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Post-Election Tension: Grindrod Records 13% Drop in Cargo Handling in Mozambique

Post-Election Tension: Grindrod Records 13% Drop in Cargo Handling in Mozambique

Post-election tensions in Mozambique continue to affect logistics operations in the country, leading South African logistics company Grindrod to face a 13 per cent drop in the volume of dry cargo handled at its terminals. This setback is due to the protests that began in Maputo on 21 October 2024 and extended to the Ressano Garcia border, Engineering News reported.

The protests, characterised by frequent border closures, significantly disrupted logistical flows and port activities. By 30 November, these disruptions had resulted in the delay of 24 ships and the cancellation of six operations due to insufficient stocks available on the quayside.

Despite the adverse context, the Port of Maputo has made progress in some indicators. Between January and November 2024, it handled 13.2 million tonnes of dry cargo, an increase of 14% on the same period last year, driven by the robust performance of the chromite market and the efficiency of port operations.

On the other hand, the total cargo handled by Grindrod at its terminals in Mozambique fell to 10.2 million tonnes, reflecting the combined impacts of social tensions and the cooling of the coal market.

On the financial front, Grindrod’s share of Port of Maputo revenues rose 37 per cent to 16.8 million dollars (1.08 billion meticals), compared to 12.3 million dollars (approximately 792 million meticals) in the same period of 2023.

With the protests still ongoing and local uncertainties persisting, Grindrod remains focused on reinforcing the infrastructure and optimising logistics operations, while monitoring the evolution of the situation in the country and adopting strategies to mitigate the impacts on its services.

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