50 years, a celebration of trucking, and so much more
50 years, a celebration of trucking, and so much more
In a landmark year for the Road Freight Association (RFA), its 50th convention explored the tough realities, urgent challenges, and shifting priorities facing South Africa’s transport sector. JIM WARD joined the who’s who of the truck industry in the Drakensberg…
“It’s complicated.” These words, from the concise opening address of Philip Kalil-Zackey, VP truck sales and product at MAN Automotive, perfectly describe these complex times. We live in a post-Covid era of rapid, disruptive change that demands innovative solutions, and as we face the future’s many unknowns, the road freight industry is, indeed, increasingly complicated.
With almost 300 delegates, eight speakers, celebrity MCs, and entertainers headlined by the inimitable Barry Hilton and Dr Victor, attendees were treated to an intense, immersive experience. The combined expertise and broad knowledge of the 20 RFA board members, led so capably and dynamically by CEO Gavin Kelly, is serving as a guiding light in this challenging industry, at a time when guidance is sorely needed. Kelly expressed heartfelt thanks to the RFA staff, all of whom contributed to the success of the weekend. Planning an event of this scale begins the moment the previous event concludes.
The convention and its various events were effortlessly handled by the “grand dame” of Drakensberg hotels, Champagne Sports Resort, and the Drakensberg region blessed this 50th anniversary with clear skies and fine weather.
On the first evening, celebrations were a little subdued as we remembered the fathers of the industry, many of whom have now gone on to that great depot in the sky. The unique nature of the RFA convention was highlighted: a rare opportunity for industry leaders to openly discuss respective challenges with their opposition without rancour, under the informality and guidelines of the association. The reality of so many problems cannot remain at the back of our minds. Transport is here for the long haul, and only the strongest will survive.
Members and all sponsors were thanked for their unwavering support to the RFA, particularly Engen, Daimler Truck Southern Africa, MAN, and Absa. These valuable relationships, cultivated over many years, have funded much of the Association’s work. The RFA stands for unity, progress, and innovation, contributing significantly to the shaping of this dynamic industry. Members do far more than just make up the numbers; sometimes, they are lifelines.
The weight of a legacy
The RFA has been visible during floods, drought, Covid, and unrest, keeping South Africa moving. It has been instrumental in shaping policy, improving industry standards, and providing advice, training, and operational support. Wellness initiatives, starting with Trucking against AIDS, as well as other developments like the creation of the Diploma in Road Transport at the University of Johannesburg (UJ), have accomplished a great deal.
As the RFA transitions into an advocacy role, it sets the standard and must address future challenges such as e-commerce, increased use of artificial intelligence (AI), and climate change. Fresh concepts like a rail renaissance and freight cities are expected to gain prominence in the coming years. Moreover, previously unexpected situations like South African ports being outperformed by neighbouring African ports such as Maputo and Dar es Salaam – which offer faster offloading times and greater efficiencies – pose new challenges. These factors could cement these neighbours as preferred freight channels unless improvements are made at our ports.
Demand guides crime; as transporters convey the goods that feed demand, they have become prime targets. With 88% of goods now being moved by road, new frailties have emerged. When a vehicle breaks down under load, the “golden window” period before it becomes vulnerable to looting is now around 30 minutes – down from several hours a few years ago. This has necessitated greater use of AI in guiding responders, both for technical assistance and security.
Driver fatigue in the spotlight
Steven Sutherland, GM of the Enterprise Division at Powerfleet Africa, outlined five levels of driver fatigue and highlighted significant innovations in using AI to assess driver behaviour. Continuous monitoring of driver fatigue levels to reduce risk profiles can markedly reduce fatigue-related accidents. Early indications from users of this technology show a 60% reduction in collisions, 84% improvements in driver safety ratings, and 25% reduced insurance costs.
Ricardo Smith, chief investment officer at Absa, unpacked the nation’s evolving economic priorities. In recent years, the biggest challenge was power, then water supply became a priority issue, but currently transport and logistics infrastructure is under the spotlight as ports and railways crumble. The primary concern now lies in the implementation of solutions; the government must follow through on its commitments. Global trade has been hugely affected by Trump’s tariff-based policies and, on balance, things are deteriorating. As funding priorities shift, analysts are revising growth predictions downwards. It’s getting tougher out there is a sentiment echoed by many within the road freight industry.
Port pressure and a failing rail system
No discussion about road to rail initiatives can be complete without a good sprinkling of acronyms, and it soon becomes necessary to employ a guide. The National Logistics Crisis Committee (NLCC) aims to improve industry supply chain operational performance, modernise systems, and create efficient operating conditions, through legislative changes and exemptions. The Department of Transport (DoT) identified the need for the creation of the interim Transnet Rail Infrastructure Manager (TRIM). The Council for Transport and Logistics (CTL) is assisted by a National Rail Master Plan (NRMP) and a Freight and Logistics Road Map (FLRM) that charts the future as market needs evolve.
Performance numbers are dire. In 2017, Transnet moved 226 million tonnes and was perceived as a trusted, capable partner, offering reliable delivery. By 2019, “performance challenges” meant road freight had to step in and shoulder the load. Theft and vandalism worsened and, by 2023/4, Transnet was moving just 152 million tonnes, with 161 million anticipated this year.
By 2030, it hopes to bring 250 million tonnes back to rail, taking 90 million tonnes off road freight by using freight villages and intermodal freight systems. The NRMP aims to prevent more goods being diverted to Maputo because of Richards Bay delays and choke points, which are both
proving far more serious than the government expected. Taking thinking further, the Multimodal Port Association
(MIPA) seeks to integrate road freight with rail, using load densification at multimodal facilities like inland ports. The NLCC works alongside MIPA, aiming at a road-to-rail migration for rail-friendly goods. The hope is that using cargo owners to operate private trains on Transnet infrastructure will augment parts of the supply journey, as while roads can’t handle more trucks, rail can’t handle first mile/last mile deliveries.
Green transport and the path to cleaner freight
Emissions were also on the agenda, with the future of clean freight energy being capably explained by Liesl De Wet, chairperson of RFA Green Transport. De Wet spoke of advances in charging technology, how to fund the costly transition to green economics, and the reality of climate change. Namibia is forging ahead, already offering both charging for short-haul and hydrogen refill facilities for line-haul operations.
Graeme Barnard, in his RFA HR advisor role, expertly placed certain serious challenges created by recent and problematic amendments to B-BBEE and equity targets into sharp focus. The complex and delicate situation was exceptionally well explained; when such extensive revisions go hand in hand with cancelling transition periods, they place unfair demands on members.
The road freight industry is seen as an easy target, not really being listened to by the DoT, which appears at times intent on steamrolling any concerns raised. It is of grave concern when reference is made to “resolutions,” even though no overriding agreement has been reached on those specific topics. Adopting a punitive approach rather than incentivising the Integrated Transport Sub Sector Codes (ITSCC) to meet targets, meanwhile, could be perceived as something of an overreach. RFA Members were urged to vigorously participate by raising their concerns over the more onerous target escalations, using the 60-day comment period in place.
- Jim Ward’s exceptionally popular column, NO SPORT LIKE TRANSPORT, will be back next month.
Quotable quotes
“Rail must carry its fair share… we are already carrying 88%.” – RFA CEO Gavin Kelly
“Around 11% of the vehicles we export go to the US.” – Ricardo Smith, chief investment officer at Absa
“Moody’s Ratings placed Transnet under review on 19 May.” – Ricardo Smith
“Every aspect of a train journey requires a truck at the beginning and end.” – Warwick Lord, MIPA Chairperson
“It’s multiple solutions. Hydrogen will potentially suit long distance heavy haulage; EVs will better suit medium- to short-haul.” – Liesl de Wet, chairperson of RFA Green Transport
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