Logistics News ME - May 2020

DIGITAL

TRUCKS

WAREHOUSES

One Click Delivery Services Sees Surge In Growth

Renault Trucks gradually open plants

Middle East’s first ‘Smart hub’ logistics warehouse launched

CONNECTING TRADE PROFESSIONALS WITH INDUSTRY INTELLIGENCE

MAY 2020

Logistics News ME looks into how ports and terminals are operating in 2020, why their locations are strategic for their partners, and the key role that technology and automation plays

A MEMBERS OF EMIRATES TRANSPORT BUSINESS CENTERS:

CONTENTS

M AY 2 020

CONTENTS

WEBSITE: WWW.CBNME.COM/LOGISTICS-NEWS TWITTER: @LOGISTICSNEWSME FACEBOOK: /LOGISTICSNEWSME

M AY 2 0 2 0

R E A D A L L T H E L AT E S T I S S U E S O N I S S U U

START 10 | NEWS

FEATURES 18 | ANALYSIS 20 | CARGO

10

20

24

24 | COVER 30 | DIGITAL 32 | TRUCKS 34 | WAREHOUSES 36 | SUPPLIER FOCUS

FIND US ON YOUTUBE

32

Subscribe to our YouTube channel to see things like site visits, interviews and much more

LOGISTICS NEWS ME | MAY 2020 | 3

REGIONAL NEWS

WWW.CBNME.COM

M AY 2 020

Our SME eShop delivers.

So that your business never stops. du.ae/SME

E D I TO R ’ S L E T T E R

M AY 2 020

A NOTE FROM THE EDITOR KASUN ILLANKOON

CEO Wissam Younane wissam@bncpublishing.net Director Rabih Najm rabih@bncpublishing.net Group Publishing Director Joaquim D›Costa jo@bncpublishing.net +971 50 440 2706

Business Development Director Rabih Naderi rabih.naderi@bncpublishing.net +966 50 328 9818

UAE residents are increasingly turning to home delivery options for their groceries amid so-cial distancing and movement restrictions designed to minimise the impact of COVID-19, ac-cording to analytics from SEMrush, the award-winning digital marketing platform.

Searches related to ‘online grocery’ in the UAE grew a massive 560 per cent between Janu-ary 2020 – when the first COVID-19 case was announced in the UAE – and March 2020. Searches for ‘online pharmacy’ jumped 238 per cent, while ‘pharmacy delivery’ searches climbed 184 per cent.

Delivery aggregators and consumer goods providers also saw steady increases in search volume

with Zomato seeing a 55 per cent search volume increase during the same period, while Uber Eats searches rose by 96 per cent and Amazon searches climbed 44 per cent.

Collectively, fast food sites have seen a 33 per cent increase in search volumes, with big winners like Dominos and Subway seeing increases of 40 per cent and 61 per cent, respectively.

Similar trends have been witnessed around the world, with online shopping seeing a 50 per cent increase in Germany, a 122 per cent increase in Japan and a 108 per cent increase in Korea.

Kasun Illankoon Editor, Logistics News Middle East

Editor Kasun Illankoon kasun@bncpublishing.net Art Director Aaron Sutton aaron@bncpublishing.net Marketing Executive Aaron Joshua aj@bncpublishing.net Photographer Ahmad Khader

SUBSCRIBE subscriptions@bncpublishing.net PO Box 502511 Dubai, United Arab Emirates P +971 4 4200 506 | F +971 4 4200 196 For all commercial enquiries related to Logistics News ME contact

sales@bncpublishing.net

ON THE WEB Keep up to date with all the latest news, features and much more on our website.

W W W. C B N M E . C O M / L O G I S T I C S - N E W S 6 | LOGISTICS NEWS ME | MAY 2020

All rights reserved © 2015.

Opinions expressed are solely those of the contributors.

Logistics News ME and all subsidiary publications in the MENA region are officially licensed exclusively to BNC Publishing in the MENA region by Logistics News ME. No part of this magazine may be reproduced or transmitted in any form or by any means without written permission of the publisher.

Images used in Logistics News ME are credited when necessary. Attributed use of copyrighted images with permission. All images not credited courtesy Shutterstock.

Printed by UPP

WWW.CBNME.COM

BOREDOM FUN COMESIS PROHIBITED GUARANTEED ROOFTOP SWIMMING YOU DECIDE WHEN THEAND PARTY TABLE WINNING. STOPSTENNIS WITH 24HR FOOD & DRINK. NOW OPEN AT DUBAI DIGITAL PARK. RADISSONHOTELS.COM/RED

COVER THE CITY

Unlocking the Power of Digital Signage Advertising

WITH YOUR ADS

Visit www.lifeonscreen.com

REGIONAL NEWS

REGIONAL NEWS A N U P DAT E F R O M A R O U N D T H E R E G I O N LOGISTICS

SAL LAUNCHES STATE-OF-THE-ART FACILITIES AT KING KHALID INTERNATIONAL AIRPORT

Saudi Arabian Logistics (SAL) has moved some of its services to the newly-launched facilities at King Khalid International Airport (KKIA).

This comes in line with SAL new operational plan aiming to enhance ground-handling services and streamline the cargo acceptance procedures through the village, which is a global integrated logistics platform for cargo and supply services.

Three quality and important services will be 10 | LOGISTICS NEWS ME | MAY 2020

provided from the new venue during the first phase, which are export cargo handling, domestic cargo handling and express mail services effective April 20th, 2020.

SAL CEO Omar Hariri said the new facilities are a major leap in the company’s progress because the Cargo Village offers capabilities. He noted that the village is the first of its kind in the region and was launched last January to contribute effectively to trade growth and

enhance all logistic services.

“The movement of ground handling services to the new facilities will undoubtedly enhance the cargo operations being provided during the COVID-19 crisis and ensure the continuity of the logistic operations and the flow of cargos,” he explained.

The SAL customers will get faster services as the operational capacity has doubled and will reach 450,000 tons a year at a total

area of 67,000 square meters.

There are 10 aircraft aprons and 15 docks for loading and unloading goods inside trucks.

There are free parking areas for customers as well.

The Saudi Arabian Logistics is the main cargo gate in Saudi airports and the only logistic platform linking all airports and facilitating ground handling services, electronic commerce activities, land transportation, warehouse management and storage solutions.

WWW.CBNME.COM

M AY 2 020

RAIL

MAQTA GATEWAY EXPANDS ITS DIGITAL LOGISTICS MARKETPLACE “MARGO”

Maqta Gateway, the digital arm of Abu Dhabi Ports, has expanded its digital logistics solution, Margo, with the addition of a new commercial offering for warehouse storage.

The new offering presents customers with the unique opportunity to book standard warehouses or specialised temperature controlledstorage facilities to safely store their perishable goods including food Items and medical supplies for short

and medium periods of time, through simplified paperfree booking processing and remotely-managed reservations. This new service leverages the simplicity, convenience and cost effectiveness of the existing Margo platform.

Among the current warehouse offering, customers can book Grade A warehouse facilities, one of the highest industry standards achievable within warehouse management

and storage, which also are conveniently located in the heart of the Khalifa Industrial Zone Abu Dhabi (KIZAD) and easily accessible from Abu Dhabi and Dubai.

Dr. Noura Al Dhaheri, CEO of Maqta Gateway and Head of Digitalisation Cluster at Abu Dhabi Ports, said: “We are pleased to bolster the capabilities of our highlyacclaimed Margo platform, through providing innovative solutions for customers in search of a short and medium-

term storage for their goods., through a streamlined digital service that is user friendly, efficient and cost effective.”

“In recognition of the collective efforts to combat the COVID-19 and considering that storage of food and medical supplies are of highest priority in these pressing times, I am pleased to announce that we will be waiving Margo Warehouse’s processing fees in the interim period for such facilities following its launch.”

LOGISTICS NEWS ME | MAY 2020 | 11

REGIONAL NEWS

COVID-19

DHL LEVERAGES GLOBAL NETWORK TO DELIVER PROTECTIVE GEAR TO AFRICA AND MIDDLE EAST

COVID-19

DHL Global Forwarding has launched today a dedicated 100-tonne weekly air freight service for organizations and governments shipping goods from China to Africa and the Middle East where muchneeded personal protective gear will make up the bulk of the cargo.

With its geographical location and superior infrastructure as a transit hub, Dubai will play a key role as a gateway between China and the rest of Africa and the Middle East allowing the leading international provider of air, sea and road freight services to consolidate cargo from across China into Guangzhou and air freight them via Dubai to their 12 | LOGISTICS NEWS ME | MAY 2020

various destinations across Africa and Middle East, all within two or three days.

“DHL Global Forwarding is bolstering logistics support to our customers in the region who need to ensure stable supply chains, especially for medical and critical supplies during this critical period. With multiple flight cancellations that has strained worldwide air freight capacity, we remain committed to leveraging our capabilities, global network and customized solutions to ensure that goods and critical resources continue to reach people and communities in Africa and the Middle East,” said Amadou Diallo, CEO, DHL Global Forwarding Middle East and Africa.

DEWA APPLIES PRECAUTIONARY MEASURES TO CONTINUE DELIVERING SERVICES DURING COVID-19

Dubai Electricity and Water Authority (DEWA) has undertaken a set of precautionary measures to ensure the health and safety of its customers and staff.

This is in line with Dubai Government’s efforts to provide the highest level of protection against the novel coronavirus (COVID-19).

DEWA has ensured the continuity of its delivery of electricity and water services, according to the highest standards of availability, reliability, and efficiency.

DEWA’s staff have undergone training programmes to use technological tools and

channels in its state-of-theart digital infrastructure over the last few years. This has enabled all of them to work remotely, hold video meetings using modern technologies, and ensure the highest standards of digital security.

This applies for employees whose jobs do not require their presence at DEWA’s power plants.

Besides the precautionary measures, DEWA has launched several awareness campaigns about the novel coronavirus using different tools and in different languages to ensure awareness messages reach all its employees.

WWW.CBNME.COM

M AY 2 020

CAREEM INTRODUCES GROCERY DELIVERY SERVICE IN DUBAI

Careem, the leading internet platform in the MENA region, launches its grocery delivery service in Dubai through the Careem NOW app as a way to help customers during this time. The on-demand service supports customers with the delivery of groceries and other essentials within a quick response time, and continues to reinforce the Careem promise, to offer customers a continued comprehensive array of services, all dis-

played and catalogued on the app.

To avail the service, customers only need to download the Careem NOW app, choose their preferred merchant, select from a catalogue of available items and add them to their basket.

Upon check out, customers can choose their location and payment method, and a Careem Captain will deliver the order within the hour, currently the shortest wait times in

comparison to other market timelines. Users of Careem NOW no longer need to use multiple apps for different services, with Careem NOW offering food, groceries, organic shops, pharmacies, coffee shops, roasters and pet stores as well as confectionaries and other services across the city.

In addition to being the only app to offer Lulu Hypermarket in Dubai, Careem Shops include 7-Eleven, 800-Pharmacy,

Al Manara Pharmacy, NESCAFÉ® DOLCE GUSTO®, The Pet Corner, The Coffee Souq, Julius Meinl Coffee, Al Dar Roastery, Rootz Organics, Al Douri Signature, Al Douri Mart, Supermarché, Narinport, Four Seasons Pharmacy, and La Despensa Spanish Food Store, to name a few. This launch marks a milestone for Careem, positioning the Super App as a new contender in the grocery and other essentials delivery space.

LOGISTICS NEWS ME | MAY 2020 | 13

REGIONAL NEWS

E-COMMERCE

EMIRATES SKYCARGO’S E-COMMERCE OFFERING SEES STRONG TAKE-UP IN THE UAE

Emirates Delivers, the e-commerce delivery platform launched by the freight division of Emirates has witnessed a strong reception by UAE customers in March and April 2020. A reliable and costeffective e-commerce shipping solution targeted at individual shoppers and small businesses in the UAE, Emirates Delivers permits consolidation of purchases from multiple online retailers in the US into a single package and have it delivered to an address in the UAE. As customers have turned 14 | LOGISTICS NEWS ME | MAY 2020

increasingly to shopping online during the Covid-19 pandemic, Emirates Delivers has seen an increase in membership and orders since March 2020. The e-commerce platform saw a month on month jump of 20% in shipments delivered over the last month with customers shopping for a range of items including medicines and supplements, toys and games, fashion and sporting goods.

Nabil Sultan, Emirates Divisional Senior Vice President, Cargo said:

“Emirates Delivers is a very unique e-commerce offering and we stand by our customers in the UAE during these challenging times to help deliver their valuable shipments from online retailers in the US. Our customers can make use of the 30 day free storage offer in the US and take advantage of the most attractive offers on various e-commerce sites to consolidate their shipments and save on individual shipping costs through the competitive shipping rates

that they can access through Emirates Delivers.”

Despite challenging conditions, including the suspension of all passenger flights from the UAE, Emirates SkyCargo has been connecting Emirates Delivers shipments through its freighter services from the US, offering UAE customers an average transit time of around 7 days. Emirates Delivers offers contactless deliveries for its packages in the UAE keeping in consideration the well-being of its customers and staff.

WWW.CBNME.COM

M AY 2 020

TERMINALS

CSP ABU DHABI TERMINAL ACHIEVES KEY SHIPMENT AND SAFETY MILESTONES On the occasion of its first year anniversary, Khalifa Port’s CSP Abu Dhabi Terminal, has announced it has accomplished over 800,000 hours without lost-injury time (LTI) and surpassed the 540,000 TEU mark since its operational soft launch last April.

Based at Abu Dhabi Port’s flagship port, Khalifa Port, the terminal is the result of a 35year lease agreement between COSCO SHIPPING Ports Limited (CSP) and Abu Dhabi Ports.

Serving as a regional base for COSCO SHIPPING Ports’ global network of 48 terminals, the AED 1.1 billion deep-water, semiautomated container terminal has achieved the important benchmarks after successfully handling 416 vessels, including some of the world’s largest, together with 312,000 cargo movements.

Commencing full operations in November 2019, and with a design capacity of 2.5 million TEU, CSP Abu Dhabi Terminal is the first international greenfield subsidiary of COSCO SHIPPING Ports, whose parent company, China COSCO Shipping Corporation Limited, is the largest integrated shipping enterprise in the world.

The two records, for safety and TEU’s, were simultaneously achieved, ahead of schedule, in February and March respectively.

Captain Mohamed Juma Al Shamisi, Abu Dhabi Ports Group CEO, said: “Reaching these key safety

and operational milestones is a tremendous achievement for CSP Abu Dhabi Terminal, and demonstrates our commitment to helping position Abu Dhabi as one of the world’s premier logistics and trade hubs.

“Our long-term strategic partnership with COSCO SHIPPING Ports is bearing fruit thanks to the directives and support of our leadership, and these impressive results demonstrate Abu Dhabi’s strength in enabling international trade by handling and moving highvolumes of cargo efficiently and safely.”

“Abu Dhabi Ports has heavily invested in developing world-class technology and infrastructure to ensure our maritime and logistics assets act a conduit for attracting foreign direct investment and enhancing commerce.”

Naser Al Busaeedi, Deputy CEO, CSP Abu Dhabi Terminal, said: “In the longterm, our strong partnership with Abu Dhabi Ports allows us to take advantage of world-class infrastructure, to seize opportunities in new growth markets and put our customers first.

“We are confident that our strategic location,

in proximity to Khalifa Industrial Zone Abu Dhabi (KIZAD), the region’s largest industrial zone, and our interconnected multimodal transportation links, will assist us in creating new opportunities to meet demand and maximise efficiency across the entire supply chain.

“Our commitment to Khalifa Port’s ongoing enhancement allows Abu Dhabi to not only increase trade flows to the region, but positions our port as a highly significant hub within China’s Belt and Road Initiative (BRI).”

LOGISTICS NEWS ME | MAY 2020 | 15

REGIONAL NEWS

FIND US ON YOUTUBE Subscribe to our YouTube channel to see things like site visits, interviews and much more

BUNKERING

UAE BASED GP GLOBAL EXPANDS EUROPEAN BUNKERING NETWORK

TOP 5 ONLINE STORIES THIS MONTH

1

Careem introduces grocery delivery service in Dubai

2

Rockwell Automation to name Al Ghandi Electrical & Automation as Authorised Distributor in the UAE

3

Renault Trucks prepares a gradual and safe restart of its plants in France

4

King Fahad Industrial Port at Yanbu Receives Maiden Call by Newly Launched JEDDEX service from CMA CGM

5

DEWA applies precautionary measures to continue delivering services during COVID-19

16 | LOGISTICS NEWS ME | MAY 2020

GP Global has further strengthened its international bunkering network with the addition of new delivery infrastructure, supplying the port of Hamburg, Germany.

Expanding their geographical supply reach in the ‘North Western’ market, GP Global will be supplying Marpol and IMO 2020 compliant Marine Gasoil, all overseen by GP Global’s Rotterdam office.

With a global network of bunker trading offices across London, Geneva, Dubai, Mumbai, Singapore, and Houston in The Americas, complemented by representatives in Lagos, Dar el Salaam, Nairobi, Delhi and Shanghai, the expansion into supplying Hamburg compliments GP Global’s current portfolio of supply locations as the group continues to grow.

Leading the operation in Hamburg is Peter Beelenkamp, who will be reporting directly Chris Todd, Head of Bunkers, West of Suez. Before joining GP Global in 2019 as Lead – Hamburg Bunkers, Peter headed the European Division of SK

Energy focusing on their ARA operations and brings a breadth of experience to the role.

GP Global’s Jt. Managing Director, Prerit Goel, said: “As the bunkering landscape continues to shift into new directions, supplying for Hamburg Port is a testament to the success the company has achieved across its business units, in the face of a challenging global economic climate. The Hamburg market has long been on our radar and we are very excited about the added value GP Global will be bringing to what has long been a static market.”

Chris Todd, Head of Bunkering, West of the Suez at GP Global, added: “Being a neighbouring port to Rotterdam, the setup of our new Hamburg operation is a great fit for our further expansion into the North Western market, and the world. Our bunkering division continues to go from strength to strength as we continue to add new physical supply ports as well as new offices and talented individuals to portfolio of locations West of Suez.”

WWW.CBNME.COM

M AY 2 020

RETAIL

MAJID AL FUTTAIM AND MINISTRY OF CLIMATE CHANGE AND ENVIRONMENT ANNOUNCE PLAN TO BOOST SUPPLY OF FRESH PRODUCE

Majid Al Futtaim, the leading shopping mall, communities, retail and leisure pioneer across the Middle East, Africa and Asia, in collaboration with the UAE Ministry of Climate Change and Environment (MOCCAE), has announced a new initiative to boost the availability of locally grown produce across Carrefour stores in the UAE. The programme will open new distribution channels for more than 6,000 small and medium-sized local farmers and ensure a sustainable supply of fresh fruit and vegetables across the country.

This collaboration is an example of the public and private sector working

together effectively and with uttermost agility to turn a challenging situation into an opportunity. It is made possible by a Memorandum of Understanding that was signed by both parties in 2018 and has since resulted in many important partnerships. This latest initiative will enable local farmers to sell their fresh produce at competitive prices through a large network of distribution and collection centres, while also benefitting from Carrefour’s sorting and packing services.

Speaking on the initiative, His Excellency Dr Thani bin Ahmed Al Zeyoudi, Minister of Climate Change and Environment, said:

“MOCCAE and Majid Al Futtaim share a firm dedication to advancing sustainable development, and creating efficient distribution channels for local agricultural produce is an integral part of achieving this objective. In line with the new strategic food security law, issued by the UAE President His Highness Sheikh Khalifa bin Zayed Al Nahyan on 30 March 2020, Carrefour’s direct purchase scheme will go a long way in providing a sufficient supply of essential food commodities in the UAE – a key priority in view of the current situation.”

Alain Bejjani, Chief Executive Officer at Majid

Al Futtaim Holding said: “For many years, we have partnered with the Ministry of Climate Change and Environment to support the UAE’s Sustainability agenda and maintain our position as a leader in sustainable business practices.

This includes continued support of critical sectors like the agrifood industry, particularly at a time when food security and access to essential products is more important than ever. Our latest partnership reinforces our commitment to substantially and sustainably contribute to the country’s food security efforts and increase the supply of fresh and nutritious produce in our stores.”

LOGISTICS NEWS ME | MAY 2020 | 17

A N A LY S I S

UAE – CONNECTING THE WORLD New Analysis from Dubai Chamber highlights the country’s connectivity as being integral to helping the world navigate the current crisis

18 | LOGISTICS NEWS ME | MAY 2020

WWW.CBNME.COM

UAE’S LOGISTICS SECTOR PLAYS A KEY ROLE IN GLOBAL EFFORTS TO OVERCOME COVID-19 PANDEMIC The UAE’s status as a vital global logistics hub is helping the global community effectively navigate the coronavirus pandemic – according to a new Analysis by Dubai Chamber of Commerce and Industry (Dubai Chamber).

Titled ‘UAE Logistics Sector – Connectivity and Resilience,’ the Analysis highlights the country’s busy air cargo routes, high maritime freight connectivity, well-established warehousing network and strong logistical system as key elements that are enabling communities to weather the restrictions being created by the current situation.

Focusing on air cargo, the Dubai Chamber Analysis found that Middle Eastern cargo carriers, led by Emirates Airline, are showing resilience to early disruptions caused by the COVID-19 crisis, with Middle East-North America, Africa-Middle East, Europe-Middle

East, and Middle East-Asia routes all experiencing annual year on year (y-o-y) growth between 2.5% to 9% during February 2020 compared to 2019. This bucked the trend that saw global carriers’ international activity drop by -0.9% y-o-y, with around half of their global cargo routes experiencing weakness.

The Analysis also highlighted the latest data from the International Air Transport Association (IATA) that showed that international cargo tonne kilometres (CTKs) - a measure of air cargo traffic - Analysised by carriers in the Middle East grew 4.3% y-o-y in February 2020 as they expanded their cargo capacity by 6% yo-y. This was despite having to reduce - as did all international carriers - their passenger capacity due to the COVID-19 pandemic.

From a maritime perspective, the Dubai Chamber Analysis found that the UAE’s connectivity has been a key factor in ensuring that vital supplies reach global markets. Highlighting the Liner Shipping Connectivity Index

(LSCI) – a widely used barometer of countries’ accessibility to global trade – it revealed that the UAE has the highest connectivity to global maritime trade networks among all countries in the Middle East and neighbouring Africa, West Asia and South Asia regions - a strong indication of its global trade hub status.

The Analysis pointed out that the UAE’s regional markets of Kuwait, Oman, Pakistan, Sudan and Tanzania have their highest bilateral connectivity with the UAE higher or equal to China – the world’s largest economy by purchasing power parity. While for markets such as Kenya and KSA, the UAE enjoys the second highest bilateral connectivity after China.

It is worth noting that the network of marine trade routes owned by the Emirates reflects the existence of immense opportunity for easy and flexible movement of goods, thus saving cost and time, which makes the UAE’s logistics sector a key player in the global efforts to fight Covid-19.

Zachary Cefaratti, CEO Dalma Capital Management

LOGISTICS NEWS ME | MAY 2020 | 19

CA R G O

CARGO ON THE MOVE A world increasingly in lockdown, yet air cargo keeps moving: WorldACD Market Data

No one could have foreseen what the world is going through as a result of the Covid-19 pandemic. Trying to compare our days with any earlier period in history seems senseless, as so many parameters have changed drastically, whether you take the Spanish flu, the great depression, the globalization of the past decades or the financial crisis of 2008/9 as your point of reference. And yet - however terrible the daily news - you may want to know what’s happening in your field of economic activity, if only as some kind of background to the momentous things happening to us or around us.

You are accustomed to our monthly informa-

20 | LOGISTICS NEWS ME | MAY 2020

tion built with the full worldwide data of well over 70 airlines. Today, subscribers to the WorldACD data service received the March-data for over 1,500 individual markets: the word rollercoaster does not even begin to describe what the air cargo world has experienced in March‌ We look at developments from three different perspectives: a year-over-year (YoY) comparison, the month-over-month (MoM) changes between February and March, and the dramatic events within the month of March itself.

MARCH 2020 VS MARCH 2019 (YOY) After the 2.7% drop we reported for the

months of January/February combined, March recorded a decrease in chargeable weight of 17.7%, in spite of the first week of March being the best week of the year so far.

Asia Pacific (-12%) and the Americas (-17%) fell least, whilst Africa and MESA were hardest hit (-28% and -32% respectively). A small increase in freighter capacity (+2%) was more than offset by the sudden lack of cargo capacity in passenger aircraft (-39%), causing yields to go up in most regions, most visibly for cargo originating in Asia Pacific.

In that region, unit prices in USD increased YoY by more than 1/3 (from China by even

WWW.CBNME.COM

M AY 2 020

“Between February and March, freighter capacity increased by 29%, whilst cargo capacity on passenger aircraft dropped by the same percentage” Top-10 slightly increased their share as they laid their hands on scarce capacity against a somewhat higher increase of charges than the increase recorded for Tier-2.

2/3, getting up to an average of 3.58 USD/ kg). In terms of revenues (in USD), the market from China to destinations in Asia Pacific stood out with an increase of 91%.

MARCH VS FEBRUARY (MOM) Between February and March, freighter capacity increased by 29%, whilst cargo capacity on passenger aircraft dropped by the same percentage. Changes in cargo carried were most conspicuous when looking at the results per type of airline. Airlines flying freighters only, carried 42% more cargo than in February, whilst airlines operating

only passenger aircraft lost 22%. The larger group of airlines operating both passenger aircraft and freighters, did not suffer a material change in volume. Not surprisingly, the cargo-only airlines improved their market share considerably, whilst recording a whopping 81% growth in USD-revenues.

Forwarders from the World’s Top-20 had different experiences: the Top-10 as a group increased volumes by 3%, though with individual performance ranging between -9% and +16%.

Individual performances in Tier-2 (the numbers 11-20 lost 2% as a group) were much more divergent, ranging from -40% to +117 %. The

THE MONTH OF MARCH, A MONTH LIKE NO OTHER IN AVIATION HISTORY Where to start when recording the events within the month of March, showing many completely different faces…

Freight capacity fell by 28% in two weeks’ time. Cargo carried on freighters was 3.5% higher in the second half (H2) than in the first (H1), but freight carried on passenger aircraft was halved, causing the total freight carried to drop by 22% from H1 to H2. Cargo carried from Africa and MESA fell by more than 30% in two weeks’ time, Asia Pacific’s by less than 10%.

Comparing the last week of March with the first, a mixed picture emerges. Cargo carried in the last week was 31% lower worldwide than in the first week. Airlines from the Middle East were hardest hit with a volume decrease of 49%. Cargo capacity on passenger aircraft virtually disappeared in the MESA region (-92%).

Asia Pacific airlines dropped least (-10%). Airlines from North America lost 53% in European markets, but airlines from Europe only 28% in North American markets.

The volume of high-tech transported in the last week of March, was higher than in the first week. Fish & Seafood, Fruits & Vegetables and Flowers were hardest hit, with drops between the first and the last week of 41%, 53% and 58% respectively.

LOGISTICS NEWS ME | MAY 2020 | 21

D I G I TA L I S AT I O N

22 | LOGISTICS NEWS ME | MAY 2020

WWW.CBNME.COM

M AY 2 020

ONE CLICK AWAY

Driven By Demand: Dubai-Based Logistics Tech Startup One Click Delivery Services Sees Surge In Growth. Hassan Hallas, CEO & Co-Founder tells us why. Also flag the page as Interview The spread of the coronavirus and sweeping policy measures taken by various governments have led many industries into unchartered territories. We’ve seen tourism, airlines, electronics and many other industries hit by the COVID-19 crisis, but there’s been an unprecedented growth spike in the online food and delivery industry.

As consumers globally have been either mandated to stay home or have chosen to do so, they have resorted to ordering food, groceries, shopping and other essential needs online.

Due to the surge of online shopping many delivery services and solutions companies are thriving during this pandemic. According to KPMG Lower Gulf ’s latest report, ‘Navigating the pandemic,’ has revealed that among the strong performing sectors, online retail, particularly of groceries, has witnessed significant growth. Grocery retailers witnessed a 20% to 40% increase in sales during the first half of March, compared to the same period last year.

Online marketplaces also saw surging demand, particularly for laptops/tablets and gym equipment (due to the closure of gyms and fitness centers).

One Click Delivery Services, one of the fastest growing regional technology companies specializing in Last Mile– is currently experiencing a sharp spike in demand for fleet and fleet software management in order to respond to their client’s high demand of food and groceries orders.

“The verticals operating more than others are the delivering necessities – such as grocery stores and pharmacies. Restaurants are also operating well as customers still want to enjoy their favorite meals even when the dine-in option isn’t available (with the exception of a few restaurants),” said Hassan Hallas, CEO and co-founder of One Click Delivery Services.

“With restaurants and retail stores changing their business model to deliveries, we are fac-

ing a surge in delivery demand which has led us to increase our fleet capacity by 14% in under one month,” Hassan added.

With health and safety being a concern to all customers, all delivery services have introduced measures to deliver goods safely. Hassan explains how One Click have taken extra measures to ensure that their last mile delivery goes smoothly: “We have a great responsibility of protecting all customers and riders, so we have implemented strict hygiene protocols that all riders must abide by. It starts at the warehouse – where all the disinfection begins. This of course, is additional time and work from our side – but this is the way things must be done.

Riders then must have their vehicles deep clean and continuously sanitize their hands and change their masks and gloves multiple times.

We are working as hard as we can to be as hygienic, fast and efficient as possible to keep our and everyone else’s business going.”

“To keep our clients satisfied, we are keeping their customers happy by executing deliveries rapidly and safely. Our strong technology is enabling them to manage fleet easily and efficiently especially in such times of high delivery,” Hassan elaborated.

One Click Delivery Services aims to develop solutions that cover the entire Last Mile Delivery phase with the end goal of becoming a one-stop shop for all last-mile delivery phases, ultimately changing the last-mile delivery landscape through the digitization.

“Every one of our solutions facilitates a specific element of the last-mile delivery, from fleet management and data collection to client acquisition and more. We aim at becoming a one-stop shop for all last-mile delivery phases, ultimately changing the last-mile delivery landscape through the digitization of every angle.”

In order to be unique and stand out from the rest of the competition One Click’s SaaS solu-

tion, nGage, is a game changer for the logistics industry. “nGage last-mile delivery is a software-as-aservice which our clients are provided with to manage their fleet and track package deliveries in real time, optimize routes, get all the necessary information about fleet activity and much more. It gathers all last-mile delivery elements information into one comprehensive and userfriendly software. Clients no longer need to take orders and assign drivers for deliveries manually. Orders come through the software and riders/drivers are immediately assigned to pick them up, and are given the best route to take with the help of the GPS,” said Zeid Abu Ennab – Senior Director- Brandware & Saas Apart from nGage, One Click is planning to introduce a new ground breaking technology, Brandware, which can dynamically and digitally updates the look and feel of your fleet and delivery specialists. The patented technology includes uniforms with digital panels and delivery boxes and backpacks with digital panels.

“Our goal was never to simply create a software and sell to our clients, stopping there. It was creating an entire last-mile delivery ecosystem. Our software provides us with particular data, which is later utilized for the creation of another solution, useful at a later stage – in a domino-like effect.”

With COVID-19 changing how every industry operates, One Click’s flexibility allows them to adapt and evolve to provide the right solutions for their clients. “Our flexibility is our ‘secondary USP’. The blend between our technology and the brains behind the technology. We are proud our management’s agile approach to challenges. Our team does not turn away any client no matter what the size of their business is. We custom make solutions for all clients, create new services and find ways to solve their challenges,” concluded Hassan.

LOGISTICS NEWS ME | MAY 2020 | 23

C O V E R S TO RY

Logistics News ME looks into how ports and terminals are operating in 2020, why their locations are strategic for their partners, and the key role that technology and automation plays.

24 | LOGISTICS NEWS ME | MARCH 2020

WWW.CBNME.COM

M AY 2 020

RAK PORTS FACILITIES’ AT RAK PORTS • 4 diversified / multi-faceted Ports • 10 bulk handling berths • upto 18 metres water depth • 22 modern mobile harbour cranes – delivering 5,300 tons per hour loading rate • 100 million ton bulk handling capacity • a dedicated container terminal (815 metres in quay length / 3 ship to shore cranes) • 9 million square metres of land available for development • 800,000 square metres of covered warehouse space • 14 dedicated modern vessels in the marine services fleet • 3 anchorage areas (30 to 60 metres water-depth) capable of accommodating 50 vessels at any given time OVERALL PERFORMANCE RAK Ports performed really well in 2019, we achieved a financial result that was similar to the very good result of 2018. Saqr Port handled a record 56.4 million tons of cargo.

Saqr Port’s three new deep-water (-18 metre water-depth) berths are now fully operational, allowing our customers to send bigger vessels than before. Our customer satisfaction was again on a high level.

We were off to a good start in 2020 but we will obviously be impacted by the consequences of Covid-19. Fortunately we had already initiated numerous efficiency drives and due to somewhat slower volumes we have been able to expedite those measures so we expect to come out even more robust. We have also started our land-reclamation project to attract new activities to Saqr Port / Free Zone. So volumes will probably be less than in 2019 but we still expect a strong result.

IDEAL PARTNER RAK Ports’ core values of professionalism, flexibility, innovation and transparency are central in delivering best practice international management, operational excellence and a wide range of top-class services to our customers and stakeholders.

Our management team and operational staff combine decades of relevant international experience in the maritime, terminal and port industry with an easily accessible, hands-on and responsive customer centric approach.

TECHNOLOGY As part of our efficiency drive, we are putting a lot of focus on the digitilisation of our processes and operations by implementing our Port Operating/Port Community System during the course of 2020. Amongst other things, it includes state-of-the-art “Rubus” technology to optimize the use of our mobile harbour cranes.

We are also pursuing options to make our operation more environmentally friendly.

PORT AUTOMATION Port Automation is essential to improve one’s efficiency. TOS and Port Community Systems have traditionally been focused on containers, and to a certain extent also on large scale – single commodity – bulk operations.

We also see good deployment options however for automation in our more complex dry bulk operation. Port Automation (hardware and processes) is not only about systems however, it is about sharing data along the supply chain.

One should use Port Automation as a platform to create value with that data with an improved efficiency (for all stakeholders in the chain) as the objective. We are working hand in hand with our customers and other stakeholders to achieve exactly that with the implementation of our Terminal/Port Operating and Port Community systems.

LOGISTICS NEWS ME | MAY 2020 | 25

C O V E R S TO RY

PORT OF SALALAH

OVERALL PERFORMANCE 2019 was one of the most exciting years in the history of the port. The year saw an incredible journey of recovery from the devastating Cyclone Mekunu in 2018 and handling of an all-time record in both the General cargo and the Container Terminal of the port.

The General cargo terminal handled 16.27 Million MT and the container terminal handled 4.1 Million TEUs in the year.

2020 started off well, however now with the COVID-19 situation globally, things are shaping out in a different way than expected.

We are following the guidelines and directives of the Government of Oman and have a business continuity plan in place to mitigate the risk to our employees and stakeholders.

The situation continues to be extremely fluid and we are keeping a close watch on the evolving developments and processes are being aligned to mitigate impact.

26 | LOGISTICS NEWS ME | MAY 2020

IDEAL PARTNER Port of Salalah offers customers using the port a distinct competitive edge in the form of improved supply-chain efficiency and cost advantages through its strategic geographical position as well as the state of the art infrastructure.

Strategically located directly adjacent to the main East-West Shipping Lane, Salalah provides the region’s fastest access point to the wider Middle East, Indian Subcontinent and East Africa. The port is also situated well-away from the Straits of Hormuz – reducing carrier insurance premiums and overall freight costs.

Additional advantages include the adjacent Salalah Free Zone, which offers 100% foreign ownership, 0% import and re-export duties and 0% personal income tax alongside sector-specific zones and clusters, which address the unique infrastructure needs of

individual industries alongside offering integrated, bespoke logistics and supply chain solutions across the value chain.

TECHNOLOGY In 2018, Port of Salalah upgraded its Terminal Operating System which forms the backbone of its container terminal operations.

Also, all equipment purchased by the port, have the advanced features in them which not only allow for better synergy with the terminal operating system but also reduce the overall life cycle cost of the equipment and are environmentally friendly in terms of lower emissions and lower fuel consumption.

Towards the end of 2019, as part of its digital initiative to enhance customer experience, Port of Salalah, joined TradeLens, the blockchain-enabled digital shipping platform.

We are also working on digital payment and enhancements in the customer interface

WWW.CBNME.COM

M AY 2 020

so as to provide a real time update on operations to the customers.

PORT AUTOMATION While the need for digitalization is not disputed, the scope and the extent to which digitalization initiatives succeed is dependent on a number of factors and some of these factors may be beyond the control of the entity.

Overall, the benefits of digitalization can be maximized only if the entire ecosystem including the key stakeholders are connected digitally or have aligned processes.

As far as automation is concerned, there has to be a realistic assessment of the financial and non-financial benefits and compared to the financial and non-financial cost of undertaking such an exercise.

In a location like Salalah, customers require us to provide speed, efficiency, reliability and predictability with the inherent

Sunil Joseph, Chief Commercial Officer of Port of Salalah

ability to handle uncertainty combined with low cost which has made high level of automation unviable till date. However, with the cost of automation decreasing each passing year and the technology related to automation becoming more stable, we will see more terminals evaluate automation more frequently.

Port of Salalah is evaluating on a number of initiatives that will support improving overall customer experience. Many of our assets are being digitalized, with sensors to maximize information flow and improve performance. Apart from using technology to drive performance and make the terminal a safer place, our approach is to focus on customer facing transactions which will not only enable ease of doing business but also helps reduce trade barriers. This, in turn, will stimulate business growth in the local and regional economy.

LOGISTICS NEWS ME | MAY 2020 | 27

C O V E R S TO RY

SHARJAH CONTAINER TERMINAL OVERALL PERFORMANCE Overall, 2019 was a great year for Gulftainer’s portfolio and we achieved a number of milestones. Our gateway flagship, Sharjah Container Terminal (SCT) welcomed several direct calls, demonstrating its strategic position as a prominent gateway port for the region.

We also upgraded the terminal services, which included the expansion of SCT’s full container storage yard by over 17 per cent and the ability to operate bigger vessels.

2019 also saw the completion of the Saja’a Access Road in Sharjah - another key milestone for us. The newly-constructed throughway, built in collaboration with the Roads and Transport Authority (RTA), connects the Saja’a Industrial Investment Park (SIIP), Gulftainer’s first-ever leasehold initiative, via the Emirates Road (E611) to the three major seaports in Sharjah – Port Khalid, Hamriyah Port and Khorfakkan Port – as well as Sharjah’s International Airport and the UAE’s arterial road network. Its strategic location and unparalleled capabilities are poised to enhance the global competitiveness of the Emirate.

In 2020, we will continue to enhance the port’s capabilities to meet the evolving needs and expectations of our customers and we look forward to welcoming new customers and forging additional fruitful partnerships.

Peter Richards, Group CEO, Gulftainer (Sharjah Container Terminal)

28 | LOGISTICS NEWS ME | MAY 2020

IDEAL PARTNER SCT’s strategic location as a prominent gateway port for the region, coupled with its modern machinery provides the most efficient turnaround possible for vessels and also offers tailor-made solutions for port users. The terminal’s Electronic Data Exchange (EDI) facilities offer optimisation of operations and ensures quicker and secure ex-

WWW.CBNME.COM

M AY 2 020

change of sea shipping paperwork.

Overall, in addition to its unique location, the services of the terminal offer efficiency, optimisation of processes and reduced operational costs that make us the ideal partner for our customers. The port connects UAE shippers to the worldwide shipping network through both direct and feeder container shipping services.

to its own inland depot for warehousing and cargo handling.

This terminal is supported by Momentum - our complete third-party logistics provider (3PL), which offers clients a comprehensive range of integrated logistics services, including transportation, freight forwarding, warehousing, logistics cities, container repair services and contract logistic.

TECHNOLOGY The terminal, which boasts a state-of-the-art port management system, four berths, five cranes, fully computerised warehousing and distribution centre, vast yard and terminal space, offers excellent productivity levels and online services for customs facilitation. SCT also has plenty of space and inland access

PORT AUTOMATION The increase in sea traffic and a continued momentum in trade has led to a significant demand for automation in container terminals processes. Automation of ports will bring a large number of benefits including a new level of consistency when handling cargo at reduced costs and carbon emissions.

New technologies include Artificial Intelligence (AI), Blockchain, and “Internet of Things” (IoT) to help digitise and automate processes, offering customers pricing benefits and faster services. This is what we envisage the future of ports will look like – smarter, faster, greener, bigger and automated.

Not only will these ports generate value for all stakeholders - port operators, suppliers, and customers – but they will offer new opportunities for employees to upskill and reskill. Eventually, automated carbon-neutral ports will become increasingly common, and conventional equipment within ports will be replaced. It will also empower and aid staff to perform more complex and strategic tasks as lengthy and mundane tasks will be replaced by tech-driven solutions.

LOGISTICS NEWS ME | MAY 2020 | 29

D I G I TA L

30 | LOGISTICS NEWS ME | MAY 2020

WWW.CBNME.COM

M AY 2 020

DIGITISING THE SUPPLY CHAIN

Luis Ortega, Managing Director for Middle East, Africa, Asia at Pagero, tells us how businesses demand global reach to their buyers and sellers in a full digital fashion regardless of the back office systems or documents’ formats and providing support with local compliance and flexible business requirements.

Digitisation has been a buzzword for some time now but, given the current business scenario globally, it is being seen in a new light. The current pandemic has forced businesses to manage their processes better and that includes its supply chains.

Digitising business processes is important for three main reasons: compliance, efficiency and data accuracy. Driven not just by compliance and regulations by government departments like the tax authorities, customs etc but also in terms of compliance with contractual obligations, proper digitisation of these networks means that not only does the system provide all the necessary basic information about the company but also transparency and verification of the business process from estimates to purchase orders to processing invoices providing real time information for managing businesses.

The ideal scenario would like to see that buyers and sellers are connected to open global networks where they can exchange their documents in any format that can be generated by

whatever ERP or Workflow solutions each company uses and that this network is smart enough to convert them in a way that the receiver can read and interpret it accurately. Proper digitization in this form results in operational efficiency.

It allows for verified and detailed documents to be distributed to the right people for informed decisions. For buyers, for critical industries particularly, it means a better view of suppliers, deliveries, and also management of the inventory and the buying process. For the sellers, this means a more efficient use of documentation and processing of estimates, orders, deliveries and payments.

However, we are not working in a completely digital world. We still have manual inputs to unsophisticated systems that cannot connect to a portal or that businesses (some of the smaller ones) can only generate PDF versions of scanned, manually raised documents. Manual processes like these are labour intensive and the chance for errors is quite high. Add to this, these not always verifiable or traceable. However, if

they are linked to solutions or portals that are vendor agnostic like Pagero’s platform, these can convert manual documents into verifiable digital documents that can then be processed for better efficiency.

This leads into the last major reason for digitisation: data accuracy. Digitisation allows for traceability for documents and the process. The management also gets detailed, accurate information at line level that allows them to generate analytics like cash flow, indication of fraud, buying and procurement trends, contracts and discounts when the flow of data is digital and not manual.

Working with vendor agnostic platforms like Pagero, the supply chain ecosystem can create traceability, data accuracy and transparency.

These platforms also create interoperability between other networks used the buyers and sellers anywhere in the world, making it futureproof. The opportunity to upgrade and expand the connections to the network makes it way more scalable and easier and cheaper to maintain than traditional EDI.

LOGISTICS NEWS ME | MAY 2020 | 31

TRUCKS

GRADUAL RESTART

Renault Trucks prepares a gradual and safe restart of its plants in france

Disinfection of machinery, workstations and work tools, the wearing of masks, gloves and overalls, social distancing rules, organised movement in shared areas... Production has been at a standstill since 18 March, but Renault Trucks is now preparing for a slow, gradual and safe resumption of activity in its production sites, constantly following the same baseline approach, namely to protect the health and safety of its employees.

Since the start of the lockdown and despite the temporary interruption in production, Renault Trucks has carried on serving its customers, as far as reasonably possible, by continuing in particular to supply spare parts and repair trucks. These activities are essential to ensure the continuity of vital services to society, especially to transport

32 | LOGISTICS NEWS ME | MAY 2020

and deliver basic necessities, medicines and food.

However, although some employees have carried on working, production, sales and R&D have come to a halt and the vast majority of employees have been in short term layoff for almost a month.

Concerning Renault Trucks in France, an agreement has just been unanimously signed by trade unions to ensure fair compensation for these staff members in short term layoff.

Applying until July 3, 2020, the agreement erases the disparities between the different categories of employees, resulting from the legal provisions and the Metallurgy collective agreement, protects the lowest wages and aligns compensation for all employees at 92% of their usual net pay thanks to the

solidarity of managers, and thanks to an additional contribution from the company.

“This agreement allows all employees to be treated fairly during this unprecedented crisis period. It enables all employees to get close to 100% of their usual remuneration through a vacation buy-back plan, while safeguarding the company’s future,” emphasises Bruno Blin, president of Renault Trucks. “In addition to the employees’ solidarity, the company is contributing around 8% of the total payroll.”

Renault Trucks is planning to resume its activity. Factories in France will be restarted gradually, from April 22, 2020, starting with Lyon-Venissieux Engine Plant. Other Renault Trucks production sites, such as Bourg-en-Bresse and Blainville-sur-Orne assembly plants, should gradually resume

WWW.CBNME.COM

M AY 2 020

their activity in the following weeks. The restart of industrial activity is planned, for all plants, at a very low level. Ramp up will be slow and be spread over several weeks, in line with customer demands, the ability of suppliers to deliver the required provisions, and in synchronization with the other Volvo Group plants.

The industrial restart will be conditioned by the implementation of reinforced health protocols adapted to each site, in consultation with the trade unions and employee representatives. Drawn up by the company’s occupational physicians based on the precise route taken by employees, from the cloakroom to their workstation, they aim to eliminate the risk of coming into contact with the virus.

“We will only resume activities if health

and safety conditions are exemplary – there will be no compromises. This is why we are envisaging a gradual restart, involving an initial period during which we will be testing the health protocols, as well as the supply chain and logistics, before considering a ramp-up” explained Bruno Blin.

Measures to be taken in Renault Trucks plants include: • Applying social distancing rules and protective measures, • Widespread use of alternative masks, • Wearing FFP2 masks with goggles or visors and gloves when the one-metre distance cannot be respected, • Keeping doors open (except fire doors) to prevent contact with handles, • Cleaning of workstations, work tools,

logistics equipment, changing rooms and canteens, • Organising movement in all common areas, changing rooms, corridors and canteens, extending the opening hours and limiting the number of people present at any given time, • Introducing a special seating plan in transport shuttles to guarantee space between passengers.

For sales and research & development entities, the company will favor home office for employees who will have to resume their activity.

In a parallel move, the company’s management is examining requests from its customers, dealers and bodywork partners and analysing market trends to adjust production rates for the coming months.

LOGISTICS NEWS ME | MAY 2020 | 33

WAREHOUSES

SMART HUB LOGISTICS

Middle East’s first next generation ‘Smart hub’ logistics warehouse launches in Bahrain to serve the GCC

Bahrain’s MVC Global – providers of one of the leading supply chain track-and-trace platforms for pharmaceuticals and medical devices – announced a strategic partnership with Cox Logistics Group – a Bahrain-based Logistics provider – to launch a first-of-itskind “SmartHub” logistics warehouse for pharmaceuticals and food to be headquartered in Bahrain and serve the GCC market.

At a time when global supply chains are decimated by the ongoing COVID-19 pandemic, this next generation logistics warehouse will utilise emerging technologies to ensure the speedy and efficient distribution of much-needed foods and medicines across the entire GCC, drastically reducing the

34 | LOGISTICS NEWS ME | MAY 2020

time required for paperwork, administration and bureaucracy. It will be the first ‘smart hub’ in the middle east to integrate a track and trace system on a blockchain platform with smart contracts for customs clearances and fee payments.

The MVC ‘SmartHub’ platform integrates blockchain with serialised Track & Trace, IoT sensors, and ‘SmartPass’ with smart contracts for compliance and government clearances, as well as Fintech for supply chain finance and cross border payments.

The ‘SmartHub’ will combine MVC’s platform with advanced AI technologies and will facilitate both Cold and Non-cold storage distribution for food, pharmaceuticals

and medical supplies in Bahrain and across the GCC. The configuration and deployment of the system are currently underway.

Cox Logistics Group joins MVC’s existing strategic partners – value chain platform provider AVC Global and leading track and trace solutions provider rfxcel Corporation.

Additional strategic partnerships are being announced soon. The partners are all working together with a view to deploy a network of Smart Hubs and Node Operations with ‘SmartPass’ across the entire GCC. Commenting on the new partnership, Shaikha Dheya bint Ebrahim Al Khalifa’s, MVC Global Chairwoman, said: “Due to the ongoing pandemic, the availability, authenticity

WWW.CBNME.COM

M AY 2 020

and safety of pharmaceutical and agricultural food supply chains is a more urgent priority than ever before. We have been building a world-class team in Bahrain with a vision of positioning the Kingdom as a world leader in supply chain strengthening, sustainability and development. I am delighted we have now been joined by the Cox Group.”

Radford Cox, President, Cox Logistics, said: “Global Trade Routes and Supply Chain Financing are being rapidly reconfigured to meet today’s new challenges. We see this technology and this project as our chance to touch and change the lives of not just the citizens of the Kingdom of Bahrain, but people across the entire GCC and

beyond. When completed this will be something the Bahrain People will be able to say with pride, this is what Bahrain gave to the World.”

Husain Rajab, Chief Investment Officer at the Bahrain Economic Development Board, said, “We are very pleased to see this strategic international partnership in Bahrain to establish a safe and secure supply chain network for pharmaceuticals and food supplies. The project aims to build on Bahrain’s world-class digital infrastructure, which would enable the Kingdom to become a major regional logistics hub. Furthermore, our geo-centric location at the heart of the Middle East, advanced customs policies and reg-

ulations, and competitive cost of doing business are integral components of our logistics value proposition that keeps attracting many international companies to setup regional operations in Bahrain.”

Glenn Abood, co-founder & CEO of rfxcel added, “The ‘Smart Hub’ is transformational and will protect both the pharmaceutical and food supply chain. rfxcel is honoured and excited to integrate our serialised Track & Trace solution with the ‘Smart Hub.’ Given the global concerns with COVID-19, ‘Smart Hub’ takes on new importance and has redoubled rfxcel’s commitment to enabling a safe and efficient supply chain.”

LOGISTICS NEWS ME | MAY 2020 | 35

SUPPLIER FOCUS

M AY 2020

ADVANCED SCAN AND DIAGNOSTICS TOOLS

New means to diagnose and repair cars have been shaped by sophisticated design and complex onboard systems Digital transformation, the Internet of Things (IoT), automation and connected cars are all buzzwords within the automotive industry, and these evolving trends have brought on a vast number of changes to car manufacturing and components.

The after-market industry has also transformed through worker upskilling and technological development in response to the significant number of cars on the road carrying onboard computers, central processing units or lines of code that control the engine, brakes or other critical systems. With the advancement of tech, traditional means of diagnosing and repairing cars have shifted gears dramatically in recent times.

“Mechanics used to rely heavily on spanners, sockets and similar tools when troubleshooting and repairing cars,” said Dr. Nima Mehrdadi, Managing Director at Hella Gutmann Middle East. “However, with the constant evolution of technology in the automotive industry, cars have become far more sophisticated.

“With the introduction of various new electromechanical systems and components to improve vehicle performance and safety – which are usually complex systems containing sensors, solenoids and microprocessors, it has become impossible to verify their performance using traditional tools and methods.”

New technology implemented by car manufacturers has opened the door to advanced scan and diagnostics tools. The information supplied by a car’s computer systems has allowed more accurate diagnoses in auto-repair workshops.

“Onboard computers monitor a range of parameters,” explained Mehrdadi. “When some of them are out of acceptable values, the car will warn a driver with a light on the dashboard. A specific four-digit code will also be stored in vehicle memory, containing information that will quickly and easily pinpoint the

36 | LOGISTICS NEWS ME | MAY 2020

Dr. Nima Mehrdadi, Managing Director at Hella Gutmann Middle East

source of the problem.”

Codes can only be retrieved using an appropriate scan tool, which can be separated into code readers and diagnostic tools. Both allow access to On-Board Diagnostics II (OBD2) and mandatory powertrain codes, however code readers are not compatible with certain systems.

While these tools offer huge advantages to automotive repair and maintenance, workshops should adopt a calculated approach to buying and installing tools.

Diagnostic tools are far more powerful, giving access to powertrain related codes and data, as well as in-depth analysis on systems

providing information on temperature, engine speed or load, and the ability to diagnose additional systems such as ABS, air bags and AC. Diagnostics machines come with a hefty price tag and Mehrdadi believes careful consideration must be taken when introducing a new tool, ensuring it matches up to the services provided.

He said: “Price can be a limiting factor, as complex diagnostic tools are usually far more expensive than simple code readers. Balancing the diagnostic equipment expenses and needs depends on the complexity of services you offer. While specialised repair workshops need every bit of information regardless of costs, workshops that are focused on quick services can easily get away with simple code readers.”

Hella Gutmann is just one of several international exhibitors attending Automechanika Dubai’s Repair & Maintenance segment – many of which will showcase new to market products and solutions for auto-maintenance diagnostics.

The largest international trade show for the automotive aftermarket and service industry in the MEA region will take place from 19-21 October at Dubai World Trade Centre (DWTC).

WWW.CBNME.COM

EQUIPMENT

M AY 2020

NEW TRUCKS, SAME YALE PROMISE Yale Europe Materials Handling launches the ground-breaking expansion of its product range with the introduction of four new trucks for lowintensity applications. After researching current market trends, Yale uncovered a demand for materials handling products that are engineered to provide high levels of efficiency and productivity, yet are only used for short periods at a time.

Yale has identified the specific challenges that customers with these applications face, and has now introduced new solutions to complement its existing product range. In a first for the materials handling company, Yale will now offer equipment designed for intermittent use or low-intensity applications.

These additions are ideal for customers focused on applications requiring intermittent use, and yet still demanding a truck that is capable of undertaking high priority tasks. For operations that necessitate a forklift or warehouse truck to move loads, but are not used for many hours per day, the new Yale® trucks offer a solution to fulfil customer’s needs.

Although these new trucks are designed for low-intensity applications, they stay true to the same Yale philosophy. The high standards of dependability, serviceability, ergonomics, productivity and low cost of ownership associated with the Yale® brand are all carried through this product range expansion.

Iain Friar, Yale Brand Manager, said: “We’re very proud to add four new trucks to our growing range of materials handling equipment. As part of our people, products and productivity concept, we are always talking to our customers about the challenges they face and how we can best meet their requirements. By extending our product offering, we can now provide solutions for a broader range of lower intensity applications at an affordable price to customers.”

SIMPLY EFFICIENT TRUCKS The MS15UX and MP20XUX trucks extend the Yale warehouse range, with both offering high performance in confined areas. The MS15UX is

38 | LOGISTICS NEWS ME | MAY 2020

a highly controllable and agile pedestrian stacker with lift capability suitable for a range of operator heights and experience levels, while the MP20XUX is ideal for productive horizontal transportation and vehicle loading and offloading.

Engineered to deliver high productivity in general purpose applications, the GP20-35UX has an ergonomically designed operator compartment with easy reach controls and a clear 3.5 inch LCD display. The GP20-35UX offers reliable operation and efficient filtration and cooling. It provides easy maintenance thanks to a 70° opening engine cover and quick floor plate removal. No special tools or diagnostic tools are required for servicing which makes this truck ideal for self-servicing. The truck further benefits from high visibility masts and highly responsive steering.

The ERP15-35UX is an energy-efficient electric fork lift truck with highly responsive

steering, which optimises manoeuvrability for confined spaces. The operator compartment is ergonomically designed to offer all-round visibility and a practical and comfortable working environment for the driver.

AC Controllers optimise battery power, which is particularly helpful on ramps and long runs as well as high lift usage.

Iain Friar, Yale Brand Manager, said: “The introduction of our new trucks for low-intensity applications further enables every customer to find the right Yale forklift for their precise requirements. At the core of these new trucks is the same Yale philosophy of high standards of dependability, serviceability, ergonomics, productivity and low cost of ownership, which is the essence of our entire range. We are pleased to offer a simply efficient solution to our customers.”

WWW.CBNME.COM

Our SME eShop delivers.

So your business can keep growing. du.ae/SME

EFFICIENCY IN A SMALL PACKAGE GENIE GS -1330m SCISSOR LIFT ®

™

2 Person Platform Occupancy

227 kg (500lb) max lift capacity

Lightweight

Only 885 kg (1,950 lb)

Efficient EfficientElectric Electric Drive DriveSystem System

Provides maximum runtime Provides maximum runtime per percharge charge

LEARN MORE AT GENIELIFT.COM/GS1330M ©

2020 Terex Corporation. Terex, Genie and Taking You Higher are registered trademarks of Terex Corporation or its subsidiaries.