The Friday Flyer

One driver of the change from an exclusively male activity to one where the sexes are more balanced has been the greater use of IT and technology as well as the greater entry by graduates, often female, into supply chain positions and a number of initiatives, such as Women in Logistics in the UK, that actively promote careers in the global
supply chain to women.

This week's Friday Flyer is sponsored by Broekman Project Services, located in the Port of Rotterdam, which offers a total solution for handling and assembly of project cargoes - www.broekman-group.com/bps

The law in action

Politics is full of examples of laws that have been passed to solve problem A, only to accidently create problem B. Sequestration in the United States and a new Act in the UK that outlaws the paying of cash for scrap metal are both examples of the law of unintended consequences in action that could come back to trouble global supply chains.

Whatever was the intention on Capitol Hill, the outcome of last week's March 1 deadline for the sequestration of US federal funds, may mean more than 8,500 US Customs and Border Protection officers and US Immigration and Customs and Enforcement personnel face termination while non-mission critical expenditures such as travel and training will be curtailed. In the short term, delays and blockages at airport, land borders and seaports are inevitable. The savings, from the staff
reductions will undoubtedly run into the hundreds of millions. The costs, from delayed freight, congestion, backlog of business and trade lost, could be in the billions.

Across the Atlantic ocean, lawmakers in London thought they had hit on a good idea: to prevent the theft of legitimate scrap metal, and not forgetting metal in place such as cables and equipment, they changed the law that outlawed merchants paying untraceable cash for such metal. Rather than stamping out the crime, it now seems the criminal fraternity is trying to use shipping containers to export the stolen metals abroad. The unintended effect is that innocent freight forwarders are now being
asked to look out for any container collection requests from unlikely places - such as domestic premises and farms.

Both initiatives done for seemingly good reasons, but with very significant, unintended consequences for companies involved in the supply chains of those countries.

On the business pages

Swiss global forwarder Panalpina presented full-year results for 2012 this week, which it described as disappointing. Revenue for 2012 may have grown 1.8 percent year-on-year to CHF6.61 billion (USD6.69 billion) but gross profit fell 0.8 percent year-on-year to CHF1.47 billion (USD1.55 billion) leading to a loss of CHF70.2 million (USD74.25 million) in 2012 - compared to a CHF127.4 million (USD134.8 million) consolidated profit during 2011. It didn't help that Panalpina had to pay EU and Swiss anti-trust fines amounting to CHF59.2 million (USD62.6 million).

Meanwhile, DHL said that a strong fourth quarter, with operating earnings climbing by 38 percent to EUR827 million, helped the company deliver operating earnings of EUR2.67 billion in 2012. This represents a nine percent increase over the previous year and a continuation of DHL's profitable growth trend.

In its Global Forwarding, Freight division; in a challenging market environment, revenues grew by more than EUR500 million, or 3.6 percent, to EUR15.7 billion during 2012 (2011: EUR15.1 billion), primarily due to positive currency effects. While volume and revenues fell in air freight during 2012, sales in ocean freight and overland transport increased. The company said that: "Thanks to the selective growth strategy and, in part, to improved buying conditions, gross margins were increased once
again in all three business segments.

The Korean Register of Shipping (KR) has opened its brand new education and training centre dedicated to international shipping and shipbuilding professionals located in Busan, South Korea.

On the forwarding front

Babaji Shivram Clearing & Carriers has transported a thermal oxidizer and related cargoes from Mundra port, India to the Aishwariya project site in Barmer, Rajasthan while Indian project forwarder Allcargo Logistics has shifted a 218-tonne generator from Mumbai port to Bhagad, India, on behalf TATA Projects.

Netherlands headquartered SCS Heavy Lifts & Transports has moved a heavy press frame between Ruhrarea and Ginsheim, Germany while Multitrade Spain, in co-operation with Dextra Industries & Transport, will transport a nitrate plant from Indonesia to Australia (pictured second from top).

Antwerp based Rollit Cargo has handled a 6MW offshore wind turbine for its clients Rhenus/Wirtz Shipping, set for the Belwind North Sea Project (pictured bottom right).

Making waves

Southampton, UK-based boat transportation specialist PSP Worldwide Logistics has delivered a 40 m yacht to the Dubai International Boat Show after loading the 189-tonne Sunseeker yacht on board the vessel Palembang at Southampton Docks in early February.

Football crazy, football mad

It's the full-time whistle for some of English football's most iconic hardware. London-headquartered forwarder Anglo Pacific has taken the famous Wembley Stadium royal tunnel gates to a museum in Chile to join a collection of pieces related to football, tennis and other sports in Santiago. The gates were too large for standard containers for the Atlantic crossing and had to be packaged in timber casing, lifted with specialist equipment and shipped as conventional below-deck cargo.

Lights, camera, action

The arrival of giant cranes at DP World's London Gateway - the UK's newest deep-sea container port after a two-month voyage from China made national news in the UK with coverage by BBC cameras. The three new cranes, each weighing 2,000 tonnes and measuring 138 m at full height, are the first of their kind in the UK and are capable of lifting four containers at once, according to DP World. A further 19 cranes are expected to be delivered over the coming years.

Air heads

Russia's AirBridgeCargo Airlines (ABC) has increased its number of flights from Moscow Sheremetyevo International airport to Milan to three times-a-week using a B747 freighter on the route, while Hong Kong-headquartered airline Cathay Pacific has purchased three B747-8 freighter aircraft, valued at approximately USD1 billion at list prices.

Hatches, matches and dispatches

A career at International freight forwarder Kuehne + Nagel International which started in the early 1970s has now concluded following the acceptance of ceo Reinhard Lange's request to step down from May, 2013. Having been ceo since 2009, he will work as a consultant until December, 2013. The search for a replacement has begun as Karl Gernandt steps up
to the plate to hold the fort until a replacement is installed.

Having put in the hours at DB Schenker/BAX Global, Devin Neuburger has joined Kansas-headquartered logistics firm MIQ Logistics as logistics manager of its new global service centre in New Orleans, USA.

Azat Mulgimov has come down to earth after spending the last five years as commercial director and board member of Russian cargo charter airline Aviacon Zitotrans to join global charter broker Air Charter Service (ACS) as Moscow office general director (pictured top right).

Next month, Andrew Jones will ease into his office chair as ceo of Thomas Miller (Asia Pacific) Ltd at the Thomas Miller Hong Kong office. He brings with him more than two decades of experience in P&I management and claims experience.

It's aye, aye cap'n for Captain Graham Westgarth who has joined the board of Seagull AS, a provider of complete training solutions for seafarers. He is current chairman of Intertanko - the International Association of Independent Tank Owners - and former president of floating production storage and offloading (FPSO) operator, Teekay (pictured second right).

Loss adjustor Braemar Adjusting has appointed Pierre Krouse as regional managing director of the Americas, effective April 2, after Chris Dye, the current post holder, departs for German multinational financial services firm Allianz, in Houston, USA after 13 years when he leaves Braemar on April 30.

Robert D Somerville will retire as chairman of classification society the American Bureau of Shipping (ABS) on April 30, 2013. Current president and ceo, Christopher J Wiernicki, is likely to fill the chairman position, if he gets the thumbs-up from the board.

It's 'Go Forth, young woman' as Scottish port operator Forth Ports appoints Debbie Bartlett as development director for the Port of Tilbury.

Manfred Lauterjung Befrachtung SL (MLB Spain) is the newest member of the XLProjects (XLP) network, representing Spain. MLB Spain looks after the employment and chartering of the Lauterjung commercial fleet, as well as affiliated ship owners.

MAT Transport of Switzerland has become a member of the Project Partners forwarder network while Zimmer Worldwide Logistics in Houston, Texas has also joined the network to fly the Stars and Stripes.

It comes as no surprise that VN Navegacion in Bilbao, Spain has been named exclusive chartering broker for Briese Coasters, of Leer, Germany as the two companies have an established and strong trading relationship. Last year, VN Navegacion chartered approximately 50 voyages with Briese that included various project cargoes throughout Europe and the  Mediterranean.

All about Evie

Friday Flyer gossip columnist Evie Aufheben salutes those who have worked long careers in the supply chain. She noticed Reinhard Lange steeping down from K + N after more than 40 years with the company. It's an interesting time to be stepping down, she considers, as it is clearly a highly volatile market environment at present and last year saw declining profit margins, cost increases and an antitrust fine of CHF 65 million imposed by the European Commission in March 2012 on K + N.

As a glamour puss, Evie has taken time off from packing for Shanghai, to make International Women's Day and salute women who are bringing a feminine angle to the global supply chain. Go sisters, she says.


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Work is complete on Issue 31, which will include country reports on Brazil, Russia, the USA and the Gulf States; plus a review of logistics within the mining industry; a focus on heavyweight road haulage; an operational review of escort and permitting issues; an equipment focus on jacks, skates and rollers; plus our regular articles on law, insurance and safety; and letters from our regional correspondents. It will also include our first report on the logistics activities behind the movement of yachts, cruiseboats and other floating craft. There are a couple of advertising slots to fill, but you need to move fast as the issue goes to press next week. To book advertising, contact Ian Matheson on +44 (0) 1689 857631 or ian@heavyliftpfi.com for more information.