NAMIBIA: TRANSNAMIB LAUNCHES 180 DAY TURNAROUND STRATEGY Full Story On Page 16

AFRICACTBL-WATCH

South Africa: New Rail, Road System Planned For Durban

ISSUE 10 | October 2014

Kenya: Launches Axle Load Control Charter

South Africa: 10-Year Coal US$2.1 Billion Transport Deal

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AFRICACTBL-WATCH

ISSUE 10 | OCTOBER 2014

Kenya: Launches Axle Load Control Charter

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South Africa: New Rail, Road System Planned For Durban

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Namibia: TransNamib Launches 180 Day Turnaround Strategy

South Africa: Transnet / BHP Billiton Sign 10-Year Coal US$2.1 Billion Transport Deal

Contents

Top Stories

03 /Corridor Review

05 /African Group News

21 /Western Africa

07 /Eastern & Southern Africa

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Website: www.delmas.comEmail: lhv.marketing@delmas.netTweet: @DelmasWeDeliver

CMA CGM Marseille Head Offi ce4, Quai d’Arenc 13235 Marseille cedex 02 France

Tel : +33 (0)4 88 91 90 00

www.cmacgm.com

Disclaimer of LiabilityCMA CGM / DELMAS make every effort to provide and maintain usable,

and timely information in this report. No responsibility is accepted for

the accuracy, completeness, or relevance to the user’s purpose, of

the information. Accordingly Delmas denies any liability for any direct,

indirect or consequential loss or damage suffered by any person as a

result of relying on any published information. Conclusions drawn from,

or actions undertaken on the basis of, such data and information are the

sole responsibility of the reader.

The African Inland Freight ReportBrought to you by CMA CGM / DELMAS Marketing

Rachel Bennett Dominic Rawle

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any liability for any direct

News Headlines By RegionEastern & Southern AfricaBurundi: AfDB Approves US$29.49 Million For Burundi Road Project

Kenya: Eldoret-Kakamega Link Road / Launches Axle Load Control Charter / Rift Valley Railways Commissions GE Locomotives / NLC Issues Notice to Acquire 46 Parcels of Land for Railway

Malawi: Central East African Railways Receive Locomotives

Mozambique: Integrated Transport Solution for Maputo Corridor / Maputo Rail Investment Plan On Track

Namibia: CMA CGM, DELMAS New TBL Reefer Solution Via Walvis Bay / Rehabilitation Of Northern Road / TransKalahari Highway - N$523 Million Upgrade Of Okamatapati-Grootfontein Road / TransNamib Launches 180 Day Turnaround Strategy / Namibia Seeks Investors For DRC/Zambia Rail

Rwanda: Non-Tariff Barriers Impact Regional Trade

South Africa: New Rail, Road System Planned For Durban / Transnet, BHP Billiton Sign 10-Year Coal US$2.1 Billion Transport Deal / Transnet Agrees Rail Deal With Mozambique, Swaziland / Transnet Purchases Australian Locomotives / Transnet R30 Billion Maintenance Backlog

South Sudan: Kampala-Juba-Addis Ababa- Djibouti Corridor Update

Tanzania: New Regulations On Customs Clearance / Signs MoU To Develop Dar Es Salaam Rail Service

Uganda: Transporters Propose Dual Transit Highway To Kampala / Eldoret-Uganda Road Almost Complete / Uganda Seeks US$8 Billion China Loan To Fund Rail Construction / Regional Standard Gauge Rail Launched

Zambia: Customs Upgrade Cuts Off Lubumbashi / Link Zambia 800: Mansa-Luwingu Works Advance / Scouts For Chingola-Jimbe Rail Funding

Zimbabwe: Government Secures US$1.3 Million For Transport Master Plan / Road Motor Service Starts Work On Namibian Port / US$100 Million Needed To Refurbish Beitbridge Border Post / Zinara Eyes US$100 Million From Tollgates

Western AfricaAngola: Lunda Norte Road Rehabilitation Works / Saurimo, Dala Road / Government Awards National Road Construction / Moçâmedes Railroad Receives Locomotives

Cote d’Ivoire: Adopts Measures To Facilitate Trade

Morocco: New Casa-Port Railway Station

Niger: Route Transsaharienne [RTS]

Nigeria: Lagos-Badagry Expressway / Early Completion Of Second Niger Bridge / US$1 Billion Expansion Of East-West Road / FCTA, China Sign US$792 Million Deal For Abuja Rail Project / FEC Approves N1.1 Billion For Locomotives / Insecurity Delaying Gombe Railway Project

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/ US$1 Billion Expansion Of FEC Approves N1.1 Billion For

Eastern & Southern Africa

Corridor Current Situation

1 ● Kenya-Great Lakes/S. Sudan The Group offers extensive CTBL services throughout Kenya.Our new service to Juba, South Sudan, is running well. We have opened new routes from Kenya to the North Kivu region in the eastern Democratic Republic of the Congo [DRC]. New connections offered through the port of Mombasa include Beni, Butembo and Kisangani, towns all lying on the main national route N4. All 3 towns have a transit time of +/-21 days!

2 ● Tanzania-Great Lakes Roads from Dar Es Salaam to North Rwanda, Burundi and DRC [Goma / Bukavu / Uvira] are in good condition. Burundi transit times are still impacted due to a deviation to avoid a broken bridge. Trucks are forced to use another route adding an additional 200-km equating to 1-2 days transit. Rwanda, Burundi and Uganda are now part of the EAC single custom territory with Tanzania. A new custom tool in Dar Es Salaam was set up for this evolution directly impacting on the corridor from Dar Es Salaam to Burundi and Rwanda. Delays faced at the start are now back to normal.

3 ● Tanzania-Copper Belt This corridor has REOPENED! Roads through Mbeya offer a good alternative to the train to Ndola. Traffic is back to normal. The Group is the only shipping line to have its own office in Lubumbashi and thanks to a newly appointed Branch Manager and staff we closely monitor the local situation. The transport corridor from Dar Es Salaam to Lusaka, Copper belt & Lubumbashi is safe and we can offer competitive rates and transit time.

4 ● Mozambique Nacala Corridor This corridor has REOPENED! All backlogs have been cleared. The Group is in a position to obtain regular allocations and are in negotiations with stakeholder management. CDN the National Rail operator welcomes all bookings.

5 ● Mozambique Beira Corridor A bond agreement with customs is in place and we have our own broker at our agency office to shorten clearance time and trucking. New agreements has been signed with our local agency CC Mozambique and freight transporter J&J lda.

6 ● Mozambique Maputo Corridor Running well. Following an agreement with DPW there is free storage for TBL container. Meanwhile a new corridor is now available from Maputo – Hwange [Zimbabwe] by rail.

7 ● S. Africa Durban We offer very competitive rates to Harare [Zimbabwe] / Lusaka [Zambia] / Gaborone [Botswana].

8 ● Namibia Walvis Bay The transport corridor from Walvis-Bay to Lusaka, Kitwe, Ndola & Lubumbashi in south DRC are running well. The corridor is safe and we can offer very good rates. There are a lot of trucks on standby. However there are some delays due to the implementation of Sydonia Word since 1 September 2014. Now also offering Windhoek!

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CORRIDOR REVIEW CTBL AFRICA

Western Africa

Corridor Current Situation

1 ● Senegal-Mali All rail congestion has cleared. Furthermore TRANSRAIL has received 8 railway engines which are now fully operational. Both road and rail options are running smoothly with good transits available.

2 ● Senegal-Guinea Bissau The corridor remains open but due to the Ebola crisis the border process and status will be checked on a case by case basis before booking.

3 ● Guinea-Mali Service suspended due to lack of reliable local service.

4 ● Cote d’Ivoire-Burkina/Mali Due to the present difficulties in the evacuation of containers by rail via the Abidjan corridor, we recommend the road option for your shipments to Ouagadougou. This option is working well! Transits to Ouagadougou and Bobo Dioulasso are just 12 days by road.

5 ● Ghana-Burkina Tema-Ouagadougou service is now available as an additional option. The Tema corridor to Burkina is now the most competitive pricewise, with excellent transit time from Asia with AFEX service. Our expert TBL team is now in place and fully involved for all your booking requests.

6 ● Togo-Burkina/Niger Service is running well.

7 ● Benin-Burkina/Niger Operating well.

8 ● Cameroon-Chad There are currently delays by rail as the operator CAMRAIL is experiencing congestion in both Douala & N’Gaoundere stations. We therefore suggest cargo is moved via our road TBL service. Political security is still not 100% on this corridor.

9 ● Cameroon-CAR Douala-Bangui is SUSPENDED due to the political deterioration in CAR.

10 ● Gabon Corridor The Libreville-Franceville corridor is SUSPENDED temporarily and will reopen soon.

11 ● Congo Corridor Pointe Noire-Brazzaville bookings currently SUSPENDED. The corridor is expected to open end of September [delayed from July]. Pointe Noire-Cabinda corridor by road is under test to reopen directly!

12 ● DRC Corridor Matadi-Kinshasa service running well with transits of 9 days.

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New TBL Reefer Solution Via Walvis BayFollowing the successful transit of our first trial TBL reefer from Walvis Bay to Lusaka competitive reefer rates are now available thanks to our nominated trucker Van Der Walt transport. Depending on the temperature required by our customers we can offer 2-options:

1. Containerised options with plugging at various points on the way to final destination [Zambia, Zimbabwe or DRC].2. Unpack / repack option into our transporter’s reefer truck. Operation is handled at our subcontractor’s cold store with a

professional surveyor’s inspection.

REEFER FACTBOX - CMA CGM is one of the top 3-players in the global reefer trades - The group has a reefer container fleet of 170,000 TEU - 150,000 reefer slots and 800,000 refrigerated loads were carried in 2013 - Our reefer box fleet increased by 6% last year and we plan to double capacity within

the next 10 years - Currently, CMA CGM invests US$150- 200 million annually in reefers.

For more information please visit http://www.cma-cgm.com/products-services/reefer/special-recommendations

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AFRICAN GROUP NEWSCMA CGM / DELMAS

Group To Attend IPAD Katanga Mining WeekCMA CGM / DELMAS is to attend the 5th IPAD Katanga Mining Week in Lubumbashi 28-29th of October. This mining conference is an opportunity for us to share our expert inland intermodal solutions to and from Katanga province. CMA CGM will be represented with representatives from both CMA CGM Lubumbashi and CMA CGM Durban. For further information regarding this event please view www.ipad-katanga.com.

Intermodal Conference DurbanCMA CGM / DELMAS representatives will attend the 12th Intermodal Africa conference which will take place in Durban on 23-24th October. The event is one of the largest ports, shipping and logistics conference on the continent. 35 conference speakers will focus on topical issues and challenges in global transportation and logistics to include:

- African maritime sector economic outlook examining opportunities and regional trade developments - Structures and principles for port infrastructure financing - Zambia outlook: Transport/intermodal systems in accelerating economic growth - Shaping the supply chain: A regional perspective in shipping, intermodal and logistics markets - Sustainable rail freight systems - Port modernisation using state of the art infrastructures - Port and terminal operation developments: Facilitating trade and service quality - Walvis Bay corridor development.

For more information please view the events website at http://10times.com/intermodal-africa

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CTBL Enquiries

For details about our service, bookings and all-in rate enquiries please contact your usual CMA CGM / DELMAS agent. For further service details view our Intermodal Services Africa website [https://www.delmas.com/products-services/our-services/ctbl] or scanning the QR code:

RegionalSingle Customs Territory [SCT]

The Tanzania Revenue Authority [TRA] has set aside US$1 million to support implementation of the Single Customs Territory [SCT].

The SCT is a major part of the East African Community [EAC] efforts to dismantle bureaucratic barriers across common borders. TRA has also requested agencies involved in cargo clearance in reviewing their respective legislations in line with the agreed SCT framework. At regional level, coordination is managed by the EAC Secretariat whereby at national level, there is a Steering Committee under the Ministry of Finance.

A meeting of the EAC Commissioners of Customs took place in Dar es Salaam in August to adopt standard operating procedures and make amendments to the Customs Management Act for smooth SCT implementation which have been drafted and submitted to EAC Secretariat for processing. Standard operating procedures covering Customs procedures and control mechanisms have also been developed and tested.

Tanzania’s ASYCUDA++ was interfaced with ASYCUDA World of Rwanda, Uganda and Burundi and Simba of Kenya to allow piloting of SCT. Testing commenced in June 2014. Through the interface, manifest and declaration with subsequent release order information is exchanged electronically. Also the new Tanzania Customs Integrated System [TANCIS] which was introduced to replace ASYCUDA++ is currently working with SCT server. TRA engaged a vendor in August, 2014 to develop an interface between partner states revenue authorities and customs management systems with TANCIS.

IT experts are fine tuning the system to enable electronic transmission of Exit Notes, declaration and risk selectivity lane. Ground work on a regional framework for interfacing national electronic cargo tracking systems and one for operating a regional Customs bond has been done; CED is working with COMESA Secretariat and insurance companies on adopting the Regional Customs Transit Guarantee Scheme [RCTGS].

The Tanzania Ports Authority [TPA] and Tanzania International Container Terminal Services Ltd (TICTS) have established direct links with the revenue authorities of Rwanda [RRA], Uganda [URA] and Burundi [ORA] in clearing cargo destined to these countries. Meanwhile RRA and OBR have stationed their officers at the port. TANCIS will be interfaced with the Kenya Ports Authority [KPA] system and TRA have deployed officers in Nairobi and Mombasa in September 2014. SCT-cleared cargo will target both the Central Corridor at Kibaha [later Vigwaza], Njuki [later Manyoni] and Nyakahula [later Nyakanazi] whereas the Dar Corridor targets Kibaha [later Vigwaza] Makambako and Mpemba.

[EA Business Week 12/10/14]

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EASTERN & SOUTHERN AFRICACORRIDOR NEWS

MozambiqueIntegrated Transport Solution for Maputo CorridorA consortium of 4-transport operators from Mozambique, Swaziland and South Africa on 22nd September launched a Joint Operating Centre [JOC] for the Maputo Corridor. The Centre has been set up to provide a seamless flow of cargo services. It will enhance the operational efficiency of the companies involved in the corridor: Mozambique’s publicly owned port and rail company, CFM; South Africa’s Transnet; Swaziland Railways; and the Maputo Port Development Corporation [MPDC]. The JOC will focus on the integration of planning and operations, and managing all cross border operations.

[AIM 23/09/14]

RwandaNon-Tariff Barriers Impact Regional TradeTraders are losing millions through Non-Tariff Barriers [NTBs] along the Northern and Central corridors according to a new survey by the National Monitoring Committee on NTBs and the East African Community.

The study “The Current Status of NTBs in East Africa” noted 24% of manufactured goods are being affected by NTBs. Over all, Tanzania still has the highest number of NTBs at 26%, followed by Kenya with 24%, Uganda 22% and Rwanda with 14%. Complaints include police road blocks, weighbridges, port congestion, sanitary and phytosanitary measures, lack of co-ordination in harmonisation of standards amongst others.

Efforts to address NTBs are ongoing. The single customs territory along the Central Corridor will be implemented next month. Rwanda has signed agreements with governments of Uganda and Tanzania on harmonisation of procedures and elimination of trade barriers. Meanwhile joint technical committees and joint border committees have been put in place to help in the identification and elimination of trade barriers.

[New Times 07/10/14]

South AfricaNew Rail, Road System Planned For DurbanA R22-billion plan for an integrated freight and logistics system was unveiled to the private sector on 15th October. eThekwini Municipality’s 20-year plan includes upgrades to road and rail systems, construction of truck stops, weighbridges and the introduction of a sophisticated computer system linking the port with truck stops and metro police. It is aimed at improving the efficiency and capacity of Durban port and to cater for the heavier traffic volumes expected once the proposed dig-out port and the Cato Ridge dry port are operational.

Royal HaskoningDHV, presented draft plans revealing the possibility of new rail wagons and rail lines from the port heading inland, with some bypassing Cato Ridge. The planned road infrastructure would be linked to the South African National Roads Agency (Sanral) plans for a Durban-Free State-Johannesburg logistics and industrial corridor. Earlier this year, Sanral noted the first phase of the corridor would be the widening of the N3 between Durban and Pietermaritzburg estimated at R15bn. There will also be a dedicated freight lane connecting Durban and Cato Ridge. Other roads that would be upgraded included the N2 and M7. The upgrades were estimated to cost R17.9bn and the four truck stops could cost up to R4.9bn.

[Business Report 16/10/14]

Corridor Improvements

- Strong communication tools, including a website and SMS feedback [2525]

- Use of non-intrusive cargo scanners to reduce time for physical verification of goods

- Kenyan weighbridges reduced from 6 to 4 /Tanzanian from 8 to 7

- Police roadblocks removed in Kenya and Uganda and reduced in Tanzania

- Road and ports infrastructure significantly improved

- Road toll in Tanzania reduced from US$500 to US$152 per truck per trip resulting in a saving of up US$800,000 p.a. for transporters using the central corridor.

- Tanzania removed the requirement of cash bonds for transportation of sugar to Rwanda.

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TanzaniaNew Regulations On Customs ClearanceCustoms agents will have to acquire a professional certificate to be allowed to operate in Tanzania from next January. The Federation of East African Freight Forwarders Association [FEAFFA] note the move will be mandatory for all agents to obtain an East Africa Customs and Freight Forwarding Practising Certificate [EACFFPC]. A certificate is obtained after attending a training programme jointly implemented by the East Africa Revenue Authorities [EARAs] and the national freight forwarding associations affiliated to the FEAFFA. Tanzania has 600 registered C&F agents. In 2011, TradeMark East Africa granted FEAFFA US$1 million to help improve capacity of C&F agents.

[Tanzania Daily News 10/10/14]

Zambia/DRCCustoms Upgrade Cuts Off LubumbashiA month ago, Democratic Republic of Congo’s [DRC] border post with Zambia, one of Africa’s busiest land frontiers, went high-tech, with a web-based customs system that was meant to improve efficiency and eradicate corruption. It’s not quite working to plan. As officials struggle to get to grips with the new system and DRC’s decrepit phone network groans under the weight of data, the Kasumbalesa border post 300 km north of Lusaka has almost ground to a halt, according to drivers and freight operators. The result is a tailback of trucks stretching at least 20km into Zambia and a spike in prices in Lubumbashi which rely on the 450 trucks a day that normally pass through the border.

Kasumbalesa, at the heart of the Copperbelt, was to be an example in one of the first public-private partnerships [PPP] on African borders, an Israeli-run firm Baran Trade and Investments won a 20-year concession in 2009 to build a “one-stop” customs post and operate it for 20 years.

With US$5 million of Baran’s own money and a US$20 million loan from the Development Bank of Southern Africa, the Zambia Border Crossing Company [ZBCC], as the subsidiary was known, streamlined Kasumbalesa in 2011 resulting in reduced crossing times. However, Lusaka cancelled ZBCC’s contract in late 2011 following elections and ordered investigations into numerous state deals. The inquiry concluded the Baran deal never went out to public tender and the fees charged to trucks were too high. It also said giving control of the border to an outside concessionaire was a threat to national security. The state-run border post muddled through and in September DRC upgraded its systems from Sydonia++ to web-based Sydonia World. The data burden proved too much for DRC’s computer networks, which crashed. One stop-gap solution has been to scan documents in low-resolution black-and-white to ease the data burden.

[Reuters 30/09/14]

ZimbabweGovernment Secures US$1.3 Million For Transport Master PlanThe government has secured US$1.3 million from the African Development Bank [AfDB] for a transport sector master plan that will be used as a reference in the revival of the country’s transport networks. Plans are at an advanced stage with government in the process of appointing a consultant to draft the plan. An international tender is finalising with work on the draft expected to start by December to be completed within 6-months to cover rail, road and aviation.

[Herald 10/10/14]

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EASTERN & SOUTHERN AFRICACORRIDOR NEWS

ZimbabweRoad Motor Service Starts Work On Namibian PortNational Railways of Zimbabwe subsidiary, Road Motor Service [RMS] has started preparatory work at Walvis Bay dry port in Namibia as plans to commence construction begin. The Government was granted 19,000m2 by the Namibia government in September 2009 to construct its own dry port. Construction was supposed to resume in November 2013 when the Common Markets for Eastern and Southern Africa [COMESA] promised US$1.4 million for the project. Arrangements are being pursued to mobilise funding for the project.

Construction will be done in 2-phases. Phase-1 involves civil works which includes construction of the drive-in weighbridge, storage shades, palisade fencing as well as installation of electric catwalks. Phase-2 involves construction of administration blocks. The dry port will start operating once Phase-1 is complete.

Zimbabwe’s trade volumes through Walvis Bay have grown significantly to more than 2,500 tonnes per month. In a related development, the Namibian Ports Authority is also working on expanding Walvis Bay port and has secured a US$338 million loan from the African Development Bank [AfDB] to finance the construction of a new container terminal at Port of Walvis Bay.

[The Herald 07/10/14]

US$100 Million Needed To Refurbish Beitbridge Border PostThe government needs US$100 million to refurbish the Beitbridge border post to international standards and is engaging the Common Market for Eastern and Southern Africa [Comesa] to fund the project. Beitbridge is the busiest entry point in southern Africa but continues to be a major bottleneck to the smooth flow of traffic due to inadequate facilities.

Redevelopment will encompass the upgrading of the road network to and from the bridge, perimeter fencing and gate control infrastructure, parking areas and a commercial centre. It will also include the weighbridge, upgrading the communication and security, lighting, computerisation of the border post and construction of a new bridge. The project also includes the implementation of measures to strengthen the collaboration between the South African Revenue Service and the Zimbabwe Revenue Authority through the harmonisation of customs systems and procedures at the border post.

[New Zimbabwe 29/09/14]

Walvis Bay

Namibia

Zimbabwe

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EASTERN & SOUTHERN AFRICADRY PORTS / OSBP

BurundiAfDB Approves US$29.49 Million For Burundi Road ProjectThe African Development Bank Group [AfDB] approved a US$29.49-million grant to help finance the first phase of the Nyakararo-Mwaro-Gitega [RN18] Road Improvement and Asphalting Project in Burundi. The project, which concerns 30-km-long Nyakararo-Mwaro-Kibumbu road, aims to open up access and boost regional trade. Under “Burundi Vision 2025”, the Government designed and implemented an Infrastructure Action Plan [2010-2015] which gave rise to the Road Network Improvement Programme. The road will connect Bujumbura to the central, northern and eastern regions and serve as an alternative to the current central corridor linking Bujumbura to the Port of Dar es Salaam in Tanzania. Industrialists, loggers and transporters, will also see operating and logistical costs significantly reduced.

[AfDB 26/09/14]

KenyaEldoret-Kakamega Link RoadGovernors have agreed to construct a new shorter road to link Eldoret and Kakamega towns to open up trade. The 80-km road from Eldoret will pass through Nandi county to Kakamega. It takes 2-hours to travel from Eldoret to Kakamega using the current 160-km road through Webuye. The new road will link up from the Mosoriot-Kabiyet, road which is being tarmacked by the national government. Meanwhile a dual carriage road worth more than Sh8 billion will be constructed in Eldoret to link the town to Eldoret International Airport. The 25km road, whose survey is underway, will run from the airport on the Kisumu Road through the town centre to Chepokoilel junction on the Iten Road. The by-pass will start from Ngeria on the Eldoret-Nakuru highway and pass near the airport before linking with the Eldoret-Bungoma road at Maili Tisa easing traffic in the town.

[Star 27/09/14]

Kenya Launches Axle Load Control CharterTransport Secretary Michael Kamau along with 14-agencies launched the ‘Vehicle Load Control Charter’ in Mariakani on 13th October. The charter will help transporters to self-regulate and check overloading on the 1,900km Northern Corridor and in the process improve efficiency at the Mariakani and other weighbridges in Gilgil, Webuye and Mlolongo. The corridor, which runs from Mombasa to Bujumbura in Burundi, is the backbone of the East African Community [EAC] economies and carries the highest volume of transit traffic. The development of the charter was spearheaded by the Northern Corridor Transit Transport Coordination Authority and Kenya Transporters Association, whose members control more than 70% of the total heavy commercial vehicle fleet. The charter hopes to expose those involved in corrupt practices. One exercise is the use of mobile weighbridges to monitor transporters who deliberately avoid the Mariakani weighbridge. The government is investing Sh2.7 billion over 3-years on improvement of infrastructure and operations contracted to SGS.

[Star 15/10/14]

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EASTERN & SOUTHERN AFRICAROAD

NamibiaRehabilitation Of Northern Road Work to rehabilitate the worn-out Eenhana-Okongo road has started. Phase one of the project involves a stretch of 25km between Elundu and Eenhana and is scheduled for completion in August 2015. The project is a joint venture [JV] between Kata Investment and China State Construction Engineering Corporation. Phase 1 of the project, which started about 2-months ago, is expected to be completed by August 2015 to the tune of N$100 million. Phase two will begin as soon as funds are available.

[New Era 22/09/14]

TransKalahari Highway - N$523 Million Upgrade Of Okamatapati-Grootfontein Road The Roads Authority [RA] has commenced the upgrading to bitumen standard of 100km of road from Okamatapati to Grootfontein at a cost of N$523 million. The project is a continuation of the bitumen road between Gobabis and Otjinene. Section 1 of the road, which runs 127km from Okamatapati to Otjinene, at a cost of N$575 million is expected to be completed in July 2016. Both projects are full funded by the government.

The road, an extension of the TransKalahari Highway, traverses the Omaheke and Otjozondjupa regions along the border with Botswana. The road also forms part of the Southern African Regional Trunk Road linking Mozambique, South Africa and Botswana with Angola via Namibia. Construction of Section 2 will start in November, but the contractor, China Henan International Cooperation Group [Chico] will start mobilising the site in October. The construction period of this phase is 30 months. The consulting engineer for this project is WEB Joint Venture [JV] with the Roads Authority responsible for the overall management of the project.

[New Era 15/10/14]

South SudanKampala-Juba-Addis Ababa- Djibouti Corridor Update

The Inter-Governmental Authority on Development [IGAD] has received a grant from the African Development Bank and the NEPAD Infrastructure Project Preparation Facility to finance the upgrading studies of the Kampala-Juba-Addis–Ababa-Djibouti Corridor.

Part of the grant will cover the cost of the feasibility study, environmental and social impact assessment, engineering design, cost estimate and preparation of bidding documents for upgrading to paved (bitumen) standard of Kapoeta – Boma – Raad Road in South Sudan.

[AfDB 15/10/14]

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UgandaTransporters Propose Dual Transit Highway To KampalaKenya has been urged to partner with Uganda to construct a 1,200km dual carriageway from Mombasa to Kampala to boost trade along the Northern Corridor and reduce the high cost of transport and doing business in the region. According to transporters backed by the Kenya National Chamber of Commerce and Industry [KNCCI], poor road infrastructure has made it difficult to manage traffic jams along the northern corridor where trucks lose up to 6-hours in drive time. Some routes have poor security which has seen trucks only drive during the day. This pushes up the cost of transport.

[Star 01/010/14]

The government should prioritise construction of a super highway owing to the fact that Uganda is the biggest user of the port of Mombasa. It is our biggest market for transit cargo.

Vice Chairman Laban Onditi, Kenya National Chamber of Commerce and Industry [KNCCI]

Eldoret-Uganda Road Almost CompleteThe construction of the Eldoret-Uganda Sh7.4billion road, which links Kenya to Uganda, is almost complete. More than 150km is done with only 80km remaining - the Webuye-Malaba section that will cost about Sh4.2 billion. Maltauro Construction Company from China is building the road. The European Union and the government are funding the project. The road, a key link in the Great Lakes region, is expected to help boost regional trade. Also, the construction of the Timboroa-Eldoret section of the road costing Sh3.2 billion is almost complete with about 30km left.

[The Star 10/10/14]

“”

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EASTERN & SOUTHERN AFRICAROAD

ZambiaLink Zambia 800: Mansa-Luwingu Works Advance The Road Development Agency [RDA] noted more than 50km of the Mansa-Luwingu Road has been tarred and 175km has been upgraded from gravel to bituminous standard. The US$206 million Mansa-Luwingu road is part of the Link Zambia 8000 project. The contractor, Chaina Henan, is ahead of schedule to complete the project which will provide a shorter link from Mansa in Luapula Province to Northern Province. The works started in 2013 and are expected to be completed in January 2017.

[Times 08/10/14]

ZimbabweZinara Eyes US$100 Million From TollgatesZimbabwe National Road Administration [ZINARA] is targeting US$100 million in toll fees by the end of the year boosted by new fees which came into effect in September. Toll fees were hiked by 100% in some instances with haulage trucks now paying US$10 up from US$5. The Government plans to establish 30 tollgates bringing the total to 52 countrywide to raise funds for road infrastructure construction and rehabilitation. Roads such as Chivhu-Nyazura, Rusape-Nyanga, Bindura-Mt Darwin to mention a few. The Government has embarked on a massive road infrastructure development programme and has courted foreign investors to work on the projects under a build operate and transfer basis and its work in progress for the Plumtree - Harare - Mutare Highway. Contracted to Group Five the road is expected to be completed by end of year and is currently at 82% finished. The project is being funded by the Development Bank of Southern Africa and the loan is being paid back by monies from toll fees, fuel levy and road transit fees.

[Herald 18/09/14]

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KenyaRift Valley Railways Commissions GE LocomotivesRift Valley Railways [RVR] held a ceremony on September 18 to mark the commissioning of the first three of 20 second-hand GE B23-7 locomotives which have been acquired from the USA at a cost of US$25million and converted from standard to metre gauge. The remaining 17 are scheduled to arrive over the next 5-months. An US$20m asset financing deal with Standard Bank of South Africa and CFC Stanbic Bank has covered 80% of the cost.

[Railway Gazette 18/09/14]

NLC Issues Notice to Acquire 46 Parcels of Land for RailwayThe National Land Commission has listed 46 parcels of land it intends to acquire for Sh80 billion for construction of the 472-km Nairobi-Mombasa standard gauge railway. The biggest will be obtained from East Africa Portland Cement Company, from which NLC intends to acquire 82.2ha. The Sh327 billion project will be constructed by China Road and Bridge Corporation. Construction is likely to start this month after land issues are sorted. Freight trains with speeds of up to 80km/hr will use the lines.

[The Star 15/10/14]

MalawiCentral East African Railways Receive Locomotives The Central East African Railways [CEAR] received two of the 5-locomotives procured early this year from Transnet Engineering in South Africa. The 2,000 horse power locomotives join 2-units that arrived in May and offer a higher hauling capacity to the existing 1,500 horse power fleet.

[Malawi News Agency 08/10/14]

MozambiqueMaputo Rail Investment Plan On TrackTransnet Freight Rail [TFR] has almost completed an integrated investment plan for the Maputo Development Corridor, which will result in more freight movement by rail. The corridor links the South African and Swaziland railways with the Mozambican network and competes with about 800 cargo trucks crossing the Mozambican border every day. Partners in the investment plan include TFR, the Port of Maputo, Caminhos de Ferros de Mozambique [CFM] and Amatola Terminals. The plan will allow TFR to move a longer train with 75 wagons up from 60 wagons to carry more cargo Maputo port starting in mid-2015. TFR is providing the additional wagons but Mozambican rail utility CFM is also planning to invest. The plan has grown out of a joint operation project between Swaziland Railways, TFR, the Port of Maputo and CFM.

The project also gave birth to a joint operation centre in Maputo, which was officially launched on 23rd September. The centre will focus on the integration of planning and operations as well as to manage all cross-border projects and designed to create a borderless rail network between the 3-countries. The initiative has already helped cut the turnaround time at Komatipoort by 24%. There has also been a 57% reduction in dwell time at Maputo port.

The joint operation centre was instrumental in lifting freight rail volume to Mozambique from 2.6 million tons a year to 4.5 million tons. The centre has also seen magnatite exports through Maputo increase from an average of 10 trains a week to an average of 18 trains per week. It has improved turnaround time by 47% from 118hrs to 62hrs.

[Business Report 25/09/14]

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EASTERN & SOUTHERN AFRICARAIL

NamibiaTransNamib Launches 180 Day Turnaround StrategyTransNamib has launched an ambitious N$400 million turnaround strategy. The programme will be implemented in 3-phases over 3-years. The strategy will be initiated in the next 6-months to achieve profitability, the refurbishment of 12 General Electric locomotives, a planned upgrade of the railway line, and an operational restructure for employees. The refurbishment of the locomotives is expected to cost N$60 million and has been identified as a priority area resulting in some 50 locomotives operational.

Currently TransNamib is hampered by a lack of locomotives, effectively leaving close to 10,000 tons of freight at the Port of Walvis Bay. Currently Walvis Bay has only have 4-locomotives per day available to do the shunting as well as the mainline services. To compound the problem, the locomotives regularly fail, leaving further tonnages behind. The refurbishment of the locomotives is priority with the hope is to have all 12-General Electric locomotives running within the next 4-months, plus all other locomotives that need smaller repairs to bring the operating total to 50 plus locomotives.

Over the next 6-months, TransNamib will spend N$120 million in order to manage an operational shortfall while a further N$70 million will be spent to clear long standing debt. TransNamib will effectively spend more than half the money allocated to implement its turnaround strategy, bringing the total to N$250 million. TransNamib has also established a joint-venture company, Namibia Rail Construction Pty Limited, tasked with the responsibility of improving the railway lines. The board together with management will embark on a 12 month plan to address issues.

[Economist 28/09/14]

Namibia Seeks Investors For DRC/Zambia Rail Namibia is seeking private investors to fund a railway line linking the north of the country with Zambia and the Democratic Republic of Congo [DRC], as mineral shipments from those nations through the deep-water port at Walvis Bay increases. The 800km railway, which will run from the Zambezi region in northeastern Namibia to the town of Grootfontein, is part of efforts to create a logistical hub in Namibia for landlocked Southern African countries. It will contribute to creation of a logistical hub in Namibia and boost trade flows in the Trans-Caprivi corridor. A detailed feasibility study is underway.

The DRC and Zambia are making increasing use of Walvis Bay to ship minerals and import equipment. The growing traffic is spurring the need for Namibia to establish a rail link with Zambia. Copper producers from Lubumbashi in the DRC and Zambian mines are increasingly hauling copper by road to Walvis Bay as a better alternative in terms of service and time. The Walvis Bay Corridor Group [WBCG] wants to increase volumes from the DRC and Zambia moving through the port to more than 1 million metric tons in the next 5-years, from about 750,000 tons now.

[Bloomberg 08/10/14]

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EASTERN & SOUTHERN AFRICARAIL

South AfricaTransnet / BHP Billiton Sign 10-Year Coal US$2.1 Billion Transport DealTransnet and coal mining company BHP Billiton signed a 10-year R24 billion [US$2.1 billion] coal transporting contract, a boost for the parastatal’s capacity expansion programmes on the export coal line. The ‘take-or-pay’ contract entails transporting coal from BHP Billiton’s Mpumalanga operations to the Richards Bay Coal Terminal [RBCT] and from there to international markets. Over the next 7-years Transnet will add close to 8-million tonnes of coal to the line, from the current 73 million to 81 million tonne. Contracts with a further 28 customers should be finalised by the end of November. All exporters through the RBCT will sign individual 10-year contracts.

[www.fin24.com 02/010/14]

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Transnet Agrees Rail Deal With Mozambique, SwazilandTransnet SOC Ltd. agreed to a deal with Mozambique and Swaziland to boost co-operation and ease the delivery of coal exports through harbours to India and Brazil.

Government-owned companies from the 3-countries will manage a joint-operating center from Maputo, Mozambique. The entity will oversee the freight-rail route

from Maputo through Swaziland to Richards Bay Coal Terminal [RBCT]. A double-digit percentage cargo growth is expected at Maputo port over the next 3-years. While South Africa is part-way through a R312 billion [US$28 billion] infrastructure-development program to improve its rail network, Mozambique is struggling with aging equipment.

Mozambique needs to invest about US$3 billion in ports and rail to handle a potential increase in haulage and export capacity to 50 million metric tons by 2020. That compares with 19 million tons forecast for this year. Vale SA of Brazil, the world’s biggest producer of iron-ore, has invested US$4.5 billion in a new 912-km line connecting coal mines to the port in Beira, Mozambique’s second-biggest city. Transnet, Caminhos de Ferro de Mocambique, Swaziland Railway and the Maputo Port Development Co. are the 4-companies included in the rail agreement.

[Bloomberg 22/09/14]

Transnet Purchases Australian LocomotivesTransnet Freight Rail [TFR] has bought 34 former Queensland Rail diesel-electric locomotives as a stopgap measure as it waits for new locomotives, ordered in a massive Rand 50bn [$US4.76bn] deal earlier this year. The locomotives - 20 2250-class GT22CU-3 and 14 GL26C-2 locomotives - were loaded in Brisbane for shipping to Durban. While former-QR locomotives have been sold in earlier deals to private South African rail and locomotive-hire operators, this is the first such deal involving Transnet.

TFR is in the middle of a fleet renewal programme which will see it buy new diesel and electric locomotives as part of its R308bn strategy. In March, Transnet announced that it secured a R3 billon loan for its rail contract to manufacture 1,064 locomotives. The money would be used to finance the recently awarded R50bn contract to build the locomotives. The contract was awarded to 4-manufacturers: CSR Zhuzhou Electric Locomotive and Bombardier Transportation SA would supply 599 electric locomotives, and General Electric SA Technologies and CNR Rolling Stock SA Limited would build and supply 465 diesel locomotives. All the locomotives, except 70, would be built at Transnet Engineering’s plants in Pretoria and Durban.

[IRJ 18/09/14]

Transnet R30 Billion Maintenance BacklogTransnet has an infrastructure maintenance backlog of R30 billion. The parastatal needs to spend R13.9bn on rail tracks and R11.7bn on signaling systems. It also faces outstanding upkeep of R2.4bn on rail yards, R907 million on freight rail rolling stock, R349m on port terminals, R5m on pipelines and R37m on communications systems. Transnet’s plans for the current financial year budget for dealing with R1.1bn of the backlog.

[Sowetan 08/10/14]

TanzaniaSigns MoU To Develop Dar Es Salaam Rail Service The Ministry of Transport and US-based Shumake Railway have signed a Memorandum of Understanding [MoU] to establish a railway service from Dar es Salaam’s central business district to the city’s Julius Nyerere International Airport [JNIA]. When complete, the train service can transport 1,000 passengers daily. Work on the US$35 million project is set to begin early 2015. Tanzania is keen to capitalise on its coastline and upgrade existing railway networks in a bid to increase trade.

[Africa Review 08/10/14]

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EASTERN & SOUTHERN AFRICARAIL

UgandaUganda Seeks US$8 Billion China Loan To Fund Rail ConstructionUganda is hoping to secure a US$8 billion loan from China to build a railway network to revamp it’s transport infrastructure as it prepares to start oil production. China has become a major investor in Uganda. It has mostly channelled funds into roads, dams, fibre optic networks and other infrastructure, usually offering cheap loans. Negotiations will start soon. Uganda signed a Memorandum of Understanding [MoU] with China Harbour Engineering Corporation [CHEC] in late August to start a feasibility study on the project.

East African leaders and China formally signed agreements in May related to the construction of a new multi-billion dollar, standard gauge railway to run from the Kenyan port of Mombasa to Nairobi and on to neighbouring states, including Uganda. Uganda hopes China can fund the portion of the railway line from its border with Kenya to its capital Kampala, and north to the border with South Sudan as well as the oil-rich West Nile region that borders Democratic Republic of Congo [DRC].

Uganda plans to start pumping its crude, estimated at 6.5 billion barrels in reserves in 2017, and requires railways to transport heavy drilling equipment. Lack of maintenance of tracks and trains on the existing line in Uganda has left a dilapidated railway network, and much of the freight from Mombasa is moved around by road.

[Reuters 18/09/14]

Regional Standard Gauge Rail LaunchedUgandan President Paul Kagame attended the launch of the Uganda section of the standard gauge railway that will connect Malaba to Kampala. The railway will join South Sudan, Kenya, Uganda, Rwanda and DR Congo and will enable trains travel at a speed of 120km/hr. It is estimated that the railway will reduce the number of days it takes to transport goods from Mombasa to Kampala to only 2-days.

The launch marked the beginning of the 7th Summit of the Heads of State of the Northern Corridor Integration Projects. The Summit, hosted by President Museveni, was also attended by President Salva Kiir of Sudan, Eng. Michael Kamau, Kenya’s Cabinet Secretary for transport and infrastructure, and Dr Fassil Hahom, minister and legal advisor of Ethiopia. The Summit was attended by representatives of Burundi and Tanzania, as well as the East African Community. During the meeting ministers presented progress made on key sectors including transport, ICT, commodities exchange, energy and trade.

[New Times 09/10/14]

ZambiaScouts For Chingola-Jimbe Rail FundingThe Zambia Government is still scouting for funds to to conduct a feasibility study and start construction of the Chingola-Jimbe railway line through Solwezi, which would link North-Western Province to Angola. and subsequent construction of the facility. The Chingola-Jimbe railway line involves linking the existing line in Chingola through Solwezi to the border town of Jimbe to enhance the transportation of freight and passenger traffic and other products using Lobito Bay port in Angola. Angola had already concluded construction of the railway stretch from Jimbe up to the border point from where Zambia was also expected to construct a stretch through Solwezi up to Chingola. Zambia should commence construction by 2015.

[Times 23/09/14]

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Cote d’IvoireCode d’Ivoire Adopts Measures To Facilitate TradeBy circular #1682/MPMB/DGD of August 29th, the Customs Directorate of Ivory Coast authorizes, henceforth, the importation and clearance of goods of all origins at the frontier borders of Noe-Niable-Takikro- Pogo and Ouangolodougou. This replaces circular # 1617 of June 21, 2013 which prohibited the importation of goods not of West African origin by road.

Furthermore, the Customs Directorate has, since August 25th, equipped itself with the GEFEG.FX software under the framework of the Trade and Transport Facilitation Project on the Abidjan-Lagos Corridor funded by the World Bank and direct beneficiary States. The software will permit, among others, the interconnection between customs officials of Ghana and Ivory Coast in facilitating the exchange of data and in inspecting goods coming from the 2-countries and those produced outside ECOWAS and the bringing down of barriers to trade and transport in the ports and on the roads along the Abidjan-Lagos corridor.

[Borderless 14/09/14]

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WESTERN AFRICACORRIDOR NEWS

AngolaLunda Norte Road Rehabilitation WorksThe Roads Institute of Angola [INEA] is rehabilitating 730km of roads in the eastern provinces of Lunda Norte. The work is part of a programme on roads #180 and #225 up to the first half of 2015. About 600kms have been asphalted so far along with the completion of some bridges. Five building companies are involved in project - Mota Engil, Griner, AFA Vias, Odebrecht and MCA.

[Angola Press 29/09/14]

Saurimo/Dala RoadAbout 110km of the 165km Saurimo/Dala road linking the eastern provinces of Lunda Sul and Moxico have been completed. The remaining 55km is expected to be completed in mid 2015.

[Angola Press 26/09/14]

Government Awards National Road Construction Angolan companies Omatapalo – Engenharia e Construção and Marsanto have been selected to build 2-national roads in the province of Lunda Norte under contracts worth US$135 million. Omatapalo will build 90km of the EN-190 road, which connects the city of Dundo [capital of Lunda Norte] to the town of Nzagi, at a cost of US$68.6 million. Marsanto will build 87km of the EN-170, which connects Lubalo Camaxilo to the municipality of Caungula and that intersects with EN-225, which gives access to the coast of the country. This contract is worth US$66.3 million. The execution time for both projects is 24 months.

[Macauhub 06/10/14]

NigerRoute Transsaharienne [RTS]The Government of the Republic of Niger has obtained funding from the African Development Bank [AfDB] for the cost of the Route Transsaharienne [RTS], including the tarring of the road running from Arlit-Assamaka-border of Algeria and construction of the bridge on the River Niger. A tender has been issued for comsultancy services.

[AfDB 01/10/14]

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WESTERN AFRICAROAD

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WESTERN AFRICAROAD

NigeriaLagos-Badagry ExpresswayThe Federal Government is to take over the reconstruction of the Lagos-Badagry Expressway from the Lagos State. The move highlights a new commitment to both the funding and engineering of the 10-lane project.

[NAN 26/09/14]

Early Completion Of Second Niger BridgeThe early completion of the Second Niger Bridge linking Asaba, Delta State with Onitsha, Anambra State is to become reality. The groundbreaking of the N117 billion project was done by President Goodluck Jonathan recently. The project is being undertaken through a Private-Public-Partnership [PPP] with Julius Berger Construction Company Plc. The existing bridge is over-used and over-burdened.

[Guardian 26/09/14]

US$1 Billion Expansion Of East-West Road The ongoing expansion of the East-West road is to cost US1-billion [N165 trillion] and is to be financed by the China-Exim Bank. The contractor, SETRACO, hopes to complete the project by the end of December following prior delays due to excessive rainfall. The road will be extended to Cross River State and will connect Calabar.

[Vanguard 09/10/14]

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AngolaMoçâmedes Railroad Receives LocomotivesThe locomotive fleet of the Moçâmedes Railroad will be increased with the arrival of 3-new units acquired in the United States. Six locomotives are currently in service, which were recently acquired in China and India. A further 3-units would prmote the movement of goods between Namibe, Huila and Kwando Kubango. In future a branch line over 300km long will be built between Tchamutete, Jamba, to the border with Namibia. Studies are currently being conducted for its construction. The work to rebuild and modernise the railway line is almost at the final stage and by the end of October the contractor, China Hyway, is due to deliver most of the infrastructure.

The Moçâmedes Railroad links the coastal town of Namibe to Menongue, the provincial capital of Kwando Kubango provincial capital in eastern Angola. It is 860km long, including branch lines to the old mining areas of Jamba and Cassinga.

[Macauhub/AO 29/09/14]

MoroccoNew Casa-Port Railway StationOn 25th September HM King Mohammed VI dedicated the new 400 million dirhams Casa-Port railway station. The new railway station, the first of the kind nationwide in terms of design and equipment, is part of large-scale development projects across the country. The new facility, carried out by the Moroccan national railway office [ONCF] after the Sovereign launched construction in May 2008, extends over 33,500m2. As part of the same project, the existing railway installations were renovated at a value of 100 million dirhams.

[Maghreb Arabe Presse 25/09/14]

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WESTERN AFRICARAIL

NigeriaFCTA, China Sign US$792 Million Deal For Abuja Rail ProjectFollowing 60% completion of Stage 1 of the Abuja Light Rail Project, the Federal Capital Territory Administration of Nigeria has signed a Memorandum of Understanding [MoU] with the China Civil Engineering Construction Company [CCECC] to kick start the second stage of the project whose value is estimated at US$792 million. The ongoing Lots 1A and 3 of the Abuja Light Rail project traversing the Central Business District - Idu Industrial Zone - Nnamdi Azikiwe International Airport and Kubwa will be completed and handed over by October 2015. The rail length is expected to span across Garki Area 3, Wuse, Berger, Utako and Kubwa thus linking up major sections of the FCT and transporting up to half a million people daily. The first phase should be ready for launch before the end of 2015.

[Ventures 26/09/14]

FEC Approves N1.1 Billion For LocomotivesThe Federal Executive Council [FEC] approved N1.1 billion for 2-standard gauge locomotives to be used on the new standard gauge rail lines under construction for passengers and freight from Abuja to Kaduna. The contract was awarded to CNR Darling Locomotives And Rolling Stock Limited and CCECC for the sum of N1.1 billion, with a delivery period of 10 months.

[This Day 09/10/14]

Insecurity Delaying Gombe Railway ProjectThe Minister of Transport, Abdullahi Idris Umar, attributed the slow pace of work on railway lines in the North-east region to the insecurity situation. The contractor handling the Kuru-Bauchi-Gombe- Bajoga line has assured that by the end of December, the work will be completed.

[Daily Trust 29/09/14]

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