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South Africa Losing R10 Million Daily in Trade Due to Mozambique Election Turmoil

The aftermath of the elections in Mozambique has led to daily losses for South Africa of up to R10 million due to hindered trade, according to the Road Freight Association (RFA).

The CEO of the association, Gavin Kelly, has urged President Cyril Ramaphosa to intervene and help restore order to the ongoing conflict.

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“What we require is a Statesman who can convey to Mozambique that our nation is suffering – and that there must be a consensus on a path forward – while ensuring that the corridor to the Port of Maputo remains secure. This needs to be prioritized at all costs, by any means necessary,” Kelly stated.

“Our drivers, trucks, and the cargo of our customers, along with the reputation of countless African businesses, are under constant threat.”

“Drivers face violence (despite having no connection to Mozambique’s political affairs), trucks are subject to theft and arson, routes to the Port of Maputo are obstructed, and even the Port itself is effectively besieged.”

The opposition leader of Mozambique, Venâncio Mondlane, has challenged the results of the October elections, where Frelimo’s candidate, Daniel Chapo, won with a significant 71% majority. The electoral commission has rejected allegations of electoral fraud, although international observers noted flaws and irregularities in the counting process.

Currently in hiding, Mondlane informed the BBC that protests should persist until Frelimo engages in negotiations.

“Nearly 70 individuals have lost their lives due to post-election violence, eliciting worldwide condemnation.”

The South African government congratulated Frelimo on its victory under Chapo’s administration, marking the first Frelimo leader born after the country’s independence.

Read: The background to Mozambique’s deadly protests

A letter from the Southern African Catholic Bishops’ Conference expressed regret over the South African government’s support for the election results, stating: “It will be challenging to continue suppressing the will of those who seek freedom. If the current government persists down this path, ruling the nation will become impossible, leading to increased suffering.”

Focus on fixing rail instead

While the Road Freight Association seeks Ramaphosa’s intervention for stability, there are concerns that South Africa could become entangled in foreign conflicts that drain resources and prove difficult to resolve.

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“Our focus must be on improving the railways within our borders,” says Jan Havenga, a logistics professor at Stellenbosch University. “It is evident that trucks crossing from South Africa into Mozambique face significant obstacles. The border was shut for several days not long ago, causing traffic jams extending up to 20 kilometers.”

“The answer lies in enhancing our rail networks and ports, considering that a single train can carry the equivalent of 30 to 40 trucks transporting goods by road.”

The instability in Mozambique has always been a concern, as noted by a transport expert. “In contrast, look at the peaceful transitions in Namibia and Botswana to grasp the situation better. That risk has always been a part of the Maputo trucking dynamic.”

Havenga added that the recent disruptions to road transport into the Port of Maputo may reignite interest in the long-discussed Trans-Kalahari Rail Corridor, which would link Gaborone in Botswana with Walvis Bay in Namibia, potentially reducing shipping times from Southern Africa to Europe by five days.

Read:
Crumbling SA rail prompts Botswana to forge new route
Scramble for critical minerals spurs an African rail revival

Kelly warns of the risk that Mozambique may regress into civil war, reminiscent of the devastation experienced in the 1970s.

“Do we wish to revert to that? Absolutely not. However, without the intervention of a Statesman (or Woman), this scenario could become a harsh reality, resulting in violence escalating into full-blown warfare among various factions, further destabilizing the entire nation.

“Such instability could halt all forms of goods, commodities, and tourism entering and traversing the country,” Kelly concluded.

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