The South African Ferro Alloys industry is facing problems by the lack of logistics infrastructure in the country, in particular from the state run rail network.
Market players point out that there needs to be reform of the government controlled rail operator called Transnet Freight Rail controlling which controls all industrial rail freight in the country. It has been proposed that there should be greater private sector involvement and investment in rolling stock to move sufficient quantities of ore and alloys. To illustrate the scale of rail freight demand, the South African manganese industry alone has to move 1000 rail trucks a day.
South Africa is a major player in the world of Ferro Alloys, in particular for Ferro Chrome and Ferro Manganese, with extensive high class reserves, large smelting facilities and growing ore exports to China.