BUSHBUCKRIDGE – The local community is up in arms over the sudden cancellation of magnetite transport contracts in November, which would have yielded economic growth and created job opportunities.
Lowvelder reported last month that Palabora Mining Company (PMC) had cancelled the contracts for the transportation of magnetite from Phalaborwa to Maputo.
This in turn has resulted in a mostly negative reaction from smaller logistics and trucking companies which now fear a backlash from the local communities.
This is according to Mr Kgoshi Mathibela Mokoena, one of the board members of Greenbush Logistics, which operates in the Bushbuckridge area.
“The main idea was to make sure that the trade routes between Phalaborwa and Maputo are used and that the local community of Bushbuckridge benefit from it.”
“We were looking forward to all the new plans that would have given an economic boost to the community. We are so sad about the news.”
According to Mokoena, the Chinese takeover at PMC could result in trucks being shipped from China to South Africa, which will leave the current ones to be left underused.
“Another aspect worth mentioning is that our locals have a good knowledge of the area and I believe if we had continued our training it would have been beneficial to all the parties involved.”
He found it difficult to understand the reasoning behind PMC’s contract cancellations.
“There were a lot of people who were going to benefit from this. Traditional leaders in the Bushbuckridge community are up in arms about this situation,” Mokoena explained.
Greenbush Logistics had already begun hosting a variety of sessions on how to run businesses and how to create a self-sustainable one as part of its training course.
“The people were so excited. Schools and other businesses have been looking forward to a prosperous new year. How are we going to explain this?” Mokoena asked.
“There were also plans of building clinics and health centres in the area and schools would have been fitted with bore holes,” he mentioned.
More than 500 drivers have also lost their jobs as a result of this issue. Many of these drivers are angry and frustrated, according to Mokoena.
“We are currently busy fighting this for the sake of the community,” he concluded.
