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  • Business
    Founder Sibusiso Ntsele says township communities must move beyond selling generic supermarket products and begin producing locally manufactured food.

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    Car spinning has evolved into a nationally recognised motorsport that attracts fans, content creators, and visitors from across provinces. Photo. Lucas Ledwaba

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    ClearScore expansion signals credit access for entrepreneurs

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    SMEs still locked out despite billions in available funding

    South African Reserve Bank Governor Lesetja Kganyago has cautioned that interest rate decisions remain finely balanced as policymakers confront rising inflation risks triggered by global supply shocks. Photo. Rhodes University

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  • Tourism
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    Engines roar and tyres screech to drive Mbombela tourism

    Small businesses and communities operating along South Africa’s state dams, including Nandoni Dam, may be affected by new proposed water regulations.
Photo: Royal Hills

    How new dam regulations could undermine SME growth

    tourism sites remain under-monetised by local businesses

    New Mpumalanga tourism route aims to drive SME growth

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    Festive season tourism injects about R13 billion into KwaZulu-Natal’s economy.

    KZN’s festive season boom: what’s in it for tourism SMEs?

  • Advertise
  • Resources
    • All
    • Business Tools & Templates
    • Compliance & Legal
    • Funding & Opportunities
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    • Township Policy & Government
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State pledges R12,5 billion to fix borders as delays bleed SMEs

by Lazola Zuma
April 30, 2026
in Business, Top story
Reading Time: 3 mins read
A A
Small businesses that rely on regional trade routes could see faster deliveries and lower logistics costs under government’s R12.5 billion plan to rebuild six of South Africa’s busiest land ports

Small businesses that rely on regional trade routes could see faster deliveries and lower logistics costs under government’s R12.5 billion plan to rebuild six of South Africa’s busiest land ports

Small businesses that rely on regional trade routes could see faster deliveries and lower logistics costs under government’s R12.5 billion plan to rebuild six of South Africa’s busiest land ports, but many SMEs say relief cannot come soon enough after years of costly delays.

Home Affairs Minister Leon Schreiber and Border Management Authority Commissioner Michael Masiapato this week announced successful bidders for the redevelopment of the Beitbridge, Lebombo, Oshoek, Maseru Bridge, Kopfontein and Ficksburg ports of entry through public private partnerships. Together, the six crossings handle about 80% of South Africa’s land border trade and passenger traffic.

The announcement lands after years of congestion that has increased fuel costs, disrupted stock cycles and squeezed already thin margins for thousands of smaller importers, exporters, retailers and transport firms.

The government said the project is expected to begin later this year or early next year at some ports, with phased construction over two to three years. Schreiber said the six ports are central to regional commerce and warned that poor border performance directly affects growth, revenue collection and national security.

“These six ports sit at the centre of regional trade and movement,” he said. “They account for an astonishing 80% of cross-border trade and passenger flows through South Africa’s land borders.” He added that “even a 5% reduction in border clearance time for legitimate goods can increase intra-regional exports by around 10%.”

SMEs count cost of slow borders

Zenande Khumalo, founder of ZK Motion Wear, an online athleisure brand supplying customers in Botswana and Namibia, said transport disruptions have repeatedly hurt delivery times and customer trust.

“When parcels are stuck at the border, clients think the business failed them. We refund orders, lose repeat customers and still carry courier costs,” she said.

Khumalo said quicker freight movement would help smaller online retailers compete beyond South Africa.

“We don’t have warehouses in every country. Border efficiency is our growth strategy,” she said.

The Border Management Authority said some trucks currently wait two to three days at major crossings such as Beitbridge during busy periods, particularly during seasonal surges.

Masiapato said the current infrastructure was never designed for modern traffic volumes.

“The days of trucks having to sit at Beitbridge for two days, three days must become a thing of the past,” Masiapato said.

New system targets non-stop freight movement

The government plans to redesign ports with separate cargo lanes, passenger lanes and pedestrian processing areas, supported by digital systems, facial recognition technology and pre-cleared freight channels. Masiapato said trusted cargo operators would be able to use green lanes without stopping once customs processes are completed inland.

“We are going to implement a non-stop border post,” he said.

That could be significant for SMEs importing stock or exporting fresh produce, clothing, hardware and manufactured goods into neighbouring markets. Seipati Mokoena, owner of KLM Food Traders, which supplies packaged foods into Lesotho, said border waiting times often destroy planning. “You can prepare stock, hire transport and secure a buyer, but one delay changes everything. Small businesses pay for inefficiency first,” he said.

While business owners welcomed the project, some cautioned that execution would matter more than announcements. Construction is expected to run for up to three years at some crossings, meaning SMEs may still face short-term disruption before seeing benefits. Still, economists say faster regional trade routes could lower operating costs, improve stock reliability and open export opportunities for smaller firms that have struggled to scale beyond South Africa.

Tags: Border Management Authorityborder tradeCross-Border TradeHome AffairsLeon SchreiberLogisticsMichael Masiapato
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Lazola Zuma

Lazola Zuma

Lazola Zuma is a journalist at Vutivi Business News, where she covers business and agriculture stories with a focus on South Africa’s small and medium enterprises (SMEs). Passionate about telling stories that spotlight township and rural entrepreneurs, Lazola’s reporting explores how policy, finance, and innovation shape the daily realities of small businesses. In addition to her reporting role, she assists Vutivi’s social media team by creating engaging digital content that connects readers to the publication’s latest news. Outside the newsroom, Lazola is a content creator who shares beauty, lifestyle, and fashion content.

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