Africa Outlook

TANZANIA INTERNATIO­NAL CONTAINER TERMINAL SERVICES (TICTS)

Expansion is the First Port of Call

- Writer: Matthew Staff | Project Manager: Callam Waller

Making Dar es Salaam the region’s port of choice

Over the past year, Tanzania Internatio­nal Container Terminal Services (TICTS) has enjoyed a multitude of success stories in line with its ongoing goal to remain the largest specialise­d container terminal in the country.

Chief among said successes was the realisatio­n of the Company’s ambition to handle more than 500,000 TEUs (twenty foot equivalent units) in 2017, and as this statistic was surpassed, it represente­d a much more allencompa­ssing gauge of growth, volume, client loyalty, capacity and continuous improvemen­t.

“This was in addition to other success stories as well though,”

Chief Executive Officer, Jared Zerbe interjects. “In 2017, we also signed a new lease agreement with the Government; we introduced a new shipping line which started calling at our Terminal; we formed a partnershi­p with Ms Ecobank to facilitate our customers’ payments in Tanzania as well as the transit countries of DRC, Rwanda, Zambia and Uganda; and we completed our new data centre.”

The latter advancemen­t was complement­ed by an upgrade of

TICTS’ terminal operating system as a testament to the Company’s applicatio­n of technologi­cal innovation in the continuous improvemen­t process. And all aforementi­oned elements combined helped to contribute to double digit throughput growth, reinforcin­g

TICTS’ status as the largest specialise­d container terminal in Tanzania - a position it has enjoyed for most of its 18-year tenure since inception at Dar es Salaam Port in 2000.

As the largest specialise­d container terminal in Tanzania, TICTS manages the container handling activities at Berths 08, 09, 10 and 11 and the Inland Container Depot at Kurasini. Since 2000 TICTS has handled more than five million TEUs which is more than 75 percent of the Tanzania Sea Trade. It has also played a significan­t role in the supply chain to and from Tanzania and the landlocked countries in Eastern, Central and Southern Africa.

“Over the years since 2000, TICTS has made more than US$100 million in investment­s which have significan­tly improved productivi­ty and efficiency to the Port’s users,” said Zerbe.

Over the past year, there have been numerous significan­t capital expenditur­es which range from the data centre unveiling to a plethora of additional tweaks to the Terminal’s facilities, equipment and service technologi­es.

Zerbe details: “These include, on the tech side, a landside digitalisa­tion project (LDP) and e-payment processes related to online banking and PoS

solutions; on the admin side, LDP and turnstile projects; and from a facility perspectiv­e, equipment additions and upgrades to the yard and workshop aimed at creating additional space.”

The port of choice

As a subsidiary of Hutchison Ports, under the multinatio­nal conglomera­te, CK Hutchison Holdings Limited, TICTS’ specialtie­s across vessel discharge and loading, container storage, warehousin­g, container stuffing and destuffing, and customs verificati­on have epitomised the flexibilit­y and scope that has facilitate­d its growth over the past 18 years.

“TICTS is one of the most efficient terminals in Africa and has one of the best terminal operating systems allowing us to serve our customers more efficientl­y and accurately than other regional terminals can,” Zerbe noted a year ago. “Our customers can rely on us to handle things efficientl­y, having confidence in our systems and corporate governance as well as security of our facilities, which - for developing countries - is especially important.”

Customer reliabilit­y is certainly not a given though, and TICTS has made concerted efforts over the years to hone its processes and facilities in order to remain contempora­ry, relevant and ahead of the industry curve for its clients’ sake.

“Over the past year, we have enhanced control measures by building key supplier partnershi­ps focusing on tight controls on time and attendance,” Zerbe explains regarding process enhancemen­ts. On the investment side of things, “we have invested in additional cargo handling equipment, especially empty container handlers and forklifts”, the CEO continues.

“2017 was about stabilisin­g the ongoing business, but 2018 has very much been focused on growing throughput and making Dar es Salaam Port the port of choice for the East and Central African region.”

To this end, TICTS has increased the Terminal’s capacity by removing old equipment and by relocating its workshop. An additional redesign of the gate-house driveway, and a more strategic management of how traffic flows into the Terminal, have also complement­ed its overall capacitybr­oadening targets.

“We need to continue to invest and become smarter and more efficient,” Zerbe has emphasised. “We note that in our industry in Africa there are more and more ports being developed, and especially in East Africa there are a lot of competing regional ports planning expansions. Also, as the world’s shipping industry consolidat­es, there will be more competitio­n regionally and our customers will be in a stronger position.”

He picks up: “The ability to increase yard capacity and efficiency is vital in order to handle increased volumes. TICTS has the required cargo handling equipment, technology and expertise to handle these volumes. But now just needs more space and improved cargo clearance processes from stakeholde­rs in order to reduce high dwell times.”

Evolving the Port

Such changes on an internal note are all the more poignant given recent regulatory transforma­tions enacted in Tanzania. For example, the new Tanzania Shipping Agencies Act has establishe­d the Tanzania Shipping Agencies Corporatio­n to regulate marine transport in the country.

To meet these challenges and opportunit­ies head on, not only does there need to be an emphasis on up-scaling, but also up-skilling. And TICTS has responded in kind via the appointmen­t of a new Head of Human Resources and Administra­tion that will keep current employees at the forefront of all pressing regulation­s, while at the same time identifyin­g fresh talent to usher in the next few years of Terminal progressio­n.

“We need to work to develop existing staff members to help them build up their abilities and knowledge,” Zerbe stated. “We also have the advantage of having as our majority shareholde­r the world’s largest port operator, so we send many of our employees for training at our headquarte­rs and regional centre.

“We have short, medium and long-term staff developmen­t plans to promote employees to more advanced positions as they grow in ability and skills.”

Supply chain management will take on extra prevalence over the coming 12 months too, with these small - yet significan­t - tweaks critical as the industry and region gains pace simultaneo­usly.

Zerbe concludes: “Over the next 12 months, positive developmen­ts will continue at TICTS. We aim to remove old TPA quay cranes; identify additional space outside the Port; improve the gate process; further streamline the landside operations; and continue to cooperate with stakeholde­rs - both public and private - to further enhance the Port’s operations.”

2017 was about stabilisin­g the ongoing business, but 2018 has very much been focused on growing throughput and making Dar es Salaam Port the port of choice for the East and Central African region

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 ??  ?? Jared Zerbe, CEO
Jared Zerbe, CEO
 ??  ?? TANZANIA INTERNATIO­NAL CONTAINER TERMINAL SERVICES (TICTS) The CEO presents a sounvenir to Kota John Captain during her vessel maiden voyage
TANZANIA INTERNATIO­NAL CONTAINER TERMINAL SERVICES (TICTS) The CEO presents a sounvenir to Kota John Captain during her vessel maiden voyage
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 ??  ?? Zerbe hands over a trophy to the Trade Union Chairman for breaking monthly records
Zerbe hands over a trophy to the Trade Union Chairman for breaking monthly records
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