Transport communications

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The ECTA calls on the European Commission to make zero-emission road freight a reality

As a member of the European Clean Trucking Alliance (ECTA) since its creation in July 2020, GEODIS supports its calls for accelerated infrastructure development within the EU countries and the strengthening of CO2 emission standards for road transport, within the context of its adoption of the “Fit for 55” package.

The European Clean Trucking Alliance, coalition calling for the decarbonisation of road freight in the EU urges the European Commission to grab the opportunity of the upcoming proposals under the ‘Fit-for-55 Package’ and come up with an ambitious policy framework to make zero emission freight a reality.

The Alliance position paper comes ahead of the Fit for 55 Package which will shape several decisive regulations for the future of road transport: the expected review of Europe’s Alternative Fuels Infrastructure Directive (AFID), the TEN-T and TEN-E regulations, the Energy Taxation Directive and CO2 emission performance standards for light commercial vehicles.

Ramping up the infrastructure

There are approximately 40 million vehicles delivering more than three-quarters of goods in Europe[1].

“The availability of infrastructure for zero-emission vehicles is one of the biggest challenges to decarbonising our fleets – only ambitious regulations with AFID and policy support can turn this into the greatest opportunity of the decade” said Kristin Kahl, the Alliance’s spokesperson.

The Alliance calls on the Commission to establish binding targets in the AFID legislation for infrastructure in all EU member states. A minimum of 2 public charging stations per freight urban node by 2025 – to be increased to a minimum of 10 charging stations by 2030 – are needed to make the transition to zero-emission trucks a reality in every member state.

The TEN-T core network corridors should become zero-emission freight corridors, with sufficient charging and green hydrogen refueling infrastructure deployed at the latest by 2027 and completed by 2030 to enable zero-emission long haul trips.

Ensuring the production of zero emission vehicles

In Europe, transport is the biggest source of emissions (around 28%). It is the sector with the highest emissions increase since 1990.

To stay on course for zero emissions by 2050, the upcoming CO2 performance standards revision is the opportunity to strengthen the standards in order to boost supply of zero-emission vehicles. The Alliance recommends having at least 50% of new vans sold in 2030 zero-emission and by 2035 all new vans sold to be zero-emission.

This is an opportunity to make almost CO2-free city logistics in major urban centres by 2030.

“The transport and logistics sector must play an integral part in the realization of this ecological transition.  Transport, both of goods and passengers, accounts for more than 25% of global CO2 emissions. We must face this reality. During this crisis, we have seen an acceleration in the awareness of our customers to this need. We are looking forward to the arrival of new zero-emission vehicles on the market, as well as the deployment of improved energy infrastructures, which will be essential to ensure this transition,” says Philippe de Carné, Executive Vice President Business Development, Innovation & Business Excellence of GEODIS.

[1] Eurostat.

More about the Alliance – www.clean-trucking.eu

ECTA brings together a broad and diverse range of European players in the road transport of goods such as leading businesses, organisations and civil society associations (see Annex below) that share a strong commitment to accelerate the EU’s transition to zero-emissions trucks. 

ECTA business members include major hauliers, logistics and consumer goods companies in Europe and beyond. Altogether, the ECTA business members employ more than 2.3 million people globally and have over EUR 400 billion yearly revenue. This latter figure is comparable to the GDP of Austria[2]. The organisations that have joined ECTA are some of the civil society organisations and associations with the strongest network of members and experience in transport and mobility at the European level.

The latest members to join ECTA are Codognotto, DSLV and FERCAM Logistics&Transport.

[2] Nominal GDP in 2020, Eurostat.

GEODIS – www.geodis.com 

GEODIS is a top-rated, global supply chain operator 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 direct presence in 67 countries, and a global network spanning 120 countries, translates in top business rankings, #1 in France, #6 in Europe and #7 worldwide. In 2020, GEODIS accounted for over 41,000 employees globally and generated €8.3 billion in sales.


Voluntary transport Bush Fire charity vehicle being loaded to PCC MV Tianjin Highway

In March “K” LINE Australia, in partnership with “K” LINE Thailand, voluntary transported one unit of Bush Fire charity vehicle free of charge onboard MV Tianjin Highway, PCC(Pure Car Carrier), from Port Kembla to Fremantle to support charity organization, Anglicare Australia’s effort to support of people in Western Australia who have suffered from recent summer bush fire tragedies. 

Bush Fire charity vehicle loaded to PCC MV Tianjin Highway

“K” LINE Australia was able to work side by side with McPhee Freight Pty Ltd, who also donated free of charge and arranged all landside transport delivery & collection charges from terminals in Port Kembla and Fremantle. Qube Stevedores also contributed to the effort providing stevedoring of the unit free of charge.

We would like to express our deepest sympathy to those in the disaster areas and sincerely wish for the earliest recovery from these most unfortunate events.

GEODIS launches an internship program to support young graduates

In order to actively participate in building the professional future of younger generations, GEODIS has established an internship program for the families of its employees. The ‘Jump’In’ program is an opportunity for students to join an international company and, for their relatives, to enhance the pride they have in being part of the Group.

“As the pandemic situation is threatening the start of the professional journey for many of today’s youth, I see it as a heartfelt mission to help this generation find their place.  Therefore, we are launching “Jump’In”, an international internship program for our employees’ relatives, to support them at the end of their studies. “Jump’In” offers students the opportunity to join our global team, to learn from leading logistics experts and to build the future of logistics together,” says Marie-Christine Lombard, Chief Executive Officer of GEODIS.

The Group is now offering end-of-study internships in Europe, Asia and America, across all its lines of business: Freight Forwarding, Distribution & Express, Road Transport and Supply Chain Optimization.

Children and siblings of GEODIS employees who are looking for an internship or work-study program lasting at least three months in order to complete their current year of higher education may apply. The program offers them an opportunity to enter the business world and discover the logistics sector, globally recognized as vital to the economy.

“The future of logistics depends on today’s generation of young talent – and they need our help. GEODIS is a great place to work and learn, at the heart of a sector which is fundamental to our economic and public life worldwide. It is also an opportunity for our employees to promote the GEODIS group, which is rich in a multitude of professions and expertise, and to explain to their friends and family the challenges that we face every day, together, with passion,” concludes Marie-Christine Lombard.

GEODIS – www.geodis.com

GEODIS is a top-rated, global supply chain operator 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 direct presence in 67 countries, and a global network spanning 120 countries, translates in top business rankings, #1 in France, #6 in Europe and #7 worldwide. In 2020, GEODIS accounted for over 41,000 employees globally and generated €8.3 billion in sales.

Harren Bulkers takes over Post-Panamax and adds two more bulk carriers to its management

Only a few months after the launch of Harren Bulkers, three 93,000 tdw Post-Panamax bulkers have been secured for the fleet on a long-term basis.

Bremen-based shipping company Harren Bulkers is proud to announce the acquisition of the Post-Panamax bulker Topas (built 2011). The ship will be named Pablo. With an overall length of 229.2 m (beam 38.0 m, draft 14.9 m), Pablo is currently the biggest ship in the Harren Bulkers fleet. The two sister ships Turmalin and Tuerkis (both built 2012) were taken over by Oldendorff Carriers and renamed Constantin Oldendorff and Clemens Oldendorff just after delivery. Oldendorff entrusted Harren Bulkers with the technical management of the vessels.

Dr. Martin Harren, Managing Director of Harren Bulkers and the Harren & Partner Group, explains: “Our bulker division is becoming an increasingly important and larger part of our group. As such, it only makes sense that we would continue to grow our fleet strategically in the long term. The three Post-Panamax vessels are just the first step – one that will lay the foundation for acquiring more ships and expanding our fleet. Once again, our bank, the Ostfriesische Volksbank, proved to be a reliable partner to implement this project.”

Joachim Zeppenfeld, Managing Director of Harren Bulkers, emphasises the quality of the ships: “The three bulkers were built by COSCO Zhoushan Shipyards in China. There is currently sufficient demand for this size of tonnage. We have used these types of vessels for many years, and they have always performed extremely well.”

Patrik Pukall, Head of Project Finance at Harren & Partner and General Manager at Harren Bulkers, adds: “We have seen a strong response from potential partners since Harren Bulkers was founded. We would like to use this momentum, coupled with the positive developing market environment, to implement further projects.”

About Harren Bulkers: With its new entity Harren Bulkers, the Harren & Partner Group wants to bring its experience, expertise and passion to the bulker market. Harren Bulkers is the new one-stop shop for all kinds of bulk carrier projects and offers full asset management and financing, and provides access to commercial bulk markets through its global network. The dedicated bulker team consists of more than 30 experienced technical superintendents, engineers and operators while the young fleet comprises 22 vessels. Harren Bulkers’ promise to customers and business partners: Everything we do drives value – we work cost-effectively to better preserve the value of your assets with diligent care and superior service. Benefit from our experience and full-service suite and leave your vessel in safe hands with us.

For more information about Harren Bulkers, go to www.harren-bulkers.de

Jumbo Shipping and SAL Heavy Lift launch Jumbo-SAL-Alliance

Joint venture creates a new commercial heavy weight in project and breakbulk shipping with a fleet of 30 advanced heavy lift vessels

Today, the heavy lift industry sees a new and powerful constellation unfold. Jumbo Shipping, the Dutch maritime heavy lift transport and engineering contractor, and SAL Heavy Lift, the German-based breakbulk and project cargo specialist, commence operations with their joint venture as the Jumbo-SAL-Alliance. Combining their fleets and all commercial activities, SAL and Jumbo are gearing up to create a new powerhouse in the heavy lift sector.

This is a very proud moment for Jumbo and SAL. Both companies believe that this move propels them to a greater level of geographical outreach and commercial capacity. To serve clients worldwide, the joint venture acts as the single commercial entry point for its joint sales network of offices and agents in 20+ countries. Significantly, it handles the complete marketing of 30 highly versatile project cargo vessels with lifting capacities up to 3,000 t SWL, marking it as the largest fleet in the 800+ t sector. This ensures availability, flexibility and the right transport concept at the right time for customers seeking reliable and high quality shipping solutions.

Michael Kahn, Managing Director of Jumbo

Michael Kahn, Managing Director of Jumbo, says: “This joint venture is a big step for both of us. In the past few years, it became increasingly clear that the benefits of collaboration heavily outweigh the traditional way of doing business. Our client base and interests have changed and to remain an effective global player in our field of activity, you always need to adapt and innovate. Not only on a technical level, but also commercially. We believe that the flexibility and competences that our clients are looking for are best served by SAL’s and Jumbo’s combined assets and knowledge.

The Jumbo-SAL-Alliance stands for the highest QHSE standards, technical excellence and commercial flexibility by offering project and semi-liner services to customers worldwide, with the goal of creating a complete maritime transport solution for both breakbulk and specialised transportation scopes around the globe.

Jens Baumgarten, Director Chartering at SAL Heavy Lift, adds: “This collaboration allows us to bring an unrivalled shipping product to market. It provides a solid answer to the needs of big contractors and EPCs as well as manufacturers and forwarders. On one side, we can handle regular or spot-market breakbulk cargoes. On the other, we have the experience and the assets to handle very large and long-term scopes, including arranging third-party tonnage or whatever is needed to make good on our ‘one-stop-shop’ promise. Simply said, we want our customers to be happy during and after each and every project. This way, they will trust us to deliver a new heavy lift solution for them the next time.”

Jumbo and SAL are highly complementary, both in terms of fleets as well as human resources, both ashore and on board, while sharing many of the same values in terms of quality, safety and solutions focus. This equality makes the joint shipping product easy to combine and market as customers can expect a quality product irrespective of the vessel executing the shipment. The companies’ traditional focus on safe operations and being a reliable partner is integral to our joint way of working.

Martin Harren, Managing Director of SAL and the Harren & Partner Group

Martin Harren, Managing Director of SAL and the Harren & Partner Group, adds: “I truly believe we are creating something extraordinary here. This strategic collaboration combines engineered transport solutions with a significant fleet of heavy lift vessels. The Jumbo-SAL-Alliance stands for the best in heavy lift shipping and in complex global transportation. We have a unique team of highly experienced people which can really create value for our customers. From engineering to full-scope project management, by combining our resources we can now provide services that literally exceed any other heavy lift service currently in the market. It’s a winner.

The joint venture was cleared by the German competition authority earlier this month. The two companies share 90+ years of combined experience, are both family-owned and managed and are among the world’s most prominent and technically advanced heavy lift carriers. Note that both SAL and Jumbo continue as independent operators and vessel owners and both remain active brands in the market.

Felix Peinemann, VP Sales Shipping at Jumbo, states: “The Jumbo-SAL-Alliance merges the global chartering and marketing activities of both companies, creating one large, joint sales organisation. Both brands retain their market presence in addition to the new set-up. On a personal note, we have spent much time with our new colleagues in the past months, organising this joint venture, which went very well. I believe that our joint efforts have led to a solid alliance. If the level of cooperation and building relationships in the preparation phase is any measure of success, then the Jumbo-SAL-Alliance will be very successful!”

Customer confidence strengthened: Dachser is satisfied with the year’s results

Virtually no dip in company revenue in 2020, the year blighted by Covid-19, with the strong second half offsetting the impact of the European lockdowns in April and May. Investments of EUR 190 million earmarked for logistics capacity, technical equipment, and digital systems.

Kempten, April 13, 2021 – Dachser can look back on a successful 2020, which was characterized by the loyalty and climate of mutual trust between the logistics provider, its customers, and its transport partners. Dachser’s consolidated net revenue totaled EUR 5.61 billion, a slight decrease of 0.9 percent compared to the previous year.

“We have delivered on our promise to be a rock of stability during the coronavirus crisis,” says Dachser CEO Burkhard Eling. “The enormous encouragement of our customers and partners has been a great source of motivation. Special thanks are due to our staff and all those who drive on behalf of Dachser, who made last year such a success. Despite the extra burdens imposed by Covid-19, their performance was remarkable and they shouldered the responsibility that comes with systemic relevance at all times.”

Dachser kept its customers’ global supply chains running without interruption and came up with flexible solutions to capacity bottlenecks, particularly on intercontinental freight services. At the same time, the company provided the best possible protection for its employees’ health and supported its longstanding service partners in Europe.

In contrast to the decline of 2.2 percent in the Road Logistics business field, the Air & Sea Logistics business field saw growth of 5.2 percent. The business field benefited from having air freight charter capacity of its own as well as from high freight rates for intercontinental transport. At the Group level, the number of shipments dropped by 2.5 percent to 78.6 million, while tonnage fell by 2.9 percent to 39.8 million metric tons.

“Following a solid first quarter, the lockdowns in many European countries meant sometimes drastic declines in overland transport shipments,” says Dachser CEO Eling. “There was a clear improvement by June, however, with volumes remaining more or less consistently above 2019 levels. Our business model has proved that it can withstand crises, at the same time boasting strong growth potential and adaptability,” Eling is delighted to report.

Business development in detail

In 2020, Dachser’s Road Logistics business field—comprising the transport and warehousing of industrial and consumer goods (European Logistics) and food (Food Logistics)—once again lost none of its growth momentum. However, even by the end of the year, it was impossible to fully compensate for lockdown-driven reductions in European volume in April and May, with the European Logistics business units in France and on the Iberian Peninsula the hardest hit. This caused the consolidated net revenue of the Road Logistics business field to drop by 2.2 percent to approximately EUR 4.5 billion.

While the European Logistics business line saw a decline of 3.2 percent to EUR 3.52 billion, Dachser Food Logistics upped its revenue to EUR 982 million, an increase of 1.9 percent. This business line faced a relatively turbulent 2020, marked on the one hand by panic buying in supermarkets and on the other by repeated closures in the catering, hospitality, and events industries in Germany. Nonetheless, it managed to make up for the decline in shipments in these sectors by acquiring new accounts and obtaining larger volumes of business from food retailers. Over the course of the year, Dachser Food Logistics increased the tonnage transported by 1.6 percent.

Revenue at the Air & Sea Logistics business field benefited from the shortages in air and sea freight capacity, and the corresponding rise in freight rates, throughout 2020. Buoyed by its activities in Asia, the business field upped its revenue by 5.2 percent to a total of EUR 1.2 billion. “We responded swiftly to the bottlenecks in air freight capacity by chartering aircraft to expand our own capacity, initially for medical supplies, later also transporting other goods for our customers. Overall, we operated around 150 charter flights between Europe, Asia, and the US during 2020,” Eling says. The sea freight situation was no better, with scarce capacity and the acute lack of empty containers resulting in a volatile market and soaring freight rates. The LCL routes, known as “ocean groupage,” benefited in particular from this development. “Given the great potential we see for this premium service, we aim to further enhance the frequency, capacity, and quality of our LCL routes and push ahead with connecting them seamlessly to our European groupage network,” Eling says.

Staying in the driver’s seat

Eling emphasizes that Dachser refused to let the coronavirus crisis dictate its actions. This applies both to the generational change on the Executive Board—prepared in 2020 and finalized on January 1, 2021—and to investment planning. “Last year, we invested EUR 142.6 million in our global logistics network. This year, we are earmarking some EUR 190 million to create additional contract logistics capacity and forge ahead with digitalizing processes and business models.” The newly created IT & Development executive unit headed by Chief Development Officer Stefan Hohm will figure prominently in this regard.

According to Eling, the high equity ratio of 61.6 percent and the shareholders’ clear allegiance to the family-owned company give Dachser the support it needs to continue its tried-and-true policy of growth by drawing on its own resources. Moreover, the coronavirus crisis has reinforced Dachser’s commitment to training, particularly for drivers and logistics operatives, that is deeply rooted in its corporate culture. In 2020, despite the constraints of the coronavirus crisis, 625 new trainees and students on dual degree programs started their careers at Dachser in Germany.

“Our goal is to preserve the company’s strengths while enhancing its agility. In other words, we are expediting the integration of our networks and the introduction of digital technologies for use in areas such as machine learning or swap body localization. We will also be stepping up our sustainability and climate protection efforts,” Eling says. “Over the next two years, we intend to start by expanding our DACHSER Emission-Free Delivery areas to at least eleven European cities, while deploying more battery electric trucks and electrically assisted cargo bikes. What’s more, as a member of the German Hydrogen and Fuel Cell Association, we are actively supporting the research and testing of hydrogen fuel-cell drives for trucks.”

Overview of net revenue:

Net revenue (in EUR millions)2020 (provisional)2019Change in 2020
vs. 2019
Road Logistics4,4974,596−2.2%
European Logistics3,5153,632−3.2%
Food Logistics982964+1.9%
Air & Sea Logistics1,1961,137+5.2%
Consolidation
(deducting revenue from company interests of 50% and lower)
−86−75 
Group5,6085,658−0.9%


About Dachser:

Thanks to some 30,800 employees at 387 locations all over the globe, Dachser generated consolidated net revenue of approximately EUR 5.6 billion in 2020. The same year, the logistics provider handled a total of 78.6 million shipments weighing 39.8 million metric tons. Dachser is represented by its own country organizations in 42 countries on five continents. For more information about Dachser, please visit www.dachser.com

Russian Cargo Theft Trends 2020

Report finds dominance of fraudulent activity as the cause of road freight losses as year-on-year incident volumes decline in 2020 by 35%.  Food and beverages remain the chief targets, though type of goods stolen were more necessities rather than luxury items.

Moscow & London, 13th April, 2021

The joint report published by international freight insurer, TT Club; IMPACT, a digital cargo theft information and prevention exchange and the Transported Asset Protection Association (TAPA EMEA) details trends in the prevalent modus operandi of thefts and the type of cargo commodities lost within the Russian road freight sector, analysing the data by month and federal region.

The COVID-19 pandemic that took hold through 2020 impacted historical cargo theft trends in a multitude of ways. Local and national restrictions on general movement affected the thieves’ ability to move undetected when undertaking their activities, influencing how they operated. The economic impact of the pandemic influenced market forces and therefore the cargoes primarily targeted by criminals. The overall number of recorded incidents reduced year-on-year by approximately 35%, despite a 10% annual growth in the total road freight market.  The average value of each loss also reduced to nearly US$39,000 in 2020 from US$43, 000 in 2019.

As in the previous year the 2020 report pinpoints various methods of fraud as by far the most common modus operandi of thieves, with such methods once more accounting for around 83% of incidents. The balance was almost entirely theft from parked vehicles.  Food and beverages also remain the most common type of commodity targeted.  The volume of incidents fell by nearly a third, but these goods still made up 28% of total losses.  Interestingly, the average value of goods taken fell by 22% indicating a focus on essentials rather than more attractive products of higher value.

The second largest cargo category remains metals but with much reduced share; 13% in 2020 against 24% the previous year.  Once more there was a ‘value shift’ but this time to more valuable cargoes; the average per incident rising from US$28,000 to US$44,000.  The year-on-year increases were seen in small increments across other categories including electronics, auto parts, household goods and clothing. Full details of the report’s analysis can be studied in English or Russian Click Here

Kiril Berezov is Managing Director of Panditrans, TT Club’s Network Partner in Russia.  He emphasises the dominant role that fraud plays in losses overall.  “In contrast with many other countries, data from our 2020 report highlights that thieves in Russia rely heavily on fraud as a means of accessing cargo. The methodology of criminal organisations are distinct and fall into two primary categories: the driver being diverted by phone to unload at an unauthorized location and the use of fraudulent identities to access cargo. The ingenuity of the fraudsters is remarkable. They have sound knowledge of how the supply chain operates,” he said.

The report contains detailed case studies that describe, step-by-step how such diversions are arranged and how types of fraud are employed to ultimately complete the thefts.  Mike Yarwood, TT Club’s Managing Director of Loss Prevention highlights the report’s important role in mitigating these incidents.  “Above all else awareness is crucial.  Everyone within transport and supply chain service companies need a degree of knowledge of the risks and how perpetrators of theft operate.  Our report is aimed at providing detailed data but also provides a wealth of guidance on creating this awareness as well as further actions to be taken by operators in avoiding loss and damage to their customers’ cargoes and their own business reputations.”

Thorsten Neumann, President & CEO of TAPA in the Europe, Middle East & Africa (EMEA) region, says companies can take action to increase the resilience of their supply chains in Russia. “TAPA’s Incident Information Service (IIS) has recorded hundreds of cargo thefts and millions of euros of product losses, and this increases every month. In a high number of these crimes, losses could easily have been prevented by companies carrying out simple due diligence checks on the transport partners they are working with. There is now so much evidence of Fraud and Deception impacting supply chains in Russia, businesses should be well aware of the risks. This new report will help prevent losses.”    

Ilya Smolentsev is Co-founder of IMPACT.  He comments, “Cargo theft in Russia is heavily under-reported as in many other parts of the CIS area and Europe. The accumulated annual losses exceed RUB 10 billion (US$130 million) and exhibit a growing trend of producing negative influence on local and international businesses. IMPACT, as the leading independent cargo theft data source in Russia, created a unique risk management tool that helps the industry in understanding the magnitude of the problem in both Russia and the CIS region and in developing effective mitigation strategies.”

About TT Club

Mike Yarwood, TT Club’s Managing Director of Loss Prevention

TT Club is the established market-leading independent provider of mutual insurance and related risk management services to the international transport and logistics industry. TT Club’s primary objective is to help make the industry safer and more secure. Founded in 1968, the Club has more than 1100 Members, spanning container owners and operators, ports and terminals, and logistics companies, working across maritime, road, rail, and air. TT Club is renowned for its high-quality service, in-depth industry knowledge and enduring Member loyalty. It retains more than 93% of its Members with a third of its entire membership having chosen to insure with the Club for 20 years or more.

www.ttclub.com

About IMPACT:

Ilya Smolentsev is Co-founder of IMPACT

IMPACT is a partnership initiative for information exchange and industry collaboration to minimize risks in the supply chain and reduce cargo losses in Russia. Industry’s first innovative digital platform for collecting and analysing intelligence on cargo theft, providing online vetting services to identify individuals, forwarding and transport entities, and vehicles that routinely take part in fraudulent pickup and full truck loss incidents. IMPACT was established in 2019 by leading experts in supply chain and corporate security with a vision to establish open collaboration within the industry for legitimate data exchange on cargo theft threats in Russia, as well as share intelligence and best practices with leading international institutions and companies who are active in security risk management, fraud prevention and cargo protection to enable effective incident data exchange, improve security awareness and theft prevention, referencing various consulting services and solutions.

www.impact.ru.com

About TAPA:

Thorsten Neumann, President & CEO of TAPA in the Europe, Middle East & Africa (EMEA) region

The Transported Asset Protection Association (TAPA) is a not-for-profit industry Association founded in 1997 to help Manufacturers/Shippers and their Logistics Service Providers minimise losses from their supply chains resulting from cargo thefts. Today, the Association provides a host of industry standards, training, incident intelligence, route planning and networking tools and opportunities which are used by its member companies as part of their own in-house supply chain security programmes to mitigate risk and optimise loss prevention. Its membership also includes Insurers, Security Service Providers and Law Enforcement Agencies.

www.tapa-global.org

GEODIS invests in new multi-user facility in Icheon, South Korea

Responding to the recent surge in demand for supply chain services in South Korea brought about by dynamic changes in consumer buying habits through ecommerce channels, the new facility will provide additional warehousing and value-added contract logistics resources.

Located just 25 kilometres from central Seoul and a 90-minute drive from both Incheon International Airport and Port of Incheon, the new multi-user warehousing facility is strategically located in Icheon. 

Completed in March 2021, the new premises provide a variable ambient environment with temperatures ranging from 5°C to 34°C. It will be maintaining a maximum humidity of 87% with ventilation system support and is compliant with the Korea Fire Safety Standards. This additional location brings GEODIS logistics footprint in South Korea to 65,000 square meters.

Sub-Regional Managing Director, North Asia, Chris Cahill said, “In line with our vision of being the growth partner of our customers, this investment in additional warehousing resource is just another step in GEODIS’ commitment to support our Korean customers’ development ambitions and our own expansion into strategic markets. From inventory management of raw materials to finished goods, valued added services and end to end solutions, our across the board provision logistics platforms facilitates faster speed to market for our customers’ products by being perfectly located to serve their target markets.”

Managing Director for GEODIS in South Korea, Benoit Brule comments, “Our Icheon amenity is built to state-of-the-art specifications of a Grade A standard at a strategic location. The warehouse is open to all new business offering customers an all-in-one service, increased efficiency, full visibility and total control. Above all, we have a truly professional team of supply chain experts ready to support our clients in all their Contract Logistics requirements.”

GEODIS – www.geodis.com 

GEODIS is a top-rated, global supply chain operator 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 direct presence in 67 countries, and a global network spanning 120 countries, translates in top business rankings, #1 in France, #6 in Europe and #7 worldwide. In 2020, GEODIS accounted for over 41,000 employees globally and generated €8.3 billion in sales.

Suez Canal blockage: supply chain risks assessed

International freight transport and logistics insurer, TT Club alerts supply chain operators to the consequential impact of disruption stemming from recent blockage in the Suez Canal and urges a greater emphasis on resilience.

London, 12th April, 2021

Global supply chains already strained by the disruption caused by the pandemic have been further challenged recently by the blockage of the Suez Canal, an artery that carries 30% of the world’s container cargo each year.  Happily, the Canal is now functioning normally again, but a reported 300 ships have been delayed awaiting transit, many others were re-routed via the longer passage around South Africa’s Cape of Good Hope.

In its advisory capacity as a mitigator of risk and loss in the supply chain TT Club is warning of the consequences of these recent events.  Mike Yarwood, TT’s Managing Director, Loss Prevention comments, “Beyond the delay to cargo on board those ships affected, there will inevitably be a knock-on impact for those involved in discharging the containers at destination ports when they finally arrive, as well as the final mile delivery carriers. While the immediate impact may be a lack of cargo arriving when expected, presenting market supply challenges, it is when the cargo does start to turn-up that further potential risks emerge.”

The arrival of large volumes of laden containers, coupled with the requirements for hinterland distribution, will create disruption at ports and terminals, straining throughput and yard capacities, and creating accumulation of cargo. This is a complex risk and one that will not only affect destination hubs.

The situation will also aggravate an already widely reported imbalance of container equipment especially on the East to West trade routes as laden containers are tied up and consequently empty availability to reposition to shipment areas worsens.

Yarwood further stresses, “The risk of theft at ports and freight depots in this scenario is heightened and a greater focus on security is required. Whether it simply be at an overspill holding or storage area, or temporary warehousing, wherever and whenever cargo is not moving, it is more likely to be stolen. Those active in the supply chain should be mindful of these security risks.  Due diligence, undertaken to ensure that any third party provider of storage is adequately resourced to meet these demands, is a prudent step to take in these circumstances.”  

Particularly in Europe, driver shortages are already expected to soar through 2021, as highlighted by a recent International Road Transport Union (IRU) survey.  This will exacerbate the difficulties in delivering import cargoes and picking-up consignments for export. The overall lack of capacity to move containers has the potential to create additional challenges. Those seeking to secure road haulage capacity should be mindful of the associated security risks outlined in the recent TT Club/BSI joint cargo theft report, and take the advised steps in mitigating the threat of theft.

Yarwood concludes, “The last decade has witnessed many in the supply chain drive towards streamlining and operational efficiencies. Such measures have included reducing the number of suppliers and introducing ‘just in time’ principles to lessen the burden of unnecessary inventory costs. Experiences over the last twelve months through the pandemic, the Brexit transition and more recently the Suez Canal blockage, bring into question this bias towards efficiency and cost reduction.  If such are achieved at the expense of resilience, is this policy the correct one? The new normal might see many stakeholders increase their focus on contingencies and adopt more a ‘just in case’ philosophy than a ‘just in time’ one.”

 ENDS

About TT Club

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GEODIS appoints new Regional Air Freight Director in Asia-Pacific

Yigit Saricinar has been promoted to Regional Air Freight Director, Asia Pacific (APAC). He will join GEODIS’ regional Management Board, reporting to Onno Boots, GEODIS’ Regional President and CEO, APAC.

Previously Sub-Regional Air Freight Director, ASEAN, Yigit has 15 years experience in the air freight industry and has been a valued member of the ASEAN management team at GEODIS over the last 3 years. During this time he has built a strong foundation for air freight in key ASEAN countries and will now expand his responsibilities to manage an ambitious air freight strategy within the regional as a whole.

In commenting on the appointment, Onno Boots said “The Head of Air Freight for APAC has a key role to play in the development of GEODIS’ services in the region. We have ambitious goals.  We will continue to be a valued growth partner to our customers, and assurance of delivering reliable and differentiated airfreight solutions to our customers is crucial.  As we expand on our scheduled services, such as AirDirect Mexico which connects Greater China to Mexico twice weekly, Yigit’s leadership will be pivotal.”

“While some passenger airlines have resumed operations, the current situation in the air freight market remains volatile,” Yigit comments. “The air freight team in APAC is well positioned to not only navigate the continued turbulence of the air cargo market in 2021, but to also thrive in both these conditions and in the years to come. We will continue to invest in our Own Controlled Network and fixed capacity.”

GEODIS – www.geodis.com 

GEODIS is a top-rated, global supply chain operator 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 direct presence in 67 countries, and a global network spanning 120 countries, translates in top business rankings, #1 in France, #6 in Europe and #7 worldwide. In 2020, GEODIS accounted for over 41,000 employees globally and generated €8.3 billion in sales.