- South Africa has launched its first initiative since 1999 to establish a national shipping company, SASCO, aiming to reduce reliance on foreign carriers and restore maritime sovereignty.
- A steering committee—comprising government and industry stakeholders—will evaluate models for acquiring ships or local operators to form the fleet.
- The initiative is part of a broader maritime policy strategy to enhance trade resilience, rebuild shipping expertise, and position South Africa competitively in global logistics.
After more than two decades without a national maritime carrier, South Africa is taking significant steps to re-establish its shipping line with the creation of the South African Shipping Company (SASCO). This marks the country’s first serious effort to rebuild maritime capacity since the dissolution of Safmarine in 1999, according to Ecofin Agency.
Steering Committee to Shape SASCO’s Structure
The Department of Transport has invited industry participants to join a newly formed steering committee tasked with determining the operational and financial model for SASCO. Options under review include direct vessel acquisition and the purchase of local shipping operators. The initiative will be backed by key national institutions, including the Development Bank of Southern Africa (DBSA) and the Industrial Development Corporation (IDC), both expected to provide strategic and financial support.
Addressing Strategic Vulnerabilities
Since Safmarine’s acquisition by Maersk in 1999—and the brand’s full integration by 2020—South Africa has depended entirely on foreign shipping lines to move its trade. This reliance has been flagged as a critical vulnerability, especially during repeated global supply chain disruptions. The SASCO project is seen as a corrective measure to restore national control over import-export operations.
Comprehensive Fleet and Maritime Services Planned
Rooted in a 2022 draft law, SASCO is envisioned as a public entity operating a diverse fleet including container ships, bulk carriers, tankers, chemical vessels, bunkering barges, and cabotage vessels. Beyond shipping, the company is expected to offer logistics services such as cargo handling, storage, customs processing, and maritime training—key components to rebuilding local skills and infrastructure.
Policy Alignment and Regional Significance
The SASCO initiative aligns with South Africa’s 2017 Comprehensive Maritime Transport Policy, which identified the lack of a national fleet as a major impediment to maritime growth and economic competitiveness. Despite its location along one of the world’s busiest trade corridors, South Africa remains the only BRICS member without a merchant fleet sailing under its flag.
Rebuilding Sovereignty at Sea
By reviving a national shipping line, South Africa aims not only to reduce its dependence on foreign carriers but also to reassert its maritime identity, boost industrial development, and enhance supply chain resilience. SASCO represents a strategic move to reclaim control over the nation’s trade routes while fostering sustainable growth in the maritime economy.
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Source: Ecofin Agency
