Monday, September 22, 2014

A Bunch of Freight Forwarding and Logistics Groups Expand Supply Chain Offerings

Asia and Oceania are the Targets for Various Eastern and Western Interests
Shipping News Feature

ASIA – OCEANIA – Several significant developments in the past few days with regard to the expansion of both Eastern and Western based supply chain groups’ activities across continental Asia whilst Hong Kong headquartered Kerry Logistics has reinforced its freight forwarding offerings in Australia and New Zealand with a pair of new joint ventures.

Family based outfits have made significant moves with OIA Global, a packaging and shipping specialist owned by Indianapolis based LDI, obtaining the majority of stock in its Vietnamese joint venture, TriMAX, and forming a new company OIA Global Vietnam Co., Ltd. OIA Global originally formed TriMAX Logistics with operations in Ho Chi Minh City and Hanoi some ten years ago and T.H. Lee, General Director of OIA Global Vietnam commented:

"Converting this significant operation to an OIA Global entity in Vietnam realises our long-term vision to grow in geography, customer base and strengthen our ability to serve our customers' needs in one of the fastest growing and most important manufacturing markets in the world.”

Meanwhile two other family owned concerns, AFL Pvt. Ltd., and Dachser, which started a collaboration in India in 1996 has seen the German company take over its partner’s shares in the three countries, India, Bangladesh and Thailand, in which they have been operating of late. The two companies jointly developed the regional markets in India from 2007 to date by founding a joint venture in India, and they also established the additional country organisations, making them part of Dachser’s globally linked logistics network. In 2011, the company was renamed Dachser India. In August 2014, Dachser acquired all of the shares in India and Thailand owned by Indglobal, an affiliated company of AFL, and a majority of its shares in Bangladesh.

In India, where the local head office is headquartered in Mumbai, the logistics provider maintains a presence with around 500 employees at 27 locations. Its core business revolves around air and sea freight services as well as contract logistics. In Bangladesh, Dachser has a presence at two locations, while in Thailand, its office in Bangkok takes care of Dachser customers.

In recent years, Dachser says it has made huge investments in the Asia Pacific region, establishing subsidiaries in Indonesia, Singapore, Thailand, Vietnam, and Malaysia and expanding its activities in Greater China and Korea. Thomas Reuter, COO Air & Sea Logistics at Dachser, said of the move:

“This was an important step toward strengthening our intercontinental network and toward being able to work even more closely with our customers in these promising growth markets.”

DHL Global Forwarding has also made further moves to strengthen its presence with an extension of its China – Europe rail freight services. Having introduced temperature controlled rail wagons earlier in the year the company now will run a new scheduled block train route between Suzhou and Warsaw with a fourteen day transit time complementing the existing rail cargo routes, the daily Shanghai to Europe service and the weekly block train service from Chengdu to Europe via Kazakhstan.

Kerry Logistics has created a partnership with Lead Logistics of New Zealand to form Kerry Logistics (Oceania). The aim is to combine Lead Logistics’ local management and competence, with Kerry Logistics’ industry expertise and extensive global network, the joint ventures aim to tap into the strong trade between Asia and Oceania, as well as the Trans-Tasman trade between Australia and New Zealand.

Kerry Logistics (Oceania) will offer services in air and ocean freight, customs brokerage and domestic forwarding. With the new joint ventures, Kerry Logistics says it is now one of the few logistics companies with the ability to provide daily Trans-Tasman airfreight services in the market. William MA, Group Managing Director and Executive Director of Kerry Logistics said:

“These joint ventures represent another significant milestone in our development in Oceania. It not only links the Trans-Tasman market to our Asian and global network, but also enhances our service capabilities in the region. Looking ahead, we will continue to strengthen our IFF network expansion through both organic growth and joint venture acquisitions.”