JUNE 2009 FREIGHT & TRADING WEEKLY
SPECIAL feature
Project Cargo
Opportunities abound despite the slowdown
FTW1673SD
JUNE 2009 | 1
From mining and infrastructure in Africa to the 2010 Fifa World Cup closer to home, project cargo specialists are keeping afloat. In this special feature, industry leaders share their insights. Editor Joy Orlek Consulting Editor Alan Peat Contributors Liesl Venter Advertising Carmel Levinrad (Manager) Yolande Langenhoven Claire Storey Jodi Haigh Managing Editor David Marsh
Seafreight Page 4 Loading of 736-ton reactor all in a day’s work
Page 10 Bigger companies shun smaller projects
Roadfreight Page 6 Upbeat about future growth Page 12 Gautrain project is big business
Correspondents
Durban Terry Hutson Tel: (031) 466 1683 Cape Town Ray Smuts Tel: (021) 434 1636 Carrie Curzon Tel: (021) 674 6935 Port Elizabeth Ed Richardson Tel: (041) 582 3750 Swaziland James Hall jhall@realnet.co.sz
Advertising
Co-ordinators Layout & design Circulation Printed by
Page 16 Mining sector under siege
Tracie Barnett, Paula Snell Dirk Voorneveld subs@nowmedia.co.za JUKA Printing (Pty) Ltd
Page 19 Specialist project division set up
Annual subscriptions RSA – R425.00 (full price) R340.00 (annual debit order) Foreign on application.
Publisher: NOW MEDIA
Phone + 27 11 327 4062 Fax + 27 11 327 4094 E-mail carmell@nowmedia.co.za Web www.cargoinfo.co.za
Page 14 West Africa service upgrades
Now Media Centre 32 Fricker Road, Illovo Boulevard, Illovo, Johannesburg. PO Box 55251, Northlands, 2116, South Africa.
Page 25 Getting the basics right Page 26 Keeping on the ball with the World Cup Page 27 Global tie-up adds project muscle
Containers Page 13 Supply surfeit puts pressure on price
Software solutions Page 10 Accurate costing information is essential
Page 18 ‘Don’t base shipping decisions on price alone’
Supply chain Page 5 NVOCC expands portfolio Page 8 Turning attention to Angolan opportunities
Cover concept: Dirk Voorneveld
FTW1461SD
Page 9 Worldwide project network
Page 24 Adding competitive edge
2 | JUNE 2009
Abnormal industry heading for greater professionalism Project cargoes and abnormal road transport are inherent bedfellows, with every project cargo dependent on being hauled extensive distances by road at some stage of its travels. Ask anyone what abnormal transport is, and By Alan Peat
B
ut what are these mammoths of the transport trade? According to Sampie Swanepoel, MD of Transvaal Heavy Transport and abnormal load adviser to the Road Freight Association (RFA), abnormal means the load and the vehicle fall outside the legally permissible parameters of the Road Traffic Act (RTA) and regulations. They fall under the maximum allowable under a permit which is managed and controlled through the TRH11 abnormal load guidelines,” he said. “Load abnormality consists of length, width, height and weight and involves permits in each province, one or two self escorts, provincial escorts, Telkom, Eskom, and the like.
they are apt to conjure up something along the lines of “giant juggernauts which, accompanied by flashing blue lights and queues of cars waiting to get by, crawl along the SA roads at snail’s pace”.
“All this, and much more, is part of the day-to-day headaches and frustration that are dealt with in this industry.” The abnormal load sector is a specialised industry, Swanepoel added. “It is specialised in the sense that you must know what to do and what precautions and arrangements must be made for the safety of the public using the same roads on which you transport these abnormal loads to create infrastructure and economy growth.” There’s a skills and experience shortage now in the abnormal road transport sector, according to Swanepoel. “There are not a lot of people left in this industry that really know what it is all about,” he said. “Yes, there are a lot of cowboys – unskilled and untrained people – in this industry. But
all they are doing is causing havoc and creating problems for legal operators, as well as putting the public’s safety at risk.” It’s not a poor man’s trade, nor is it one that promises an immediate return on investments. The way Swanepoel sees it, the abnormal industry is one that has always had to battle to survive in the total transport industry. “This,” he told FTW, “is because the equipment we invest in is very expensive, and usually has to obtain principal approval before we can start the manufacturing of lowbeds and the like. This can also take time.” It’s also an industry sector that faces serious governmental restrictions on its allowable operating hours. “The abnormal industry is not allowed to operate every working day
of the week,” said Swanepoel, “but is restricted to operating from Mondays to Fridays from sunrise to sunset. No weekends, no public holidays – and also restricted by embargoes which are prescribed by the department of transport (DoT).”
FTW1678SD
Fast, accurate document clearance Logistics management Licensed Remover in Bond Specialising in Abnormal Cargo Cross Border Road Freight DBN Tel: +27 31 205 0463 Fax: +27 31 205 0215 FTW4368
JHB Tel: +27 11 455 1395 Fax: +27 11 450 1827
www.interlogix.co.za
JUNE 2009 | 3
It’s also an industry sector that faces serious governmental restrictions on its allowable operating hours.
Where is the abnormal industry heading? It is heading towards being a more professional and specialised industry, according to Swanepoel. “It is also
going to be strictly controlled and managed by the road traffic act (RTA) and regulations - in conjunction
66603 VanGuard_Solutions ad 5/7/09 8:24 AM Page 1 C
FTW1675SD
Composite
M
Y
CM
MY
CY CMY
K
with a new TRH11. And these new guidelines should see the light of day within the next few months.” A major part of its battle for survival has been with government and provincial authorities, who, according to Swanepoel, have added tedious limitations on the operators’ business freedom. “Due to the many restrictions,” he said, “this industry has been involved in numerous head-on collisions with the DoT and the provinces for the relaxation of specific issues such as: Weekend travel, minimising of embargo days, and optimisation of equipment to the maximum capacity.” It has also had to prove itself willing to government to be able to look after its own affairs. Many of the role players in the industry have been jacking up their operations to improve equipment and to clean up their act, according to Swanepoel. “Through this,” he added, “the industry would like to show the DoT that it is willing to participate in the process to improve its internal standards - hoping that this will facilitate the negotiations around the table to relax the issues which concern us.
4 | JUNE 2009
Loading of 736-ton reactor all in a day’s work
T
he loading of a super heavyweight 736-ton reactor at the Port of Yokohama earlier this year presented its fair share of challenges for the master of the Beluga Intonation, Johan Buysse, and his crew. At around 10 o’clock in the morning a small barge with the 35 metre-long reactor moored alongside the multipurpose heavy-lift project carrier. Because of the extreme torsion forces that affect the vessel during a lift of such dimensions, strict safety regulations had to be observed and only the team members actively involved in the operation remained on board. Tons of ballast water kept the vessel in balance. Because of the weight of the loaded cargo, bunker was pumped as well to guarantee stability. “The most critical point during the whole process is when the cargo passes the ship’s rail. Then the centre of gravity moves from outside to inside,” Roberto Frigeni, head of Beluga transport engineering told FTW. “Due to the limited space on deck we could not take advantage of much room to swing the reactor and had to place it precisely in the designated position.” Steel mats
The Beluga Intonation … ‘The most critical point during the whole process was when the cargo passed the ship’s rail and the centre of gravity moved from outside to inside.’ were spread to reduce the enormous point load impacting on the hatchcovers of the vessel through the cargo. Pre-planning and accuracy clearly paid off with the super heavy-lift loaded without blemish. The Beluga
Specialists in software for
Intonation headed for Singapore, her first and only stop en route to the destination port of India. In the port of Masan, South Korea the vessel had already loaded three plant components for the chemical
industry, a 71-metre refining column, a 58-metre recovery column and a 30metre-long saturator. All three items weighed between 229 and 350 tons. For Beluga’s project division, it was all in a day’s work.
Prestmarine International
FSP Ref No: 165
Freight management Shipping Warehousing Logistics
Call ANTHEA +27 21 448 7203 Email: macro@macro.co.za www.macro.co.za
Marine and General Short Term Insurance Specialists Your Interest • Our Business Tel +27 11 453 9002 • Fax +27 11 453 9022 www.prestmarine.co.za e-mail: marine@prestmarine.co.za
FTW4232
A
ENY
E
ORT
ENT
URG
N
E OTIC
XP TO E
OK RS T
For all your export inspection requirements to Kenya Please contact Akash from Global Inspections Group on 011 267 5813 or ar@global-inspections.com www.global-inspections.com
FTW4289
FTW3603
Distribution
JUNE 2009 | 5
Project Cargo Specialist Our services encompass the following:
Corinne French ... adding value.
UML makes its mark in project cargo market By Joy Orlek
S
ynonymous until now with the movement of groupage cargo from the US to South Africa, United Maritime Logistics has now entered the breakbulk and project cargo arena. And it’s a move that makes logical sense, says director Corinne French. “We have the expertise and know-how on the US route – and provide the ideal outsourced option for project specialists for whom the route is less familiar.” The company’s first venture into the project field followed an approach by Micor Shipping in November last year. With UML acting as the NVOCC for
Micor, shuttle cars and scoops for deep cast mines and a massive 849 cubic metre crane weighing 177 tons were imported from the US – and all was accomplished without a hitch, says French. An added bonus for UML is the project expertise of holding company Direct Container Line/Vanguard Logistics which carries huge volumes of project cargo globally, with a dedicated project division based in Chicago, says French. “By tapping into their expertise, we believe we add significant value for local customers.” UML has been importing project cargo on a regular basis since last year and is set to develop this market in partnership with local project specialists.
■
Planning of project shipments, preparation of route clearances, port facilities and site access
■
Monitoring of shipments, vehicle planning to meet vessel dates and arranging suitable vehicles for transport
■
Supervision of loading ex vessel onto vehicles where necessary
■
Transport of general cargo including stuffing/destuffing of containers
■
Monitoring of vehicles en-route
■
Liaison with site personnel receiving cargo
ContaCt Details Durban Tel 031 765 1901 Fax 031 765 3376 Carl Webb: 082 886 6003 or John Du Bourg: 082 880 1177
www.projectlogistics.co.za
CONTACT 021 418 1650 OR VISIT WWW.SACD.CO.ZA
FTW1135SD
Johannesburg Tel 011 450 4495 Fax 011 450 3064 Sonja Van Schalkwyk: 071 681 6560 FTW4377
6 | JUNE 2009
Project specialist
upbeat about future growth
BIG PROJECTS W
By Joy Orlek
on
20 years experience in general haulage Containers • Breakbulk Abnormal Loads • Full & Part Loads
Durban: Tel: +27 31 465 7913 Fax: +27 31 465 7903 E-mail: mark@rfbtrans.co.za
Johannesburg: Tel: +27 11 918 3493 Fax: +27 11 894 8356 Cell: +27 83 680 1766 E-mail: peter@rfbtrans.co.za
www.rfbtrans.co.za FTW4135
hile 2009 signalled the start of the downward economic spiral, project work is all about long-term planning which can’t be stopped once it’s on course. For project transport specialist PLM, which launched in March last year, business was on a roll until January, and while there’s been a definite dip since February, managing director Carl Webb is upbeat about future growth. The company offers a diversified service, specialising in projects – a field in which Webb has notched up some 27 years of experience. “At the moment we’re busy with a Sasol project, mostly involving abnormals and superloads which are a key area for us. “In January this year we did four 200 ton pieces for Sasol – two generators and two turbines for its power generation programme,” Webb told FTW. There were also 60 loads of accessories, both normal and abnormal.
The planning starts months in advance, says Webb. In this instance the cargo, which was imported from Germany, had to be moved from Richards Bay to Secunda.
‘In a recent instance, a ship awaiting export cargo had to wait a week to berth because the police escorts didn’t pitch up as arranged.’ “As with all project shipments, the route and all the structures have to be surveyed to ensure they are capable of taking the weight – and the vehicles are planned accordingly. “We check out the site access, sorting out the sequence of arrival, monitoring the ships and making sure the vehicles are alongside to receive the cargo, and arranging the police escorts.” Project cargo is a complex business, but in Webb’s view one of the biggest challenges is coordinating traffic officer escorts. “They’re generally
FTW1347SD
FTW1680SD
JUNE 2009 | 7
Transport needs outsourced to a range of transport providers. unreliable and there’s limited time to travel. And while you’re trying to get the load to the site, there’s cranage waiting at a huge cost.” In a recent instance, a ship awaiting export cargo had to wait a week to berth because the police escorts didn’t pitch up as arranged, said Webb. “And the cost of a ship standing for
FTW1647SD
a week is significant.” Exports are also part of the mix, with shipments currently moving to Madagascar. Privately owned, PLM has offices in Durban and Johannesburg. It is non-asset based, outsourcing its transport needs to a range of reputable transport providers.
FTW1676SD
8 | JUNE 2009
Forwarders turn attention to Angolan opportunities Port congestion the biggest frustration BY Liesl Venter
W
FTW1377SD
ith the world recession having hit the mining industry, South African freight forwarders are finding project cargo business opportunities elsewhere. According to Gary Wagner of RB Freight Management, there is huge potential in Angola where many building and road network development projects are under way. “There is still big potential for moving project cargo into Africa, but especially Angola. There are however some challenges as on many occasions it needs to be handled on a port by port basis.” And because there is very little, and in some cases even no specialised equipment available at regional ports to lift heavy and abnormal loads, project cargo demands exceptionally
careful planning. “In Angola the biggest frustration is the number of wasted days due to port congestion. Projects are often held up because vessels are delayed at outer anchorage as a result of the port congestion.” RB Freight Management, which recently moved a large number of cold rooms and freezers into Angola to be used by several hotels, believes that despite the challenges, Africa is a viable option. Says RB’S Richard Barry, “Anything one can think of is needed in Angola. It is all about finding the opportunity.” And Wagner agrees. “While mining has been negatively affected across the world, gold is still a safe option and the gold mining industry in Africa is still on the upswing. “Angola and many other countries are still increasing their basic infrastructure,” he says.
simpler • better • smarter
Software for Freight Forwarding & Customs Clearing Agents “Helping manage Projects, and your Business” +27 11 706 3545
www.corefreight.com
FTW4343
Your full landside logistics link Domestic & Overborder Abnormal Loads Warehousing Crating and Fumigation Packing/Unpacking containers Hazchem compliant
SERVING SOUTH AFRICA
Johannesburg: 011 021 5214-8 FTW4296
Durban: 031 206 2910/2973
arnold@reddycargo.net sharlin@reddycargo.net sesham@reddycargo.net dumi@reddycargo.net
JUNE 2009 | 9
Worldwide project network facilitates ‘zero-defect’ logistics “
T
horough preplanning is the key to successful completion of any project,” says Quinton Germishuizen, project manager at Toll Global Forwarding based in Johannesburg. Formerly BALtrans Clover Cargo, the company is currently involved in a variety of import and export projects, says Germishuizen. A recent example involved the shipment of a 40 tonne dragline bucket to Brisbane in Australia, which was not without its challenges. “But detailed preplanning paid off with all the parties involved in constant communication and working as one to meet the deadlines,” he said. “The Toll team worked closely with the client, the transporter, rigging company, port authorities, stevedores and the vessel’s agent to move the consignment from Van Reenen Steel in Gauteng to Durban harbour.” Arranging specialised abnormal transport for the huge shipment was part and parcel of the deal. “We’re fully aware of the many factors that can complicate projects including abnormal loads, weight restrictions and the need for the consignments to arrive in the correct
FTW1661SD
A 40-tonne dragline bucket recently shipped to Australia. sequence but have successfully managed a number of projects over the years. These include the relocation of entire
factories overseas on a turnkey basis from the initial route planning and packing to final shipping and delivery.”
The company has a worldwide project network covering Asia, Europe and the USA.
10 | JUNE 2009
Road Transport to Angola and DRC Since 1993
Bigger companies shun smaller projects ‘Many complaints about the supply chain’ By Liesl Venter
ing offer ons w o N ti olida cons Angola to
CASTLE TRANSPORT • 24 tons to abnormal loads • Projects • Door-to-door • Warehousing & Distribution Tel: +27 11 907 3914 Fax: +27 11 907 3913 For rate enquiries please email: castletrp@mweb.co.za FTW3573
FTW0016SP
T
here is much opportunity to streamline the supply chain in Africa especially when it comes to smaller operations, says Paul Runge, managing director of Africa Project Access. According to Runge there are no set systems to address the needs in Africa, with many smaller projects having very haphazard set ups. And with supply just not up to standard, many projects are happening all too erratically. A recent trip to central Mozambique, where various hotel projects are under way, proved this once again, he said. “I was shocked to see how a few guys with a truck or five are trying to get to everything. It is all a mad scramble to supply the demand and very rudimentary,” Runge said. While he understands that many big companies are not interested in the smaller contracts, it does raise the question – what happens to the smaller projects? “Why must it be complete chaos? What has to happen is a proper needs analysis, which allows companies to be pro-active and address
the issues at hand. It is unnecessary for people to be waiting for stuff all the time.” According to Runge there have been plenty of complaints about supply chain demand in various countries, proving that there is a need to address the supply chain. These complaints even came from the copper belt area where activity was huge until the economic downturn. “There were many complaints about the supply chain. It is not a well-oiled machine that runs smoothly.” And, says Runge, while South Africans are remaining inwardly focused due to the many projects at home, neighbouring countries are picking up the slack. “There are so many special projects under way in South Africa that are big and grand that many companies are not going to go and look for projects in Africa where there is often no infrastructure.” He said countries such as Namibia had, however, identified opportunities and were now a preferred option when moving cargo into Angola, especially the south. “It is a very viable option as a source of supply into Angola as they
JUNE 2009 | 11
Worldwide Experience African Specialists
We provide integrated supply chain solutions globally, and specialise in China and Africa cross trade ● ● ● ● ● ● ●
Inter Modal Transport Project Cargo/Abnormal Loads Breakbulk Cargo Container Packing & Unpacking Warehousing Procurement for Mining Industry Logistics Scoping Studies for new Mines in Africa
Paul Runge ... ‘Africa is a treasure trove of resources and commodities with much opportunity.’ are efficient and the ports and airports are doing well. The Namibians have worked hard at supplying Angola.” Runge said while it was understandable that some operators were hesitant to become involved in Africa’s smaller projects, there was also much opportunity. “Africa
is the only continent still showing positive growth, so it is no wonder the entire world is interested in the continent. Africa is a treasure trove of resources and commodities with much opportunity. But there is no denying the intrinsic need for a far smootherrun and operated supply chain.”
If you could choose your proportions you wouldn’t need us ...
We specialise in abnormal cargo Your full container and packaging partner ● Project cargo ● Abnormal lifts & storage ● Container packing and unpacking ● General Warehousing ● Full container storage
Our team of experienced management professionals are committed to achieving the best solutions for your specific requirements
Personalised • Customer focused • Reliable
Own offices: Tanzania, Kenya, Mozambique Specialists to Angola and other West African countries. Global services provided with a reliable International Agency network. Durban Richard Barry T +27 31 305 4788 F +27 31 307 2172
Tel: +27 21 418 4000 Fax: +27 21 418 4001 dave@edgin.co.za www.edgin.co.za FTW4381
Johannesburg Gary Wagner T +27 11 450 1611 F +27 11 450 1972
info@rbfm.co.za www.rbfm.co.za FTW4352
12 | JUNE 2009
‘Railroad’
project on track
T
he Gautrain project is big business for specialist heavy lifting and transportation company Vanguard which was awarded the contract by Bombardier, a subcontractor to Bombela, to transport the carriages and locomotives over an 18-month period. The project started at the beginning of December 2008 when the first two locomotives arrived in Durban harbour from Bombardier’s manufacturing facility in Derby, England. They were offloaded from the ship directly onto specially designed Vanguard trailers. The custom-built extension deck with rails was used in combination with a six axle trailer configuration and gooseneck to transport the 47 ton locomotive. “Vanguard’s modular trailer and its flexibility, hydraulics and self-steer rear axle capabilities are key factors in the success of this project,” says James Robinson, Vanguard project engineer. “The locomotives and rail cars measure between 18 and 21 metres in length and weigh in at 46 700 kilograms each, so positioning the trailer precisely on-site is crucial.” Once on site, the trailer was driven into the shunting yard and positioned exactly in
line with the rails. The steering of the rear axles of the trailer was separated from the front of the trailer and an operator used the self-steering capability to assist the driver in manoeuvring the trailer into place. “Once we were in place, we placed an 18-metre ramp behind the trailer. Using the trailer’s hydraulics, the gooseneck was raised while the rear axles were simultaneously lowered. The winch was then released, allowing the train to roll onto the rails,” says Robinson. The trip from Durban to the site in Midrand, Johannesburg took approximately three days and required police escorts. Due to height restrictions, the convoy followed alternative routes along the 800 kilometre journey. “The project involves the collection of a total of 94 locomotives and carriages, with 13 more shipped in from overseas. The balance of the train units will be collected from South African-based, The UCW Partnership, located in Nigel, Gauteng,” he said.
The modular trailer’s self steering capability was essential in manoeuvring the load precisely onto the rails.
Vanguard will transport 94 Gautrain locomotives and carriages to site over 18 months.
We specialise in marine surveys of project cargo ● Supervised Loading & Securing of Heavy Lift/Abnormal Cargo ● Supervised Discharge of Heavy Lift/Abnormal Cargo ● Supervision of Lifting/Positioning of Heavy Lifts on Site ● Marine and G.I.T. claim investigations
FTW4384
Tel: +27 31 765 5796 Fax: +27 31 765 2049 E-mail: dave@dsoram.com Cell: +27 82 877 0809
ABNORMALly good service ... diversified, manoeuvrable & dedicated General Cargo Containers Abnormal Loads Bulk Liquids Hazardous Cargo
Durban Tel +27 31 465 5003 Johannesburg Tel +27 11 918 5942 rbrent@tcsfreight.co.za www.tcslogistics.co.za
Angola • Botswana • DRC •Malawi •Mozambique • Namibia • Zambia • Zimbabwe
“Africa Just Got Smaller”
FTW4335
JUNE 2009 | 13
‘Demand has gone for a loop’ By Alan Peat
T
he market for shipper-owned containers – still very much the ideal solution for getting project cargoes into Africa – has slumped, according to Darren Singh, operations director of container suppliers and converters, Container World. “We wish that it was the same as this time last year,” he said, “when SA mining houses had stepped up their exploration in Africa, with new mining and drilling sites springing up all over the continent. “With the containers usually also destined to remain permanently on site – for storage or workshop purposes, for example – shipperowned units were a most costefficient answer.” This created a burgeoning market for the company in the supply of a wide range of containers – units that were vitally necessary for the movement of parts, equipment and materials to many of these rather remote sites. But demand has gone for a loop, according to Singh.
“Containers are in abundant supply from various shipping lines,” he said, “but very few buyers. “The end-user market is also not purchasing containers but leasing instead.” And both these segments of the market are proving to be more chancy. Said Singh: “Here again, you are exposed to risks of bad debts, as some of these companies close and go under very quickly. This is evidence that the current economic crisis is hurting our industry as well.” The prices of containers have dropped sharply, and look likely to drop further. “That will all depend on the demand for second-hand containers,” he said. Singh described special projects as “few and far between”, with those that are in the pipeline having been placed on hold due to funding. “Not a pretty picture for the container industry,” he said, “as many are reducing prices to get a deal, and that is not helping the market.” This is hurting the smaller players as well, according to Singh. “But,” he said, “it will only be a matter of time before it picks up again.”
your oVErBorDEr spEcialist Roadfreight into Southern and Central Africa ▲ Full loads ▲ Hazardous cargo ▲ Confirmed daily tracking ▲ Dedicated express loads ▲
since 1997 Tel: +27 11 396 4300 Fax: +27 11 396 4707 brendon@bpfreight.co.za www.bpfreight.co.za
FTW3590
Container surfeit puts pressure on price
Whatever you need, we have the solution
Durban • Richards Bay • Harare Warehousing Clearing & Forwarding Vehicle Clearing Specialists T+27 31 465 7906 info@loganfreight.com
F+27 31 465 0766 www.loganfreight.com
Sea, Air, Rail & Road FTW4080
www.hoegh.com
If it can roll, it can float. Most of the “passengers” on our Ro/Ro ships are cars. But by no means all of them.
Boks Oslo
Our Ro/Ro vessels also carry other, entirely different types of cargo safely from one port to another. King-sized bulldozers being one example. And tractors, trucks, agricultural machinery, trams and buses. In short, more or less anything that rolls or crawls. Our ships have adjustable decks to accommodate vehicles of various heights, and the capacity to carry almost any type of Ro/Ro cargo. Just try us. WORLDWIDE RO/RO THE FLEXIBLE WAY FTW0860SD
GRAPHITE
14 | JUNE 2009
MSC
Mediterranean Shipping Co
Sea • Rail • Road
Seamless solutions
Accurate costing inf … along with track and trace ability By Alan Peat
T
he movement of project cargoes is an involved and complicated task, and requires a lot of additional management and attention, according to Nachi Mendelow, marketing manager of freight system specialists, CompuClearing. “For the shipping industry,” he told FTW, “this could refer to large shipments arriving at different ports at differing times, and then needing to be transported to multiple locations. Obviously, with such shipments, serious planning is needed.” A first priority is to work out all the different costs that are involved in the shipment – including everything from overseas freight charges to local port
charges, from currency fluctuations to container cleaning fees. “All these myriad charges come together as the final landed cost per shipment,” Mendelow added, “which can be further broken down into the final landed cost per unit. “And obviously, the lower this final landed cost per unit is, the more profitable the shipment becomes, and the more chance a project has of reaching successful completion and remaining within its budget.” Then, Mendelow added, you have to add in the complexity of different suppliers, overseas freight forwarders and shipping lines offering differing rates and routes. “It is therefore of great importance to
West Africa service upgrades Safmarine has upgraded its SAFWAF (South Africa–West Africa) MPV service in order to better serve the local project cargo market. Transit times have been improved and a third vessel introduced to provide flexibility, additional capacity and ports of call in the northern range ports in Nigeria, Ghana and Equatorial Guinea, says MPV national sales manager Mark Day.
The service enhancements are designed to give South African-based customers access to new markets and reduce costs should ports be congested. “The idea is to have a flexible service that limits the number of calls a single vessel has to make to a particular port,” he said. The upgraded service started in April this year with the sailing of the Safmarine Soyo.
Sharon Daries, Safmarine’s MPV sales and customer services manager and Mark Day, MPV national sales manager for Safmarine South Africa.
A subsidiary of Mediterranean Shipping Co.
Durban Head Office: 54 Winder Street, Durban, 4001 P.O. Box 10614, Marine Parade, 4056 Tel: (031) 360-7811 Fax: (031) 332-9291 E-mail: logistics@clog.co.za FTW1212sd
FTW1638SD
JUNE 2009 | 15
formation is vital be able to factor in all of these different options when planning your shipment,” he said. “You need to have accurate costing information prior to the placing of the order.” A second very important aspect of projects is the actual tracking of goods. “It is of vital importance for you to know exactly where all your containers are and where they need to get to,” Mendelow said. “Many projects fall behind schedule due to goods not arriving by the required delivery date. “You could, for example, have the entire construction teams sitting waiting, unable to work, due to cement not arriving.” To overcome these problems, Mendelow told FTW, Compu-Clearing has
now introduced ‘Trade & Track’ – a new product that deals specifically with these issues. This system is designed to help the importer and clearing and forwarding agents to get detailed costing information, freight analysis reports and pro-forma clearing and forwarding invoices – all prior to the actual placing of the order. “It will also assist with the tracking of goods, ensuring that there is absolute visibility throughout the shipment, and that the goods arrive at the importer before the required delivery date,” said Mendelow. “As always, it follows our basic company philosophy – that CompuClearing offers rock-solid systems for rock-solid companies.”
FTW1402
16 | JUNE 2009
‘Aim for niche markets – a positive in hard times’ By Carrie Curzon
E
ven during trying economic times, some companies come to the fore, finding niche markets that still offer growing business opportunities. One such is Robertson Freight which, in its ten years of existence, has found a lucrative niche in project cargo. The company’s main focus in the field lies in West African regions, where it is actively involved (both on an import and export basis) with countries like Angola, Sierra Leone, Nigeria and Congo DRC. They also co-ordinate regular project cargoes from the USA Gulf regions to select markets north of Angola. According to Neil Robertson, however, the size of these projects has drastically reduced.
“Honestly speaking, anyone who says the pace hasn’t slackened with the economic downturn should consider themselves fortunate.” That said, he adds that even since the beginning of April there has been an upturn in export volumes: “We are confident that this trend will increase as our shippers start realising that current projects have to be continued and completed to bear the fruits of the initial investments by the major players in the oilfield and mining sectors. “However, securing finance for these projects will not be as easy to come by as before, but we do have some dynamic clients who can diversify to weather the global economic downturn.” “Never say No”, could be the Robertson Freight motto.
Having recently quoted a local company to ship antennae and communication equipment to East Africa, their outlook remains nothing but positive. Other recent projects include: ● The handling of the charter of a multipurpose vessel to ship a dismantled brickmaking plant from Cape Town to Luanda, and ● Assisting in the charter of another multi-purpose vessel to accommodate a load of dismantled diamond mining equipment. Not easy of course. The former involved shipping huge cement silos, tons of drying racks, conveyors and kiln equipment, flat-racks and several 20’and 40’ GP containers. The latter eventually involved roadhauling from Gauteng to Richards Bay
and shipping to Sierra Leone. Despite all these day-to-day challenges, according to Robertson the biggest problem facing the company is getting payment secured prior to shipment, and the release of the necessary documents. “In most instances we have been fortunate to have been involved with reputable shippers who have proper guarantees set in place. “Co-ordinating transport of these project cargoes poses a problem, but it can be avoided by using the service of reputable transporters. “They may cost more, but it ensures deadlines are met. “Otherwise delays can mean the loss of thousands of dollars a day in charter costs, which may not have been budgeted by the shippers.”
The dismantled brick-making plant that Robertson freight sent to Luanda recently.
Arnold Garber
Executive Chairman Compu-Clearing Outsourcing
Sheldon Vorster
Product manager operational systems
Moshe Zulberg
Marketing representative
Emille Kamffer
Assistant warehousing solutions manager
Tel: 011 882 7300 www.compu-clearing.co.za FTW4389
JUNE 2009 | 17
‘Mining sector under siege’ By Liesl Venter
A
s the effects of the economic downturn continue to impact industries across the world, South African transporters are also feeling the pinch – especially when it comes to project cargo. The mining sector in particular has come under siege with projects either shelved or cancelled resulting in a dramatic downturn in cargo compared to last year. According to Herbert Muller, general manager of a hartrodt South Africa, project cargo has not come to a complete standstill but no growth is expected in this sector of the business in coming months. “It is not all bad – although we have already seen a dramatic downturn in volumes. It could without a doubt be much better.” Muller said last year the company moved approximately 2000 tons of project cargo, but
was expecting a decrease this year. “We have some small projects that we are still working on – some printing presses for Caxton and the CTP group that are on order now, as well as some mining equipment that has still to be moved, but otherwise it is quiet.” He said mines, often in big demand for project cargo, were in current economic times downscaling operations drastically. “We are seeing less refurbishment and very little investing taking place at present whereas last year we were very involved in moving machines for the refurbishment of several mines.” Muller said infrastructure upgrades in South Africa had also not really resulted in an increase in business, but it had not caused too much concern for the company. “We continue to keep abreast of our clients’ requirements and needs, ensuring that cargo is transported safely and timeously from one destination to the next.”
The leading logistics network
SDV PROJECTS What is a project?
■ List of Tasks ■ Over specified time period ■ Within a defined budget ■ ■ ■ ■ ■
SDV Projects have
Infrastructure Necessary experience & expertise Resources and backing of Bollore Group Proven track record QHSE compliant
Service is our priority
gen e
Shi
ng pi
Number one integrated logistics and transport network in Africa, Bolloré Africa Logistics is a greatly involved port operator, and a specialization corridor management and large industrial projects. It offers all economic players operating in Africa access to a tailor-made solution to their logistics and transport concerns, whatever their activity and whatever the countries. Bolloré Africa Logistics thus takes part in the development of economic activities on the whole of the African continent.
l ra
p
The preferred neutral road transport supplier to clearing + forwarding agents, importers and exporters.
ServiceS
Shipping & General Transport
SDV South Africa (Pty) Ltd 24 Covora Street, Jet Park P.O. Box 1018, Isando, 1600
Nationwide Transport and Warehousing specialists
Johannesburg, South Africa
T +27 11 873-4786 F +27 11 873-6066 reganm@shippingandgeneral.co.za www.shippingandgeneral.co.za BEE ACCREDITED
Tel: +27 11 398 5042 Fax: +27 11 398 5292 Email: c.brownson@sdv.co.za Email: j.baudelot@sdv.co.za www.bollore-africa-logistics.com
FTW3992 FTW4385
18 | JUNE 2009
‘Don’t base shipping decisions on price alone’
T
he West African project cargo market remains buoyant thanks to continued investment in large infrastructure-related projects. “While the global financial crisis has had some impact on the West African breakbulk market, it has not been as severe as initially feared,” says Mark Day, MPV national sales manager for Safmarine South Africa. “A number of large infrastructural and oil and gas projects continue to come on stream throughout the region and this bodes well for the project cargo industry. In fact, volumes for the first quarter of 2009 were slightly up on 2008 figures, which is an encouraging trend.” Day says breakbulk shipping volumes dipped in certain sectors as a result of letters of credit not being awarded, but there are encouraging signs that business is picking up. Which is one reason why several new, often speculative players, have entered the market. “Typically these tend to be ‘spot’ carriers who are often only in the trade for short term gain – their aim is to make a quick buck by reducing rates in order to fill available space on
voyages by-passing South Africa.” While the low rates are attractive to cargo owners and shippers – especially in the current tough economic climate – Day cautions against basing shipping decisions on price alone. “Anyone serious about succeeding in the African project market needs to take a long-term view when it comes to cost and space allocations. Spot carriers may offer cheap rates but they often do not have adequate knowledge of the market or local ports and this lack of experience can be very costly, particularly when vessels are delayed and deadlines missed. “Furthermore, when capacity is tight, established operators – who are in the trade for the long haul – will give priority to loyal customers.” Safmarine, which has been involved in the South Africa–West Africa breakbulk market for more than 15 years, says it will not participate in a rate war. Rather, the line will continue to focus on providing a quality service at a fair rate in order to ensure the long-term viability of the trade for everyone involved.
With collectively, more than 100 years of freight experience among our staff, we can confidently say: – “We are Your freight specialists” ❏ ❏ ❏ ❏ ❏ ❏
Out of gauge paper on board a Safmarine vessel ... encouraging signs that business is picking up.
CLEARING & FORWARDING AGENTS IMPORTS - EXPORTS
Customs Clearing & Forwarding Sea & Air Freight Marine Insurance Ships Agents Warehousing Transport & Logistics Consultants
ROBERTSON FREIGHT tel: +27 (0)21 421-0222/3/4/5 fax: +27 (0)21 421-0404/5 email: enquiries@robertson-cpt.co.za Visit us @ www.robertson-cpt.co.za FTW1146SD
Johannesburg Tel: +27 11 918 6645 Fax: +27 11 918 6618 e-mail: operations@falcongate.co.za
Musina
Tel: +27 15 534 2180 Fax: +27 15 534 2180 e-mail: ttm@messinashipping.co.za
Malawi
Tel: +265 1711 336 Fax: +265 1711 324 e-mail: gsalian@transtechmw.com
Imports • Exports Clearing & Forwarding • Warehousing General & Valuable Cargo
28 YEARS - A TRACK RECORD YOU CAN TRUST
Johannesburg Tel: + 27 11 392-5364 Fax: + 27 11 392-1841
Durban Tel: + 27 31 368-6661 Fax: + 27 31 337-0365
SA Diamond Centre Tel: + 27 11 334-1450 Fax: + 27 11 334-0004
email: phillip@forwarda.co.za • pieter@ forwarda.co.za www.forwardairandsea.co.za FTW4051
First For Freight into Africa • Durban / JHB to Malawi & Zambia direct • Exceptional Transit Time • Consolidations / Part Loads / Full Loads • Competitive Rates • Airfreight to Malawi & Zambia • Specialist Packaging & Crating • Hazardous/ Abnormal Loads • Break Bulk / Containerized / Specialized • Satellite Tracking & Daily Customer Reports w w w. t ra n s - t e c h . c o. z a
ftw4007
JUNE 2009 | 19
TCS sets up specialist project division By Alan Peat
A
developing skill in handling project cargoes has encouraged TCS Freight to start promoting this sort of cargo movement as a new discipline in the company, according to MD Rogan Brent.
‘TCS was responsible for moving all the construction machinery for the Lusaka to Choma road in Zambia – a project consignment including more than 60 tippers and road rollers.’ This focus on project cargo is now helping to occupy the transport and logistics division’s fleet of specialised project cargo trailers, he told FTW. “We now have 17 lowbed stepdeck loaders,” he added, “ranging from 30 to 47-tonne load capacity. “We also have other well-deck loaders, ranging from 55-75-t.”
These haul cargoes on the Durban-Johannesburg route – and to anywhere in the sub-Saharan area, according to Brent. The company has developed a specialised sector working on project cargoes, and the experience to date has been highly satisfactory, he added. This has included the Sakonia project for a mine in the Copper Belt; and sections and structures for a bridge on the Ndola to Sakania road in Zambia. There has also been the movement of four Terex 240 excavators, each in 38 loads, from Durban to the Fungurume mine in Tenke in the Democratic Republic of Congo (DRC). “These,” said Brent, “were intended for the excavation of this principal mine in the region.” TCS was also responsible for moving all the construction machinery for the Lusaka to Choma road in Zambia – a project consignment including more than 60 tippers and road rollers. FTW1637SD
GATEWAY INTO AND OUT OF AFRICA Shipping Services
Ndola Kapiri Mposhi
Clearing and Forwarding
Lilongwe
Dedza border post
Lusaka
Blantyre
Warehousing
Harare
Tete Beira
Logistics
Durban + 27 31 460 0700
Procurement Johannesburg
Durban
www.bridgeshipping.co.za Cape Town
FTW4140
Johannesburg + 27 11 625 3000
20 | JUNE 2009
From Celine Dion to Mighty Men – Silic has it taped By Alan Peat
T
o be a success in project freight you have to get the planning right, according to Warren Sievwright, operations director of Silic Logistics. “It is one of those areas of the industry that takes an immense amount of planning,” he told FTW. “For example, many man-hours go into breaking down the packing list; creating trailer-sized parcels; doing route inspections; and scheduling departures and arrivals according to the construction plans.” It is apparent that – with Silic Logistics being the preferred logistics contractor on major live event tours such as World Summit; Celine Dion; 46664; and Mighty Men – the company has the implicit knowledge required to handle some of the strictest budgets and schedules possible, Siewright added. “It all comes down to commongoal focus, transparent planning, and continual communication,” he said. “For such events we handle the entire logistics programme – organising up to 100 movements of staging, lighting, sound and audio-visual equipment to the
respective venue in time for the event. It is a matter of hours-and-minutes.” And, with such a time-sensitive product, the logistics company has to get the information early, according to Silic marketing director, Angus Dustan. “This has to be long before the vessel or plane arrives,” he said, “often consulting the principals on their planning so that our side runs as smoothly as possible.” Silic’s location on Maydon Wharf at Durban harbour also plays an important role. “We are ideally placed for handling seafreight projects arriving or departing from SA,” Dustan said. “It means we have hands-on management as soon the cargo arrives – and the ability to have men immediately on the ground to ensure safe and effective handling makes all the difference.” Financial director Nick Fountain stressed that, through hard work on the event side, it was inevitable that Silic's reputation would grow in the project freight industry – with word now filtering through to the industry in China, Southern and Central Africa. “For example,” said Fountain, “we have just quoted on the handling of
Celine Dion ... Silic was the preffered logistics contractor for her SA tour. seven vessels arriving intermittently over this year with cargo to be delivered in parts from China to Maydon Wharf, and finally destined for a power plant in Africa. “We have already done all the route
surveys and scheduled the trucks – and that for a project that only looks set to begin around August.” This project function is part of Silic’s four operational divisions – domestic and cross-border transport; warehousing; international freight; and live-event and project logistics. “Our service commitment to our clients is based directly on their requirements,” Dustan said, “where we like to think outside the box. “By assessing their current systems, we aim to provide them with cost-effective and hands-free solutions, allowing the respective company to continue the business of doing business.” The company is also busy developing its other logistics services, and acquiring extensive premises in and around Durban. “We now have warehousing and container-handling capabilities in the busiest break-bulk metropolis in Africa,” Dustan added. “Which – together with what we call a ‘virtual fleet’ of over 800 vehicles all over sub-Saharan Africa – allows us the flexibility our clients require, and to operate on short-notice at competitive prices.”
Africa specialist
with a handle on AngolA
We take the hassle out of
hazardous cargo Full & part loads • Consolidations • Breakbulk to Botswana, Namibia, Zimbabwe, Zambia, Malawi and DRC LOCAL AND CROSS BORDER FREIGHT CONSOLIDATORS
FTW4249
Tel: +27 11 869 1585 Fax: +27 11 869 4524 e-mail: info@hbservices.co.za www.hbservices.co.za
Your BBBEE logistics partner
CLEARING • FORWARDING • SHIPPING WAREHOUSING • PACKAGING
Contact Hannes Rust
Tel +27 11 262 3809 +27 11 262 0135 email hannes@chavda.com www.chavda.com
FTW4278
Specialising in: Same-day deliveries Special Projects Overborder Cargo Vehicle Hire 65-strong fleet Contact Mark Scott 082 557 4869 mark@ngllogistics.co.za Quinton de Villiers 082 573 0595 quinton@ngllogistics.co.za FTW4387
www.ngllogistics.co.za
JUNE 2009 | 21
www.celtic.co.za www.celtic.co.za
Restricted hours for project loads remains a contentious issue By Liesl Venter
T
raffic authorities agree that road and rail networks continue to be the backbone of the South African economy, and therefore it remains imperative that they are protected and preserved. Which makes stringent laws around the transportation of abnormal loads and heavy project cargo necessary. According to the Department of Transport the damage to roads caused by heavy-vehicle overloading runs into hundreds of millions of rand while safety of all road users must be guaranteed at all times. Gavin Kelly, technical and operations manager of the Road Freight Association, says legislation around the allowed travel time of especially large abnormal loads remains contentious. “The amount of work that is to be done and the amount of time open to operators to move goods from manufacturers and the ports to customers remains an issue.” Many of these vehicles are only allowed to travel in daylight and not in peak traffic time.
Edna Mamonyane of the Johannesburg Metro Police says this is mainly because it is safer to travel in the day, while it also allows for well-rested drivers. “Drivers must rest to be able to function at their optimum level. They are responsible for heavy vehicles with valued cargo on board and already they cannot react quickly just due to the size of the vehicle. How much more of a danger if you have a tired person operating these vehicles?” Her advice to operators is not to take chances – either with their drivers or with the loads. “Overloading remains a problem for traffic officials and we are very strict in policing it. It is dangerous should the driver of the truck lose control, but also causes much damage to the infrastructure.” Kelly maintains that very few incidents occur where road users are unhappy with heavy load operators or even large project cargo. “Obviously one could not move this during peak hour traffic, but we are moving these large loads with the least amount of negative effect on standard traffic flows.”
Abnormal loads Abnormal loads
South Africa South Africa to to
Johannesburg: Johannesburg: +2711 11392 3921397 1397 +27 Lusaka: Lusaka: +260211 211287 287113 113 +260 Durban: Durban: +27 31 914 0270 +27 31 914 0270 celtic@celtic.co.za celtic@celtic.co.za or +27 11 392 1397 or +27 11 392 1397
Zambia Zambia • Abnormal Cargo Abnormal Cargo • • Trucks - Tractors - Farming Equipment Trucks - Tractors - Farming Equipment • • Machinery and Trucks moved ... Safely • Machinery and Trucks moved ... Safely • No Driving of Vehicles • No Driving of Vehicles • Direct from Durban port to Zambia • Direct from Durban port to Zambia • No Hassles with Drivers or Diesel • No Hassles with Drivers or Diesel
FTW1394SD
World-wide Transport and Logistics Management with over 950 employees in more than 80 countries
T R A N S P O RT I S O U R B U S I N E S S
✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔
World-wide Sea and Air-Transport Customs Clearance Supply Chain Management Wine Logistics Project Forwarding IT Management Tracking & Tracing Logistics & Distribution Consultancy
Big enough to cover the world and the whole range of services Small enough to serve every customer individually and most flexibly
Johannesburg: Cape Town: Port Elizabeth: Durban: FTW2933
Tel: (011) 929 4900 Tel: (021) 380 5860 Tel: (041) 581 0696 Tel: (031) 584 6381
Fax: (011) 397 4221 Fax: (021) 386 2498 Fax: (041) 581 0715 Fax: (031) 584 6380
e-Mail: johannesburg@hartrodt.co.za e-Mail: capetown@hartrodt.co.za e-Mail: portelizabeth@hartrodt.co.za e-Mail: durban@hartrodt.co.za
www.hartrodt.com
From Caterpillars
Graders and front end loaders had to be used to pull the trucks out of potholes which become craters in rainy weather.
to the Confederations Cup
S
DV’s projects department clearly thrives on challenge – and the movement of Caterpillar equipment from Durban to the DCP mine in Kolwezi, DRC recently was evidence of this. The 3 500 km journey included narrow and unsteady bridges when available, and barge crossing when not.
Added to the mix were gigantic muddy potholes where trucks would have sunk without graders and backhoe loaders. “And if the poor infrastructure was not enough, the size of some of the equipment presented its own challenges,” Jacques Baudelot, SDV commercial manager, told FTW. “The largest piece could not be
moved as a single load and had to be dismantled and distributed among several loads. “The four RH340 excavators (540 tons) were transported as 17 loads while the 230 ton bulldozer was moved in eight,” he said. Despite the challenges, the equipment reached its destination in pristine condition.
FTW1418SD
Closer to home the company has been involved in several Fifa-related events. For the Confederations Cup SDV is moving 150 containers of marquees, tents, toilets and stadium equipment. “It’s a real challenge,” says Baudelot, but moving the equipment from Europe and China to designated sites at very short notice is part and parcel of what SDV's project department is all about.
YOUR GLOBAL SPECIALISTS • Containerised Shipments • Breakbulk Shipments • Reefers and Non-Operating Reefers • Cross Trade Bookings • Project Cargo • Vessel Chartering • Freight All Kinds • Minerals and Metals Johannesburg Manju Pather or Siva Pather Tel: (+27 11) 679 1651 Fax: (+27 11) 679 1655 siva@landsea-shipping.co.za manjup@landsea-shipping.co.za
Durban Jayse Pather Tel: (+27 31) 539 9281 Fax: (+27 31) 539 4051 jayse@landsea-shipping.co.za
FTW3988
THE IMPOSSIBLE IS HISTORY
Throughout the ages man has been pushing the boundaries of what is possible. We do it every day.
+27 31 705 1404
www.lovemore.co.za
FTW4367
JUNE 2009 | 23
Cargo keeps moving despite slowdown
I
t could take three to four years to get back to ‘Go’, according to Dave Johnson, managing director of Edgin Logistic Solutions. Which is not to say he is that pessimistic about the current state of economic affairs. In fact far from it. “From our perspective the outlook is very good,” he says. “We have managed to streamline our operations so that even if there was no improvement in the economy we would still show some small growth year on year. “Considering that there are already signs of commodities bouncing back, it’s clear that an upward curve is beginning.” However, he adds a word of caution. “Having said that, we are of the opinion that it will be at least three to four years before we are handling the volumes we did before the worldwide slowdown in trade.” From its warehouse in the Cape Town foreshore, Edgin receives and packs project cargoes that can involve either specialised packaging and
crating, or the expert securing of large items on flatracks. The company then ensures safe transportation of the cargo to the port and on board the vessel. For imports the reverse applies, as for example the large consignments currently being handled for the Greenpoint Stadium. Dealing with project cargo is a fast-growing part of Edgin’s business, particularly with the addition of Rob Brown to their staff early this year. A doyen in the projects industry, he brought many of his clients dealing with specialised cargoes with him. At Edgin some slacking off in the work-load is expected over the next 18 months, because most of the large projects are planned two to three years in advance. “There are now fewer enquiries, but workwise not much has changed,” explains Johnson. “We face three challenges now and each of those is ‘to remain positive’. “It was after all negative perceptions of the world’s credit worthiness that created this mess in the first place.”
Your
Cargo
Gurus
Containerised ● Bulk ● Over Border ● Cabotage ● Track & Trace ● Rail & Road ● Warehousing ● Container Park ●
Branches: Gauteng / Durban / Port Elizabeth / Cape Town Tel: 011 824 4144/5 Fax: 011 824 4148 Email: info@freightco.co.za FTW4225
INTEGRATED GLOBAL SOLUTIONS PROVIDER INCLUDING PROJECT TRANSPORTATION & LOGISTIC SERVICES
Creating visibility across the supply chain
Johannesburg Tel: +27 11 396-1830 Fax: +27 11 396-1925
Durban +27 31 337-8567 +27 31 332-1588
Cape Town +27 21 386-0136 +27 21 386-0134
www.geodiswilson.com FTW4374
FTW3913
By Carrie Curzon
24 | JUNE 2009
Your China Forwarding Specialists
33 Galaxy Ave Linbro Business Park Sandton Tel: 011 608-2180 Fax: 011 608-1673 email: bali@chalba.co.za
70 Silver Street Stamfordhill Durban Tel: 031 303-1820 Fax: 031 303-2010
FTW3531
Clearing, forwarding, logistics, breakbulk and project cargo
Transportation & Warehousing including hazardous cargo Packing & unpacking (BEE Accredited)
Committed to superior standards of customer service which founded Firstclass Logistics and inspired our vision Johannesburg: Tel: 011 826 4417 Fax: 011 826 2354 Gashen@fcl-sa.co.za
Durban: Tel: 031 312 0720 Fax: 031 312 0778 Pregasen@fcl-sa.co.za Ritesh@fcl-sa.co.za
w w w. fi rs t c l a s s l o g i s t i c s. c o. z a
FTW4026
Roadfreight to/from
ZIMBABWE
• Full Loads • Part loads • Consolidations • Full Loads to Zambia Associated offices • Harare • Beitbridge • Mutare FTW3517
CARGO CRATES FOR ANYTHING FROM MACHINERY TO FINE ART
Tel: +27 11 221 3300 Fax: +27 11 334 5567 Email: warren@leoship.co.za
Sydney Ramoorthy ... advanced file tracking functionality.
‘Software system features add competitive edge’
W
hen it comes to project cargo, co-ordination is key. Which is why it’s crucial that any software system helps the operator to manage the status of each file involved in the project, says Sydney Ramoorthy of Core Freight Systems. “CoreFreight has advanced file tracking functionality which maintains a record of each key process step as it occurs,” says Ramoorthy. “This provides a log of the user who has taken the action along with a date and time stamp on the activity. “In addition an audit trail of when the electronic files have been passed from one user to another provides management with the ability to identify bottlenecks and circumvent these as required.” Comprehensive reporting is available both online and as excel output, he added. “This is used for both internal monitoring of transaction process flow and to report service level performance to clients as required. “Escalation of events that have not met predefined time periods is also available.” There are three levels of escalation that can
be set up within CoreFreight. “First is to the responsible user himself, then perhaps to a supervisor and after that to a manager. Issues are only escalated when they exceed the period allowed for resolution at the previous level.” The intention behind the application is to proactively identify potential problems and provide the opportunity for each responsible individual to mange them accordingly, he said. Ramoorthy believes the “Personal Task Manager” used by each operator on CoreFreight is another pertinent feature of the application. “This functionality groups files logically according to where they are in the transaction process, allowing the individual to view the status of his workload at a glance and drill down to specific files for action as required. “With a little imagination it becomes obvious that the benefits of the system that will accrue in the project environment are equally relevant to the general operation of an agent’s business – and we believe it’s what helps to provide competitive edge,” he said.
CAPE CRATING
SPECIALIST CARGO HANDLERS
P R O F E S S I O N A L W R A P P I N G , PA C K I N G , C O N TA I N E R L O A D I N G A N D S E C U R I N G Owen 082 457 9557 FTW3827
Sean 083 676 3405
sales@capecrating.co.za
JUNE 2009 | 25
Getting the basics right By Alan Peat
T
here are certain basics that any player must bring to the project cargo party, according to Alfred Thamm, projects manager of the Super Group’s forwarding arm, Micor. “Any proficient project forwarder must be able to undertake route surveys, perform heavy lift studies, undertake port and shipping studies, find and maintain relationships with the best industry sub-suppliers for transport and rigging services and advise on revenue service and insurance procedures both locally and elsewhere.” The company believes it has special expertise in the markets of Africa, China and the CIS – the last being predominantly Russia in Micor activities, but also including the former Soviet states of Belarus, Ukraine, Armenia, Azerbaijan, Kazakhstan, Kyrgyzstan, Moldova, Turkmenistan, Tajikistan, Uzbekistan, and Georgia. “Locally, we have niche experience in the shipment of project cargoes, particularly turnkey projects and crossborder movements,” said Thamm. “As a result of our flexible and efficient cargo delivery capabilities, we are becoming increasingly involved in handling global projects. Our global
With more than 50 years of experience in South Africa, we are your dependable partner in transportation and logistics!
● Price ● Industry knowledge ● Reliability
• 45 Offices worldwide • Strong East African Network • Specializing in Project Management and General Cargo Services
● Comprehensive service ● One-stop-shop solutions
●
Warehousing and distribution
● Market knowledge
network is a highly dedicated team of project shipping experts, and has the specialised skills and experience needed to efficiently handle cargo challenges of this type.” The driving force behind the company’s projects focus, according to Thamm, is simple. “Price, industry knowledge, reliability, comprehensive service, one-stop-shop solutions and market knowledge are definitely the important factors,” he said.
Spedag South Africa (Pty) Ltd., Johannesburg: Spedag (Uganda) Ltd., Kampala:
FTW1210SD
+27 (11) 974 9772 +256 (41) 505 900 www.mrspedag.com
26 | JUNE 2009
World Cup
keeps Geodis on the ball By Alan Peat
T
he 2010 World Cup soccer tournament – a major highlight of SA’s next sporting year, and the first time the cup has been held on the continent of Africa – has been helping to keep the projects cargo division of forwarding operation, Geodis Wilson, extra busy in recent months. With more or less a year to go to the kick-off, according to MD Jan Ludolph, this global project specialist has had further successes to report since completing the logistics for the Moses Mhabida World Cup soccer stadium in Durban. This project was a first consignment consisting of the 14 000 freight tonnes of steel that made up the roof arch, and a second shipment of all the fibreglass roofing material – occupying about twenty 40-foot (12-metre) open-top containers. The third seafreight movement was the extremely unusual shipment of the cable car that will be attached to the roof arch – and is expected to be a major tourist attraction in Durban. The success of the Durban project
FTW0972SD
encouraged Geodis Wilson in Cape Town to offer logistics solutions to interested parties for the Greenpoint Stadium in the Mother City. Again, the stadium roof has been the major cargo movement. This was shipments of compression, horizontal and vertical beams, all the glass required for the roof, fabric for the membrane, and a lot of accessories – this latter described by Ludolph as “the nuts and bolts of the project”. This cargo for Greenpoint Stadium – officially due to open in December – was brought in both by sea and air from all over the world. Said Ludolph: “Geodis Wilson colleagues both locally and internationally deserve recognition for being awarded the transport of the roof structures for the two stadia, as well as showing how successfully, and with what vigour, we are making things happen.”
The complete Greenpoint stadium … cargo was brought in both by sea and air from all over the world.
JUNE 2009 | 27
Global tie-up adds project muscle By Alan Peat
A
global partnership tie-up has allowed GAC Laser International Logistics to play a more significant role in SA’s project cargo industry, according to Durban-based regional managing executive, Carol Holland. “GAC owns 50% of Laser International Logistics in SA,” she told FTW. “As a result, we have secured additional project shipments. This due to their many years’ experience and specialisation in project management worldwide.” The group has a widespread area of focus for its project cargo division, operating in such industry sectors as oil and gas, mining, engineering, procurement and construction, pulp and paper, plant and factory relocation, and military and aid cargo. And a look at its recent orderbook for project shipments shows an equally wide selection of product types that the company has moved. The export of two umbilical reelers in a 40-foot (12-metre) flat
rack from Cape Town to Scotland was one such project. This out-ofgauge consignment measured 3.75 m long, 2.8 m wide and 3.66 m high, weighing in at 19-metric tonnes and occupying a volume of 76.086-cubic metres. “We have also recently handled a number of abnormal shipments for a platinum smelter expansion project,” said Holland. “One of these was a shipment from Hamburg to Durban – with a final destination in Rustenburg – consisting of two star coolers.” Another export move was the road transport of two Mafi tractors to Lobito in Angola. Destined for the SAB Miller brewery at Rosslyn were five fermentation tanks – each measuring 21.859-m long, 5.675-m in diameter, scaling in at a weight of 25-tonnes a tank, and giving a total project weight of 125-t. These GAC Laser International Logistics freighted directly from the manufacturing works in Germany and delivered to the SAB site in June to August last year.
WE make the complex simple Your supply chain solution partner Specialising in China BEE level 4
Johannesburg Durban Cape Town Email:
Tel: +27 11 496 3535 Tel: +27 31 462 7330 Tel: +27 21 447 8237 info@buffalofreight.co.za
Est. 1999
Fax: +27 11 496 3541 Fax: +27 31 462 7342 Fax: +27 21 448 5044 www.buffalofreight.co.za
FTW3910
In for the Long Haul ● transport ● Warehousing ● Project Logistics ● shipping ContaCt us on: 08610 sILIC (74542) www.silic.co.za FTW4314
PART OF
GROUP
28 | JUNE 2009
Risk management a crucial element for project cargoes By Alan Peat
T
he high value and often complex nature of project cargoes vastly increases the need for risk management, according to Dave Oram, a partner along with father Syd Oram in survey and claims investigation specialists, DS Oram & Associates. And a full-scale examination of the cargoes as they land in SA is a vital part of this risk management procedure, he told FTW. “We currently undertake survey and claims investigation for several of the
Advertisers' Index a. hartrodt AON Associated Marine Aviair Freight Logistics Beluga Group Boxcon/Metcon BP Freight Bridge Group Buffalo Freight Canada States Africa Line (Mitchell Cotts Maritime) Cape Crating Castle Transport Celtic Freight
21 8 28 2 IFC 28 13 19 27 25 24 10 21
large local marine underwriters, and risk management/project cargo discharge supervision for several of the large clearing and forwarding agents who specialise in projects in the Southern African region. In some instances, clients require continuity of survey and consequently request that we travel to the load ports in Europe/Far East to undertake the loading surveys of items ultimately destined for Southern Africa” The father and son combination brought over 50 years of combined experience in the marine survey and insurance industries into play at DS Oram & Assocs. In the early years of his career from 1998 Chalba Freight Chavda Freight Clover Cargo Compu-Clearing Conop Freight Container World Core Freight DS Oram & Associates Edgin Logistic Solutions Expolanka Freight Falcongate Logistics First Class Logistics Forward Air & Sea Frits Kroon Transport GAC Laser Geodis Wilson Global Inspections South Africa
Be container-wise and choose
for a Quality Service Delivery
24 20 19 16 22 7 8 12 11 22 18 24 18 7 14 23 4
with D S Oliver & Company, Dave was involved with surveys of projects involving the handling of abnormal/heavy-lift cargo – like the Mozambique Aluminium Smelter (Mozal) Phase 1 in Maputo and the Phase 1 extension; the expansions of breweries in Johannesburg and Durban for SA Breweries (SAB); the export of 98-tonne heat exchangers to the Middle East for DB Thermal; and the Hillside Aluminium Smelter expansion in Richards Bay. Syd, meantime, has had over 40 years experience in the marine insurance industry during his time with the Grindrod Group where he was a director of Unicorn Lines, HB Services 20 Hoëgh Autoliners 13 Interlogix 2 Land & Sea Shipping 22 Leo Shipping Services 24 Logan Freight Services 13 Lombard Insurance Group OBC Lovemore Bros 23 M&B Transport 15 Macro 2000 4 MACS Maritime Carrier Shipping 26 Manica Group Namibia 1 Micor 6 MSC Logistics 14 MSC Shipping 10 NGL Logistics 20 Nomad Freight 28
&
Johannesburg: Durban:
Tel: +27 11 3020000 Fax: +27 11 3020092 Email: metcon@mur.co.za Tel: +27 31 2776530 Fax: +27 31 2776531 www.metconsouthafrica.com
PLM – Project Logistics Management Prestmarine International Reddy Cargo Services RB Freight Management RFB Logistics Robertson Freight SACD Safmarine SDV South Africa Shipping & General Transport Silic Logistics Spedag South Africa TCS Logistics United Maritime Logistics Vanguard Wallenius Wilhelmsen Logistics
5 4 8 11 6 18 5 9 17 17 27 25 12 6 3 IBC
Trust is good, control is better
Pick the Transport mode Pick the destination Containerised Cargo Cargo Broking Clearing & Forwarding Airfreight Warehousing & Storage Groupage Local & Over-Border Transport
and responsible for the portfolio of risk and legal services – and is now an integral part of the company’s claims handling team. In the months since its inception, DS Oram & Associates has already undertaken specialised survey work for Siemens and Eskom through local C&F agents, and involving the handling of transformers up to 215-t. It offers a full spectrum of marine survey services, including marine and goods-intransit claim investigations; loading and discharge supervision surveys; cargo tally services; and cargo securing/loading for shipment and road transit.
nomad
freight
Anna Marie van der Laarse: Tel: +27 (0) 15 530 0081 Cell: +27 84 432 2423
musina (
pty) ltd
JHB: +27 (0) 11 461 1300 DBN: +27 (0) 31 301 0392 Maputo: +25 82 131 0561
E-mail: rord@nomadsa.co.za www.nomadsa.co.za FTW3751
FTW4256
A Division of Santam Limited
Rest insured ... While we insure your risks Marine Cargo Insurance being Import, Export | Advance loss of Profits | Stock Through Put Marine Goods in Transit and liabilities attaching thereto | Hull - Private and Pleasure, Commercial and Fishing Marine Liabilities, i.e. “Charterers” “Ship Repairers” “Stevedores” and “Marine Operators”
Cape Town 021-419 5445/8 Durban 031-201 1055/6 Johannesburg 011-358 9010 Port Elizabeth 041-373 2315 petra.fordyce@amua.co.za www.santam.co.za FTW1167SD
We’re big on breakbulk.
Whether you’re shipping machine tools, giant generators, or any other type of non-containerized cargo, Wallenius Wilhelmsen Logistics has the know-how and equipment to do the job. All of our vessels are designed to carry oversized units. We also customize deck storage space to meet more unique requirements. Our specialized handling equipment enables us to safely load and discharge virtually any type of cargo — even in ports with limited facilities. For a competitive quote on your next cargo shipment call +27 31 277 65 00 or visit www.2wglobal.com
FTW1669SD
Timesquare 9763
Customs and Excise Bonds
Credit Insurance
Trade Finance
Construction Guarantees
Mining Rehabilitation Guarantees
Fuel Guarantees
Utility Guarantees
Guaranteed to keep your business moving, night or day Lombard literally takes the load off your back by
environment. A Lombard Guarantee will also give you
providing all the guarantees you require to move cargo.
the security required to establish credit facilities for
We cater for the full bouquet of Customs & Excise bonds
Port dues, Rail costs, Air Cargo charges and even
– Transit, Deferment, Bonded Warehouses etc - and
Fuel usage. If you are in the business of clearing,
understand the complexities of this essential statutory
forwarding or moving Cargo – speak to our people.
Physical Address: Ground Floor, Building C, Sunnyside Office Park 2 Carse O’ Gowrie Road, Parktown, 2193, Johannesburg, South Africa Phone: +27 (0) 11 551 0600 Fax: +27 (0) 11 551 0676 www.lombardins.com
FTW1694SD