GLOBAL SUPPLY CHAIN JANUARY 2019 ISSUE

January 2019 Issue 55

ENHANCING THE BUSINESS OF LOGISTICS

RIGHT STOCK, RIGHT PLACE, RIGHT TIME Chalhoub reaches new levels of service with Slimstock’s revolutionary inventory optimisation solution.

Port of Duqm

Rising maritime hub

Dubai South Finding true North

ALS Logistic Solutions-Goldhofer Potent partnership

YOUR VULNERABLE CARGO IS IN SAFE HANDS WITH TURKISH CARGO At Turkish Cargo, We Transport Your Vulnerable Cargo to the Most Countries with Utmost Care and Commitment.

turkishcargo.com

                                                                  

         

Bespoke Logistics Project of the Year 2017

Domestic Logistics Service Provider of the Year KSA 2017

GCC Supplier Of The Year 2017 KSA Supplier Of The Year 2017

Retail is all about detail SIGNATURE MEDIA FZ LLE P. O. Box 49784, Dubai, UAE Tel: 04 3978847/3795678 Email: info@signaturemediame.com Exclusive Sales Agent Signature Media LLC P.O. Box 49784, Dubai, UAE Publisher: Jason Verhoven jason@signaturemediame.com Editor: Malcolm Dias malcolm@signaturemediame.com Art Director: B Raveendran ravi@signaturemediame.com Production Manager: Roy Varghese roy@signaturemediame.com

Printed by United Printing Press (UPP) – Abu Dhabi Distributed by Tawseel Distribution & Logistics – Dubai

Contributor’s opinions do not necessarily reflect those of the publisher or editor and while every precaution has been taken to ensure that the information contained in this handbook is accurate and timely, no liability is accepted by them for errors or omissions, however caused.

Articles and information contained in this publication are the copyright of Signature Media FZ LLE & SIGNATURE MEDIA LLC and cannot be reproduced in any form without written permission.

It is abundantly clear that with the advent of e-commerce, the global retail industry has been severely shaken. No more is it ‘business-as-usual’ environment for an industry confronting challenges particularly for the traditional ‘bricks-and-mortar’ high-street sales outlets, shopping malls and other physical retail channels.

In the light of this volatile situation, retail establishments are reinventing themselves and also closely examining current practices and the manner in which they conduct their businesses.

The top, long-established luxury purveyor, the House of Chalhoub is a case in point. A short time ago, the retailer initiated a review of its inventory management.

Consequently, systemic changes were ushered in.

Our cover story for this edition is the Dutch-headquartered Inventory Management Solutions provider Slimstock, whose software and consultancy has helped businesses globally increase availability and reduce inventory costs.

The company was hired by the Chalhoub Group to reform and revamp inventory management procedures. The results were startling with benefits reaped by the retailer in the first few months of adoption. Read on for the low down.

Elsewhere, Dubai South is rising as the go-to hub for investment in multiple, key industry sectors comprising multi-modal logistics and supply chain, aviation, aerospace, maritime and more. It has gained immense prominence as the site for the upcoming Expo 2020. We sit down with Mohammad Al Falasi, Director-Business Development, Dubai South, for an update.

Elsewhere, we visit the offices of ALS Logistics Solutions in Dubai’s Jumeirah Lake Towers business district to hear out the top brass announce their partnership with Germany’s Goldhofer, the manufacturer of quality ground support equipment for airports worldwide.

As with every edition, we have a full roundup of news, views, features, profiles and more.

Finally, I would like to take this opportunity to wish our readers a happy New Year and hope 2019 has got off to a good start. Hope this year holds much promise and potential!

Malcolm Dias Editor malcolm@signaturemediame.com

JANUARY 2019 3

January 2019 Issue 55

ENHANCING THE BUSINESS OF LOGISTICS

20 06: NEWS 20: Slimstock – Chalhoub Group symbiosis Slimstock’s revolutionary inventory optimisation solution helps Chalhoub Group get the right stock to the right place at the right time.

32: Port of Duqm rising The Sultanate of Oman’s newest and fastest growing port harbours ambitions for becoming a maritime hub.

36: Dubai South Dubai South is the new centre of business and industrial activity in the Emirate thanks to Expo 2020 Dubai.

40: KIZAD-COSCO collaboration KIZAD’s partnership with COSCO 4 JANUARY 2019

bodes well for China’s Belt & Road Initiative.

44: IVECO in high gear The top global truck, trailers and van manufacturer is making inroads in the region.

46: ALS Goldhofer ALS Logistics Solutions and Goldhofer, the German manufacturer of quality ground support equipment for airports worldwide, make a winning combination.

48: KIZAD Polymer Park KIZAD’s proposed Polymer Park is a boon for the polymer and plastics exporters.

51: Continental Tyres Germany’s Continental has unveiled the first driverless tyre test vehicle.

52: Emirates SkyCargo 2018 review The region’s and international premier air cargo carrier has performed well in 2018.

55: DP World: Cargo on the uptake The throughput of non-containerised cargo such as break-bulk, bulk and project cargo has grown at DP World’s flagship Jebel Ali Port.

57: King Salman International Maritime Complex Saudi Arabia’s King Salman International Complex for Maritime Industries and Services is steadily taking shape on the Kingdom’s Eastern coastline.

Parts that take Parts that take you further Parts that take you further you further Keeping your truck on the road, that’s what it’s all about. And Genuine Volvo Parts are vital to maximise your uptime and achieve the most profitable ownership possible. They are designed to fit and function perfectly with your truck.

Keeping your truck on the road, that’s what it’s all about. And Genuine That’s why we 2 yearsyour fitteduptime parts and warranty when Volvo Parts areoffer vital atofull maximise achieve thefitted mostby an authorized Volvo workshop.

It covers repair or replacement ofGenuine parts.

Keeping your truck onpossible. the road,They that’s it’s alltoabout. profitable ownership arewhat designed fit andAnd function And even consequential damages. perfectly Volvo Partswith areyour vitaltruck. to maximise your uptime and achieve the most

profitable ownership possible.

They are designedon to fit and function See it as warranty business.

That’s whya we offer aonfullyour 2 years fitted Read parts more warranty volvotrucks.com when fitted by perfectly with your truck. an authorized Volvo workshop. It covers repair or replacement of parts.

And even That’s why consequential we offer a full damages.

2 years fitted parts warranty when fitted by anSee authorized Volvo workshop.

It covers repair or on replacement of parts. it as a warranty on your business.

Read more volvotrucks.com And even consequential damages.

See it as a warranty on your business. Read more on volvotrucks.com

genuine volvo parts

2fitted years parts 2warranty years 2 years fitted parts fitted parts warranty

warranty

objective to become a global destination for luxury tourism.

Twenty-two islands on the Red Sea will be developed as part of the project that is expected to create an estimated 70,000 jobs.

It will not just contribute SAR 22bn (US$ 5.9bn) to Saudi Arabia’s GDP, but play a major role in the Kingdom’s economicdiversification drive, a chief objective of Vision 2030, by attracting approximately one million tourists annually.

The first phase of the project, scheduled to be completed in 2022, will include an airport, marinas, residential properties, recreational facilities and up to 3,000 hotel rooms.

King Salman lauded the delegates for planning a project that will propel

Saudi Arabia’s Red Sea mega project on track A delegation from the Saudi Arabia’s Red Sea Development Company, led by Chief Executive John Pagano, was recently received by King Salman Bin Abdulaziz Al Saud at the Araqa Palace in Riyadh. Also present on the occasion was Crown Prince

Mohammed Bin Salman, Chairman of the Company, was also present.

Pagano made a visual presentation at the palace on the master plan of the Red Sea Project, underlining its economic and development goals and the project’s

Agility to invest US$ 100mn in ‘Shipa’ digital logistics Agility has announced it will invest U$100 million over three years to launch shipa.com, a digital logistics platform that lets businesses, entrepreneurs and consumers manage their freight, e-commerce, and urban deliveries online.

“Shipa.com makes life easier through technology, whether you are a small business running your supply chain with a few clicks, or a consumer getting your shopping delivered with a few taps on your phone,” asserted Henadi Al-Saleh, Chair, Agility.“Shipa.com makes logistics convenient, jargon-free, trackable, accountable and accessible,”she continued.

Shipa Ecommerce offers integrated freight, fulfillment, delivery and returns solutions across the Arabian Gulf with additional reach into the

6 JANUARY 2019

EU and Africa planned for the near future, the company revealed in a press communiqué.

Shipa Delivery offers businesses and consumers on-demand, sameday, next-day or cross-border delivery across the Arabian Gulf. Intuitive and easy-to-use, the platform is accessible by mobile or directly integrated with its business customers, the company indicated.

Shipa Freight allows small businesses to get instant and transparent freight quotes, and to book, pay and track ocean and air shipments around the world on any digital or mobile device.

“Logistics is the backbone of commerce. Small businesses often lack access to the logistics resources, tools and solutions that larger businesses have,”Al-Saleh concluded.

Saudi Arabia to a prominent position on the global tourism map and create investment opportunities for the Kingdom’s private sector, while simultaneously preserving the nation’s cultural and environmental heritage.

Dubai South unveils the Aviation One office complex Dubai South unveiled today the Aviation One office complex, the Dubai South flagship commercial property on the sideline of Middle East Business Aviation Association (MEBAA) 2018.

“The Aviation one is a premium and one-stop shop business facility. A unique commercial complex in new Aviation District at Dubai South, Aviation One is located next to the VIP Terminal the heart of the General Aviation District at Dubai South,” said Tahnoon Saif, Chief Executive Officer, Aviation District, Dubai South.

Unveiling this modern business address in the heart of the new aviation capital of the world, was one of many activities Aviation District, Dubai South had during MEBAA

show 2018. Other activities included hosting VIP guests to introduce them to the facilities of the VIP terminal, as well as signings with other aviation partners.

Tahnoon Saif stressed the full support of Aviation District to MEBAA Show. He emphasized the importance of MEBAA in

promoting market through highlighting matters of interest to the aviation business and community.

Dubai South has a world-class, integrated aviation and aerospace ecosystem that is designed to serve the needs of all related sectors.

Aramex launches Crowd-Shipping solution, Aramex fleet, in Saudi Arabia Aramex, the leading global provider of comprehensive logistics and transportation solutions, has announced the launch of ‘Aramex Fleet’, a crowd-based delivery platform that connects Saudi nationals to flexible last mile delivery work to leverage on Saudi Arabia’s sharing economy.

Aramex is the first among major international logistics and transportation providers to integrate this service in the MENA region, with plans to introduce the platform to at least 10 more countries over the next 12 months.

“The launch of ‘Aramex Fleet’ in Saudi Arabia – Aramex’s largest market in the Middle East will help to boost economic growth in Saudi Arabia by empowering Saudi nationals

through crowd-sourced employment opportunities and flexible working hours, whilst increasing last mile delivery capacity for customers during busy periods,”observed Abdulaziz Bin Abdullah Al Nowaiser, General Manager, Aramex, Saudi Arabia.

“This on-demand supply will enable us to seamlessly scale-up during peak seasons to absorb more business and maintain our service levels. Our digital transformation strategy focuses on leveraging lean, tech-driven models such as ‘Aramex Fleet’ to tackle capacity constraints and enhance last mile delivery,” noted Khalid Jamjoum, Head of Global Capacity Planning and Last Mile Innovation, Aramex.

Aramex Fleet follows a network-based business model that provides Saudi nationals (‘Fleeters’) with income per successful delivery. All ‘Fleeters’ are

on-boarded through a dedicated digital platform, which provides security and transparency by recording names, vehicle types, and license plate numbers.

JANUARY 2019 7

Etihad Cargo expands into Barcelona With the launch of Etihad Airways passenger services to Barcelona, Etihad Cargo has expanded its cargo capacity into Spain, providing freight forwarders and cargo customers greater access to its global network from its Abu Dhabi hub.

Etihad launched its first scheduled flights linking Abu Dhabi and Barcelona on November 28. Combined with its daily Madrid service, launched in 2015, these

operations now offer more than 23,000 tons per year of cargo capacity for the Spanish market. In addition, trucking services from gateways across Europe compliment the network and offer customers greater reach and faster delivery times.

“2018 has been a very successful year for Etihad Cargo, with positive progress achieved across our fleet and network optimization, our products development

Almost 10,000 tonnes of Irish exports transported by Emirates SkyCargo in 2018 Emirates SkyCargo recently released figures on its Irish operation, which showed that

8 JANUARY 2019

the airline carried close to 10,000 tonnes of Irish exports, from Dublin, during 2018.

and enhancement, and our digital transformation,”remarked Abdulla Mohamed Shadid, Managing Director, Etihad Airways, Cargo and Logistics. The inaugural flight to Barcelona carried 17.6 tonnes of cargo.

Etihad Cargo first started operating in Spain as on off-line carrier, sending shipments to Paris and Amsterdam via truck to feed into the Etihad network. It inaugurated its passenger flight to Madrid on March 30 2015.

In addition to up to 720 passengers flying twice daily between Dublin and Dubai and beyond, Emirates offers up to 25 tonnes of cargo capacity on each of its Boeing-777 aircraft that operate the Dublin route.

Food items such as crabs, oysters and salmon, much of which is headed to the Far East and specifically, Hong Kong, Shanghai and Singapore comprised 35% of Emirates SkyCargo’s Irish export cargo for 2018.

Pharmaceuticals accounted for more than 2,000 tonnes

of cargo carried by Emirates SkyCargo from Dublin in 2018.

Other Irish products being exported to markets such as the UAE, China, Singapore, Australia and South Africa, and making up 35% of exports, include computer equipment, electronics and machinery.

“We are continuing to grow our operation in Ireland and are currently developing Dublin as a gate-way to North America for cargo traffic coming from Dubai and elsewhere on our network,” said Michael Meagher, Manager, Emirates SkyCargo, Ireland.

Tristar clamps down on non-reusable plastic at its SOHAR Port operations The Tristar Group has committed to ban nonreusable plastic materials in its shipping operations at SOHAR Port and Freezone commencing 2019.

This was announced at the recent Sohar Safety Summit with the theme ‘Drive Change in Safety Culture’ which was attended by Sohar Industrial Port Company (SIPC) officials Jacob Bac, Deputy Harbour Master, Hashim Al Bloushi, Senior Marine Safety Officer, Waleed Al Siyabi, HSE & ERP Supervisor, and Ibrahim Al Balushi, Marine Safety Officer.

The event was also attended by users of the Port of Sohar Service jetty and teams from Sohar Port Pilot Tug, Svitzer, Al Batinah Mooring, and National Marine Services Diving. “Tristar is committed to supporting the 2018 World Environment Day theme of ‘Beat Plastic Pollution’ by refusing items that cannot be reused,” remarked Henri de Gersigny, General Manager, Tristar Ship Management.

The Tristar Shipping Team celebrated International Day of the Seafarer at SOHAR Port in June 2018 and reiterated the importance of reducing the use of plastic materials at sea. Plastic has been highlighted as one of the biggest environmental threats facing the world by the UN. As much as 8.8mn metric tons of plastic trash is washed into oceans every year. If unchecked, it is estimated that plastic, by 2050, will outweigh fishes in the ocean.

New appointment at helm of FedEx Express FedEx Corp. has announced that David L. Cunningham, President and Chief Executive Officer of FedEx Express, will retire effective December 31, 2018.

Raj Subramaniam, currently Executive Vice President, Chief Marketing and Communications Officer of FedEx Corporation, will succeed Cunningham effective January 1, 2019.

Cunningham began his FedEx career in 1982 in operations at the FedEx Express World Hub in Memphis, Tenn. Over his more than 36-year career, David held numerous leadership positions across the FedEx Express operating company in multiple regions. Most recently, he has been responsible

for the leadership and direction of the FedEx Express group, which includes FedEx Express and TNT. Subramaniam has been with FedEx for more than 27 years and has held various executive level positions in several of our operating companies and international regions. He began his career in Memphis and subsequently moved to Hong Kong, where he oversaw marketing and customer service for the Asia Pacific region.

Brie Carere, a 17-year FedEx veteran, will succeed Subramaniam as Executive Vice President, Chief Marketing and Communications Officer, FedEx Corporation.

JANUARY 2019 9

Future investments will entail the development of engineering services, thirdparty logistics, marine services, retail and hospitality. Construction on the container freight station and inland container depot to be developed on a 1.4mn sqft. plot will commence in January 2019 and is set to

become operational by June 2019.

Hayleys Advantis Limited, the transport and logistics arm of Sri Lanka’s Hayleys Group will operate the facility. Hayleys is the first Sri Lankan-listed company to cross US$ 1bn threshold in turnover in Fiscal Year 2017/18.

Container volumes in KIZAD are expected to grow exponentially from 1.5mn twentyfoot equivalent units (TEUs) to 8.5 million TEUs over the next five years.

“Our state-of-the-art inland container depot and container freight station will provide world-class and most reliable services to our clients across various industries,”said Abdul Lathif, Managing Director, Trustworthy.ae Group.

“The potential growth in container volumes over the coming years in KIZAD implies the need to build an integrated facility within the port and together with our partners we will provide services such as container handling, repairs and maintenance,” he added.

“Hayleys Advantis Limited is happy to enter into this landmark partnership with Trustworthy.ae Group, stepping into the Middle East market,”affirmed Mohan Pandithage, Chairman, Hayleys.

e-commerce merchants, enterprises, startups, and online entrepreneurs.

DHL Express aims for the campaign to reach companies ranging from start-ups to large enterprises, advising merchants on how to optimize their websites for international

sales and to create a competitive advantage via shipping options offered.

A 2017 study by KPMG reports that consumers across Middle East and Africa were the most likely to import consumer products bought online, almost 50% of purchases, showcasing the rise in cross-border shopping that is driving international retail trade.

“Cross border e-commerce presents strong growth opportunities that are yet to be tapped into by many businesses in the region,”commented Nour Suliman, CEO MENA, DHL Express.

“We recognize that our customers’ success is closely tied to their buyers’ satisfaction with the delivery experience and the delivery options offered,” noted Faysal Elhajjami, DHL Express Managing Director, Saudi Arabia.

“We aim to support local ecommerce startups by providing them with tailor made solutions that will allow them to easily address potential global consumers, therefore improving their e-commerce proposition within the current market,”observed Geoff Walsh, UAE Country Manager, DHL Express.

Trustworthy.ae Group commits to invest US$ 100mn in KIZAD Dubai-based Trustworthy.ae Group plans to invest AED 365mn (USD 100mn) in Khalifa Industrial Zone Abu Dhabi (KIZAD) to develop an inland container depot (ICD), a third-party container freight station (CSF) and other port-related services over the next five years.

DHL Express seeks to raise profile in the global e-commerce market DHL Express is set to launch its global campaign ‘Where Everything Clicks’ in Middle East and North Africa (MENA) region, to guide online merchants to navigate and access the booming clobal e-commerce marketplace. The campaign targets

10 JANUARY 2019

GAC to set up operations at KIZAD GAC, the integrated shipping, logistics and marine services provider, is opening a warehouse and open yard in the Middle East’s largest industrial zone and a subsidiary of Abu Dhabi Ports, Khalifa Industrial Zone Abu Dhabi (KIZAD).

The new GAC Abu Dhabi facility, expected to be fully operational by January 2019, will serve a wide range of sectors including oil and gas, manufacturing, construction, FMCG, household effects, and specialist equipment.

GAC has been in Abu Dhabi since 1967, and today has facilities at Sila, Ruwais, Mussafah, Mina Zayed and Abu Dhabi International Airport.

“By joining the thriving KIZAD community, GAC becomes the latest major enterprise to realise the impact that the strategic location and exceptional infrastructure and support offered by our zone can have on their business,” said Samir Chaturvedi, CEO, KIZAD. “Setting up operations at KIZAD gives us the advantage of being close to the state-of-the-art port, enabling greater operational efficiency for both GAC and our customers,” commented Göran Eriksson, Managing Director, GAC-Abu Dhabi.

Austria’s OMV obtains 5% stake in ADNOC’s Ghasha offshore ultra-sour gas concession The Abu Dhabi government and the Abu Dhabi National Oil Company (ADNOC) have awarded Austria’s OMV a 5% stake in the Ghasha ultra-sour gas concession that comprises the Hail, Ghasha, Dalma, Nasr, Sarb and Mubarraz sour gas fields.

OMV, which joins Italy’s Eni and Germany’s Wintershall as ADNOC’s partners in the concession, will contribute 5% of the project capital and operational development expenses. Eni was awarded a 25% stake and Wintershall a 10% stake in the Ghasha concession in November.

The concession agreement, which has a term of 40 years, was signed by HE Dr. Sultan Ahmed Al Jaber, UAE Minister of State and ADNOC Group

CEO, and Dr. Rainer Seele, Chairman of the Executive Board and CEO, OMV. “This long-term strategic agreement with OMV underscores ADNOC’s commitment to maximizing value from Abu Dhabi’s substantial gas resources and to ensuring a sustainable and economic supply of gas, in line with the leadership’s directives,”commented Dr. Al Jaber.

The project is expected to produce over 1.5 billion cubic feet of gas per day when it comes on stream around the middle of the next decade, enough to provide electricity to more than two million homes. Once complete, the project will also produce over 120,000 barrels of oil and highvalue condensates per day.

Saudi Arabia’s Berain Water to build plant in Al Ain ZonesCorp of Abu Dhabi has announced a new agreement with Saudi Arabia’s Berain Water to build a 36,000 square-metre water bottling plant in the food industry zone of Al Ain Industrial City.

Boasting strong logistics networks and a strategic location, the emirate has built state-of-the-art capabilities in producing competitive and value-added products, emerging as one of the most important food manufacturing and processing hubs in the region.

“The UAE and Saudi Arabia enjoy strong historic relations, and our latest partnership with the Saudi company Berain Water testifies to the strength of those ties,”said Saeed Eisa Mohammed Al Khyeli, Director General of ZonesCorp.

“We are happy to announce the investment of AED138 million (US$ 37.6mn) in a water bottling facility in Al Ain Industrial City with the complete support of the Abu Dhabi government and ZonesCorp,” remarked Eng Mahdi Nasser AlQahtani, CEO of Berain Water.

Set to commence operations in Q1-2020, the plant will produce around 70,000 200-600 ml bottles or 27,000 1.5-litre bottles per hour. The facility will also create 424 employment opportunities in manufacturing, marketing, distribution and sales. This may increase to 807 jobs within two years with the addition of new production lines in 2021 as the company starts exporting to the rest of the GCC region.

JANUARY 2019 11

UAE’s Strata Manufacturing partners with DHL to augment aerospace supply chain DHL Global Forwarding has been selected

by Strata Manufacturing, the advanced composite aero structures manufacturing company wholly-owned by Mubadala Investment Company to provide Fourth Party Logistics (4PL) services spanning its entire supply chain. The five-year agreement aims

to minimize Strata Manufacturing’s shipment times along its global supply chains, with DHL Global Forwarding taking responsibility for all warehousing, freight and customs clearance of aero-structures produced at Strata Manufacturing’s facility in the Nibras Al Ain Aerospace Park.

Saudia Cargo carries 60 tons of equipment for the annual Janadriyah Festival

Châlons Vatry International Airport in NorthEastern France to King Khalid International Airport in Riyadh by a B747-400F freighter Aircraft; thereafter the entire consignment was returned to Vatry a fortnight later.

Saudia Cargo stated in a press communiqué that throughout the past years, the company stands by the Janadriyah Festival deploying all its resources, logistic services and freighter capabilities for the success of this national heritage and cultural great event which constitutes its continued national role.

Saudi Cargo contributed to the justconcluded 33rd edition of the annual National Festival for Heritage and Culture (Janadriyah – 33) by transporting the equipment for the inauguration ceremony that occurred during the third week of December 2018, organised by the Ministry of the National Guard.

Saudia Cargo shipped 60 tons of equipment, tools, screens, and cables from

12 JANUARY 2019

The partnership will see DHL Global Forwarding set up a 2,500 square-metre warehouse in Abu Dhabi for storage and consolidation of all Strata shipments, equipped with high-volume racking, as well as fully-managed kitting, packing and dispatch process to support the company’s growing capacity requirements.

“Strata’s growth horizons for its wing components and tail assemblies continue to look optimistic,”said Amadou Diallo, CEO, DHL Global Forwarding Middle East and Africa.

“Strata has established itself as a strong global player in the aero-structures manufacturing sector and we require worldclass logistics capabilities to ensure our technology and manufacturing best practices reach our international customers at speed and without compromise,”said Ismail Ali Abdulla, CEO, Strata Manufacturing.

Under the agreement, DHL Global Forwarding will also provide end-toend control tower services spanning the movement of shipments, from manufacturing facilities in Al Ain to storage in the new Abu Dhabi warehouse and DHL’s European warehouses, which serve as global hubs for overseas distribution.

Saudia Cargo transports Formula-E to the Kingdomighing A total of 58 cars we ed over 220 tons transport

g the Saudia Cargo helped brin ’s FIA Saudia Airlines sponsored the to p shi Formula-E champion , for Kingdom’s capital Riyadh g the rin nso spo is e, tim the first the ABB for e rac g nin ope ’s son sea ip nsh pio am FIA Formula E Ch 8.

201 er mb ece held in mid-D The races were held in the h, a historic city of Ad Diriya site e itag UNESCO world her Riyadh of rts ski out located on the e. tim rst fi for the ious The cars, spares and var from ried car re we other equipment into s tion tina des an several Europe , adh Riy in t por Air alid King Kh several a total of 58 cars aboard load ed bin aircraft with a com s. ton exceeding 220

Swissport wins SalamAir ground handling business in Muscat, Oman SalamAir of Oman has signed a five-year contract with Swissport for hub handling at Muscat International Airport. As of 1 January 2019, the Swiss Aviation Services company, global market leader of airport ground services and cargo handling, will provide the Omani carrier with a full range of services, from passenger services to ramp operations.

At the Omani capital, Swissport will handle the low-cost carrier’s flights to currently three domestic and eleven international destinations in nine countries.

In addition to the hub services at Muscat International Airport, Swissport has already started to handle SalamAir’s daily flights at the private airport of Mukhaizna (UKH) in the Omani Rub Al Khali desert.

From left: Mohsin Al Balushi, Director of Ground Operations, Salam Air; Capt. Mohamed Ahmed, CEO, Salam Air; Sheik Aimen Ahmed Sultan Al Hosni, CEO, Oman Airports; Mark Skinner, Senior Vice President Middle East and Africa Swissport; Didier Steullet, Country Manager, Oman, Swissport

“We are delighted that SalamAir has chosen Swissport to serve its valued customers at Muscat International”, says Nils Knudsen, Chief Commercial Officer of Swissport International AG.“In 2017, when we started up in Muscat, Oman was a greenfield site for us.“We are proud to provide

hub handling services to this fast-growing airline in the sultanate of Oman”, states Mark Skinner, Swissport’s Senior Vice President Middle East & Africa. Swissport entered the Omani market in April 2017 together with its joint venture partner Al Jarwani Group, which holds 30% of the shares.

According to a new report released by the Paris-based International Energy Agency (IEA), primary chemicals consumption will grow almost 60% to 1bn tonnes by 2050, where the Gulf will account for 12% of all global high value-chemicals.

Borouge is a leading petrochemical company that provides innovative, value creating plastics solutions. Established in 1998

as a joint venture between the Abu Dhabi National Oil Company (ADNOC), one of the world’s major oil and gas companies, and Austria based Borealis, Also present at the press conference were Samir Chaturvedi, CEO, KIZAD; Rahim K. Jamal, General Manager, Al Shihab Al Thahabi Trading and Hasan Al Dalou, Sales Manager, Adeka Al Ghurair Additives company in Abu Dhabi.

GCC petrochemical companies’ earnings up 2% to date in 2018 Borouge, Khalifa Industrial Zone Abu Dhabi (KIZAD), National Industrialisation Company (Tasnee) and Oman Oil Refineries and Petroleum Industries Company (Orpic) have announced their decision to participate in ArabPlast 2019, set to take place from 5 to 8 January at the Dubai International Convention and Exhibition Centre.

“GCC countries play a major role in meeting global demands related to plastics and petrochemicals. This has not only increased the productivity of the industry, but also strengthened its growth,”said Satish Khanna, General Manager, Al Fajer Information & Services, Dubai, organisers of ArabPlast 2019.

With the industry experiencing a steady growth, plans are already in place for a massive investment in the downstream sector, with more than US$ 200bn expected to be ploughed into new refining and petrochemicals ventures in the GCC by 2025.

JANUARY 2019 13

This is one of the first fully-functional Seabins to be installed in the Middle East.

The global cooperation with the Seabin Project began in 2017 in conjunction with Finland’s centennial and now

continues as part of Wärtsilä’s Future of the Seas initiative.

The Wartsila driven campaign will see upwards of 35 Seabins being installed in over 25 countries. This means that every year 49 tons of marine litter or the equivalent of 10 million plastic bags will be prevented from entering our oceans just by the Wartsila Seabins alone.

The Seabin, a floating rubbish bin located in the water at marinas, docks, yacht clubs and commercial ports, will collect all floating rubbish by drawing in water from the surface. The water is then pumped back into the marina, leaving litter and debris trapped in the catch bag in the Seabin to be disposed of properly.

“We are proud to collaborate with the Dubai Marina Yacht Club to install one of the first-ever Seabins in the region in their waters,” remarked Seppo Hautajoki, Managing Director, Wärtsilä UAE. “The Seabin project will make a huge difference, collecting all floating rubbish, oils, fuel, debris to tackle a local problem that has global implications,” said Philip Sather, Director of Operations, Dubai Marina Yacht Club.

“Our innovative logistics network enables our sellers to provide fast and reliable deliveries to their customers,”remarked Ronaldo Mouchawar, CEO, SOUQ.com All customers on www.souq.com and the SOUQ mobile shopping app have an easy

and convenient access to over 8.4 million products across hundreds of categories.

They benefit from a safe and secure ordering experience, convenient electronic payments, Cash on Delivery and SOUQ’s Customer Service support.

Wärtsilä donates first Seabin to Dubai Marina Yacht Club The Finnish technology group Wärtsilä is continuing its mission to bring the Seabin Project’s floating rubbish bins around the world with the installation of a Seabin at the Dubai Marina Yacht Club.

SOUQ.com opens a new Fulfillment Centre in Dubai SOUQ.com, an Amazon company, announced that it has opened a new fulfillment centre (FC) in Dubai.

The new 23,000 square meter, cutting edge facility, is set to benefit regional sellers, including the thousands of small and medium businesses who sell on SOUQ.com, by ensuring that they are able to reach their customers faster.

The new facility will also help SOUQ meet is objective of growing selection and improving convenience for its customers. As a result of the new fulfillment center, over 600 new jobs will be created within the first year of launch, bringing the total number of SOUQ’s fulfillment centers in the UAE to three.

“With the launch of our new Fulfillment Center in Dubai, we take a significant step forward on this journey by providing a much larger selection, delivered quicker to our customers,” said Prashant Saran, Director of Customer Fulfillment Middle East.

14 DECEMBER 2018

DP World and SMS Group collaborate to transform global port logistics An international joint-venture formed

by DP World and German industrial engineering specialists SMS group will transform the way that containers are handled in ports. A new and intelligent storing system will be applied for the first time ever at Jebel Ali Terminal 4, in time for the Dubai Expo 2020 world fair.

The High Bay Storage system was originally developed by SMS group subsidiary AMOVA for round the clock handling of metal coils that weigh as much as 50 tons each in racks as high as 50 metres.

AMOVA is the first company to transfer this proven technology to the port industry.

Instead of stacking containers directly on top of each other, which has been global standard practice for decades, the system places each container in an individual rack compartment.

IATA and Jordan’s CARC sign MoU on Safety The International Air Transport Association (IATA) and the Jordan Civil Aviation Regulatory Commission

Containers are stored in an elevenstory rack, creating 200% more capacity than a conventional container terminal, or creating the same capacity in less than a third of the space.

Thanks to the rack’s design each container can be accessed without having to move another one, enabling 100% utilisation in a terminal yard. The system brings big gains in speed, energy efficiency,

better safety and a major reduction in costs. Costs are further cut by the ability to shorten the time taken to load and unload mega-ships by as much as 30%.

“The application for container terminals is a direct result of our ‘New Horizon’ strategy, in which SMS transfers technology from the metallurgical sector to other industries,” affirmed Burkhard Dahmen, CEO of SMS Group.

(Jordan CARC) signed a Memorandum of Understanding (MoU) to partner for the improvement of aviation safety.

The MoU, signed in the Jordanian capital Amman, focuses on the exchange of information, expertise, best practices and

capabilities in a number of areas of safety.

Under the terms of the MoU CARC will also recognize ISAGO (IATA Safety Audit for Ground Operations) as an acceptable means of compliance with CARC regulations to complement their safety oversight function.

ISAGO is the global benchmark for ground handling operating standards.

CARC is the second regulator in the Middle East, after the Bahrain Civil Aviation Authority to do so.

“Jordan CARC is committed to improving aviation safety in Jordan and beyond. Our partnership with IATA will help us to do that by taking greater advantage of ISAGO in our safety oversight program,” said Capt.

Haitham Misto, Chief Commissioner of Jordan CARC. “This MoU will improve our collaborative efforts towards an even safer aviation sector in Jordan and help promote a single set of global safety standards in the region,” remarked Muhammad Albakri, IATA’s Regional Vice President for Africa and Middle East.

JANUARY 2019 15

Tariq Al Said.

Prominent among the guests who attended were Group Chairman Vinod Pittie and Managing Director Chirag Pittie, HE

Sultan Al Habsi, Deputy Governor Central Bank of Oman and several other government officials.

HH Sayyid Taimur also laid the foundation stone of Cotton Yarn Spinning Unit No. 3.

The invited guests were then given a tour of Cotton Yarn Spinning Unit No. 2, a 500,000 square foot facility, which will be fully operational in April 2019.

With planned completion by November 2019, the units will compose of 300,000 spindles and 7,000 rotors producing over 100,000 Metric Tonnes of world class compact cotton yarn.

At the inauguration event, Chirag Pittie, Managing Director, commented: “I am glad we could start the production in a record time of approximately 8 months. This would not have been possible without the support of our lead EPC partner Inexco under whose supervision we had almost 500 workers and over 100 engineers working 24x7 at site during this period,”stressed Chirag Pittie, Managing Director.

SV Pittie Sohar Textiles is one of the largest manufacturers of cotton yarn in India and a global leader in this sector.

announced that it has signed an agreement with Veolia Middle East, the French conglomerate in resource management and recovery, for the construction and operation of a sustainable industrial waste-to-energy facility in PlasChem Park, an industrial park adjacent to the Sadara Chemical Complex.

PlasChem Park is a collaborative effort between Sadara and the Royal Commission for Jubail and Yanbu (RCJY) in Jubail Industrial City II. The industrial waste-to-energy facility will be developed by Veolia under a designbuild-own-operate model. As part of the agreement with Sadara, Veolia will treat among others, the identified Sadara industrial waste streams and recover energy to provide steam, cooling and instrument air to the industrial park.

“This project is a key milestone for the development of Veolia in the Kingdom of Saudi Arabia and the journey towards a circular economy,”remarked Sébastien Chauvin, CEO of Veolia Middle East, after inking the deal with Dr. Faisal Al-Faqeer, CEO, Sadara, at the company head quarters in Jubail.

According to Chauvin, the development of the industrial waste-to-energy facility

by Veolia is an important milestone for the Jubail chemical industry, providing a local, competitive, sustainable and reliable solution for industrial waste management as well as industrial utility supply for PlasChem Park.

SV Pittie Sohar to commence production in record time SV Pittie Sohar Textiles recently launched their Textile Cluster in Sohar with the inauguration of the Cotton Yarn Production Unit 1 by HE Sayyid Taimur Bin Assad Bin

Sadara and Veolia partner to build waste-to-energy facility in Saudi Arabia Sadara Chemical Company, the joint venture between state oil giant Saudi Aramco and The Dow Chemical Company, recently

16 JANUARY 2019

Peugeot announces a strategic partnership with Oman’s Al Hashar Group French car manufacturer Peugeot recently inaugurated its first showroom in Oman through a strategic partnership with Al Hashar Group, a leading name in the automotive industry, to introduce a range of the brand’s latest models in the Sultanate.

“Al Hashar Group is not only well-known for its automotive legacy, but also for its commitment to providing highly-skilled team and exceptional customer service. Partnering with such a renowned group contributes to enhancing Peugeot’s presence locally and regionally,” remarked Samir Cherfan, Senior Vice President Sales and Marketing at PSA Group, the parent company of Peugeot.

“With over four-decades experience in the automotive industry in Oman, we are ready to take on another venture. Partnering with Peugeot is yet another milestone in the Group’s success story,” commented Sultan Al Kharusi, Managing Director, Al Hashar Group.

Peugeot’s SUV range, comprising 3 models – the all-new 2008, 3008 and 5008, will cater to different customers’ needs. In addition to the Peugeot’s SUV and Passenger ranges, Al Hashar brings the Peugeot commercial van

range to the Omani market. With an extensive van range built for professionals, the newgeneration Expert van, and the load-lugging Boxer and luxurious Traveller VIP.

All Peugeot ranges have undergone hotweather testing with GCC spec to ensure durability and reliability in the environmental conditions of GCC countries.

ADVANCED WAREHOUSE AUTOMATION SOLUTIONS At Swisslog, our scalable future-ready automation systems and SynQ warehouse management software are designed to give you the insight and flexibility you need to meet your company’s changing demands. So they’ll make as much sense tomorrow as they do today.

JANUARY 2019 17

Jetex is the face for the new HondaJet in the Middle East

Jetex is bringing the next-generation in advanced private jets to the Middle East after striking an agreement with Honda Aircraft Company to become the exclusive authorised dealer for the region.

The deal means Jetex is now the manufacturer’s sole representative for the new HondaJet offering sales and support across the Gulf and Middle East region.

“We are proud to appoint Jetex as our HondaJet Elite dealer in the Middle East to provide our regional customers the world’s most advanced very light jet,”affirmed Honda Aircraft President and CEO, Michimasa Fujino.

“Jetex will leverage our global network and our experience to offer unrivalled support for HondaJet in the region,”asserted Adel Mardini, CEO and President, Jetex.

The official dealer signing ceremony between Jetex and the Honda Aircraft Company took place recently at the Jetex FBO Terminal Dubai, Al Maktoum International Airport.

DP World boosts Jordan-Syria trade with key trade link DP World has established a 2,500 kilometre long transport corridor from Jebel Ali to the Naseeb-Jaber border crossing between Jordan and Syria.

Trucks loaded with goods at its flagship Jebel Ali Port and Free Zone in the UAE have travelled through Saudi Arabia, Jordan, Syria and Lebanon in close collaboration with all customs authorities and customers. The first convoy of three Dubai-registered trucks

18 JANUARY 2019

set off from Jafza loaded with dry and reefer cargo from Green Cedar Company, DP World’s partner in the transnational humanitarian operation and a Jafzabased logistics provider.

As many as 350 commercial trucks carrying electronics, detergent, chocolate, other foodstuffs and cars used to enter Syria and pass through to other countries daily before the closure of the border in the last three years.

HUECK Middle East opens new office in Dubai HUECK Middle East Aluminium Systems has announced its new office setup in Dubai. The firm has also committed new resources and training centres; fresh infusion of aluminium products, hardware, and required accessories; and professional technical and after-sales support to achieve closer customer interface.

“Our new office set-up in Dubai will bridge the gap between customer and market needs and allow us to keep up with the latest technologies and developments in all aluminium systems,”remarked Modar Al Mekdad, Managing Partner, HUECK ME. According to Al Mekdad, the company foresees expansion across the GCC, Egypt, India and the African continent.

“For more than 50 years now, we have been producing high-performance aluminium extrusions with own smelter and billet production in our factories in Germany,” noted Thomas Polonyi, CEO, HUECK Group, Germany.

HUECK is a prominent designer and extruder of aluminium profile systems for construction and design application. Its clients in the UAE include Dubai Frame, the Dubai Opera and Khalifa Sports City.

All its aluminium extrusion products are manufactured in the UAE.

EQUIPPED FOR THE FUTURE Companies the world over are relying on SSI SCHAEFER as their partner for future-proof logistics solutions. When it comes to mastering the ever more complex and dynamic processes in your warehouse, our experts are there for you. As the world‘s leading supplier of logistics systems, we not only offer everything for your internal storage needs, but also concentrated IT power.

Developed by specialists who listen and will not rest until you are satisfied.

P.O. Box 37600 Dubai Logistics City – Plot WB54 Dubai South, Dubai | United Arab Emirates | +971 4 804 8100 | ssi-schaefer.com

RIGHT STOCK, RIGHT PLACE, RIGHT TIME

Right Stock, Right Place, Right Time Chalhoub reaches new levels of service with Slimstock’s revolutionary inventory optimisation solution.

20 JANUARY 2019

RIGHT STOCK, RIGHT PLACE, RIGHT TIME

I

t is an interesting narrative of intimate professional engagement and a unique partnership. Slimstock, the leading Dutch-headquartered inventory optimisation solutions provider had its work cut out when it was chosen to partner with the Chalhoub Group, one of the largest luxury distributorship and retail conglomerates in the Middle East.

The House of Chalhoub traces its origins to 1955, when the pioneer, entrepreneur and patriarch Michel Chalhoub and his wife Widad with a passion for France and its culture, founded their eponymous enterprise in Damascus. The forerunner to this namesake venture was the establishment of the first Christofle boutique in the Syrian capital.

JANUARY 2019 21

22 JANUARY 2019

RIGHT STOCK, RIGHT PLACE, RIGHT TIME

Since then, the retail titan with an impeccable growth track record has been continually growing as a premium brand and is now an established leader and a corporate repository for all things upscale, beauty, fashion, premium gifts, luxury and elegant lifestyle products.

As experts in inventory optimisation, Slimstock is a global pioneer with an impressive track record spanning over a quarter of a century. Slimstock’s software has enabled businesses from diverse industry sectors increase stock availability, decrease inventory levels, all whilst providing excellent customer service through its 30 global offices.

In addition to its effective repertoire of ground-breaking, in-house developed software solutions, Slimstock also offers project-based support and professional services including consultancy, analyses, and both interim and long-term professional support whilst also offering its accredited qualifications and training programmes through the company’s Academy.

Statistics speak for themselves. Globally, the company has over 1,000 customers and enjoys a 96% retention rating among its clientele.

A case study on coordination The collaboration between Slimstock, the only inventory optimisation multinational

“Statistics speak for themselves. Globally, the company has over

1,000

customers and enjoys a

96% retention rating among its clientele” – Al Sadi

in the region, and the House of Chalhoub, is testimony to how proven inventory optimisation solutions can be utilised to streamline effective movement of merchandise.

With supply chain expertise developed over quarter of a century, Slimstock has enabled hundreds of businesses across the globe to attain inventory control and operational excellence. Slimstock was the partner of choice to come on board and offer its skills and customised software to Chalhoub.

This marked a turning point for the high-end distributor-retailer as it developed efficiencies in its extensive logistics and supply chain network across the region. With Slimstock’s software solutions, it was able to lower inventory levels, maintain optimum product flows, and substantially raise service levels to its customers.

Exclusive interview Global Supply Chain visited the offices of Chalhoub spanning two entire buildings (11 & 12) in the fashionable Dubai Design District (D3). In an exclusive interview, Sadi Abdel-Kariem Al Sadi H., CEO-Middle East and Africa, Slimstock and Nissrine El Qobai, Chalhoub Group, Senior Division Manager Retail & Supply Chain at the Chalhoub Group, explained how, following a thorough review, they were able to reform

JANUARY 2019 23

RIGHT STOCK, RIGHT PLACE, RIGHT TIME

Chalhoub’s inventory procedures with Slimstock applications.

Woojoh, a beauty retailer created by the Chalhoub Group in 1986, was chosen as the laboratory for implementing the Slimstock formula. Woojoh is a veritable beauty haven that stocks up an alluring array of fragrances, makeup, skincare and other visageimproving products.

“As the Chalhoub Group grew exponentially and our product lines and representative brands soared, the extent and complexity of our operations also rose correspondingly. There were new demands on our logistics and supply chain landscape and eco-system. When I was appointed to my position in February 2017, I was tasked with reorganising and restructuring inventory movements and to usher efficiency in the systems,”notes Nissrine, a veteran logistics professional who earlier worked with large retail and supermarket chains.

24 JANUARY 2019

“The results of this alliance have been remarkable. We have crossed new milestones and accomplishments in our journey together.

We have streamlined our operations on the inventory optimisation front and the results are there to see” – Nissrine El Qobai

“I set to overhaul the system which was largely Excel-oriented and driven by the push factor not market driven demand. We were then largely labour-intensive with inertia and inflexibilities in the system and we had to adapt to new realities and a changing landscape. I wanted to introduce professionalism and technical competencies in the structure that would be driven by the right methodology, the right tools and importantly the right mindset,”she remarks.

Right Stock, right place, right time Developing a reformed supply chain is a mammoth task, but Nissrine was up for it and set in motion the arduous process.“We had set the bar high and choosing the right partner with whom we could knit closely and work harmoniously with was our primary concern,”she concedes. “Other demanding criteria included the high quality and efficacy of software, expertise and experience including

RIGHT STOCK, RIGHT PLACE, RIGHT TIME

other considerations of a 24X7 presence, availability and a hands-on approach.”

“As it involved radical changes to the existing processes and to produce a truly omni-channel supply chain, I initiated the task of finding an appropriate partner to refurbish and induct efficiency in the system.

Following due diligence and rigourous and prolonged examination of current inventory control solutions providers, we decided to team up with Slimstock as our knowledge, demand planning and inventory optimisation partner,” she continues.

That final determination was Slimstock.

“With Slimstock we found the partner with the best-match criteria. I would like to characterise our professional partnership to a marriage. The analogy is very clear. It blends common core values that include the shared concern for each other’s values, involvement to usher in mutual good, adaptability, resilience and importantly commitment.”

“The results of this alliance have been remarkable. We have crossed new milestones and accomplishments in our journey together. We have streamlined our operations on the inventory optimisation front and the results are there to see,”she stresses.

The changing face of the inventory management “At Slimstock, we want to share our knowledge and experience with our customers, aiming to make them experts in inventory optimisation. We worked closely with the Chalhoub team to formulate the best value propositions for their inventory optimisation. We believe that, especially in today’s environment, the supply chains are under intense pressure and need to adapt to new market realities and changing market dynamics. Therefore, a winning supply chain is a requirement for survival,” affirms Al Sadi.

Slimstock meticulously analysed Chalhoub’s existing inventory architecture and procedures to be able to introduce new and innovative measures that would eliminate obsolescence, minimise out-of-stocks, reduce inventory levels, eliminate obsolete stocks, enforce controls and adherence to timeline deliveries and bring efficiencies and effective oversight for overall supply chain operations.

“In Chalhoub, after we closely examined their existing infrastructure and systems, we foresaw potential and promise for implementing our software that is nimble, purpose-developed and able to adapt quickly to changing circumstances. It is not only costefficient, but also very adaptable,”he adds.

Close association: Slimstock on the upswing “Now, Slimstock and Chalhoub are like two peas in a pod. We at Slimstock are considered an extension of the Chalhoub inventory

JANUARY 2019 25

RIGHT STOCK, RIGHT PLACE, RIGHT TIME

team and we have an established presence with ‘boots on the ground’ in their offices interfacing with personnel and software on a continual basis,” he indicates.

According to Al Sadi, the key to Slimstock’s success lay in the twin advantages of having both the experience and tools to translate theoretical findings into practical solutions.

“Artificial intelligence and machine learning are among the advanced technologies that Slimstock leverages. These capabilities have dedicated, experienced experts committed to making breakthrough with our proficiencies. Additionally, the experience we gain by talking to our customers such as Chalhoub every day is valuable, indispensable and used directly for the improvement of our software to meet customer expectations,” he observes.

“The value of software lies in its potential to help customers to make better decisions and work efficiently. In creating this extension to their ERP software, we were fully mindful of Chalhoub’s requirements.”

“Slimstock meticulously customised its software to cope with the business rules and

26 JANUARY 2019

“Overall we typically see 30% reduction in inventory and waste, 3 to 5% increase in sales and 50% reduction in stock-outs within three months of application. We are more than a software company, we are partners.

We have received numerous testimonials and accolades from customers in the region and globally commending the quality and intensity of our service. We are very close to our clients, listen to their needs and then offer our global services, locally through our 30 offices” – Al Sadi

challenges of Chalhoub’s everyday business,” he elaborates.

“Overall we typically see 30% reduction in inventory and waste, 3 to 5% increase in sales and 50% reduction in stock-outs within three months of application. We are more than a software company, we are partners.

We have received numerous testimonials and accolades from customers in the region and globally commending the quality and intensity of our service. We are very close to our clients, listen to their needs and then offer our global services, locally through our 30 offices”he emphasises.

Slim4 – revolutionary, reformist and result-oriented Slim4 provides an integral solution for forecasting, demand planning and inventory control. It is a software add-on which can easily, impeccably and quickly integrated with every ERP system on the market. It increases product availability and decreases stock-outs. It automates ordering processes and seamlessly integrates demand forecasts into daily ordering process.

JANUARY 2019 27

RIGHT STOCK, RIGHT PLACE, RIGHT TIME

Slimstock developed its flagship, trademark signature Slim4 software add-on over an extended 25 year-period to shape and perfect it to become a global leading inventory optimisation tool.

“With Slim4 added to their system, they were able to get the right stock at the right place and the right time. Also with Slim4, a wellconsidered inventory formula, all the processes required to run the supply chain smoothly are integrated in one solution,”he asserts.

“Using advanced algorithms and machine learning, Slim4 automates the nearly impossible task of managing tens of millions of items across multiple locations simultaneously. It ensures the availability of every SKU at every outlet and distribution points. It considers demand volatility, seasonality, trends, product life-cycles, supply and demand uncertainty, logistic constraints,

product introductions, inventory transitions, promotional strategies, and excess product, before calculating the right amount of inventory and safety stock required to meet our customers’ expectations. Based on calculated inventory levels and actual stock data, purchase order advices are calculated and reported by Slim4,”he points out.

Other advantages of Slim4 include optimising replenishment using advanced algorithms and methodology while ‘Management by Exception’ methodology allows users to focus on only what is important whilst ensuring optimum inventory levels based on target service levels across product group hierarchies. A statistical forecasting model is allocated to each item based on its own demand pattern and Slim4 uses seasonality to follow the dynamics of your business and adjust the forecast accordingly.

Close to customers

Some of our customers

Experts in inventory optimisation

28 JANUARY 2019

To foster a stronger relationship with its growing customer base Slimstock set up an office in Dubai in 2017.“Our regional presence is very assuring for our customers who want us to be near them. We have a 24X7 help desk that underscores our commitment to the region. We believe that in order to guarantee the best quality product and reinforce our services, you need to be where your customers are,”he assures.

“2018 was a stellar year for Slimstock in the region and we have big expansion plans for the immediate future. We are growing well in Saudi Arabia, Oman and Jordan. We have also recently opened offices in Morocco and South Africa and plan to foray into Nigeria and Ghana shortly.”

Slimstock currently has over 30 offices globally and serve customers in over 50 countries. Its applications target a wide range of industries including manufacturing, distribution, spare parts, automotive, retail, and many more.

The Chalhoub Group is also truly transforming its business.“We initiated and commenced in September 2017, the 900-day sprint to the digital transformation process as part of our intent to reboot our business.

Our collaboration and induction of Slimstock

Sephora connect The French perfume and cosmetics retailer, Sephora, was also an early implementer of Slim4 in the United Arab Emirates. The French-owned business is active in 33 countries and has 2,300 stores worldwide.

The retailer had targeted increase instore availability to 99% while achieving supply chain reduction costs of 25%.

The company has been faring well and experienced substantial growth in the rest of the region. The number of SKUs and store combinations has increased enormously in recent years and the company turned to Slimstock to reboot its inventory control mechanisms.

In order to meet the high expectations of customers and avoid missing out on turnover, high store availability was crucial for Sephora. To maintain its performance standards, Sephora chose to implement Slimstock’s Slim4 in order to attain the desired results for the retailer, which included among other considerations, the elimination of oversupply, increase on-shelf availability and reduction of out-of-turn rush orders.

“What used to take a team of eighteen supply chain professionals hours to plan now takes just a few clicks in Slim4 and half the number of people.

They are now able to spend that time on things that offer more added value,” testifies Sandeep Walia, Supply Chain Manager, Sephora UAE. “With Sephora, we see Slimstock’s global knowledge complementing local support,” comments Al Sadi.

is an integral part of that pledge as we soldier on in a challenging and demanding retail environment,”she observes.

The partnership continues to work well and has mutually benefited both entities.

“We are reaping rich dividends in terms of work flow, timely and unfettered deliveries and replenishments, lowering costs, cutting out the surplus and slimming the composite inventory mechanism that ensures we stay agile and sprightly. All in all, a winning proposition,” she concludes.

WAREHOUSING & WMS

The warehouse of tomorrow:

How businesses can solve capacity and scalability issues

By Alain Kaddoum, General Manager, Swisslog Middle East

W

hile different business sectors are booming, especially e-commerce, warehouses are facing more volatility and unpredictability.

One way for businesses to handle this challenge is by using intelligent, modular robot-based automation which delivers flexibility as needed.

Over the last five years, e-commerce has steadily grown. According to Statista, in the U.S. alone, retail e-commerce growth rose from US$ 298bn in 2014 to US$ 342bn in 2015, to US$ 390bn in 2016, to US$ 452bn in 2017, making the average growth rate more than 13% YoY (year on year).

The challenge for an individual warehouse though, is the fact that growth occurs in fits and spurts. There are large spikes during the holiday season, which account for at least 25% of annual retail e-commerce sales. It is likely that no warehouse has to deal with a greater level of volatility and unpredictability than an e-commerce or omni-channel fulfillment centre.

This volatility has caused e-commerce warehouses to think twice about traditional approaches to warehouse automation that rely on mechanised conveyor and sortation systems that are not easy to install, scale or maintain.

30 JANUARY 2019

So what’s the solution to this issue?

Today we have compact robotic systems created to perform specific tasks in the warehouse. These include the delivery of products to workstations where humans can package them. By having robots find and move specific products in this goodsto-person model, it’s no longer necessary to have humans walking up and down aisles all day pulling orders. Not only does this make better use of human resources, it results in dramatically reduced pick times.

But, equally important, the compact and modular design of these robotic systems enables flexibility and scale to fulfillment operations. Here are some real-life examples of how a business can use the following solutions.

Modular robotic systems Modular robotic systems give the flexibility to size the system to current needs and add modules as required. This reduces initial capital expense and allows future automation costs to be shifted from the capital equipment to the operating budget. In addition, these companies want to be able to pay as they grow by making a limited investment at the front end and then adding modules as needed from their operating budget.

This can help eliminate the lengthy processes associated with capital expenditures and allow adapting to conditions on the ground as they occur, neither of which is considered in the traditional ROI (return on investment) model.

In this changing business landscape, it is not always easy to find labour to meet demand during the peak holiday season. Competition for labour is fierce during these periods and even signing bonuses and other incentives are proving inadequate to attract enough workers to meet seasonal demand.

A modular, robotic goods-to-person picking solution not only increases the productivity of current personnel, it provides the flexibility to extend work shifts by having robots stage orders before human workers arrive on the job.

Similarly, building a reserve of robots over time to handle seasonal demand would significantly reduce the need to supplement the labour force during the holiday season.

Speed is obligatory In e-commerce, speed means more than just faster pick times. It means knowing exactly what is in inventory at all times and compressing the cycle time between order and shipment. Companies such as Amazon have successfully conditioned the market to expect two-day shipping and everyone else now has to meet this expectation or risk market erosion.

It is not unheard of for e-commerce operations to outgrow the confines of their space and the limitations of their warehouse automation system. Moving to new premises and re-installing automation systems can be an expensive proposition. Modular robotics systems can move with the warehouse, extending their lifecycle.

Responding to the continuous change inherent in e-commerce fulfillment requires flexible automation solutions (such as CarryPick and AutoStore) that are easy-to-deploy and re-deploy, scale incrementally and include the embedded intelligence required to take advantage of machine learning and other developments.

Alain Kaddoum General Manager of Swisslog Middle East Alain Kaddoum is the Dubai-UAE based General Manager of Swisslog Middle East, intralogistics provider that delivers robot-based and datadriven automation solutions for customers for a wide range of industries including F&B, retail, e-commerce, pharmaceuticals, spare parts as well as third-party warehouses and distribution centres.

Having worked for Swisslog for more than two years and in the engineering industry for almost a decade, Kaddoum brings a wealth of experience and industry expertise to his new role as General Manager.

Prior to joining Swisslog, Kaddoum worked for Masdar Institute of Science and Technology, UAE, where he led a research team and worked on the development of advanced non-destructive testing and inspection protocol for the Aerospace industry.

Alain Kaddoum holds a Master’s degree in automatics, informatics and decisional systems from INP Toulouse, France, and B. Eng. in electrical and automation from the INP-ENSEEIHT, in addition to other academic accomplishments and certifications.

JANUARY 2019 31

PORTS

Port of Duqm:

Harbouring ‘Maritime Hub’ intentions The port of promise presents a haven for investors and industry

P

ort of Duqm Company is the bold initiative of the Government of the Sultanate of Oman in partnership with a robust Belgian Consortium comprising the Port of Antwerp, the second largest and busiest container port in Europe, and other key stakeholders.

The rapidly-developing, deep-sea and

32 JANUARY 2019

purpose-built port’s attraction lies in its strategic and convenient location halfway along Oman’s extensive coastline along the Arabian Sea in the South-East Al Wusta Governorate. Additionally its vast hinterland, rich in mineral and energy resources, is central to its appeal as a port which holds promise and potential.

Port of Duqm lies at the heart of the Special Economic Zone of Duqm, a greenfield project which dovetails well with the Government of Oman’s aspiration to become the economic engine, the economic focus and the new economic centre of gravity in the GCC’s second largest country by geographical area.

Another advantage is the fact that the Port is equipped with a neighboring a Ship Repair Yard and Drydock facility, the first of its kind in Oman.

With this wave of favourable proposals, the Port of Duqm Authority is making the case for the port’s as the premier safe haven of choice and harbouring ambitions

to develop it as the regional maritime hub and pivot.

The Port of Duqm’s repertoire of capabilities includes the following: The ideal and suitable location of Port of Duqm as the entreport, the hinterland buzzing with industrial activity and excellent

connectivity to major onshore oil and gas facilities, makes the port indispensable and convenient as a business and economic centre. The Port of Duqm has capabilities to handle the Sultanate’s over-dimensional project, large equipment and heavy-lift cargo requirements, making it the preferred port of choice for shipment for the energy sector.

JANUARY 2019 33

PORTS

As a case in point and a key milestone, the entire project cargo for the enormous clean energy Dhofar Windfarm Project was handled by Port of Duqm.

including off-loading operations from a Semi-Submersible vessel after the vessel is submerged.

Containerised Cargo activities: OCTG (Oil Country Tubular Goods): Today, most of the oil and gas steel casing pipes for the Sultanate’s oil and gas fields are imported via the Port of Duqm, thus making it cost-wise, time-wise and logistically economical for end users. Major suppliers of OCTG pipes have their storage and repairing facility in the Duqm Port’s Logistics Land.

Exports of Bulk Cargo – Dolomite / Limestone: Unlocking the potential of the non-oil sector in areas such as mining, manufacturing and retail, and positioning Duqm as a global logistics hub has been a top priority for the Sultanate of Oman. Currently Port of Duqm is focusing on mining commodities and abundantly available minerals and byproducts such as dolomite and limestone which are being exported to India and Qatar among other countries.

As soon as the planned rail connectivity is available in the near foreseeable future, gypsum exports will commence. With the desired advanced port infrastructure and deep-draft facilities, Port of Duqm can handle the largest bulk trading vessels like Capesize and ultra-large freighters.

Cement Imports: Port of Duqm is instrumental in developing Duqm and adjoining region for the burgeoning construction industry by offering land for cement manufacturing facilities, silos for cement storage, cement bagging amenities for producers such as Raysut Cement, Oman Cement and several others.

Rig Off-Loading Operation at Anchorage: Rigs are loaded from the major off shore development areas on Heavy Lift Carriers and off loaded in Duqm Anchorage as a part of the Port’s bouquet of services. Here, the expertise and skills of experienced marine pilots are utilised for multiple functions

34 JANUARY 2019

Port of Duqm had the cherished vision to enhance trade, thus gaining Oman’s rightful place as the ideal gateway for trans-shipment hub on the Arabian Sea, allowing the port to compete with the leading regional and international ports.

Undoubtedly, Duqm’s importance and strategic location makes it an obvious choice for access to the regional and global markets.

Location plays a major part in Duqm’s attraction as an investment destination.

Port of Duqm offers almost ‘NO’ deviation from the major trade lanes of Asia-Europe, and equidistant to the growing markets of East Africa, Indian Subcontinent and the Arabian Gulf.

Duqm’s is an economy and moneysaving proposition thanks to its location that guarantees its customers with transit times that are better than other competing ports in the region. This will make it advantageous for major shipping lines to use Port of Duqm as a gateway for their regional trans-shipment networks and thereby saves cost, ones the Port’s infrastructure is fully commissioned, expected in the course of 2020.

With the upcoming fishing harbour and fish meal and fish oil processing units in Duqm the business of fisheries and the export of seafood is expected to rise substantially in 2019.

Supporting off-shore development for off-shore fields along Oman’s coastline: Catering and supply vessels that serve off-shore fields along Omani Coasts for example Masirah Oil, a new concession awarded to the Italian oil giant ENI, Port of Duqm foresees good potential opportunity for increase in supply vessels calling at Duqm.

Transfer of Cargo from Ship to Ship (STS) Operation – Liquid / Bulk / Break Bulk: The Port of Duqm offers services at

Anchorage and alongside berth for STS. Potential cargoes to be handled includes: LPG, clean petroleum products, unclean petroleum products, dry, liquid, bulk and break-bulk cargoes.

Vessel Bunkering Facility will be available in near future: Port of Duqm has signed bunker license agreements with both Shell Oman Marketing Company and Oman Oil Marketing Company, 2 major retail companies already active in Oman for several decades. These agreements will establish bunker terminals to provide different grades of quality fuels and lubricants as well as other ancillary facilities to marine liners calling at Port of Duqm.

With new global bunker regulations coming into effect as from 2020, the Port of Duqm nurtures the clear ambition to become a future bunker hub serving the entire region, taking advantage of its prime location as well as the availability of the right fuel specifications and offer prime bunker services accordingly.

Port of Duqm Via its bunker license partners, will offer economical cost and efficient bunker to ships transiting and calling at the port.

Oil and Gas Chemicals: As a spin-off for Port of Duqm’s capabilities as the warehousing and distribution centre for oil and gas chemicals, this is the muchtargeted sector from both a supplier and client perspective.

Other supply and anchorage support activities: Anchorage lay-by; security change activities; change of ownership activities; rigs lay-by and supply activities are among other specialist services available and offered at Port of Duqm.

Winning deal: Keeping all these factors and economic considerations in mind, the Port of Duqm is cruising steadily as the winning proposition and the definitive and promising port of call to anchor sea-faring endeavours and objectives.

DUBAI SOUTH

Finding Dubai businesses’ true North Dubai South, formerly Dubai World Central, was launched as a Dubai Government project in 2006. Now this 145 sqkm. rapidly-expanding enclave is an emerging master-planned city with lofty ambitions and defined by the measure of happiness of its occupants

I

dentified as the Emirate’s flagship urban project, Dubai South is the initiative of and centred on the grand vision of HH Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai. The mega ‘Royal Vision’ is reflected in the themes of Dubai Plan 2021, which is set to transform Dubai South as a ‘construction and business wonderland’.

These include the expressly stated

36 JANUARY 2019

ambition to become a city of happy, creative and empowered people; the preferred place to live, work and invest; to create an inclusive and cohesive society; to build a smart and sustainable city and to become a pivotal hub in the global economy.

Dubai South is projected to sustain a population of a million residents. As an economic platform, this masterpiece development is designed to support every conceivable kind of business and industry related to multiple industry segments particularly aviation and logistics and create an estimated 500,000 jobs.

Importantly, it is home to the world’s largest airport in the making, the Al Maktoum International Airport, and the

adjoining area primed to host landmark events such as the upcoming World Expo 2020 and the biannual Dubai Airshow, now a fixture on Dubai’s exhibition and aerospace calendar.

Global Supply Chain met exclusively with the youthful and enthusiastic Mohammad Al Falasi, DirectorBusiness Development, Dubai South at the plush corporate pavilion on the sidelines of the recently concluded Middle East and North Africa Business Aviation Association (MEBAA) 2018.

Dubai South: The fulcrum of Dubai’s development “Dubai South , easily accessed from downtown Dubai and Abu Dhabi, is

DUBAI SOUTH

Mohammed Al Falasi

JANUARY 2019 37

DUBAI SOUTH

slated to become an eclectic economic zone to support a number of activities including logistics, aviation, commercial, exhibition, humanitarian, residential and other associated businesses around Al Maktoum International Airport with the planned annual capacity of 12 million tonnes of cargo and 160 million passengers,”affirms Al Falasi.

The construction area is almost two times the size of Hong Kong Island and is estimated to be the future home of almost a million people. The Dubai World Central combined with the Al Maktoum International Airport is expected to draw additional tourism to the Middle East, designed to handle 20 million visitors a year by 2020.

The residential district is a master planned city offering world-class community living within an urban environment. An innovative concept in urban living, it aims to create a city based on the happiness and well-being of people.

Re-imaging living spaces, the masterplanned communities, in the residential district will be distinguished by their worldclass design, superior build quality, and a wide range of lifestyle amenities, with all aspects of life from work and play to fitness and education available within a 10-minute walking radius.

38 JANUARY 2019

Planned development The development of the adjacent areas has been designed on the basis of several key factors: Dubai’s geographic location, increasing importance of airports in the Middle East region, and the region’s booming aviation sector.

The location functions as the central hub for the MENASA (Middle East, North Africa and South Asia) market, serving nearly one quarter of the world’s population in the region with a GDP projected to reach US$ 12.8 trillion by 2022-23, according to Al Falasi.

Dubai World Central–Al Maktoum International was first announced back in 2004 as part of an extremely ambitious plan to develop the world’s biggest airport. Once complete, the project, which is being rolled out over several phases over the coming

decades, will have five runways, four terminal buildings and capacity for 160mn passengers and 12mn tonnes of cargo annually, in Al Falasi’s estimation.

The development will consist of eight integrated districts including the Business Park; the Logistics District; the Aviation District; the Exhibition Arena, the Humanitarian District among other major developmental plans. The total investment in Dubai South by the Government of Dubai is US$ 70 bn and over 35% of Dubai’s GDP is expected to be generated within this enclave by 2025, explains Al Falasi.“It is the GCC’s only regional hub for the aerospace and logistics eco-system,”he adds.

Multimodal Logistics Hub Meanwhile, the 18.4sqkm. Multi-modal

DUBAI SOUTH

Business Park of Dubai South, the Residential District is seamlessly connected to key landmarks in the city through arterial roads and the metro.

Dubai: The Centre of the World

logistics hub and free zone is expected to handle AED 21bn (US$ 5.73bn) in trade when fully operational. Offering seamless connectivity, the infrastructure is geared to moving cargo in four hours. It has a customsbonded dedicated Logistics Corridor. These include fashion and life-style, life sciences, perishables, IT & telecommunications, E-commerce and spare parts among several other industry sectors.

The Aviation District has attracted AED 1.7bn (US$ 463mn) in client investments to date. These include the maintenance and technical support arena, general aviation, education & training and commercial. In the Education sector, Dynamic Advanced Training Academy and University of South Wales went operational in Q4-2018. More specifically, the latter delivers degrees to

aerospace engineering students as a key partner with Dubai South, says Al Falasi.

The Aviation District offers a number of aviation and aerospace related products.

One of the key offering includes the supplier complex. The supplier complex is a new addition to the aerospace supply chain zone which already has two aerospace products and hosts the likes of Lufthansa Technik, GE On-Wing Support, Dynamic Aviation Training Services and Advanced Aerospace Industries as well as being home to Boeing’s regional distribution and training centre, a fully secured custom bonded free zone area and a VAT free designated zone.

In close proximity to the Al Maktoum International Airport, the largest airport in the world when complete, the Expo 2020 Dubai site, as well as the free zones and

The UAE’s geographical position marks Dubai as an ideal staging post for intercontinental flights. The emirate is already firmly established as a thriving travel and cargo hub. The Dubai South master plan envisions a fully-integrated city built around Al Maktoum International Airport (DWC).

Set to become the world’s largest airport, DWC will have the capacity to handle up to 220 million passengers and 16 million tons of cargo per annum. The surrounding development will comprise an up-market residential district and the much-anticipated Dubai Expo 2020 site.

This one-of-a-kind ‘Aerotropolis’ will be the sparkling gem in Dubai’s Crown.

“Dubai’s sub-region adjoining and within proximity of DWC has the plan, infrastructure, and economy focused on the airport as the commercial core. To that end Dubai South holds both the potential and promise for exponential growth and good returns,”asserts Al Falasi.

Truly businesses and investors can hope to find their true North on their returns with investment in Dubai South!

JANUARY 2019 39

COSCO and Abu Dhabi

Ports partner to consolidate China’s Belt and Road initiative CSP Abu Dhabi Terminal has a design capacity of 2.5 million TEU and an initial handling capacity of 1.5 million TEU

40 JANUARY 2019

C

OSCO Shipping Ports (CSP), and Abu Dhabi Ports recently inaugurated the milestone CSP Abu Dhabi Terminal at Khalifa Port; positioning Abu Dhabi as the regional hub for the COSCO Group’s global network of 36 ports and further connecting the Emirate to the major trade hubs along China’s much touted ‘Belt and Road Initiative’ (BRI).

The deepwater, semi-automated container terminal includes the largest Container Freight Station (CFS) in the Middle East, covering 275,000 sqm. The state-of-the-art facility offers facilities for full and partial bonded container shipments, the full range of container packing services,

KIZAD COSCO

short-term warehousing for de-consolidated cargo as well as easy connectivity with container terminals in Khalifa Port.

The terminal is the first international greenfield auxiliary of CSP, a subsidiary of China COSCO Shipping, the largest integrated shipping enterprise in the world. CSP has so far invested AED1.1 bn (US$ 300mn) in capital expenditure on construction and machinery at the terminal.

The partnership with CSP is part of a five-year strategy

by Abu Dhabi Ports aimed at strengthening the maritime sector in Abu Dhabi and driving economic diversification,

in line with Abu Dhabi Economic Vision 2030. Abu Dhabi Ports has earmarked AED10 bn (US$ 2.72bn) in investments that will increase capacity at Khalifa Port from the current 5 million TEU to 9.1 million TEU, which also includes boosting capacity at Terminal 1 to more than 5 million TEU. The CSP Abu Dhabi Terminal has a design capacity of 2.5 million TEU and will begin with a handling capacity of 1.5 million TEU, with 1200 metres of quay. The water depth of the terminal is 16.5 metres, allowing it to accommodate mega-vessels typically carrying in excess of 20,000 TEU.

JANUARY 2019 41

KIZAD COSCO

Sheikh Hamed Bin Zayed Al Nahyan and other dignitaries at the inaugural ceremony of the CSP Abu Dhabi Terminal at Khalifa Port

Star line-up The terminal was formally inaugurated at an elaborate ceremony attended by Abu Dhabi’s royalty and elite at Khalifa Port. The galaxy of VIPs and high-ranking officials included HE Sheikh Hamed Bin Zayed Al Nahyan, Chairman of Abu Dhabi Crown Prince Court, and HE Sheikh Theyab Bin Mohamed Bin Zayed Al Nahyan, Chairman of the Department of Transport and Ning Jizhe, Deputy Director of China’s National Development and Reform Commission (NDRC).

Also present on the occasion were HE Dr. Sultan Al Jaber, the UAE Minister of State and Chairman of Abu Dhabi Ports; He Jianzhong, Deputy Minister of Ministry of Transport of the People’s Republic of China (PRC); Ni Jian, Ambassador of the PRC in the UAE; Captain Xu Lirong, Chairman of China COSCO Shipping and Captain Mohamed Juma Al Shamisi, CEO, Abu Dhabi Ports in addition to other high-ranking officials.

“The CSP Abu Dhabi Terminal is among key projects that will have a positive impact across a number of sectors, including industry, trade, services, and logistics,” affirmed HE Sheikh Hamed Bin Zayed.

“The decision by COSCO Shipping Ports to invest in Abu Dhabi is a testament to our strategic location, attractive business environment and supportive regulation. We

42 JANUARY 2019

believe that it will open the door to more foreign direct investment in the Emirate,” asserted HE Sheikh Theyab Bin Mohammed.

“The leadership in China and UAE will continue to cooperate in more flagship projects and jointly contribute to ‘Belt and Road Initiative,”remarked Ning Jizhe.

“CSP Abu Dhabi Terminal connects Khalifa Port to COSCO’s global network, making it not only one of the largest ports across the Middle East and Indian subcontinent, but a global maritime hub,”commented Captain Mohamed Juma Al Shamisi.

Growing bilateral trade China is the UAE’s largest non-oil trade partner. In 2017, bilateral trade between the two countries increased by 15% to more than US$ 53bn, representing 14.7% of the UAE’s total foreign trade. During the same period the UAE accounted for nearly 30% of total Chinese exports to Arab countries and about 22% of total Arab-China trade.

Bilateral trade is expected to increase to US$ 70 bn a year by 2020.

The new terminal will ease the way for companies seeking to establish, expand or enhance their trade by using local manufacturing, warehousing or logistics operations within Abu Dhabi and, through them, service regional, Middle Eastern, African and international markets.

In addition to attracting investors from Eastern Asia, it will increase Khalifa Port’s competitiveness and act as a catalyst for investment by foreign companies to set up in the free zone of Khalifa Industrial Zone Abu Dhabi (KIZAD), the region’s largest industrial, manufacturing and logistics hub and free zone. KIZAD, which comprises 410 sqm, has to date attracted more than 200 tenants and AED 65bn (US$ 17.7bn) in investment.

To date, at the time of writing, a total of 19 Chinese companies have signed lease agreements for land in the demonstration zone established within the Khalifa Port Free Trade Zone in August 2017 by the Chinese Jiangsu Provincial Overseas Cooperation and Investment Company (JOCIC).

CSP Abu Dhabi Terminal is the result of the 35-year agreement between Abu Dhabi Ports and COSCO Shipping Ports whose terminal portfolio covers the five main port regions in Mainland China, Southeast Asia, Europe, the Mediterranean and the Black Sea. The new terminal is part of Abu Dhabi Ports’ five-year growth strategy to increase Khalifa Port, with its two container terminals, to a combined total capacity of 9.1 million TEUs. The addition of CSP Abu Dhabi Terminal has already moved Khalifa Port up from being the 89th largest container port in world rankings to within the top 25.

Subscribe today January 2019 Issue 55

December 2018 Issue 54

November 2018 Issue 53

ENHANCING THE BUSINESS OF LOGISTICS

ENHANCING THE BUSINESS OF LOGISTICS

ENHANCING THE BUSINESS OF LOGISTICS

SUSTAINABILITY Sensitivity and Sensibility

COLD CHAIN Today’sRIGHT hot button STOCK, issue Westernacher Balsharaf Technology revolutionising WMS

•GSC_December_2018_Cover.indd 1

Tranzone

Streamlining Operations

RIGHT PLACE, RIGHT TIME Kuehne + Nagel UAE

Mercedes Benz Trucks

In expansion mode

Port of Duqm

Rising maritime hub

Frost & Sullivan

Powering on

Chalhoub reaches new levels of 12/10/18 17:09 service with Slimstock’s revolutionary inventory optimisation solution.

A view from the helm

•GSC_November_2018_Cover.indd 1

Dubai South Finding true North

Globe Express Services Going Global

11/15/18 15:14

ALS Logistic Solutions-Goldhofer Potent partnership

•GSC_Jan_2018_Cover.indd 1

1/14/19 8:13

PLEASE FILL IN ALL FIELDS IN BLOCK CAPITALS Name:

Company Name:

Position:

PO Box:

Telephone:

Mobile:

Annual Subscription in the UAE (US$ 30.00)

Signature ____________________

City:

Country: E-mail:

Annual Subscription in the GCC (US$ 65.00)

Annual Subscription outside GCC (US$ 100.00)

Date:_______________

P. O. Box 49784, Dubai, UAE, Tel: 04 3978847/3795678 Email: info@signaturemediame.com

Call: +971 4 3978847/3795678 or e-mail to info@signaturemediame.com

COMMERCIAL VEHICLES

IVECO accelerates business growth in Middle East and Africa

Brand gears up and leverages advantages to make headway in the region and globally

44 JANUARY 2019

I

VECO, the top global truck, trailers and van manufacturer, has a full portfolio of eclectic, multi-purpose industrial vehicle models to suit all and even the most demanding transport applications.

The company prides in its vehicles that match climate, terrain, cargo and any mission requirement. From that perspective, it has enginereed and adapted vehicles that can not only meet but surpass all expectations including geographical and extreme climactic conditions.

With its extensive network of dealers, sales points, service centres and a large team of skilled, experienced technicians in the region, the manufacturer has the capabilities to guarantee prompt, efficient and reliable

after-sales service. As a heavy truck and vehicles pedigree, the brand comes with good credentials. Its trucks, vans and trailers are well regarded on the international transport scene. The company’s origin can be traced to 1975 when five well-established companies from three different European countries – Italy, France and Germany, decided to pool their skills and resources to create a new company.

Through acquisitions, alliances and international joint ventures, the corporation has developed a formidable professional reputation. Currently, it has manufacturing plants in Europe, China, India, Russia, Turkey, Australia, Argentina, Brazil and South Africa.

COMMERCIAL VEHICLES

heavy, special, on-road and off-road vehicles with the IVECO brand only - no sub-brands.

Committed to safe, efficient and sustainable mobility, it works to develop technological solutions that respects and is concerned with both people and the environment.

The firm has been investing in the development of alternative drive systems for over 30 years. It offers EEV (Enhanced Environmentally Friendly Vehicle) engines running on diesel or compressed natural gas on its entire range.

Emphasis on efficiency and ecology

Mission innovation The company revamped its operations in 2007.

It continued to innovate and was the first company to introduce the turbo throughout its deisel range; the first to develop Common Rail engines and the first to launch the multiaward winning EuroV vehicles.

IVECO is a brand of CNH Industrial, a world leader in capital goods. It designs, manufactures and markets a wide range of light, medium and heavy commercial vehicles, off-road trucks, and vehicles for applications such as off-road missions.

The company’s global employee force is close to 21,000. It manages production sites in seven countries throughout Europe, Asia, Africa, Oceania and Latin America

where it produces vehicles featuring the latest advanced technologies. 4,200 sales and service outlets in over 160 countries guarantee technical support wherever an IVECO vehicle is at work.

It’s presence in Africa and Middle East draws on an important and rich heritage dating back to the Fiat 682. Since that truck first launched in Africa in the early 1960s, the brand has always been synonymous with reliability and quality. Today, thanks to a full range of commercial vehicle, it is can accommodate every mission from urban and international delivery, freight transportation to construction and quarry sectors.

IVECO is the only manufacturer in the world that covers all sectors of light, medium,

IVECO’s vision is to develop modes of transportation that reach their destination in the most efficient, ecological and safe way.

The company places an emphasis on its innovation practices in order to continuously improve and enhance its technologies.

Innovation follows the guiding principles of Sustainability and Customer Obsession. It is the approach adopted by the company in its research and development processes in order to develop what customers will require in the future from a vehicle.

The company offers versatile vehicles that adapt to different and challenging missions.

Furthermore it has a dedicated department that manages relationship between customer, dealer and bodybuilder in order to match the perfect solution both in terms of product and economics. The bodybuilder department supports the customer in the configuration of the vehicle from start to finish to get the best results and satisfy customer needs.

It cooperates with a network of certified bodybuilders. However, the customer is free to choose the preferred bodybuilder and supports providing all the necessary information related to the adaptation to the truck through a dedicated bodybuilder manual.

In 2018 it launched the new Stralis X-Way, a brand new vehicle that satisfy both the onroad and off-road missions and combines the fuel-efficiency and safety technologies with the legendary off-road robustness. The Stralis X-WAY takes the modular approach to the extreme, starting from a choice of line-ups, which can be tailored to a specific mission with an extensive offering of features, components and specifications. The result is ultimate flexibility.

IVECO is now in high gear and well on course to expand both in the region and internationally.

JANUARY 2019 45

ALS

ALS and Goldhofer

W

Lothar HE Holder

open joint Representative Office, Regional Logistics Centre in Dubai Goldhofer eyes expansion in the Middle East, Africa and Asian subcontinent

Roger SaadĂŠ

46 JANUARY 2019

ith the intent to maintain a long-term relationship and in response to the recent increases in demand for internal airport logistics in the Middle East & Africa region, Germany’s 1705-established Goldhofer Airport Technology, the world market leader for airport technologies and multi-modal transportation solutions, recently announced the opening of a sales and service centre in collaboration with ALS Logistic Solutions in Dubai.

Long-established and prominent in the regional market, ALS Logistic Solutions has expanded its partnership portfolio with a strong strategic tie-up in aviation and logistics fields.

Goldhofer has decided to commit additional resources to the region. In cooperation with ALS as its longstanding partner, Goldhofer is set to significantly strengthen its presence in the Middle East & Africa region and marketing activities for its portfolio of GSE vehicles and services. The

ALS

new sales and service centre is located in the heart of the business enclave in the upscale Jumeirah Lake Towers (JLT) district in Dubai.

ALS convened a press conference to mark the announcement. The Goldhofer team, led by Lothar H. E. Holder, Member of the Board and Head of Airport Technology; Stavros Hatziioannou, Head of Customer Service and Christian Reichert, Head of After-Sales & Service, were also present on the occasion.

Regional team The new facility will be managed by Roger Saadé, a long-standing Area Sales Manager. “Our new representative office will enable us to provide customers with more intensive local support and also to recruit new business partners for Goldhofer,” he affirmed.

The sales team will be additionally strengthened by the appointment of Jouliana Abou Manneh as Support Engineer.

The management of Customer Service and the creation and organisation of a dedicated

Goldhofer parts store has been entrusted to an experienced industry insider Philipp Berger who has been working for Goldhofer worldwide for many years now as an expert for ground support equipment (GSE).

“ALS is one of the leading Automation Solution Provider in the world with headquarter in Dubai. Our vision is mutual market growth with the help of latest technology and world-class equipment.

Understanding the market need in prompt service supported by recently established logistics warehouse that allows attending GCC clients at the maximum speed,”asserted Walid Khoury, Managing Director, ALS Logistic Solutions.“On behalf of ALS Team, we welcome Goldhofer members and look forward to fruitful cooperation,”he added.

ALS Logistic Solutions is a premier automation solutions provider of Material Handling, Cargo and Car Park Systems.

With more than 20 years of experience, ALS has proven its expertise in ergonomic space-saving solutions for warehouses and parking areas.

ALS Products and Services range covers airport consulting and IT solutions, air cargo handling systems, automated storage and retrieval systems (high-bay warehousing) and Warehouse Management Systems (WMS).

With ISO 9001:2008 standards, ALS qualified engineering and project management team specialised in multiple air cargo handling systems, modular warehouse equipment and express handling systems.

Goldhofer Founded in Germany in 1705, Goldhofer has an impressive track record and has evolved exponentially to develop extremely robust and intelligent solutions for heavy-duty and oversized cargo haulage and airport operations in multimodal transportation.

The company’s over 100,000 sqm production facilities produce vehicles for payloads ranging between 20 and a staggering over 10,000 tons. It exports its specialised vehicles to over 160 countries.

JANUARY 2019 47

KIZAD’s Polymers Park:

A spinoff to the UAE’s burgeoning polymers and plastics export market Business hub for plastics manufacturers is expected to create up to 7,000 jobs and add US$ 2.5bn to the country’s GDP by 2025

K

IZAD, an affiliate of Abu Dhabi Ports, recently announced the launched KIZAD Polymers Park, which will form an integral part of the polymers conversion ecosystem in the Emirate. The announcement was made at ArabPlast 2019, the largest trade expo for plastics, petrochemicals and rubber industry in the MENA region.

The Park aims to be a major economic driver for the UAE, producing 300-400 kilo tonnes of plastic products a year, creating up to 7,000 new jobs, and contributing USD 2.5 billion to GDP by 2025.

The potential export market for the Park is estimated at US$ 500mn annually, and it will ensure Abu Dhabi is a hub for developing the latest innovations in sustainability and technology in the industry, including new and advanced and polymer technologies, such as composites and 3D printing.

48 JANUARY 2019

The strategic collaboration framework between Abu Dhabi National Oil Company (ADNOC) and KIZAD Polymers Park aims to accelerate investment and innovation in the region’s plastics industry. The collaboration aims to offer companies swift and cost-effective access to polymers as well as the option to invest in the Ruwais Conversion Park – an initiative that will take shape over the next few years.

KIZAD’S POLYMERS PARK

Captain Mohamed Juma Al Shamisi, CEO of AD Ports and Abdulaziz Alhajri, Director, ADNOC Downstream Directorate at the deal signing ceremony

Having the advanced Khalifa Port on its doorstep also provides KIZAD Polymers Park access to polymers distribution, logistics, storage and trading across the globe, as well as ensuring raw material supply from other polymers producers in the region and globally.

Meanwhile the Ruwais Conversion Park will provide opportunities for downstream conversion of materials that may be

economically challenged to transport over longer distances for further conversion.

The investor will have the ultimate flexibility to establish a diverse set of long-term competitive facilities between these two sites.

These initiatives further support and build on Abu Dhabi’s ambition to become a global hub for polymers conversion. The joint efforts by both entities also aim to create

a sustainable and competitive industrial landscape in Abu Dhabi.

KIZAD Polymers Park will cater to a variety of different polymers segments, including industrial use, such as packaging, construction, and semi-finished products; end-use customer, such as household goods, agriculture and hygiene products; material science, including compounded and composite materials, and 3D Printing.

JANUARY 2019 49

KIZAD’S POLYMERS PARK

Launch of KIZAD Polymers Park by KIZAD and Borouge officials

Crucial to supporting the circular economy are polymer recycling companies.

The Park will host a vibrant polymers ecosystem, including diversified polymers space and raw materials, production systems and technical support, polymers distribution and trading, and logistics.

KIZAD’s world-class infrastructure includes a diverse range of plot sizes, excellent utility networks and readyto-move-in light industrial units and warehousing, while the close proximity of Khalifa Port offers incredible connectivity to markets around the world via major shipping lines. Various initiatives are underway to enhance the interconnectivity between KIZAD and Ruwais that enable seamless integration between the two sites.

Overseas investing companies can benefit from direct access to raw materials from UAE producers, such as Borouge (Abu Dhabi Polymers Company) and ADNOC, as well as access to other major producers in the region and a comprehensive portfolio of specialised raw materials that could be imported if not available domestically.

ADNOC is making progress on its ‘Downstream’ strategy that will see it triple its current petrochemical capacity over the next five years by introducing a whole suite

50 JANUARY 2019

of diverse products that enable many new value chains in the UAE. “Polymer markets are growing fast owing to high demand for these products. We at Abu Dhabi Ports are working through KIZAD to address the needs of companies operating in the polymer sector via world-class logistics services, warehouses, and integrated infrastructure as well as sustainability initiatives to put an end to plastic waste,”affirmed Captain Mohamed Juma Al Shamisi, CEO, Abu Dhabi Ports.

“Tenants at KIZAD Polymers Park will benefit from access to raw materials from regional producers and connectivity to global polymers product demand through KIZAD’s major transport links, which include Abu Dhabi Ports’ flagship deep-water port, Khalifa Port and international airports,”said Samir Chaturvedi, CEO, KIZAD. Chaturvedi also noted that the Park will source energy supplies from a variety of sources at some of the region’s lowest utility rates and support initiatives to commercialise the recycling of plastic waste.

“We look forward to collaborating with ADNOC to create a hub where polymers convertors can produce their products faster, cost effectively, and sustainably,” he added.

“This partnership is another example of

ADNOC’s determination to support the diversification of Abu Dhabi’s industrial base as we implement our downstream strategy and associated corporate transformation programmes,” observed Abdulaziz Alhajri, Director, ADNOC Downstream Directorate.

Currently, twenty polymers firms are based at KIZAD including Gulf Compound Blending, Cosmoplast, Interplast, Industrium, Songwon Polysys and Schmidt Middle East.

These companies are already leveraging KIZAD’s interconnected business facilities including turnkey offices, serviced industrial land plots, modular light industrial units, and warehouses. Tenants also benefit from smart technology platforms such as Maqta Gateway, Abu Dhabi Ports’ online community business platform.

The global plastics and polymers market was worth US$ 611.9bn last year, according to international consultants The Business Research Company, with growing degree of recycling among the trends in the industry.

This trend will be reflected by KIZAD Polymers Park stakeholders, who support the vision of a circular economy and the development of long-term solutions in which plastics never become waste, promoting sustainability as a business objective rather than simply a corporate responsibility.

DRIVERLESS TEST VEHICLE

C

ontinental, the premium German tyre and technology company, has commissioned the first driverless tyre test vehicle, using pioneering technology based on the company’s automated ‘Cruising Chauffeur’ model.

Launched at the Continental test site in Texas, USA, the innovative system will see newly developed tyres being tested under real life conditions across a wide range of road surface, making test results for Continental’s passenger and light truck tyres more conclusive to ensure premium quality.

Controlled through a satellite-based navigation system, the new test vehicle is

r improved

llows fo Automation a equipped with camera and radar sensors allowing the vehicle to react immediately to people, animals, or other unexpected objects on the road without a driver. This contributes to making Continental’s ‘Vision Zero’ strategy for accident-free driving a reality.

“In critical situations, the tyres’ level of technology is the deciding factor in whether a vehicle brakes in time. With tyre tests which use an automated vehicle, we achieve highly conclusive test results and thereby ensure the premium quality of our tyres,” explained Nicolai Setzer,

lusive results

d more conc processes an

Continental unveils first driverless tyre test vehicle Continental Executive Board Member and Head of Tyre Division.

In addition to the significantly improved comparability of the results, the tyre test using automated vehicles will also reduce the maintenance work required for the test tracks as there will be less route variations.

“We want to automate and standardise tyre tests to such an extent that we can identify even the smallest differences in the tyres. This way, we can ensure that differences in the test are actually caused by the tyres and not by the test procedure,”explained Thomas Sych, Head of Tyre Testing at Continental.

JANUARY 2019 51

EMIRATES SKYCARGO 2018 REVIEW

Emirates SkyCargo closes strong in

In 2018, Emirates SkyCargo flew close to 2.6 million tonnes of cargo across six continents.

From fruits and vegetables to space satellites, from pharmaceuticals to domestic pets, the air cargo carrier transported goods across the globe

52 JANUARY 2019

I

n 2018, Emirates SkyCargo carried over 73,000 tonnes of pharmaceutical cargo. With its fleet of over 270 modern aircraft and state of the art facilities including the world’s largest EU Good Distribution Practices (GDP) certified multiairport hub at Dubai, Emirates SkyCargo is able to securely and rapidly transport vaccines and other critical medicines around the world to destinations where they are most needed.

In August 2018, the air cargo carrier operated an exclusive freighter flight carrying the equivalent of 1.8 million doses of vaccine from Italy to Brazil. With 36 special purpose containers, this was one of the largest and most technically challenging pharmaceutical charter flights undertaken by Emirates SkyCargo.

Flying food from farm to fork Over 1,100 tonnes of food including fruits, vegetables, fish and meat, were transported every single day by Emirates SkyCargo in 2018. With increasing levels of interest globally in international cuisine and culinary flavours, more and more people are looking to source produce from around the world in their local supermarkets.

Perishables as diverse as salmon from Norway, mangoes from South Asia, meat from Australia, fresh seafood from Sri Lanka, Scotland and South Africa, dairy and chocolate from Ireland, green beans from Kenya, fruit from Vietnam, strawberries from California, wine and cheese from France make their way to consumers across the world on Emirates’ flights.

EMIRATES SKYCARGO 2018 REVIEW

Moving precious cargo From cherished pets to super cars and satellites, Emirates SkyCargo has developed vast expertise in transporting cargo that is extremely valuable to customers.

In 2018, the carrier transported 7,900 domestic cats and dogs on its flights. The carrier also launched Emirates Pets, a product designed to offer convenient and comfortable air transportation experience for domestic pets with options for door to door pickup and delivery of the animal.

Over 1,140 premium and luxury cars were transported by Emirates SkyCargo in 2018.

The carrier transported two special Alfa Romeos for the Gumball 3000 motor rally.

In February 2018, Emirates SkyCargo transported Khalifasat - the first satellite developed and built by Emirati engineers in the UAE at the Mohammed Bin Rashid Space Centre (MBRSC) – from Dubai to Seoul.

Enabling entertainment and sports events Emirates SkyCargo’s fleet of freighter aircraft operated a total of 395 charter flights between January and December 2018.

In September 2018, a total of 19 flights were chartered to transport around 500 horses from Liege, Belgium to Greenville-Spartanburg, USA for the FEI World Equestrian Games Tryon 2018. Over the course of the year

close to 1,800 horses travelled in comfort on Emirates SkyCargo’s Boeing 777 freighters to participate in major international equestrian and racing events. Charter flights were also used to transport equipment and instruments for music concerts and other entertainment events across the world.

Powering the economy through connectivity Emirates SkyCargo connects cargo customers across more than 155 destinations on six continents including over 40 cities linked by scheduled freighter services. The air cargo carrier makes an important contribution to local economies by facilitating exports.

In Kenya for example, Emirates SkyCargo operates a daily freighter service from Nairobi, transporting freshly harvested roses and other flowers directly to Amsterdam, the world’s largest flower distribution centre. In 2018, Emirates SkyCargo transported close to 50,000 tonnes of flowers from flower growing nations including Kenya and Ecuador.

In 2018, Emirates SkyCargo expanded its reach to include four new destinations. The carrier started freighter services to Maastricht and extended its belly hold capacity to Santiago, Stansted and Edinburgh helping customers in these locations connect with partners in different parts of the world and increasing trade opportunities.

JANUARY 2019 53

GAC TIE-UP

GAC in logistics alliance with Welsh food distributorexporter

54 JANUARY 2019

T

he largest bespoke temperaturecontrolled storage and distribution company in South Wales, the Wild Water Group, has appointed GAC as its international freight forwarding partner in 2019.

The Wild Water Group serves the food & drink sector, which has been identified by the Welsh Government as a key economic driver of the regional economy. In 2017, exports from Wales in the sector grew 20%, compared to a 9.5% increase for the UK as a whole over the same period.

Under the alliance agreement, from this month, GAC will provide a range of freight forwarding services and draw

on its international reach, resources and experience to help the Wild Water Group pursue international import and export opportunities for its customers.

As part of its expansion plan, the Wild Water Group has boosted its operation with the purchase of a 130,000 sqft. storage and distribution facility at the Cardiff docks in with the support of the Welsh Government. “The next logical step was to align ourselves with a leading worldwide logistics company with the expertise to complement our long term business objectives,� remarked Ken Rattenbury, Managing Director, Wild Water Group.

DP WORLD

Movement of noncontainerised cargo rises at Jebel Ali port

T

he throughput of non-containerised cargo such as break-bulk, bulk and project cargo has experienced a steady upward movement at global trade enabler DP World’s flagship Jebel Ali Port, underscoring the port’s diversified capabilities.

DP World UAE Region, which operates Jebel Ali Port, said that its teams are well prepared to meet the expected increase in demand for breakbulk and project cargo handling services in the run up to Expo 2020 Dubai.

DP World UAE Region, saw a wide range of imports – from the gigantic domed steel trellis that will adorn the centerpiece at Expo 2020 Dubai venue to luxury yachts and rising quantities of bulk and breakbulk cargo.

The trellis, weighing 2,265 tonnes and with an enclosed space of 724,000 cubic metres when fully assembled, was shipped to Jebel Ali Port from Italy and moved to the Expo venue by road.

DP World is the Premier Global Trade Partner of Expo 2020 Dubai, directly responsible for ensuring all Expo related cargo brought into Dubai is handled in a safe and timely manner.

During the five-year period from 2013 to 2017, Jebel Ali Port registered an annualized average throughput of 4.8 million metric tonnes (MT) of breakbulk and 4.1 million MT of bulk.

Non-containerised cargo is an important part of DP World’s business, accounting for nearly a quarter of our total volumes and bringing commercial value to everything we do in Jebel Ali. The demand for handling breakbulk and special project cargo is expected to rise sharply in the months ahead in view of Expo 2020 Dubai and as a Premier Global Trade Partner of the event DP World UAE Region is working to ensure that Jebel Ali Port is ready to fulfill its role as the premier gateway for Expo-bound cargo, a press communiqué from P World indicated.

Robust Supply Chain "Establishing and sustaining a robust supply chain is vital to achieving this goal as envisioned

by HH Sheikh Mohammed Bin Rashid Al Maktoum,Vice President and Prime Minister of the UAE and Ruler of Dubai. DP World will continue to innovate and develop trade solutions to add value to our partners and enable greater trade for all,”affirmed Mohammed Al Muallem, DP World’s Chief Executive Officer & Managing Director, UAE Region.

The International Shipping Centre Development Index (ISCD) recently selected Dubai as one of the world's top five maritime centres, enhancing the UAE’s status as a global player.

DP World UAE Region’s non-container capacity and innovative capabilities will be showcased at Breakbulk Middle East 2019 to be held in Dubai next February. Hosted by DP World, UAE Region, will bring together the region's leading shippers and project cargo professionals.

The DP World flagship facility is the premier gateway for over 80 weekly services connecting more than 140 ports worldwide; it has been voted “Best Seaport in the Middle East” for over two decades consecutively by several maritime and media institutions and is ranked the 10th largest container port worldwide. It has the world’s largest man-made harbour.

JANUARY 2019 55

GULFTAINER

r e n i a Gulftches laun cargo sea rance clea ice serv

Fred Castonguay appointed Gulftainer Group COO

G

ulftainer has unveiled the latest addition to its portfolio in the UAE – the Sharjah Port of Trade (S.P.O.T) services, a new strategic sea cargo clearance offering. Offering unparalleled connectivity between Sharjah and Dubai, S.P.O.T services can be availed at the crossroads of the E311 highway and Maliha Road.

S.P.O.T offers the fastest transit times and lowest service costs to deliver cargo north of Al Barsha area, as well as end-to-end connectivity across the UAE. Its strategic location, just 10 minutes from the E311 highway and 15 minutes from the E611 highway, enables a reduction of delivery costs from port-to-door by as much as 80%.

FredCastonguay, COO, GT

Complementing the cost and time savings, the port offers enhanced online customs clearance, 24-hour access to major roads, as well as a state-of-the-art facility for onsite cargo inspection, quality sampling and testing services at the importer’s premises.

“Today we are taking further steps in transforming our business on a structural

Gulftainer has named Fred Castonguay its new Group Chief Operating Officer. The appointment marks an important step in reiterating Gulftainer’s ambitions to strengthen its growing ports and logistics portfolio across the globe.

“We are pleased to welcome Fred Castonguay on board as Group Chief Operating Officer of Gulftainer.

His expertise and strengths in terminal operations and leadership will continue to reinforce our global reputation,” said Peter Richards, Group CEO, Gulftainer.

Over nearly 25 years, Castonguay has held several international positions in terminal operations.

Prior to his new role, he was instrumental in driving the growth of Ports America Group as Vice President of Operations.

Fred also served in senior executive positions with major terminal operators in US, China, Hong Kong and South America, where he was responsible for overseeing strategy enhancements, ensuring operational efficiencies and turning around underperforming portfolios.

“I am very excited to help lead Gulftainer into its next crucial phase of evolution with a focus on operational excellence,” said Castonguay on his appointment.

level and simplifying how we go to market, allowing us to provide more need-based solutions and greater convenience to our customers. said Fred Castonguay, Group COO, Gulftainer.

He added that S.P.O.T geographically positions cargo in the heart of the UAE’s commercial operations, significantly cutting down on delivery time and final mile cost. In fact, over 75% of the UAE’s local cargo base is closer to S.P.O.T than to any other port in the UAE. Consequently, customers can minimise time, trucking costs, as well as the environmental impact of their cargo deliveries.

56 JANUARY 2019

SAUDI MARITIME INDUSTRY

PowerChina will assist in the construction fo the Saudi Arabian mega shipyard

Chinese company wins $3bn construction contract for Saudi Arabian maritime complex

G

ulftainer has unveiled the latest addition to its portfolio in the UAE – the Sharjah Port of Trade (S.P.O.T) services, a new strategic sea cargo clearance offering. Offering unparalleled connectivity between Sharjah and Dubai, S.P.O.T services can be availed at the crossroads of the E311 highway and Maliha Road.

Rendition of the new proposed King Salman International Maritime Complex in Saudi Arabia

State-owned Power Construction Corporation of China (PowerChina) recently announced that it had successfully bid for the construction of marine facilities for the Saudi Arabian mega-shipyard King Salman International Complex.

The total contract value is over $3bn, which is the largest cash settlement project PowerChina has received. The overall marine project will see Saudi Arabia to become a top shipbuilder globally with the International Maritime Industries (IMI) joint venture owned by Saudi Aramco (50.1%) and its most important tonnage provider Bahri (19.9%).

The other stakeholders are the UAEbased rig builder Lamprell (20%) and shipbuilder Hyundai Heavy Industries (HHI) (10%) of Korea.

The facility located in Ras Al Khair on the Eastern Arabian Gulf coastline of the Kingdom 60 km north of the industrial city of Jubail will be about 4.96 square kilometres (1,230 acres) in area, with several dry docks and at least 15 separate piers. It will have four major areas of operation – shipbuilding, ship repair, oil rig construction, and oil rig support.

The King Salman International Complex for Maritime Industries and Services is part of Saudi Arabian’s National Industrial Strategy to focus on economic diversification. The complex locates at the Arabian Gulf costal area of East Saudi Arabian, covering an area of 4.5km by 2.5km. The facility will be capable of building four offshore drilling platforms and 40 plus vessels annually, including three VLCCs. The construction contracts signed with Power China include shipbuilding/ship repair yards and offshore oil platform. The project will be able to provide engineering, manufacture and repair services to drilling platform, commercial vessels and offshore engineering upon the completion.

SEPCO Electric Power Construction Corporation (SEPCO), a wholly-owned subsidiary of PowerChina, will be the general contractor for the project.

PowerChina is an integrated construction group that provides investment and financing, planning design, engineering construction, equipment manufacturing and operation management for hydraulic and hydropower projects and infrastructure.

JANUARY 2019 57

CYBERSECURITY

Summary of Cybersecurity Predictions for

2019

By Haider Pasha, Sr. Director & Chief Security Officer, Emerging Markets, Palo Alto Networks Legislation bites back Many expected headlines of organisations punished with big fines straight after GDPR went live. The reality is that it takes time for any new legislation to be tested. I predict that in 2019 we will start to see penalties applied which will finally make executives that haven’t taken the regulation seriously take note. This will be alongside the implementation of the NIS Directive, the EU Cybersecurity Act and the US Cloud Act.

Cloud security woes continue 2018 saw a growing list of cloud cybersecurity incidents and we are seeing a growing number of incidents due to a lack of security fundamentals. I would speculate that many of these are a result of security teams not being engaged early.

58 JANUARY 2019

While in 2019 it would be easy to just say ‘be engaged in all cloud projects’, this is not practical as such projects seem to appear like endless rabbits pulled out of a magician’s hat.

Step one must be to gain cross public cloud visibility, and the ability to spot projects as soon as they start. This will allow you to then audit fundamentals, assign a security champion to the project and bring it into your scope to manage the risks.

IoT As the digital mesh of IoT and OT devices grows, so do the risks. 5G, which will begin service trials in 2019 in many European markets, will only accelerate the number of connected devices at risk.

We are starting to see two IoT trends with security implications: more interconnection and more data collection.

We must expect adversaries to use each of these as hopping off points to another resource or worse, a data gatherer as part of a bigger, targeted attack. We all remember when Alexa mistakenly listened to a couple’s conversation, now consider cybercriminals gathering intel on executives or a business via voice activated devices, or as a way of generating fraudulent revenue streams.

In 2019 the goal, in our personal and business lives, will be to maintain clear insight and control over what is connected and where, and how they share and exchange information. Zero Trust networking is increasingly vital here for IoT cybersecurity.

FinTech This is a growing space that we can expect adversaries to be testing in order to find new methods of financial fraud, especially as regulations like PSD2 come into force.

There is much debate on just what and how access should be granted. Linked to this is also the new Strong Customer Authentication (SCA) for ecommerce

CYBERSECURITY

Haider Pasha, Sr. Director & Chief Security Officer, Emerging Markets, Palo Alto Networks

JANUARY 2019 59

CYBERSECURITY

payments. Like any new capabilities that involve complex processes and a very broad supply chain, it’s only human to expect mistakes along the way. This won’t dampen the growth of crypto mining and cryptocurrency theft we have seen however, which is so prevalent as it shortens the workflow and slashes the time it takes for criminals to get to the money.

Cybersecurity collaboration improves Several years ago, the CEOs of a small number of security vendors agreed that if we could collaborate on threat intelligence, we could provide better customer outcomes. Today the Cyber Threat Alliance has close to 20 security entities and continues to grow.

In 2018 the CTA launched an ‘Adversary Playbooks’ project that shares intelligence on key threat actors and their Tactics, Techniques and Procedures (TTPs) as well as the controls that mitigate them.

In 2019, we need to encourage even more people to join and share or use playbooks.

This collaboration has the potential for a

60 JANUARY 2019

systemic impact and improvement in how we share and use threat intelligence to prevent cyber-attacks.

AI battles begin While cybersecurity experts look for new ways to spot adversaries using machine learning techniques, and leverage AI against the mass of threat indicators gathered, adversaries will be increasingly looking to subvert machine learning and AI. They will be trying to find ways to trick such solutions, looking for the cracks to sneak through.

We can also be sure they are also looking to leverage AI for their own purposes.

Overall cybersecurity is moving into a machine versus machine fight with humans on hand to help and apply judgment.

Wholesale move of core security to the cloud I predict we will see a more wholesale move of our core cybersecurity to the cloud in 2019. As cybersecurity aims to be as technically and commercially agile as DevOps, we can only expect more cloud-based security with new commercial models.

However, each business will be gathering petabytes of security data and, that’s before regulation forces us to hold it for longer periods. Businesses will have to leverage the cloud to store, process information and apply algorithms at the speed to prevent attacks.

Adversaries simply don’t wait, and the cloud could give cybersecurity teams the edge they need.

Palo Alto Networks is an American multinational cybersecurity company with headquarters in Santa Clara, California. Its core products are a platform that includes advanced firewalls and cloud-based offerings that extend those firewalls to cover other aspects of security. The company serves over 50,000 in excess of 150 countries. It is home to the Unit 42 threat research team and hosts the Ignite cybersecurity conference.