log4scm : All about Logistics and Supply Chain

Log4scm Quest : Global Supply Chain Mega trends 2010 2011 (Sample version)

2010-02-19T23:47:00.003+05:30

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Log4scm Quest : Global Supply Chain Mega trends 2010 2011

Aircraft Accident Rate Drops In 2009

2010-02-19T19:23:00.001+05:30

The International Air Transport Association (IATA) announced the aviation safety performance for 2009 showing that the year’s accident rate for Western-built jet aircraft as the second lowest in aviation history.

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DHL wins Freight Forwarder of the Year in India

2010-02-19T19:21:00.000+05:30

DHL, the world’s leading logistics company, has been awarded the ‘Freight Forwarder of the Year’ at the STAT TIMES International Awards for Excellence in Air Cargo, held in Mumbai recently. The award was received by Christoph Remund, CEO, DHL Lemuir Logistics, in recognition of DHL Global Forwarding’s outstanding capabilities in freight forwarding to meet the increasingly complex air freight requirements of industry. This is the second time DHL Global Forwarding has won this award, having received it previously in 2008.

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Panalpina launches two new ocean freight services

2010-02-19T19:19:00.001+05:30

Panalpina offers two new LCL (less than container load) services to its ocean freight customers. By adding seamless connections between Belgium and the USA as well as between China and Poland, the company reacts swiftly to an ever growing demand for improved end-to-end services.

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Global Supply Chain Mega Trends 2010 - 2011

2010-02-02T05:11:00.002+05:30

We are pleased to announce the launch of 'Log4scm Quest' with special issue on '
Global Supply Chain Mega trends 2010 - 2011. This e-magazine can be downloaded by clicking here

For the last couple of years Supply Chain has matured so have its complexities. Considered often as a soft skill, Supply Chain management, on the contrary, is an engineering activity, as much as manufacturing or IT development. This activity requires not only extensive training and skilled people to be carried out efficiently but also trust among the different partners in the chain. That’s the most difficult aspect of Supply Chain management: partners need to trust each others, to share data or even invest in common systems. This trust issue is often the foot trap which blocks, for instance, the development of 3rd PL. 3rd PL need to invest in heavy IT system interconnected with their customer’s systems to provide up to date services but contracts are challenged every 2 years. This is far shorter than the breakeven point, impeding the development of long and fruitful relationship between 3rd PL and orders givers.

There are several aspects of supply chain interaction that have been identified in supply chain trends over the last few decades. The mega-trends reflect fundamental paradigm shifts exhibited by leading firms as they transform their supply chain capabilities to accommodate the long-term transition from an industrial to an Scientific Technology driven society. These mega-trends imply substantial change in logistics practices between supply chain partners as they struggle to establish efficient, effective, and relevant product/service solutions for end-customers. The mega-trends discussed in this paper identify some critical dimensions of change relevant to supply chain value creation.

Well, we have tried to create an enabling environment for the supply chain sector so as to equip supply chain strategists with the changing market trends which could affect them in future. Moreover supply chain is considered secondary focus. We hope Log4scm Quest will create value addition in bringing supply chain in centre stage in companies’ strategic business planning.

case study on transportation module Ex Middle East.

2010-01-20T17:18:00.001+05:30

Transporters in MIDDLE EAST specialized in Cross Borders FOR curtain trailers, Box trailers to accommodate 26 Standard Pallets, 25 Tonnage are in the average of around 20 Major Players but the real issue is 75% of the trucks for overland transport is controlled and owned by single owners of Origins of three countrie resulting in “MORE DEMAND and LESS SUPPLY OF EQUIPMENT”. Most of the trailers out here in MIDDLE EAST outbound are 2nd hand purchased from European markets which are in the range of 04 yrs upto 20 yr olds.

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CEVA renews its partnership with Mannatech

2010-01-18T15:57:00.000+05:30

Johannesburg, South Africa– CEVA Logistics, a leading global supply chain management company, has renewed its partnership with Mannatech, a company developing innovative, high-quality, proprietary nutritional supplements, skin care solutions and weight management products.

Over the course of the three-year contract, CEVA will take charge of Mannatech’s supply chain in South Africa. CEVA will continue to manage inbound logistics and warehousing activities, oversee product distribution and home deliveries throughout South Africa. Moreover, CEVA will offer picking and packing solutions, product tracking and returns management. CEVA dedicates 130 sq m of warehousing space in Johannesburg to Mannatech and will handle around 300,000 items per year.

Pam Cornish, CEVA’s Regional Director for South Africa, said; “The personal and healthcare market demands market expertise, focused support and speed in its logistics partners. CEVA’s vast experience of this industry allows us to continuously innovate in our technologies and procedures to support the requests of this sector. We are delighted that Mannatech decided to choose CEVA once again and our aim is to optimize its nutritional supplements supply chain in South Africa through our strong presence across the region and industry-focused flexible solutions. ”

Chris Simons, Country Manager at Mannatech South Africa, said; “We chose to extend this contract with CEVA based on the unparrelled support we have received since the beginning of our two year partnership. We anticipate that the next three years will see global change across the healthcare market and we believe that CEVA is the right logistics provider to see us through these transient times”.

Since its inception in 1994, Mannatech has established itself as a key player in the wellness industry. The company’s priority has been to offer the potential of good health and wellness through scientifically developed and analyzed nutritional products that are safe and effective. Investing in Research & Development activities, Mannatech has implemented quality assurance touch points throughout the entire formulation and packaging process.

Lack of Process Automation Causes elevated Supply Chain Risk

2009-12-18T15:09:00.001+05:30

E2open, a lbusiness-to-business research organization, announced the results of a Supply Chain Benchmark survey focused on trends in managing supply chain risks. Survey findings show that while more than half of respondents have in excess of 500 component suppliers or manufacturing partners, 44 percent have deficient visibility into tier one suppliers, and 75 percent have deficient visibility into tier two and three suppliers. Additionally, more than 80 percent of respondents have not automated or only partially automated their supply chain processes.

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UPS starts Apps for Blackberry

2009-12-16T12:48:00.000+05:30

Atlanta-UPS today announced an industry-first application for BlackBerry® devices that not only ships and tracks packages but also finds the nearest UPS location.

Available for free downloading at www.blackberry.com/appworld, the new UPS MobileTM App for BlackBerry enables users to track shipments, create shipments using the My UPS address book, calculate shipping rates and time-in-transit and then find the nearest UPS location.

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US$5.6 Bn Loss Expected for Aviation In 2010

2009-12-15T18:16:00.001+05:30

The International Air Transport Association (IATA) revised its financial outlook for 2010 to an expected US$5.6 billion global net loss, larger than the previously forecast loss of US$3.8 billion. For 2009, IATA maintained its forecast of a US$11 billion net loss.

“The world’s airlines will lose US$11.0 billion in 2009. We are ending an Annus Horribilis that brings to a close the 10 challenging years of an aviation Decennis Horribilis. Between 2000 and 2009, airlines lost US$49.1 billion, which is an average of US$5.0 billion per year,” said Giovanni Bisignani, IATA’s Director General and CEO.

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GST to harmonise Indian Logistics Industry

2009-12-12T11:58:00.002+05:30

As there is a federal system in India, thus indirect taxation is controlled by central as well as state level simultaneously. Each state has been powered to control some taxations on its own level and some taxations are shared between the central and the state. Differences in tax rates across the different states sometimes create dissatisfaction among the payer. Specifically for them who are running their businesses all over the country. Therefore understanding the problem Finance minister had proposed a national level Goods and Service Tax in the Union Budget for the year 2006-7 and the introduction date was put April 1, 2010. So the date is now near and the discussion & debates are on their way. Entrepreneurs have also some confusion and the logistics industry is not apart from this. Even some states like Punjab and Gujarat have shown their disagreement and have asked some more time before its implementation.

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BLANKET EXEMPTION TO SERVICES CONSUMED WITHIN SEZ

2009-12-12T11:53:00.001+05:30

Special Economic Zone has always been in news since its inception, more often due to the ambiguities it has created rather than the opportunities it should have created. With the series of blanket exemption and incentives, the Special Economic Zones have maintained its importance when it comes to exporters and its priority increases in light of the sunset clause in case of 100% Export Oriented Unit – EOU. However, the inconsistency between the Ministry of Finance and the Ministry of Commerce as well as the bureaucratic approach has dampened the attraction, excitement and interest shown by the exporters in the initial phase. In 2004, the Ministry of Finance issued Notification exempting Taxable Services of any description provided to a developer of Special Economic Zone or a unit of Special Economic Zone by any service provider for consumption of services “within” such Special Economic Zone. Later ambiguities with respect to meaning and scope of “within such SEZ” who was highlighted by the Ministry of Finance denying benefit of such exemptions to the service provided to SEZ.

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Is your LSP cost effective??

2009-12-12T11:43:00.000+05:30

Cost is one of the primary factors that attracts or distracts a customer. Choosing a Logistics Service Provider on the basis of cost efficiency can prove beneficial in terms of consolidating the presence in the market. But, when it comes to quality of service and delivery of service, cost efficiency factor is overlooked in most of the cases. Cost remains a major issue everywhere. In a developing economy like India where logistics cost is almost 13 percent of the product, managing cost efficient service is something which bothers the people working in Logistics department. When considering whether to employ a third-party logistics provider, it is important to factor in the expenses and costs associated with them.

It is essential to know whether the costs of such services are a worthwhile investment. Key driver in the increased emphasis on price is greater pressure on cutting cost within the customer company. Customers seem to be fixated on cost decreases, even if they do not truly understand the services they are receiving. This is because, 10 years ago, most companies were outsourcing for the first time. Then, as the relationships with 3PLs matured, they became more demanding about the cost of the services. In fact, many customers today assume that the cost of logistics services will continue to decrease while the quality and number of services received continue to increase.
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Giuseppe De Vincenzo appointed to head CEVA’s South Pacific (SOPAC) operations

2009-10-28T23:51:00.000+05:30

MELBOURNE, Australia– CEVA Logistics, a leading global supply chain management company, has today announced the appointment of Giuseppe De Vincenzo as its new Executive Vice President - designate for the South Pacific (SOPAC) business, which encompasses Australia and New Zealand.

De Vincenzo, who will take up the position permanently on 1 January 2010, has been with the company for the past seven years, most recently as the company’s Vice President, Brazil. Prior to this, he was the Managing Director of contract logistics, South America. He brings a wealth of international operating experience to the role, including a strong automotive background having previously worked for Fiat and Nissan prior to joining CEVA.

Commenting on his new role, Mr De Vincenzo said: “I am looking forward to driving the next stage of growth and realising the company’s ambitious business goals for our SOPAC operations through strong company performance. This will involve further expanding and leveraging our unique range of supply chain service solutions to existing and new customers across the region.
De Vincenzo will succeed Howard Critchley, who has announced his impending retirement from full-time work with the company after 14 years of service. During this time, Mr Critchley has overseen development of the SOPAC business into a world class provider of integrated contract logistics and freight management services. In 2005, he took over the management of the company’s Asian logistics business (Thailand, Indonesia and Malaysia) and in 2006 the China logistics activities before his current appointment as the Regional Vice President, SOPAC in 2007. From 1 January 2010, Mr Critchley will leave his current position and take up a consultancy role with CEVA, focused on growing the company’s contract logistics footprint in several key markets across the Asia Pacific region, including India and other north Asian countries.

MAERSK LINE EXTENDS ASIA

2009-10-28T23:48:00.000+05:30

We are very pleased to announce that we have extended our Asia - Europe AE10 service into the port of Gdansk, Poland, creating the first direct connection between China/Southeast Asia and Poland.

In line with our goal of delivering outstanding, innovative cargo services, this change is part of our off-peak capacity and slow steaming initiatives being implemented in our Asia - Europe network.

The change will enable AE10 to offer unique coverage between Asian ports and Poland and beyond, to the rest of Central and Eastern Europe - including improved feeder connections to the Baltic and Russia.

As part of the change, we will remove Dunkerque from the AE10 service, but the total capacity we offer in the Asia - Europe trade will remain unchanged.

The first sailing will be Maersk Taikung departing from Shanghai on 1 December 2009 with an estimated time of arrival (ETA) in Gdansk on 5 January 2010.

AE10 (East and South China, South East Asia to Northern Europe, Poland, and Scandinavia)
- New rotation: Ningbo (China), Shanghai (China), Kaohsiung (Taiwan), Yantian (China), Hong Kong (Hong Kong), Tanjung Pelepas (Malaysia), Le Havre (France), Felixstowe (Great Britain), Zeebrugge (Belgium), Gdansk (Poland), Gothenburg (Sweden), Aarhus (Denmark), Bremerhaven (Germany), Rotterdam (Netherlands), Singapore (Singapore), Hong Kong (Hong Kong), Kobe (Japan), Nagoya (Japan), Shimizu (Japan), and Yokohama (Japan).

FedEx turns to web advertising

2009-10-28T19:45:00.003+05:30

FedEx Delivers to a Changing World”New Global Advertising Campaign LaunchesFedEx has launched a new global advertising campaign reflecting the company’s commitment to helping its customers navigate the global marketplace.

“The world today is defined by rapid change,” said Rajesh Subramaniam, senior vice president, International Marketing, FedEx Services. “Whether it’s responding to the challenging economy or planning for future growth, our global customers’ needs are changing and we are evolving along with them. This campaign illustrates how customers can count on FedEx to help them succeed.”

The campaign titled: “FedEx Delivers to a Changing World,” specifically highlights how FedEx provides access to new markets, offers innovative solutions, supports the local communities and connects the world in sustainable ways.

It includes five online advertisements that will run in the United Kingdom, Germany, India, Japan, China, South Korea, Mexico and Brazil. The ads were developed by BBDO.

This campaign is the latest in a series of innovative advertising platforms at FedEx. The last global advertising campaign, “Behind the Scenes”, was rolled out in 2007 and 2008 and reinforced the ways in which FedEx provides customers with access to market opportunities around the world.

CEVA’s AV Manufacturing business receives ISO 14001 certification

2009-10-27T18:07:00.000+05:30

São Paulo, Brazil– AV Manufacturing (AVM), a subsidiary of CEVA Logistics, a leading global supply chain management company, has just achieved the ISO 14001 certificate for operating engine sub-assembly for General Motors.

The ISO 14001 is a global standard set by the International Organization for Standardization (ISO) for environmental management systems, to help organizations reduce their environmental footprint. This accreditation highlights how CEVA has implemented best practice throughout the business to minimize any negative affect its operations may have on the environment.

To obtain this certificate companies are evaluated on their environmental impact which includes, the nature of the operations conducted by the company, the training provided to employees to fulfill environmental goals, an evaluation of vendors’ environmental consciousness and general waste disposal.

In order to comply with the rules demanded by ISO 14001, AVM developed an environmental management system (SGA) for the engine operation of General Motors. SGA is a series of work instructions and procedures that guides the company’s activities ensuring that they are focused on upholding environmental responsibilities and minimizing any waste. These points are directly related to city, state and federal laws.

Ruy .W. Nogueira, General Manager of AVM said, “ISO 14001 is a very important achievement for the company, as it recognizes the effort of work conducted internally to seek alternative solutions to minimize the impact of waste generated during our activities. In addition, it shows the involvement of our employees with SGA, which is designed to help them identify actions that contribute to the preservation of the environment.

The certificate is valid for three years; however the company will undergo annual maintenance audits. This achievement which recognizes the environmental management practices of a company’s given operation at a specific location, has lead AVM to set goals to obtain ISO 14001 for its many other operations. This process began in July 2008 and concluded within 11 months.

CEVA Logistics launches new eco-sustainable warehouse in Martinengo

2009-10-23T19:23:00.002+05:30

Italy- CEVA Logistics, a leading global supply chain management company, has launched a new eco-sustainable logistics warehouse in Martinengo, Bergamo, Italy, which will be dedicated to technology customers.

The Martinengo warehouse, 45,000m2 in size, will produce approximately 1,600 MWh a year - the consumption needed to generate electricity for around 450 households - saving approximately 840,000 kg of CO2 emissions every year.

The structure’s photovoltaic installation is made of 5,300 panels and corresponds to a surface area of approximately 10,000m2. The warehouse includes solar panels which will produce hot water as well as rainwater harvesting tanks for land irrigation. The building is also equipped with low consumption electrical systems with twilight and movement sensors.

The warehouse was developed with FAP Investments s.r.l., which specializes in the real estate logistics sector and with FAP Energy s.r.l., whose mission is to develop high efficiency and up-to-date photovoltaic systems in the renewable sources field. The investment for the photovoltaic installation of the Martinengo warehouse totaled €8 million.

FAP Energy currently produces 5.5MW of energy for CEVA. By 2010, it intends to supply an additional 2MW of energy for CEVA.

Fausto Ferrari, President, FAP investments, said: “FAP Investments’ decision to work with CEVA was in recognition of CEVA’s prerogative to listen to the customer’s request for sustainable supply chain processes. By prioritizing green initiatives, CEVA is leading the market.”

Gianfranco Sgro, President, CEVA in Southern Europe, Middle East and Africa, said: “CEVA has developed a strategy of targeted and intelligent eco-sustainable initiatives, with the goal of combining excellent logistics performance which respects the environment. This will enable us to reach an energy break-even point. By 2010, autonomous electricity production will fulfill the requirements of over 9,000 people - approximately the same number of CEVA employees in the SEMEA Region.”

CEVA continues to develop its sustainable investments across the global network and this warehouse joins seven other eco-sustainable structures that CEVA has, or, is in the process of developing in Italy by next year. These structures will hold an overall surface area of 250,000m2 and will generate over 10,000 MWh of photovoltaic energy, collectively enabling CEVA to reduce CO2 emissions by 5.5 million kg every year.

Most recently, CEVA opened a 55,000m2 eco-sustainable structure in Ontigola, Spain and is also set to open a 60,000m2 eco-sustainable warehouse in Dubai by 2010.

Oce Business Services Case Study: How to Reduce Mail Management Costs

2009-10-22T10:58:00.000+05:30

SAN DIEGO,USA- Oce Business Services, an international player in document process management technology and services implemented a mail management initiative for its client, a federally-funded research and development center (FFRDC). The program saved the FFRDC hundreds of thousands of dollars in staff and operating expenses while improving efficiency and providing access to new technology. The client and Oce are co-presenting on the program today at the Sourcing Interests Group (SIG) Global Leadership Summit, one of this year's premier outsourcing industry events.

The presentation, "Bottom Line Impact: Utilizing a Strategic Approach to Controlling Indirect Services Spend," focuses on how indirect support services such as mail and shipping are often the last to be automated and managed strategically. Yet, reducing indirect labor and expenses and improving support services efficiency are critical elements in today's business environment.

Sourcing Interests Group is an acknowledged world leader in providing a forum and services to help companies implement and manage corporate services through outsourcing, offshoring, insourcing and shared services. SIG is comprised of sourcing and outsourcing professionals focused on improving bottom-line performance, quality and customer service. The SIG Global Leadership Summit spotlights the latest best practices, cost-cutting strategies, and risk-mitigation approaches.

Wine Country Gift Baskets Awards UPS Exclusive Package Delivery Carrier Account

2009-10-22T10:55:00.000+05:30

FULLERTON, Calif.- Wine Country Gift Baskets, has announced the selection of UPS as their exclusive package delivery carrier. Both companies share the same dedication to exemplary customer service and reliability, making UPS the perfect partner to deliver Wine Country Gift Baskets' wide selection of gourmet food, wine, cookie, flower, fruit and spa-themed gift baskets.

The shift to UPS, which became effective July 2009, evolved from an extensive distribution review during the spring. "UPS is a great partner. They are capable of handling all of our shipping needs," stated Bill Shea, General Manager of WCGB. "Our business depends on shipments arriving on time and UPS has our complete confidence and support that our customers will always be satisfied."

Founded in 1907 as a messenger company in the U.S., UPS has grown into a $49.7 billion global corporation and is one of the most recognized and admired brands in the world. During Wine Country Gift Baskets' holiday gift season, it is projected that UPS will handle the logistics and transportation of more than 2 million gift baskets. "We're excited about the opportunities and high-quality service levels we anticipate using UPS," Shea continued, " and we know UPS understands that our customers depend on our unmatched 100% Satisfaction, 100% Quality and Unconditional Value Guarantee."

Hub Group, Inc. Reports Third Quarter 2009 Earnings

2009-10-22T01:36:00.001+05:30

DOWNERS GROVE- Hub Group, Inc. today reported income for the quarter ended September 30, 2009 of $9.8 million. Hub Group's diluted earnings per share was $0.26 for the third quarter of 2009.

Hub Group's revenue of $389 million was down 24% compared to $514 million in the third quarter of 2008. Third quarter intermodal revenue decreased 27% to $270 million. The decrease was attributable to 9% lower volume, 12% lower fuel and a 6% decrease for price and mix. Truck brokerage revenue decreased 27% to $74 million this quarter. Third quarter logistics revenue increased 2% to $45 million.

Hub Group ended the quarter with $123 million in cash.

"We think that the third quarter results were reasonable considering the economic environment. During this downturn, we have focused on reducing our costs and believe that the efficiencies we have realized will continue to improve our competitive position as the economy recovers," said David P. Yeager, Chairman and Chief Executive Officer.

ATA to Testify Before House Homeland Security Subcommittee

2009-10-22T01:35:00.000+05:30

WASHINGTON, USA- Celadon Group Inc. Chairman and CEO Stephen Russell will testify on behalf of the American Trucking Associations about border security at a congressional hearing tomorrow. The hearing - "Cargo Security at Land Border Ports of Entry: Are We Meeting the Challenge?" -- will be held in 311 Cannon House Office Building on Oct. 22 at 10 a.m.
Russell will testify before the Subcommittee on Border, Maritime and Global Counterterrorism of the House of Representatives Committee of Homeland Security that closer cooperation and understanding between industry and government will yield an even higher degree of security at our nation's borders and will improve cross-border operations and the international supply chain.

Russell's entire testimony will be available at: http://www.truckline.com/Newsroom/Pages/Testimony.aspx.
Celadon Group, Inc., headquartered in Indianapolis, Ind., is primarily a truckload carrier and a significant portion of the company's business consists of moving freight across our nation's borders with Mexico and Canada. Celadon has been recognized for its safety record and its environmental programs. For the second consecutive year, Celadon won the top award from the Environmental Protection Agency's SmartWay program as a result of their achievements in reducing emissions through various innovative programs.

The American Trucking Associations is the largest national trade association for the trucking industry. Through a federation of other trucking groups, industry-related conferences and its 50 affiliated state trucking associations, ATA represents more than 37,000 members covering every type of motor carrier in the United States.

Lithium Battery Proposals Adopted by International Dangerous Goods Panel

2009-10-22T01:28:00.001+05:30

WASHINGTON, USA - The Rechargeable Battery Association said today the International Civil Aviation Organization's Dangerous Goods Panel (DGP) that met in Montreal earlier this month had adopted several proposals supported by the battery trade group, including changes that impact the shipment, packaging and labeling of lithium batteries.

"We are pleased that the DGP acted on a number of issues that are critically important to the battery industry. PRBA has advocated for strong international regulation of an industry truly global in its scope," said PRBA executive director George Kerchner.

"PRBA continues to support efforts aimed at harmonizing U.S. battery regulations with the more stringent international shipping and packaging requirements while expanding and improving the enforcement of existing U.S. regulations by the U.S. Department of Transportation," Kerchner added.

The DGP approved PRBA proposals that will:

Facilitate the transport of "low production" and prototype lithium ion batteries, particularly large-format batteries being designed for hybrid and electric vehicles.
Allow a smaller handling label on some battery shipping packages.
Eliminate outdated and unnecessary limitations on certain liquid cathode lithium metal batteries.
Improve the general packaging requirements for lithium batteries.

In other actions at the Montreal meeting, PRBA assisted Canada in winning DGP approval for changes that will allow passengers with medical needs to carry defibrillators powered by lithium ion or lithium metal batteries onboard aircraft and endorsed a proposal by the International Air Transport Association to ban the air transport of used lithium ion and lithium metal batteries being shipped for recycling or disposal unless approved by the appropriate air transport authority and airline.

The DGP also rejected proposals from the International Federation of Air Line Pilots Association that would have prohibited the transport of lithium metal batteries on both passenger and cargo aircraft and eliminated the existing exceptions for the shipment of small lithium ion cells, batteries and consumer products containing these batteries.

DHL launches a new motor of innovation: DSI

2009-10-22T01:23:00.002+05:30

Frank Appel in the spring of this year is progressing according to plan. Deutsche Post DHL presented DHL Solutions & Innovation (DSI), its newly launched business unit at the 26th German Logistics Congress in Berlin. As a motor of innovation and a cross-cutting function of DHL it pools and drives technological development within the Group. Headed by Petra Kiwitt, it reports directly to CEO Frank Appel. "Logistics is becoming a sector for trendsetters and setting standards not only with respect to technological development.

Petra Kiwitt and her team will contribute to ensuring that our Group remains one of these trendsetters and helps to secure the economic success of our customers by offering future-oriented logistics solutions," said Frank Appel. The newly created organizational unit consolidates the innovation activities of the individual branches of DHL. Based on the results of market studies, analyses of sector strategies and intensive customer surveys, DHL Solutions & Innovation lays the groundwork for future-oriented and standardized logistics solutions that are becoming applicable across sectors.

"Our customers expect sustainable solutions, understandable services that are easy to use and uncomplicated access to their service provider. We are achieving this among other things by enhancing connections between the various DHL Units dealing with research and development. This is a way to tap the full creative potential of our staff," Petra Kiwitt stressed.

Right from the start, DHL Solutions & Innovations has been able to benefit from successful platform approaches, such as the Control Tower Concept. Used for several customers, this concept enables a strategic transport management through modern IT solutions which provide a permanently updated access to all details of the supply chain.
Strengthening the leading role

The experience and innovative strength of the DHL Innovation Center, which opened in 2007, is another asset. This is where groundbreaking logistics solutions such as the parcel robot, the carbon offsetting procedure and the smart truck originated. DSI also proves that the Group Strategy presented in March 2009, which is aimed at strengthening Deutsche Post DHL's leading role in the international logistics market, is being implemented.

The strategy is aimed at leveraging the full potential of the world's leading logistics provider and increasing the profitability of DHL by improving cooperation as "One DHL" and increasingly dovetailing operations with DHL Global Customer Solutions (GCS). The needs in particular of the 100 biggest customers handled by GCS are valuable indicators, which are now being fed into development processes at an early stage.

DHL Solutions & Innovations is also the result of the study "Delivering Tomorrow - Customer Expectations in 2020 and Beyond" that was recently presented by Deutsche Post DHL. "Our study shows that the omnipresence of the Internet, sustainable resource management and climate change are issues of relevance to society. The logistics sector too must respond to these challenges," stated Frank Appel. "DHL Solutions & Innovation is another building block that will help Deutsche Post DHL turn these challenges into opportunities."

Epson Joins U.S. EPA SmartWay Transport(R) Partnership

2009-10-22T01:18:00.000+05:30

LONG BEACH, Calif- Epson America Inc. today announced that it joined the SmartWay(SM) Transport® Partnership, an innovative collaboration between U.S. Environmental Protection Agency (EPA) and the freight industry designed to increase energy efficiency while significantly reducing greenhouse gases and air pollution.

Epson will contribute to the Partnership's goal to reduce 33 to 66 million metric tons of carbon dioxide and up to 200,000 tons of nitrogen oxide per year by 2012 by improving the environmental performance of the company's freight operations. Carbon dioxide is the most common greenhouse gas, and nitrogen oxide is an air pollutant that contributes to smog. By joining SmartWay Transport Partnership, Epson demonstrates its strong environmental leadership and corporate responsibility.

"Epson is constantly striving to enhance and sustain the environment in every way possible," said Ron Mateas, manager, Environmental Programs, Epson America. "This latest partnership with SmartWay Transport is another stride in that direction. Seiko Epson Corporation provides real-time status on current initiatives being led by Epson subsidiaries around the world through a Global Environmental Portal. A major element of our 'Environmental Vision 2050,' a commitment to addressing global warming, is the goal of reducing CO2 emissions by 90 percent across the lifecycle of all products and services by the year 2050. Our partnership with SmartWay will help accomplish this goal."

Launched in February 2004, the SmartWay Transport Partnership aims to achieve fuel savings of up to 150 million barrels of fuel per year. The Partnership brings together major freight shippers, trucking companies, railroads, logistics companies and trade/professional associations to pursue mutually beneficial efficiencies that result in emissions reductions and other environmental improvements, as well as cost savings to the companies. The Partnership currently has over 1,800 Partners.

CEVA wins spare parts distribution contract with BMW UK

2009-10-21T19:40:00.001+05:30

Ashby De La Zouch, UK– CEVA Logistics, a leading global supply chain management company has been awarded a contract with BMW UK to manage the delivery of spare parts to approximately 200 BMW and MINI dealerships across the UK and Northern Ireland.

CEVA will provide a transport solution using a specialist collaborative delivery service, specific to the requirements of moving automotive parts overnight. By leveraging transport synergies this collaborative delivery network provides a service typical of a dedicated operation but at a significantly lower cost.

At the heart of the service is CEVA’s C-CAM IT track and trace system which monitors all transactions and movement of assets, including all returns and reverse logistics.

Martin Douglas, National Parts Manager, BMW (UK) Ltd said: “BMW and CEVA already work together in many markets around the world. Their high level of expertise in the automotive sector makes them the clear choice for our UK parts distribution. We are sure that CEVA’s passion for excellence and commitment to their customers will drive forward a strong partnership.”

David Jackman, Automotive Business Sector Director, CEVA in UK & Ireland said: “We are delighted that BMW has taken the decision to award CEVA this business. This will expand the work we already do with BMW in Australia, Brazil, China, Poland and the USA. We look forward to delivering a top class service for BMW’s UK customers through this automotive shared user solution.”

APL enhances Intra-Asia network with new service launch

2009-10-21T19:26:00.000+05:30

Singapore: APL, a global leader in container shipping, has announced the launch of the Japan-Thailand-Vietnam (JTV) service, which will further strengthen its Intra-Asia short sea network and better serve key manufacturing and consumption markets within Asia.

From 30 October, the JTV offers shippers a dedicated service linking the key markets of Japan, South China and Hong Kong with the emerging South East Asian manufacturing locations of Thailand and Vietnam. The JTV will serve trade lanes with potential for significant long-term growth. The service will also enable importers and exporters to access APL's global mainline services network via Hong Kong and Kaohsiung. Shippers can also tap into the Philippines market with faster connections via Kaohsiung.

Jason Wong, APL Vice President for Intra-Asia said: "The JTV caters to customer demand for more short sea services in the dynamic Intra-Asia market. The new service will support a trading circle encompassing key origins and destinations ranging from South East and East Asia to North Asia. Manufactured and component goods, as well as refrigerated fresh produce can now move more quickly and reliably within Asia."

Mr Wong added: "Recognising Asia's growing importance as both a production and consumption market, the JTV service demonstrates APL's commitment to adapt our network to meet changing trade patterns and better serve our customers."

APL will deploy 3 ships, each with a capacity of 1,200 TEU (twenty-foot equivalent unit).

Port rotation for the JTV will be: Tokyo, Yokohama, Kobe, Chiwan, Hong Kong, Laem Chabang, Ho Chi Minh City, Kaohsiung and Tokyo.

Cardinal Logistics Management Recognized as Kodak Certified Supplier

2009-10-21T16:00:00.000+05:30

CONCORD- Cardinal Logistics Management, a leading provider of dedicated transportation solutions, has been named as a Kodak Certified Supplier by Eastman Kodak Company. Cardinal provides just-in-time deliveries as manufacturing support across Kodak's campus in Rochester, New York.

The Kodak Certified Supplier Program recognizes suppliers that demonstrate the ability to consistently meet Kodak's performance expectations for quality, on time delivery, lead time, and year over year productivity for the services they provide. The certification process ensures practices and procedures used by their suppliers are of the highest quality. Only 10 percent of all Kodak suppliers worldwide qualify as Certified Suppliers.

To become a Certified Supplier, Cardinal completed a self-assessment as well as an on-site evaluation by a team of Kodak auditors. The audit delves deep into the operation, checking every detail from the most basic of drivers' work steps to details as specific as data transfer through the electronic dispatch system and information capture. During the rigorous evaluation, Kodak found all of Cardinal's practices to be above the standards for certification.

"Cardinal completed the process faster than most companies," explained Peter Bartell, Kodak Supplier Quality Manager. Many Kodak suppliers are not considered for the process or are not able to complete the rigorous process. Of those that do finish, the average completion time is eight months to longer than a year. "From start to finish, Cardinal completed the process in just over six months," said Bartell.

"We are proud to be considered a Kodak Certified Supplier and will take all steps to retain this certification year after year," said Cardinal Operations Manager Brian Stover.

Sajan Launches New translation technology Software Company

2009-10-21T15:55:00.000+05:30

RIVER FALLS,Ireland- Sajan, an ireland based player in on-demand translation technology and services, today announced the launch of Sajan Software, Ltd., a new wholly-owned subsidiary dedicated to advancing cloud-based translation technologies. Based in Dublin, Ireland, Sajan Software, Ltd. will drive and support the continued evolution of Sajan's leading edge translation management system, and its broader suite of localization solutions. The launch celebrates Sajan's deep commitment to next generation software and global market leadership. Vern Hanzlik, former CEO of Stellent (acquired by Oracle in 2006) has been named president of the new company. Additionally, a new brand name, Sajan Software(TM), is being created.

At its core, Sajan Software is a world-class technology company offering advanced translation management technologies, such as its acclaimed GCMS(TM), which was rated the #1 translation management system (TMS) by industry analysts. The new company underscores Sajan's reputation for technological innovation in the localization industry, and officially positions its solutions as freestanding applications, to be used independently or in concert with the company's translation services. Sajan asked Vern Hanzlik, a seasoned technology executive and current Sajan chief marketing officer, to lead the new company. Hanzlik successfully built and led Stellent, a global leader in enterprise content management systems, through its most prolific and innovative years.

"The launch of Sajan Software represents Sajan's longstanding commitment to the future of cloud-based translation technology," said Vern Hanzlik, president, Sajan Software. "Beyond the solutions themselves, our product development strategies are backed by long-term investments in R&D and engineering talent."

Recognizing that cloud-based computing offers an unprecedented cost savings opportunity for large enterprises, Sajan Software provides a pioneering usage model for customers. Specifically, the company offers its TMS through an incremental, volume-based approach, which will allow large enterprises to adopt new technology with lower risk and investment.

Long Beach Port Caves to Trucking Industry Polluters at Expense of Community, Environment

2009-10-21T15:48:00.000+05:30

LOS ANGELES- A sustainable trucking fleet and long-term clean air gains supported by local environmentalists, community groups, harbor residents and workers could be jeopardized thanks to a settlement between the Port of Long Beach and the American Trucking Association announced late yesterday.

Mayor Bob Foster's willingness to sacrifice big-rig emissions reductions to curry favor with port customers comes one day after New York and Newark's Mayors Bloomberg and Booker joined Los Angeles and Oakland Mayors Villaraigosa and Dellums in calling on Congress to help protect the more successful and sustainable LA Clean Truck Program as the green-growth model to replicate at ports nationwide.

"The Port of Long Beach violated the public trust and sold out the citizens of Long Beach by approving a worthless settlement agreement with the American Trucking Association in their lawsuit against the Los Angeles ports' clean trucks programs," said David Pettit, a senior attorney of the Natural Resources Defense Council (NRDC). The director of the Southern California Clean Air Program of the 1.2 million-member environmental action organization added: "Rather than clean up the trucks that serve its port, Long Beach ran away from a fight with ATA -- an organization that has opposed clean air regulation locally and nationally -- and is content to sit on the sidelines while the Port of Los Angeles pays to clean up the trucks that serve both ports."

The settlement creates an "industry honor system" at the Port of Long Beach: Trucking companies who once had to meet concession requirements now can merely sign a piece of paper indicating that they haul cargo in EPA-compliant trucks. Evidence shows that those firms are forcing already low-paid contract drivers to foot the bill for the new trucks and maintenance through exploitive schemes that the Long Beach Press-Telegram recently reported "have trimmed driver incomes to new lows."

"They are giving a dirty bunch of industry bullies a free pass to port property if they claim 'Voila! We're clean,'" said frustrated Long Beach resident Bernice Banares, who teaches high school in what is locally referred to as the "diesel-death" zone. "Instead of siding with the industry polluters that sued him, Mayor Foster needs to be standing up for the workers behind the wheel and mothers of children with asthma like me."

In contrast, the LA Clean Truck Program uses a concession agreement to monitor and enforce emission standards. It transfers the responsibility for reducing air pollution from workers who can only afford to own and operate old, dirty rigs to trucking companies that legitimately employ their drivers and invest in and maintain clean, green trucks. In exchange, the firms are awarded powerful financial incentives to make environmental compliance economically advantageous, and access to the terminal gates.

Companies large and small alike have participated since its inception Oct. 1, 2008. But then the American Trucking Association sued both ports to help its members evade responsibility for cleaner commerce. They argue that an arcane 20th century statute preempts critical components of both the LA Clean Truck Program and the weaker, now-settled Long Beach version.

The Beltway-based industry lobby that also vigorously opposes federal climate change legislation obtained a temporary injunction against key provisions on appeal, threatening the long-term sustainability and nearly guaranteeing over 5,500 clean new trucks that the Port of Los Angeles has put on the road today will become dirty again in a few years.

That's because Long Beach drivers like Rafael Rivera, who was profiled in the Press-Telegram, recently went home with a $138 check after a week of hauling and can't afford maintenance. "Between payments for the new truck, insurance, fuel, taxes and the lack of work, I'm barely making it.... I'm working 18 hours a day, six days a week, and I still can't afford my bills. I don't know what's going to happen."

In response, a growing movement of big city mayors, port authorities, and elected leaders at all levels are pushing Congress to change federal law to remove any doubt that local officials have the legal authority to address the market failures that have spiked public health and poverty statistics to crisis proportions and have earned America's seaports the notorious reputation as the place "where old trucks go to die."

The call is also supported by a nationwide alliance of over 100 organizations known as the Coalition for Clean & Safe Ports on the West Coast, and the Coalition for Healthy Ports on the Eastern Seaboard. The direct link between pollution and poverty at our ports has united groups as diverse as the NRDC, the Long Beach Alliance for Children with Asthma, the Teamsters, the American Lung Association of California, the Church Council of Greater Seattle, the Sierra Club, For a Better Bronx, and GreenFaith.

In addition to the mayors in California, New York and New Jersey, the LA Clean Truck Program has received public endorsements from then-Senator Barack Obama, Speaker of the House Nancy Pelosi, California Senators Barbara Boxer and Dianne Feinstein, 31 House California Democrats; Representative Jerrold Nadler (D-NJ); Senator Frank Lautenberg (D-NJ); and New Jersey Governor Jon Corzine.

The Port Authority of New York & New Jersey and the Port of Oakland have also joined the Port of Los Angeles to educate Congress about the tools they need to meet and sustain federal clean-air standards.

The Coalition for Clean & Safe Ports is a partnership of environmental, public health, community, labor and faith organizations that promote sustainable economic development at West Coast ports. We are working to make the port trucking system a less polluting, more competitive generator of good quality jobs for harbor-area residents. The Coalition for Healthy Ports is the sister alliance working to create cleaner, greener ports in New York and New Jersey. We are over 100 organizations strong nationwide.

Frost & Sullivan: Cost Cutting and Rationalisation Will Boost the European Defences Logistics Market

2009-10-21T15:18:00.001+05:30

The rapidly growing defence logistics (information systems) market in Europe is driven both by the cost cutting and rationalisation plans of various militaries and by improved web-enabled logistics systems. The greatest challenge for suppliers and integrators of defence logistics information systems is how to provide end users with high quality solutions under acute cost and time constraints.

New analysis from Frost & Sullivan (http://www.aerospace.frost.com), European Defence Logistics (Information Systems) Market Assessment, estimates that the market will peak in 2010 to then gradually decrease and enter the maturity stage by 2017.

"The cost cutting and rationalisation plans of various militaries as well as increasing adoption of enhanced web-enabled logistics systems are the key market drivers and will remain the most important catalysts in long-term market development," notes Balaji Srimoolanathan, Program Manager for Aerospace & Defence at Frost & Sullivan.

Several European nations are focusing on diverting limited funds toward expensive arms rather than combat support. To avoid wasteful expenditure by ensuring that the right consignments arrive in the right place at the right time, European militaries are moving towards implementing more efficient logistics information systems. Moreover, there is a desire to rationalise military logistics by moving towards cross-service interoperability.

Web technologies have improved substantially in terms of speed and size capability. Such improved technologies provide an accurate and up-to-date picture of all assets and the supply state of all units at any one time and, thus, reduce wastage in terms of unnecessary spares and the number of personnel required to maintain inventory stockpiles. These factors will significantly impact market prospects.

The biggest challenge for suppliers and integrators will be to provide end users with high quality defence logistics IT solutions under severe cost and time constraints.

"The Armed Forces of various European nations and Israel are in the process of transforming their logistics information systems in an effort to streamline and rationalise their logistics activities," remarks Balaji Srimoolanathan. "The final goal of these nations is to have one comprehensive, integrated defence logistics software solution. In the process of attaining this goal, they are looking to acquire lean and agile, highly deployable, open logistics systems with robust support networks."

The market revenues in each of these countries will peak depending on when individual logistics IT projects would be initiated. For instance, the United Kingdom will initiate its future logistics information systems project in 2010. Other NATO members, including France, Italy and Spain are expected to follow suit and work towards implementing similar systems a few years later.

Nordic governments will work towards integrating their individual logistics systems into one comprehensive system. In the long term, NATO member nations may work towards a comprehensive integrated logistics system as well.

European Defence Logistics (Information Systems) Market Assessment is part of the Defence Growth Partnership Service programme, which also includes research in the following markets: US Logistics and Support Systems Market and, UK Logistics and Support Systems Market. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

Sical Logistics of india signs pact with NMPT

2009-10-20T16:54:00.002+05:30

MUMBAI: Sical Logistics, provider of multi-modal logistics for bulk and containerised cargo, on Wednesday said it has entered into an agreement with New Mangalore Port Trust to set up iron-ore handling facilities.

The company has signed concession agreement with New Mangalore Port Trust on October 19, Sical Logistics said in a filing to the Bombay Stock Exchange (BSE).

The agreement was signed between New Mangalore Port Trust and Sical Iron Ore Terminal (Mangalore) Ltd, a special purpose vehicle arm of Sical Logistics, the filing added

Ingersoll Rand Names Todd Wyman Senior Vice President, Global Operations and Integrated Supply Chain

2009-10-20T16:50:00.001+05:30

Swords, Ireland – Ingersoll-Rand plc (NYSE:IR) today announced the appointment of Todd Wyman as senior vice president, Global Operations and Integrated Supply Chain, effective November 16, 2009. He will report to Michael W. Lamach, president and chief operating officer, and be based in Davidson, NC. Wyman also will be recommended to the Board of Directors for election as an officer. He will be a member of the company's Enterprise Leadership Team.

Wyman joins Ingersoll Rand from General Electric (GE), where he was an elected officer and vice president of Global Supply Chain for GE Transportation, responsible for global manufacturing, sourcing, and distribution. Prior to that, he was general manager, Global Supply Chain for GE Transportation. Wyman joined GE's Manufacturing Management Program in 1989, and progressed to increasingly more responsible roles in operations, sourcing and general management across several GE businesses, including Power Systems, Electrical Distribution & Controls, and Industrial Systems. Wyman holds a bachelor's degree in Management Engineering from Worcester Polytechnic Institute, Worcester, MA.

"As Ingersoll Rand continues to drive toward world-class productivity performance and deliver ongoing benefits from the integration of our businesses, it is imperative that we accelerate our progress in achieving continuous improvement and greater efficiencies across our operations," said Michael W. Lamach, president and chief operating officer of Ingersoll Rand. "With tremendous experience and demonstrated success across all facets of operations management, Todd is well prepared for this critical leadership role and duties that include the development and implementation of long-range strategies to optimize manufacturing operations, develop and leverage a globally integrated supply chain, and transform the ways in which the company applies assets across the enterprise."

Ingersoll Rand is a global diversified industrial firm providing products, services and solutions to enhance the quality and comfort of air in homes and buildings, transport and protect food and perishables, secure homes and commercial properties, and enhance industrial productivity and efficiency. Driven by a 100-year-old tradition of technological innovation, we enable companies and their customers to create progress. For more information, visit www.ingersollrand.com.

CEVA Logistics launches Pyramid, a new warehouse in Dubai

2009-10-20T14:54:00.000+05:30

Dubai, UAE – CEVA Logistics, a leading global supply chain management company, has opened an advanced 12,000 square meter warehouse in Dubai.

The new warehouse is built with latest technology and has a pyramidal structure to embody CEVA’s distinct brand. The Pyramid is located in the JAFZA South Zone, an area that plays a central role in the company's development strategy to improve its regional presence by creating a network of local warehouses. The Pyramid will act as a central hub for all regional clients and will be used for CEVA’s Middle East headquarters.

The implementation of CEVA Lean principles in the warehouse’s operations will improve processes by minimizing waste and increasing the quality and service provided. The Pyramid has 13 loading bays and will manage products for four key regional customers working in the electronics, fashion and industrial sectors.

Pat McGillycuddy, COO, Economic Zones World, whose group company, Gazeley, designed and built the warehouse, said: “We are delighted to have partnered with CEVA to deliver their latest warehouse in Jafza. We are proud to help facilitate their regional expansion.”

Shamsudeen Ahmed, Regional Director, CEVA in the Middle East, said: “We are rapidly expanding our presence in Dubai. We anticipate that our Jafza facilities will grow by a further 65,000 square meters in the next 12 months, taking our total space in the zone to approximately 110,000 square meters.”

Gianfranco Sgro, President, CEVA, South Europe, Middle East and Africa, also explained the regional development strategy: “In the Middle East, we are focusing on serving customers in the oil and gas, industrial, automotive and tyres, retail and fashion, technology and hospitality sectors. Thanks to our global experience and technologically advanced services, we can offer a range of smart and customized solutions to meet sectors’ individual needs.”

Nine-months results of Kuehne + Nagel prove effective

2009-10-20T14:30:00.000+05:30

Schindellegi- The worldwide operating Kuehne + Nagel Group achieved very satisfactory results for the first nine months of the year due to the early, consistent implementation of its dual strategy of strict cost management and commitment to market-share expansion. Gross profit – the relevant indicator of a logistics provider’s volume and margin performance – was 7.3 per cent (currency-adjusted and excluding acquisitions: 4.5 per cent) below the figure of the previous year’s period. Operational result (EBITDA) decreased by 10.0 per cent (adjusted: by 8.2 per cent) and net earnings by 14.4 per cent (adjusted: by 6.4 per cent) to CHF 387 million.

Seafreight

During the first half of the year, the international seafreight market was characterised by significant volume declines; the third quarter, however, saw the first signs of recovery. Leveraging its broad geographic reach and its value-adding product portfolio, Kuehne + Nagel was able to expand market shares in almost all trade lanes. Volumes handled by Kuehne + Nagel increased by 11 per cent from second to third quarter. Compared with the first nine months of last year, the decrease was 8.5 per cent while the overall market declined 16 per cent. As a result of the early adaption of cost structures, the operational result declined just 9.5 per cent compared to the previous year’s period. EBITDA margin was at 5.3 per cent (previous year: 4.4 per cent) despite margin pressure due to rate increases in the third quarter.

Airfreight

The international airfreight market saw a slight improvement in tonnages in the third quarter; therefore, overall cargo decrease slowed to 17 per cent in the first nine months of the year. Kuehne + Nagel increased its market share by intensifying sales activities and expanding its industry-specific solutions. Compared with the second quarter, Kuehne + Nagel increased tonnage by 7 per cent in the third quarter. For the nine months, Kuehne + Nagel’s tonnage decline of 15.5 per cent was less than the overall market decline. Operational result decreased by 16.6 per cent compared with the previous year’s period, while EBITDA margin, despite the third quarter’s rate increases, improved from 5.8 to 6.9 per cent.

Road & Rail Logistics

The European road transport market suffered substantial volume declines during the past nine months, especially in August, when business was impacted by the recession-related holiday prolongation by shippers. Never theless Kuehne + Nagel was able to considerably improve results compared with the previous year, mainly due to the acquisition of the French Alloin Group, further standardisation of processes as well as improved network utilisation. EBITDA margin went up from 1.0 to 1.8 per cent and operational result increased by 50 per cent compared to the previous year’s period.

In order to strengthen the European market position and to optimise operatio nal synergies, national and international overland traffic and contract logistics-related distribution activities will be consolidated under the responsibility of Management Board member Dirk Reich as of January 1, 2010. Management Board member Xavier Urbain, who has significantly contributed to the successful expansion of the Group’s overland business, will terminate his operational responsibility with Kuehne + Nagel International AG on December 31, 2009, and will continue to support the Company’s growth strategy on a consultancy basis.

Contract Logistics

While the contract logistics market continued to stabilise on first half-year level, for the first nine months the business unit’s operational result was still 17 per cent below the previous year. Strict cost control and new business implementation kept the third-quarter operational result nearly level with the second quarter. EBITDA margin decreased only slightly from 5.1 to 4.7 per cent.

Reinhard Lange, CEO of Kuehne + Nagel International AG, said: “We are reasonably satisfied with our results for the first nine months. Our dual strategy has proven effective – we have successfully counteracted substantial volume declines through strict cost management and increased sales activities. As a result, we have continuously expanded our market share and over-proportionately benefited from the third quarter’s business stimulation.“

IATA wins in PaxIS Dispute

2009-10-20T12:48:00.000+05:30

Geneva - The International Air Transport Association (IATA) won a major court victory in a dispute with Travelport over PaxIS. On 1 October, the Amsterdam District Court denied an application by Travelport for an injunction to block IATA’s use of airline data stored in Travelport databases for PaxIS.

“IATA has won an important legal battle to preserve competition for airline data transaction products. The Dutch court decision vindicates the rights of airlines to earn profits from commercializing their data,” said Giovanni Bisignani, IATA's Director General and CEO.

PaxIS is an airline business intelligence product based in part on data that it collects through its billing and settlement plans (BSP), some of which is stored in third party databases.

In late August, Travelport sought a preliminary injunction against IATA’s use of BSP data in PaxIS. Travelport argued that the EC database directive gave it the right to control the use of data that it retrieves from its database and transmits to IATA’s BSP settlement systems on behalf of its airline clients.

The 1 October decision of the Amsterdam District Court (Netherlands), denied Travelport’s application, ruling in favor of IATA on almost every significant issue.

“This decision brings clarity and common sense to the evolving and complex interplay between the EC database directive and principles of EC competition law. We are pleased that we can continue to provide the airlines with a cost-effective and competitive data product that supports critical decision-making in their businesses,” said Bisignani.

US Transport Secretary announces $20.9 Million for improving Hazardous Materials planning

2009-10-20T12:28:00.001+05:30

Washington, D.C. – The U.S. Department of Transportation today announced that it is awarding $20.9 million to states, territories and Native American tribes to improve the nation’s response to transportation incidents involving hazardous materials. The grants will help train first responders to react to incidents involving hazardous materials and to meet the safety challenges posed by new chemicals and alternative energy products such as ethanol.

“This program strengthens local emergency response capabilities and serves a vital role in a comprehensive hazmat safety program,” said Secretary LaHood. “Although prevention is our first priority, preparing communities to respond effectively to incidents that do occur is essential to protecting the safety of all Americans.”

The grants from the U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration (PHMSA) are funded by user fees paid by shippers and carriers of certain hazardous materials.

Since 1993, over 2.4 million emergency responders and others have received training assistance nationwide using Hazardous Materials Emergency Preparedness (HMEP) grants. Assistance was also given to approximately 1,700 local emergency planning committees each year in preparing and exercising hazardous materials emergency response plans, and in conducting commodity flow studies that identify transportation hazards. Effective in 2008, transportation legislation more than doubled the funding of the HMEP grants program.

All 50 states, one territory, and seven North American tribes received HMEP grant funding this year.

EXPANSION OF SINGAPORE’S BILATERAL AIR SERVICES AGREEMENT WITH MALAYSIA

2009-10-20T12:20:00.002+05:30

Ministry of Transport, Singapore has reported on Monday that Following air services consultations held earlier today inKuching, East Malaysia, Singapore and Malaysia agreed to an expansion of the bilateral air services agreement between both countries. The Singapore delegation was led by Permanent Secretary for Ministry of Transport, Mr Choi Shing Kwok.

2. The new agreement gives carriers of both countries the right to operate passenger services between Singapore and six new destinations in Malaysia, namely Alor Setar, Bintulu, Labuan, Kerteh, Kota Bahru and Sibu. Singapore and Malaysia carriers will each have the traffic rights to operate 28 weekly passenger services to each of these destinations.

3. Under the new agreement, Singapore carriers will also have expanded traffic rights to operate 42 weekly passenger services each to Ipoh, Kota Kinabalu, Kuching and Langkawi1 as well as 28 weekly passenger services each to Kuantan, Kuala Terengganu, Malacca,Miri, Sandakan and Tawau2. The same entitlements are accorded to the Malaysia carriers as well.

4. Singapore and Malaysia also discussed the exchange of cargo traffic rights. Carriers of both countries will also have unlimited rights to operate any number of cargo services to Kuala Lumpur, Penangand all the above-mentioned Malaysian points.

5. Delegation leader Mr Choi Shing Kwok, said, “We are pleased with the outcome of today’s air services consultations, especially following on the results achieved in the last two rounds of consultations. I am pleased to also note the breakthrough we achieved for cargo services. Enabling our cargo carriers to transfer cargo between both countries will improve the flow of goods and provide major economic benefits to both countries.”

1 To date, Singapore carriers can operate 21 weekly services to Ipoh, 38 weekly services to Kota Kinabalu, 35 weekly services to Kuching and 27 weekly passenger services to Langkawi.

2 To date, Singapore carriers can operate 14 weekly services each to Kuantan, Kuala Terengganu, Malacca, Miri, Sandakan and Tawau.

Zethcon Adds MKM Distribution Services to Its Growing Customer Base

2009-10-20T00:26:00.000+05:30

Zethcon Corporation, developer of Synapse, a leading Warehouse Management System for third party warehouse operations, is pleased to announce the addition of MKM Logistics to its growing customer base. MKM Distribution Services is a provider of third party fulfillment, logistics and supply chain needs. MKM Distribution Services celebrated 27 years in business in 2008.

Founded by its owner and CEO Bill Hurley, MKM began trucking operations in 1981 delivering to 26 retail stores throughout the east coast. MKM has a simple and clear vision: to be a partner dedicated to all of its customers’ supply chain needs.Jerry Fields, MKM’s President, said the following about Zethcon and Synapse: “We evaluated many systems and are convinced that the Zethcon solution is the best for our customer’s needs.”ABOUT MKM DISTRIBUTION SERVICES MKM has nearly one million square feet of warehousing space located in Indianapolis and throughout the nation. MKM’s vision is to revolutionize the supply chain solutions industry by ensuring that customer achieve results they expect from their supply chain technology investments. That is accomplisted through the broadest suite of transportation, productivity, and distribution management capabilities, enhanced with action oriented components for real‐time performance. To learn more, visit www.mkm‐logistics.com.ABOUT ZETHCON Zethcon Corporation is a world‐class provider of supply chain execution software and services. Over 30 years of technology innovation and operational experience distinguish Zethcon in its primary market: serving third‐party logistics providers. The company’s flagship product, Synapse, is a market‐leader in Warehouse Management Systems and Order Management Systems. Zethcon is well recognized for its deep commitment to highly responsive service and building long‐term partnerships that make their customers’ business better. To learn more, visit www.zethcon.com

UAE agrees open skies with the Republic of Serbia

2009-10-19T23:25:00.000+05:30

Dubai-The United Arab Emirates represented by the General Civil Aviation Authority (GCAA) has initialled an "open" Air Services Agreement (ASA) and has signed a Memorandum of Understanding with the Government of the Republic of Serbia on 15th October 2009, during Air Services Negotiations taking place in Belgrade, Serbia.

This new Understanding was signed by Omar Bin Ghaleb, Deputy Director General of the UAE General Civil Aviation Authority (GCAA) and Miodrag Miljkovic, State Secretary at the Ministry of Infrastructure of the Republic of Serbia. Representatives from Abu Dhabi Department of Transport, Dubai Civil Aviation Authority, Emirates Airline and Etihad Airways, attended the negotiations.

The two delegations agreed that any number of designated airlines of both parties will have the right to perform scheduled air services. The UAE delegation informed that its Aeronautical Authority designated Emirates Airline, Etihad Airways, RAK Airways, Air Arabia and FlyDubai as UAE national airlines under the Agreement. The Serbian Delegation informed that its Aeronautical authority designated Jat airways as Serbian national airline under the agreement.

The agreement allows unrestricted frequencies, capacity and types of aircraft, whether owned or leased, to be operated by the designated airlines of each country in any type of service (passenger or cargo) on the routes between the Republic of Serbia and the UAE.

The agreement also includes, in addition to the third and fourth freedoms, the practice of full fifth freedom traffic rights on all points of their choice without any restriction while operating any type of services (passenger and/or cargo, separately or in combination). In addition, both parties agreed to allow unrestricted non-scheduled operations between the two countries and to recommend to their authorities to conclude an agreement for the avoidance of double taxation on revenues arising from their airlines' activities and income earned by their employees when stationed in the territory of the other party. - Emirates News Agency, WAM

UK freight forwarders alerted about US sanctions against Iran

2009-10-19T23:15:00.000+05:30

UK- The British International Freight Association (BIFA) – bifa.org - is urging its membership which includes most of the UK’s freight forwarding companies to be aware that new sanctions being taken by the United States against Iran may make them subject to punitive action by the US Government should they be judged to have assisted US companies in trading with Iran.

New regulations in the USA mean that any American entity facilitating trade with Iran, in any form, could be targeted. We understand that this will bring non-US subcontractors into scope and can apply to worldwide movements not solely those to or from the USA

Companies, which fail to comply, will face the potential of asset-seizure and restrictions on access to US markets if they either arrange shipment or carry restricted cargoes to Iran.

The issue is further complicated by new measures to stop the use of Iranian vessels that have been re-registered in other countries. The American authorities have issued a list of some 155 ships that may not carry American-origin goods and upon which freight forwarders and shippers may not charter or book cargo.

BIFA is encouraging its members to consult that list in order to avoid the named vessels and avoid the consequences of having shipments onboard those vessels.

The list of banned vessels can be found at:www.treas.gov/offices/enforcement/ofac/actions/20080910.s...

The British International Freight Association (BIFA) represents UK companies engaged in the international movement of freight by all modes of transport. A not-for-profit organisation, BIFA is funded by subscription and run by its members for members. It operates with a full-time Secretariat, which administers and manages the Association’s affairs. BIFA provides an effective and proactive organisation dedicated to improving standards of professionalism within the logistics and supply chain industry.

NYK chooses GAC as partner in Nigeria

2009-10-19T22:58:00.002+05:30

Japan's biggest shipping and logistics group NYK has chosen GAC to help it build a strong market presence in Nigeria.

In September, senior NYK and GAC managers gathered in Lagos with local Government representatives, customers and officials to formally launch the twice-monthly direct liner service, one of the very few from Asia.

NYK has been a GAC customer in the Middle East for more than 50 years. This latest development sees Richard Mallen, formerly of GAC's global Strategic Purchasing Unit in Thailand, appointed General Manager in Lagos for Liner Services, responsible for all GAC Nigeria's liner business.

Right people, right attitude
"There are plenty of opportunities and plenty of challenges for NYK's venture in West Africa," says Richard. "Our task, quite simply, is to give them the best possible service no matter the conditions. We have to ensure NYK vessels get to their berth quickly, are efficiently discharged and sent on their way. Then we must handle all the complex documentation that is needed for their containers to be released to the local importers.

"Commercially, we have to market NYK's service to local importers to build volumes and wherever possible locate return cargoes for the Far East.

"Nigeria is a place where much can be done with the right people and the right attitude. We have recruited a strong local team to deliver our side of the relationship and I am confident that we can grow this business smoothly over coming months and years."

GAC has operated in Nigeria since 1978, providing shipping, logistics, marine and manning services.

Hilti and Kuehne + Nagel enter into strategic partnership

2009-10-19T22:53:00.004+05:30

Hamburg - Hilti, one of the world’s market leaders in providing technology to the global construction industry, has entered into strategic partnership with Kuehne + Nagel for the planning, implementation and management of their future logistics locations in Europe.

The cooperation between the Lichtenstein-based group and Kuehne + Nagel started in December 2007 with the construction of the new Hilti logistics centre in Nuremberg. This project, which was planned and implemented and is managed by the logistics specialists of Stute Verkehrs-GmbH, a fully-owned subsidiary of the Kuehne + Nagel Group, laid the foundations for the realignment of Hilti’s logistics processes in Europe.

The state-of-the-art distribution centre in Nuremberg serves as a yardstick for new Hilti locations in Europe and has convinced the customer to choose Kuehne + Nagel as its competent strategic partner for further logistics projects. A dedicated competence team will support Hilti with upcoming pro jects for further optimisation and standardisation of logistics processes.

Joachim Anna, Hilti’s Head of Logistics Europe Central, comments, “Our advantage – apart from being able to concentrate on our core compe tence and leveraging Kuehne + Nagel’s know-how – lies in the fact that cooperation with only one partner naturally leads to reduced coordination and management efforts as Kuehne + Nagel offers one-stop-shopping when it comes to integrated logistics solutions.”

“We see further advantages,” adds Heinrich Becker, Hilti’s Head of European Logistics Management, “in standardised controlling and reporting, which enables us to continuously monitor all locations and processes including the respective key performance indicators. The permanent benchmarking of all locations, be they own-controlled or externally managed, ensures full transparency in all external locations.”

“This maximum transparency and the partnership-based approach form a sound basis for a successful long-term cooperation,” comments Christian Dieckhöfer, Managing Director of Stute Verkehrs-GmbH.

About Hilti
Hilti provides leading-edge technology to the global construction industry. Hilti products, systems and services offer the construction professional innovative solutions with outstanding added value. The headquarters of the Hilti Group are in Schaan in the Principality of Liechtenstein. Further information can be found at www.hilti.com

About Kuehne + Nagel
With more than 55,000 employees at 900 locations in over 100 countries, the Kuehne + Nagel Group is one of the world's leading logistics companies. Its strong market position lies in the seafreight, airfreight, contract logistics and overland businesses, with a clear focus on providing IT-based supply chain management services.

TagMaster unveils ProgramMe! Anytime

2009-10-19T22:48:00.002+05:30

Washington - TagMaster North America, Inc., the leading provider of long-range and high-performance Radio Frequency Identification (RFID) systems for Automatic Vehicle Identification (AVI) announced today that it unveiled ProgramMe! Anytime at the annual National Parking Association October 12 -15 trade show in National Harbor, MD.

Valued TagMaster NA system integrators and partners as well as end-customer parking administrators will now be able to program, monitor, test and diagnose TagMaster readers – virtually - unhindered by physical distance limitations imposed by traditional interfaces such as RS-232 and RS-485. Gone are the messy and costly physical cabling that connect the readers to the host computer. Gone is the requirement to be present at the physical parking infrastructure site to set-up readers, test and monitor them. Gone are the inordinate efforts expended to get to the physical site.

ProgramMe! Anytime allows wireless connection of TagMaster reader devices via TCP/IP protocols to the host computer and enables IP-addressability. A major leap that facilitates ease of TagMaster RFID AVI implementation and management while delivering time and cost savings.

For additional information, please contact TagMaster NA.

About TagMaster North America, Inc.:
TagMaster North America’s core business is to market high performance long-range RFID (Radio Frequency Identification) systems and information services associated with automatic identification. TagMaster’s three business units are Automatic Vehicle Identification (AVI), Transportation and Security.

CEVA Ground launched

2009-10-19T22:31:00.001+05:30

Sao Paulo, Brazil- CEVA Logistics, a leading global supply chain management company, has launched its new ground transportation arm, CEVA Ground. This will integrate all service offerings including the process of supplier’s contracts, freight conference, freight audit, loads tracking, performance metrics of the transport management and transport planning.

CEVA Ground will help improve operations performances, which will be instrumental in assisting the Business Development and Logistics Competence Center win new business contracts. The new structure will be implemented immediately and will be driven by a €140,000 investment with the ambition of achieving 10% growth by next year.

In order to achieve effective results, CEVA Ground has been categorized under three core areas: Planning and Transport Purchase, Operations and Transport Products and Management and Transport Control.

Ricardo Melchiori, Director, CEVA Ground, said: “We believe that CEVA Ground will help accommodate our customers’ needs more efficiently as we will have a complete vision of the whole logistics process. Much more than logistics suppliers, we intend to be seen as a strategic partner working closely with our customers.”

Reduction of Transaction Costs (Highlights of foreign trade policy 2009-2014)

2009-08-28T16:50:00.000+05:30

No fee shall now be charged for grant of incentives under the Schemes in Chapter 3 of FTP. Further, for all other Authorisations/ licence applications, maximum applicable fee is being reduced to Rs. 100,000 from the existing Rs 1,50,000 (for manual applications) and Rs. 50,000 from
the existing Rs.75,000 (for EDI applications).

To further EDI initiatives, Export Promotion Councils/Commodity Boards have been advised to issue RCMC through a web based online system. It is expected that issuance of RCMC would become EDI enabled before the end of 2009.

Electronic Message Exchange between Customs and DGFT in respect of incentive schemes under Chapter 3 will become operational by 31.12.2009. This will obviate the need for verification of scrips by Customs facilitating faster clearances.

For EDI ports, with effect from December ’09, double verification of shipping bills by customs for any of the DGFT schemes shall be dispensed with.

In cases, where the earlier authorization has been cancelled and a new authorization has been issued in lieu of the earlier authorization, application fee paid already for the cancelled authorisation will now be adjusted against the application fee for the new authorisation subject to
payment of minimum fee of Rs. 200.

An Inter Ministerial Committee will be formed to redress/resolve problems/issues of exporters.

An updated compilation of Standard Input Output Norms (SION) and ITC (HS) Classification of Export and Import Items has been published.

Simplification of Procedures (Highlights of foreign trade policy 2009-2014)

2009-08-28T16:48:00.001+05:30

To facilitate duty free import of samples by exporters, number of samples/pieces has been increased from the existing 15 to 50. Customs clearance of such samples shall be based on declarations given by the importers with regard to the limit of value and quantity of samples.

To allow exemption for up to two stages from payment of excise duty in lieu of refund, in case of supply to an advance authorisation holder (against invalidation letter) by the domestic intermediate manufacturer. It would allow exemption for supplies made to a manufacturer, if such manufacturer in turn supplies the products to an ultimate exporter. At present, exemption is allowed upto
one stage only.

Greater flexibility has been permitted to allow conversion of Shipping Bills from one Export Promotion scheme to other scheme. Customs shall now permit this conversion within three months, instead of the present limited period of only one month.

To reduce transaction costs, dispatch of imported goods directly from the Port to the site has been allowed under Advance Authorisation scheme for deemed supplies. At present, the duty free imported goods could be taken only to the manufacturing unit of the authorisation holder or
its supporting manufacturer.

Disposal of manufacturing wastes / scrap will now beallowed after payment of applicable excise duty, even before fulfillment of export obligation under Advance Authorisation and EPCG Scheme.
54. Regional Authorities have now been authorised to issue licences for import of sports weapons by ‘renowned shooters’, on the basis of NOC from the Ministry of Sports & Youth Affairs. Now there will be no need to approach DGFT(Hqrs.) in such cases.

The procedure for issue of Free Sale Certificate has been simplified and the validity of the Certificate has been increased from 1 year to 2 years. This will solve the problems faced by the medical devices industry.

Automobile industry, having their own R&D establishment, would be allowed free import of reference fuels (petrol and diesel), upto a maximum of 5 KL per annum, which are not manufactured in India.

Acceding to the demand of trade & industry, the application and redemption forms under EPCG scheme have been simplified.

Flexibility provided to exporters (Highlights of foreign trade policy 2009-2014)

2009-08-28T16:44:00.000+05:30

Payment of customs duty for Export Obligation (EO) shortfall under Advance Authorisation / DFIA / EPCG Authorisation has been allowed by way of debit of Duty Credit scrips. Earlier the payment was allowed in cash only.

Import of restricted items, as replenishment, shall now be allowed against transferred DFIAs, in line with the erstwhile DFRC scheme.

Time limit of 60 days for re-import of exported gems and jewellery items, for participation in exhibitions has been extended to 90 days in case of USA.

Transit loss claims received from private approvedinsurance companies in India will now be allowed for the purpose of EO fulfillment under Export Promotion schemes. At present, the facility has been limited to public sector general insurance companies only.

Export Processing Units (Highlights of foreign trade policy 2009-2014)

2009-08-28T16:40:00.001+05:30

EOUs have been allowed to sell products manufactured by them in DTA upto a limit of 90% instead of existing 75%, without changing the criteria of ‘similar goods’, within the overall entitlement of 50% for DTA sale.

To provide clarity to the customs field formations, DOR shall issue a clarification to enable procurement of spares beyond 5% by granite sector EOUs.

EOUs will now be allowed to procure finished goods for consolidation along with their manufactured goods, subject to certain safeguards.

During this period of downturn, Board of Approvals (BOA) to consider, extension of block period by one year for calculation of Net Foreign Exchange earning of EOUs.

EOUs will now be allowed CENVAT Credit facility for the component of SAD and Education Cess on DTA sale.

Sector wise highlights of foreign trade policy 2009-2014

2009-08-28T15:46:00.000+05:30

Marine sector
Fisheries have been included in the sectors which are exempted from maintenance of average EO under EPCG Scheme, subject to the condition that Fishing Trawlers, boats, ships and other similar items shall not be allowed to be imported under this provision. This would provide a fillip to the marine sector which has been affected by the present downturn in exports.

Additional flexibility under Target Plus Scheme (TPS) /Duty Free Certificate of Entitlement (DFCE) Scheme for Status Holders has been given to Marine sector.

Gems & Jewellery Sector

To neutralize duty incidence on gold Jewellery exports, it has now been decided to allow Duty Drawback on such exports.

In an endeavour to make India a diamond international trading hub, it is planned to establish “Diamond Bourse(s)”.

A new facility to allow import on consignment basis of cut & polished diamonds for the purpose of grading/certification purposes has been introduced.

To promote export of Gems & Jewellery products, the value limits of personal carriage have been increased from US$ 2 million to US$ 5 million in case of participation
in overseas exhibitions. The limit in case of personal carriage, as samples, for export promotion tours, has also been increased from US$ 0.1 million to US$ 1 million.

Agriculture Sector

To reduce transaction and handling costs, a single window system to facilitate export of perishable agricultural produce has been introduced. The system will involve creation of multi-functional nodal agencies to be accredited by APEDA.

Leather Sector

Leather sector shall be allowed re-export of unsold imported raw hides and skins and semi finished leather from public bonded ware houses, subject to payment of 50% of the applicable export duty.

Enhancement of FPS rate to 2%, would also significantly benefit the leather sector.

Tea

Minimum value addition under advance authorisation scheme for export of tea has been reduced from the existing 100% to 50%.

DTA sale limit of instant tea by EOU units has been increased from the existing 30% to 50%.

Export of tea has been covered under VKGUY Scheme benefits.

Pharmaceutical Sector
Export Obligation Period for advance authorizations issued with 6-APA as input has been increased from the existing 6 months to 36 months, as is available for other
products.

Pharma sector extensively covered under MLFPS for countries in Africa and Latin America; some countries in Oceania and Far East.

Handloom Sector
To simplify claims under FPS, requirement of ‘Handloom Mark’ for availing benefits under FPS has been removed.

Stability/ continuity of the Foreign Trade Policy (Highlights of foreign trade policy 2009-2014)

2009-08-28T15:33:00.000+05:30

To impart stability to the Policy regime, Duty Entitlement Passbook (DEPB) Scheme is extended beyond 31-12- 009 till 31.12.2010.

Interest subvention of 2% for pre-shipment credit for 7 specified sectors has been extended till 31.3.2010 in the Budget 2009-10.

Income Tax exemption to 100% EOUs and to STPI units under Section 10B and 10A of Income Tax Act, has been extended for the financial year 2010-11 in the Budget 2009-10.

The adjustment assistance scheme initiated in December, 2008 to provide enhanced ECGC cover at 95%, to the adversely affected sectors, is continued till March, 2010.

Support to Status Holders (Highlights of foreign trade policy 2009-2014)

2009-08-28T15:21:00.000+05:30

To accelerate exports and encourage technological upgradation, additional Duty Credit Scrips shall be given to Status Holders @ 1% of the FOB value of past exports. The duty credit scrips can be used for procurement of capital goods with Actual User condition. This facility shall be available for sectors of leather (excluding finished leather), textiles and jute, handicrafts, engineering (excluding Iron & steel & non-ferrous metals in primary and intermediate form, automobiles & two wheelers, nuclear reactors & parts, and ships, boats and floating structures), plastics and basic chemicals (excluding pharma products) [subject to exclusions of current beneficiaries under Technological Upgradation Fund Schemes (TUFS)]. This facility shall be available upto 31.3.2011.

Transferability for the Duty Credit scrips being issuedto Status Holders under paragraph 3.8.6 of FTP under VKGUY Scheme has been permitted. This is subject to the condition that transfer would be only to Status Holders and Scrips would be utilized for the procurement of Cold Chain equipment(s) only.

EPCG Scheme Relaxations (Highlights of foreign trade policy 2009-2014)

2009-08-28T14:51:00.000+05:30

To increase the life of existing plant and machinery, export obligation on import of spares, moulds etc. Under EPCG Scheme has been reduced to 50% of the normal
specific export obligation.

Taking into account the decline in exports, the facility of Re-fixation of Annual Average Export Obligation for a particular financial year in which there is decline in exports from the country, has been extended for the 5 year Policy period
2009-14.

Technological Upgradation (Highlights of foreign trade policy 2009-2014)

2009-08-28T14:36:00.000+05:30

To aid technological upgradation of our export sector, EPCG Scheme at Zero Duty has been introduced. This Scheme will be available for engineering & electronic products, basic chemicals & pharmaceuticals, apparels & textiles, plastics, handicrafts, chemicals & allied products and leather & leather products (subject to exclusions of current beneficiaries under Technological Upgradation 10 Fund Schemes (TUFS), administered by Ministry of Textiles and beneficiaries of Status Holder Incentive Scheme in that particular year). The scheme shall be in operation till 31.3.2011.

Jaipur, Srinagar and Anantnag have been recognised as ‘Towns of Export Excellence’ for handicrafts; Kanpur, Dewas and Ambur have been recognised as ‘Towns of
Export Excellence’ for leather products; and Malihabad for horticultural products.

Higher Support for Market and Product Diversification (Highlights of foreign trade policy 2009-2014)

2009-08-28T14:23:00.002+05:30

1. Incentive schemes under Chapter 3 have been expanded by way of addition of new products and markets.

2. 26 new markets have been added under Focus Market Scheme. These include 16 new markets in Latin America and 10 in Asia-Oceania.

3. The incentive available under Focus Market Scheme (FMS) has been raised from 2.5% to 3%.

4. The incentive available under Focus Product Scheme (FPS) has been raised from 1.25% to 2%.

5. A large number of products from various sectors have been included for benefits under FPS. These include, Engineering products (agricultural machinery, parts of trailers, sewing machines, hand tools, garden tools, musical instruments, clocks and watches, railway
locomotives etc.), Plastic (value added products), Jute and Sisal products, Technical Textiles, Green Technology products (wind mills, wind turbines, electric operated
vehicles etc.), Project goods, vegetable textiles and certain Electronic items.

6. Market Linked Focus Product Scheme (MLFPS) has been greatly expanded by inclusion of products classified under as many as 153 ITC(HS) Codes at 4 digit level. Some major products include; Pharmaceuticals, Synthetic textile fabrics, value added rubber products, value added plastic goods, textile madeups, knitted and crocheted fabrics, glass products, certain iron and steel products and certain articles of aluminium among others. Benefits
to these products will be provided, if exports are made to 13 identified markets (Algeria, Egypt, Kenya, Nigeria, South Africa, Tanzania, Brazil, Mexico, Ukraine, Vietnam, Cambodia, Australia and New Zealand).

7. MLFPS benefits also extended for export to additional new markets for certain products. These products include auto components, motor cars, bicycle and its parts, and apparels among others.

8. A common simplified application form has been introduced for taking benefits under FPS, FMS, MLFPS and VKGUY.

9. Higher allocation for Market Development Assistance (MDA) and Market Access Initiative (MAI) schemes is being provided.

Best place for Logistics operations in India

2009-08-17T20:46:00.007+05:30

Logistics sector asks for good location and infrastructure. Moreover it demands a place for manufacturing. Gujarat is one place which meets the criteria. This is the reason why we see Gujarat as the best place for logistics operations in India.

Gujarat is the first state to privatize the ports sector. The rate at which this sector is developing in the state is exemplary. In Information Technology too, the state is a front ranker. The administration is made more effective and speedy through e-governance, making settlement of issues faster. Agricultural Export Zones (AEZs) are being set up. Gujarat holds promise of laying the foundation for biotechnology, bio-informatics and industrial biotechnology.

Moreover, South Korea government's agency Korea Land Corporation(KLC) is going to set up a ‘Korean Industrial Park come Technology zone' in South Gujarat's Kalgam-Maroli Special Investment Zone(SEZ). Gujarat Government today signed a memorandum of association (MoA) with KLC in Gandhinagar.

The total length of roads (except municipal roads) in the /State was 74031 kms. at the end of March, 2002. Out of the total road length of 74031 kms. the length of surfaced roads was 70688 kms. (95.48 per cent). At the end of march, 2002 the total road length available per 100 sq.km. worked out to 37.77 km.

The State of Gujarat, located on the West Coast of India, has 1600 km. long coastline, representing a third of the nation's water front. Gujarat is strategically positioned to service the vast north and central Indian hinterland. The State has 40 minor and intermediate ports geographically dispersed across South Gujarat (13 ports), Saurashtra (23 ports) and Kachchh region (4 ports). One Major port of Kandla, is under the administrative control of the Central Government.

Strengths of Gujarat
· Leader in various industrial sectors, Chemicals, Petrochemicals, Drugs & Pharmaceuticals, Dairy, Cement & Ceramics, Textiles, Engineering and Gems & Jewellery.
· Gujarat’s State Domestic Product (SDP) rising at an average growth rate of 12.4% per annum in real terms (from 1994-2002).
· Gujarat achieved as much as 35% of augmentation in its power generation capacity during the period 1995-96 and 2000-2001.
· Gujarat in fact is one of the first few states in India to have encouraged private sector investment in the infrastructure.
· Gujarat accounts for almost 21% share in the export basket of India.
· Longest coastline of 1600 kms, dotted with 41 ports, 1 major, 11 intermediate and 29 minor ports.
· Country’s first private sector ports, Pipavav and Mundra, are already in operation. In addition, the liquid cargo(chemicals) handling port at Dahej is also set up in joint sector and made operational.
· Excellent road network – exceeding 74000 kms. The Ahmedabad-Baroda Expressway in Gujarat is now open for transportation.
· Highest number of Airports in India – 11 including an international airport in Ahmedabad.
· An extensive rail network connecting all major centers in the state.
· Largest producer of Salt and Soda Ash in the country.
· Largest grass-root Petroleum Refinery in the world operational at Jamnagar.

Why Indian Infrastructure not soaring?

2009-08-14T15:19:00.005+05:30

Recently published McKinsey Report on Indian Infrastructure in India states that the bottlenecks in awarding and executing Infrastructure projects in India could result into a huge loss up to $ 200 billion in Gross Domestic product in the next nine years (i.e. by 2017)

In the previous post “Boost Infrastructure to boost Indian Logistics” we had written that the agencies are not being able to execute the infrastructure project within the timeline. Reasons may vary but one thing can be said for sure that the lack of participation of the private players in the Infra projects planned by the government is one of the main reasons for the bottlenecks in implementation. McKinsey states that the major reason for this bottleneck is ‘problems with the land acquisitions’ but there are many areas where land acquisitions not required but the problem remains the same.

Government should be willing to reinforce Public-Private-Partnership model so as to give infra a boost particularly in the implementation part. However, in the budget 2009-2010, the Finance Minister Mr Pranab Mukharjee has stated that the Government would need to increase the investment and attract private investment in the sector. This should be up to 9 percent of the Indian GDP. He has also said that for the removal of the bottlenecks for speedy implementation of infrastructure projects to ensure that sufficient funds are made available for this sector, the government would try to attract private players for the implementation of the wide range of infrastructure sector like airports, ports, roads and even in railways through public private partnerships (PPP).

Lack of Investment in the sector is also a major concern. A study by a private agency published in January this year stated that the liquidity crunch and global financial crisis has dampened fresh investment announcements by domestic business leaders in the sector, as about $500 billion is required for financing infrastructure projects during the 11th Plan period. Although the finance minister has said that ensuring better finances, the Government has decided that IIFCL will refinance 60% of commercial bank loans for PPP projects in critical sectors, there is a growing need of strong participation of private players for the investment in Indian Infrastructure sector.

The sector is the base of many businesses and it needs to be improved by a collaborative approach by the government, private infrastructure companies, and Investment organizations.

Researches on 3PL market in India creating mess

2009-08-04T19:05:00.001+05:30

We can’t understand why and how researches on third party logistics market in india vary from organization to organization but for sure they creating mess.

Here are few findings by the individual organizations which need to be validated by the people of the logistics fraternity:

Frost and Sullivan
Considering that the most important logistics functions for Indian industries still are transportation and warehousing, which are likely to be outsourced to 3PL in increasing share, a high level of growth is estimated for the Indian 3PL market in the next 5-7 years. The Indian 3PL market, estimated at about US$890.3 billion in 2005, is expected to grow at a compound annual growth rate of 21.9 percent to reach US$3,556.7 million in 2012.
Link: http://www.frost.com/prod/servlet/market-insight-top.pag?docid=74102578

RNCOS
At present, the 3PL market is at a nascent stage of development, with multinational companies in all industries being the predominant users of these services. However, the domestic major companies in leading industrial sectors have also begun to follow the footsteps of their multinational counterparts, starting with outsourcing their basic logistics functions. The total revenue generated by 3PL players surpassed US$ 1.5 Billion in 2008 from mere US$ 890 Million in 2005.
RNCOS has identified the auto and IT hardware industry as the largest end-user industry for 3PL services. Other sectors that have shown substantial contribution to 3PL market and significant growth potential include FMCG, pharmaceutical and retail sectors. The market will generate revenue of close to US$ 4 Billion by 2012 and will result in more effective ways of implementing logistic operations in India.
Link: http://www.rncos.com/Report/IM186.htm

Infrastructure Today
Outsourced logistics, at just above one-quarter of the entire $90 billion Indian logistics market, is slated to grow at a compound annual growth rate (CAGR) of over 16 percent from 2007-10. (Infrastructure today)
Link: http://www.constructionupdate.com/products/infrastructuretoday/june2008/015.html

Rediff News
The growing adoption of the 3PL outsourcing model among Indian consumer electronics and durables manufacturers is expected to drive the growth of the 3PL market in this sector, which is estimated to reach $89.8 million in 2012.
Link: http://im.rediff.com/money/2007/jan/29bpo.htm

You must have recognized after going through this document that these all findings are altogether different from one another. We have nothing to say much. You need to validate the findings by your own.

Cheers!!

log4scm : All about Logistics and Supply chain sector in India

Third party logistics in India growing @ 28%

2009-07-31T18:28:00.001+05:30

The qualitative approach by companies towards outsourcing logistics activities and focusing on core comptencies is propelling Indian 3PL market

A recent report published by a research company indicates that the increasing focus on core business activities and improving infrastructure will drive the 3PL in future. During our forecast period (2009-2013) 3PL market in India will witness a CAGR of approx 28%.

It mentions the current market scenario of 3PL services in India can't be compared with that of developed markets like Japan and the US where usage of 3PL services is more than 50% in the overall logistic cost. But Indian market offers immense opportunity as compared to developed markets due to improving infrastructure like highways, ports, bridges and increasing connectivity, along with increasing importance of logistic services.

Reason behind the phenomenal growth of the third party logistics market in India is very easy to understand. Fierce competition, tight margins, and the need for multi-facility, multi-product line, and global operations are just some of the factors that require the companies to modify and optimize business processes, not just in functional areas, but across entire enterprise. Therefore focusing on own core competence, and looking for experts to take care of non-core activities is becoming a trend to cope up with the market competition. For instance, a manufacturing company is better off focusing on its manufacturing operations rather than spending a lot of time and money on distributing its products, which operation could be outsourced to another company. And this is what is happening in companies across industries. Particularly, logistics, especially warehousing and distribution, is one area being outsourced by global firms from third-party logistics providers.

Third Party Logistics has allowed firms to focus on core competencies and reduce the burden of taking care of logistics activities. The main benefit of having a third party logistics service provider is that the firms won’t have to bother about streamlining execution of their supply chain strategies. Key sectors with significant contribution to the logistics market where the firms have begun adopting third party logistics include the automotive, manufacturing, fast-moving consumer goods (FMCG), retail and healthcare sectors. All these sectors have resulted in overall India's 3rd-Party Logistics (3PL) market worth around S$30 billion.

3PL concept in India however has been not so old with companies having own large in-house logistics division spending huge sums of money. Thus to make them apart from the logistics activities is quite difficult. Some companies like reliance have started offering logistics services to other companies who had started their in-house logistics operations couple of years ago.

The 3PL is soaring! The need of the hour is to grab the opportunities by providing unique blend of services.

Boost Infrastructure to boost Indian Logistics

2009-07-30T20:22:00.001+05:30

The state of Logistics Infrastructure is very pathetic and needs to be improved by creating a sophisticated mechanism

In a seminar organized by Confederation of Indian Industry (CII), Mr. Ajay Shankar, Secretary, DIPP, Ministry of Commerce and Industry said that bringing down the logistics cost of 13% of the GDP now to a globally competitive 8% of GDP is itself the biggest challenge before the country. But he was focussed to warehousing sector when he said that bringing down logistics cost is creating business opportunity in logistics sector where warehousing is the key verticals. He missed the major issue which is very much responsible for the 13 percent logistics cost. Yes! The infrastructure.

There is a lot more to do for the enhancement of the condition of Indian Logistics Infrastructure which has been the biggest obstacle and been hindering the growth of the sector. For the last couple of years, however, the government has planned well to work on the betterment of the Logistics Infra but the agencies like NHDP failed to achieve the timeline. PPP model of the government worked well in some instances particularly in container operations of railways in the first phase of the bid when 15 private operators got license to run the trains. These operators invested a huge amount of money into the infrastructure setup. But the model in other sectors is still awaiting positive responses from the government and the private players.

Ok, Other side! Government’s dedication towards the improvement of rural infrastructure is somehow fruitful to the sector. Now the rural-urban linkage has been enhanced and the product is reading to end user with satisfactory time. Still some rural parts of the country are awaiting development in the condition of transportation and storage. These areas need to be looked upon immediately.

Everyone is aware of the pathetic condition of ports. JNPT is overcrowded. Other ports are too small to handle large volumes. The condition gets worsened when monsoon comes. Building new ports is taking time. Need to say more?

There must be a combined approach to address the issue. Not only the government but the private players can also play crucial role in improving the condition of the Indian logistic infrastructure. PPP model would certainly work. But an imperative mechanism is required to get the plans executed in a sophisticated manner...

Cheers!!
log4scm : All about Indian Logistics and Supply Chain

Time for SCM companies to go rural

2009-07-20T14:58:00.001+05:30

Thanks to the budget presented by the finance ministry, the rural sector is going to see tremendous growth in the months to come and thereby create opportunities for Supply Chain Companies

The rural demand for the urban products and rural production (particularly agriculture and allied sectors) are going to witness good growth in near future due the support of the finance ministry for the rural sector. According to the budget, Indian Agriculture Sector which was growing with merely 1.5 percent will achieve 4 percent growth rate. Moreover, governement's commitment to boost up indian rural infrastructure will somehow add value to it.

Focus on delivery mechanisms and streamlining of fiscal framework and the increased investment in NREGA and JNNURM by emphasizing both on much-needed macro infrastructural development and the basic alleviation of the common man, with a focus on inclusive growth will positively impact a large number of consumers and this should give a strong boost to rural demand. Increased outlay on social infrastructure and reduction in tax burden on individuals is likely to result into increase in disposable income, which should, in turn, positively impact the demand for the consumer electronics, FMCG and others sectors.

Well, the status of rural supply chain and public distribution system is very weak. Due to lack of storage facilities, almost 25 per cent of the (agricultural) produce is wasted. This is estimated at even 30-40 per cent for many agri-commodities; in such a scenario, there is clearly an urgent need for focused efforts. Expert Committee on Strengthening and Development of Agricultural Marketing have pegged the investment requirement in the sector at Rs 5,400 crore for dry storage and Rs 27,000 crore for cold storages. The storage capacity in the country against production of vegetables and fruits stands at 12 per cent, against the international average of 50 per cent.

However, with enhanced rural infrastructure this could be one of the potential business for the supply chain companies including warehousing companies and others. Sensing this opportunity, some companies including Shree Shubham Logistics, Adani Logistics, etc. have started their operations for the rural parts of the countries. Now time has come to look at Rural India.

Cheers!!
log4scm: All about Indian Logistics and Supply Chain

A start to Serve Indian Logistics and Supply Chain Sector

2009-07-18T17:36:00.000+05:30

Hi all

This blog is our attempt to serve the Indian Logistics and Supply Chain Sector with a robust commitment. Our every content will be dedicated the Industry and its people
Cheers!!
log4scm: All about Logistics and supply chain in India