Transnet signs 20-year deal set to strengthen citrus exports
- Dylan Naidoo
- 6 hours ago
- 2 min read
By: Dylan Naidoo
On 13 May 2026, Transnet National Ports Authority (TNPA) and FPT Group (Pty) Ltd signed a 20-year deal set for the redevelopment and operation of the fresh produce terminal at the Port of Durban’s Point Precinct. This deal is not the first redevelopment project done by the TNPA, as the company has slowly been transferring many of its sectors towards privately-run operations, such as the Richards Bay Dry-Bulk Terminal.
The deal has been classified as “transformational”, set for the future development of the specialised fresh produce terminal. As per the TNPA’s statement, this agreement is expected to “accelerate strategic port infrastructure investment, improve logistics efficiencies and reinforce the Port of Durban’s capability to handle growing volumes of time-sensitive agricultural exports.”
The terminal is expected to increase in volume by an estimated 1.691 million tons per annum by 2028, with an expected 2% growth each year. As South Africa grows as a citrus exporter, it will ensure the country’s growth within the agriculture sector, propelling South Africa forward as a major competitor in the citrus export space. The TNPA notes that the export of citrus in South Africa is vital in supporting the agriculture economy of South Africa, citing its contribution to thousands of jobs within the farming, packing and transportation chains.
The FTP Group has also stated that this partnership is expected to lead to many socio-economic benefits including infrastructure redevelopment, support in enterprises and job creation. For this to happen, an estimated R397 million has been committed, which will assist in business operations. There is also an estimated R3.3 billion that will be invested in operations including supplier development, localisation and better initiatives that assist in the economy, further aligning to the TNPA’s transformation objectives.
“The agreement advances the implementation of the Transnet Reinvent for Growth strategy, which prioritises infrastructure modernisation, enabling public-private partnerships and improved logistics performance,” said Mohammed Abdool, TNPA chief executive.
“We are confident that this partnership will unlock sustained growth for South Africa’s citrus export sector and the broader economy. By improving access to global markets and enhancing export efficiencies, the partnership is expected to strengthen the competitiveness of South African produce while contributing to increased foreign revenue earnings.” says Paulo Franco, FPT managing director.
For more information, visit: https://www.transnet.net/SubsiteRender.aspx?id=6362826
