Mozambique: Matola coal terminal to increase capacity by 50% in Grindrod $80M investment

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Mozambique: Matola coal terminal to increase capacity by 50% in Grindrod $80M investment

7:09 CAT | 02 Jun 2025

Pictured: The new Grindrod administrative office in Matola port covers an area of 2,000 square metres, employs more than 90 workers and was budgeted at over five million dollars.. Grindrod's investment in Matola coal terminal will allow an increase in the rail and port handling of coal by 50 per cent – from the current figure of eight million tonnes a year to 12 million tonnes. ]Photo: Domingo]

The South African company Grindrod plans to invest about 80 million US dollars over the next two years to increase the capacity of the Matola Coal Terminal, in the Maputo port complex.

The investment, announced in Matola on Friday, will allow an increase in the rail and port handling of coal by 50 per cent – from the current figure of eight million tonnes a year to 12 million tonnes.

Mozambican President Daniel Chapo, who attended the inauguration of the new Grindrod administrative facilities in the Port of Matola, said this undertaking is designed to receive cargoes sent by rail, and not by road.

“Our objective is to continue investing in the railways, so that we have fewer trucks and more rail wagons transporting coal and magnetite”, stressed Chapo.

He thought it urgent to speed up this structural change, to raise the effectiveness of rail transport and drive greater competitiveness in the Maputo Corridor, through the operational integration of the Mozambican rail company, CFM, its South African counterpart Transnet, and the Port of Maputo.

“This integration will not only bring benefits at the technical and operational level, but it will also have positive economic, social and environmental impacts, including the creation of more jobs along the Corridor”, added Chapo.

He called for improvements along the entire logistical chain in the Corridor, so that the investments will produce a return for the investors. This included efficient management of the customs service and ensuring that logistical services “meet the standards and predictability demanded by the regional and international markets”.

The Executive Director of the Maputo Port Development Company (MPDC), which operates the port complex, Osorio Lucas, told the ceremony he expected the new investment to create more than 800 direct jobs by 2027 in the construction phase, and 60 indirect jobs in the implementation phase.

Lucas said sustainable development cannot be measured only by numbers or infrastructures, but also by the capacity to make the entire system operate in an integrated manner, which requires more cooperation, innovation and operational discipline.

“It’s not enough to have better terminals, a good and robust rail system, fluid borders, and modern customs and immigration procedures for synchronised operations”, Lucas stressed. “Teamwork is indispensable. That is the only way to guarantee that the Port of Maputo and the logistical system that feeds it are in fact competitive and useful for the region and the world”.

For his part, the Executive Director of Grindrod, Xolani Mbambo, declared “this year we complete 115 years of history, a trajectory of resistance, innovation and commitment. You can trust that you are in the hands of a company with long experience and a good reputation”.

The new Grindrod administrative office in Matola port covers an area of 2,000 square metres, employs more than 90 workers and was budgeted at over five million dollars.

Source: AIM