Port Operations Suspended and South African Border Closed
Recently, large-scale protests erupted in Mozambique, a southern African country, resulting in at least 30 deaths, frequent large-scale looting incidents, severe damage to infrastructure, and posing a potential threat to public safety. In response, neighboring South Africa has taken a series of important measures, including closing its borders and suspending port operations, which has had a significant impact on logistics and the economy in the region.
South African Border Closure
Concerning about?public safety, South Africa has temporarily closed its main border with Mozambique.?The South African Border Management Authority (BMA) announced the closure of the Lebombo border post due to vehicles being burned on the Mozambican side of the border. Dr. Michael Masiapato, the BMA Commissioner, urged the freight industry to suspend transportation through this post and recommended using alternative routes until the situation stabilizes.
This border closure is expected to affect the flow of goods and commodities in the region, presenting a serious challenge to logistics between South Africa and Mozambique. According to Gavin Kelly, the CEO of the Road Freight Association, the closure of the Lebombo border post and the disruption of cargo transportation at Maputo Port result in a daily loss of 10 million rand to the South African economy. In addition, hundreds of trucks carrying cargo, including a large amount of chrome, are stranded. South Africa is the world's largest exporter of chrome, and Maputo Port is a crucial hub for chrome exports.
Maputo Port Operations Suspended
Due to the unrest, operations at Maputo Port have also been suspended. Logistics operators have announced the suspension of their port and terminal operations in Maputo and Matola to ensure the safety of their employees. This follows the closure of the Lebombo border crossing?connecting South Africa and Mozambique and the suspension of railway operations.
Maputo Port is the largest commercial port in Mozambique and one of the largest ports in the region,?with a general cargo area and a dedicated bulk terminal area, featuring more than 20 berths. Its throughput reached 21 million tons in 2020. Its strategic geographical location is of great importance to trade with neighboring countries.
Impact on Trade
Of particular concern is that Mozambique is one of Chinese?important sources of tropical timber in Africa. In the first nine months of 2024, Mozambique's total timber exports to China reached 117,800 cubic meters, a 25% increase year-on-year, with Maputo Port handling a large volume of coal, ore, oil, timber, and other import and export business for the country. The current instability in Mozambique may have potential impacts on trade and related industries between the two countries, and the subsequent situations?are worth close attention.