Hamburg Sud enters east-west trades via UASC prior to O3 alliance launch
The “global co-operation agreement” slot-exchange between Hamburg Sud and UASC launched at the beginning of this month, with the German carrier taking slots on four of UASC’s Asia–US west coast loops and one US East Coast loop, as well as two Asia–North Europe services and one service to the Mediterranean.
The slot agreement has commenced ahead of the mid-January first sailing of an Ocean Three (O3) alliance vessel, whereby UASC will …
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Air cargo stakeholders urge collaboration to ‘add value’ for pharma shippers
Each stakeholder in the air cargo pharmaceutical supply chain should work collaboratively to create an integrated product, the Life Science and Pharmaceutical conference in London concluded yesterday.
In an open, honest, and at times impassioned debate, expertly moderated by Tony Wright, ...
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Jan Westerhoud steps down as chief executive of Rotterdam operator ECT
Rotterdam’s largest container terminal operator, Europe Combined Terminals (ECT), has announced that chief executive Jan Westerhoud will step down at the beginning of January to enjoy retirement.
Both Mr Westerhoud and Hong Kong-based Hutchison Port Holdings (HPH), which owns 98% of ...
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FedEx profit rises less than expected on plane costs
Maintaining its aircraft were “a drag” for FedEx and pulled down its bottom line, according to its second quarter results announced this morning. Earnings increased less than expected by analysts, although the express company has benefited from falling fuel prices. Freight revenue grew 11%, express was up 3% and its ground division rose 8% to give it an overall second quarter profit of $616m on revenues of $11.9bn.Read more...
McDonald’s Japan flies in fries as US ports crisis stops chips by ship
McDonald’s has sent 1,000 tonnes of frozen french fries by air to Japan, as the country’s outlets face running out owing to the US west coast port congestion. Clearly, however, air is not an economic option for the fast food outlet, and it has decided to cut portion sizes instead of using more air freight. Some 1,600 tonnes of fries are being sent from east coast ports, but won’t arrive until late January. The story has propelled the supply chain into the wider media. In fact, you can listen to The Loadstar managing editor, Gavin van Marle, talking to the BBC World Service on this same issue, here (about 14 minutes in).Read more...
Introducing the MSC Oscar – the world’s largest container ship
Change really must be underway at Mediterranean Shipping Co. What was previously the most secretive of container shipping lines has published a two minute video of the construction of what is now the world’s largest box ship. At 19,224teu, and with a draft of 16 metres, the vessel will be deployed by the line in the 2M alliance it has formed with Maersk. The MSC Oscar is owned by China’s Bank of Communications and on long-term charter to MSC.Read more...
FedEx to buy product-return firm Genco in e-commerce push
One of logistics companies that has pioneered reverse logistics and customer returns processes for ecommerce retail sector is to be acquired by FedEx in what analysts estimated was a $2bn deal. US firm Genco is estimated to have annual revenues of $1.6bn and ebitda of just over $200m per year, and FedEx said it would keep the existing management team in place – no bad move for a company that claims it handles the returns logistics for seven of the top 10 US retailers.Read more...
Big-ship economics suffer from lower fuel price
There seems no stopping the plunge in oil prices, Brent Crude has now fallen below $60 per barrel and analysts have given up predicting a price floor for the hitherto ‘black gold’.
As a consequence heavy fuel oil is now around $300 per tonne – about half the price of six months ago – and ocean carriers are of course accepting the considerable cost decrease with open arms.
In its Container Insight Weekly, Drewry analyses the impact on the bottom line for carriers and concludes that those container lines with a big-ship profile stand to see a lower fuel cost reduction in percentage terms on account of their existing higher per slot fuel efficiency, thus suggesting that the economics of the ultra-large containerships are under question.Read more...
- Asia-Med trade to see huge capacity increases from 2M and Ocean Three
- Air freight will be critical to new trends in pharmaceutical supply chains
- Beirut court reverses Johnny Saadé victory over CMA CGM’s Jacques Saadé
- Pharma shippers consider sea freight – but insist it’s not all about price
- Low bunker prices may be threatening the competitiveness of new eco-boxships
- Capacity crunch down south means a cargo boost for north-of-England ports
- Saadé legal battle flares up again as a court orders freeze of subsidiary’s assets
- Bigger ships pose a new threat to the already congested ports in West Africa
- Asia-Europe container shipping rates on the up, while carriers downsize GRI plans
- Biggest ever US logistics property deal as GLP and GIC acquire IndCor Properties