Mozambique’s state owned Ports and Railways Company (CFM) posted a net profit of US$35 million in 2016 on the back of increased cargo traffic at the ports, CFM chairperson Miguel Matavele announced on Friday.Matabel told a meeting of CFM board of directors that the net profit figure was 21 percent higher than for 2015.
He said the result was positive given the unfavourable operating conditions that CFM had faced in 2016.
The official said the port terminals directly managed by CFM handled 6.2 million tonnes of cargo during 2016, which was 18 percent of the total cargo handled in Mozambican ports.
Most of Mozambique’s port terminals are no longer run by CFM but by private sector companies who have leased them.
According to Matavele, there was a reduction in goods traffic moving along CFM’s railway lines which carried only 2.2 million tonnes in 2016, much less than the 3.9 million tonnes carried the previous year.
Maputo Port in the Mozambican capital has recently become a magnet for coal companies.
Rio Tinto, Brazil’s Vale and India’s Jindal have invested heavily in developing Mozambique’s coal deposits – the fourth-largest untapped recoverable coal reserves in the world.