Transnet operating division Transnet Engineering (TE) aims for its relatively new maritime business to reach R1-billion in turnover in the next eight to ten years, says TE manufacturing and ports GM Tshwanelo Tswai.

The three-year-old business has expanded rapidly, with current turnover at roughly R300-million, and with the target for this financial year set at R550-million.

TE’s maritime business was formed as part of a diversification strategy, with TE previously focused largely on rolling stock maintenance and manufacturing, says Tswai.

There also existed a market gap in the maritime refurbishment and manufacturing space within its sister divisions, such as Transport Port Terminals.

TE Manufacturing has four focus areas.

The first is Transportation, with expertise in the new-build, remanufacturing and refurbishment of rolling stock equipment, such as wagons and locomotives, while Modernisation focuses on the refurbishment of components for rolling stock and port equipment.

Fabrication is responsible for heavy engineering and component fabrication, while Maritime focuses on the new-build, remanufacture and refurbishment of port- and maritime-related equipment, such as skips, port tractors/haulers, port trailers, straddle carriers and rubber-tyred gantries.

Tswai says TE has, to date, completed several projects, including designing and building its own port hauler. Two of these prototypes are undergoing testing, and will be deployed once this process is completed.

The business has also manufactured 23 straddle carriers in partnership with an original-equipment manufacturer, and refurbished 18.

The ultimate aim is to improve equipment uptime at South Africa’s ports, independently, or with the private sector.

Tswai adds that TE is currently focused on any work it can obtain from equipment to be found at a port’s stacking yard, to where it reaches the customers – port to rail to customer, and vice versa.

Part of the strategy to expand the maritime business further, however, is to move the business onto the water, so to speak.

This may include maintenance work on Transnet’s tug boats, for example.

TE is also looking for work outside Transnet and South Africa, at other African ports, much in the vein of what it is doing for its parent company in the domestic market.

In short, Tswai notes, TE is focused on expanding its service offerings and diversifying its manufacturing capabilities.

“[We are] fostering strategic partnerships and penetrating new markets.

“TE is poised to significantly increase its market share in the port equipment maintenance and manufacturing sector.

“These initiatives will not only strengthen TE’s position within South Africa, but also establish its presence as a key player across the African continent.”

• Tswai spoke during a media visit to the TE Salt River site in Cape Town.