Oman Reconsidering its Involvement in GCC Rail Network

Oman is reportedly reconsidering its efforts towards the planned GCC rail network.

The country may instead focus on constructing its domestic rail network, owing to uncertainty over when the regional project will proceed, transport minister Ahmed Bin Mohammed Al-Futaisi said.

Worth $15.4bn, the GCC Rail project will span 2,117km across the region. However, technical and bureaucratic delays have reportedly delayed the development’s completion date past its original target of 2017.

Furthermore, low oil prices are contributing to a slowdown in government funding towards large-scale projects, including the GCC Rail. Last month, Etihad Rail suspended the tendering process for Stage 2 of the UAE’s railway network. The state-backed firm, which is behind the construction of a new UAE railway network, is reviewing options for the timing and delivery of the project’s second phase, according to a company statement.

Stage 2 of Etihad Rail involves the construction of a network in Abu Dhabi, connecting the Emirate’s borders with Saudi Arabia and Oman – as well as connecting other areas within the UAE. Futaisi said the suspension of Etihad Rail’s plans made it difficult for Oman to award a deal for its own track, despite being ahead of its GCC counterparts in designing its part of the overall network.

The minister said the rail network’s future might be discussed when GCC transport ministers hold their next meeting, most likely in October.

CMA CGM Says APL Purchase will Make it Largest Carrier IN U.S. Trades

With 30 percent volume growth in cargoes to and from the United States during 2015 and its acquisition of the container operations of APL, the French ocean carrier expects to jump ahead of industry leaders MSC and Maersk Line in the U.S. trade lanes.

CMA CGM reported strong growth in the U.S. trades in 2015, increasing volumes by 30 percent to 2.3 million TEUs and boosting the company to being the third instead of fifth largest container carrier in the U.S. market, said Marc Bourdon, the president of CMA CGM (America) LLC.    Rodolphe Saadé, vice chairman of the company said the Marseilles, France-headquartered company hopes to complete its acquisition of Singapore-based APL this summer, at which point he said CMA CGM will jump ahead of MSC and Maersk to become the largest carrier moving containerized freight in and out of the U.S.

Pharma Giants and Cold Chain Logistics Experts to Meet in Dubai

Leading pharma companies and cold chain distribution experts to meet in Dubai at Middle East Pharma Cold Chain 2016 to address the key issues surrounding the healthcare cold chain distribution in MENA

According to IMARC Group, the healthcare cold chain logistic services market is expected to hit nearly US$13.4 billion by 2020 and emerging markets such as the Middle East and North Africa are gearing up for rapid expansion and growth in the industry.

Temperature-sensitive pharmaceuticals such as vaccines, hormones and insulin rely on the integrity of the cold chain in order to render these products effective and safe for the patient and end-users. While great strides have been made in terms of infrastructure, technology and governance; with each advancement come unique challenges making the pharmaceutical cold chain landscape perennially evolving. The importance of cold chain in healthcare is such that both public and private sectors are collaborating to ensure that all aspects of the cold chain are kept intact and maintain integrity while striving for innovation. In the Middle East, government regulatory authorities have stepped up with new policies and requirements for pharma shipping, distribution and storage. Pharmaceutical companies have invested heavily in research and development, while distribution and logistics companies, along with airlines are continuing to build expansive infrastructure to support the integrity of the entire cold chain.

With this in mind, it is with great excitement that Maarefah announces the 2016 Middle East Pharma Cold Chain Congress. The region’s foremost event covering temperature-controlled pharmaceutical supply chains and temperature-sensitive pharmaceuticals returns to Dubai on March 28 – 31 for unparalleled days of networking, learning, discussions and solutions and will gather more than 100 stakeholders for an unrivalled program designed to address the industry’s most critical issues and challenges in MENA.

To register or for more information, visit www.pharmacoldchainme.com

Adani Hazira Port Connected By Rail to Central India

Adani Hazira Port Private Limited part of Adani Ports & Special Economic Zone Limited (APSEZ), India’s largest port developer is now connected to ICD Pithampur – Ratlam in Central India through rail.

CONCOR has begun running rakes from ICD Pithampur – Ratlam to Adani Hazira Port on a regular basis and the Port has received 8 Laden Export rakes from these ICD’s already.  This development will evidently benefit customers in Central India while using the Adani Hazira Port. Major Shipping Lines like Maersk, MSC, CMA CGM, UASC, Balaji Shipping, Goodrich are using this rail services to connect their export boxes to Hazira. National Steel, Lanxess India, Shakti Pumps, Krasoma Laboratory are some of the customers who are loading their export shipments regularly on this service and are delighted by this development.

APSEZ is the country’s largest port company with footprint across the Indian seashore. It has proven expertise in building, operating and maintaining world class port infrastructure. Apart from Hazira, APSEZ also operates ports in Mundra, Tuna-Tekra (Kandla) and Dahej, in Gujarat, Dhamra in Odisha and operates specialized coal handling facilities in Mormugao in Goa, Visakhapatnam in Andhra Pradesh. It is currently setting up a container terminal at Ennore in Tamil Nadu and has recently laid the foundation stone for the development of India’s First Transhipment Port at Vizhinjam, Kerala.

Cosco, Cina Shipping Merger to Result in New Company: State-Owned Assets Regulator

China Ocean Shipping Group Co (COSCO) and China Shipping Group Co will become a new entity after merging, led by the latter’s current chairman, China’s state-owned assets regulator said on Monday.  The former rivals said in December they would merge through a series of asset swaps, creating units focused on distinct business areas such as container shipping and vessel leasing. Together, COSCO and China Shipping control 488 billion yuan ($74.7 billion) worth of assets, Barclays analysts estimated.  After the merger, the resulting, newly established company will be chaired by Xu Lirong, the State-Owned Asset Supervision and Administration Commission said on its official microblog. The merger comes as the government moves to consolidate state-owned industries.

Emirates Skycargo’s Mainland China Network Expands

Emirates will expand its services in mainland China from May 3, 2016 with four weekly flights to Yinchuan and Zhengzhou, adding 56-tonnes of bellyhold cargo capacity to Emirates SkyCargo’s network.

The additions of Yinchuan and Zhengzhou expand Emirates’ offering on the mainland to five, including Beijing, Shanghai and Guangzhou. Yinchuan serves as a gateway connecting China to Arab countries and is positioned as a hub for economic and trade cooperation and cultural exchange between China and the Middle East.

Zhengzhou is an educational, technological and economic centre and the second largest city in central China. Its strategic location has enabled the city to become one of the largest economic hubs in the country.

“With the opening of these new strategic routes, Emirates looks forward to contributing to the enhancement of China’s trade links with the rest of the world, in particular with the UAE and Arab world,” said Shaikh Ahmed bin Saeed Al Maktoum, president of the Dubai Civil Aviation Authority, chairman of Emirates airline and CEO of the Emirates Group.

“We believe the new international air links will help create tourism and trade opportunities for Chinese business and leisure travellers that may not otherwise exist,” he added.

Emirates flights to Yinchuan and Zhengzhou will depart every Tuesday, Wednesday, Friday and Saturday from Dubai as EK326 at 2.45am, arriving at Yinchuan Hedong International Airport at 1.35pm.

The service will then depart from Yinchuan at 3.20pm and arrive at Zhengzhou Xinzheng International Airport at 5pm. The return flight, EK327, will depart Zhengzhou at 9.10pm, arriving at Yinchuan at 10.55pm.

It will then depart Yinchuan at 12.40am, arriving in Dubai at 4.30am the next day.

A three-class configured Boeing 777-200LR airliner will operate the service, carrying up to 266 passengers and 14 tonnes in bellyhold cargo capacity.

Popular commodities expected to be transported on these services include electronics, such as mobile phones from Zhengzhou, and agricultural products such as goji berries and cashmere from Yinchuan.

Courtesy: Arabian Supply Chain

France Fines Express Operators €672m

Twenty express logistics companies have been fined a total of more than €672 million (£490m) by the French Competition Authority for price fixing between 2004 and 2010.

The largest fine was for Geodis at €196m, while Chronopost was fined €99m. Other companies fined include:

DHL Express France: €81m

TNT Express France: €58m

GLS France (Royal Mail): €55m

DPD France: €45m

Dachser France: €33m

Gefco: €31m

The competition authority (Autorité de la Concurrence) said the companies had agreed on annual price increases at meetings which took place at the TLF trade association between September 2004 and September 2010.

The companies involved are: Alloin, BMVirolle, Chronopost, Exapaq (now DPD France) Ciblex France, Dachser France, DHL Express France, FedEx Express France, Gefco, Geodis, GLS France, Heppner, Lambert et Vallette, XP France, Norbert Dentressangle Distribution, Normatrans, Jewel-Schenker (now Schenker France), TNT Express France, Transport Henri Ducros, Ziegler France.

Kuehne + Nagel acquired the Alloin Group in 2009. In a statement K+N said: “Regarding the fine of €32 million for the Alloin Group, approximately €31m are attributable to the time before the acquisition of the Alloin Group by Kuehne + Nagel.

“Kuehne + Nagel dissociates itself from such business practises, has a comprehensive compliance programme in place, which is continuously improving, and has been cooperating with the French Competition Authority since 2010. Kuehne + Nagel is reviewing all options, including an appeal against the decision as well as a recourse against the sellers.”

Royal Mail has also issued a statement saying that by agreeing not to contest the allegations and provide compliance commitments, Royal Mail has benefited from a reduction in the French competition authority’s fine to €55.1 million (£40.2 million).

TNT said it had co-operated with the investigation since it started in 2010. “During the third quarter of 2014, TNT entered into a settlement agreement with the FCA and booked a provision of €50 million in relation to this matter. TNT will review the merits of the decision.”

United Heavy Lift Middle East Launched its Operations

United Heavy Lift Germany launched its operations in the Middle East by participation at the Break Bulk Middle East Exhibition and conference recently concluded in Abu Dhabi. A special Mena Regional Office launch function and event was also held for key and potential customers in this market whereby over 100 VIP guests were entertained at a special venue in Abu Dhabi.

UHL was Founded in February 2015 by Mr. Lars Rolner, who has held various executive roles in the heavy lift industry for more than 30 years to accommodate the unique requirements of various clients

United Heavy Lift’s team  provide individual and innovative solutions for heavy lift transports. An experienced team of engineers, naval architects and other specialists provide a wide range of services to ensure safe and efficient operations.

They currently have a fleet of 14 vessels, with up to 800 ton lifting capacity, in commercial management.

The reason for the UHL’s participation in this year’s Break Bulk event in Abu Dhabi and Mena region set up in Dubai is in line with UHL’s strategy to be close to key clients and markets, hence UHL recently established a representative office in Dubai to cover the entire Middle East region in close cooperation with UHL’s headquarters in Hamburg.

The Reason for this is for UHL to Develop Sales and Brand UHL in the Mena region as well as add value to the UHL Global Network.

Adani Begins Work on International Transshipment Project at Vizhinjam

Adani Ports and Special Economic Zone (APSEZ), India’s largest port developer and part of the Adani Group, has started development of India’s first international transhipment project in Vizhinjam, Kerala. It shall be completed within the stipulated time period of four years.

Oommen Chandy, chief minister of Kerala, along with Union Minister for Transport, Highways and Shipping, Nitin Gadkari, chairman of Adani Group, Gautam Adani and other dignitaries from the Government of Kerala laid the foundation stone at the ground breaking ceremony at the proposed international port site in Vizhinjam. The project will be Kerala’s first ever deep water container transhipment port.

Speaking on the occasion, Gautam Adani, Chairman, Adani Group, said, “We are honoured by the trust bestowed on us by the Government of Kerala. Developing India’s first international deepwater seaport project in a record time of just one thousand days is another opportunity for us to fulfill our commitment to Nation Building. Given Vizhinjam’s access to prominent international waterways, the project will be a significant catalyst in positioning India strategically as a global transhipment hub. It will also help us in accelerating our journey towards achieving our vision of annually handling 200 million tons of cargo by 2020.”

Government Supports Financial Assistance for ‘Make in India’ Ship Building

In order to promote the shipbuilding industry under the ‘Make in India’ initiative, the Cabinet approved a proposal for financial assistance of 20 per cent for ships built in the country.

The implementation of the policy, which would be in force for 10 years, requires a budgetary support of Rs 4,000 crore. “It includes a policy for grant of financial assistance to shipyards, after delivery of ship, to counter cost disadvantages at 20 per cent of the contract price or the fair price, whichever is lower; such assistance is to be reduced at 3 per cent every three years and will be given for all types of ships,” the official statement said. The proposal also includes grant of a Right of First Refusal for Indian shipyards for government purchases; tax incentives and grant of infrastructure status for shipbuilding and ship repair industry.

Fedex Pledges $1 Million in Aid to Support European Migrant Crisis

FedEx Corp. has committed approximately $1 million in cash and transportation support to deliver emergency supplies and critical medical aid to the thousands of migrants and refugees arriving in Europe, and provide ongoing assistance to both the people and the local communities affected by the crisis.

“FedEx is committed to helping those arriving in Europe to escape conflict, as well as showing our support for the communities who are also affected by this humanitarian crisis,” said David Binks, president Europe at FedEx Express. “Working together with NGOs, we are utilising our global transportation network and resources to deliver immediate assistance where it is needed most and that lays the essential foundations for rebuilding lives.” Time is of the essence when it comes to providing help and FedEx, which is headquartered in Europe in Brussels, Belgium, is mobilising its humanitarian relief program through a donation of $1 million to the International Federation of Red Cross and Red Crescent Societies (IFRC).  The company will also use existing relationships with international organisations, including Direct Relief and Heart to Heart International, working closely with local partners in the most affected countries.

Mauritius Outlines Ambitions to Develop Bunkering Hub

The island nation of Mauritius has outlined its ambitions to develop its capital and largest city Port Louis into a global ship refueling hub that will be able to sell 1m metric tonnes of bunker fuel per year.

The country’s ministry of ocean economy, marine resources, fisheries, shipping and outer islands said the bunkering hub will also be able to employ some 25,000 people.

In 2014, Port Louis sold 287,546 metric tonnes of bunker fuel, achieving a 6.8% increase from 269,324 metric tonnes supplied in 2013. Each year, around 35,000 ships transit the waters around Mauritius moving between Asia, southern Africa and South America, and a greater number of ships are taking on bunker fuel in Port Louis over the last few years. The Mauritius government has embarked on an amibitious plan to transform the port into a business-friendly, industry leading petroleum and bunkering hub.

Logi Mart

Dubai based online Logistics market place LAUNCHED
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Logimart helps SMEs and Corporate houses to safeguard their customers from poor logistics decisions and tap their dream markets avoided earlier due to lack of reliable logistics solutions.
“Our vision for Logimart is to become world’s best and simplest online Logistics market place. Backed by visionary investors and experts both from Logistics and Information Technology, we commit to integrating people, Process and cutting edge technologies, towards efficiently handling a hundred thousand shipments a day in 5 years to come.
“We will assist worldwide logistic partners and Shippers alike and contribute to positive growth in their business.”
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www.logimart.com, www.marketing.logimart.com

Best of Middle East, Indian Subcontinent and African Shipping Honoured at Seatrade Awards

The best of shipping and maritime across the Middle East, Africa and the Indian Subcontinent were honoured yesterday evening at the annual Seatrade Awards in Dubai.

The awards held under the patronage of Sultan bin Sulayem, chairman of Dubai Ports, Customs and Free Zone Corporation and chairman of Dubai Maritime City Authority were attended by over 700 guests at the Joharah Ballroom at Madinat Jumeirah, Dubai.

Hosted by international broadcaster, Stephen Marney, with a guest personality appearance from Formula 1 world champion, Damon Hill, the Seatrade awards programme is widely recognised as the region’s premier maritime awards.

DP World Reaffirms Indian Commitment During PM’s Visit

DP World has reiterated the company’s commitment to enabling India’s growth and economic development through its operations in the country, where it supports over 32% of India’s container trade, during the Indian PM’s visit to the country.

DP World is a market leader in Indian container terminal operations and has the largest portfolio of ports along the Indian coastline. The network includes terminals in Gujarat (Mundra), Maharashtra (Nhava Sheva), Kerala (Cochin), Tamil Nadu (Chennai) and Andhra Pradesh (Visakhapatnam).

Building on the historic ties and strong friendly relations between the UAE and India, DP World has established a strong market position in India, shaping the future of the maritime terminals industry and investing over US $2 billion. Sultan Ahmed Bin Sulayem, DP World chairman welcomed the Indian Prime Minister Narendra Modi’s visit to the UAE, saying that as the UAE’s second-largest trading partner, and with the UAE being India’s third largest trading partner, the two countries shared a close relationship.

Trade between the two nations reached US $60-billion last year.

Adani Group to Complete Vizhinjam Port Project within 1,000 Days

Adani Group will strive to commission the Vizhinjam international deep water multi-purpose seaport in 1,000 days, according to its Chairman, Mr Gautam Adani.

The project agreement was signed on 17th August 2015, at the Durbar Hall of the Government Secretariat. Speaking after the signing ceremony, he said the mission was to make Vizhinjam the largest and most efficient Port infrastructure in the Country.

He said work on the project will start on November 1, the Kerala Formation Day. The Group has already formed a special purpose vehicle Adani Vizhinjam Ports Pvt Ltd, which will be headed by Mr. Santosh Kumar Mohapatra who was at the helm of the Dhamra Port in Odisha. Adani described Mohapatra as the most experienced leader from his stable with a proven track record of executing large projects.

The special purpose vehicle has already started off with some of the planning and engineering work related to the project, he said.

“Vizhinjam is one of the most exciting projects that we have taken up in recent times,” he said, and added that the breakwater being built will be one of the most complex structures ever engineered.

“Relaxation of the Cabotage Law will be crucial to sustainable operation of the port as and when it becomes ready,” Mr. Gautam Adani said.

He hoped the Centre will give due recognition to this aspect and consider the request of the State Government for necessary action.

Mr. Gautam Adani also offered to take every stakeholder on board whose livelihood is dependent on the prospects of the mega project.

He assured the Adani Group’s commitment to serve the best interests of all and sought cooperation from all stakeholders in translating the dream project in to a reality.

Al Gharbia Pipe Company to Open a New Pipe Manufacturing Facility at Khalifa Industrial Zone Abu Dhabi (Kizad)

Abu Dhabi Ports, the master developer, operator and manager of ports and industrial zones in the Emirate, has signed a standard Musataha agreement (SMA) with Al Gharbia Pipe Company to open a new pipe manufacturing facility at Khalifa Industrial Zone Abu Dhabi (Kizad). The state-of-the-art facility will cater to the region’s oil and gas industry, manufacturing high quality, sour grade Longitudinal Submerged Arc Welding (LSAW) steel pipes.

The SMA will see Al Gharbia Pipe Company invest a projected total of 1.1 billion, with their new facility requiring a plot size of 200,000 square metres. Al Gharbia Pipe Company, a joint venture between Senaat, one of the largest industrial holding companies in the UAE, and two of Japan’s leading steel firms, JFE Steel Corporation and Marubeni-Itochu Steel Inc. (MISI), expects the facility to be completed by March 2018. The plant will employ over 370 staff and produce up to 240,000 tons of steel pipe a year,

“The exceptional infrastructure and transportation network offered by Kizad will make a significant difference to Al Gharbia’s business operations,” said Captain Mohamed Juma Al Shamisi, CEO of Abu Dhabi Ports.

“The new facility will create business opportunities and jobs in the Emirate, directly supporting Abu Dhabi’s vision of a diversified economy”, he added.

Essar Ports Plans Rs. 3,500 Crore Capex for Upgradation and Expansion

Essar Ports is planning Rs. 3,500 crore capital expenditure in the next three years as a part of its corporate expansion plans, said Mr. Rajiv Agarwal, Managing Director, Essar Ports. Till date, the capital deployed by the company is about Rs. 10,500 crore. He said that funds for the capital expenditure would be raised from debt and equity, in the ratio of 70:30.

For upgrading port infrastructure at Salaya Terminal around Rs. 350 crore would be invested in the coming months.

Paradip Coal Terminal would require about Rs. 850 crore and Hazira Terminal would cost about Rs. 750 crore, to expand its capacity from 30 to 50 million tonnes.

At Vizag Coal Terminal Rs. 1,150 crore would be invested. The remaining funds would be used for other port-related infrastructure.

The cumulative cargo handling capacity of all the ports controlled by the company is about 120 million tonnes.

Essar Ports plan to increase this to 140 million tonnes by the end of the current fiscal. The company is looking at handling 190 million tonnes of cargo by 2017. The cargo handling capacity of all Ports across the Country is about 1,100 million tonnes, of which Essar Port’s contribution is about 120 million tonnes.

Essar Ports would be able to double its capacity at Vadinar, Salaya and Hazira terminals as and when the economy of the Country picks up.

Sohar Port to up Capacity to 1.5 Million TEU with New Terminal

Port of Sohar is expanding the container handling capacity of terminal C to boost annual throughput capacity to 1.5 million Twenty Foot Equivalent Unit (TEU), according to a senior port official, up from today’s one million TEU.

Port authorities are discussing with contractors plans to pave large areas and build yards to capitalise on the shifting of commercial activities of port Sultan Qaboos to Sohar port. The plan is to build another terminal (D) to raise container handling capacity to five to six million TEU per annum. The development plan for terminal D will be finalised during 2016-17 and the work will start thereafter, said executive commercial manager Edwin Lammers. He said that “We have to build quay walls for the terminal.”

Sohar port will continue the development of facilities to capture growing trade activities in the Middle East and will have the capability to serve the world’s largest 20,000 TEU ships.