The Democratic Alliance (DA) has long called for greater private-sector participation in South Africa's ports because the state-run system has failed our economy. Transnet's decision to seek a private-sector operator to redevelop and operate the Cape Town Multipurpose Terminal under a 25-year concession is an important and necessary reform. It reflects the longstanding calls from the DA, the City of Cape Town, the Western Cape Government and the business community for greater private-sector participation at the port.
This is a significant step forward, but it applies only to the Cape Town Multipurpose Terminal, not the Container Terminal, and must be followed by wider reform across South Africa's ports.
Recent improvements in Transnet's financial performance demonstrate that further reform is both possible and necessary.
- Transnet narrowed its net loss by 74% to R1.9 billion during the 2025 financial year.
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- Revenue increased by 7.8% to R82.7 billion.
- Core operational profit rose by 39.4% to R30.6 billion.
We must build on this by accelerating private investment, expanding long-term concessions and introducing genuine competition across the national ports system.
Countries that have modernised their ports have separated regulation from operations while allowing experienced private operators to run terminals under long-term concessions.
The landlord port model, used across Europe and Latin America, has delivered higher productivity, lower costs and greater investment without compromising public oversight. South Africa should follow the same path.
We will use our role in Parliament's Portfolio Committee on Transport to drive legislative reforms that accelerate concessioning, strengthen independent regulation and remove barriers to private investment across South Africa's ports.
