Page 20 - Logistics News - August 2021

CTRACK FREIGHT TRANSPORT INDEX

Recovery of the transport

industry shows potential

According to the latest Ctrack Freight Transport Index, the overall logistics sector continues to show
huge growth with year-on-year increases of 26.4 percent.

he quarter-on-quarter improvement in the Sea freight is very near to previous levels, and
index bodes well for the second quarter GDP that is encouraging. Overall, the freight logistics
T growth at present. Economic activity was sector is still about 3 percent away from its prior
relatively strong in the second quarter, although highs.
some of the improvement was due to higher export
prices and some catch-up of other economic activity The current performance of the index is based on
after the harder lockdown in the first quarter. data from June, and it is expected that the looting
and Level 4 restrictions experienced during July will
“While growth in the majority of sectors have a negative effect on various sectors, including
measured by the Ctrack Freight Transport Index air and sea freight, and naturally road and rail
is great to see, unfortunately, a variety of external freight too.
factors will see this growth remain stagnant or
even decline in the short term,” says Hein Jordt, The recent closing of the N2 and N3 and
Managing Director of Ctrack SA. Transnet ports due to looting and unrest will
most definitely mean that the index for those
However, it is expected that the recent stricter sectors will show month on month declines in July
lockdown measures may have had a negative impact and August.
on the service portion of the country’s GDP, so
only time will tell if the freight transport and GDP The effects that the recent unrest will have on
relationship remained as is during the second the entire transport sector are concerning. The
quarter. knock-on effect of road and port disruptions will
include negative impacts on rail, pipelines and
Road, sea freight perhaps even air freight. The effects of the riots
Measuring the changes in the activity of the and lockdown Level 4 have not yet been felt, and
different transport sectors over a two-year period we will have to wait for the July numbers before we
indicates that the majority of the sub-sectors can truly ascertain what effect it all will have on the
measured by the index have not yet returned to transport industry.
pre-COVID-19 levels. Only road freight has fully
recovered and surpassed previous levels, mainly to “While the recent unrest was frightening to
the detriment of rail freight, which still struggles see, it once again highlights the need for a reliable
L O GI S T I CS NEWS its previous highs due to factors such as some offers a wide variety of bespoke solutions for every
along.
tracking and fleet management solution. Ctrack
industry. These solutions will ensure that vehicles
Rail transport is still about 16 percent off
and cargo are always visible and contribute to
derailments on the coal line and some problems on
increased safety and ability to plan around any
other lines that continue to hurt the sector.

18 A U GU S T 2021 delays,” adds Jordt. www .l o g ist i csn e w s .c o .z a