“Over a BILLION USD Collected over the past four years for our clients”
“More than 400 employees stationed globally”
Maersk and Alibaba join forces
(Vía Splash 24/7) In a revolutionary first for container shipping, Denmark’s Maersk Line has teamed up with Alibaba, China’s online purchasing equivalent to Amazon. Chinese customers will now be able to book space on Maersk ships, a first for the industry and one that potentially removes many freight forwarders as middlemen. Maersk told Reuters today that it had begun offering the service to Chinese shippers on Alibaba’s OneTouch booking website from December 22. Acquired by Alibaba in 2010, OneTouch is aimed at small and medium-sized Chinese exporters with online services such as customs clearance and logistics. Source: http://splash247.com/maersk-alibaba-join-forces/
5 things to know about demurrage and detention charges
We give you the tools to understand and differentiate these two terms of the shipping industry: They are NOT the same thing: As they are both terms associated with the shipping container use, people tend to get confused about each word, but there’s a difference -Demurrage: The charges will be applied when the customer holds the container inside the terminal for longer than the agreed free days. -Detention: The changes apply to customers that hold the container outside the terminal longer than the agreed free time. Free time, Detention & Demurrage charges may vary from one country to another and from one company to another: You should always check the terms and conditions of the contract with your shipping line to get information about the free days and tariffs. Reefer and dry cargo usually have different rates. For demurrage, the charges start with the first day (calendar days) after free time expires. For detention, the free days start on the date the container leave the terminal gate. Free time days can be extended as per approval of the shipping line. You can also request it to your freight forwarding company. You could incur in port storage charges: If the container stays at the port facilities for longer than the free time (The free days and charges vary for each port), the charges are levied to the shipping line and the shipping line recovers the cost from the consignee. TIPS: Stay ahead of schedule: Knowing your free days in advance, having all your shipping document ready to use and keeping a good communication with your customs broker or freight forwarder will help you avoid these unplanned additional charges. Download our free app VecoGO! for clients and consignees to get all the information about free days, demurrage and detention charges on your smartphone. Sources: http://www.howtoexportimport.com/Difference-between-Demurrage-and-Detention-in-impo-132.aspx https://excelsior.ph/2016/10/19/importer-tips-avoid-shipping-storage-demurrage/ http://shippingandfreightresource.com/difference-between-storage-and-demurrage/
Copenhagen unveils new container system
Copenhagen Malmö Port (CMP), the container terminal in the Copenhagen Port, has announced the launch of a new logistics system that will provide a better, faster service in the future of the port’s customers. The new Terminal Operating System is called PIC and will allow the clients to connect their own processes with the terminals system and make available all the information about transports/loads for all parties in the transport chain. According to a press release, the CPM’s system went live this morning in the container operations of the Copenhagen port. Povl Dolleris Røjkjær Ungar, COO Port & Terminal Operations in the Copenhagen Malmö Port showed his excitement for the new system´s implementation: “We have been looking forward to the implementation, and are delighted that it is now under way. We are convinced that PIC TOS will enable CMP to offer both customers and collaborative partners even better and more efficient handling in the terminal in the future,” said the COO. PICit, the system’s supplier, will be on site to make sure the operations run perfectly during the transition period: “A large number of parties are affected by a TOS implementation, and it is important that we deliver a satisfactory transition from implementation project to operation which satisfies everybody involved”, says Henrik Højen Andersen, CEO, Sales & Customer Services, PICit. Additional personnel will also be on-site, according to Povl Dolleris Røjkjær Ungar: “As with all changes of the system, some challenges can arise in the initial phase, but we are well prepared and hope that any delays in the coming days will meet with understanding. We will do all we can to ensure that the transition is as smooth as possible for our customers and collaborative partners.” CMP is one of the biggest port and terminal operators in the whole Nordic Region and one of the largest Northern European cruise-ship ports. The company is the major port operator in the Øresund Region and meets demands for the transport of consumer goods, new cars, aviation fuel, building materials, passengers, etc.
Drones will track ship emissions in Europe
Martek Drones, a drone developer based in Rotterdam, won a £8.5 million contract to send drones to measure the sulphur and CO2 levels emitted from ships in Europe’s seas. The European Maritime Safety Agency will use data provided by Remotely Piloted Aircraft Systems (RPAS) to improve environmental surveillance, due to the recent entering into force of the new limits for sulphur content. Martek Drones, part of the Martek Marine Technology Group, won one of several framework contracts launched by EMSA to provide “Remotely Piloted Aircraft System (RPAS) services in the maritime environment”. The technology company has developed a remotely piloted aircraft that can sample gases from a vessel’s emission plume by using a payload of electro optical, infrared imaging, and gas emission systems. Automatic systems are used to track and identify ships. According to Martek Drones, the RPAs can operate over 50 kilometers from ground station with continuous video streamed back to ground station and EMSA members. The drone monitors SOx, NOx and CO2 levels to determine possible breaches of EU law on the sulphur content of a ship’s fuel. The drone has also a design that can withstand storm-force wind and heavy rain, snow and salt spray. Paul Luen, Martek Group, CEO further explained that drone usage can change the world: “We’ve worked hard and invested big to pioneer the maritime application of drone technology in the last 3 years. This EMSA contract allows us to combine our original ‘world first’ of ship SO2/CO2/NOx monitoring, with our unique drone platform to deliver another world first. We’re determined to ‘change the world using drones’ and this is the first of many applications which we intend to pioneer. We have made a real commitment to drone technology and envisage them bringing huge benefits to maritime operations and this tender allowed us to marry this capability with our world leading emissions monitoring pedigree.” The technology developed by Martek could be used in an emergency for other purposes if is requested by EMSA members, the European Commission or any other EU agencies. Sources: http://www.green4sea.com/new-agreement-to-use-drones-for-ship-emission-monitoring/ http://www.imeche.org/news/news-article/drone-monitors-ship-emissions
CMA CGM acquires one of Brazil’s container shipping leaders
CMA CGM and Maersk Line announced that they have entered into a binding agreement whereby CMA CGM would acquire Mercosul Line, one of the leading players in Brazil’s domestic container shipping market. With the addition of Mercosul Line, CMA CGM expects to strengthen its service offering to and from South America, most notably in Brazil. The French group intends to develop intra-regional sea transportation links and complementary services such as logistics. Rodolphe Saadé, Chief Executive Officer of CMA CGM, declared: “The acquisition of Mercosul represents a milestone in CMA CGM’s development strategy in South America. It is a well-managed company and we will leverage this platform to expand our footprint and service offerings to and from Latin America, seizing opportunities linked to the high growth prospects in this region. As a result, CMA CGM will be able to propose complete door-to-door services continue providing best-in-class services to its customers.” “Mercosul is a highly respected and well-run company with an excellent fleet and customer value proposition. Its dedicated talents are well regarded both internally and externally. CMA CGM is a good fit for Mercosul and we are confident that they will continue to develop the company going forward,” says Søren Toft, Chief Operating Office, Maersk Line. The deal is subject to Brazilian regulatory approval and the closing of Maersk’s Hamburg Süd acquisition. At the earliest, the integration of Mercosul within CMA CGM will start at the same time as the Hamburg Süd integration, which is expected in Q4 2017. Until then, Mercosul Line will continue business as usual. The parties have decided not to publicly disclose the price of the sale. About Mercosul Line Launched in 1996 and acquired by Maersk in 2006, Mercosul Line is a specialist in the Brazilian internal transport market. Its fleet of four ships operates in Brazil and South America. Mercosul employs 92 land based staff and 160 seafarers. The company reported revenues of 128 million USD in 2016 and offers strong profitability. About CMA CGM CMA CGM, founded by Jacques R. Saadé, is a leading worldwide shipping group. Its 445 vessels call more than 420 ports in the world on all 5 continents. In 2016, they carried 15.6 million TEU (twenty-foot equivalent units). Now headed by Rodolphe Saadé, CMA CGM enjoys a continuous growth and keeps innovating to offer its customers new maritime, terrestrial, and logistical solutions. With a presence in 160 countries and through its 600 agencies network, the Group employs 29,000 people worldwide, including 2,400 in its headquarters in Marseilles. Source: https://www2.maerskline.com/news/2017/06/14/cma-cgm-acquire-mercosul
Innovation in small ports
Over the past decade, the maritime industry had to take quicker actions to adjust to the fast development of technology in the sector. According to Nehama Bikovsky, President of Maritime Consulting Enterprise, ports are an essential factor in the supply chain, but a large number of Caribbean Ports have not made any investments in the last years to catch up with this reality. Companies like Veconinter could provide innovative solutions to ports of the Caribbean communities with relatively low cost. We invite you to read the full article “Innovation in small ports” by Nehama Bikovsky on the October edition of The PortSide Caribbean Magazine.
CMA CGM launches new mobile app for customers
CMA CGM app allows its customers to access schedules and plan their shipments The French shipping group CMA CGM marks a further step towards the digitalization of shipping industry with the launch of the new version of its mobile application. The app will allow the carrier’s customers to track shipments, access to all line schedules and the latest company news. The new version is a redesign to make the navigation more intuitive and easy to use. Another important feature is the possibility to get access to customer services. Michel Foulon, Vice President for CMA CGM’s Direction of IT Systems said: “The first version of the CMA CGM application was downloaded more than 16,000 times since its launch in 2015. This new version allows customers to have in their hands new tools that greatly ease their shipments of goods.” The application also allows customers to: Follow their shipments from the port of loading to the port of unloading Access schedules of specific ships or trips in order to plan their shipments Obtain one or more shipping routes between two points, selected optimally by the app out of more than 200 shipping lines and more than 400 vessels from the Group’s fleet Follow CMA CGM Group’s corporate news including new services and rate information This innovation is available on Android and IOs systems and exists in five languages: English, French, Chinese, Spanish and Portuguese. Video: CMA CGM To download the app, visit CMA CGM’s website: https://www.cma-cgm.com/products-services/ecommerce/mobileapp
TOP shipping container books you should read:
We looked for interesting books about shipping containers that every fan should read with their synopsis in Amazon. These books emphasize the importance of this box for the entire world economy. Here’s the list for you to decide your next reading: The Box: How the Shipping Container Made the World Smaller and the World Economy Bigger AUTHOR: Marc Levinson Published on the fiftieth anniversary of the first container voyage, this is the first comprehensive history of the shipping container. It recounts how the drive and imagination of an iconoclastic entrepreneur, Malcom McLean, turned containerization from an impractical idea into a massive industry that slashed the cost of transporting goods around the world and made the boom in global trade possible. Ninety Percent of Everything: Inside Shipping, the Invisible Industry That Puts Clothes on Your Back, Gas in Your Car, and Food on Your Plate AUTHOR: Rose George Rose George, acclaimed chronicler of what we would rather ignore, sails from Rotterdam to Suez to Singapore on ships the length of football fields and the height of Niagara Falls; she patrols the Indian Ocean with an anti-piracy task force; she joins seafaring chaplains, and investigates the harm that ships inflict on endangered whales. Shipping Container AUTHOR: Craig Martin The shipping container is all around: whizzing by on the highway, trundling past on rails, unloading behind a big box store even as you shop there, clanking on the docks just out of sight…. 90% of the goods and materials that move around the globe do so in shipping containers. It is an absolutely ubiquitous object, even if most of us have no direct contact with it. But what is this thing? Where has it been, and where is it going? Craig Martin’s book illuminates the “development of containerization”-including design history, standardization, aesthetics, and a surprising speculative discussion of the futurity of shipping containers. Container Atlas: A Practical Guide to Container Architecture AUTHOR: M. Buchmeier (Editor), H. Slawik (Editor), S. Tinney (Editor), J. Bergmann (Editor) This book presents a wide range of projects in container architecture – a contemporary architectural phenomenon. It features container structures used as pop-up stores and temporary exhibits as well as sophisticated housing and office spaces that provoke and inspire while setting new standards in functionality and aesthetics. But the book is not only visually inspiring. Because it documents plans, describes associated costs, and suggests concrete solutions for common problems, it is a practical reference for architects, planners, and cultural activists as well as event and marketing managers, to guide them in deciding what types of containers are best suited to their upcoming projects. Box Boats: How Container Ships Changed the World AUTHOR: Brian j. Cudahy Cudahy tells this complex story easily, starting with Malcom McLean, Pan-Atlantic’s owner who first thought about loading his trucks on board. His line grew into the container giant Sea-Land Services, and Cudahy chartsits dramatic evolution into Maersk Sealand, the largest container line in the world. Image: Pexels
Hyster introduces innovative system to obtain container’s VGM
Hyster, an American company that specializes as a manufacturer of material handling equipment, such as reachstackers and industrial forklift trucks, introduced two systems to obtain the Verified Gross Mass (VGM) with the objective of support the logistics industry in the comply with SOLAS regulations. The innovations were presented at the event Hyster® HUB 2016, that was held from 4th – 7th October in Weeze, Germany. The clients had the opportunity to experience the company’s products and services. According to Hyster, the systems, Static and Static+ are easy to use. The operator should press a button, which sets a pre-programmed cycle to obtain de verified gross mass of the container. Then, inside the cab, the operator input container identification to obtain the verified gross mass with the corresponding date. The information can be saved to a USB unit or printed using an in-cab printer. Some models with 3G and Wi-Fi technology will be able to send the information directly to the Terminal Operating System. The systems are based on technology that complies with the International Organization of Legal Metrology (OIML). Static and Static+ systems are designed to work with Hyster reachstacker that are up to five years old and will work in countries where “Legal for Trade” regulations apply. With the Static*, the operator should lift the container for five seconds on a flat surface to obtain the VGM. The main advantages of using these weighing systems for containers are: It doesn’t disturb the workflow because the VGM is obtained at the same moment the container is handled. In the second place, the system is highly accurate. According to the manufacturer, it has a weighing error of less than 1%. Sources: http://container-mag.com/2016/10/10/hyster-introduces-weighing-systems-reachstackers/ http://www.hyster.com/emea/es%E2%80%90es/red%E2%80%90social/comunicado%E2%80%90de%E2%80%90prensa/los-10-puntos-principales-a-destacar-del-evento-hub-2016-de-hyster/
Foldable Shipping Container. The solution of the future?
Foldable shipping containers have been developed for the past few years in order to reduce the inconveniences of dealing with a large amount of empty containers that accumulate in the port facilities. The cost of transport for empty or full containers are not very different, which means that moving the unloaded containers represent a significant cost, adding the extra CO2 emissions. With that in mind, one of the companies that decide to take a step further to solve this situation was Holland Container Innovations, based in Netherland, which began its project as a start-up in 2008. The company designed a 40’ HC foldable container that could reduce its volume by a 25%. In March 2013, HCI obtained the ISO certification and started the production in Asia, with the name 4Fold. In Spain, the firm Navlandis developed another project to create a prototype of a foldable 20’ container called Z Box. The container reduces the storage space by 80% and folds in a “Z” shape. Navlandis says that a 25% of all shipping containers are now empty. Consequently, their solution allows decreasing by 50% the time of storage. Photo: Navlandis ZBox containers can be collected in sets of 5 in the same space that a regular container would occupy, which reduces operations costs by 50% according to the company: “This container will have the same resistance than traditional containers. Additionally, it will be possible to manipulate the units with the same port equipment and with the minimum of human resources, which will make operational costs more competitive,” said Miguel Navalón, CEO of Navlandis. In the US, Staxxon has developed a shipping container that folds into an accordion shape instead of horizontally, which allows the units to be collected in sets of 5 and still meet the ISO standards requirements. This technology saves between $100 and $125 per unit and $500 for 5 units set in transport costs. The company also ensures that these foldable containers are easier to maintain and repair. Photo: Staxxon Are foldable shipping containers the solution for shipping’s future? For more information visit: http://www.navlandis.com/ http://hcinnovations.nl/4fold/ http://staxxon.com/ Sources: http://www.finchandbeak.com/1039/foldable-containers-revolutionary-logistics.htm
Top 20 Latin American ports 2015
The Economic Commission for Latin America and the Caribbean (ECLAC) has already published its annual ranking of the 20 leading ports of the Latin American region, where the Port of Santos got the first place, followed by Colón and Balboa, both located in Panama. According to the list, that takes into consideration 120 ports of the region, the containerized cargo movement grew up 1.7% compared to last year. Santos moved about three and a half million TEU’s, which represents 600,000 TEU’s more than last year. The Panamanian port of Colón increased by 300.000 TEU’s, followed by Balboa. Even though it exceed the three million TEU’s, it was not enough to keep last year’s first place. Colombia was one of the six countries where a two-digit rise was registered (13.1%) together with Nicaragua (24.4%), Barbados (10.3), Saint Vincent and the Grenadines (11.3%), Monserrat (11.7%) and Anguilla (27.7%). In South America, Ecuador, Peru and Argentina reached one of the top 10, while in the North of the continent, only Mexico made it to this category, getting the fifth place. In the Caribbean, the Port of Kingston (Jamaica) and Freeport (Bahamas) were notable. They were also included between the first ten ports of 2014. CEPAL also highlighted the negative effect on the drop of the commercial activities in Brazil, Peru, Puerto Rico, Trinidad & Tobago and Venezuela on the region’s economic growth. However, the report emphasizes Ecuador’s growth (6.3%) and Buenaventura in Colombia (6.6%). In terms of container traffic and volume, 2015 experienced low economic growth, about 1.1% according to Alphaliner. Some of the possible causes are theincrease in manufactured goods vs. raw material transported in containers, a reduction in the size of manufactured products, the stabilization of bulk cargo conversion to containerized cargo, among others.
Hapag-Lloyd and UASC join the wave of consolidations
Hapag-Lloyd and United Arab Shipping Company (UASC) announced a business combination agreement to create “The New Hapag-Lloyd” with a fleet of 237 vessels. With this new deal, the German-Chilean company Hapag-Lloyd gets a place between the five largest container shipping lines in the world with an annual turnover of approximately $1.2 billion. “This strategic merger makes a lot of sense for both carriers – as we are able to combine UASC’s emerging global presence and young and highly efficient fleet with Hapag-Lloyd’s broad, diversified market coverage and strong customer base,” said Rolf Habben Jansen, CEO of Hapag-Lloyd. The deal will also give Hapag-Lloyd access to six 18,800 TEU vessels and eleven newly built 15,000 TEU ships which will create one of the most modern and efficient vessel fleets in the industry. The merger is expected to be complete by the end of 2016 and will play a major role in THE Alliance, consisting of Hanjin, Hapag-Lloyd, K-Line, Mitsui O.S.K Lines, Nippon Yusen Kaisha and Yang Ming. This mega-combination will begin its operations in April 2017 and will cover all East-West trade lanes including Asia-Middle East/Arabian Gulf and Red Sea. “Hapag-Lloyd and UASC now take the next step to further consolidate and shape the liner shipping industry. The new transaction is strengthening not only our market position, but also our service portfolio. The merger will create annual net synergies of at least $400 million and save a significant amount of capital expenditure for the company,” said Michael Behrendt, Chairman of the Supervisory Board of Hapag-Lloyd. The new company’s headquarter will remain in Hamburg, Germany. Chile’s CSAV, the City of Hamburg and Kuehne Maritime will remain controlling shareholders while UASC’s majority shareholders, Qatar Holding, and the Saudi Public Investment Fund (PIF), will become major shareholders in the new group, holding 14 and 10 percent respectively. Sources: http://www.reuters.com/article/us-hapag-lloyd-merger-uasc-idUSKCN0ZY0RP http://www.maritime-executive.com/article/hapag-lloyd-announces-uasc-merger http://splash247.com/hapag-lloyd-and-uasc-sign-merger-agreement/
GateHouse launches cloud service for live tracking of loads and ETA calculations
The Danish software firm GateHouse Logistics has developed a cloud solution that combines satellite and land-based systems to provide real-time tracking of loads port-to-port. According to the company’s website, GateHouse Logistics is a subsidiary of the GateHouse Group and specializes “in supply chain technologies for the coming fourth industrial revolution: Industry 4.0.” The new cloud service called ghVessel collects vessel AIS (Automatic Identification System) broadcast signals from satellite and land-based systems to calculate estimated time of vessel arrivals of loads at sea. The technology is addressed to manufacturers, cargo owners, logistic service providers, container owners and all other players in the supply chain. “Traditional ocean freight Electronic Data Interchange (EDI) often has days of latency between transmissions and is no longer fit for the dynamic logistics industry,” says Jesper Bennike, CEO, GateHouse Logistics. “ghVessel brings immediacy and transparency of load data to ocean freight logistics.” With only the name of the vessel carrying a specific load, the system shows the arrival time at the port at anytime and anywhere through a web portal or directly integrated into a business system. Logistics providers will also be able to view the real-time location and to calculate an ETA (Estimated Time of Arrival) at the next port. Courtesy: GateHouse Logistics The ghVessel service calculates next-port ETA based on years of historical data and typical vessel behaviour combined with information found in the AIS transmission, as says the company’s press release. Among the features of this software, you will find: Arrival monitoring Notifications and alarms ETA updates Vessel AIS Data For further information, please visit GateHouse website
Japanese merger will control 7% of the world container-shipping trade
Three of Japan’s largest shipping lines announced they would merge their container shipping operations to create a company that will control 7 percent of the global container-shipping trade, according to a joint statement. Nippon Yusen KK, Mitsui O.S.K. Lines Ltd., and Kawasaki Kisen Kaisha Ltd. decided to join this trend in the shipping industry in order to face a 2017 year full of critical predictions and avoid a potential bankruptcy situation, like Hanjin’s current landscape. “With joint shipping and alliances, the scale of our operations and business styles, we have many things in common,” the shipping lines said in a joint statement. “We thought it would be easier to utilize each others’ strengths this way.” The combined entity will be the world’s sixth-largest player with about 2 trillion yen ($19 billion) in sales and expects to start operations by April 2018 with 256 vessels, according to the statement. “The way the industry is going, combining their operations is a good thing,” said Rahul Kapoor, a director at Drewry Financial Research Services Ltd. in Singapore. “China has combined its two shipping lines. The Japanese need to combine to survive in this environment.” Greg Knowler, and maritime and trade expert at HIS Markit, said the news are not a surprise for the industry since the three shipping lines reported losses recently: “The decision by the three Japanese carriers to merge their container shipping businesses does not come as a complete surprise as these carrier lines have reported huge losses in some of the past few quarters,” said Knowler. According to Bloomberg, on Monday these three companies shared their predictions for next year, revealing a forecast of operating losses: Nippon Yusen expects a loss of 25.5 billion yen, Kawasaki Kisen 44 billion yen and Mitsui OSK 15 billion yen. The Japanese merger will be the largest container shipping company after China Cosco Shipping Corp. Sources: http://www.bloomberg.com/news/articles/2016-10-31/japan-s-largest-shipping-lines-said-to-brief-on-container-merger http://www.wsj.com/articles/japans-largest-shippers-to-merge-container-operations-1477900008