life and ultimately, the success of our customers,” added Alwyn Engelbrecht, sales engineer at Volvo Trucks South Africa.

With cleaner 10ppm diesel fuel becoming widely available in South Africa, the new FH Euro 6 is well-positioned to meet both current demands and future regulatory requirements. This launch aligns with Volvo’s long-term sustainability goals—paving the way for a greener, more efficient future in freight transport.

“The choices we make today define the world we will live in tomorrow. Climate change, population growth, and increasing urbanisation is shifting the expectations on transport and infrastructure, making sustainable transportation increasingly important,” concluded Christensen.

Also read: https://africanreview.com/construction/volvo-penta-strengthens-dealer-network-strategy 

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