SCANDINAVIA\\\


Europa Worldwide boss Andrew Baxter says he will adopt a “wait and see” approach to his Scandinavian business after its long-standing partner, Ontime Logistics was acquired by rival DSV. He told FBJ: “For the moment we will


continue with DSV; however I suspect that DSV may aspire to co-operate with their own organisation in the UK, so we will see what happens. But Europa has a unique 48 hour overland product into Sweden, Norway and Denmark, and we will of course do whatever is required to protect and grow our market position.” Business in Scandinavia “is now running quite OK”, he continues. “Of


course, there was a dramatic drop at the start of the economic crisis. However this largely recovered in 2010, and has been quite stable ever since. Having said that, volumes have still not recovered to pre crisis levels - they remain 10-15% lower than before. “Sweden, Norway and Denmark


have held up very well in comparison to other developed economies. They have avoided the chaos that has surrounded the Eurozone, which has been a great advantage. It has allowed them to focus upon their own economic challenges rather than those of other countries. Norway, of course has a special economic position due to its oil revenues, but Sweden


Waste fuels DSV growth


DSV Air & Sea says it is seeing strong eastbound volumes (export from UK) to all areas of Scandinavia due to a growing requirement for Refused Derived Fuel (RDF) movements, mainly to Denmark and Sweden. This traffic is currently running at around 7,000-10,000 loads a year from all areas of the UK. Growing automotive flows add further to the eastbound volumes.


Over the last two or three years, exports from the UK to Scandinavia have continued to grow while westbound volumes (imports from Scandinavia into the UK) have shown some decline. While Scandinavian economies


are historically strong, production sites continue to be moved from Scandinavia to more lower labour cost areas of Europe.


and Denmark have also done well considering the global climate.” Baxter adds that the market


is currently dominated by large multinational freight companies, such as DSV, DHL and DB Schenker. “However I believe this situation will change over time. A lack of options for customers leads to opportunities for entrepreneurial independents, who can offer a more personal level


Issue 8 2013 - Freight Business Journal


Europa bides its time in the north


of service. Therefore I would not bank upon the existing situation prevailing in the medium term.” Environmental issues are


extremely important: “Customers in these countries are certainly more focused upon these points than in the UK. For example it would be very difficult to do business in Sweden without the ISO 14001 environmental accreditation, which is not the case in


the UK today, even if we are moving in that direction.” This is echoed by DSV which


says: “Carbon footprints and waste control are always a consideration when appointing or awarding carrier contracts along with accreditations such as ISO140001. Waste carrier approvals are no longer a preference but a necessity to continue to be a strong operator in this market.”


27


The perfect choice FOR SCANDINAVIA


Teesport wins new short-sea link


PD Ports has handled the first two 800teu ships on a new weekly MacAndrews route to Iberia,


Sweden and Poland,


following the CMA CGM short sea subsidiary’s decision to add the north-east port to its existing Scan- Baltic service. Frans Calje, PD Ports’ managing


director unitised, said it would greatly enhance the network of services for the region’s importers and exporters.


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