Durban floods strain logistics industry

The Kwazulu-Natal Province is facing a state of disaster, with the worst floods in decades wreaking havoc on the region. The flooding has resulted in the closure of key highways connecting the country's major port to Johannesburg and the eastern seaboard. The impact on the freight logistics industry has been significant, with operations severely disrupted. Gavin Kelly, CEO of The Road Freight Association, provided insights into the challenges faced by the industry in a recent interview on CNBC Africa. Kelly highlighted the safety of drivers as a top priority, noting that while there have been no injuries or loss of life among drivers, some have lost their positions and accommodations due to the floods. The damage to trucks and cargo has been extensive, with reports of vehicles submerged in up to two and a half meters of water. The closure of highways has led to a significant backlog of cargo, with an estimated 300,000 tons stranded over a 48-hour period. The financial implications for truck operators are substantial, with costs amounting to thousands of rand per day for each vehicle. Assessing the full extent of the damage and calculating the total cost remains a priority for the industry. Insurance coverage for goods in transit plays a crucial role in mitigating financial losses for the industry. The responsibility for damages typically falls on the freight industry, depending on the terms of the contract with the client. However, the recent events have prompted a reevaluation of contingency plans and risk management strategies in light of the growing threat of climate change. The impact of climate change on extreme weather events like the recent floods has underscored the need for proactive measures to enhance resilience in the industry. Kelly emphasized the importance of developing alternative access routes to critical infrastructure such as ports and implementing strategies to safeguard truckers in times of crisis. With a growing focus on sustainable practices, the industry is exploring greener technologies such as hydrogen-powered and electric vehicles, although the transition remains a work in progress. The aftermath of the floods has raised questions about when normalcy will return to the industry. While efforts are underway to facilitate the movement of essential goods, the extensive damage to infrastructure, including washed-out bridges, suggests a prolonged recovery period. Kelly estimates that it may take several months to fully restore operations to pre-flood levels, with a timeline of 14 to 21 days for partial recovery. The industry remains vigilant in addressing the challenges ahead and adapting to a changing climate landscape.