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Feb 2, 2009

MARKETS * South Africa - TRUCKING: Road freight set for bumpy ride in 2009

Cape Town,South Africa -Engineering News, by Darren Parker -30 January 2009: -- A number of serious challenges face the logistics industry in the year ahead, with ever-increasing costs being the most severe of those, says the Road Freight Association (RFA) technical operations officer Gavin Kelly... Wildly fluctuating fuel prices, extra taxes in the form of road-user charges, the increasing cost of vehicles and their maintenance, problems with cross border access, as well as increasing staffing and labour costs, are all rising challenges that industry players in the road freight sector, which moves over 80% of all freight in South Africa, will have to overcome... Intra-African trade has tremendous growth potential for the continent, says Kelly, adding that barriers to easier trade in the Southern African Development Community and the Common Market of Eastern and Southern Africa regions need to be reduced or eliminated...


* TRUCKS SALES: The market pie is getting smaller

Cape Town,South Africa -Engineering News, by Irma Venter -30 January 2009: -- Softer demand from the construction sector, a struggle to secure credit, and overall negative sentiment caused truck sales to fall 6,5% in 2008 compared with figures for 2007... However, with a yearly sales volume of 34 664 units – down 2 403 units on 2007’s record-breaking 37 069 units – 2008 still represents the second-highest annual volume ever recorded by the local market... It may be some time before sales swing back to positive, though, considering the current dismal global economic outlook... Nissan Diesel South Africa (NDSA) corporate planning and marketing GM Rory Schulz says sales should reach 30 000 units in 2009, with the biggest fall in demand expected in the medium commercial vehicle (MCV) segment...

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