Maritime Studies

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Exploring the implementation of the new customs act on the road congestion from the port of Durban.
(2021) Khuzwayo, Maxwell Nhlanhla.; Meyiwa, Ayanda.; Gumede, Sanele Aubrey.
Customs clearance of goods and subsequent conveyances for import, export or transit is a key compliance that aligns various governmental bodies and industry stakeholders involved in international cross-border trade. In the Republic of South Africa, this function falls under the control of the South African Revenue Services (SARS). Up to this point, the clearing of goods in the ports by the Customs department of the South African Revenue Services (SARS) in South Africa has been conducted in line with the regulations of the Customs and Excise Act of 1964. A major restructuring of this legislation has been done on this Act which will ultimately be known as the Excise Act and two new Acts have been promulgated. These are the Customs Control Act 31 of 2014 and the Customs Duty Act 30 of 2014. The Acts are largely aimed at addressing the needs of trade facilitation. In 2014 the Customs Control Act 31 and the Customs Duty Act 30 were signed into law. The relevant rules on these Acts were circulated for public comment and are available on the website of SARS. It follows then, that all the clearing of goods imported, will be conducted in compliance with the new Customs Control Act. The compliances under this Act are representative of measures which are different and in contrast to those of the Customs and Excise Act 91 of 1964. The aim of this paper is to explore the implementation of the Customs Control Act 31 of 2014 and to ascertain its potential impact on the congestion of the roads by trucks carrying containers from the Durban Container Terminal and the flow of containerised traffic to various destinations in the hinterland. This Act is designed to comply with the provisions of the World Customs Organisation (WCO) and the Revised Kyoto Convention (RKC)which sets out guidelines regarding effective customs administration in the modern times of international trade. These include simplified formalities and procedures of border control, standardised documents, risk management, risk analysis and management interventions and audit-based controls. The objective of this convention is aligned to the SAFE framework of standards designed to promote and facilitate legitimate trade and provide security of the international supply chain across all modes of transport. The researcher adopted a qualitative research approach to answer the research questions. Document analysis was deemed appropriate due to the nature of the study. The two pieces of legislation were compared based on their provisions regarding customs clearance of containerised cargo in the country. The results from the study show that most significant change between the two Acts is the changes in the place for performing customs clearing formalities. The study also found that additional containers will be transported on the already congested roads in the Port of Durban precincts as a result of the termination of the cargo manifest at the seaport. The role of the country’s inland ports in easing congestion in the port will also be diminished as they are not designated as places of entry in the country for customs clearance purposes under the Customs Clearance Act 31 of 2014.
The impact of digitalisation of clearing and forwarding processes on the workforce.
(2023) Jin, Emmanuel Nyouweke.; Gumede, Sanele.; Meyiwa, Ayanda.
Globalisation has brought about many changes. There has been substantial innovation in the value creation approach to the supply chain and the application of digital enabling technologies. This has been necessary to meet the ever-increasing demand for goods in the global markets. At the centre of this approach are the activities of customs clearing and forwarding. Trade liberalisation and the standardisation of global customs procedures mean that customs clearing and forwarding agents must deal with greater volumes of goods within a short timeframe. This has necessitated the digitalisation of these processes to perform these tasks quicker and with more accuracy and, often requiring little or no human intervention in some instances. Literature in developed economies indicates a negative impact of this on the workforce in terms of job losses. However, the situation may be felt more in a country like South Africa which is already facing the triple threat of inequality, record-high unemployment, and poverty. This study investigates the impacts of the digitalisation of customs clearing and forwarding processes on workforce and productivity. The research adopted a qualitative approach, using snowball non-probability and purposive sampling techniques. Interviews were conducted with ten selected individuals who each had over 20 years of industry experience in clearing and forwarding. Their experience provided insight which spanned the timeframe under consideration. Data collected through interviews and secondary sources were analysed using open, axial, and selective coding techniques. The analysis was divided into three main themes, namely i) customs clearing and forwarding processes pre-digitalisation (2000-2005); ii) Early digitalisation (2005- 2010); and iii) digitalisation 2010 to present, and its impact on workforce and productivity. Findings showed a negative impact on the workforce in the pre-digitalisation period, with race and gender bias. In the early digitalisation phase, findings showed a negative impact on the workforce, with older workforces reluctant to adapt and going on early retirement or being retrenched. The low productivity in the early inception phase is primarily due to adaptation challenges. In the final phase, digitalisation has positively impacted the workforce and productivity. Companies have embraced technology and can clear more goods within a shorter time, giving them exposure to more international markets, and better growth. They have employed more staff who are young and more technologically inclined. The research informs training policies for those affected by digitalisation, helps training providers align with industry changes, and enables companies to hire adaptable employees for growth and global expansion. A recommendation would be to still tap into the experience of less technically skilled personnel and pair them with young digitally minded youth to bridge the divide in skills transfer.
The impact of insufficient port investment on congestion in the Port of Durban.
(2022) Mhlongo, Siphesihle Bongeka.; Meyiwa, Ayanda.
Port research is continuously evolving. One of the most relevant topics related to the performance of ports is port congestion. With Durban being the trade hub for ports in Southern Africa, the congestion experienced at the Durban Port poses a serious challenge to the effective integration of international trade with sub-Saharan economies. One of the problems evident from underinvestment made to the port, is congestion. Problems that stem from congestion consist of prolonged berth occupancy and utilization, as well as long ship turnaround time and anchorage waiting time. This study attempts to analyze port congestion in relation to investment activities. The Market Demand Strategy (MDS) will aid in identifying the investments made to the port of Durban. The MDS shows the amount of investment required in South African Ports, and it was expected to aid in expanding rail, ports, and pipeline infrastructure ahead of demand. This study further shows that, of all the amounts earmarked for investment in ports, a considerably lower actual CAPEX was invested, which causes the problem of port congestion to remain largely unresolved. Using data obtained from the Ports Regulator of South Africa and Transnet, the study employed content analysis and documentary analysis. A qualitative research approach, underpinned by two research tools, being document and content analysis to collect the secondary data, the study analysed investment expenditure from 2012/2013-2019/2020 in relation to port congestion. Literature has also revealed that there is a decrease in the actual investment made into the ports in South Africa which is cause for concern for port users. The study offers insight into port congestion, its causes, its impact and what can be done to combat it. The study makes recommendations on the rollout of investment for the betterment of the Port of Durban, whether it should be expanded, whether better systems should be put in place or can even establish whether current investment allocation is optimal.
The potential impact of maritime autonomous surface ships on seafarer employment.
(2021) Nkuna, Euclid.; Meyiwa, Ayanda.; Dlamini, Langa Hewitt.
In search of ways to run their ships more efficiently and safer, Shipowners are looking at limiting human involvement by employing maritime autonomous surface ships (MASS). The MASS levels of autonomy, which will result in varying degrees of human involvement reduction, are still being defined by various bodies. To assist all parties involved in this journey of MASS development and introduction, some classification societies are creating regulatory and guiding documents or instruments. Meanwhile, policymakers globally have their eye on the Blue Economy as a source of solutions to many problems, chief amongst which is employment. Also known as the Oceans Economy, Blue Economy will result in higher demand for transport of goods and persons to, from, and through the sea. Seafarer job increases are therefore among policymakers’ targets. This dissertation seeks to investigate the potential impact that the successful introduction of MASS will have on seafarer employment. It does this by analysing five classification instruments to see if there is convergence in their approaches toward MASS introduction. The five instruments are dissected for in-depth exploration before being transformed into a standardized format for comparison against each other. This standardized format maps the involvement of humans, a ship’s systems, or a combination of both for some six selected functions – themes – that define a vessel’s autonomy. The format also maps the physical locations of human beings for each degree of autonomy per document covered analyzed. The findings predict strong convergence in the MASS adoption approaches, which certifies that the world is aligned in its thinking. From this convergence, it is inferred that collaborative approaches, whether direct or indirect, will result which in turn will improve the chances of successful MASS introduction. The reduction in seafarer employment, which will result based on the convergence established will however be non-linear: It will start at a slower pace as with lower autonomy saturation in the market. As time advances, more MASS and ships with higher autonomy degrees will be built increasing autonomy saturation in the market. At some point, lower seafarer employment will emerge, exacerbated by the decline of today’s conventional ships which will be demolished as they reach the ends of their useful lives. Each demolition will result in job losses. When the market is saturated with autonomy – meaning that almost all ships are fully autonomous – mariner employment will be minimal and Remote Control Centre (RCC) based. As much as 95% of the peak of mariner employment (yet to be reached) will be lost when this MASS full saturation is reached. The timeline will depend strongly on the speed of technological advances. Policymakers are advised to take caution with the employment prospects of mariners. Shipowners and builders are advised to collaborate on a global scale to speed up and synchronize MASS development. Training and educational institutions are advised to gear up for teaching skills required for MASS. Maritime legislators are advised to keep a close eye on legislation development aimed at accommodating MASS. Finally, Further research on timelines for MASS implementation is recommended. This will clarify the rate at which employment will evolve in the sector.

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Browsing Maritime Studies by Author "Meyiwa, Ayanda."