The Ports Regulator of SA’s decision to grant an average tariff increase of only 2.5% instead of the 8.45% requested by the National Ports Authority is most welcome. South African port tariffs are very high by international standards and, ideally, should be reduced. However, a small increase is a step in the right direction. Port tariffs add to the cost of exports and everything possible should be done to help exporters ensure that they remain globally competitive. We have recently seen Airports Company SA reduce tariffs substantially, and one of the results has been growth in air traffic. Lower port charges could mean more business. An example is the fact that very few ships were called in to Cape Town to take on bunkers because they said the port tariffs were too high. This is an example where a reduced tariff could mean more business for the port. Another is that lower port costs could encourage more cruise liners with their thousands of tourists, who would spend money in the cit...
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