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Archives for June 2022

AMERICAN CLUB HOLDS RECENT ANNUAL MEETINGS IN PERSON FOR THE FIRST TIME IN THREE YEARS

June 29, 2022 by

2021 FINANCIALS DISCLOSE REVENUE RISE OFFSET BY GROWTH IN POOL AND RETAINED EXPOSURES

BOARD CHANGES INCLUDE A RETIREMENT, NEW DIRECTORS AND NEW GENERAL COUNSEL IMPENDING

CHANGES IN SENIOR MANAGEMENT DESCRIBED IN FURTHER DETAIL TO MEMBERS

NEW YORK, JUNE 29, 2022: For the first time since 2019, the American Club was able to hold the Annual Meetings of its Members and Directors in person last Thursday, June 23, in New York. Both were well attended, taking advantage of the recent relaxation of COVID-19 restrictions in North America and Europe.

The presentation of the Club’s Annual Report for the year ended December 31, 2021 took place at the Annual Meeting of the Members. It was simultaneously circulated in digital format to every Member of the Club and to other interested parties.

Notwithstanding significant year-on-year growth in net premiums and calls earned during the period under review, supported by an increase in overall investment income attendant upon a respectable year-end investment return of 7.1%, incurred losses rose substantially, driven mainly by continuing Pool and retained claims emergence, and an adverse 2021 policy year loss development, particularly during the last quarter.

The unrelentingly high cost of pooling (the American Club itself not having had a Pool claim for its own account since 2016) featured in this development, as did the effect of “social inflation” on claims exposures not only in the United States but elsewhere in the world. Many clubs have commented on this phenomenon in recent times.

The accounting treatment, and presentation, of premium earned but unbilled (EBUB), was maintained for the 2021 financial statements. There was a year-on-year decline in Members’ Equity (GAAP free reserves) at year-end 2021 of just under $8.7 million by comparison with year-end 2020 in consequence of, among other factors, a combined ratio of 112% for 2021 on an EBUB-calculated basis, but 129% without EBUB being taken into account. These figures, as other clubs have commented, highlight the need for the continuing pursuit of sustainability in premium pricing for the future.

Despite the challenging results for the 2021 year of account, 2022 had commenced strongly in revenue and tonnage terms both for the Club and EOM. Annualized year-on-year premium for the Club was up by 20% or so, while EOM was approaching nearly $20 million in gross written premium for its latest year in account, its reinsurance arrangements for 2022/23 having recently been completed on favorable terms. The fortunes of the American Club (Europe) in Cyprus (including its American Hellenic Hull brand) were also proceeding well, with a first quarter-end solvency capital requirement (SCR) ratio in excess of 220%. Although the 2022 policy year was in its earliest stages of development, there were grounds for cautious optimism for a better result over time than that of its predecessor year.

As foreshadowed in the American Club’s pre-renewal circular of November 2021, the 2019 policy year was formally closed at the meeting on the basis of end-March 2022 figures which disclosed a breakeven result for the year. As notified in principle in the same circular, a supplementary call of 35% for the 2020 policy year was also ordered by the Directors, payable in January and July 2023.

The Annual Meeting of the Members – the Club’s one-hundred-fifth – saw the retirement of Mr. Arnold Witte after seventeen years’ service, including from 2007 to 2018 as Chairman. The Club’s Board expressed their profound thanks and appreciation for Mr. Witte’s exemplary service, in which he played a key role in many of the Club’s most important initiatives over the years in question.

At the same time, Mr. John A. Witte, Jr. of Donjon Marine Co., Inc. was elected as a new Director. Ms. Boriana Farrar of Patriot Contract Services, LLC, who had been co-opted as a member of the Board in March, was also elected as a

Director at the meeting.

At the Annual Meeting of the Club’s Directors, which took place immediately after that of the Members, Mr. George D. Gourdomichalis of Phoenix Shipping & Trading S.A. and Mr. Robert D. Bondurant of Martin Resource Mgmt. Corp. were re-elected as, respectively, Chairman and Deputy Chairman of the Board.

At the same time, Ms. Dorothea Ioannou, Deputy Chief Operating Officer of the Club’s Managers, was re-elected as Secretary. As foreshadowed twelve months earlier, Mr. Lawrence J. Bowles retired as General Counsel to the Club, after twenty years of sterling service in that role. The Board thanked him most warmly for his outstanding contribution to the Club’s affairs during his long and illustrious tenure. Mr. LeRoy Lambert was appointed as General Counsel in succession to Mr. Bowles, with the Board’s best wishes for the discharge of his new responsibilities in the future.

The Annual Meeting of the Members also benefited from the presence of Mr. Nick Shaw, CEO of the International Group of P&I Clubs, who made a very interesting and enlightening presentation on the vitally important work of the Group in promoting the collective interests of the clubs and, by extension, the maritime community at large.

The meetings of both the Members and the Directors provided an opportunity for the Managers to elaborate on recently announced changes to their senior management teams across the world, consequent upon the retirement of certain key personnel and the promotion of others in the redeployment of the Managers’ professional capabilities.

In particular, the relinquishing of their respective CEO and COO duties by Joe Hughes and Vince Solarino as of August 2022 was a subject of discussion, as was the movement into these roles of Dorothea Ioannou and Dan Tadros respectively. Speaking on behalf of the senior team, Joe Hughes said: “As Dorothea and Dan take over the day-to-day responsibilities as CEO and COO of the Managers in August, Vince and I will remain respectively as President and Chairman of the management company and will be closely involved in the transition to Dorothea and Dan of our current day-to-day executive and management responsibilities.

“Together with others in our outstanding service teams around the world, Dorothea and Dan will maintain and no doubt enhance those high standards of customer care to which the Members and all other business counterparts have come to expect from the American Club and EOM over the years. Although the business environment remains thoroughly challenging, we have never been better positioned to fulfill the great promise the future holds for the Club in every aspect of its endeavors.”

Notes to Editors

The American Club

American Steamship Owners Mutual Protection and Indemnity Association, Inc. (the American Club) was established in New York in 1917. It is the only mutual Protection and Indemnity Club domiciled in the entire Americas and its headquarters are in New York, USA.

The American Club has been successful in recent years in building on its US heritage to create a truly international insurer with a global reach second-to-none in the industry. Day to day management of the American Club is provided by Shipowners Claims Bureau, Inc. also headquartered in New York.

The Club is able to provide local service for its members across all time zones, communicating in eleven languages, and has subsidiary offices located in London, Piraeus, Hong Kong, Shanghai and Houston, plus a worldwide network of correspondents.

The Club is a member of the International Group of P&I Clubs, a collective of thirteen mutuals which together provide Protection and Indemnity insurance for some 90% of all world shipping.

The American Club also operates a fixed premium facility, Eagle Ocean Marine (EOM), aimed at the operators of smaller vessels in local and regional trades. Since it commenced underwriting in 2011, EOM has enjoyed considerable success in building a growing footprint in this specialist market and generating strong profitability for the Club.

American Steamship Owners Marine Insurance Company (Europe) Ltd. – or the American Club (Europe) – is a wholly owned, Solvency-II accredited subsidiary of the Club, based in Cyprus. Since it began operating in mid-2016 as

American Hellenic Hull Insurance Company Limited, it has enjoyed an increasing market presence in the hull and machinery sector. Re-named as the American Club (Europe) since February 2022, it also underwrites P&I and related insurances under recent authorizations to that effect from the Cypriot regulator.

For more information, please visit the Club’s website http://www.american-club.com/

P&I Insurance

Protection and Indemnity insurance (commonly referred to as “P&I”) provides cover to shipowners and charterers against third-party liabilities encountered in their commercial operations; typical exposures include damage to cargo, pollution, death/injury or illness of passengers or crew or damage to docks and other installations.

Running in parallel with a ship’s hull and machinery cover, traditional P&I cover distinguishes itself from usual forms of marine insurance by being based on the not-for-profit principle of mutuality where Members of the Club are both the insurers and the assureds.

Filed Under: The American Club

HPC Signs Contract for Pre-Feasibility Study of Cigading Port Development

June 29, 2022 by

HPC Hamburg Port Consulting together with PT Melchers Melindo Indonesia has been contracted to deliver a valued judgement on investment in development of Indonesia’s deepest dry bulk terminal

Hamburg, 28 June 2022 – HPC and PT Melchers Melindo Indonesia, part of the international business development group Melchers, have signed a contract with the port operator PT Krakatau Bandar Samudera (PT KBS) to provide an independent study aimed at validating the potential of extending the capacity of Krakatau International Port to handle cargo in addition to dry bulk and break-bulk commodities.

Situated on the West coast of Java, the Krakatau International Port faces the Sunda Strait, one of Southeast Asia’s busiest marine trade routes, connecting the Java Sea with the Indian Ocean. The port serves a large industrial complex for steel production, which includes infrastructure for importing bulk iron ore and exporting steel products from three general cargo berths. Other cargoes handled include corn, soybean, sugar, soybean meal, gypsum coal, salt and general cargo.

PT KBS aims to maximize the potential for the port’s cargo handling ability and further develop its portfolio. The study will include market forecasts, a port operations development concept and financial analysis, which will inform the port’s plan to expand facilities for handling other cargo types. The intention is to further participate in, and benefit from the growing trade via the Sunda Strait.

The contracting by PT KBS of the business development partner PT Melchers Melindo Indonesia and global port specialist HPC for this pre-feasibility study follows a Memorandum of Understanding between the three parties in November 2021

“We aim to ensure that the development of our port infrastructures is in line with our target expectation,” says M. Akbar Djohan, President Director of Krakatau International Port.

“Joining forces with HPC ensures a combination of detailed knowledge about local and global requirements in order to deliver a comprehensive, sound basis for our client’s investment decision,” says Michael Gross, President Director of PT Melchers Melindo Indonesia.

“By concluding a substantiated view of the market opportunities and resources required, we will provide the client with a detailed understanding of the investment opportunity. This will allow for informed decision making and a detailed project risk assessment,” says Dennis
Kögeböhn, Partner at HPC and responsible for the APAC region.

For more information on port consulting services, please visit the website:
www.hamburgportconsulting.com

About HPC

HPC Hamburg Port Consulting operates as a logistics consulting company, specialising in strategy and transformation services for the ports, terminals, and rail sectors. Since its establishment in 1976, the Hamburg based consulting company has delivered more than 1,700 projects across 130 countries spanning six continents, along the entire port project development cycle. HPC employs about 100 domain experts with a background as terminal operators, software engineers, logistics managers, transport economists and mathematicians. As a subsidiary of the Hamburg Port and Logistics Corporation (HHLA), HPC has its roots in port handling of container, breakbulk and multipurpose, as well as hinterland operations. www.hamburgportconsulting.com

Filed Under: HPC Hamburg Port Consulting

Lack of Competition in Container Shipping – A True Picture

June 29, 2022 by

Current measures of competitiveness in the global liner shipping market are incomplete and therefore inaccurate and fail to take full account of the degree of co-operation between carriers which results in a more highly concentrated industry, to the serious detriment of shippers worldwide.

This conclusion is one of the findings presented in the Container Shipping Market Quarterly Review for Quarter 1 2022prepared by MDS Transmodal (MDST) in collaboration with Global Shippers Forum (GSF).  A modified measure is proposed, based on the alternative indicators suggested in a recent study produced by OECD/ITF and MDST* that better reflects the degree of cooperation by lines, not just through the three big alliances but also agreements under which lines in different Alliances operate shared services.

Competition authorities until now have relied on traditional but incomplete tools to assess the level of concentration across trades, most commonly the Herfindahl–Hirschman Index (HHI). However, this indicator does not take into consideration the full extent of co-operation between shipping lines permitted under block exemption and other anti-trust immunity provisions. When these ‘inter-Alliance’ consortia are included the concentration of the market, as measured by the modified HHI, is much higher.

As an example, the graph below compares the traditional HHI of the Trans-Atlantic trade over the period 2006-2021, compared to a Modified HHI (MHHI)¹, which includes the inter-Alliance agreements on that trade.  The Modified HHI exceeds the accepted threshold of 2,500 points at which an industry is considered ‘highly concentrated’, by most competition regulators.  

Chart, line chart Description automatically generated
HHI and Modified HHI on the North Europe-North America East Coast trade corridor

On this basis GSF believes the recent ‘Fact Finding Investigation 29 –  Final Report’² published by the US Federal Maritime Commission in May this year does not yet provide a complete picture, as the report maintains the liner trades serving the USA can be characterised as exhibiting ‘vigorous competition’ because their HHI has been measured at below 2,500 points.

GSF urges the FMC and all other competition authorities to utilise the more accurate MHHI measure in its assessments of the container shipping market, and in particular of the concentration in market share achieved through all agreements permitted under block exemption and anti-trust immunity provisions.

“This breakthrough analysis lays bare the degree of dominance that many shipping lines actually have in the key global trades,” comments GSF’s Director James Hookham.  “Current measures of market concentration are only seeing part of the picture. Not only are there consortia operations within the three main Alliances, the number of separate consortia that exist consisting of lines from different Alliances is also significant.” 

“Competition authorities should urgently revise their measures of competition to reflect the reality of the container shipping market and ensure they capture the full extent and effects of shipping line co-operation, as experienced by shippers”.

It is GSF’s contention that a lack of, or reduction in the levels of competition, leads directly to poor service quality for shippers.  This is borne out by other findings in the ‘Quarterly Review’. The number of port calls achieved (in comparison with those scheduled) fell to 68%, the lowest level recorded since this analysis began in 2020 and, though capacity lost through skipped ports in Europe declined in Q1 2022, it continued to rise in both Asia and Australia with shippers consequently suffering from further export delays.

Comments from Mike Garratt, Chairman of MDS Transmodal bear out this conclusion, “Several shipping consortia arrangements involve the constituent shipping lines controlling more than 30% of capacity in the Asia to Europe market, in excess of the principle established in the EU’s Consortium Block Exemption Regulation. Scheduled capacity between world regions has fallen and though our analysis indicates that service reliability has now stabilised the number of port calls skipped continues to grow.”

¹ Merk, O. & Teodoro, A. (2022), Alternative approaches to measuring concentration in liner shipping; Maritime Economics and Logistics 28 February 2022

https://link.springer.com/article/10.1057/s41278-022-00225-x

² https://www.fmc.gov/wp-content/uploads/2022/06/FactFinding29FinalReport.pdf

ENDS

Notes to Editors

  1. Mike Garratt, Chairman of MDS Transmodal, is available for interview. Please contact +44 (0) 1244 348301
  1. James Hookham, Director of GSF, is available for interview. Please contact: +44 (0) 7818 450440; secretariat@globalshippersforum.com
  1. Media Contact:  The Container Shipping Market Quarterly Review for Quarter 1 2022 is available in PDF format on request from Maria Udy, Portcare International. maria@portcare.com +44 (0) 7979 868539.
  1. The Container Shipping Market Quarterly Review is produced every three months and reports, interprets and comments on trends and developments in the container shipping market as experienced and understood by shippers – the importers and exporting businesses that own the cargo carried on container ships. Shippers are the customers of the container shipping industry.
  1. The Quarterly Review collates and reports outputs from MDS Transmodal’s established and respected Container Business Model and other tools that are relied upon by governments and international agencies around the world. Working with GSF, MDST has generated eight new indicators showing how the market is performing in terms that are relevant and applicable to shippers as users and customers of these services.
  1. MDS Transmodal (MDST, www.mdst.co.uk) is a UK firm of transport economists which specialises in maritime and all other modes of freight transport. MDST works with senior management in the public and private sectors to provide strategic advice based on quantitative analysis, modelling and sectoral expertise.
  1. Global Shippers Forum (www.globalshippersforum.com) is the global business organisation speaking up for exporters and importers as cargo owners in international supply chains and trade procedures. Its members are national and regional shippers’ associations representing hundreds of manufacturing, wholesaling, and retailing businesses in over 20 countries across five continents. GSF works for safe, competitively efficient, and environmentally sustainable global trade and logistics.
Filed Under: Global Shippers Forum

GEODIS appoints Eddie Chang as Managing Director for Malaysia

June 28, 2022 by

GEODIS, a global leading transport and logistics services provider, today announced the appointment of Eddie Chang as its new Managing Director for Malaysia. With over 25 years of experience in the logistics sector, Chang will be responsible for leading GEODIS’ growth in Malaysia, a market that continues to play a key role in the company’s multi-modal network across Southeast Asia. 

Chang, who was previously Managing Director of Tigers Global Logistics and subsequently, Director at JAS Worldwide in Malaysia, will leverage his extensive experience in both air and sea freight, warehouse operations, Contract Logistics, and e-Commerce fulfilment to expand GEODIS’ client base, especially in key verticals including automotive, industrial and high tech. 

With ongoing plans in place to bolster GEODIS’ highly integrated transport solutions, Chang will also be taking the reins to further advance Malaysia’s capacity as a hub connecting the company’s owned controlled flight network with its road transport services that currently connects Singapore, Malaysia, Thailand and Vietnam via Kuala Lumpur. The company’s rapidly expanding multi-modal network is a key strategic accelerator for its growing presence in the region.

“Eddie’s passion for driving customer-centric results, his vast experience in the field and proven track record of success will take GEODIS’ capability for innovation to new levels,” said Lakshmanan Venkateswaran, Sub-Regional Managing Director, Southeast Asia.  “As Malaysian customers look to prioritize supply chain resilience in the near future, we are confident that Eddie’s leadership will enhance GEODIS’ efforts to stay at the forefront of adopting growth opportunity and industry developments.”

“I am honored to step into this role and look forward to working closely with the team on purpose-driven solutions in Malaysia.  These will under-line our commitment to providing industry-leading services to our customers.” said Chang. “GEODIS, a rapidly growing powerhouse in Asia and Malaysia has shown a great deal of potential to contribute significantly to the company’s regional expansion.”

GEODIS – www.geodis.com 

GEODIS is a global leading transport and logistics provider recognized for its commitment to helping clients overcome their logistical constraints. GEODIS’ growth-focused offerings (Supply Chain Optimization, Freight Forwarding, Contract Logistics, Distribution & Express, and Road Transport), coupled with the company’s truly global reach thanks to a global network spanning nearly 170 countries, is reflected by its top business rankings: no. 1 in France and no. 7 worldwide. GEODIS employs over 44,000 people globally and generated €10.9 billion in revenue in 2021.

Filed Under: GEODIS

GEODIS Countbot is to carry out the annual inventory of a L’Oréal international distribution center

June 23, 2022 by

The new 3-year partnership aims to carry out the annual inventory of a site located in northern France, thanks to the innovative GEODIS Countbot solution, designed in partnership with Delta Drone. 

The patented solution is the result of more than three years of R&D and testing; it is totally secure and also guarantees the protection of goods and people (CE certification). GEODIS Countbot consists of a robot, 16 high-resolution cameras, a mast that can reach a height of 10 m and a drone that ensures the stability and hence the quality of the images collected.

Robot autonome Geodis, sccan des stocks d’un entrepot L’Oreal

Romain Cauvet, Director of Engineering for the GEODIS Supply Chain Optimization Line of Business, said: “The entire operation will be completed in only two 6-hour sessions. The GEODIS Countbot enables us to provide an exhaustive snapshot of the stocks and to supply HD visuals should any discrepancy arise between the inventory and the WMS (Warehouse Management System). All parts of the operation are carried out without any interruption to activities in the center.”

Following early trials, Ludwig Cresson, Flow Manager at L’Oréal, commented: “We are always on the lookout for innovative solutions that improve the efficiency of our processes, our service to our customers and our employees. With this new solution, our teams have seen an improvement in these inventory operations, which will generate considerable time savings.”

GEODIS – www.geodis.com 

GEODIS is a global leading transport and logistics provider recognized for its commitment to helping clients overcome their logistical constraints. GEODIS’ growth-focused offerings (Supply Chain Optimization, Freight Forwarding, Contract Logistics, Distribution & Express, and Road Transport), coupled with the company’s truly global reach thanks to a global network spanning nearly 170 countries, is reflected by its top business rankings: no. 1 in France and no. 7 worldwide. GEODIS employs over 44,000 people globally and generated €10.9 billion in revenue in 2021.

Filed Under: GEODIS

ICHCA Welcomes MSC as New Associate and Board Member

June 22, 2022 by

The global association representing cargo handling companies, ICHCA International (ICHCA) is delighted to welcome Mediterranean Shipping Company (MSC), the world’s largest container shipping line as a new member with representation on its Board of Directors

15 June 2022

As a leading voice in a crucial sector of the global supply chain, ICHCA brings together a wide range of players that perform a vital role in driving the world economy.  The added knowledge and experience that the number one container shipping line brings will be a tremendous asset in carrying out ICHCA’s primary mission of maintaining and improving safety in all aspects of cargo handling.

Dirk Van de Velde is MSC’s Chief EHSQ Officer and will be take up a board position at ICHCA.  “MSC has determined the Environmental, Health, Safety and Security Quality Governance topics (EHSQ) that are most relevant to our business, we have identified our priorities and are building on communication with the maritime stakeholders.  Our membership of ICHCA is a logical step following this assessment and the expansion of our activities,” commented Van de Velde. “In addition, we want to help address the increasing risks and calamities in the maritime supply chain today. In 2010 we created the Cargo Incident Notification System or CINS organization, however since then serious calamities have only increased.  We are joining ICHCA because of its focus on EHSQ and to contribute to its related proactivity.”

With its wealth of online resources, guidance and training programmes as well as an active Technical Panel, which constantly initiates and researches innovations and best practice across safety and operational efficiency issues, ICHCA has attracted corporate and individual members from all sectors of the supply chain where cargo is moved. 

ICHCA’s has privileged NGO status at the International Maritime Organization (IMO), International Labour Organization (ILO) and other key UN agencies which allows it, on behalf of its members to monitor, contribute to, and influence the development of regulations and guidelines that impact cargo handling and movement worldwide.

“We at ICHCA are proud of the role we have in improving industry standards through coalescing the expertise and knowledge of the world class organizations that make up our membership.  The addition of MSC to that number is a significant positive step in exerting our collective influence over that improvement,” commented ICHCA’s CEO Richard Steele.  “To count MSC within our number provides additional evidence of ICHCA’s expanding reach across all aspects of the vast business of moving cargo around the world.”

About ICHCA International

Established in 1952, ICHCA International is an independent, not-for-profit organisation dedicated to improving the safety, productivity and efficiency of cargo handling and movement worldwide. ICHCA’s privileged NGO status enables it to represent its members, and the cargo handling industry at large, in front of national and international agencies and regulatory bodies, while its Technical Panel provides best practice advice and develops publications on a wide range of practical cargo handling issues.

Operating through a series of national and regional chapters, including ICHCA Australia, ICHCA Japan and plus Correspondence and Working Groups, ICHCA provides a focal point for informing, educating, lobbying and networking to improve knowledge and best practice across the cargo handling chain.

www.ichca.com

Filed Under: ICHCA

Harren & Partner Group partners up with HeavyLift Sea

June 20, 2022 by

A new venture in the heavy lift shipping industry is ready to set sail: Bremen-based shipping and logistics group Harren & Partner and the Hamburg-based ship design and engineering service provider HeavyLift@Sea are proud to announce their collaboration.

Hendrik Gröne, Managing Director of HeavyLift@Sea and Jakob Christiansen, Head of Research & Development, Retrofit & Newbuilding at the Harren & Partner Group

After constructive bilateral talks, the Harren & Partner Group acquired a major stake in HeavyLift@Sea. The 14 HeavyLift@Sea engineers will continue to provide their services for the Harren & Partner Group as well as for external clients from their office in Hamburg-Harburg.

Dr. Martin Harren, CEO of the Harren & Partner Group, explains the strategy behind the cooperation: “Heavy lift and MPP shipping has always been a cornerstone of our business. In the next few years, we will successively expedite the development and addition of the fleet towards a new generation of carbon-neutral heavy lift carriers. This requires extensive ship design and engineering capacities. Our new colleagues have invaluable knowledge and experience in the field of building new and converting heavy lift vessels and deck carriers. Personally, I find it extremely gratifying that, from now on, the engineers will be in direct contact with the respective operators. This will allow them to see, inspect and constantly improve their work in a purposeful way. We did this for many years during SAL’s formation and development, and it is one of the reasons why SAL’s ships are technologically superior today.”

Hendrik Gröne, Managing Director of HeavyLift@Sea, is looking forward to the new collaboration: “With its SAL and Intermarine subsidiaries, the Harren & Partner Group is one of the world market leaders in the heavy lift and MPP segment. We see enormous potential for new buildings. I am sure that with our expertise in this area, we can further advance both our engineering capabilities and the flexibility of the group. It is a perfect fit for us because the Harren & Partner Group – with its affiliated companies – secures our team’s basic capacity utilisation for the next few years.”

Jakob Christiansen, Head of Research & Development, Retrofit & Newbuilding at the Harren & Partner Group, is taking on the role of Managing Director of HeavyLift@Sea alongside Hendrik Gröne. Christiansen stresses: “SAL Engineering has already 40 engineers working on maritime engineering solutions for our fleet – with some potential to grow in the area of ship design. We are now closing this gap. The cooperation with HeavyLift@Sea is the logical next step for us to secure experience and know-how. The new colleagues have extensive technical knowledge that perfectly complements our engineers’ expertise. By joining forces, both Harren & Partner and HeavyLift@Sea will strengthen their service portfolios. Customers will benefit from more choices and better solutions.”

About HeavyLift@Sea:

The Hamburg-based company was founded in 2012. The team at the maritime engineering company offers design and planning for the heavy lift shipping and offshore sectors taking on projects ranging from the design of individual lifting tools to the development of special ships. Experienced engineers with background at shipyards as well as crane manufacturers form an integral team for specialized ship design and engineering services.

For more information about HeavyLift@Sea, please go to www.heavyliftatsea.de

About Harren & Partner: The Harren name is synonymous with over 30 years of experience and expertise in the ever-changing world of shipping. Founded by Captain Peter Harren in Bremen in 1989, the shipping group employs around 400 people ashore and about 3,000 crew members. Today, the privately owned business is a diverse group of companies with strong brands: SAL Heavy Lift, Jumbo-SAL-Alliance, SAL Engineering and Intermarine are four of the world’s leading companies in the maritime transport sector for heavy lift, wind and project cargo. Combi Lift is specialised in multimodal door-to-door and turnkey forwarding concepts, while Harren Tankers and Harren Bulkers are responsible for the commercial and technical management of the group’s tankers and bulkers fleet.

Harren & Partner also provides high-quality ship management services to in-house and international third-party clients. The fleet currently consists of 82 units – heavy lift carriers, bulkers, tankers, dock ships, container vessels, tugs, barges and offshore vessels. With specialised teams for the different types of ships and strong shipping DNA in its business culture, Harren & Partner guarantees the highest standards of quality – both ashore and at sea.

For more information about Harren & Partner, please go to www.harren-partner.de

Filed Under: Harren & Partner

GEODIS Partners with KNAPP to Implement Over $80 Million in Highly Automated Fulfilment Technology for Leading Retailer

June 20, 2022 by
June 15, 2022
Nashville, USA

Global leading transport and logistics provider GEODIS and KNAPP, a technology partner for intelligent value chains, today announced a new collaboration to implement more than $80 million in advanced automation technology into two omnichannel fulfillment centers on behalf of a leading retailer. This marks the third project between the two companies, bringing GEODIS’ 12-month investment with KNAPP to over $130 million as it continues its commitment to implementing the industry’s latest automated technologies into innovative solutions for its clients to best meet today’s service demands.

Designed in strong collaboration with GEODIS, KNAPP and the leading retailer, the two fulfillment centers—located on the East and West Coast in the U.S.—will feature highly automated storage, picking and packing technologies. The technologies are designed to provide next-generation fulfillment strategies to support the retailer’s complex e-Commerce and retail operations while increasing overall supply chain efficiencies. Following the technology implementation, the combined fulfillment centers are expected to move over 270,000 units per day across its total of more than 850,000 square feet of operations.

“This particular client required a technology solution that could offer an extremely efficient fulfillment process far beyond what traditional methodologies can provide,” said Eric Douglas, Executive Vice President of Technology and Engineering at GEODIS in Americas. “By closely collaborating with KNAPP, we were able to create a fully customized solution featuring industry-leading technology that will allow us to provide a completely integrated offering to best support this customer’s unique needs. Our new investment with KNAPP is the latest proof point in our clear commitment to sourcing and implementing the most innovative solutions into our clients’ supply chains to increase efficiency, agility and flexibility.”

The two fulfillment centers will include a unique combination of KNAPP technologies. Both sites will feature the OSR Shuttle™ Evo, an all-in-one automatic storage and picking system. The facilities will also include the use of multifunctional goods-to-person Pick-it-Easy Evo work stations along with Pick-it-Easy Robots, an AI-equipped robot designed to supplement manual picking stations. In addition, the facilities will include automated carton packing and auto-bagging technology. The sites will also feature various customized value-added services such as personalization in support of the client’s desire for a one-of-a-kind customer experience.

In support of GEODIS’ sustainability efforts, the solution utilizes technology that will reduce the size of shipping cartons to ensure consolidated freight requirements to ultimately contribute to a lower carbon footprint. In addition, the KNAPP OSR Shuttle™ Evo solution has provided a sustainably sourced and designed robotic system to ensure that the client is optimizing every facet of the supply chain to its fullest potential.

“The jointly developed solution between GEODIS and KNAPP is specifically designed to address both strategic initiatives and growth that is attributed to rapidly expanding e-Commerce demand,” said Jusuf Buzimkic, Chief Sales Officer at KNAPP. “The technology platform will reduce the challenge associated with labor availability and evolving customer service level expectations. The latest solution represents a balance of performance, flexibility and scalability to minimize the variable cost per order.”

The project is set to begin installation in early 2023. Phase one of implementation is expected to be complete in September 2023 ahead of peak season, with both facilities aiming to be fully completed in Q1 of 2024.

To learn more about GEODIS, visit www.geodis.com. To learn more about KNAPP, visit www.knapp.com.

Picture : https://geodis.keepeek.com/b4P057avC

Picture caption : KNAPP Pick-it-Easy Robot. Photo Courtesy of KNAPP

GEODIS – www.geodis.com 

GEODIS is a global leading transport and logistics provider recognized for its commitment to helping clients overcome their logistical constraints. GEODIS’ growth-focused offerings (Supply Chain Optimization, Freight Forwarding, Contract Logistics, Distribution & Express, and Road Transport), coupled with the company’s truly global reach thanks to a global network spanning nearly 170 countries, is reflected by its top business rankings: no. 1 in France and no. 7 worldwide. GEODIS employs over 44,000 people globally and generated €10.9 billion in revenue in 2021.

KNAPP – www.knapp.com

KNAPP is a global market leader providing intelligent intralogistics solutions and specialized software for production, distribution and point-of-sale. With over 6,300 employees worldwide, KNAPP delivers market-leading, innovative and custom-designed solutions in healthcare, retail, apparel, food, manufacturing, and e-commerce sectors. Our clients experience results that are flexible, resource efficient, ergonomic and self-learning. The company’s North American headquarters are in Atlanta, GA. For more information, visit www.knapp.com.

Filed Under: GEODIS

Holding of “K” LINE Group Environmental Awards 2022 Ceremony

June 8, 2022 by

K” LINE Group Environmental Awards 2022 Ceremony held on June 6th, 2022.

The awards were established to honor and give recognition to outstanding environmental-preservation-contributive activities undertaken by both executives and employees working throughout the “K” LINE Group according to the direction developed in “K” LINE Environmental Vision 2050. This year marks the 8th awards since establishment of the awards in 2015, and we also have accepted many entries from our group companies both in Japan and overseas. Activities of five companies — one “Grand Award”, three “Excellence Award” and one “Special Award” — have received the awards from our President and CEO, Yukikazu Myochin.

The “K” LINE Group will continue to share environmental preservation activities being addressed within our Group companies broadly in order that we can further advance dissemination and enlightenment of environmental preservation activities as an entire Group effort by the presentation of these “K” LINE Group Environmental Awards. Through this emphasis on continuing aggressively to contribute to environmental preservation and biodiversity protection, we should successfully accomplish our mission, i.e., “Passing on a sustainable society and this blue and beautiful ocean to the next generation” expressed in “K” LINE Environmental Vision 2050.

Awardees of the “K” LINE Group Environmental Awards are as follows:

Grand Award

Painting Contest on the theme of clean oceans – Let’s think together about the preservation of our irreplaceable oceans! –

“K” LINE CHILE LTDA. /   “K” Line Peru S.A.C.

A painting contest by school children was held on the theme of the sea and the environment. The winning works were used as illustrations for the commemorative calendars for the 50th anniversary of “K” LINE CHILE, LTDA. and K Line Peru S.A.C.

Teachers commented that the event provided an opportunity for the children to think about ocean environment conservation. They appreciated the fact that the children could participate in this activity at home amidst the COVID19 that still continues.

(The works are posted on the website below.)

“K” LINE CHILE, LTDA. Home Page:　https://www.kline-chile.com/dgn-activity

“K” Line Peru S.A.C.  Home Page:  https://www.kline-peru.com/dgnactivity

Excellence Award

  • Reduce CO2 Emission by ECO Driving training – Bangkok Marine Enterprises Ltd.
  • Reduce CO2 Emission through commuter bicycle rental to employees – “K” Line (Deutschland) GmbH
  • Diminishing CO2 Emission by Reducing Garbage Disposal Charge Through Effective Compacting – M/V CAPE BROLGA

Special Award “K” Line Pte Ltd

Filed Under: "K" Line

Shippers Fear Carbon Tax Will Hike Freight Costs Still Higher

June 6, 2022 by

New Carbon Tax up for discussion at this week’s Marine Environment Protection Committee (MEPC) meeting at the IMO seems set to raise freight costs to shippers beyond their already record levels.

Such is the serious fear of the global business organisation representing cargo owners which export and import across international supply chains, the Global Shippers Forum.

Following the decade-long efforts of the International Maritime Organisation (IMO) to gain agreement on the so-called IMO 2023, a set of energy efficiency measures for existing ships, which final take effect next year, its MEPC will now discuss a further proposal put forward by the shipping industry to introduce a Carbon Tax on bunker fuel.  This is intended to incentivise a switch to lower carbon emitting fuel options and could eventually double the current price of tradition bunker fuels.

In the first instance GSF is urging regulators to make sure that the potential for shipping lines to remove older tonnage from the market, which they deem uneconomic to upgrade to progressively more demanding efficiency levels, is not used as a disguised means for capacity management resulting in higher freight rates.

Moreover, there is perhaps a more obvious danger to shippers. Given the widespread use of Bunker Adjustment Factors (BAF) and the rash of new surcharges ahead of the introduction of Low Sulphur Fuel in 2020, shippers will be wary of how much of this proposed Carbon Tax will just be passed through to them.

As the Director of GSF, James Hookham points out, “Shippers will be forgiven for thinking that the proposal, and its consideration at the IMO will inevitable result in still higher freight rates. That’s because the shipping industry has a very efficient mechanism for passing through higher fuel costs in the form of BAF; a surcharge to cover variations in fuel price. There are few reassurances in the existing proposals that a Carbon Tax won’t just be passed through as an added cost for shippers.”

Hookham goes on to demand, “If the shipping industry is serious about Market Based Mechanisms as a route to decarbonisation then it needs to insulate its customers from their inflationary effects otherwise emissions will be reduced by suppressing demand for world trade rather than by incentivising the  step-changes in fuels and propulsion technology, so urgently required.”

GSF is urging the IMO members on the Marine Environment Protection Committee to give due consideration to the interests of those who constitute the drivers of international trade, exporters and importers, and given the potential sums of money involved, insist on any Carbon Tax mechanism be fully transparent with exposure to scrutiny.

As Hookham concludes, “The MEPC needs to think through the realities of the shipping market and avoid simplified comparisons with experiences in other sectors of their economies”

Global Shippers Forum (GSF)

(www.globalshippersforum.com) is the global business organisation speaking up for exporters and importers as cargo owners in international supply chains and trade procedures. Its members are national and regional shippers’ associations representing hundreds of manufacturing, wholesaling, and retailing businesses in over 20 countries across five continents. GSF works for safe, competitively efficient, and environmentally sustainable global trade and logistics.

Filed Under: Global Shippers Forum
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