Logistics News Update – 29th October 2025

Welcome to another Logistics News Update.

Please be advised that we may not be distributing an Update next week.

We see that the citrus season has wrapped up, and in some regions, they’re almost popping the champagne. There is good news from the grapefruit sector as growers have reported a steady season. The Citrus Growers’ Association of Southern Africa (CGA) confirmed that exporters met their target of 15.3 million cartons shipped for 2025. CEO Boitshoko Ntshabele noted that this matches the Grapefruit Variety Focus Group’s April projection, showing accurate forecasting and solid execution across the value chain.

Staying with agriculture, economist Wandile Sihlobo highlights Vietnam as a key opportunity for South African agri-exporters. With diversification now critical under the Trump administration’s renewed tariff measures, a recent state visit to Vietnam could strengthen trade relations and open new markets. Sihlobo points out that building recognition among political and business leaders abroad is central to South Africa’s long-term export strategy.

Regarding Trump and tariffs, Minister of International Relations and Cooperation Ronald Lamola has criticised the United States for politicising trade negotiations. At the same time, he remains optimistic that the African Growth and Opportunity Act (AGOA), currently under pressure because of Washington’s tougher trade stance, will be renewed given its broad benefits to both sides. See main story              

Trade

• Transnet SOC Ltd plans to invest around R127 billion (≈ US$7.3 billion) over the next five years to modernise rail lines and upgrade ports. This was announced at the “South Africa Tomorrow” investor conference.
• South Africa’s government released a Request for Information (RFI) for private-sector participation in rail and port freight and launched an RFI for passenger rail modernisation. According to Barbara Creecy (Minister of Transport) the process supports efficiency and private investment in the logistics backbone.
• Exporters are being urged to look beyond the African Growth and Opportunity Act (AGOA) as renewal looks increasingly unlikely. The absence of a clear renewal plan could reduce South Africa’s exports to the US by about 8 % by 2029.
• South Africa is reviving trade ties with Türkiye in response to US tariff pressures. The newly operational South Africa–Türkiye Bi-National Commission is set to open avenues for industrial cooperation and value-added manufacturing.
• African Business Chamber reports that export flows are shifting while US tariffs bite, South African producers are beginning to pivot to Asia, Africa and Europe as part of broader market-diversification efforts.

 What is the news

• “WANTED: Young professionals for logistics and supply chain” (27 Oct 2025): This piece highlights the urgent need in South Africa’s cargo industry for young, well-trained professionals. The Institute of Customs and Freight Forwarding (ICFF) noted that 95% of SA’s international trade moves through the forwarding/logistics sector (≈ R13 trillion), yet there is a significant skills gap and ageing workforce.
• “Key reforms usher in greylist exit for SA” (27 Oct 2025): South Africa has officially been removed from the Financial Action Task Force (FATF) greylist after implementing key anti-money-laundering and counter-terror-financing reforms. This is a significant governance milestone with indirect implications for logistics and trade flows (via improved investor confidence, compliance, and banking support).
• “It’s official – South Africa’s economy is on life support” (27 Oct 2025): A study by the World Trade Institute for International Affairs (WTIIA) concluded that SA’s economy remains under severe strain, and structural reforms need to accelerate. The freight/logistics sector needs to be ready for the knock-on effects (slower demand, tighter capital, increased risk).
• “Conformity requirements demand verification experts” (24 Oct 2025): The article reports that a number of African governments (including South Africa) are tightening pre-shipment conformity assessment requirements for regulated imports (e.g., electrical appliances, building materials, food, chemicals). Digital certification platforms are being adopted rapidly to accelerate throughput. This is relevant for logistics players supplying or clearing such goods.
• “Box ship backlog builds because of ageing global fleet” (27 Oct 2025): While global shipping capacity growth had stagnated, the ageing fleet of “box” (container) ships is now creating a backlog. This has implications for maritime logistics out of South Africa (and globally) – capacity constraints may slow flows or raise costs despite apparent spare equipment locally.

Let’s Learn: Understanding Vessel Omission

When shipping lines “omit” a port, it often catches importers and exporters off guard. But a vessel omission is not always a mistake. It’s a scheduling decision that can have real consequences for your cargo planning.

What a Vessel Omission Means
A vessel omission happens when a ship that was scheduled to call at a port skips it altogether. This can occur before or even during the voyage. The carrier then discharges or loads containers at an alternative port instead.

Why Carriers Omit Ports
• Port congestion or delays make the stop uneconomical
• Bad weather disrupts berthing schedules
• Mechanical breakdowns or operational bottlenecks
• Carriers re-route to catch up on global schedules

How It Affects Your Shipment
• Your cargo may be discharged at a different port and transhipped later
• Delivery could be delayed by several days or even a full sailing cycle
• Extra costs may arise for storage, trucking, or transhipment
• Tracking updates can appear “frozen” until the next vessel is confirmed

What You Can Do
• Check with your forwarder for schedule changes every few days
• Confirm whether your booking has been rolled or rerouted
• Factor omissions into your delivery buffer times
• If possible, book earlier in peak season when slots are tighter

Key Point:
A vessel omission is not a cancellation. It’s a change in routing to keep the global schedule moving. For your supply chain, the key is early awareness and flexible planning to manage the delay.

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NEWS

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Key Highlights from Last Week’s Discussions – 12^th October 2025

Source: BUSA, SAAFF, and global logistics data

1. Port Operations

South African ports handled 81 088 TEUs this week, a decline of 14 percent week on week, averaging 11 584 TEUs per day.

• Cape Town increased throughput by 49 percent to 16 436 TEUs despite wind and equipment downtime
• Durban Pier 2 fell 5 percent to 31 830 TEUs, while Pier 1 dropped 8 percent to 13 293 TEUs
• Ngqura volumes declined sharply by 46 percent to 12 071 TEUs
• Port Elizabeth throughput fell by 72 percent
• Richards Bay moved an average of 157 000 tons of coal per day, but weather continued to affect performance
• Rail volumes out of Durban dropped 58 percent to 2 856 containers

Summary:
Ports are under visible pressure as peak volume approaches. Weather and ageing equipment continue to expose operational weaknesses. Capacity is available but reliability remains at risk.

2. Air Cargo

International air cargo through OR Tambo climbed 7% week on week to 7,99 million kg, with inbound volumes steady at 4,42 million kg (up 0,2%) and outbound volumes surging 16% to 3,57 million kg — the highest weekly record since tracking began.
• Delays continue at BMA Port Health with a backlog of ~4 000 shipments (≈12 days).
• SARS scanner booking compliance remains a priority to avoid congestion.
• Heightened SAPS access control remains in place due to the G20 Summit.
• A localised IVS permit system is under design to streamline import veterinary processes.

Summary:
Strong export performance is a standout, lifting overall air freight above pre-pandemic averages. However, ground-side constraints at ORTIA risk undermining this momentum if not addressed urgently.

3. Road and Border Crossings

Lebombo handled around 1 467 trucks per day (up 5%), with queue times down 6% to 6,5 hours and processing times dropping 38% to 6,3 hours.
Across all borders, average South African transit times increased 6% to 11,4 hours, while SADC crossings improved 6% to 6,5 hours.
• Skilpadshek experienced protest disruptions.
• An uptick in dangerous goods movement through the Copperbelt was noted.
• DRC unrest and a truck fire in Zimbabwe caused temporary blockages.

Summary:
Cross-border conditions improved slightly, but domestic border efficiency continues to lag the regional average. The gap between South African and SADC processing times remains a structural problem.

4. Ocean Freight and Global Shipping

The Drewry World Container Index rose 2,2% to $1 687 per FEU, the first increase in 17 weeks.
• The SCFI jumped 13%, but analysts expect the rally to be short-lived.
• The IMO postponed its Net-Zero Framework to 2026, delaying regulatory certainty and favouring carriers with LNG/methanol-ready fleets.
• The Ocean Alliance is consolidating dominance, expected to hold 40%+ capacity on major East–West trades.
• China, Korea, and Japan now account for 98,5% of all container ship orders.

Summary:
The freight market is showing early signs of correction, with carriers regaining pricing traction after months of decline. Yet the delay of IMO policy adds uncertainty to fleet investment and green-fuel strategies.

5. Global Air Cargo

Worldwide air cargo volumes dropped 3%, mainly due to China’s Golden Week and reduced Asian tonnages.
• Rates from China → US fell 7% to $4,07/kg (20% below 2024).
• Aviation analysts warn that trade tensions and new tariffs could weigh on November volumes.
• On a positive note, China–India direct flights resume on 26 October, expected to reopen one of Asia’s fastest-growing trade corridors.

Summary:
Global demand cooled temporarily, driven by seasonal factors in Asia, but underlying resilience remains. The China–India corridor reopening will boost intra-Asia logistics and capacity balance.

Port Operations Summary: – Port Update:

SOUTH AFRICAN PORTS: – Summary

Global Freight Rates

Weekly Container Rate Update – 23^rd October 2025

Global container freight rates rose for the second consecutive week after months of steady decline. Drewry’s World Container Index (WCI) increased 3% to $1,746 per 40ft container, signalling short-term carrier success in stabilising prices following mid-October General Rate Increases (GRIs).

On the Trans-Pacific trade, spot rates from Shanghai to Los Angeles climbed 4% to $2,290 per 40ft, while Shanghai to New York rose 6% to $3,420. Drewry expects a slight upward movement next week as carriers push to sustain momentum, with new GRIs planned for 1 November and 15 November to preserve recent gains before pricing softens again.

Asia-Europe lanes also recorded moderate growth. The Shanghai–Rotterdam rate increased 4% to $1,736 per 40ft, and Shanghai–Genoa rose 2% to $1,855. To support rates ahead of annual contract negotiations, carriers have announced new Freight All Kinds (FAK) levels ranging between $2,600 and $2,700 per 40ft container, effective from 1 November.

While the short-term outlook shows improvement, Drewry’s Container Forecaster warns that the supply-demand balance is expected to weaken in the coming quarters. This means spot rates may contract again as vessel overcapacity and slowing trade volumes continue to pressure the market. Source: Drewrey

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This week’s news was brought to you by:

FNB First Trade 360 – a digital logistics platform and Exporters Western Cape

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