Freight and Shipping News Items You May Have Missed in a Logistics Round Up

GERMANY – A new report, which puts the cost of the seemingly ever growing problem of cargo theft at €1.3 billion, has prompted a range of businesses around the country to launch a new initiative in a bid to stem the tide of crime. The size of the problem has been identified by the joint calculations of several business associations, led by the Transported Asset Protection Association (TAPA). According to the analysis, physical cargo carried on board almost 26,000 trucks is stolen in Germany every year, averaging a new attack on a truck every 20 minutes.

In addition to the value of the goods, the group says further damages of €900 million are caused by penalties for delivery delays, the cost of replacing stolen products and repairing damage to vehicles targeted by cargo thieves. With the launch of their new ‘Theft Prevention in Freight Transport and Logistics Working Group’, the associations are calling for greater support and action by law enforcement agencies in Germany. The group consists of 13 industry stakeholders, including the German Forwarding and Logistics Association e. V. (DSLV).

One of the biggest challenges identified in the report is the low level of reporting and recording of cargo thefts in Germany, which follows a similar trend seen across Europe, and the fact that many of the incidents of thefts from vehicles in Germany involve trucks which are registered and insured in other European countries. Understanding the true causes and impact of cargo crime in Germany is also further complicated by the fact that German law enforcement agencies do not keep their own cargo crime statistics.

In support of the Working Group’s objectives to reduce cargo thefts in Germany, TAPA will also be encouraging companies across the country to increase their adoption of its three industry standards for supply chain security: Facility Security Requirements (FSR), Trucking Security Requirements (TSR) and the new Parking Security Requirements (PSR). In a statement, the Working Group said:

“The business associations supporting this initiative are doing so because of the scale of cargo thefts and their impact on businesses in Germany. The ‘Theft Prevention in Freight Transport and Logistics Working Group’ aims to increase the safety of transport logistics by, among other things, means of higher safety standards and investments in locating technology, anti-theft alarm systems, immobilizers and secured parking spaces. We are urging the authorities to provide more support through increased search pressure on internationally active criminal organisations.

"The police authorities also need to be more present at highway service stations, and specialist police units and law enforcement agencies should help to streamline transnational law enforcement. In order to take targeted preventive and repressive measures, the investigating authorities must improve recording of ‘cargo theft’ offences and create the conditions for nationwide uniform reporting of cargo crime. Lack of staff, poor networking and low specialisation only serve to delay investigations. This situation has to be addressed as quickly as possible.”

DENMARK – Ferry operator DFDS has reported another record year for 2017 despite the ongoing uncertainty caused by Brexit, the company says its operations across Europe continued to grow into the fourth quarter, with a positive consensus looking into 2018 based on recent key indicators. The figures released show an operating profit of DKK 2.7 billion (£321 million) last year. Niels Smedegaard, CEO & President, DFDS, said:

“Overall, North Sea freight volumes grew by 7% in 2017. In spite of the Brexit issue, and the delayed Brexit agreement between the UK and EU, we see that the UK’s economy is still growing, albeit at a slower pace. According to the UK government’s official prognosis, growth is expected to continue at just over 1% in 2018. At the moment, we even see an increasing growth in British exports, which also contributes positively to our developments on our ten North Sea routes.

”Brexit is not what we hoped for, but it does not change our confidence about the future. The official expectation is that the UK economy will keep growing (although at a slower pace), and as the EU economy is also predicted to grow and both parties depend on trade, we are hopeful for the future. In spite of the challenges Brexit may lead to over the coming years, we can also see opportunities for providing our customers with new, valuable, customs clearance services after Brexit, should customs clearance become necessary.”

US – Midland Metal Manufacturing, which supplies wholesalers and distributors nationwide focusing on the industrial, hose and fitting, fluid power, fastener, plumbing, oil and gas, heavy duty truck and trailer, marine, and OEM markets, has issued its new catalogue. Midland ships from their headquarters in Kansas City, MO and their west coast distribution centre in Fresno, CA. They also have warehouse distribution facilities in Houston, and Atlanta.

Midland aim to support dealers by being the ‘silent partner’ behind companies building a brand in the market and to this end supply the technology, sales and marketing tools needed to succeed in tomorrow’s marketplace. The company says it has developed a generic website, private label shipping, bin labels, and custom catalogues to suit its distributors.

UK – DENMARK – Northrop Grumman Corporation’s UK based air traffic management subsidiary, Park Air Systems, has been awarded a contract by Naviair, the Danish air navigation service provider, to replace the existing ground-to-air communication equipment for Denmark’s airports and en-route operations. Northrop Grumman’s Park Air Systems supplies communication systems for airspace operations worldwide and its radios can be found in airports in 180 countries around the world.

The Danish replacement will introduce the new Park Air T6 radio from the Sapphire range, with 8.33 kHz voice channel spacing and VoIP capability. In addition to the radios, the procurement includes the MARC Remote Control and Monitoring System for maintenance, and training at Park Air’s dedicated Training Academy in the UK. Tejpal Singh Binning from Naviair, commented:

“We will be taking delivery of the new T6 radios in two batches and the radios will be at the centre of our national system upgrade, giving us a communications network ready for the next decade and beyond.”

The T6 is the first air traffic control radio designed specifically to work as part of a secure digital network. It is fully compliant with all the latest VoIP protocols (ED137 A/B/C, G711/G729 and IPv4/IPv6), can support up to 10 simultaneous VoIP sessions and up to four IP recorders. Whilst maintaining full backwards compatibility, the makers claim it has unrivalled connectivity, scalability and security for future voice and data communication. Danny Milligan, managing director, Northrop Grumman Park Air Systems, said:

“In this tender, there was heavy emphasis on lifecycle costs and maintainability for the ATM equipment. We were able to produce numbers which demonstrated the reduced operating costs during the lifecycle of the T6 radio and are very happy to continue our excellent, longstanding relationship with Naviair.”

The contract with Naviair also includes the delivery of MARC Server, a configurable browser-based control and monitoring system allowing management of all Sapphire assets from remote desktops or tablets. Naviair employees will attend Sapphire training courses at the Park Air Academy near Peterborough in the UK. Training will cover operations and maintenance, and will be delivered as a combination of classroom-based sessions and hands-on practical work.

IRELAND – EFL International Distribution Ltd, the Irish agent of the U-Freight Group, has been awarded full Authorised Economic Operator (AEO) status, following extensive audits from Irish Customs over the course of several months. The AEO scheme is one of a series of measures being co-ordinated by the World Customs Organisation as part of a multi-layered approach to facilitating trade, whilst making supply chains more secure and controlled.

EFL International Distribution will see tangible benefits of AEO accreditation, including fewer physical and documentary examinations of cargo, priority use of non-intrusive inspection techniques when examination is required, priority processing by Customs whenever security is heightened, and ‘Preferred Trader’ eligibility. Chris Radley, managing director of EFL International Distribution said:

“We are pleased to have achieved AEO status. The accreditation covers full Customs customs simplification, security and safety. The AEO scheme will provide EFL with a quality mark, which will demonstrate that our internal controls, staff training, and procedures are effective and compliant.”

RUSSIA – Yamal LNG, one of the world’s largest and most complex LNG projects, has appointed GAC Russia to manage its fleet of ice-breaker tankers at Sabetta port for the next three years. Under the agreement, GAC Russia will handle an estimated 400 port calls every year; 200 in Sabetta and an additional 200 globally. News of the appointment comes after GAC’s successful in-port support since 2015 and the management of last spring’s ice trials for the Christophe De Margerie, a new breed of tanker able to transport LNG unaided year-round.

Sabetta presents a challenge to conventional LNG transportation, as the sea is frozen for up to nine months of the year and temperatures can drop as low as -50°C. The 300 metre Christophe De Margerie has a capacity of 172,600 m³ and is equipped to operate without the assistance of ice breakers, even in extreme conditions when the ice is more than 2 metres thick - to ensure that Yamal LNG continues exports to European and Asian destinations. Over the coming two years, a fleet of 15 LNG ice-breakers will gradually be commissioned.

Each year, nearly 16.5 million tonnes of LNG will transit through the port of Sabetta, destined for customers in Europe and Asia under contracts ranging from 15 to 20 years. GAC Russia will apply its expertise to every aspect of in-port activities at Sabetta, from permits to operate in Russian waters and sourcing boarding engineers and scientists for the trials, to route coordination with the Russian Coast Guard Service and advice on Arctic navigation. GAC Russia’s General Manager, Tatyana Shorokhova, says:

“Our work with Yamal LNG is testament to the array of support GAC can provide in addition to standard services such as Customs formalities, crew transfers, provision of bunker fuels and delivery of ship spares, machine parts and supplies.

“We are privileged to be working so extensively with Yamal LNG on this historic project. Coupled with our ongoing expansion into the Russian Far East, this makes GAC Russia the only ship agent with a presence throughout the interconnected Arctic region and the Far East. With offices in Nakhodka and Yuzhno-Sakhalinsk, we cover 22 maritime ports in the region.”