Prospects for citrus cultivation and export in South Africa indicate strong growth. Tree count data confirms that more than 200 million cartons of citrus weighing 15 kg will be packed and exported in the near future.
An evaluation of this data shows that 190 million cartons of cartons will be exported by the 2025 export season. The question that farmers and exporters should ask themselves is whether the logistics chain is capable of handling such numbers?
More specifically: is there sufficient reefer container shipping capacity available to keep up with this demand? “I expect it to be challenging, as global demand for reefer containers exceeds supply each year, driving up prices for refrigerated freight,” said Mitchell Brook of the Citrus Growers Association.
Actual and estimated growth of citrus production in South Africa
If one considers that the fleet of conventional refrigerated vessels is rapidly shrinking, the sector is headed for disaster. Assuming a stagnation (or even a decrease) in the number of citrus shipments with conventional refrigerated containers, the demand for reefer containers will increase from 85,000 refrigerated units in 2020 to 110,000 units in 2025, which represents an increase of at least 30%.
A bleak scenario threatens if the number of new refrigerated vessels is not increased significantly
Only four new reefer vessels have been built in recent years, which means that the availability of these vessels has reached a level where there is no direct competition for container lines on this trade route. Unless more new reefer ships are built, the bleak scenario threatens.
The world’s newest refrigerated vessel, High cube mv Cool Eagle
The MV Cool Eagle, a brand new conventional refrigerated vessel built in 2021, recently sailed loaded with citrus fruits from South Africa to Rotterdam and Saint Petersburg. The ship is unique and considered the largest refrigerated ship in the world. The uniqueness of the ship is that it offers space for approximately 8000 high cube pallets below deck and approximately 6000 high cube pallets above deck, this corresponds to nearly 700 citrus refrigerated containers.
Proposal for the fruit sector to build refrigerated vessels by itself
“In my opinion, the fruit export sector should consider building four such ships that could serve in the long term on the route of South Africa, the Netherlands (or Belgium) and the United Kingdom. There are abundant numbers of South Africans. African fruit is available in these markets to justify such This development, which also provides space to ship products to South Africa so that ships are no longer empty,” says Brock (pictured right).
What about all the challenges caused by Transnet and their future consequences? “Nothing is likely to change in the way things are done at Transnet. Essentially, the situation will deteriorate due to the massive lack of investment in equipment and maintenance.”
A careful review of fruit exports to Europe and the United Kingdom
Citrus growers and exporters will be surprised to know that a container loaded in Durban takes an average of 21 days (SAECS & MSCEM assessment, March to May 2021, Source: Linernet) to be loaded into the Cape Town port and an average of another 16 days to reach Europe . Due to low throughput, container ships spend unnecessary time in South African ports.
“I think that South African fruit growers should rethink the future sustainability of fruit exports. Exports to Europe and the UK in particular should be carefully reconsidered. I don’t think the solution is to load containers from Well Bay, Richards Bay or Maputo but in Brooke concludes with ships like the Cool Eagle, operating out of private terminals in South Africa, which were actually owned by fruit growers.”
for more information: 
Mitchell Brock
CGA Logistics Development Manager
+27 31765 2514
[email protected]
www.cga.co.za
