The R4.5 billion logistics hub in Mooi River may reduce the number of trucks on the N3 highway.
Image: Doctor Ngcobo / Independent Newspapers
The small town of Mooi River in the KwaZulu-Natal Midlands is set to become a key logistics hub following plans to invest billions of rand in a dry port to ease the congestion of trucks heading to and from Durban on the N3 route.
The estimated investment in the project is R4 billion. The logistics hub dry port is one of several multi-billion rand projects earmarked for the area. The others include an industrial hub to be built in an unused textile factory, an agricultural processing plant, and a housing development.
The municipalities involved in the projects stated that building a logistics hub in the area is essential to reduce road congestion, prevent truck accidents, and ensure the smooth delivery of goods between Durban and Johannesburg.
Trucks carrying containers will stop in Mooi River, offload the containers onto trains, and the trains will take them on the final journey to Durban. The reverse will apply to containers coming from Durban; containers will be loaded onto trucks and offloaded at the Mooi River hub for their journey to Johannesburg.
James Martin, a manager at the Umgungundlovu District Municipality Economic Development Agency, said the town of Mooi River is set to be transformed through investments. He expects an estimated investment of about R4.5 billion in the area, with approximately R4 billion allocated to the proposed dry port.
He mentioned that the town, strategically placed on the N3 corridor, has been significantly affected over the past three decades by incidents impacting the country’s economic landscape, including devastating violence pre-1994 and being decimated by civil unrest.
Speaking on the logistics hub, he said: “We identified Mooi River as a key development strategic node, especially given that the N3 corridor from Durban, Hammarsdale, Mkhambathini, and Pietermaritzburg is filling up and there is no more industrial space for development.”
He added that a developer has identified a site in Mooi River and has “every intention of setting up a dry port in the Mooi River area. The environmental impact assessment and water licences are currently underway, and substantial funding has been secured for an investment in a dry port in the Mooi River area. The net investment into the Mooi River area for the dry port is estimated to be R4 billion.”
He also mentioned that they estimate about R500 million will be invested in turning a Taiwanese textile factory that closed down nearly three years ago into an industrial park. Several investors have shown interest in building this industry.
The factory is about five hectares in size. The Taiwanese owners are reportedly engaging with their head office to discuss how to handle this industrial hub, as they could either lease the land or partner in the hub.
Themba Mkhasibe, Manager of Local Economic Development (LED) in the Mooi River Mpofana Local Municipality, stated that due to the lack of economic opportunities in the area, they have identified several opportunities to revive the town. “These projects will restore the area to its original purpose, as the town was established years ago as an industrial hub.”
He highlighted that the logistics hub is one of the key projects. “Given the number of truck accidents along the N3, this hub will be central in decreasing truck congestion on the N3, thereby reducing accidents by ensuring that goods are transported by train.”
He said the other projects would be key in reviving the town’s fortunes and improving economic opportunities for the local residents, as currently, there are no industries or factories. “Mooi River is located on the N3, in the centre of all big cities; it is an ideal place for such investments.”
The Road Freight Association declined to comment on the “dry-port” project, stating they are not aware of it.
Mkhasibe said as part of implementing the projects, they will engage with several departments and Transnet to ensure that rail is in good condition for this hub. “We will also engage with the Department of Transport to ensure that all our roads are in good condition to handle the expected traffic,” he said.
For more stories from The Mercury, click on the link THE MERCURY