Enhancing East African Trade & Maritime Transport Across Lake Victoria

‍

The inauguration of the M.V. Mpungu marks a significant milestone for East Africa Marine Transport and is set to transform logistics across the East African region. This new vessel offers faster, greener, and more cost-effective transport solutions, directly addressing long-standing issues such as road congestion and unreliable freight services, and paving the way for improved regional connectivity.

‍

From Road to Water: How the project is Revolutionizing East African Trade Routes

Freight transport in East Africa is largely road-dependent, leading to significant delays and rising costs, particularly along the Northern Corridor. Freight services across Lake Victoria have traditionally been limited to ad hoc sailings, making them inefficient and unpredictable. Recognizing the importance of diversifying trade routes, the Common Market for Eastern and Southern Africa (COMESA) and the East African Community (EAC) have identified Lake Victoria as a potential trade corridor for regional integration and economic development.

‍

The M.V. Mpungu is a result of a collaborative effort between PIDG company InfraCo, and Grindrod Limited. The project introduces scheduled freight services across Lake Victoria, marking a major milestone in East Africa’s logistics landscape. Beyond streamlining freight transport, it establishes a fixed-day scheduled service, setting the foundation for future investments and expanded cross-border routes.

‍

Built by SECO Marine (U)  Ltd at Uganda’s largest shipyard, the M.V. Mpungu will initially carry 167,000 tons of cargo in its first year, with a target of 230,000 tons by year five. Operating under the Ugandan flag and adhering to international safety and environmental standards, the vessel will make scheduled weekly crossings between Uganda and Tanzania, with additional routes being considered in the future.

‍

‍

Driving Efficiency, Sustainability, and Economic Growth

• Design & Capacity: The freight vessel is a 96-meter RO-RO vessel with a 17.5-meter width and 18-meter height, designed to carry fully laden trucks and support large-scale goods transport.
• Efficiency: It reduces freight transport times from 3-4 days (by road) to just 18 hours, significantly cutting delays and improving supply chain efficiency.
• Environmental Benefits: By shifting from road to marine freight, the vessel helps reduce carbon emissions, contributing to regional decarbonization  while mitigating risks like theft and driver fatigue.
• Economic & Trade Growth: The service offers a cost-effective alternative to road transport, minimizing fresh produce spoilage and improving market access, which is expected to stimulate regional trade and economic expansion.
• Employment Generation: The project has already created 140 construction jobs and is expected to provide over 40 long-term positions, further driving local economic development.

‍

Setting New Standards in Sustainable Maritime Transport

The M.V. Mpungu project has earned the FAST-Infra Self-Assessed label during its construction phase, as a testament to its strong commitment to sustainability and responsible infrastructure development. This recognition underscores the project’s alignment with global environmental, social, and governance (ESG) standards, setting a new benchmark for sustainable transport solutions in East Africa.

The M.V. Mpungu project has demonstrated positive contribution across key criteria:

• Protection and Enhancement of Biodiversity & the Natural Environment
• Climate Change Mitigation
• Evaluating Risks and Building Resilience and Adaptive Capacity at the Project and System Scales
• Protection and Enhancement of Human & Labour Rights 

This recognition from FAST-Infra Label highlights the M.V. Mpungu as a model for sustainable maritime transport, reinforcing its role in advancing infrastructure that balances economic growth with environmental stewardship.

‍

Fostering Growth Through Industry Collaborations

The M.V. Mpungu project is driven by key industry players:

• EAMT (East Africa Marine Transport): The vessel’s owner, a joint venture between InfraCo and Grindrod Ltd, is committed to providing safe, cost-effective, and sustainable maritime transport solutions.
• InfraCo Africa: As a project developer and investor, InfraCo has played a key role in mobilizing technical expertise and financial resources.
• Grindrod Limited: A co-developer and operator, Grindrod ensures the vessel’s smooth operation and helps enhance trade corridors across the region.
• SECO Marine (U) Ltd: The EPC contractor and shipbuilder, specializing in marine and offshore engineering solutions, was responsible for the vessel’s construction.‍
• OSK Design and S&O Maritime: Technical consultants to the project.

‍

Shaping the Future of Regional Trade and Connectivity

The pilot phase of the M.V. Mpungu project will demonstrate the viability of scheduled freight services, paving the way for further investments in regional maritime transport. With its potential to transform trade across East Africa, the project sets a new benchmark for sustainable infrastructure, ensuring that Lake Victoria becomes a key trade artery for both regional and international commerce.

‍

Through this initiative, the FAST-Infra Label’s commitment to fostering sustainable infrastructure continues to be realized, as the M.V. Mpungu ushers in a new era of economic growth, sustainability, and regional integration.