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The Growth of Cold Chain Logistics in Southern Africa’s Beira Corridor

In recent years, the cold chain logistics business in Southern Africa has grown significantly, owing to increasing capacity and investment. Marco Grobbelaar, general manager of Independent Beira Logistics Terminals and Services (IBLT&S), notes that the Beira corridor, in particular, has witnessed a major increase in traffic. This expansion can be ascribed to a number of major factors, including competitive landside operations and lower ocean freight rates than surrounding ports.

One of the pivotal contributors to this surge is the rise in import volumes of fertilizers, which plays a crucial role in bolstering logistical activities in the region. Grobbelaar notes that IBLT&S has responded to this demand by enhancing its infrastructure, now offering 30 reefer connection points and dedicating substantial yard space to frozen imports destined for Zambia and the Democratic Republic of the Congo.

Regarding exports, the focus extends to providing seasonal supply chain solutions for perishable products such as citrus and avocado. This involves comprehensive logistics, where products are transported in ambient conditions to Beira for processing and export or directly packed in reefers at farms, transported to Beira, and prepared for export after storage and cross-packing at IBLT&S facilities.

Despite these advancements, challenges remain, primarily centered on equipment availability. Grobbelaar points out a persistent shortage of controlled atmosphere (CA) containers, which is crucial for maintaining product quality during transport. This shortage underscores the need for continued investment and infrastructure development in the cold chain sector across Southern Africa.

The United States International Trade Administration echoes these sentiments, emphasizing Mozambique’s underdeveloped cold chain infrastructure as a barrier to reducing food waste and improving food security. The report underscores the necessity for enhanced logistics capabilities encompassing maintenance, transportation, storage, and handling alongside standardized training and management practices.

Grobbelaar remains optimistic about the future prospects of cold chain logistics in Mozambique, citing the country’s advantageous geographical positioning. Beira, located close to major agricultural regions, offers shorter inland transit times from farms to the port, thereby positioning itself as a potential hub for cold chain movements in the region. Moreover, new shipping line services, such as Unifeeder, now calling at Beira port, contribute to competitive ocean freight rates, further bolstering its appeal as a logistical gateway.

Mozambique’s accommodating regulatory environment also plays a pivotal role. Unlike some neighboring ports facing restrictions on certain cold chain products, Mozambique facilitates these movements provided necessary inspections and permits are in place, thus attracting more businesses to its ports.

While challenges persist, the trajectory of cold chain logistics in Southern Africa, particularly through the Beira corridor, is undeniably upward. With ongoing investments in infrastructure and the proactive stance of stakeholders like IBLT&S, the region is poised to capitalize on its potential as a vital link in the global cold chain supply network. As Grobbelaar asserts, the optimism for growth is high, indicating a promising outlook for the sector in the coming years.

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