CoCT Pushes for Clear Timeline on Private Sector Enhancement at Port of Cape Town

The City of Cape Town is calling for transparency and a definitive timeline from the national government regarding the initiation of private sector involvement in the operations of the Port of Cape Town. There has been growing concern over the level of inefficiency at the port, which is deemed in desperate need of modernization and enhanced handling capabilities.

At the heart of this push for clarity is Mayco member for Economic Growth, James Vos, who noted that while a private sector partner is set to begin operations at the Port of Durban this April, the Port of Cape Town remains in limbo with no timeframe provided by the government. The urgency of this call is underscored by the port's poor performance, as highlighted in the World Bank's 2022 container port performance index, where it ranked 344 out of 348.

Vos argues that private sector participation is not just a remedy for inefficiencies, but also a potential economic lever that could unlock substantial benefits for the city and the wider region. He pointed to research indicating that with the involvement of a private sector partner, the Port of Cape Town could see an additional R6 billion in export activity. Furthermore, there is the potential to create approximately 20,000 direct and indirect jobs – a significant impact on the local economy.

"The Port of Cape Town is a critical piece of economic infrastructure, vital for the wellbeing of our manufacturing and production sectors," Vos said. He believes that with increased volumes being managed more fluidly through the harbor, there will be a positive ripple effect on the city’s economic fabric.

To underscore the city's stance, Vos has delivered submissions to the national government and, in particular, to the public enterprises minister advocating for the adoption of public-private partnerships that he believes will ignite economic growth. The City of Cape Town's government is making it clear that they are not simply spectators but active participants in seeking solutions that will bring about significant improvements to the Port of Cape Town.

Significant investments and upgrades are seen as the cornerstone to revamping the port. Such developments are considered crucial to avoiding bottlenecks, reducing turnaround times for ships, and making the port a more competitive player in international trade. All eyes are now on the national government to respond to CoCT's call with a viable plan and clear timelines to foster a collaborative effort between the public and private sectors at the Port of Cape Town.