A business can have a strong product and growing demand, but growth depends on ability to reach customers efficiently.

Logistics connects businesses to markets, keeps supply chains moving, and helps companies respond to changing customer needs. As Africa looks to expand regional trade, the strength of its logistics networks will be critical to turning that ambition into commercial opportunity.

The challenges facing South Africa's freight and logistics sector are significant. At the inaugural National Transport Conference in March 2026^[1], the South African government highlighted some of the country’s challenges.  Approximately 69% of the country’s freight moves by road, while inefficiencies across the logistics system are estimated to cost the economy close to R1 billion a day. The figures underline how closely business performance is tied to the capacity and efficiency of the transport network.

“For many businesses, growth depends on their ability to connect with customers wherever they are,” says Nelson Teixeira, Managing Director of Operations for Sub-Saharan Africa at FedEx. “The ability to move goods efficiently and reliably helps businesses expand their reach, explore new markets and respond to customer demand.”

Infrastructure and information must work together

Roads, railways, ports and airports provide the physical links in a supply chain. Digital tools add information that businesses can use to plan, respond to delays, and keep customers informed. Shipment visibility helps teams understand where goods are and whether delivery plans have changed, while online shipping tools can simplify routine tasks.

In South Africa, FedEx Tracking enables customers to check shipment progress and set up status notifications. FedEx Ship Manager allows customers to prepare shipments online, enter shipment details and upload required documents. These tools can support day-to-day planning, although reliable delivery also depends on transport capacity, customs processes, and conditions along the route.

Making the network work harder

South Africa’s current freight reform programme highlights the potential of rail in easing pressure on the road network. The government outlined progress in rail freight, including 160 million tonnes moved in the previous financial year, an increase of 5.5% year on year^[2]. A target of moving 250 million tonnes by rail by 2029 has also been set. Achieving this will depend on implementation and the capacity to move more freight reliably.

For businesses, a more effective freight system can widen transport options and help improve the movement of goods across the country. Cross-border trade brings additional requirements, including customs documentation, destination-market rules, and coordination between different transport networks. Predictable processes matter because delays and uncertainty can affect costs, customer commitments, and the commercial case for entering a new market.

The opportunity extends beyond South Africa. The World Bank’s analysis of the African Continental Free Trade Area^[3] estimated that full implementation could increase regional income by 7%, or US$450 billion, by 2035. That projection depends on implementation, including measures to reduce trade barriers and simplify customs procedures. Transport infrastructure and effective border processes will be important to translating regional trade ambitions into practical opportunities for businesses.

Growth depends on connection

For smaller enterprises, logistics needs change as order volumes rise and customers become more geographically dispersed. For manufacturers, the ability to move inputs and finished goods reliably affects production and access to buyers. Across sectors, logistics is part of the operating environment that shapes how confidently businesses can plan and expand.

“Efficient transport networks can create opportunities for businesses of all sizes,” Teixeira says. “When companies can move goods reliably and manage their shipments effectively, they are better positioned to meet customer needs and pursue growth opportunities.”

Africa’s next phase of growth will depend on many factors, including investment, skills, technology, and trade policy. Logistics is one of the foundations that connects them. Continued progress will require physical infrastructure, digital visibility, and cross-border processes to work together so businesses can reach customers and participate more fully in regional and global markets.

^[1] President Cyril Ramaphosa: Inaugural National Transport Conference | South African Government

^[2] https://www.gov.za/news/speeches/president-cyril-ramaphosa-inaugural-national-transport-conference-16-mar-2026

^[3] Trade Pact Could Boost Africa’s Income by $450 Billion, Study Finds