Times Of Swaziland: ESWATINI RAILWAYS RECORDS 13% DECLINE IN VOLUME PERFORMANCE

ESWATINI RAILWAYS RECORDS 13% DECLINE IN VOLUME PERFORMANCE
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Nhlanganiso Mkhonta on 25/02/2025 08:01:00


MBABANE - Eswatini Railways (ESR) continues to navigate the complexities of the
transport and logistics sector as the year 2024/25 progresses. Despite facing
several operational and economic hurdles, the organisation has shown resilience
and improvement in various areas compared to the previous financial year.
However, the overall year-to-date third-quarter volumes remain 13.8 per cent
below the budgeted target, marking a deficit of 845 450 tonnes.According to the
ESR performance review carried out in the organisation’s annual magazine, from
April to December 2024, actual volumes stood at 5 285 319 tonnes against a
budgeted 6 130 769 tonnes.
Although this figure falls short of projections, it reflects a notable increase
compared to the 5 537 498 tonnes recorded during the same period in 2023/24. ESR
Chief Executive Officer (CEO) Nixon Dlamini expressed optimism, stating that the
railway company is on an upward trajectory and remains committed to achieving
its targets by the close of the financial year. ESR reported that the
transportation of bulk sugar performed exceptionally well, surpassing the annual
budget by 25 977 tonnes.
The actual volume transported was 87 807 tonnes. The success in this sector is
attributed to efficient resource allocation, which has significantly enhanced
service delivery. This growth underscores the effectiveness of operational
strategies put in place to maximise efficiency. Timber transportation has also
performed well, exceeding the year-to-date budget by 658 tonnes, bringing total
volumes to 48 851 tonnes. The positive outlook for this commodity is expected to
continue into the fourth quarter, particularly with the acquisition of a new
client, which will further boost volumes.
Transportation
Fuel transportation, on the other hand, has underperformed due to reduced orders
from clients. This decline is largely due to government-imposed fuel quotas,
which have limited the number of train shipments. Currently, only two fuel
trains operate per month, as opposed to the four that were initially projected.
In a welcome development, wheat transportation has resumed, with ESR beginning
haulage operations in December 2024. Moving forward, projections indicate that
two trains per month will be allocated to wheat transport, marking a steady
resurgence for this commodity.Despite gains in some sectors, the overall
performance of containerised cargo fell short of budgeted expectations,
registering a 25.8 per cent deficit (26 570 tonnes).