NRZ aims to shift bulk of freight from road to rail

Newly appointed National Railways of Zimbabwe (NRZ) chief executive, Munyaradzi Stephen Charangwa, has outlined plans to prioritise moving bulk freight from road back to rail as part of a turnaround strategy aimed at stabilising operations and improving financial performance.

In an interview in Victoria Falls on Saturday, Charangwa said the parastatal is working on a revised operational strategy expected to be finalised by the end of May.

He identified resource mobilisation, maintenance backlogs and operational inefficiencies as key challenges that have hampered the rail operator's performance over the years.

"It is very important that we connect with our stakeholders  -  from our sovereign wealth fund and boards to the public. Within the framework of Vision 2030, expectations for the rail sector are clear," said Charangwa.

He noted that freight remains NRZ's core revenue stream, contributing about 80 percent of income, but said there is significant room to expand capacity by reclaiming cargo currently transported by road.

"Our immediate priority is to move bulk cargo off the roads and onto rail. That is where the biggest opportunity lies," he said.

Charangwa, who assumed office on April 1, takes over at a time when NRZ is struggling to meet targets. In 2025, the company aimed to move 2,13 million tonnes of cargo but fell short, transporting 2,03 million tonnes.

The shortfall was attributed to capacity constraints, including a shortage of locomotives, frequent equipment breakdowns, fuel challenges and logistical bottlenecks.

The new CEO said the existing "Mutapa strategy" would be reviewed and integrated with new insights to produce a comprehensive turnaround roadmap.

"In the first 100 days, our focus is on improving financial performance and conducting a detailed assessment of operations. We already have an existing strategy, but we need to refine and align it. By the end of May, we expect to have an approved strategy in place," he said.

Over the past decade, NRZ has faced mounting debt, ageing infrastructure and stiff competition from road transporters, who often offer lower tariffs despite contributing to significant road damage.

Vandalism of signalling and communication systems has further disrupted rail services, leaving some routes unusable for extended periods.

Industry experts say reviving NRZ is critical not only for Zimbabwe but for the wider region. The rail network serves as a key logistics corridor linking landlocked countries such as Zambia, Botswana and the Democratic Republic of Congo to major ports including Beira, Durban and Maputo.

Currently, more than 90 percent of bulk freight is moved by road, increasing transport costs and accelerating the deterioration of highways.

Charangwa said the forthcoming strategy would provide clear direction on addressing these challenges and repositioning NRZ as a competitive and efficient freight carrier.

"We have already begun a detailed assessment of our systems and operations. The strategy we are developing will define where we are, where we want to go, and how we will get there," he said.