Trans Freight

CMA CGM in talks to acquire Bolloré Logistics for $5.5 bn
CMA CGM has reportedly offered $5.5 billion for the company’s transport and logistics business, Bolloré Logistics

Demand surge, supply chain disruption add $1.5bn to Maersk’s earnings AP Moller-Maersk expects supply chain bottlenecks and equipment shortages that caused profits to surge in Q4 2020 to continue in the first quarter of this year with Q1 earnings this year to be even higher than the final quarter of 2020.

How logistics have become vital as e-commerce booms
As Asia’s e-commerce market flourishes, logistics has taken a dual role as both a core driver and an enabler for the industry.
At once, increasingly sophisticated logistics solutions are helping retailers get products to buyers more quickly – which in turn is driving online demand for goods from consumers who may have once considered long delivery windows a deterrent to preferencing e-commerce.
E-commerce revenue across Asia is projected to reach US$1.298 trillion this year and on track to reach a market volume of US$1.72 trillion by 2024. China, of course, accounts for the lion’s share of his market, with its 1 billion consumers spending some $832 billion online domestically this year and cross-border e-commerce accounting for a further $164 billion.
Such a rapidly growing adoption of online shopping across the region has brought increased volume and thus economy of scale for global logistics providers. But it has also placed substantial pressure on those providers who are constantly having to adapt to increased scale.
One logistics provider, FedEx, for example, has responded by offering solutions such as delivery-time options and delivery mobile notifications, providing opportunities to reduce costs by aggregating shipments with heavyweight and freight capabilities and giving buyers peace of mind through visibility of the whole order-to-delivery process with end-to-end real-time tracking of high-value shipments.
The reason logistics is so important is that besides the online-checkout experience, delivery service is a key area where the consumer’s perception of the retailer they are purchasing from can be most influenced.
New York and Hong Kong-based retail thinktank Coresight Research listed speedier logistics and order fulfilment as a key trend in Chinese e-commerce for 2000. “We expect logistics providers to offer faster delivery by upgrading their logistics infrastructure and increasing capacity at bonded warehouses. Same-day delivery would then be possible for a broader range of products.”
Cross-border challenges and opportunities
Such attitudes are driving an evolution in the logistics sector towards a more comprehensive service than merely moving goods from A to B.
With half of Asia-Pacific online shoppers making purchases cross-border, vendors now have to build extensive knowledge of procedures such as duty collection, customs clearance and other minefields. Here is an important area when logistics providers can step in and assist. Automated package and freight shipping solutions are available to improve efficiency for the entire shipping process of retail vendors. Retailers will soon be able to leave the paperwork to shipping partners, such as transmitting customs documentation electronically and enjoy a smooth customs clearance process, minimising the time and cost involved in the associated paperwork.
Moreover, with more and more regional and trade deals being negotiated between governments and trading blocs, it has become more attractive for SMEs to expand into new markets.
Logistics companies can help local retailers go global by shipping their products internationally faster. Experienced logistics service providers are dealing with customs departments and other regulatory authorities on a daily basis, providing businesses with established clearance solutions. When it comes to markets like Europe or the Americas, they are well placed to smooth the way for Asian e-commerce companies to develop trans-continental trading partnerships and to ship to markets which are not previously practicable.
Speed meets trust
For retailers, a core part of selling online is establishing trust with customers. Just a single bad experience makes the difference between a loyal purchaser and someone who decides to shop with a rival.
Here is where an experienced and efficient logistics partner plays a huge part in customer satisfaction and thus loyalty: If a retailer commits to a certain delivery date of a product, it must honour the commitment. Delays frustrate consumers and would potentially lead to cancelled orders as they seek an item somewhere else. A reputable distribution partner can reduce the risk of delivery problems by offering shipment personalisation options such as delivery notifications, have shipments delivered to a secure location and more – to suit the customer’s needs.
Consumers – especially millennials and their successors from Gen Y and Z – expect instant gratification. If they like something, they want it there and then. This is nowadays being referred to as the “on-demand economy” and here logistics is absolutely critical to satisfying customer expectations. There is evidence that consumers will pay more for speedy deliveries.
A recent study found that 43 per cent of Gen Z, 28 per cent of millennials and 18 per cent of Gen X consumers believe the faster you can purchase something, the better the vendor or product is. As one commentator observed, “that might not be totally fair, but that’s the reality of this new omnichannel world of payments and commerce”.

How to choose a logistics partner
Here are six considerations for retailers choosing a logistics partner for an online retail business:
1. Understanding and meeting your business needs: Do you have special shipping requirements, for example, strict temperature control?
2. Areas of expertise: How extensive is their network? What delivery options do they offer?
3. Reliability of service: Do they have a proven track record of timely and accurate delivery?
4. Flexibility and scalability: Can they meet seasonal variations in customer demand?
5. Technological support: Can they facilitate technological advancement and integration with your system?
6. Transparent pricing: Is their pricing straightforward? Are there any terms to pay attention to?
Finally, one of the most important considerations in choosing a logistic partner for an online retail brand is trust. A retailer’s relationship with a customer is only as strong as the weakest link in the customer purchase pathway. A bad experience with delivery usually impacts the retailer’s brand and reputation, not the shipper’s.

Middle East Airlines will operate two ad-hoc flights Dubai to Beirut as per the schedule below.

FLIGHT FREQUENCY STD STA
ME427 03-MAY-2020 15:00 16:30
ME427 07-MAY-2020 15:00 16:30

The aircraft type operated is an A330 and the dimensions acceptable are 300 x 200 x 150 cms.

China Shipping Exports Rebound, Just as Western Ports Cope With Coronavirus Downturn
Two months after a near complete standstill in China that rattled global supply chains, the country’s ports are again pushing out thousands of containers that were stranded at the onset of the coronavirus outbreak.
The massive buildup of boxes at docks in China has left a big shortfall in cargo at ports in the U.S. and Europe since early February, and created a shortage of empty containers that Western exporters need to ship everything from farm products to electronic parts. As China returns to work, fears are rising that the Western ports won’t be able to handle a flood of imports as seaports and coastal cities face their own shutdowns and economic disruption.
“There is a lot of relief that China is waking up after a long hiatus,” said George Lazaridis, head of research at Greece-based Allied Shipbroking. “But what happens if truck drivers and crane operators can’t work in Hamburg, Rotterdam or Los Angeles and New York. Who is going to pick up the boxes?”
U.S. and European ports have generally been operating normally, although many sites have reported sharply reduced business as global trade has slowed under the pandemic.
Shipping executives said they are taking new precautions to protect their own workers and that disruptions could come if some port workers get sick and are quarantined or if authorities impose blanket public lockdowns for an extended period.
“While the situation is improving in Asia, especially China, new measures have been taken in some other places to protect the health of our staff,” French container line CMA CGM SA said in a notice late last week. “As far as France, all staff members will work from home until further notice.”
China government figures show container volumes at the country’s largest eight ports fell 19.8% in February, during the peak of the lockdowns that Beijing imposed, from the year before.
Container volumes from China into California’s three largest seaports—Los Angeles, Long Beach and Oakland—were off 35.2% in February from a year ago, according to trade data research group Panjiva. The neighboring ports of Los Angeles and Long Beach, which together make up the largest U.S. gateway for imports from Asia, handled 132,564 fewer containers in February than they did the same month a year ago.
The Port of Seattle closed operations at two of its four container terminals Friday because of diminished shipping demand.
The Port of Houston on Thursday said it had suspended operations at its two main container terminals after a staffer who works at both sites tested positive for the coronavirus.
Gene Seroka, executive director at the Port of Los Angeles, said he doesn’t expect the same sort of virus disruptions that crippled Chinese megaports like Shanghai and Ningbo last month.
Thousands of boxes piled up at those ports as truck drivers, crane operators and other workers couldn’t go to work because they were either sick or quarantined.
“We never saw a port closure in China, and I don’t believe we’ll see a port closure here in Los Angeles,” Mr. Seroka said. “We have 100,000 people and none work concurrently, or at the same time. I believe we will have an ample workforce that is healthy and has the ability to flex based on the needs of cargo flow and personal health and safety requirements.”
Liner operators said they would deploy their biggest ships to pick up cargo from China, regardless of the situation at Western entry points.
The 2M Alliance, made up of A.P. Moller-Maersk A/S and Mediterranean Shipping Co., said last week they are boosting their capacity of four weekly sailings to Los Angeles and Long Beach.
MSC sent one of its biggest ships—the MSC Oscar, with capacity for 23,000 20-foot containers—into Los Angeles on Sunday, and three other big vessels are expected to arrive by the end of March. These giants are normally on the Europe-Asia trade lanes, and their deployment in the Pacific points to increased trade activity.
“It’s like the roll of a dice to go full steam for China cargo,” said the chief operations officer of a big Asian shipowner that charters ships to container lines. “Our sailings take weeks or months, but the situation with the virus closures changes every day. If the U,S. closes down, I don’t know what will happen with the cargoes.”
“Chinese port call activity returning to 2019 levels supports reports that efforts to ‘re-start’ the Chinese economy may be gaining traction,” said Clarksons research head Stephen Gordon. “Given China’s role as shipping’s biggest market—22% of global imports—this is encouraging, as are the range of tariff reductions, stimulus packages and policies being adopted globally.”
Liners canceled more than half of all sailings to China in February, when infections reached a peak in that country. The virus outbreak coincided with the Chinese New Year holiday, a period when industrial output in China usually slows down.
Lars Jensen, chief executive of Copenhagen-based SeaIntelligence Consulting, said canceled sailings are back to normal levels at this time of the year but that more disruptions may come as the coronavirus pandemic rolls across cities in Europe and Asia.
Mr. Jensen compares the hit to shipping companies to the financial crisis in 2008, when container volumes contracted 10%. A similar retrenchment now would mean a loss of 17 million containers for shipping companies.
“It’s a massive damage, even if we later get a V-shaped recovery,” he said.

INT'L FREIGHT FORWARDING CO seeking a SEA FREIGHT IMPORT COODINATOR

Skills:
excellent communication skills
Team player
problem solving
multi tasking capacity

JOB SPECS:
handle SEA import jobs from quotation level till invoicing (door to door basis)
handle complicated RFQ’s
basic accounting knowledge
Basic knowledge of Dubai customs procedure