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Zambia @2023: A Transport & Logistics Event BEST PRACTICE FOR PPPS FOR NATIONAL AND REGIONAL DEVELOPMENT: GRINDROD LIMITED
The remarks were delivered by Mr Xolani Mbambo, Chief Executive Officer (CEO) for Grindrod Limited. In his presentation, Mr Mbambo informed the conference that Grindrod Limited was a Johannesburg Stock Exchange (JSE)-listed company with subsidiaries, joint ventures and other associated companies in several African countries. The company mainly focuses on creating the most costeffective and efficient solutions to move cargo across trade corridors (by road, rail, air and water).
The 2023 LLZ Conference and Exhibition seeks to uplift public sector’s logistics network and capabilities while also supporting private sector’s interest to fund, commercialise and operationalise the logistics network. The following are key benefits of Public-Private Partnerships (PPPs) in the transport and logistics sector:
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• Unlocking regional and international trade
• Job creation and skills and technology transfer
• Modernisation of the transport and logistics infrastructure
• Economic value-creation
The ingredients of a successful PPP arrangement in the transport and logistics sector include the following attributes:
• If a country has mining or agricultural companies, customers are key in order to unlock value for the country
• Agreed framework in the form of a master plan. Typically, these are long-term plans and should define the parameters of engagement and expectations for each party
• Collaboration driven by mutually-beneficial objectives at the onset
• Cost-effective and efficient export solutions
• Sufficient duration and security of tenure that allows both the public and private sectors to build and operationalise the transport and logistics assets
• Community development and access to the export markets
Grindrod Limited has been part of the design and implementation of these ingredients which has proved to be a winning formula and approach. Through subconcessions and concessions, the company has been able to achieve volume growth on exports of bulk material (from 2.5 million to 26.7 million MT) in South Africa.
Mr Xolani Mbambo Chief Executive Officer - GRINDROD