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Western Cape launches Overberg Rail Pilot to shift freight off roads

Edited by Eamonn Ryan

In a bold step towards revitalising freight rail in the province, Western Cape mobility minister Isaac Sileku has officially launched the Overberg Freight Rail Business Case and Implementation Plan in Bredasdorp.

The project aims to reroute a significant portion of the region’s freight – currently dominated by road transport.
The project aims to reroute a significant portion of the region’s freight – currently dominated by road transport. Vecstock | Freepik.com

The pilot project marks a critical move to reintroduce rail freight services along one of the Western Cape’s key agricultural routes.

The initiative forms part of the province’s wider strategy to reduce road congestion, lower logistics costs and support economic development in rural areas. The rail corridor will link Caledon – a prominent farming region – with the Bellville Container Terminal and the Port of Cape Town.

Developed in close collaboration with producers, freight companies, logistics experts, government entities and investors, the project aims to reroute a significant portion of the region’s freight – currently dominated by road transport. Presently, 8.9 million tonnes of cargo moves along the corridor annually, with just 0.2% transported by rail.

Minister Sileku said: “This is about getting freight rail back on track. We are building a system that’s commercially sound, driven by data, and designed to reduce both costs and emissions – while setting us up to triple the province’s export capacity by 2035.”

Overberg district mayor Sakkie Franken highlighted the potential long-term gains for local communities: “Reactivating this rail link goes beyond transport – it’s about creating jobs, drawing investment and turning the Overberg into a thriving hub for trade again.”

 

Key goals of the pilot project include:

  • Shifting at least 10% of corridor freight (900 000 tonnes annually) from trucks to trains, potentially cutting 40 000 truck trips on the N2 each year
  • Reducing logistics costs for exporters by up to 30%, improving global competitiveness for local produce
  • Cutting freight-related carbon emissions by up to 70% per tonne
  • Attracting public-private partnerships to develop and manage services
  • Assessing the feasibility of bridging a 60km gap between Protem and Swellendam to fully reconnect the corridor

The current phase of the project, which runs until mid-2026, will validate freight demand, examine infrastructure readiness and secure interest from cargo owners. If deemed feasible, construction is expected to begin later in 2026, with operations potentially starting in 2028.

Reference

https://www.westerncape.gov.za/mobility/article/track-growth-western-cape-launches-overberg-rail-freight-pilot#:~:text=On%2023%20July%202025%2C%20Western,Cape’s%20most%20significant%20agricultural%20corridors.