Turnaround strategies implemented at Transnet to fast track the port and rail freight parastatal’s recovery have found traction in the bulk cargo shipped out via the Port of Richards Bay, Reuters reports.
An increase in coal exports of 11% to 57.66 million metric tonnes in 2025 via the Richards Bay Coal Terminal marks the highest coal yield for South Africa’s largest bulk commodities port in four years. The improved performance signals tangible progress in Transnet’s operational recovery, even as structural challenges continue to weigh on long term growth potential.
Coal volumes rise but structural constraints remain
While the rebound is encouraging and underpins the state-owned entity’s systematic return to more robust cargo figures, exports remain well below historical highs. Last year’s total is still 24.13% lower than the benchmark reached in 2017, when Transnet shipped 76 million tonnes of coal through Richards Bay.
Persistent capacity constraints continue to limit further volume gains. These include locomotive numbers lagging operational requirements, shortages of spare parts to sustain units in service, infrastructure shortfalls, as well as ongoing crime and vandalism. Together, these issues continue to choke Transnet Freight Rail’s volume improvement potential, Reuters says.
The scale and longevity of Transnet Freight Rail’s challenges have sharpened focus on the SOE’s open access rail network initiative. Under the programme, 11 approved private sector operators have been granted provisional access to seven of South Africa’s key freight corridors. The South African Association of Freight Forwarders and Business Unity SA have identified this process as a primary development to watch in 2026.
Despite some commodity shippers continuing to divert volumes to alternative ports such as Maputo, which could likely achieve even higher throughput were it not for recurring cross border snags on the N4 into Mozambique, renewed confidence is emerging among local miners. Companies such as Thungela Resources and Exxaro Resources have taken note of Transnet Freight Rail’s improved bulk handling results.
Operational data from the Richards Bay Coal Terminal reflects this momentum. A total of 7 157 bulk train loads were handled in 2025, an 11.27% increase from the 6 342 trains offloaded in 2024. On average, 20 trains were offloaded per day, up from 17 year on year.
On the demand side, Asia remains the dominant destination for South African coal, accounting for 79.8% of total exports in 2025, although this represents a decline from 84.5% in 2024. India overtook China as the largest single importer, receiving 25.75 million tonnes, or 45% of the total volume shipped through Richards Bay.
Exports to the European Union edged up to 7.2% from 6.8% the previous year, driven largely by stronger demand from the Netherlands. Meanwhile, exports to the Middle East rose sharply. Despite South Africa’s ongoing diplomatic tensions with Israel over the War on Gaza, Israel’s coal imports increased by one million tonnes to 1.78 million tonnes. Total coal exports to the Middle East reached 3.54 million tonnes in 2025, almost double the volume recorded the year before.