BusinessFeaturedNewsRailway

Mozambique and Zimbabwe Strengthen Rail Ties with Landmark Freight Agreement

Mozambique Railways (CFM) and the National Railways of Zimbabwe (NRZ) signed a historic deal that will permit CFM to run its locomotives in Zimbabwe. The strategic alliance will increase the efficiency of freight transportation between the two nations, making rail services more reliable and cheaper for businesses. The deal is a major move towards consolidating regional trade and logistics, ensuring smoother operations on major rail corridors.

The signing ceremony took place in Maputo last week and was attended by top officials from both sides. CFM was represented by Chairman Agostinho Langa Júnior and Executive Director Cândido Jone, while NRZ was represented by Chairman Michael Madiro and General Manager Ainah Dube-Kaguru. The presence of the officials marked the importance of the agreement in forging stronger economic ties between Mozambique and Zimbabwe.

The pacts deal with two strategic rail corridors between the two nations. The Southern Corridor, which is 148 kilometers long, runs between Chicualacuala in Mozambique and Rutenga in Zimbabwe. The Central Corridor, a key route for trade flows, is an 84-kilometer stretch between Machipanda and Nyazura. The corridors are strategic for freight movement, and the new pacts should make freight services on the corridors more efficient and reliable.

Under the terms, CFM will provide operational locomotives in good condition, alongside trained staff to operate the trains. CFM will also provide the fuel and other consumables needed to sustain a minimum of two round-trips on a daily basis from Mozambique to Zimbabwe. Such assurance guarantees smooth and efficient train operations, reducing delays and promoting trading activities.

As a mutual undertaking, NRZ has pledged to provide adequate volumes of cargo for transport along these corridors. For smooth and safe transportation by rail, NRZ will also maintain the railway network in proper shape so that CFM locomotives’ tracks remain good. This agreement will significantly boost the movement of freight to help boost railway transport as an even more viable and viable alternative for businesses in the two countries.

The new CFM-NRZ agreements are the latest in a series of such agreements between CFM and South Africa’s Transnet Freight Rail, signed in April 2023. The agreement permitted cross-border train operations between South Africa’s Mpumalanga province and the Port of Maputo. One of its most significant benefits was allowing trains to travel without needing to change locomotives at the border, which significantly reduced transit times and improved overall efficiency.

The first CFM-Transnet venture resulted in a remarkable 23% increase in volumes of magnetite exports. Encouraged by the success, the two parties finally launched wider cooperation in terms of chrome and ferrochrome transportation and running three trains a day. Such successes prove the merits of collaboration among cross-border railways and augur well for the new agreements between CFM and NRZ.

With this new partnership, Mozambique and Zimbabwe will enhance regional connectivity, with better freight logistics and economic growth. By enhancing rail operations and doing away with logistical bottlenecks, the partnership is likely to offer companies a more reliable transport option. The agreements form part of a wider regional program aimed at upgrading railway infrastructure and facilitating free trade between Southern African nations.

With the CFM-NRZ partnership taking effect, the two companies anticipate increased volumes of trade, reduced operating costs, and greater efficiency in freight transportation. The agreement is a giant step towards the consolidation of regional railway networks, positioning Mozambique and Zimbabwe at the heart of Southern Africa’s transport and logistics sector.

Related posts

Emirates supports early education with a donation of 464 ‘Aircrafted KIDS by Emirates’ special edition bags in Zambia

Staff Reporter

Unitrans leading innovation in logistics

Staff Reporter

Proflight Zambia Expands Flights to Boost Safari Tourism

Staff Reporter

Leave a Comment