Durban Port Secures R1 Billion Investment to Strengthen Food Exports

The concessions, awarded under a 25-year Public-Private Partnership framework, will see private operators finance, design, upgrade, operate, and maintain terminal facilities before transferring them back to TNPA.

In a major push to enhance South Africa’s food security and global trade competitiveness, the Transnet National Ports Authority (TNPA) has awarded two high-value concessions at the Maydon Wharf Precinct in the Port of Durban, unlocking over R1 billion in private sector investment.

The move marks a strategic shift toward modernising port infrastructure and strengthening supply chains for agricultural and perishable exports—critical sectors for South Africa’s economy and the broader Southern African Development Community (SADC) region.

Two Major Concessions to Transform Maydon Wharf

The concessions, awarded under a 25-year Public-Private Partnership framework, will see private operators finance, design, upgrade, operate, and maintain terminal facilities before transferring them back to TNPA.

Key allocations include:

• KHOLD (African Port Logistics and Infrastructure Pty Ltd)

  • Investment: R250 million

  • Focus: Handling fresh produce and break-bulk cargo

• BAL SA & Africa Global Logistics Consortium

  • Investment: R810 million

  • Focus: Development of a multi-purpose terminal for agricultural dry bulk and compatible cargo

Together, these projects will significantly expand the port’s capacity to handle high-value agricultural exports, from fresh produce to dry bulk commodities.

Strengthening Food Security and Export Supply Chains

The upgrades are expected to improve the efficiency of farm-to-port logistics, ensuring faster, more reliable movement of agricultural goods to international markets.

Industry analysts highlight that improved port handling capacity can:

• Reduce delays and spoilage in perishable exports

• Lower logistics costs for farmers and exporters

• Enhance South Africa’s competitiveness in global agricultural trade

• Strengthen regional food supply chains across SADC

From Brownfield Assets to Modern Logistics Hub

The projects involve brownfield redevelopment, meaning existing infrastructure will be modernised into automated, terminalised facilities equipped to handle growing cargo volumes.

TNPA officials said the transformation will turn Maydon Wharf into a next-generation logistics hub, aligned with Transnet’s “Reinvent for Growth” strategy.

“These concessions not only respond to market demand but also advance national priorities by ensuring that Maydon Wharf evolves into a modern, efficient, and inclusive logistics hub,” said Dr. Dineo Mazibuko, TNPA General Manager for Commercial Services.

Inclusive Growth and Transformation Commitments

Beyond infrastructure, the concessions carry strong socio-economic transformation commitments, including:

• Participation of black-owned enterprises

• Inclusion of small and emerging businesses

• Expanded opportunities for previously disadvantaged groups

This aligns with South Africa’s broader agenda of ensuring that infrastructure development drives inclusive economic growth.

Boost for Regional Trade and SADC Integration

The Port of Durban—Africa’s busiest container port—serves as a critical gateway not only for South Africa but also for landlocked neighbouring countries.

The upgraded facilities are expected to:

• Enhance regional trade flows

• Support export diversification

• Improve connectivity between inland agricultural zones and global markets

Next Steps: Finalising Agreements

The selected bidders will now enter into negotiations with TNPA to finalise Terminal Operator Agreements, a key step before project implementation begins.

Once operational, the upgraded terminals are expected to play a pivotal role in:

• Strengthening export resilience

• Supporting agri-industrial growth

• Positioning Durban as a leading global agricultural export hub

A Strategic Investment in Future Trade

With over R1 billion in committed investment, the Maydon Wharf concessions represent one of the most significant recent upgrades in South Africa’s port infrastructure.

As global demand for agricultural exports continues to rise, such investments will be crucial in ensuring that South Africa—and the wider region—can compete effectively in international markets while securing its food supply chains.