Move to Reform and Revitalise National Rail System Welcomed

The Western Cape Government welcomes the announcement by National Minister of Transport, Barbara Creecy, confirming the completion of Transnet’s adjudication process to select new Train Operating Companies (TOCs) through its Rail Infrastructure Manager.

This milestone is particularly significant for the Western Cape as two new TOCs have been allocated to the Cape Corridor, which serves the province directly. Both operators will manage manganese routes originating in the Northern Cape’s Hotazel and Postmasburg mining regions, transporting this vital mineral to the Port of Saldanha.

Saldanha Bay is South Africa’s premier bulk export port and a strategic asset for the Western Cape economy. Strengthening these manganese flows to Saldanha Bay will not only enhance the port’s global competitiveness but also ease pressure on roads by shifting heavy loads from trucks to rail.

“The Western Cape Government is encouraged by Minister Creecy’s announcement. Opening access to our freight rail network is a critical step towards building a modern, efficient, and sustainable rail system that drives economic growth, creates jobs, and strengthens our province’s role as a national and international trade hub. We look forward to working closely with Transnet, new operators, and the private sector to ensure that these reforms deliver real benefits to our communities and businesses,” said Western Cape Mobility Minister Isaac Sileku.

By boosting rail capacity into Saldanha Bay, supply chain reliability for agriculture, mining, and manufacturing exporters, who rely on efficient ports and logistics to compete globally, is further enhanced . At the same time, improved freight services can generate greater investment in rolling stock and terminals, unlocking billions of rands in private sector opportunities that will modernise South Africa’s rail system.

Western Cape Minister of Agriculture, Economic Development and Tourism Dr Ivan Meyer said, “This milestone marks a significant step forward in South Africa’s rail reform journey and aligns powerfully with the Western Cape’s Growth for Jobs Strategy. By enabling third-party access to our rail network, we are unlocking new opportunities for private sector investment, improving freight efficiency, and laying the foundation for inclusive, jobs-rich economic growth.

The allocation of new rail slots, particularly in corridors such as the Cape Corridor for manganese, will support the provincial government’s strategic goals of boosting exports, enhancing competitiveness, and driving investment in key sectors like agriculture and agri-processing.”

“By opening the Cape Corridor to new operators, we can move more cargo by rail, ease pressure on our roads, and unlock growth at the Port of Saldanha that creates jobs across the Western Cape,” concluded Minister Sileku.

Following the announcement, the focus must shift to implementation and delivery. The Western Cape Government urges all partners, including national government, Transnet, new operators, and cargo owners, to move with urgency so that the full benefits of rail reform are realised.