Prepare for economic headwinds – economist
13 Aug 2019 - by
The road freight sector should prepare for more economic head winds, as growth is not expected to exceed 1% for the foreseeable future.
This was the word from economist Dawie Roodt on the second and final day of the annual Road Freight Association (RFA) conference held in Swaziland this year.
Roodt said while sub Saharan Africa had everything going for it, South Africa, in contrast, was not only performing poorly economically but was exacerbating the situation with wrong macro-economic policies along with ongoing political shenanigans.
Commenting on expropriation of land, Roodt said it was a major economic concern - especially in the context of private property rights, which remained the cornerstone of world trade.
“Trade is dependent on private property rights. It is only when you own something that you can sell it to another entity,” he said.
According to RFA CEO Gavin Kelly, talks with government around issues affecting the sector were ongoing and designed to ensure stakeholders understood the impact on business.
He, like Roodt, emphasised the need for economic growth saying road freight remained under pressure, struggling to deal with increased costs and marginalised rates.