Trade deals for South Korea and Pakistan

The EU agreed on a free trade agreement with South Korea on 16 September., after a compromise with Italy to delay implementation until 1 July 2011 rather than the hoped-for end of the year start date. The compromise was needed to buy off Italian threats ti veto the deal altogether over its strong misgivings over its effect on its industries, particularly car manufacturing.

When it comes into force, it will eliminate almost 99% of duties in industrial and agricultural trade within five years and, eventually, most of the remainder.

It will contain safeguard clauses to protect EU industries in the event of a sudden surge in imports from South Korea in sensitive industries, particularly cars.

On the same date, the European Council called for Pakistan to be given a World Trade Organisation waiver to increase its access to the EU market to help the country recover from the recent devastating floods.

There would be an immediate but time-limited reduction of duties on key imports from Pakistan from October.

UPS 747 freighter crashes in Dubai

A UPS 747-400 freighter crashed on takeoff at Dubai en route to Cologne on 3 September, killing both pilots on 3 September. The crash happened at about 17:00 UK time. According to local reports, the pilot reported fire and smoke in the cockpit and was attempting to return to the runway.

On 27 July a Lufthansa cargo MD-11 crashed on landing at Riyadh’s King Khaled International Airport in Saudi Arabia but the two man crew survived with injuries.

Daily to Finland

UK based international road specialist RH Freight is now offering daily service to Helsinki. The new service runs from RH’s Thurrock depot to the port of Travemunde in Northern Germany where the truck takes a daily sailing from there to Helsinki. The previous schedule was twice weekly, which meant that shipments that missed a departure could be in for a long wait.

Deputy managing director, Andrew Baxter, said: “The route via Travemunde allows us to offer a special 72-hour express product to Finland , which is better than anything else on offer.” Other daily RH services operate to Helsingborg, Gothenburg, Oslo and Kolding.

Norbert buys Schneider forwarding interests

French-based Norbert Dentressangle is to acquire Schneider Logistics’ freight forwarding and customs brokerage business in the US and China. The deal, which is expected to be finalised by 1 October, includes locations at New York, Chicago, Atlanta, Miami, San Diego, Los Angeles, San Francisco, Tianjin and Shanghai.

Buyers line up for Dover privatisation

A range of companies and groups a reported to be in the running to buy the port of Dover, following the ending of consultation on 27 August.  The list includes Forth Ports – owner of the nearby port of Tilbury  - various French interests and a consortium of local people. The latter option has the support of local Conservative MP Charlie Elphicke, who claimed in an interview on BBC TV news that the plan also had the support of the ferry companies and trade unions.

But earlier, the Unite trade union called for Dover to remain as a trust port. Unite said that allowing Dover to fall into private hands would be disastrous for the UK’s transport and economic interests and that the business case was poor.

Dover has excited controversy in recent months, particularly from the ferry operators who, while not opposed to privatisation as such, are angry that cash raised as a levy on their operations for port developments appears not to be ring-fenced under the port’s proposals.

Unite said that it feared the government would use any positive response to the DHB’s consultation as a pretext to fast-track a sell-off.

It added that the proposed privatisation “would unleash the biggest revolution in the corporate structure of the highly-profitable publicly owned port in more than 400 years”, since James I provided the original charter in 1606.

Unite said that an unfavourable response had forced the previous Labour government to put sell-off plans on ice, only for the new coalition government to reopen the process in July this year with a new consultation.

Unite fears that shedding trust status would reduce labour standards and wages and that support for the training of young people would be cancelled.

In response, the Port of Dover said that the Union “had failed to grasp the rationale and driving force” behind the voluntary privatisation scheme. It said that, in contrast to Unite’s claims that it would be disastrous for UK transport and the economy to let the port fall into private hands, as a trust port Dover had been unable to finance significant additional capacity as its status as a public corporation does not allow it to borrow.

Dover also discounted Unite claims that a sell-off was shelved by the previous Government due to an unfavourable response – the delay was due to the general election, it said.

It also said that a Port of Dover Community Trust (PDCT) would be established with an immediate cash sum of £10 million, which would be tripled by shares in the new company. As a trust port, the Port of Dover would be unable to create such a body as all of its profit has to be ploughed back into maintaining and enhancing the port. “Therefore, for Unite to state that the people of Dover will lose out is entirely wrong and its claim that the port’s discharge of social responsibility will suffer is misguided when the port will, through the PDCT, be in a position to do so much more for Dover and its community than it has been able to do for the past 400 years.”

A decision on the sale is expected “in several months”, the BBC reported.

Delta applies for Heathrow routes

Delta Air Lines has filed applications with the European Commission and the US Department of Transportation to operate twice-daily year-round service between Heathrow Airport and Boston,and daily year-round service between Heathrow and Miami. The slots for the new service are available following approval of the American Airlines- British Airways transatlantic alliance, which required the airlines to divest some Heathrow slots. If approved, Delta’s new service would begin on 27 March 2011 and would be offered in cooperation with its transatlantic joint venture partners Air France-KLM and Alitalia. The routes would be operated by 767-300 aircraft.

Another ferry route may go freight-only

LD Lines is considering converting its new Dover-Boulogne service into a freight-only operation from 6 September, following disappointing passenger numbers and the transfer of one of the two vessels to a new link between Saint Nazaire (Nantes) in North West France and Gijon in Northern Spain.

The company said it was currently examining a reduced frequency, primarily unaccompanied freight only service, using the remaining vessel, the Norman Trader. LD Lines’ Managing director, Christophe Santoni, said: “Whilst we are disappointed to have to announce the ending of a tourist passenger service between Dover and Boulogne, as the addition of a second ship has not generated the extra traffic volumes we had hoped for, we will continue to explore every option to try and maintain some form of ferry service to Boulogne.”

He said the ferry industry needed to adjust supply to demand, increase prices and consolidate if it was to become profitable again. There remains huge over capacity on the Dover Strait, he said, adding: “We are addressing this issue now by looking to see if such a revamped service is economically sustainable, despite a continually difficult trading climate.”

The new GLD Atlantique route, a joint venture between LD Lines and Grimaldi, will operate three times a week using the Norman Bridge in both directions between Saint Nazaire (Nantes) in North West France to Gijon in Northern Spain. It will carry accompanied and unaccompanied freight and tourist passengers.

LD Lines’ three other cross channel ferry routes – Portsmouth/Le Havre, Newhaven/Dieppe and Ramsgate/Ostend – are all operating normally.

DFDS goes freight-only in Scotland

DFDS is converting its freight and passenger route between Rosyth in Scotland and Zeebrugge into a freight only operation from the end of the year. At the same time the single ro-pax ship will be replaced by two ro-ro ships and sailing frequency will be upped from three to four sailings a week. DFDS, which took the route over as part of its purchase of Norfolk Line from the AP Mioller Group, said that passenger traffic had been disappointing, but demand from freight customers had met expectations.

The news come s a few days after the newly-enlarged DFDS Seaways introdued its first new service, a ro ro route between Immingham and Vlaardingen. The Humber Viking operated the maiden voyage from DFDS Immingham Riverside Terminal at 20.00 hours on Monday 2 August. The new service will run alongside the DFDS Immingham to Rotterdam Maasvlakte service, and also complements Norfolk Line’s established Felixstowe-Vlaardingen route.

Following its takeover of Norfolk Line from the AP Moller group, DFDS has switched the Humber port location from Killingholme to its Immingham Riverside Terminal. Investment by ABP and DFDS in the Riverside Terminal include a 24 hour on-line booking system that allows drivers to send SMS texts of their expected arrivals to the terminal’s IT management system, which pre-allocates and notifies lane and bay drop off and collection points for units. Traffic lanes and bays at Immingham Riverside Terminal have alos been remodelled.

One benefit of the move to DFDS’s terminal, only 2km away at Immingham is earlier availability of cargo – by 9am at the latest. DFDS’s Nordic Terminal has now been rebranded the DFDS Seaways terminal. The move will also free up capacity at Killingholm for remaining operators Stena Line and Cobelfret.

The former DFDS Tor Lines and Norfolk Line names have been rebranded as DFDS Seaways. Sean Potter, formerly agency and sales director at DFDS Tor Lines is now managing director of DFDS Seaways plc for the Business Unit North Sea, working closely with Alistair Campbell who is terminal operations director in Immingham. Both report to Kell Robdrup, senior vice president of the North Sea business unit. Andreas Teschl is vice president of the English Channel business unit at Dover..Jens Nielsen, previously managing director at Immingham is now vice president of the Irish Sea business unit.

The former DFDS Tor Lines and Norfolk Line names have been rebranded as DFDS Seaways. Sean Potter, formerly agency and sales director at DFDS Tor Lines is now managing director of DFDS Tor Line plc for the North Sea, working closely with Alistair Campell in the operations role in Immingham. Andreas Teschl is in charge of the Dover operation. Jens Nielsen is vice-president of the Irish Sea business unit.

The takeover and rebranding also includes the Norfolk Line Rosythe-Zeebrugge passenger and freight route, Scotland’s only regular ro ro link with the Continent.

Shuttle across the Pond

Hapag-Lloyd has broken the mould in container shipping with a new shuttle service operating between the ports of Antwerp and New York only from 13 September. The fixed day weekly service will be maintained by relatively small vessels of under 3,000teu and offers a transit time of nine days. A Hapag Lloyd spokesman said: “In the current market situation, such a shuttle service provides additional capacity required by our customers and the North Atlantic with its relatively short distance is suitable for such a service. Presently we are not planning any further shuttles.”

TNT to split off mail and express

TNT is to separate its Express and Mail divisions, following a review. It follows tough trading conditions, which saw a near-collapse in second-quarter profits from EYR81m a year ago to just EUR3m.

In a statement, the company said that on a standalone basis, “Mail and Express will be able to operate as best-in-class in their respective industries.” It added that while the restructuring would be “clearly painful to many of our Dutch Mail employees, the reality of structurally declining postal volumes and continuing low-wage competition has forced us to redesign how we run our business.

Operational separation of the two businesses is expected to be achieved by early next year. The move has triggered speculation that the stand-alone express business could become a takeover target, with UPS named as a possible purchaser.

Cable firms doubles up in Hartlepool

Subsea specialist JDR Cable Systems has signed a deal to more than double its current 100,000 sq ft facility at port Hartlepool, opened last July. JDR was recently awarded a £2 million grant to develop high voltage cables as part of Department of Energy and Climate Change plans to invest in low carbon technology. The facility at Hartlepool dock allows the cables to be spooled directly onto cable-laying vessels and the site is strategically placed for the Dogger Bank North Sea expansion zone which the UK Government recently targeted as a preferred wind farm site.

The move was welcomed by Hartlepool’s owners, PD Ports. Managing director for bulks, ports and logistics, Jerry Hopkinson, said: “The expansion of JDR is very good news as it reinforces Hartlepool’s position in the offshore renewable energy sector and the confidence our customers have in the port’s ability to facilitate the needs of offshore manufacturers. It is evidence that our plans to build a renewable energy supply chain cluster in the region is progressing well.”

US set to drop Agility fraud charges

The US Attorney’s office is set to drop fraud charges against Kuwaiti logistics company Agility. The firm had been facing charges for overcharging the US military in the Middle East, but the Attorney’s Office in Atlanta had now moved to dismiss the indictment against its Holdings subsidiary, it said in a statement to the Dubai stock market on 28 July.

Agility has however already lost $8.5 billion-worth of contracts to supply the US Army in Iraq, Kuwait and Jordan. It has also been suspended from bidding on new contracts

In a statement, Agility said: “This case should never have been brought in the first place in a criminal court. This case is, at most, a civil contract dispute over the interpretation of a contract drafted by the government. One thing that has always been crystal clear is that Agility has provided– and continues to provide– exceptional service to US troops and superior value to the US taxpayers, working for seven years in a warzone on the largest US military subsistence procurement contract in history. The food contract is one of nearly 130 US Government contracts and tenders by Agility and its affiliated companies.

“We remain committed to attempting to resolve this civil contract dispute so that the distraction of litigation is removed and we can continue to focus on our business, including providing the excellent service to the troops that they have come to expect from us.”

Ploughing on

DP World CEO Mohammed Sharaf flew into the UK on 26 July – to inspect progress of the dredging work for the UK’s newest container port. In company with UAE Ambassador to the UK , Abdul Rahman Ghanem Al Mutaiwe’e, he inspected the three million cubic metres-plus of dredging has now been completed for the new port. Around 30m cu m will eventually need to be removed to complete the project.

DP World’s CEO Mohammed Sharaf said: “The works are progressing very well and we are meeting with our global customers and potential park tenants to discuss London Gateway.”

Freeports to fade away

All four remaining UK free zones will be discontinued from next year, in line with the requirements of the modernised Customs Code, said HM Revenue & Customs. The dates of expiry are 10 August 2011 for Liverpool, Prestwick and Sheerness and 2 June 2012 for Tilbury.

Nigeria airfreight at a standstill

Airlines are refusing to carry cargo and mail to Nigeria due to demands by the Nigerian customs authority for consignments to be electronically manifested. Carriers faced fines if they refused to comply with the new requirement.

One airfreight forwarder contacted by FBJ said: “ At the moment it is affecting all cargo airlines including Royal mail which uses DHL , and other cargo airlines. And when the Nigerian customs decide to lift the regulation, there will be a huge backlog and delays in clearance and delivery.”

Emirates added in a statement that “ due to the rigid regulation on electronic manifestation requirement for Lagos customs, and to avoid fines and operational issues with the local authorities, Emirates SkyCargo is forced to place an embargo on all types of freight, courier and mail into Lagos. This embargo will be in place until such time as we have some clarification from the customs authorities to accept or review our current procedure.”

It was later reported that Nigerian Customs was accepting manifests on computer discs.

Tilbury for the Orient

Container shipping line CMA CGM Group has added a new southbound calls in Tilbury to its FEMEX (French Europe Med EXPRESS) service linking North Europe to Greece and Turkey. It will provide direct weekly connections from UK and Portugal to Greece and Turkey in response to the growing demand from exporters.

EU steps up Iran sanctions

Tough new sanctions against Iran, adopted by the European Union on 22 July, include specific measures targeting the Iranian-owned IRISL container line and its subsidiaries. The measures, which in some instances go beyond those already adopted by the United Nations Security Council, also include comprehensive trade restrictions and sanctions against the oil and gas industry.

According to reports, trade supports, including export credit guarantees, will banned and, as well as ship inspections at EU ports – in line with the UN sanctions -, air cargo flights between EU airports and Iran will also be prohibited.

Lancs link for Nightline

Irish independent delivery company Nightline has opened a new office at Altham, near Accrington which it intends to use as a springboard to success in the UK. UK managing director, Geremy Ruffin, said the new Lancashire facility would be able to handle up to 40,000 parcels a week.  Nightline already owns seven depots including sites at Dublin, Belfast, Galway and Cork.

The Altham depot will also play a key role in the new strategic partnership between Nightline and UK Pallets. Under the terms of that deal, Nightline will handle all Ireland-bound traffic on behalf of UK Pallets’ 80 member carriers.

Three-way fight on the Channel

A three-way fight for freight traffic has broken out on the Channel, Eurotunnel chairman and chief executive Jacques Gounon told a press conference to present the company’s first half results today (17 July). Insolvent ferry operator Seafrance, which is currently trying to hammer out a rescue deal in the French commercial court, has been offering “some very aggressive pricing” said Gounon. But at the same time, rival ferry operator P&O has been trying to woo Seafrance customers by warnings the of the consequence’s of Seafrance going bankruptcy.

“We are mainly recovering our market share from P&O,” Gounon explained.

Eurotunnel has been offering discounts, particularly to small hauliers returning empty from the UK to Spain, but Gounon stressed that these would be temporary.

He also predicted that Eurotunnel might, paradoxically, gain market share when P&O introduced its new large vessels on the Dover-Calais route. The new ships might lead to less frequent sailings by P&O as the operator attempted to fill its new vessels, making Eurotunnel’s frequent shuttle services more attractive.

SITPRO closure confirmed

Government sources have confirmed that trade simplification body SIPRO, is to be closed as part of the current round of government spending cut backs. The publicly-funded body was reported in late June to be at high risk of losing its funding and being shut down.

The news has been greeted with dismay by the trading and transport community. Peter MacSwiney, who combines his role as Agency Sector Management chairman with the chairmanship of SITPRO’s Ports and Borders Group, said he had written to Business Secretary Vince Cable, asking him to reconsider. The Food and Drink Federation, the ACES courier association, the Meat Trades Association, Fedex and others had also all lent their support to the campaign.

“SITPRO only has an annual spend of under a £1m a year, so I think this is a bad move,” said Mr MacSwiney.

Dr Andrew Traill, Managing Partner of Shippers’ Voice added that industry had benefited greatly from SITPRO’s efforts over the years, but few realised who was behind it. “Like many things, I suspect most people wont really miss them until they are gone – and then cry out and ask who in the government is listening to industry and working to help remove bureaucracy and prevent bad legislation.”

New controls on fruit & veg imports

The UK is introducing new procedures for imported fresh fruit and vegetables from outside the EU on 20 July, as part of the final phase of a series EU-wide reforms. Under the new regime, the Horticultural Marketing Inspectorate (HMI) will randomly inspect only 1% of goods although the proportion will be reviewed periodically and and if necessary some goods from particular countries or from particular importers or particular products may be subject to more checks.

Eligible firms will also be able to self certify their imports through the Approved Trader Status scheme (ATS), subject to meeting certain criteria including a record of good compliance, staff training and suitable facilities. However, companies with poorer compliance records will be targeted for more checks.

Piracy is down, says IMB

There has been a fall in pirate attacks worldwide for the first two quarters of 2010, according to the International Chamber of Commerce’s International Maritime Bureau (IMB). In a report published on 15 July, it said that there were 196 incidents around the world recorded by its Piracy Reporting Centre, compared to 240 in 2009. This includes 31 vessels hijacked,  48 vessels fired upon and 70 vessels boarded.

However, the coast of Somalia remains particularly vulnerable with 100 pirate attacks in 2010, including 27 hijackings although even here the number of attacks have decreased compared to 2009.

Attacks off the Somali coast have also moved progressively from the Gulf of Aden towards the east coast and a rising number of high sea incidents has also been reported in the Indian Oceansome of them up to 1,000 nautical miles off the Somali coast. Somali pirates are also reported to be moving into the southern Red Sea.

There have been increases elsewhere in the world. Aattacks in the South China Sea more than doubled in 2010 and incidents in the waters of Malaysia and Indonesia have increased. Incidents in Nigerian waters declined but remain stable on a six-month basis and many attacks go unreported.

IMB has a dedicated24-hour hotline for seafarers and all concerned parties.

Tel: + 60 3 2031 0014
E-mail: imbsecurity@icc-ccs.org

Hamburg Sud and Zim to separate

Hamburg Süd is to separate its North Europe-Israel service from that of its partner Zim Line from October. Details of the new service are still under consideration, but Hamburg Sud promises improved connectivity with its own global liner network.

FTA Ireland aims to drive up standards

The Freight Transport Association plans to push up quality standards in Irish logistics by setting up TA Ireland (FTAI). Founding members of the new association, officially launched at a ceremony at Dublin Castle on 30 June, include some of the largest operator includingDHL, Wincanton, Eddie Stobart and O’Reilly Transport.

A new policy manager should be appointed and offices in or near Dublin set up by 1 September, said FTA general manager Chris Welsh, who is responsible for establishing FTA I. “The quality part of the industry want to raise standards and with the introduction of full operator licensing in Ireland, we want to raise the profile and image of an industry which, perhaps unfairly, has suffered from a poor reputation in Ireland.”

The impetus for the new organisation had come from within the logistics industry itself, he stressed.

FTAI will replicate the services that FTA provides for its UK members and will be able to draw on the resources of the wider FTA in areas such as training , information services or publications. “We won’t have to start from scratch,” explained Chris Welsh.

Teesport moves ahead with box expansion plans

Teesport is pushing ahead with the next phase of its container terminal expansion plans. A £29m scheme will increase capacity of the existing terminal from around 235,000teu a year to 450,000teu, by strengthening 12 acres of hardstanding and replacing reachstackers with four rubber-tyred gantries (RTGs) able to stack boxes up to six wide and five high.

First phase of the expansion scheme is expected to be ready by December 2011 and will be followed by two further stages of yard reconstruction. A new fully computerised terminal operating system will also be implemented as part of the plan.

Tenders for the physical work were released in late June and the IT tender was due to go out in August.

Expansion of the existing terminal would be an essential springboard for PD Ports’ scheme to build a major deepsea container terminal on Teeside. The Northern Gateway “is still very much in our sights,” said group CEO David Robinson, although it would be at least three years away.

He was convinced that with many major retailers setting up operations in and around the port, there there would soon be a market for a major deepsea port on Teeside. Already, the port authority was getting enquiries for containerships above the 3,000teu current maximum.

Recent liner developments at Teesport include the increase in the Unifeeder shortsea service to the Continent and the addition of new BG and Samskip services. The latter could soon double to twice weekly, Robinson added.

Another strong possibility was that P&O might reinstate its North Sea freight ro ro service back to five sailings a week. This service had been reduced due to a downturn in the local chemical industry but now volumes were recovering strongly again.

PDPorts was also attracting business to Teesport through its Logical Link scheme. This has succeeded in attracting DfT operating grants that had previously only been given out to inland waterway operators moving heavy bulk cargoes, as opposed to coastal container feeder operations. The current allocation of funding lasts until the next public spending review in March 2011, but a second funding allocation is expected.

PD Ports’ commercial director Graham Wall said: “We now want to open it up into a wider plan and we’re talking to local SMEs to identify needs, for example the smaller manufacturers who are feeding the large retailers.”

Logical Link acts in part as a slot charterer on feeder services in an out of Teesport – and has been the catalyst for expansion of several of them – but also offers a shared user logistics service including handling, warehousing, sorting and distribution.

Green energy plans await government green light

PD Ports CEO David Robinson said that PD Ports, along with the rest of the UK ports industry, was waiting for the government to clarify its policy on carbon credits, which in turn would determine the rate of investment in green power stations. MGT Power has advanced plans for building what would one of the largest biomass stations “but investors want absolute clarity from the Government before they can go ahead.”

It is understood that £60m allocated by Labour for development of port facilities for the wind turbine industry “is still on the table” but its allocation between ports is still awaited. Again, the industry is impatient for clarity as there are several major developments in the pipeline.

Easier to the East?

Businesses who move goods across the EU’s eastern land borders are being asked whether the process has been improved in recent years. The European Commission and member states customs services have been working with their partners in Russia, Belarus and Ukraine to smooth the flow, including assistance to reform and modernise clearance procedures – including adoption of risk management techniques – exchanging information and rationalising agencies. HM Revenue & Customs in the UK says that while measurable progress has been achieved, “an important indicator of success is whether our importers and exporters are experiencing positive changes.”

Comments should be send by the end of August to Mike.Weeding@hmrc.gsi.gov.uk

Russia relents on fruit & veg

Russia has aligned some of its maximum levels for fruit and vegetable pesticide residues with EU and international standards, helping to remove a long-standing trade barrier. The European Commission said it would create more favourable conditions for EU produce exporters.

The revised laws will come into force shortly, and follow a long campaign by EU interests. Excessively strict limits were seen as a major trade barrier and led to delays or consignments being rejected at the Russian border.

The EU now hopes to harmonise standards for other areas, particularly meat and dairy products, plant health and veterinary inspections.

Unifeeder expands UK service

Shortsea operator Unifeeder has revamped its UK east coast service, and now operates three vessels between Felixstowe, Immingham, Teesport, South Shields and Grangemouth and the continental hubs of Hamburg and Rotterdam. All ports are served by fixed-day schedules operated by the 700teu vessels Herm J, Merwedijk and Veersedijk. The line added that the service was underpinned by a significant volume from a major global container shipping line.

Port operator ABP says that its new weekly Unifeeder service between its Exxtor terminal in Immingham and Hamburg is the first link between the Humber and the German city. Unifeeder has also added a secondly weekly link between Immingham and Rotterdam.

German industry fights for the right to fly at night

The German airfreight and logistics industry has banded together in a new alliance to press for more competitive opening hours at major air hubs. The ‘Cargo Needs the Night’ initiative warns that a complete ban of night flights in Germany would put the position of Frankfurt, the seventh largest freight airport in the world at risk.

The alliance complains that in recent years German courts have increasingly issued one-sided rulings against night flights, whereas other important air cargo hubs in Europe such as Amsterdam, Paris, London or Madrid, ensure essential access.

The alliance, which includes Lufthansa Cargo, the DSLV forwarders’ alliance, the BGL road haulage and logistics grouping and others, was launched in Frankfurt on 24 June. Honorary managing director of the initiative, Ewald Heim, said: “The logistics sector is the backbone of Germany’s export business. The basic prerequisite for its success is reliable, trouble-free air cargo connections. The ‘Cargo needs the night’ initiative will therefore press hard for competitive operating hours at commercial airports in Germany.”

Guaranteed continued night flights were a major factor in DHL Air Express’s decision to locate its main European hub at Leipzig in eastern Germany, including flights operated by its Aerologic joint venture with Lufthansa. However, a Lufthansa Cargo spokesman said that Leipzig could not offer a solution to its hub problems. “We depend on flights in Frankfurt as we need the connection between freighters and passenger flights. That’s why we have the AeroLogic 777s transferred from Leipzig to Frankfurt for all our weekend operations.”

Brussels imposes 48-hour limit on owner drivers

The EU Transport Council voted to withdraw its proposal to exclude self-employed drivers from the working time rules when it met in Luxembourg on 24 June.

Self-employed drivers were exempted from the 48-hour working week introduced in 2005 but not from the driver’s hours rules that govern driving time and rest break. The exemption from the working time rules was intended to allow genuinely self-employed drivers time to complete administrative duties in connection with running their haulage businesses.

Praise for DBS produce

International Produce, the logistics arm of Walmart that supplies ASDA with fresh fruit and vegetables, named DB Schenker as their Most Innovative Rail Supplier DB Schenker has been delivering 40 containers every weekend from the Port of Tilbury to the rail freight terminal at Wakefield and then using its own vehicles to deliver to distribution centres over the weekend. The seasonal trains operate every weekend until October.

EU-Japan AEO pact

The EU and Japan have signed an agreement to mutually recognise each others’ authorised economic operators (AEOs). It also establishes compatible standards for AEOs.

Airfreight shows signs of recovery

The worst of the recession could be over, says a top transport economist. Kurt van Dender, chief economist at the Organisation for Economic Cooperation and Development told a DHL press briefing in Leipzig on 23 June that there had been a strong rebound in many major EU/Asia airfreight markets in late 2009 and early 2010. Germany-China, for instance, is back to pre-crisis levels and there has also been a strong recovery in Netherlands-China trade.

Recovery in airborne business from the UK and France has been much more muted though.

It’s a simiilar picture inbound into the major EU markets from China, with China-Germany back above pre-crisis levels, but the others still a long way off. Inbound into the UK from China is still quite flat.

Kurt van Dender said that while the recovery in airfreight had been a little uneven, some of the more dire predictions about bubbles bursting or ‘seizures’ in global trade would seem to be unfounded. “We don’t see a seizure, but perhaps a rebalancing,” he explained. “Perhaps we’re shifting from a situation in which trade drives growth to one in which growth drives trade.”

Water ‘roadshow’ comes to Merseyside

Freight by Water, the not-for-profit members’ organisation that promotes the increased use of short sea, coastal and inland waterways for freight, is holding another regional event at the Merseyside Maritime Museum on 15 July. Freight by Water’s objective is to educate logistics professionals about water-freight transport and create awareness of its environmental, fuel and congestion benefits.

For details contact: 020 7417 2827 – www.freightbywater.org

Container giant warns of box shortage

Maersk Line is warning of an “unprecedented shortage” of containers during this year’s peak shipping season in the run-up to Christmas. The container line’s head of network Lars Reno Jakobsen,said Maersk was experiencing a demand surge in most trades, “a development that is both unprecedented and unexpected by us and our customers.”

At the same time, many companies stopped sourcing and producing containers. Maersk Line has initiated production of new containers and leasing of containers, as well as re-activating laid-up container ships to assist in repositioning containers to key points on its global network.

Nevertheless it expects the equipment shortage to last through the third quarter of this year.

DFDS Acquisition of NorfolkLine Approved by the European Commission

The European Commission has approved DFDS’ acquisition of Norfolkline, subject to a replacemenspace charter agreement on Stena Line’s Esbjerg-Immingham/Harwich routes. DFDS said it expected the main part of the integration plan is, however, expected to be completed by the end of 2011 cwith final completion by the end of 2012. The new company will consists of a shipping division and a logistics division.. The shipping division will encompass freight and passenger routes , along with port terminals, while the logistics division will comprise trailer and logistics activities and container and port side activities.

Niels Smedegaard, CEO, and Torben Carlsen, CFO will continue as executive board memebrs. The members of the Executive Management will be announced shortly.

Nightline Delivers increased Irish Freight with UK Pallets Strategic Relationship

Nightline has launched a new strategic relationship with UK Pallets under which it will move all Ireland-bound traffic on behalf of UK Pallets’ 80 member hauliers. The move is part of Nightline’s campaign to become a major player in the UK to Ireland market and follows the opening of a regional UK depot in Lancashire. Nightline said it was Ireland’s largest independent carrier.

UK managing director, Geremy Ruffin, described the move as “an evolution of Nightline as a business because it increases the volume of freight traffic which we will be delivering into Ireland. However, it also provides UK Pallets and its members with guarantees of better service.”

Previously, he explained, shipments from the UK to the Republic and Northern Ireland had to be split between two carriers. Now, though, “our wholly-owned network of hubs across the island allows for a single solution, offering consistently good, transparent deliveries.”

Mainland UK freight will be shipped to UK Pallets’ hub at Lichfield in Staffordshire before being taken by Nightline to Ireland via Holyhead. Deliveries are to be handled by Nightline’s seven Irish depots, overseen by the firm’s head office in Dublin.

UK Pallets’ commercial director, Graeme Wilson, added that the company’s advanced technology platforms brought further benefits, allowing members and their customers to follow deliveries from the moment goods leave their premises to the point they arrive at their destinations.

The deal is the latest agreement struck between Nightline and the UK Mail Group, of which UK Pallets is a subsidiary. The two companies already have a relationship in place covering the movement of parcels from the UK to Ireland.

Paperless Pays for Carriers as GFS Launches Online Claims Handling Solution

A new claims handling system claims to drastically reduce complications caused by lost or damaged parcels and save thousands of pounds for Britain’s top carriers and their customers.

The online process has been launched by carrier management firm, Global Freight Solutions (GFS), and promises to ease tensions caused by delays in the traditional paper-based method of dealing with complaints.

The system has already been proved capable of cutting the time taken to resolve claims to an average of a week. Previously, some customers had to wait up to six months to discover if they were to receive compensation.

GFS Managing Director, Neil Cotty, believes the innovation will not only take a major source of tension out of relations between carriers and customers but will also help tackle the volume of fraudulent claims.

“As carrier managers, we understood the need to come up with a different way of dealing with claims. The logistics industry is one based on relationships and reliability. Quite often, the friction created by lost or damaged parcels was a key reason behind those relationships breaking down.

“Customers have historically found it difficult to cope with a single carrier’s claims system. That headache was often multiplied because every carrier had their own individual approach.

“However, they have all supported our system because it is the first to standardise the claims process and, because it is online, it is quicker, simpler and cheaper for carriers and customers alike.”

The multi-carrier system has been introduced following a successful two-month trial at the end of last year. The process took the GFS in-house IT department 12 months to develop by and cost the firm six-figures.

It operates as an integral part of the company’s software offer to customers, meaning that claims details can be electronically generated in a matter of minutes from existing shipment records stored on encrypted GFS servers.

Previously, customers had to manually add information to hard-copy forms which were forwarded to carriers by post. In addition, different carrier firms had different criteria for handling claims, leading to confusion about what proof was needed to back up complaints and the time it took to decide on them.

Mr Cotty said the new GFS system took all the terms and conditions into account, shortening the time taken to vet new claims. He added that in the weeks since the process went ‘live’, customers had already benefitted from more transparency than ever before, being able to track claims as easily as they could follow the delivery of individual packages.

“It has also meant that because claims are generated out of shipment data which is constantly updated by our industry-leading track and trace mechanism, there is a hugely reduced potential to make a bogus claim.

“We believe that while it marks an evolution in our IT offer to customers and carrier partners alike, it represents a revolution for the industry. Less time, less hassle and less storage space required means less expenditure and the chance to retain clients by maintaining relations.”

New multipurpose ships for Safmarine

Safmarine is about to take delivery of the first of six new multi-purpose vessels (MPVs) – the first such vessels owned by the line since it became a member of the AP Moller Maersk Group in 1999. Safmarine has purchased two new MPV vessels already in production; the first of whichis due for delivery in July 2010 and the second vessel before the end of the year..An additional four MPVs are being specially built for Safmarine, with provisional delivery dates ranging from November 2010 to May 2011 The deployment for the new, vessels has yet to be announced.

Faster and cheaper to the US

DHL has launched new less than container load expedited services from 19 European origins to the US through Danmar Lines, DHL Global Forwarding’s in-house carrier. It combines LCL ocean and less than truck load freight in the US. Deliveries are expedited on arrival in New York in exclusive trucks within 3-4 business days. DHL says that it is 5-16 days faster than traditional LCL ocean services and is cheaper than airfreight. There is an all-inclusive per kilo rate from origin to the door, excluding customs brokerage and duty.

The launch of these new services is similar to the LCL expedited service from Asia to the US launched in November 2007.

Is rail right for you?

The Freight Transport Association is offering a rail freight assessment service, FastTrack, to assess the mode’s potential benefits. Users fill out a form giving the type of freight, number and volume of shipments and origin and destination points. FastTrack then assesses the feasibility, cost and environmental benefits of using rail.

The service is currently free of charge (including non-FTA members): www.fta.co.uk/fasttrack