Page 8 - KZN Business Sense - Vol4 No1 - eBook

DURBAN RECORDS BEST EVER AIRFREIGHT VOLUMES

record-breaking increase captured in the third quarter Durban, as well as the increased
of 13.7 percent in when compared to the same frequency of chartered aircraft Durban’s international cargo
A Durban’s international period last year. “This is the using King Shaka International
cargo volumes has been praised highest ever recorded cargo Airport. volumes in the third quarter increased
by eThekwini Municipality as throughput during the months
the high cargo throughput is of October and November 2017, “Investment in a new by 13.7 percent when compared to the
expected to impact positively on which exceeded the 1,700 tonne specialised outsized cargo
the local economy. mark per month for the first handling facility has significantly same period last year.
time.” contributed to our ability to
The achievement was handle bulky shipments,” said
announced on 1 February DTP said the spike has Mlibo Bantwini, Dube Cargo
by Dube TradePort (DTP) been primarily driven by the Terminal Executive. Bantwini enabled supply-chain specialists in various elements such as the
management who emphasised introduction of additional wide- added that this infrastructure, as to respond quickly to the needs of bulk infrastructure growth,
that this is the highest increase bodied passenger flights into well as the systems in place, has the company’s freight forwarders town planning approvals, new

by providing them with a reliable foreign investor attraction and
and competitive solution for their international marketing.
charters flying into Durban.
“DTP continues to be a key
Russell Curtis from Invest catalytic project growth node for
Durban said this demonstrates eThekwini hence we are currently
the strength and diversity in local ramping up our participation
business base and underlines the to further develop the route.
growing importance of time- Our catalytic projects office
sensitive freight in local value team continue to prioritise and
chains. He added that the DTP facilitate the bulk infrastructure
infrastructure and services in and planning approvals for
support of these globalised value the precinct. As a result of our
chains continues to underline commitment, our investment
Durban’s relevance as a major dashboard of new investors
business hub. targeting DTP is growing. Also
large existing local businesses,
Curtis said the City is such as banks, property
thrilled about this new record developers and hospitality
of airfreight volumes and industry giants are also coming
proud to have contributed on board now to better market
to the success. He said the the region and attract more
Municipality across multiple global tourists, both leisure and
units has been supporting DTP business,” added Curtis. 

CALL CENTRES AND TOURISM CONTINUE TO

DRIVE DEMAND FOR SPACE IN KZN

emand for space to Tongaat Hulett Developments. economy — tourism — continues
accommodate Durban’s to show growth and demand for
Drapidly-expanding business This will be welcomed by more facilities.
sector continues to feature as a Durban’s 1.6 million labour force
backdrop to the local economy. which boasts a literacy rate of This view is supported by
This is evident in the pace at which 84.3%: BPO facilities have a higher research which shows that hotels
newly-created space or facilities staff density and will bring more in uMhlanga alone represent 28%
in the north coastal development jobs to the region and thus boost of the province’s hotel market,
corridor of Durban are taken up as the local economy. with occupancies, rates and
expansion continues unabated. revenue per available room having
Shabalala says the availability outperformed the national market
One need look no further than of affordable space is one of the for the past three years.
the pace of development north reasons that KwaZulu-Natal has
of Durban, up to and including become a hotspot for locating This strong performance is
King Shaka International Airport call centres. The province is linked in part to growing business
and Dube TradePort, to witness home to more than 60 BPO travel, but also the proximity to
this phenomenon. centres and accounts for almost King Shaka International Airport.
50% of South Africa’s financial
“Business process outsourcing services call centres. “Interest from hotel operators is
(BPO) has been identified as evident all over uMhlanga, with
a compelling market sector in “This is a major advantage that a spate of new hotels opening in
the region and Tongaat Hulett we have over other centres, and it the next year or two. The likes
is committed to facilitating is one that we are looking to build of the Radisson Blu Hotel, the
development to accommodate this on by establishing BPO Parks that Marriott uMhlanga and proposed
demand and open up attractive could host a number of facilities in premium-brand hotel for
and profitable investment one location. We have only recently uMhlanga Arch demonstrate this
opportunities. Fortunately, there completed our research into the interest.
are a number of such opportunities market demand for the concept
available in our portfolio right and are confident that the idea has “We expect this demand to
now that can provide specifically great merit.” continue into the near future,
tailored solutions to accommodate In addition to this comparatively which is good news all round
that demand,” says Xoli Shabalala, new sector, a staple of the region’s for Durban’s broader business
Head of Market Solutions at community.”  Xoli Shabalala, Head of Market Solutions at Tongaat Hulett Developments.

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