Firm calls for integrated logistics policy, railway overhaul

Business Reporter

Zimbabwe should formulate an integrated logistics policy and overhaul its railway network to eliminate severe supply chain bottlenecks driving up the cost of doing business in the country, BAK Logistics managing director Mrs Mary Machingaidze has said.

BAK Logistics (originally established in 1974 as BAK Storage) is Zimbabwe’s leading provider of end-to-end logistics solutions, operating as a subsidiary of the Zimbabwe Stock Exchange-listed TSL Limited.

It specialises in warehousing, freight forwarding, and inland port operations

Mrs Machingaidze’s call comes as the Government has already started rolling out several regulatory reforms to cut red tape, lower compliance costs by reducing key regulatory fees and streamline fragmented local authority licences to improve ease of doing business.

Speaking on an infrastructure panel at the inaugural Zimbabwe Industrialisation Conference and Expo (ZICE 2026) in Harare last week, Mrs Machingaidze warned that the country’s fragmented logistics network was undermining industrial growth and impeding cross-border trade.

She observed that rail, road, inland ports and the Zimbabwe Revenue Authority (Zimra) currently operate without full coordination.

Coordinating these transport channels through a unified policy would create operational efficiencies that directly lower costs for producers, importers and exporters.

“I still feel that we have room to address existing bottlenecks, with the major issue being that our logistics sector remains fragmented,” said Mrs Machingaidze.

“We are not coordinated – rail stands on its own, road on its own, inland ports on their own, and ZIMRA operates independently as well. All of these elements need to be coordinated.

“Proper alignment will create efficiencies that lower costs for local producers, importers, and exporters. Having a clear policy to integrate and streamline these services would make a significant difference.”

Mrs Machingaidze explained the weakness and unreliability of the national rail network, which has forced heavy bulk freight onto highways, causing severe traffic congestion and road destruction.

She said that bulk commodities – such as minerals, fertilisers, and steel – are ideally suited for rail transport. She pointed out that a single freight train can haul up to 40 wagons, whereas road transport requires an individual heavy truck for every single wagon equivalent.

While commending the Ministry of Transport and Infrastructural Development for major highway rehabilitation projects – including the Harare-Beitbridge, Harare-Forbes and Harare-Chirundu corridors – she emphasised that physical roads alone cannot solve logistical inefficiencies.

“We have a rail system but . . . but there is room to improve on that and that speaks to the issue of funding,” she said.

“Currently we are moving trains from Maputo to Harare; from Beira to Harare but it’s very inefficient. Rail transport is supposed to be cheaper than road freight, but right now the cost is almost identical.

“Cargo owners only opt for rail based on speed and reliability – specifically to bypass heavy border post congestion.”

Rather than viewing rail and road as direct competitors, the optimal model positions trucks to handle first- and last-mile deliveries while railway infrastructure absorbs heavy, long-distance haulage.

Mrs Machingaidze noted that as industry expands, businesses are realising that transport and storage logistics must be planned concurrently rather than as an afterthought.

To unlock the country’s manufacturing and export potential, Mrs Machingaidze outlined several key short-to-medium-term infrastructural interventions.

She called for immediate capital investment to refurbish existing railway lines, acquire new locomotives, and roll out a practical road-to-rail integration strategy while advocating for the establishment of modern inland dry ports at strategic locations along trade corridors beyond the single main facility in Harare.

Mr Machingaidze disclosed that BAK Logistics was currently engaged in high-level talks with a global supply chain giant to establish a modern dry port facility in Rutenga. The project aims to relieve pressure on the country’s primary facility in Harare and decentralise freight operations along key regional corridors.

Turning to trade infrastructure, Mrs Machingaidze called for the rapid development of temperature-controlled cold chain facilities near major airports.

She noted that dedicated cold storage was vital to preserving fresh produce and unlocking the potential of Zimbabwe’s fast-growing horticulture export sector.

To modernise local supply routes, Mrs Machingaidze stressed the need for continuous investment in digital tracking systems. Implementing end-to-end cargo traceability, she explained, is necessary to guarantee real-time visibility, reduce transit delays, and secure cargo across key trade arteries.

She suggested blended Public-Private Partnerships (PPPs) supported by long-term capital from Development Finance Institutions (DFIs).

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