Freight transport is the backbone of any country’s economy. It is no secret that the road freight industry is rapidly developing in South Africa which offer numerous opportunities.
However, there are and always will be several challenges the road transportation industry face. Some of the road freight problems in South Africa include:
The ever-rising cost of fuel: The increase in fuel cost is a major concern for both the business as well as the consumer. The business will have to increase the prices to be able to sustain in the market, and the consumer will have to pay more due to rise in price.
Cost of logistics: Along with rising fuel cost, the company also incurs logistic costs, such as wear and tear of tyres and vehicle maintenance cost, among others. This play a vital role in their sustainability as these companies are mostly dependant on vehicles to successfully run the business.
Environmental concern: Every company is required to make a conscious effort to reduce their carbon footprint. Vehicles are major contributors to environmental pollution, and any transportation company poses a threat to the environment. It is important for these companies to invest in strategies that do not harm the planet.
Lack of skilled workers: Another hurdle on the road within the industry is the lack of a skilled workforce. The unavailability of a skilled workforce is viewed as one of the key constraints to the growth of business operations in South Africa. It is important to have well-trained professionals across all divisions to ensure smooth workflow.
Regional connectivity: The state of a country’s transport infrastructure determines the performance and growth of its economy. South Africa needs to invest in its transport infrastructure as we are challenged with the unavailability of proper infrastructure, leading to long road transit time, the lack of adequate infrastructure, deterioration in the already existing infrastructure and accelerated wear and tear of the vehicle that increases the cost of maintenance.
Road safety: Fatal road accidents are mainly caused by the lack of proper infrastructure. Bad roads are also a major cause of trucks being hijacked frequently. Road freight businesses in South Africa must invest more on insurance to ensure the safety of their employees as well as the cargo.