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Increase in forwarder M&As likely, says Jeffries
IN BUSINESS There is a growing “performance divide” in freight forwarding based on differences in consumer/product mix, IT functionality and
management which is likely to lead to a pick-up in mergers and acquisitions, according to a report by Jeffries International. Recent investment in innovation and technology by a number of large third-party logistics providers may limit the opportunities for digital start-ups in the sector, some of which may decide their future lies in niche sectors or partnering with “bricks and mortar” rivals rather than remaining independent.
The National Vehicle Crime Intelligence Service (NaVCIS) has introduced a new freight incident reporting form and is seeking support from freight forwarders to enlarge its freight crime database before the end of 2017.
ON THE OCEAN Strong cargo growth, driven by vigorous retail restocking, will result in global container demand growth of 4% compared with a capacity increase of about 3%, according to Drewry. With supply and demand tightening, profitability in the liner industry is assured this year, the consultant says.
Liner reliability is still poor, with only one in four ships on the major east- west trade lanes marked as on-time and a schedule reliability of 74.6% during the second quarter, according to SeaIntel. Although 15 of the top 18 carriers improved their reliability scores over the first quarter of 2017, all of the lines recorded year-over-year declines compared with the second quarter of 2016.
IN THE AIR Russian aerodynamics researchers have unveiled a concept for a new heavy transport aircraft, “Slon”, which is similar to the Antonov An- 124 in appearance. It will be able to transport 150 tonnes of freight over a range of up to 2,780 nautical miles (2,415 miles), operating off a 3,000 m runway.
The International Air Transport Association (IATA) has released data for global air freight markets, showing that demand grew by 10.4% in the first-half of 2017, with capacity growing by 3.6%, compared with the first half of 2016. Demand growth continues to significantly outstrip capacity growth, which is positive for yields.
CCS-UK is working on a new module, CCS-UK Advanced Info, which will speed up the logistics process at London Heathrow airport. The system is being launched for the Heathrow Airport community but will eventually be accessible to all UK airport communities.
OVERLAND The number of incidents involving assaults on truck drivers in mainland Europe is on the rise after an attack near Calais left a driver hospitalised with a severe
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www.bifa.org Savannah Matheson, from Impress Communications, reviews some recent news that impacts on Members’ business
head injury. Increased violence towards truck drivers at this time of year in mainland Europe seems to be becoming an annual occurrence, leading to increased concerns, disruptions and changes in routes.
The first major contracts for HS2 have been signed, with the winning companies intending to support 16,000 jobs across the UK-wide supply chain. The contracts are two-stage, with contractors spending the first 16 months working collaboratively with HS2 Ltd on the detailed design before construction begins around 2018/19.
Councils in England have been awarded funding to refurbish bridges, improve junctions and boost flood defences as part of a multi-million pound government investment announced by Transport Minister Jesse Norman. These improvements are expected to cut congestion, reduce journey times and improve reliability, as well as help to support local businesses and boost economic growth.
Deutsche Bahn (DB) has bought 60 new Vectron multi-current locomotives from Siemens. The locomotives, costing approximately €250 million, are part of a master agreement with Siemens for up to 100 new main- line locomotives for DB Cargo and can be used in cross-border transport. The first five units will go into operation as early as December 2017.
PORTSIDE PD Ports’ new £6 million ship-to- shore crane is now in operation following an official opening ceremony at Teesport, as part of the port operator’s strategic growth plans. The addition of a fifth ship- to-shore crane will enhance service performance by reducing the time taken to transfer containers from port to road and rail for UK distribution.
September 2017
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