Traxtion's R3.4bn rail investment to take 100s of trucks off the road

The African Rail Industry Association (ARIA) says Traxtion’s R3.4 billion investment in trains will help create fairer, more competitive access to the rail network. 

The rail freight operator announced on Tuesday (2 December) that it would be acquiring trains from KiwiRail in New Zealand, which would be upgraded for use in South Africa.

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ARIA CEO Mesela Nhlapo highlights the importance of collaboration and the role of the rail industry in making South Africa competitive.

“This will help South Africa move goods faster and be more competitive.

“Monopolies are not good for the sector. If one supplier only supplies to Transet, the supplier can’t grow. With the introduction of new operators, the supplier diversifies their business,” she says.  

Nhlapo says the investment is expected to strengthen Transnet’s ability to meet the country’s transport goals.

It will also benefit the environment, create jobs and stimulate economic growth.

“One train set moves about 200 trucks off the road, and luckily for us, with our manufacturing capability in the country, most of that one train is potentially manufactured in South Africa.”

To listen to Nhlapo in conversation with CapeTalk’s Clarence Ford, click below: