The Central Eastern African Railways (Cear) is currently in talks with the Zambia Railways Limited (ZRL) and the Nacala Development Corridor (CDN) on the development of Nacala Corridor, The Post of Zambia reported last week.
Cear managing director Hendry Chimwaza confirmed about the tripartite deal in an interview on Wednesday but could not provide comprehensive details saying his officials were in Zambia discussing the same deal.
But according to The Post, ZRL is working tirelessly with Cear of Malawi and CDN of Mozambique to operationalise the Nacala Corridor which is now connected to Chipata-Mchinji line so that customers have access to the port.
ZRL acting chief executive officer Christopher Musonda is quoted by the paper as saying his company plans to leverage the Chipata-Mchinji line which the government planned to operationalise as a link to the Nacala Corridor.
“For us at ZRL, it is a business decision that offers another corridor option to our customers and we believe that any proper business decisions will always guarantee sustainability,” he said
He said it was learnt that once the Nacala Corridor was fully operational, there will be an additional 258 000 tonnes immediately available to the corridor annually.
Musonda said currently Cear is moving 200 000 tonnes annually.
He assured its potential customers of security for their goods in transit, as trains will be secured from hand over at departure till delivery to the customer upon arrival.
Musonda said ZRL would inject resources into the Nacala Corridor to supplement what Cear of Malawi and CDN of Mozambique have.
“In terms of rolling stock, ZRL has different wagon types for loading various commodities tailored to suit clients’ needs and so far three locomotives and 100 wagons will be injected into the Nacala Corridor,” said Musonda
On Tuesday, The African Development Bank (AfDB) Board of Directors announced the approval of a loan and grant to Malawi and Zambia worth $73.6 million (about K30 billion) for the Multinational Nacala Road Corridor Development Project Phase Four.
The resources will go towards strengthening Malawi and Zambia’s transport infrastructure to promote inclusive growth and expand trade and regional integration.
Phase four will involve rehabilitation of a 75 kilometre road between Liwonde and Mangochi and the establishment of One-Stop Border Posts at Chiponde and Mchinji at the Malawi-Mozambique and Malawi-Zambia borders, respectively.
The Nacala Corridor at its completion will be one of the most cost-effective routes to the sea for imports and exports from Malawi, Zambia and western Mozambique.
It will also contribute significantly to boosting intra-regional trade and integrating the economies of the Southern African Development Community (Sadc) region, according to AfDB.
