Zim events spark tantalising vision of maritime and investment potential
AT LAST, our dictatorial neighbour has met his nemesis, although it seems he will be allowed to sail off into the sunset, down by the head with masses of pirated loot – and unpunished for atrocities committed during his rule.
Perhaps our ruling party will gain Dutch courage from their pals across the Limpopo and replace our deplorable leader, at least by Christmas. As he sails off into his sunset on a police launch, hopefully he will be replaced by someone without a dubious past, and with business experience, good management skills and the ability to get things done.
Although lethargy is so ingrained in much of our civil service, I hope that a new broom will sweep very cleanly, and in the process get a few butts moving.
With a new start in two key southern African countries, vast maritime potential and investment opportunities can materialise, provided nationalisation chants and other economically damaging political rhetoric cease.
Earlier this week, I heard that populous countries such as China and India, as well as Africa itself with its alarming population increase, are heading for greater food deficits that will swell the global demand for grain shipments.
At a time when shipping continues in the doldrums, the prospect of moving millions of tons of grain to areas of shortfalls will excite bulk carrier owners.
Once an exporter of agricultural products, Zimbabwe’s economy selfdestructed, led by Mugabe, leaving the country to be a net importer of food. With the tyrant gone – and provided a new tyrant does not arise – the country’s farmers may struggle to their feet, replant destroyed grainlands and regain the status of the breadbasket of the region.
It will take considerable time to restore the years that the locust has eaten, but, if all goes well, Beira can resume its role as an export port for Zimbabwean produce and minerals.
A new and steady hand on the South African helm will enhance the potential for growth in the local maritime industry, with a positive impact on the entire economy. Through direct and indirect investment, a number of projects can blossom.
The slowly-rising oil price could be the portent of a revitalised oil industry. As I wrote earlier this month, sustained price rises will encourage oil majors to increase the west African oil output, for which seabed installations will need to be reactivated, while production rigs and anchor-handling tugs will need to be taken out of lay-up.
With new, stable horizons beckoning in South Africa, perhaps it is time to invite investors to retool our ship repair yards in preparation for this eventuality – which will come sooner, rather than later.
Off our west coast, we are told, could lie considerable gas and oil reserves. Proper surveys need to be done to locate such wealth, if indeed it is there. Even the survey phase will bring specialised vessels here, with all their needs for fuel, stores, minor repairs, and, dare we hope, local crews.
However, our new leaders should work quickly to define the applicable tax systems for prospecting companies and – if the oil search yields positive results – for production companies. Without knowing the rules of the game, few will risk the huge capital outlay to undertake seismic or other surveys.
Other vital and far-reaching maritime-related projects – beneficiation, revitalised ports, drydocks, bunkering, crewing and others that fit snugly into Cyril Ramaphosa’s development plan – await the urgent attention of a new team in Pretoria.
By responding quickly and positively to even some of these ideas, the government will discover the employment potential of this dynamic, global industry. In the process, the smouldering powder keg of unemployment in the country will be dampened – partially.