WALVIS BAY TO START ON NORTH PORT TERMINAL CONSTRUCTIONFull Story On Page 29

AFRICATRADE-WATCH

Summit Concludes with Cooperation Roadmap

ISSUE 35 | APRIL 2014

Lekki to Handle Bigger Ships, Ease Congestion

Nacala Port / Railway Concluded By December

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AFRICATRADE-WATCH

ISSUE 35 | APRIL 2014

Contents03 /African Group News

11 /Pan Africa

13 /Western Africa

21 /Eastern Africa

27 /Southern Africa

EU-Africa Summit Concludes with Cooperation Roadmap

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Lekki Deep Seaport to Handle Bigger Ships, Ease Congestion

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New Nacala Port / Railway Concluded By December 2014

Walvis Bay: Construction To Start On North Port Terminal

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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 TRADE & TRANSPORT REPORTBrought to you by CMA CGM / DELMAS Marketing

Rachel Bennett Dominic Rawle

CMA CGM / DELMAS is extending its Middle East-Somalia ‘Noura Express’ service [launched in January] to Kenya, with the addition of Mombasa.

The revised port rotation covers Jebel Ali, Khor Fakkan, Salalah, Mombasa, Mogadishu and Jebel Ali, with sailings every 24 days. The service is operated with a single owned vessel, the 1,854 teu CMA CGM KAILAS. The inaugural call was made in Mombasa on 4th April. The ‘Noura Express’ connects at Jebel Ali and Khor Fakkan with the CMA CGM-DELMAS intercontinental services.

Noura Express ExtendedNow Calls Mombasa, Kenya

Mombasa Inland Service Via Mombasa CMA CGM / DELMAS offers a comprehensive CTBL service on door delivery basis. For full details please contact your usual local CMA CGM /DELMAS agent.

Final Destination Transport Kms Port Days Way Total TT Terms

Mombasa Door Road 0 2 0 2 Free on truck - door

Embakasi (Nairobi) Rail 500 2 3 5 Free on rail - rail terminal ICD

Nairobi Road 500 2 2 4 Free on truck - door NEW

Kisumu Road 860 2 3 5 Free on truck - door NEW

Eldoret Road 830 2 3 5 Free on truck - door NEW

Malindi Road 120 2 3 5 Free on truck - door NEW

Nakuru Road 660 2 3 5 Free on truck - door NEW

Thika Road 540 2 3 5 Free on truck - door NEW

Diani Road 38 2 3 5 Free on truck - door NEW

Meru Road 700 2 3 5 Free on truck - door NEW

Naivasha Road 590 2 3 5 Free on truck - door NEW

Nanyuki Road 700 2 3 5 Free on truck - door NEW

Nyeri Road 660 2 3 5 Free on truck - door NEW

Ruiru Road 520 2 3 5 Free on truck - door NEW

Transit TimesFrom/To Mombasa,

KenyaMogadishu, Somalia

Jebel Ali, UAE 7 10

Khor Fakkan, UAE 6 9

Salah, Oman 4 7

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AFRICAN GROUP NEWSCMA CGM / DELMAS

CMA CGM / DELMAS is pleased to announce improvements to its SAMWAF service from East Coast of South America to West Africa with the introduction of direct call in Tema, Ghana.

This move is part of our policy to continuously strive to improve services and provide customers with a broad range of ports. Furthermore through our seamless and efficient transhipment management in Pointe Noire, we offer a fortnightly service to the secondary port of Takoradi, Ghana.

Service Details - Rotation: Buenos Aires, Rio Grande, Itajai, Santos, Abidjan, Tema, Pointe Noire, Luanda, Buenos Aires - Vessels: 3 x 1700 TEU - Direct line between South America East Coast and West Africa - Shipping line connecting the main commercial African partners with Brazil and Argentina - Coverage of all the ports of Central and Southern range of West Africa via Abidjan or Pointe Noire

SAMWAF Enlarges Its Coverage In GhanaAdditional Direct Call To Tema

From/To Tema Takoradi

Buenos Aires, Argentina 18 36

Rio Grande, Brazil 17 34

Itajai, Brazil 15 30

Santos, Brazil 13 26

Transit Times

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CMA CGM / DELMAS is pleased to announce the improvement of its MIDAS service from India Middle East Gulf to Africa with the addition of two new direct calls in Longoni, Mayotte and Lome, Togo. This move significantly improves the transit time by 7 days.

This move opens an opportunity to tap into the Togo market for both import and export cargo as well as offering inland links via Lomé. In addition, Madagascar and Comoros out ports will be relayed through the hub of Longoni on a CMA CGM Group dedicated Indian Ocean feeder.

The Mayotte archipelago’s economic activity is based primarily on the agricultural sector, including fishing and livestock. Exports include ylang-ylang (perfume essence), vanilla, copra, coconuts, coffee, cinnamon. The island is not self-sufficient and must import a large portion of its food requirements, mainly from France. Other imports include machinery and equipment, transportation equipment, metals, chemicals.

Togo exports cotton, phosphates, coffee, cocoa mainly to India, Lebanon and China whilst imports include machinery and equipment, foodstuffs, petroleum products from China, Netherlands, France and UK. In 2013 exports stood at US$982.2 million whilst imports amounted to $1.677 billion.

Service Details - Frequency: Direct weekly - Rotation: Mundra, Khorfakkan, Jebel Ali, Longoni, Durban, Walvis Bay, Luanda, Pointe Noire, Tin Can Lagos, Lome,

Cotonou, Cape Town, Port Elisabeth, Durban, Mundra - Longoni call effective: Mid April 2014: MV Letavia voyage MU739W - Lome call effective: Mid May 2014: MV Bosun vge MU737W - CTBL service available to inland destinations throughout West and South Africa.

MIDAS Service Improved: Serving India-Middle East Gulf To Africa

New Calls Added At Lome, Togo / Longoni, Mayotte

Transit TimesFrom/To India Middle East Gulf

Longoni, Mayotte

Mundra, India 15

Nhava Sheva, India 16

Khor Al Fakkan, UAE 12

Jebel Ali, UAE 11

From/To Europe MediterraneanLongoni, Mayotte

Southampton, UK 34

Hamburg, Germany 33

Rotterdam, Holland 29

Zeebrugge, Belgium 28

Le Havre, France 26

Fos, France 30

Barcelona, Spain 32

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AFRICAN GROUP NEWSCMA CGM / DELMAS

As part of its development strategy in Africa and in the Indian Ocean, the Group opened 2-new offices in Madagascar, Toliara and Antsiranana [Diego].

Toliara is the capital of the Atsimo-Andrefana region, located 936 km south-west ‘of the capital Antananarivo. As a port town it acts as a major import/export hub for commodities such as sisal, soap, hemp, cotton, rice, and peanuts. Antsiranana, the capital of Diana Region, is located at the northern tip of Madagascar. Its large natural bay is considered one of the finest natural harbors in the world. As such the facility is the second commercial port of the island.

Present in Madagascar since 2003, CMA CGM has 8 offices including 5 owned and a head office in Antananarivo. The opening of these new offices demonstrate our will to meet the economic growth of the Malagasy industrial sector.

Agency Network Expands: New Offices In Madagascar

The Group Deploys 3-Services In MadagascarIndian Ocean Feeder

Mascareignes Express

Mozex

- Biweekly - 13 ports covering

the entire island

- Weekly - 9 ports - Connects Madagascar

with India, the United Arab Emirates, Oman, La Réunion, Mauritius, Mayotte, Mozambique and the Seychelles.

- Weekly - 8 ports - Connects Madagascar with

Mozambique, Malaysia, La Réunion, Mayotte and Mauritius

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CMA CGM is pleased to have won the Gold trophy for best ship owner of 2013 awarded by the General Management of the Port of Abidjan, Cote d’Ivoire. The award was received at the “Ports Forum” on 21 March. The ceremony was chaired by the Minister for Transport, Gaoussou Toure.

Abidjan Awards CMA CGM Group Best Carrier Of 2013

From left to right: Mamadou Dosso, Ivory Coast Maritime Association Chairman; Pierre Hery, General Manager DELMAS Ivory Coast; Adama

Coulibaly, Deputy General Manager DELMAS Ivory Coast

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AFRICAN GROUP NEWSCMA CGM / DELMAS

Peter Bleasdale, Managing Director of CMA CGM / DELMAS Nigeria Limited, participated in the 12th edition of the Intermodal Africa North held in Lagos 27-28th March to speak on the theme of “How do shipping lines prepare for the new port infrastructure in Africa?”.

Mr Bleasdale discussed both maritime and landside services of the Group in West Africa with an emphasis on large vessel investments and the need for port operators to address improvements in infrastructural issues such as drafts and equipment. He also focused on the Group’s investment in Lekki as an alternative to the congested port of Lagos.

CMA CGM Intervenes On Port Infrastructure In Africa

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Arnaud Thibault: New Deputy VP Africa Lines

What are CMA CGM / Delmas’s current commitments in Africa? We are the leader in Africa for transport and logistics and are the only ones to offer 18 direct lines into West, East and South Africa from all over the world plus the necessary feeder network to serve all markets. We have our own agencies in all major markets including hinterland countries like Malawi, Zambia and Zimbabwe. We continue to improve our intermodal offer to bring the volumes to the most remote places.

Any port developments of interest? Port infrastructure investments have been increasing constantly over the last years. All major ports have signed concession agreements and improvements are continuous. The Group recently acquired a 25% stake in Nigeria’s Lekki container terminal. Efficiency will improve and economies will benefit. We are looking forward to the emergence of true hub opportunities in West Africa over the next decade.

What are the main trends in the market over the past 2-3 years? The African container market has shown a growth over the last few years, thanks to economic growth of the continent overall. Africa trades have aligned with emerging economies such as Asia, Middle East, India, South Africa and Brazil.

How has CMA CGM / Delmas responded to these trends? CMA CGM GROUP / DELMAS follows the clients’ demands in term of shipping solutions by improving the Line’s port coverage and transit times. Direct services, best transit times, weekly frequencies,, efficient transhipments for secondary ports are our “way of shipping”. We also invest in our local customer service and land solutions. Intermodal service for door to door solution [train or truck] and depot facilities are also our priorities. Our new Dakar inland container depot [ICD] is a good example as is our new port call to Buchanan, Liberia.

Have you introduced any new, or improved services recently, or have any plans to do so? We have recently upgraded our Europe – West Africa lines offering more efficient services. We have also opened a new feeder in Mozambique covering all main ports including the niche market ports of Pemba and Quelimane. Our latest development is the introduction of our Noura feeder covering Somalia. Our footprint is clearly to answer at best our client’s demand even in difficult operational places.

What does the future hold / prospects for 2014? Future strategy? Our road map for 2014 is promising with on-going port infrastructure investments made. Our strategy; stay focused, listen to our customers, and adapt quickly. CMA CGM Group / DELMAS is dedicated to Africa.

Arnaud Thibault was appointed to the position of Deputy Vice President Africa Lines, effective 01/02/14. Arnaud has worked within the Group since 2003 and was previously head of CMA CGM South Africa for 5 years. We interview Arnaud about the Group’s position as a leader on the African container trades and the future of the company.

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INTERVIEWSCMA CGM / DELMAS

Peter Bleasdale: Group Stake In Nigeria’s Lekki International Container Terminal

For how long has CMA CGM / DELMAS operated in Nigeria?CMA CGM GROUP / DELMAS commenced services to Nigeria in 2002 and since then there has been regular growth in our market share. Thanks to our consistently reliable services and customer-friendly approach.

What informed the decision to acquire stake in Lekki port?It has been clear for some time to all stakeholders that despite improvements in service levels at Apapa and Tin Can Island ports, additional capacity is essential in order to meet the challenges set by the consistent growth in container volumes into Nigeria. We believe that the Lekki project offers a positive and sustainable solution to these challenges.

What value do you bringing in to port operation in Nigeria?CMA CGM GROUP / DELMAS in addition to being the third-largest global container operator , has significant experience in port operations at various major terminals worldwide, and it can certainly help to ensure the success of this exciting major new facility for the Nigerian market.

How soon can the Lekki port become operational?First phase of the container terminal is expected to start operations in first quarter of 2017. It will offer 2.5m teu of annual capacity initially. The terminal, which is designed to enable an increase in capacity, will provide a solution to the current congestion in the local Nigerian market and serve as a regional hub for West Africa.

Is CMA CGM /DELMAS looking at other possible areas of investment in the maritime sector in Nigeria?CMA CGM GROUP / DELMAS has invested already in new larger vessels in order to meet the demands of this dynamic growing market, and will continue to monitor possible investment opportunities.

How will you describe the present state of things in port operation in Nigeria?In a word, challenging! Ship productivity has of course improved since the Federal Government liberalized port operations in 2006. Nevertheless, container dwell time remains the highest in the region, and infrastructural problems at the existing port facilities, such as access roads are still to be fully addressed. This in part is why CMA CGM GROUP / DELMAS believes that new Lekki facility is a wonderful opportunity for Nigerian customers to improve supply chain times by getting the cargoes to their final destination far quicker than it is presently.

CMA CGM Terminals has acquired a 25% stake in Nigeria’s Lekki container terminal from Philippines-based International Container Terminal Services Inc. We interview Peter Bleasdale, Managing Director of CMA CGM / DELMAS Nigeria Limited, on the Groups recent acquisition.

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EU-Africa Summit Concludes with Cooperation RoadmapInfrastructure Focus Shifts From Aid To Public-Private PartnershipsThe 4th EU-Africa Summit, which took place in Brussels, Belgium, in early April, reinforced the ongoing shift in development assistance away from traditional aid packages in areas such as infrastructure, health and agricultural development. Instead, the bulk of the €28-billion that will be provided by the EU to Africa between 2014-20 will be directed towards initiatives aimed at building peace and security, promoting good governance and democracy, as well as continental integration and investment promotion. The summit concluded with a 2014-2017 roadmap endorsed by the continents’ leaders to deepen cooperation. Over 80 delegations, including 61 heads of state or high officials attended the summit, reflecting the high level commitment to the partnership.

A fundamental shift from aid to trade and investment is taking place under Economic Partnership Agreements [EPA] with the aim to foster intra-African trade, Africa’s regional integration efforts and the planned Continental Free Trade Area [CFTA]. The EU pledged its support to the African Union decision to fast track the establishment of a CFTA in Africa and offered to draw on its experience of building the single market to provide capacity support to this initiative. Africa and Europe need to develop competitive industries that can succeed in today’s global markets and contribute to sustainable development. EPA’s should be structured to ensure that trade expands and that it supports growth of intra-regional trade in Africa. The new EU Pan-African Program of US$1.15 billion for the next 7-years will contribute to support this process. The EU also hopes to mobilize up to €30 billion in investment including for infrastructure through blending with private sector funds. In a joint declaration made by the two continents’ leaders, they will help each other to bolster further economic growth.

[Xinhua 04/04/14]

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PAN AFRICA

TRADE

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WESTERN AFRICAECOWAS / TRADE

EU Approves €6.5 Billion For Trade In West AfricaThe European Council is to provide €6.5 billion for the Economic Partnership Agreement Development Program [PAPED] for West Africa during the period 2015-20.

The funds will enhance trade and investment flows to 16 West African countries contributing to their development and sustainable growth. The provision of funds is an essential element of the Economic Partnership Agreement [EPA] negotiated with West Africa, and will provide funding for projects linked to trade, industry, transport and energy infrastructure. This substantial new commitment demonstrates the EU’s continuous support to West Africa’s regional integration.

In 2010, the EU pledged €6.5 billion to support the PAPED for the period 2010-2014. This pledge was eventually increased and the EU has funded projects worth €8.2 billion.

PAPED 5-Objectives

- Promoting diversification and growth in production capacity - Development of trade in the region, improved access to markets - Improvement, reinforcement of regional, national infrastructure linked - Fiscal, social and economic reforms, and other trade-related issues - Implementation of EPA monitoring and evaluation.

[The Inquirer 27/03/14]

Nigeria Scuttles EPA Trade DealNigeria’s government has declined endorsing the Economic Partnership Agreement [EPA] with the European Union. Under the agreement, the EU was expected to offer the 15-member ECOWAS and non-member state Mauritania full access to its markets.

In return, ECOWAS will gradually open up 75% of its markets, with its 300 million consumers, to Europe over a 20-year period. Technical negotiations wrapped up last month with the European Union offering a €6.5 billion package over the next 5-years to help ECOWAS cushion the effects and costs of integrating into the global economy.

Nigeria’s federal government noted given her current position as an import-dependent economy, it would be counter-productive to completely open its doors to imports without first developing its industrial sector to compete globally, especially in those sectors where the country has competitive advantages.

Nigeria is already producing some goods which would be liberalised under the deal, which they say will result in a significant loss of revenue for the country.

[This Day 02/04/14]

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Nigeria-UK Trade to Hit N2 TrillionTrade volume between Nigeria and the United Kingdom is expected to reach £8 billion by the end of this year. During a 2-day UK and Nigeria bilateral trade and investment conference organised by the Nigerians in Diaspora Organisation [NIDO], investors were urged to engage in effective business collaboration, networking and partnership to improve bilateral trade relations. Nigeria has lucrative investment and business opportunities with huge but partly tapped human and natural resources, he said, and listed agriculture, transportation, telecommunications, tourism, manufacturing, fertiliser production and real estate development as some areas replete with enormous investment opportunities in the country.

[Daily Trust 19/03/14]

Nigeria-Belgium Trade Volume At €300 MillionThe Nigeria-Belgium trade volume is currently pegged at about €300 million. Some 28 Belgian companies are already active in Nigeria, particularly in the construction sector. The major export from Nigeria to Europe remains hydrocarbon.

[Leadership 06/04/14]

Angola/USA Enhance Trade RelationsAngola and the United States took steps to advance their trade relationship in discussions April 1 in Washington at the 2nd meeting of the USA-Angola Council on Trade and Investment. The TIFA Council was established as a result of the trade and investment framework agreement [TIFA] between the 2-countries. Angola is a leading beneficiary of preferential access to the USA market under the African Growth and Opportunity Act [AGOA], exporting mainly energy-related products and some forest products. Discussions focused on the US-Angola trade and investment relationship, small and medium-sized enterprises, utilization of AGOA, protection of intellectual property rights, agribusiness prospects and development, and improving bilateral investment opportunities.

The TIFA Council plays a key role in advancing the common trade and investment interests of the United States and Angola and in strengthening the overall USA-Angola relationship. It promotes sound trade policies and works to attract investment to Angola and to advance sustainable and inclusive development. It also works to expand opportunities for workers, farmers, businesses and consumers in both countries. The United States and Angola signed the TIFA in 2009, and the TIFA Council is a mechanism for regular, high-level dialogue. The previous TIFA Council meeting was held in Luanda, Angola, in June 2010.

[US Department of State 02/04/14]

Togo Focuses On Increased Trade With MalaysiaThe Republic of Togo’s Minister of Foreign Affairs and Cooperation made a 4-day official visit to Malaysia to enhance bilateral relations. The Minister will be accompanied by a delegation of 5-officials from his ministry and Togo’s Chamber of Commerce and Industry. Togo is Malaysia’s 6th largest trading partner in Africa, with total trade between both countries last year registered at RM1.056 billion. The balance of trade was in Malaysia’s favour with exported items comprising of mainly vegetable fats and oils.

[Malaysian News 09/04/14]

Mobile Money Boost For Ivory Coast, Burkina FasoTransferring cash between West African neighbours Ivory Coast and Burkina Faso could become easier thanks to mobile giants MTN and Bharti Airtel inking a mobile money agreement. Mobile money is relatively new to Burkina Faso, as Airtel was the first company to launch the service in the West African nation in 2012.

[Web Africa 08/04/14]

Total USA-Angola trade US$10.2 billion

USA imports from Angola US$8.7 billion Mineral fuel & oil [US$8.7 billion], precious stones [US$19 million], special other [US$5 million], wood [US$1 million], rubber [US$71,000]

USA exports to Angola US$1.5 billion Machinery [US$533 million], meat [poultry] [US$249 million], iron & steel products [US$133 million], electrical machinery [US$104 million], optic and medical instruments [US$62 million]

AngolaPort Of Luanda Handles Over 11 Million Tons Of Cargo In 2013In 2013 the port of Luanda handled over 11 million tons of cargo, a 10% increase in 2012. 8.4 million tons of cargo reached Luanda in containers, a 23% rise y-o-y due to a rise in productivity at unloading terminals. Non-containerises goods saw a drop of 16% in 2013, due to the increased amount of container cargo arriving at Angola’s ports. Last year the port of Luanda received 6,700 ships, of which 1,100 were long haul [a 4% rise] and 5,000 were from coastal shipping lines [5% more y-o-y].

[Macauhub 17/03/14]

CameroonDouala Gantry Crane Maintenance And Channel Dredging The reactivation of gantry crane No. 2 at Douala port has brought with it new optimism after routine maintenance. Meanwhile dredging work in the port’s channel was finally assigned to China Harbour Engineering Corporation [CHEC] after the sudden departure of Belgian company, Jan de Nul. According to the Douala International Terminal [DIT] the arrival of larger ships to Douala Port will make for a more promising indicator in 2014. The volume of import/export merchandise in January 2014 broke records, reaching 31,506 TEU the 2nd largest volume of containers handled in the history of the DIT. Maintenance on the crane has increased the units speed by 21% to an average of 23 movements per hour, far above last year’s 19 movements. Furthermore DIT announced the delivery of new handling engines expected in May 2014 to reduce the average truck rotation time.

[Business in Cameroon 04/04/14]

Cape VerdeShip Processing Times Reduced By Half In Cape VerdeThe new procedures adopted by customs services in Cape Verde will make it possible to reduce, by half, the time it takes to process long haul ships that use the archipelago’s ports. Measures to modernisation customs services are underway. Processing of goods ahead of time, prior electronic registration of ships and more regular management of oil products warehouses are some of the measures intended to modernise the services provided.

[Macauhub 03/04/14]

GhanaTema Port Aims To Become Biggest In West AfricaNine new gentry cranes were inaugurated at the Tema Port in March; an investment of nearly US$50 million aimed at improving the efficiency at the terminal. A Public-Private Partnership between Ghana Ports & Harbours Authority and Meridian Port Services will see further expansion work at Tema Port, costing between US$600 million and US$1 billion.

[Ghana Web 25/03/14]

Shippers’ Authority, GPHA Fight Pilfering At Tema PortThe Ghana Shippers’ Authority [GSA] has teamed up with the Ghana Ports and Habours Authority [GPHA] to address the rising incidence of pilfering at the Tema Port. Pilfering, usually of vehicles and spare parts, has dented the image of the country and the port. Pilfering capitalises on a “grey area” between shipping and clearance of goods at the port, where identifying missing items becomes difficult. The Shippers’ Authority, the umbrella body of shippers and allied providers in the country, has resolved to bring the issue to the attention of all the stakeholders with the aim of finding permanent solutions. The Authority has consequently scheduled a stakeholder consultative meeting between shippers and the GPHA, stevedoring companies, shipping lines and destination inspection companies [DICs], among others, to discuss pilfering as well as other issues of importance to the industry.

[Ghanaweb 28/03/14]

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WESTERN AFRICA

PORTS

LiberiaNTA Appoints New ManagersThe National Transit Authority [NTA] announced the appointments of Hon. Tarnue N. Jeke, Managing Director and Mr. Prince Sumo Jaiblai, Deputy Managing Director for Administration.

[Front Page 08/04/14]

Port of Buchanan Meets ISPS CodeThe Port of Buchanan, operated by the National Port Authority [NPA], has met the International Ship and Port Facility Security Code [ISPS], which serves as a guarantee to shippers and crew against security risks. The Port will now be protected and placed on Level 1 which does not call for manual checking of vessels, personnel on board and port users as well as vehicles and visitors.

A Master Plan has also been drawn up by the National Port Authority [NPA] to build a modern container park and expand the port facilities to meet international standards. Currently, the port has 4-berths, with a total area of 16,407 acres.

[New Dawn 31/03/14]

CMA CGM/DELMAS Adds Port Call To Buchanan, Liberia Last month the Group’s PC North service commenced calls at Buchanan complimenting an existing call at Monrovia.

SERVICE DETAILS - Rotation: Tangiers [Friday] – Nouakchott [Friday] – Banjul [Sunday] – Freetown [Wednesday] – Monrovia [Saturday] –

Buchanan [Wednesday] - Tangiers - Frequency: Monthly - Vessels: 4 x 1600 TEU - Exports: Primarily for the export cargo of wood, rubber, palm oil and minerals - Imports: Served worldwide via Tangiers on CMA CGM long haul services.

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NigeriaLekki Deep Seaport to Handle Bigger Ships, Ease CongestionThe Lekki deep seaport will not only handle bigger ships calling in the Nigerian ports but also ease the present bottlenecks associated existing ports, particularly in Lagos. The port is to be developed under Public Private Partnership [PPP] initiative.

Other proposed deep seaports are Ibaka deep seaport in Akwa Ibom State; Badagary deep seaport in Lagos; Olokola deep seaport in Ogun and Ondo States; Ogidigbe, near Escravos in Delta State which is expected to be the hub for gas revolution initiative of the federal government and Agge deep seaport in Bayelsa State.

The Federal Government has reiterated its commitment to strengthen the nation’s maritime development and give it a boost amongst other Africa countries.

[This Day 04/04/14]

Boxes Keep Nigerian Port Throughput StableTraffic through Nigerian ports registered a slight increase last year compared to 2012. Overall, the ports handled 76.9M tonnes, a 0.043% increase on 2012’s figure of 76.86M t, according to the Nigerian Ports Authority [NPA]. A 12.7% slump in LNG to 19.3M t and a 6.5% decline in dry bulk to 9.5M t were offset by 15.2% growth in container traffic, from 877,737 TEU to 1,010,836teu. Refined petroleum products rose by 9.5% to 19.1M t. The drop in dry bulk was ascribed to falling rice and cement imports.

Tin Can Island has taken over from Lagos Port Complex as the country’s busiest port, handling 48.2M t in 2013, a 23.2% increase y-o-y.

[Fairplay 07/04/14]

Stakeholders Call for Re-Introduction of Provisional Release of Goods at the PortsWorried about the delay suffered by importers and freight forwarders before taking delivery of their goods at the ports as a result of the regime of Pre-Arrival Assessment Report [PAAR], stakeholders have called for the re-introduction of provisional release for all goods arriving the country.

PAAR is a new cargo clearance system which was introduced by the Nigeria Customs Service [NCS] as a replacement for Risk Assessment Report [RAR] when the organisation took over Destination Inspection regime from service providers in December 1, 2013.

Since its introduction, the system has suffered some hitches leading to delay in goods clearance at the ports. The Customs had suspended provisional release of goods in February 14, this year.

[This Day 24/04/14]

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WESTERN AFRICA

PORTS

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AngolaImport CommoditiesWe would like to remind our customers on the rules and regulations enforced in Angola by the Ministry of Finances, Service National of Customs & Excise. By governmental decree number 57/DTC/GJ/SNA/14 issued on 28 February 2014 and effective 1 March 2014 the list of forbidden commodities is as follows:

- 3.1 All goods which violates the rights of industrial property and counterfeit merchandise - 3.2 All goods forbidden for environmental reasons, moral, security, health - Used tires, - Right - hand drive car or which has been modified - Used batteries - Used motors - Food substances containing saccharine

- 3.3 Chemicals do not comply with the Montreal Protocol (substances which depletes the Ozone layer)

For more information please consult the following official websites:

- www.portoluanda.co.ao - www.alfandegas.gv.ao

Cote d’IvoireHazardous Class 6.1 RestrictionsWith immediate effect new regulations are now enforced by the Port and Defence Ministry of Ivory Coast on hazardous cargo class 6.1. Such cargo is subject to a special authorization from the Ministry of Defence. If permitted to enter the Ivory Coast the cargo would also require a compulsory military escort at expense - for both inland carriage or cargo in transit.

Division 6.1: Poisonous material is a material, other than a gas, which is known to be so toxic to humans as to afford a hazard to health during transportation, or which, in the absence of adequate data on human toxicity such as potassium cyanide, mercuric chloride...

[DELMAS 09/04/14]

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WESTERN AFRICAREGULATORY

GabonElectronic Tracking Note [BIETC] Please be reminded that the Electronic Bordereau d‘Identification et de Tracabilité des Cargaisons / Electronic Cargo Tracking Note [BIETC] replaces the Bordereau d’Identification des Cargaisons [BIC]. BIETC is compulsory for customs clearance for cargo entering Gabon. To obtain a BIETC, please register on the BIETC website at http://bietc.cgcworld.com and obtain a login and password.

GuineaInternational Cargo Tracking Number [ICTN]ECTN / BSC is no longer compulsory in Guinea however an International Cargo Tracking Number [ICTN] is required. The ICTN should be provided by the Port of Load [POL]. The procedure to create an user account and to generate the ICTN number have to be done through this link: https://acdguinee.com/en/

Pre-Shipment Inspection [PSI]Guinea requires that Pre-Shipment Inspection [PSI] - Fiche de Demande d’Inspection [FDI] is carried out for all imports into the country. This exercise is undertaken in the port of load country for the purpose of Customs clearance of the goods. PSI is mandated by the Ministere de l’Economie, des Finances et du Plan as per contract dated 31/03/08. PSI is managed by BIVAC International / Bureau Veritas Group. Visit www.bureauveritas.com/gsit for information and mandatory regulations.

The DELMAS website offers comprehensive data sheets covering information on waivers, pre- shipment inspection as well as prohibitive and restricted imports lists: https://www.delmas.com/products-services/shipping-guide

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EASTERN AFRICAEAC / COMESA / TRADE

EABC to Step Up Efforts to Eliminate Non-Tariff BarriersThe East African Business Council [EABC] is to increase efforts to eliminate the hurdles that slow down integration process in the East African Community region. The Council want to address non-tariff barriers and ease the procedures of obtaining working permits. The EABC will also focus on harmonization tax regimes of the East African Community [EAC] member states to ensure the smooth operation of the EAC Customs Union and Common Market.

[Tanzania Daily News 08/04/14]

Rwanda-China Trade Grows By 50% to US$240 MillionTrade co-operation with Rwanda is growing to match the country’s fast development. Last year, the trade value hit the US$240m [Rwf164.4b] mark, over 50% increase y-o-y. This expansion is one of the best in Chinese trade co-operation with African countries. China’s investment in Rwanda is also growing, with $2.6m invested in the economy last year.

[New Times 25/03/14]

Tanzania Exports to China Up 45%Tanzania exports to China rose by over 45% last year, thanks to zero tariffs trade preferential offered by the Asian nation. Trade volume ballooned last year to US$3.7 billion in favour of Beijing. Exports to Beijing went up by over 45% to US$600 million, while Tanzania imported goods worth US$3.1 billion. Tanzania main exports to China include agricultural produce, hide and skins and forests products unlike other African countries which have trade surplus from oil and minerals exports. To bridge the deficit, there is a need to promote the services sector by wooing Chinese tourists and increase Beijing’s Foreign Direct Investments [FDIs]. Last year a Tanzanian delegation was in Beijing in a mission to encourage Chinese investors to invest in Dar es Salaam. In general China-Africa trade volume reached US$200.3 billion - the highest level since the trade relationships were established.

[Daily News 20/03/14]

22

KenyaKPA To Boost Efficiency At Mombasa PortThe Kenya Ports Authority [KPA] has set aside Sh5 billion to boost efficiency at the Port of Mombasa. The port is facing stiff competition from its main rival, Dar es Salaam, for the East and Central African market. KPA plans to acquire modern cargo handling equipment to increase efficiency and to aggressively market the facility in the region.

The authority recently opened a liaison office in Burundi and it plans to open another in Southern Sudan. Mombasa is currently facing a renewed logistics battle from Dar es Salaam due to the improved state of road network along the central corridor and affordable freight rates. The distance from the Tanzanian port to the major import destinations is also shorter compared to Mombasa.

[Standard Digital 19/03/14]

MozambiqueNew Nacala Port / Railway Concluded By December 2014Mozambican Transport Minister Gabriel Muthisse has declared that the new port and coal terminal at Nacala-a-Velha, in the northern province of Nampula, and the railway linking it to the Moatize coal basin, will be concluded by December of this year. Once concluded it will be possible to export 22 million tonnes of cargo through Nacala, of which 18 million tonnes will be coal.

So far, coal exports from Moatize, in the western province of Tete, are all sent along the Sena railway line to the port of Beira. Even with an increase in handling capacity to 12 million tonnes a year, the Sena line cannot possible handle all the coal exports from Tete, which, in the medium term, could reach 100 million tonnes a year. Hence the construction of new lines. The railway from Moatize to Nacala, financed by the Brazilian mining company Vale, involves new stretches of line through Malawi. The railway will re-enter Mozambique at Entre-Lagos, in Niassa province, and the existing northern corridor, through Niassa and Nampula is being upgraded to deal with the coal traffic.

In 18-20 months there will be a new coal terminal in Beira, with the capacity to handle 30 million tonnes a year. An entirely new port will be built at Macuse on the coast of Zambezia province, and another new rail line will link it to Moatize. It too will be able to deal with 30 million tonnes of coal a year.

[AIM 08/04/14]

Funding Secured For Construction Of Pemba Logistics HubThe first phase of the project to build the Pemba logistics hub, in Mozambique’s Cabo Delgado province – expected to cost US$150 million – has secured funding. The first phase involves construction of the logistics hub and facilities for production and assembly of undersea equipment used in the oil industry. The environmental impact study for the project is now underway. An international public tender was initially planned for the project, which may no longer be the case in order to meet deadlines for the project to ensure that the facilities can open by 2018; when production of natural gas in the Rovuma basin is expected to begin.

[Macauhub 18/03/14]

New Tug For Maputo Port P&O Maritime has delivered a new tug to the Port of Maputo. The new 60-tonne Azimuth Stern Drive [ASD] tug, named Sereia, entered service at the end of March. Built under P&O Maritime supervision by Turkish company Sanmar, the Sereia will join its sister ship, Bulani, a pilot boat and mooring vessel already operating at the port. The vessels form part of a US$15 million package of investments that P&O Maritime agreed with the Maputo Port Development Company [MPDC] in November 2012.

The Port of Maputo was built to act as hub for supply and export of goods from land-locked countries on the eastern coast of Africa. The port primarily handles food and consumer based produce. Exports account for almost 90 percent of total cargo throughput, consisting mostly of transit cargo from neighbouring countries such as coal, magnetite, chrome ore, manganese ore, stainless steel and sugar.

[Port Technology 10/03/14]

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EASTERN AFRICA

PORTS

SomaliaParliamentary Committee Welcome Decision Over Mogadishu SeaportDuring a parliamentary session, Federal MPs discussed the legitimacy of the Mogadishu Seaport Management Deal which was granted to the Turkey-based company of Al Bayrak by former Prime Minister Abdi Farah Shiron’s government last year. Members postponed a vote on the deal until a foreign investment bill is approved.

[Shabelle 03/04/14]

TanzaniaTANCIS To Speed Up Clearance Of Export, Import BusinessThe Tanzania Revenue Authority’s [TRA] newly introduced customs system [TANCIS] has come into operation. TANCIS intends to bring greater transparency to customs clearance requirements and processes, which should simplify and speed up the process for clearing import and export goods through customs. In addition to online processing of documents the system will link stakeholders, such as shipping lines and the port authority, to speed up the goods clearing process, as well as banks to facilitate quick payment of customs fees and duties.

[Guardian 20/03/14]

Talks On Cargo Security At Dar Port in Advanced StageTanzania, Zambia and Democratic Republic of Congo [DRC] are in advanced negotiations over the use of the car tracking system to strengthen security and fight cargo smuggling through the port of Dar es Salaam. The system will facilitate free movement of goods and eliminate multiple declaration of goods, particularly at the borders, thus reducing the cost of doing business.

Under the new arrangement, these goods would be regarded as transfers of locally produced goods and will be documented through customs only once. This would be done in the receiving country, which would inform the exporting country when the customs documentation is completed. The exporting country would then release the goods for transfer. When such transit goods arrive in any of these countries, they would be documented through customs only once.

[Tanzania Daily News 24/03/14]

Bagamoyo: Preparations For Construction Of Tanzania’s ‘Shen Zhen’ ReadyPreparations for the construction Bagamoyo port and harbour, referred to as East Africa’s ‘Shen Zhen’, are ready and the project only awaits the release of funds. Agreements concerning the construction has already been completed and procurement agreements for the projects have also been made. Bagamoyo Port Project includes the construction of an industrial zone and a modern city, which would become a manufacturing centre after the project is completed.

[Guardian 27/03/14]

24

UgandaImporters to Be Informed About Cargo in MombasaImporters will get first-hand authentic information about their containerized cargo at Mombasa thanks to the good relations between Uganda and Kenya. In a new procedure expected to ease business, Kenya Ports Authority [KPA] will provide a list of containers destined to Uganda each month. Whenever KPA provides the list, the Uganda revenue Authority [URA] will upload it on its portal - http://ura.go.ug.

Clients no longer have to rely on agents thousands of miles away for information regarding their cargo. The information is expected to help importers avoid storage charges resulting from containers that have overstayed at Mombasa.

[The Observer 03/04/14]

Mwambani Port Project Poised For Take OffPresident Jakaya Kikwete has said the government is still considering a new Mwambani Port. The process has reached an advanced stage, with about 20-construction companies ready to tender. The tender is expected to be granted by July this year. President Kikwete said that the project would be supported by the construction of a railway from Tanga to Musoma via Arusha to facilitate the ferrying of goods within and to neighbouring countries. Mwambani Port initially was planned to be constructed in partnership between Tanzania and Uganda, but the recent decision by the Ugandan government to use Mombasa port brought the future of the project into question.

[Daily News 29/03/14]

Value of Tanzania’s Exports DeclinesLow values for traditional and non-traditional exports were a reason for the decline of 1.3% export earnings to US$8,609 million in the year ending January, this year. The BoT monthly economic review shows that the value of traditional exports declined by 7.6% to US$890.9 million in the period under review, compared with the level recorded in the year corresponding period in 2013.

The decline was driven by a fall in both export volumes and unit prices of some crops. With exception of coffee, tea and cloves, all other traditional crops declined in their export volumes mainly due to lower production during the year. Meanwhile, coffee, cotton, tea and cashew nut recorded a fall in the export unit prices. The fall was consistent with the general movement of commodity prices in the world market.

Also the year ending January 2014 saw the value of non-traditional exports declining to US$3,801.5 million compared with US$4,170.4 million recorded in the corresponding period a year earlier. The outturn was attributable to low export values of all non-traditional goods with the exception of manufactured goods, diamond and other minerals.

[Tanzania Daily News 07/04/14]

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EASTERN AFRICA

PORTS

BurundiWaiver Control - Electronic Cargo Tracking Note [ECTN]Antaser Afrique has signed a representation agreement with the Ministry of Finance of Burundi regarding the implementation of the Electronic Cargo Tracking Note [ECTN] for imports into the country. As from April 1st 2014 [BL date] all import cargoes into Burundi will need to be covered by an ECTN duly validated by the Antaser network via its website at ww.antaser.com

UgandaImporters Protest Over PVOC On Imported CarsOn March 25, importers of used cars in Kampala closed their depots to protest “unfair fees” under the Pre-Export Verification of Conformity to Standards [PVOC] arrangement. PVOC, enforced by the Uganda National Bureau of Standards [UNBS], verifies the conformity of all regulated products and enforces their standards to protect consumers from dangerous and substandard goods. Compliance to PVOC requirements is applicable, in addition to any existing import processes. Every consignment of regulated products exported to Uganda requires a certificate of conformity. Since June last year, UNBS introduced PVOC on imported used motor vehicles to have them tested for quality and road worthiness before being shipped into the country. Through the Used Car Association of Uganda [UACU], importers want the inspections suspended.

[The Observer 07/04/14]

26

REGULATORYEASTERN AFRICA

South Africa China Trade Grows 32% In 2 YearsLeveraging its membership in the Brazil, Russia, India, China and South Africa [BRICS] group, South Africa is continuing to expand its international trade footprint, growing bilateral trade with China by 32% in the last 2-years. President Zuma has asserted that South Africa’s participation in BRICS presented “important opportunities” for the country to build its domestic manufacturing base and expand trade and investment opportunities. These opportunities are to be achieved through the implementation of South Africa’s National Development Plan, supported by the New Growth Path and the Industrial Policy Action Plan. Among the priorities identified by these initiatives is continued public investment in infrastructure to facilitate economic growth and the maintenance of existing infrastructure, particularly those that related to water and electricity.

[Engineering News 20/03/14]

Saudi Trade Almost Trebles to R80 BillionThe 5th session of the South Africa-Saudi Arabia Joint Economic Commission has been held this month which agreed to harness all means to promote further growth between the 2-regional powerhouses. The meeting of the commission was preceded by a South Africa-Saudi Arabia Business Forum attended by business people from both countries. The forum mandated the South Africa - Saudi Arabia Business Council to identify complementary projects that businesses could collaborate on including oil, gas and minerals.

Trade between South Africa and Saudi Arabia nearly trebled from R29.7-billion in 2009 to R80.1-billion in 2013. South Africa is keen to achieve a more balanced trade between the 2-countries. SA’s trade deficit with Saudi Arabia has grown from R62.2-billion in 2012 to R74.8-billion in 2013. In January this year, Saudi Arabia overtook Germany to become South Africa’s 2nd biggest source of imports, with China being the largest. Bilateral trade is far below potential and is also concentrated in a few sectors like oil and gas, raw materials, fruits and vegetables. There is a need to diversify the goods traded. More value-added and diversified trade will benefit both our countries.

[South Africa Info 24/03/14]

IPAP Export Strategy Given Weight In Industrial Plan As Deficit PersistsThe South African government’s latest Industrial Policy Action Plan [IPAP] places greater emphasis than was the case in previous versions on raising the country’s export competitiveness as part of what the Department of Trade and Industry [DTI] is now calling a ‘Smart Reindustrialisation’ strategy. The government would increasingly demand that those benefitting from industrial incentives become active exporters, particularly into growing African markets. The export strategy, which was conceived against a backdrop of South Africa’s persistent trade-account deficit, would seek to reward export-oriented firms with conditional incentives, increased industrial financing and export-promotion assistance. In its recently published ‘Economic Trends’ publication, the Industrial Development Corporation [IDC] noted that the current account of the balance of payments deteriorated substantially, as the deficit to GDP ratio widened to 5.8% in 2013, from 5.2% in 2012. A key contributor was the country’s largest trade deficit in relation to GDP in 4-decades [2.2%]. Export growth is central to raising the overall competitiveness of industry. In the ongoing recovery from the economic crisis, South Africa could not rely overly on demand from developed markets and should rather seek to exploit its proximity to the fast-growing economies of the rest of the continent. The rest of Africa had already emerged as a ‘bright spot’ for manufacturing, with Africa having surpassed the European Union as the largest market for South African manufactured products in 2012. Total exports to the continent more than doubled from R100-billion in 2008 to well over R200-billion in 2012, with the World Bank calculating that South Africa’s non-mineral exports to Sub-Saharan Africa grew as a percentage of overall non-mineral exports to 29%, from 19%. But further regional integration and trade-supportive cross-border infrastructure would be required for South Africa to further penetrate the African markets.

The proposed broadening of integration across the established blocs of the Southern African Development Community [SADC], the East African Community [EAC] and the Common Market for Eastern and Southern Africa [COMESA] was unlikely to meet the end of 2014 deadline set by the Heads of State of the 3-blocs. The Trilateral-Free Trade Area was also viewed by the African Union as an important trailblazer for a larger Continental FTA. This is being complemented by efforts to galvanise action around the North-South Corridor infrastructure plan and industrial cooperation.

[Creamer 07/04/14]

27

SOUTHERN AFRICASADC / TRADE

NamibiaRobust Namibia, UK TradeBilateral trade between Namibia and the United Kingdom stood at N$2 billion in 2013. The export of Namibian goods to the UK was estimated at N$1 billion with imports from the UK valued at N$983 million. The British High Commission last year spent about N$1.1 million on a range of prosperity-boosting projects, focussing mainly on improving local trade and the investment environment as well as enhancing opportunities for British investors. A new “Doing Business in Namibia Guide” was launched this month.

You can download this useful guide at: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/301482/Doing_Business_in_Namibia_2014.pdf

[New Era 02/04/14]

28

NamibiaConstruction To Start On North Port TerminalWalvis Bay Port will soon start construction of its north port project, which is to be known as the Southern African Gateway Port, just north of Kuisebmond. The north port terminal will be a bulk commodity handling facility and one of the biggest developments in the country covering 13,300 m2. The new port will be useful for economic co-operation between Botswana and Namibia, with the 2-countries signing a bilateral agreement within the next few weeks committing themselves to build a railway line that will transport coal from Botswana to be exported via Namibia. Namibia Ports Authority is also consulting with various mines in the region which are interested in making use of the new facility. Everything is in place for the construction of a new tanker jetty that is also part of the port’s current expansion plan. Namport will soon award tenders through the National Planning Commission for the construction.

[New Era 14/03/14]

Walvis Bay - Record Corridor Volume GrowthVolumes along the Walvis Bay corridors, averaged a monthly record of over 95,000 tonnes in February, which is the highest monthly volume ever. The growth in cargo volumes was also driven by the Walvis Bay-Ndola-Lubumbashi Development Corridor (WBNLDC), specifically the Democratic Republic Congo [DRC] market which achieved an impressive 10,000 tonnes in February 2014. Volumes along the TransKalahari Corridor for the Botswana and Zimbabwe market has also grown with much more consumables and construction material being transported through the port of Walvis Bay. Imports for the Brazil market via the Port of Walvis Bay for the SADC region are also increasing, which is a result of the branch office that the group established in Sao Paulo, 2-years ago.

“The Walvis Bay corridors are growing as an alternative trade route for markets to and from Southern Africa in that various commodities are being moved via the port of Walvis Bay, such as copper, vehicles, frozen products, machinery and equipment and consumables.” Walvis Bay Corridor Group [WBCG]

Namibia is keen to emerge as the regional hub thanks to Walvis Bay’s strategic position and shorter transit times to Europe. The strong transportation network benefits neighbouring countries too, including the DRC, Malawi and Zimbabwe along the Walvis Bay Corridors as it offers the shortest possible regional route on the west coast.

[Namibian 09/04/14]

Trans-Caprivi Corridor [road/rail] Exports/imports for Zambia, Zimbabwe, DRC and Malawi.

Trans-Kalahari Corridor [road/rail] Used by Botswana and northern provinces of South Africa, specifically Gauteng region.

Trans-Cunene Corridor Connects southern Angola through Tsumeb, primarily to transport goods and construction materials imported for the redevelopment of southern Angola.

Port of Luderitz South of Walvis, is emerging as an important base for fishing, mining, and offshore diamond mining industries, apart from being a base for oil and gas drilling operations off the southern coast.

Walvis Bay Corridor

CMA CGM / DELMAS serves Walvis Bay weekly on its weekly MIDAS service.

For more information please see: http://www.cma-cgm.com/products-services/line-services/flyer/MIDASGR

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SOUTHERN AFRICA

PORTS

Namibian Port Poised To Be Logistics HubSouthern Africa’s Gateway To Europe Walvis Bay is already Namibia’s largest commercial port and links the country’s multimodal transport corridors to local, southern landlocked countries and international markets. Late last year, the port of Walvis Bay and the African Development Bank [AfDB] signed a loan agreement to expand the project at a cost of NAD 3 billion [US$280 million]. The expansion will include the construction of a new container terminal spread over 40 ha of land and increase the port’s capacity to 650,000 TEU p.a. compared to the existing 350,000 TEUs. The expansion, which is set to be completed by 2017, will raise the port’s bulk goods handling capacity by freeing up the existing container terminal.

The port expansion project complements Namibia’s vision of becoming the logistics hub for southern Africa. The availability of a good international logistics network in Namibia [offering services ranging from transport and storage solutions to customized integrated supply chain management services] is likely to create employment opportunities for Namibians. The port already receives about 3,000 vessels and handles 5-million tons of cargo each year.

The port’s expansion will allow Namibia to build on its strengths as a strong economic performer in the region. The country’s real GDP is expected to average 5% p.a. over the next 2-years, as investors injected funds into mining projects. The International Monetary Fund [IMF] expects a more subdued 4.5% growth by 2016. The country is also looking to improve the performance of the Export Processing Zones and develop manufacturing facilities that would leverage its transport strength.

Namibia benefits from being part of the Southern African Customs Union [SACU] comprising South Africa, Botswana, Lesotho and Swaziland. The union feature common external tariffs and guarantees the free movement of goods among the member states under SACU’s Common Monetary Area [CMA] program. The CMA has helped stabilize Namibia’s monetary and exchange rate policies and helped the economy integrate with its more advanced South African financial market. It has also enabled the country to enjoy an unrestricted transfer of funds. Recognizing the benefits that it could get from a larger market, with a single economic space, Namibia is participating in negotiations to create the Common Market of Eastern and Southern Africa, East African Community and SADC [COMESA-EAC-SADC] tripartite free trade area. More crucially, the Namibian government is keen to conclude the Economic Partnership Agreement [EPA] with the European Union by October 2014. Failure to finalize the deal will end Namibia’s duty-free exports of beef, fish and grapes to the European market. The country reportedly earns NAD 5 billion [US$465 million] of its exports from these commodities.

[Zawya 2014 19/03/14]

FACTBOX - Belongs to the Southern African

Customs Union (SACU) - Southern African Development

Community (SADC) - Preferential access to the European

Union through the Lomé and Cotonou Agreements since 1991. Negotiations are currently under way over a new Economic Partnership Agreement (EPA).

- US Africa Growth and Opportunity Act (AGOA) which was extended to 2015.

- Long-term policy to become an industrialised country by 2030 formalised in Namibia Vision 2030.

30

SOUTH AFRICARegulator Raises Port Tariffs Less Than Transnet WantedSouth Africa’s port users were faced with the first tariff increase in 2-years this month, when regulator-approved dues came into effect. The Port Regulator of South Africa rejected Transnet National Ports Authority’s [TNPA] tariff increase application of 14.39% for 2014-15 financial year this month. The latter had asked the regulator to increase tariffs by 8.5%. Further, TNPA had applied for the release of R454m of provisions from the excessive tariff increase margin credit [ETIMC]. Together, they make up the 14.39% request.

The regulator said that Transnet’s application to release ETIMC provisions had been rejected. But port tariffs will still rise. The regulator approved an increase in cargo dues of 5.9%. Dry bulk cargo dues for coal, iron ore and manganese, and tariffs on marine services were increased 8.15%. Container export tariffs were cut 43.2%‚ container imports 14.3% and vehicle export tariffs 21.1%.

South Africa’s port charges are among the highest in the world. A study by the regulator found tariffs for the port of Durban to be 874% above the global average for containers, but if the government’s R1bn port tariff rebate is taken into consideration, that drops to 721%. A recent World Bank report on South Africa said lower port charges would improve competitiveness and encourage growth of small and medium-size exporters.

TNPA has said it needed a tariff hike to fund its R2.4bn capital expenditure plans for 2014-15. The lower increase could affect its investment into ports such as Coega‚ Durban‚ and Saldanha Bay. Rising port investment levels and expectation that this would lead to greater tariff volatility in the future was the regulator’s motivation for introducing the ETIMC last year. It was designed to prevent excessive future yearly tariff increases. TNPA plans to spend R57.6bn to expand its port terminals as part of its seven-year R300bn market demand strategy.

[BD Live 02/04/14]

DTI Destroys ‘Unsafe’ Goods Worth R8 MillionSouth Africa’s Department of Trade and Industry [DTI] oversaw the destruction of more than 300,000 non-compliant products valued at R8-million. The goods were seized during raids by the National Regulator for Compulsory Specifications in an ongoing effort to protect South African consumers from sub- standard products and producers from unfair competition. Technical regulations and compulsory specifications for goods were “crucial” to stop these type of products from coming on to the market. During the recent 6-week blitz conducted by the regulator at Cape Town and Durban ports and at City Deep in Johannesburg, “a quarter of all containers entering the country were inspected and close to R8-million worth of non-compliant products was detected”. Products included steam irons, plugs, paraffin stoves, swimming aids, chemicals, cell phone chargers, paraffin stoves and tyres.

[South Africa News 01/04/14]

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