Logistics News ME - December 2018 by BNC Publishing

Supplier focus

2018 review

Trucks

LogiPoint, a Global Strategic Convergence Point

Companies tells us about their 2018

Scania Launches new truck generation truck range

Connecting trade professionals with industry intelligence

Transport Leaders

December 2018

Logistics News ME catches up with Mr. Al-Jarman, who discusses about the steps taken by Emirates Transport to become the standout leader in transportation services.

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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

Contents

D e c e m b e r 2018

Website: www.CBNme.com/logistics-news twitter: @logisticsnewsme Facebook: /LogisticsNewsME

December 2018

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

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Regional News

For your connectivity, we climb mountains. Our business is trust.

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D e c e m b e r 2018

Ed i to r ’ s L e t t e r

D e c e m b e r 2 018

A note from the editor Kasun Illankoon

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

Senior Sales Manager Vishvanath Shetty

I can’t say enough great things about my predecessor but only that the standard and quality attained is a responsibility that has fallen onto me. Entering the foray of Logistics has opened my eyes about the importance of the industry. As such, it is important that our readers get a look inside why this industry continues to be essential and innovative. Giving business leaders and corporations a platform to voice their opinions can give us a deeper understanding of how they operate and the success they attain from it. In the spirit of that we take an in-depth look into one of the top leaders in transportation services, Emirates Transport, and the man behind their enormous success.

From experience to the leaders of the future, where we talk to the co-founders of Qafila, a start-up company that has introduced an application that would assist freight forwarding companies in the age of major digital transformation. And as we come to the end of the year we hear from business leaders about their company’s success in 2018 and what they look forward to in 2019. We would like to wish everybody a Happy New Year and I look forward to working with you in the coming years. Kasun Illankoon Editor, Logistics News Middle East

vish@bncpublishing.net

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

Editor Kasun Illankoon kasun@bncpublishing.net Art Director Aaron Sutton aaron@bncpublishing.net Marketing Manager Mark Anthony Monzon mark@bncpublishing.net

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On the web Keep up to date with all the latest news, features and much more on our website.

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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

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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 Innovation

Honeywell Technology Experience Center officially opens in Dubai Honeywell today announced the official opening of an innovation hub at the Company’s regional headquarters in Dubai. The Honeywell Technology Experience Center is designed to promote knowledge exchange and demonstrate the value that can be gained from the adoption of Internet of Things (IoT) technologies. According to Accenture – ‘Middle East Innovation Maturity Index 2018’ almost 90 percent of companies in the Middle East are failing to innovate sufficiently to drive growth and generate new revenue streams. The center leverages Honeywell’s deep global expertise and industrial knowledge base to help unlock opportunities for value creation though digital transformation initiatives. Visitors from a wide range of backgrounds and industries can be engaged, ranging from oil and gas, petrochemicals and manufacturing, to smart buildings and cities, transportation, aviation, supply chain and logistics. Speaking at the inauguration, Norm Gilsdorf, president, Honeywell, High Growth Regions, Middle East and Russia, commented: “Honeywell selected Dubai as the location for the Honeywell Technology Experience Center because it is a global hub of innovation and IoT adoption. Digital technologies are evolving at

an accelerated rate, delivering value and efficiencies that were previously unimaginable.” Gilsdorf added: “Many companies in the region find that reaping the benefits of IoT can be a challenge owing to a lack of know-how on how these technologies can be deployed in practice. By leveraging Honeywell’s deep domain expertise and leading industrial cybersecurity experience, we look forward to working with forward-thinking visitors who are keen to understand and advance digital transformation in the region.” International Data Corporation (IDC) 2018 –

10 | Logistics News ME | December 2018

‘Worldwide Semi-annual Internet of Things Spending Guide’ reports that regional investment in IoT-related technology is set to reach $12.6 billion in 2021, up from $6.99 billion in 2018. The new Honeywell Technology Experience Center serves as a platform to engage with stakeholders from the UAE and Gulf states, as well as Turkey, Russia, Central Asia, India and Africa. Visitors can experience first-hand how Honeywell supports virtually every industry through its combination of hardware, software and data analytics. Interactive activities at

the Center are tailored to industry-specific interests that allow visitors to take control of an industrial control room, oversee the security, safety and productivity of a modern skyscraper, learn how a connected city works, or test their skills at flying an aircraft simulator equipped with advanced connected technologies. The Honeywell Technology Experience Center in UAE joins existing locations in Washington D.C., and Shanghai, which together enable visitors from around the world to gain first-hand experience of the potential of IoT. www.cbnme.com

D e c e m b e r 2018

The data

Storage

RSA-TALKE to open new ‘dangerous goods’ warehouse

RSA-TALKE, a joint venture of Dubai-based third party logistics provider RSA Global, and Germany-based TALKE Group, announces the expansion of its portfolio of services for customers across the GCC with the completion and opening of its new dangerous goods warehouse. The latest facility is part of RSA-TALKE’s plan to systematically expand its tank container terminal in the Jebel Ali free zone, thus creating the only integrated chemical logistics hub of its kind in the region, approved for storage, handling, cleaning and filling of nearly all dangerous goods classes.

The chemical warehouse will accommodate 13,000 pallet positions, adding to the hub’s current capacity of 1800 TEU tank containers, both approved to store dangerous goods of nearly all classes. “Our chemical and petrochemical customers quite rightly attach great importance to their supply chain being flexible, reliable and appropriately equipped while meeting the highest standards of safety.” explains Markus Koepsel, General Manager at RSA-TALKE. Markus added: “By fully integrating storage logistics, filling, cleaning, maintenance and testing services at one

Dubai International Financial Centre

location, we’re able to reduce downtimes to a minimum, and as a result, enable our customers to realise demonstrable competitive advantages with the help of an integrated supply chain solution.” “RSA-TALKE’s commitment to innovation and to diversifying our services solidifies our position in the regional logistics and warehousing market. We are pleased to offer this, an expanded chemical hub for distribution, warehousing and in the future for refilling, with world-class safety, expert knowledge, and professional standards,” stated Richard Heath, Chairman of RSATALKE and TALKE President and CEO USA. With the completion of the warehouse, installation work will begin on a filling station for transferring chemicals of various hazard classes into drums and IBCs. RSATALKE already operates a tank cleaning station at its container terminal in Dubai. There was to much at stake to push towards these new warehouse as well.

DIFC received the ‘International Finance Center’ award at the WealthBriefing 2018

2,003

number of registered companies in DIFC, as of June 2018

1,750 number of registered

companies in DIFC, in 2017

14%

Y-o-Y growth in number of registered companies

614

DIFC registered companies regulated by DFSA* of which 493 are financial firms.

Quick news

APM Terminals Bahrain revealed its plans to raise around USD 32 million through its planned initial public offering (IPO).

B&H Worldwide appoints Gary Wilson becomes Managing Director of the B&H Group and Mark McKenna has been promoted to a new position, Head of Global Operations & Quality

Abu Dhabi Marine Services “Safeen” announces the purchase of two new state-of-the-art tug boats from Damen Shipyards Group aimed at supporting the Khalifa Port expansion

Virgin Hyperloop One announced that Sultan Ahmed bin Sulayem, Group Chairman and CEO of DP World, has replaced Richard Branson as its new Chairman

Logistics News ME | December 2018 | 11

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Regional News

LogiPoint to play a key role in providing high quality integrated logistics solutions LogiPoint’s, a subsidiary of Saudi Industrial Services Co. (SISCO), newly appointed Chief Executive Officer, Farooq Shaikh, stressed the importance of providing high quality and advanced integrated logistics solutions enabling Saudi Arabia to become a key hub between 3 continents in the global logistics value chain. Speaking at the Supply Chain and Logistics Conference in Riyadh, he stated that these logistics solutions have been designed and put in place to support the customers in minimizing operational cost, increasing revenues and gaining better visibility over their supply chains. LogiPoint for the past 18 years has served customers in all sectors through both sea and land-based integrated logistics offerings, achieving profoundly competitive service levels in Saudi Arabia, improving the reliability and efficiency of the Kingdom’s trade and supply chain and ultimately enabling the country to become a key hub in the global logistics value chain. The Jeddah Port, where LogiPoint is located, is spread over 1 million meter square and is a world class, customer-centric integrated logistics service area. Farooq stated that the port saves time and also allows for products to be re-exported without needing to pay customs. Farooq further explained that it was an honour to be leading LogiPoint and hoped to assist the Kingdom’s drive towards achieving Vision 2030 objectives. The company believes that the private logistics sector has multiple responsibilities to fulfill, ranging from developing capable and skill-based Saudi workforce, improving gender-diversity in a traditionally male-dominated industry, and deepen collaboration with customs and other regulatory bodies to improve transparency. These initiatives, Farooq pledged, will also be priorities of LogiPoint.

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14 | Logistics News ME | December 2018

GAC inaugurates new Dubai South contract logistics facility

A quarter of a century after opening the first distribution centre in the Middle East, GAC Dubai has officially unveiled its new purposebuilt contract logistics facility, at Dubai South. The inauguration ceremony was held under the patronage of His Excellency Khalifa Al Zaffin, Executive Chairman of Dubai Aviation City Corporation (DACC) & Dubai South, and attended by GAC Group President Bengt Ekstrand, GAC Group Vice President for the Middle East Fredrik Nyström, GAC Dubai Managing Director Ronald Lichtenecker, and Saadi Abdul Rahim Hassan Al Rais, Chairman of the Board for GAC Dubai, as well as partners and customers. The AED 100 million facility (USD 27 million), which broke ground in December 2016 and began operations in May this year, is the largest and most sophisticated in the company’s history. It adds to GAC’s existing contract logistics capacity and complements established facilities in the Jebel Ali and Dubai Airport Free Zones, bringing its total capacity to more than 170,000 pallet positions to provide local and regional customers with a single solution to their complex storage, transportation, value added services and documentation requirements.

“GAC was a pioneer when we arrived in Dubai in 1967, and when we opened the region’s first distribution centre in 1993. Our latest addition in Dubai South continues that pioneering tradition,” says GAC Group President, Bengt Ekstrand. “I firmly believe this new facility will give our customers the highest standards of service, security and costeffectiveness in the UAE.” “The new Dubai South contract logistics facility has been designed to meet a higher standard than what is currently available in the market, from operational efficiency and dynamism through to environmental systems,” adds Neil McMaster, GAC Dubai’s General Manager for Contract Logistics. “The facility has been extremely well-received, and this is thanks to the dedication and synergy of the team that worked on this project.” The 45,900 pallet, twochamber temperature- and humidity-controlled facility is designed to handle a diverse range of product categories including fast moving consumer goods (FMCG), food & beverage, beauty products and dangerous goods. Since operations started in May, several new contracts have been signed with clients from the travel retail, FMCG and other sectors. www.cbnme.com

D e c e m b e r 2018

Quote The agreement aims to create and implement clear strategy and vision to increase the company’s client base and launch an internal program speeding up the implementation of the transformation strategy and creating conducive environment that enhances culture of sharing.” – Omar Talal Hariri, CEO of Saudia Cargo, on the company’s new partnership with Gallup Inc

FarEye introduces new ‘On-Demand’ solution for distribution logistics industry FarEye, a global predictive logistics platform, is eyeing the distribution logistics industry in the Middle East with its technology solution that provides real-time visibility of the goods in the supply chain. FarEye has designed an end-to-end platform to run distribution logistics and optimize goods movement. The ‘On-Demand’ solution ensures that every received order gets accepted and catered in minimum time with least logistics cost. The key features includes improved operational efficiency, ensure error-free Intelligent Deliveries, improve Rider’s efficiency, and data-driven business insight. “With our efficient solution, we are helping businesses by digitalizing their Demand and Inventory planning process. Besides, it enables us to shorten the delivery time from next day to same day, transform the entire restock process to an on-demand service, and create full transparency for our clients. The rise of eCommerce logistics and increased domestic consumption will lead the way for the industry in the coming years,” said Kushal Nahata, CEO & Co-founder, FarEye. Founded in 2015, FarEye aims to solve the complicated last-mile delivery issues on a mobile platform.

Partnerships

Abu Dhabi Customs signs joint agreement with Abu Dhabi Ports

Abu Dhabi Customs has signed a joint agreement with Abu Dhabi Ports, the master developer, operator and manager of commercial and community ports within the emirate of Abu Dhabi, as well as Fujairah Terminals and Khalifa Industrial Zone Abu Dhabi (KIZAD). The collaboration will support the development of an effective framework that allows seamless entry and exit of empty containers at Khalifa Port. Designed to provide increased efficiency, transparency and security, the latest partnership between the two entities was signed by Mubarak Matar Al Mansouri, Executive Director, Customs Operations Sector, at Abu Dhabi Customs and Abdullah Humaid Al Hameli, Executive Vice President Corporate Support at Abu Dhabi Ports. Mubarak Matar Al Mansouri, Executive Director, Customs Operations Sector, said: “The signing of an agreement that governs

the entry and exit of empty containers at Khalifa Port with Abu Dhabi Ports reflects the commitment of Abu Dhabi Customs towards its strategy of constructive cooperation with strategic partners. This collaboration aims to support the security of the UAE society and promote economic growth whilst activating the shared interests between both entities. This partnership will also improve the performance of operations, simplify procedures, improve services and maximize the return on investment by applying best customs and innovative practices.” Commenting on the agreement, Abdulla Humaid Al Hameli, said: “We are delighted to be building closer ties with Abu Dhabi Customs to the benefit of the business community in Abu Dhabi. The integrated mechanism unveiled today will establish a clear regulatory framework to simplify trade and logistics procedures through Khalifa Port.”

Logistics News ME | December 2018 | 15

Regional News

Expansion

Gerab Group set to establish operations at KIZAD and Khalifa Port

Khalifa Industrial Zone Abu Dhabi (KIZAD), the largest industrial zone in the Middle East and a subsidiary of Abu Dhabi Ports, has announced that Gerab National Enterprises LLC (Gerab Group), the leading bulk stockist and supplier of seamless pipes, welded pipes and allied components, is to establish its fabrication facility, manufacturing unit and 3PL logistics operations at the zone and nearby Khalifa Port through three major projects. Under new agreements, Gerab Group will launch its presence in KIZAD and Khalifa Port by: • Setting up Quality International Co Ltd (Quality International) within a 655,000 sqm plot at KIZAD and Khalifa Port which includes a waterfront yard of 172,000 sqm. • Adding a 212,000 sqm plot in KIZAD and Khalifa Port for Flexigistic Logistics LLC’s (Flexigistic), its subsidiary, which will be developed into multiuser facilities. • Enhancing Samamat Flow Control LLC’s (Samamat) production capabilities by setting up an integrated production facility Captain Mohamed Juma Al Shamisi, the CEO of Abu Dhabi Ports, said: “We are delighted that, Gerab Group has found Khalifa Port and KIZAD’s competitive advantages so attractive that they have decided to enter into a number of new agreements with us to establish their operations

(L) Geoff Walsh, UAE country manager, DHL Express, and (R) Mike Barrett, UAE vice president operations, DHL Express

here. The company is one of many major institutions that have chosen KIZAD and Khalifa Port as a base for their regional operations due to our commitment to develop a world-class integrated industrial ecosystem that allows companies to collaborate and create innovative solutions.” “As businesses continue to leverage our unique value proposition based on connectivity and cost effectiveness, I’m confident that KIZAD will remain at the forefront of regional industrial development,” Al Shamisi added. Abdullah Sharafi, President of Gerab Group, said: “Expanding the portfolio of assets is an integral part of our strategic plan for continued growth and development across the region, with specific focus through investment in domestic operations emphasising our local presence. With our improvement plans approved for investment in KIZAD and

16 | Logistics News ME | December 2018

Khalifa Port, we are confident of achieving our objective and providing comprehensive support to the growing needs of the UAE. He added, “The main driver of this expansion plan is Quality International, which will provide a comprehensive solution to the regions process equipment manufacturing requirements” Shashi Ramakrishnan, Managing Director of Quality International said “As a company specialised in the manufacturing of process equipments such as pressure vessels, reactors, Shell and Tube Heat Exchanges and also large modules, tank farms and piping spools, the expansion at Kizad and Khalifa Port will reinforce the Company’s existing facilities across the UAE, allowing it to take on substantially larger projects that require dedicated fabrication and berth space” He also added “The support provided by KIZAD and Abu Dhabi Ports has

been exceptional and they have truly demonstrated a partnership model in building long term relationship with investors. We are excited with this partnership and can see a bright future ahead of us.” He also said “The improvement and expansion plan not only strengthens our domestic presence, but also positions us as a strategic supplier for the international market” The expansion will also support the Group’s other subsidiary companies within the UAE, Flexigistic, a thirdparty logistics provider offering a one-stop-shop for various industry verticals across the region, and Samamat, an API certified premier manufacturer of Gate, Globe, Check and Ball valves that caters to both local and international clients. Under the agreement, both companies will significantly develop their production capabilities within the industrial zone to meet growing demand for UAE products and services. www.cbnme.com

D e c e m b e r 2018

Joachim Drees, CEO of MAN Truck & Bus, discusses the challenges ahead for commercial vehicles industry at IRU World Congress Over 1000 delegates from over 100 countries convened in Muscat on November 6th till 8th at the Oman Convention & Exhibition Centre to discuss challenges surrounding the transport, mobility and logistics industry. Joachim Drees, CEO of MAN Truck & Bus was alongside 60 speakers including ministers, CEO’s and thought leaders at the inaugural IRU World Congress held in Oman.

Mr. Drees spoke alongside leaders such as Steffen Bilger, State Secretary for Ministry of Transport and Digital Infrastructure, Germany and

Top 5 online

‘Century Express’ set for major rebrand by Gulf Pinnacle Logistics

FarEye introduces new ‘On-Demand’ solution for distribution logistics industry

GAC inaugurates new Dubai South contract logistics facility

Dubai South and MOHAP sign cooperation agreement

RSA-TALKE to open new ‘dangerous goods’ warehouse

Dr. Ahmed Mohammed Al Futaisi, Minister of Transport and Communications for Oman. “As a manufacturer of trucks and buses, it is our responsibility to provide the right transport solutions to our customers. And this is why we have a very clear emobility roadmap in place. Additionally, MAN is taking a leading role in the automatization and digitalization of commercial vehicles to make our customers’

business operations simpler, more profitable.” “We are delighted to be a part of the inaugural edition of the IRU World Congress series. This is a unique opportunity to initiate a dialogue not only focus on CO2 emissions, a colossal challenge for our industry and countries, but also address the importance of placing a focus on the people at the heart of the road transport industry.” said Mr. Drees.

Factory

Chinese investment worth $98mn planned for manufacturing plant in Duqm Chinese investors are planning a major blankets and carpets manufacturing project worth about $98mn in the upcoming China-Oman Industrial Park at the Special Economic Zone (SEZ) in Duqm, Oman, according to a report by Oman Observer. The giant plant, envisaging a total of six production lines, will manufacture and supply blankets and carpets made from synthetic fibres that are a value-added product associated with the petrochemicals and refining industry. Raw material for the project will be initially procured from China, but subsequently sourced locally when a world-class downstream petrochemical industry materialises in the SEZ. Ali Shah, chairman of Oman Wanfang LLC, the main developer of the ChinaOman Industrial Park, said

Raw material for the project will be initially procured from China

the proposed blankets and carpets plant will come up on a 20ha site within the park. Output is estimated at 12 million pieces of blankets and carpets per annum. The synthetic fibres constituting the raw material for the project are manufactured only by a handful of countries in the region that possess the requisite technology, Shah added.

Logistics News ME | December 2018 | 17

Regional News

GEFCO Group and Almajdouie Logistics create a joint venture in Saudi Arabia The relationship between the two powerhouse companies began in January 2018 when they partnered to provide finished vehicle logistics services to Almajdouie Auto (MMC), the importer of Hyundai in Saudi Arabia. In its second phase, the joint venture plans to offer a full range of finished vehicle services to the Saudi Arabian market and will officially launch operations in the first half of 2019. “We are very pleased to announce a 50-50 JV agreement with Almajdouie Logistics,” commented Luc Nadal, CEO of GEFCO Group. “The new JV will benefit from MLC’s strong position in the market and GEFCO’s experience in providing smart and flexible supply chain solutions to customers around the world. With 69 years of expertise in automotive logistics and leadership in finished vehicles, we look forward to contributing our unique know-how, high standards and cost-effective solutions to the JV company. This partnership also complements GEFCO’s growing presence in the Gulf, a region in which we have been delivering supply chain excellence for a number of years.” “We are delighted to partner with GEFCO Group to serve the automotive logistics needs of the Saudi Arabian market,” said Baheej Al Biqawi, CEO of Almajdouie Logistics. “We are very excited about this joint venture, which is part of our development strategy to tap into new market opportunities. Through this partnership, our two groups will be able to leverage each other’s competitive strengths, enabling us to provide new options and cost-efficient solutions to our customers in the region. We are confident that our shared commitment to professionalism, quality, and innovation will cement this new venture’s reputation for service excellence.”

18 | Logistics News ME | December 2018

Emirates takes home five awards in one week including “Best Airline in the World”

Emirates made a clean sweep this week with award wins across multiple countries – from Russia and Belgium to the UAE. Emirates was named ‘Best Airline in the World’ and ‘Best Airline in the Middle East’ at the prestigious 2018 ULTRAs. In a vote taken by over 500,000 readers of The Telegraph’s luxury travel magazines Ultratravel UK and Ultratravel Middle East, the awards recognise the world’s best providers of luxury travel experiences. Sir Tim Clark, President Emirates Airline, received the awards at a ceremony held last night in Dubai at the iconic Burj Al Arab Jumeirah hotel. The ceremony was attended by key members in the global travel industry. In Russia, Emirates was recognised for its operational excellence and outstanding customer service last night, when it scooped two prestigious awards as ‘Best International Airline’ at the eighth National Geographic Traveller Awards 2018, and ‘Best Middle Eastern Airline’

at the Business Traveller Russia and CIS Awards 2018. Earlier this week in Belgium, Emirates was named the ‘Best Long Haul Airline 2018’ at the Travel Magazine Awards 2018. Over the last 12 months, Emirates has continued to deliver on its “fly better” promise to customers, elevating the customer experience through significant enhancements to its Boeing 777 and A380 aircraft. The airline invested US$ 150 million to introduce a new Business Class cabin and configuration on its fleet of Boeing 777-200LR aircraft. On the A380, Emirates’ newly enhanced ‘Onboard Lounge’ continues to wow customers with its modern finishes and expanded seating options. On the ground, Emirates’ seven Business Class lounges at Dubai International Airport Concourses A,B and C recently underwent an US$ 11 million makeover, reflecting the airline’s attention to the ground experience as an integral part of the customer journey. www.cbnme.com

D e c e m b e r 2018

Etihad Rail stage 2 financing is approved The UAE Ministry of Finance and the Abu Dhabi Department of Finance have signed an agreement for the financing of Stage Two of the Etihad Rail national rail network. Currently, Stage 1 of Etihad Rail, which started commercial operations in 2015, transports granulated sulphur from Shah and Habshan to port of Ruwais over a distance of 264 kilometres. The second stage will extend 605 km from Ghuweifat on the border with Saudi Arabia to Fujairah on the east coast, to be followed by future route additions. The volume of goods transported will increase from seven million tons per year on Stage One to more than fifty million tons. Etihad Rail has taken major strides in 2018, most importantly the completion of the preliminary designs of Stage Two of the project in preparation for the launch of tenders for civil construction works by the end of this month. In 2015, Stage One of the project, which extends 264 km, was delivered, linking the Shah and Habshan gas fields in the Al Dhafra region of Abu Dhabi to the port of Ruwais on the Arabian Gulf, with a capacity of transferring 22,000 tons of sulfur granules daily; 20 million tons have been carried in total. On the agreement, Sheikh Theyab said: “The budget approval for Stage Two of the UAE’s national railway network reflects the keenness of our leadership to implement national strategic projects.” “This national project is a qualitative leap and establishes a new transport sector in the UAE. It achieves many benefits and advantages locally and internationally, connecting the emirates and linking industrial areas, boosting economic diversity and supporting economic and social development in the country,” he added. Sheikh Theyab said: “At Etihad Rail, we are working with a strategy to meet our mission and objectives. This project is part of our commitment to the UAE to help it achieve a leading position in transportation quality, In line with UAE Vision 2021, which aims to transform the emirate’s economy into a competitive knowledge economy by transitioning to a knowledge-based economy, promoting innovation and research and development, strengthening the regulatory framework for key sectors, and encouraging high value-adding sectors.”

Aramex net profit surges 38% in third quarter

Aramax, leading global provider of comprehensive logistics and transportation solutions, announced its financial results for the third quarter ended 30th September 2018. Aramex’s quarter three 2018 net profit surged by 38% to AED 113 million, compared to AED 82 million in Q3 2017. Net profit for the nine-month period ending September 30th, increased by 25% to AED 339 million compared to AED 270 million in the prior year period. Revenue for the quarter rose by 8% to AED 1,239 million, compared to AED 1,143 million in Q3 2017. Revenue for the nine-month period ending September 30th also increased by 8% to AED 3,661 million, compared to AED 3,397 million in the corresponding period of 2017. Commenting on the results, Bashar Obeid, Chief Executive Officer of Aramex, said: “We are thrilled to record another strong set of results this quarter. Today, our internal processes are running more efficiently, operationally we have become leaner, and we have upgraded our service level to our customers. Ultimately, this has helped

create efficiencies, improved our cost management, thus supporting the expansion in our bottom line.” Iyad Kamal, Chief Operating Officer at Aramex, added: “We continue to see the impact of operational changes and investments across the business quarter by quarter and are proud of the progress we have achieved. Investment in technology and digital transformation forms the cornerstone of our strategy, and we have focused heavily on these areas because we know that they are key to delivering our customers the transparency, visibility and flexibility that they demand.” “We are well positioned to continue this growth momentum and continue to ensure that the business remains diversified and efficiently operated, with a strong focus on improving last-mile delivery.” The company expects to end the year strongly, “We will continue to focus on enhancing end-toend delivery and further improving customer service through investments in technology and digitization,” said Bashar Obeid.

Logistics News ME | December 2018 | 19

Regional News

Etihad ESCO signs service agreement with Talisen Technologies to develop M&V Center in its Dubai office In line with the expansion of its retrofitting services to drive sustainable development efforts in the UAE, Etihad Energy Services Company (Etihad ESCO) announced the signing of a service agreement with Talisen Technologies Inc. to jointly develop a Measurement and Verification (M&V) Centre at its office in the DEWA Sustainable Building in Dubai. The collaborative agreement, an extension of an already existing partnership between the companies, was signed on the second day of the ongoing 20th Water, Energy, Technology, and Environment Exhibition (WETEX 2018) in Dubai, by Ali Al Jassim, CEO of Etihad ESCO and George Brill, CEO of Talisen Technologies Inc. in the presence of officials from both sides. The proposed M&V Centre will enable Etihad ESCO to fully harness the potential of emerging smart technologies and Big Data analysis to ensure valuable savings for its clients. Furthermore, it will help benchmark Dubai’s Demand Side Management (DSM) Strategy targets and objectives set out under the Dubai Integrated Energy Strategy 2030, which include reducing Dubai’s electricity and water consumption by 30 per cent by 2030. Ali Al Jassim, CEO of Etihad ESCO, said: “We are glad to enter into this strategic agreement with Talisen during WETEX 2018. We have been working together since a year after we signed the MoU last year and we are certain that Talisen understands our commitment towards making Dubai built environment a leading example of energy efficiency for the region and the world. M&V centre will further reflect this commitment by helping us with most advanced and innovative technologies to ensure we deliver value to our customers and will also bring us one step closer towards our sustainability goals.” George Brill, CEO, Talisen Technologies, Inc, said: “We are very excited to enter into this partnership with Etihad ESCO and contribute towards Dubai’s energy savings target. We understand Etihad ESCO’s requirement and hope to leverage our expertise in the field to develop the most innovative M&V centre in the region.” Etihad ESCO aims to create viable performance contracting market for energy service companies by auditing and proposing energy conservation measures to major building contractors/developers, adding significant momentum to the ongoing sustainability efforts in the emirate.

20 | Logistics News ME | December 2018

D e c e m b e r 2018

Logistics

‘Century Express’ set for major rebrand by Gulf Pinnacle Logistics

Gulf Pinnacle Logistics (GPL), an emerging UAEbased logistics powerhouse, has heavily invested in the rebranding of its newly acquired company, Century Express – a Dubai-based courier service provider. “We are delighted to announce that Century Express has been completely revamped with a new brighter logo, a more modern and interactive website, a rebranded fleet, a larger warehouse & office space and in the process of launching a customer-friendly mobile App,” said Shailesh Dash, Chairman of Gulf Pinnacle Logistics. “GPL has been focused on improving the strategic, financial and branding position of Century Express. We have invested in the infrastructure and foundation that will guarantee a brighter future for the company,” Dash said, adding: “These positive branding and service initiatives have helped win new clients and expand our share of wallet with existing customers. We have secured contracts with top-ranking e-commerce players and institutions. As a result, daily shipments of Century Express increased rapidly since our acquisition and are poised for solid and sustainable growth. Our business strategy has

allowed us to capitalise on the growth in the e-commerce market in the region.” Century Express new slogan “life uninterrupted” is the commitment that the company promises its clients, to manage their deliveries within the committed time or on time without disrupting their busy schedule. The company states that such a commitment has improved the efficiency of its fleet and service levels from 75% to 93%. Century Express has moved to a newer and larger location in Dubai to better handle growing business needs. The company has further invested in new vehicles and bikes to expand its domestic geographic coverage. Additionally, the company invested in bringing in new management, expanded its sales force, reinforced its IT team and further supported its operational and client servicing staff. Turab Ur Rahman, General Manager of the Last-mile Delivery Division of Gulf Pinnacle Logistics, mentioned: “We are equally delighted at these positive developments and are very optimistic for the expansion and growth of Century Express. We plan to further introduce initiatives that will position the company to be the MENA region’s premier go-to courier service provider.” www.cbnme.com

Building the UAEâ&#x20AC;&#x2122;s highest road Jebel Jais is part of the Hajar Mountain Range in Ras Al Khaimah. It is the highest peak in the UAE. And for centuries unreachable by most. For 8 years, a fleet of Volvo FMX Trucks carried a total of more than 5.5 million cubic meters around the clock building a 36 km road that goes up more than 1910 meters. The rugged terrain, steep slopes and loose rock were not a challenge for Volvo FMX, which is built tough for such conditions. That is why more than 30 of our Volvo FMX trucks completed this ambitious road project without any major breakdown. To watch the full video please visit www.volvotrucks.ae/jebeljais

www.volvotrucks.ae/jebeljais

Op - Ed

Opinion

LNME caught up with the co-founders of Qafila, Mr. Atif Rafiq & Jithin Manoharan to discuss how Qafila would assist freight forwarding companies in the age of major digital transformation. Qafila is a digital age freight & logistics company, the first of its kind in the UAE, is designed to enhance customer experience, streamline operational efficiencies and provide around the clock customer support through its system.

WAY FORWARD

What sparked the idea to introduce a digital platform for freight forwarding? Jithin: We initially discussed this idea in 2015, while we were still pursuing other assignments in our respective careers. We started seeing more traction for online/digital services in a century old industry that hasn’t seen much innovation for quite some time. This was around the same time that Dubai’s Government came up with its ‘Smart Dubai’ initiative where 6 key segments of the government would go Smart by 2017. In an economy where government itself is emphasizing so much on digital and disruptive technology, it’s time private sec-

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tor companies began to focus more on these initiatives to be in line with the overall vision of Dubai and ahead of the rest of the region. How does Qafila work? How does it give companies that use it a competitive advantage? Atif: Qafila does two things simultaneously, we digitize shipping by simplifying it and we provide structure to your shipping data in your supply chain. Book, Manage & Track Online: We simplify shipping into these board three digital offerings where you receive online quote for shipments, management and document handling

process is done online and track them real-time through dashboards also done online. While in the process, we digitize and give structure to your shipping data in your supply chain. Its starts with the customer needing to move his shipment from point A to point B, across countries, irrespective of the mode of transportation (Air/Sea/Land) and incoterms just like in a normal setting where he would work with a freight forwarder. Here is where the similarity ends and the differences begin between a traditional freight forwarders and Qafila. For example instead of sending an email across, companies would be given access to

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D e c e m b e r 2018

Jithin Manoharan

“With data you can have better decision-making like improving profitability; you can optimize & reduce cost with more information; you can even personalize experiences to tailor the message that you give to all your customers”

our platform where they would be greeted by our user friendly and intuitively designed platform with a clean dashboard and a snapshot of its supply chain. Once they input their requirement on to our portal and search for a quote, receives a complete transparent price, books the shipment, manage the shipment through the portal and tracks it in real-time across countries. Not to mention the company does all of this without changing multiple systems to send or receive 100’s of emails on that single shipment and no phone calls chasing after the freight forwarder or the shipment and digitization of manual paperwork process. Jithin: We are trying to create frictionless user experience through a single platform that gives you visibility and transparency into the shipping process 24/7 365 days a week. It is also worth noting that Qafila bundles all freight carriers into a single database, which it offers free

to companies that want to better organize and track their shipments. Along with that there are many other features which we have planned into our roadmap to release over the next couple of months Mr Atif you have stated that, “Logistics in GCC is a $100 billion business by 2020 and very inefficient when it comes to processes within Shipping and Logistics.” Considering how large the logistics business is in the GCC why do you think this inefficiency has continued to exist? Atif: Transport & Logistics in GCC was at $58 Billion in 2015 and is expected to reach $100 billion by 2020; that is a significant growth in 5 years and it’s a sizable market. But there are a few challenges to this growth which causes inefficiencies both at macro and micro levels. On a macro level, businesses overall have

felt the effects of low oil prices which has caused them to scale back projects, along with their government counterparts. This, in turn, has led to a reduction in imports and a scaleback on the kind of infrastructure projects that require major freight shipments across the Middle East (with some exceptions like UAE). As a result, we have seen the Transport & logistics sector in GCC significantly lag behind its global peers when it comes to digitization, according to a report for “Strategy & Industry Digitization Index” that ranks the sector behind utilities on the use of data and analytics to improve operations and digitalize. The slow pace of digitalization in GCC Transport & Logistics could pose a risk to the industry as technology itself could be imposed on the sector because of the dynamics that are reshaping the region. Governments in the GCC region are making large scale investments in digital to promote sustainable economic growth. Similar to

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Op - Ed

Mr. Atif Rafiq

Oman vision 2040, Saudi vision 2030 seeks to increase the role of private sector in the economy and diversify away from oil dependency which would eventually lead to improved logistics throughout the country for both people and goods. Again following close on the heels is United Arab Emirates which has an even stronger focus on Transport & Logistics sector in its vision 2021 which sets goals for innovation, including making digital technology one of seven primary national sectors as it aspires to lead the country in the overall global logistics index rankings for air transport and port infrastructure for the T&L sector. With the amount of change and digital transformation happening in the region, we wanted to build a start-up which is a digitalfirst in Shipping, not just with the front-end but also in the back-end architect, ready to harness the power data. Ultimately, supply chain is not just the mobility of physical goods, it’s also the mobil-

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“Both sea and air carriers should see us as their partner and as their additional sales arm, bringing them revenue and business just like any other freight forwarder they work with, except we offer the added ability to reach the customer faster than any traditional freight forwarder”

ity of information and finance. Yet the biggest challenge to supply chain is not the mobility of physical goods but the mobility of knowledge and information which is data. Jithin: Another trend that is changing the dynamics of businesses is the creation of data. It is said by 2025 we would be creating around 163 ZB of data (1 Zettabytes = 1 Trillion Gigabytes). That is huge. To be able to understand the scale of this, I will share a simple analogy that I recently heard to describe this. Consider stacking cell phones one on top of another with each cell phone being 50GB and quarter inch thick, you would be half way between earth and mars at 1 ZB. Then the obvious question is: what are we going to do with this phenomenal amount of data? Data holds a lot of insights and that insight is used as a catalyst for digitalization & change. Netflix and Adidas are some notable recent example of new age products and busi-

nesses that were launched because they had new data to identify new opportunities. With data you can have better decisionmaking like improving profitability; you can optimize & reduce cost with more information; you can even personalize experiences to tailor the message that you give to all your customers. With data, you can optimize your supply chain and focus on the right segment of customer that will make more money for business. On the micro level, organizations want to do more with their data, yet data is increasingly a) analog & manual b) fragmented across various departments in the company. Be it their supply chain data, data from sales and marketing (CRM), operations and finance (ERP), the ability to start joining it together with external data from their company such as data from their vendors, partners, distributors, social media platforms etc. We totally believe that “Data is the new

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D e c e m b e r 2018

In order to use the portal you have to be eligible â&#x20AC;&#x201C; For those who are curious and interested in partnering with Qafila, what is the criteria to be eligible? Jithin: In the initial phase, we have a wish list of clients we would like to work with, which we think will add value to all the parties involved. We are working closely with them, taking them through the process and migrating their work process to the Qafila platform without any issues. We need to make sure the transition is smooth for our clients. We would also be working on any feature request our clients may have to improve the product. This is a pure B2B (business to business) service and one of the other key element for us is to do a KYC (know your client) on all our clients and decide on the credit limit for each client. What is the biggest challenge facing Qafila right now and in the future? Jithin: We are creating a new category of Digital Freight Forwarder in UAE, one which gives you the tools to bring transparency, reliability and efficiency in your supply chain and, being the very first in this sector in the region, is both exciting and terrifying because we need to educate our customers first, build the awareness before we make a sale. The industry is fragmented and highly competitive where supply chain is viewed not as a competitive advantage but as functional business unit and hence business leaders do not put supply chain digitization as their priority as some are still debating about its benefits.

Oilâ&#x20AC;? and that oil is going to fuel the engine for growth and innovations in a digitalized world. Tell us more about how companies like air carriers like Etihad Airways or sea carriers like Maersk line will benefit from this partnership? Atif: Both sea and air carriers should see us as their partner and as their additional

sales arm, bringing them revenue and business just like any other freight forwarder they work with, except we offer the added ability to reach the customer faster than any traditional freight forwarder including access to new offerings like a new service portfolio or a new destination service. Because we are digital, we are agile and can bundle their offerings with a digital experience for shipping.

Atif: In the long term, adoption of new technology in supply chain like Blockchain, Artificial Intelligence, on-demand mobility, robotics automations, drones, 3D printing and Augmented Reality will change the dynamics, resulting in either the invention of a new business model or different engagement models with the supply chain. Building the back-end architect, acquiring talent and keep rolling fresh and relevant features to our clientele would be our biggest challenge in the long term. We feel being a digital-first gives us an added advantage over our more traditional peers and because these technologies are in the early stages of implementation and do not yet have regulatory support or because companies lack the internal capabilities to capitalize on them, we feel we would be in much better position on the adoption curve to use these technologies in our supply chain.

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Regional News

D e c e m b e r 2 018

AIRLINE BUSINESS CONFIDENCE Q3 REPORT According to a recent survey published by International Air Transport Association (IATA), AIRLINE BUSINESS CONFIDENCE INDEX OCTOBER 2018 SURVEY, a majority of airline CEOs and Heads of Cargo companies are concerned about future profitability due to the increase in world oil prices. Although there are concerns when it comes to companies’ profits there is moderate optimism when it comes to passenger, cargo demand, and employment.

Demand is expected to remain relatively robust; almost 60% of respondents expect higher passenger demand over the next 12 months, while 52% expect air freight volumes to rise over the coming year. The outlook for industry employment remains positive. Despite the challenging operating environment, an even 50% of respondents plan to increase employment over the next 12 months with a further 37% expecting to maintain current levels.

Profitability & Costs In Q3 2018 about 50% of respondents indicated a decline in annual profits which was 14% increase from Q2. Just about 40% of these respondents were confident that profitability would improve over the next 12 months, down from 58% in September and prompting a second consecutive month of sharp decline in confidence regarding the profit outlook. 63% of respondents expect further increases in input costs over the year ahead. Even with costs increasing about 56% of respondents expect to see higher yields – for both passenger and cargo segments – over the same period, helping to offset the rising costs.

Growth The results from the October survey indicate that momentum in passenger demand is slowing. 65% of respondents reported an increase in year-on year demand in Q3, which was nine percentage points lower than in the previous survey and below the average over the past five years (67%). The weighted-average backwardlooking score has trended sharply downwards for a second consecutive quarter. 59% of respondents predict passenger volumes to increase over the next twelve months – the lowest proportion since January 2016. On the top of that, the forwardlooking weighted-average score dropped for

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the second quarter in a row. All told, however, the score remains elevated and well above 50-mark that is consistent with no change, but the sharp change in trend bears watching nonetheless. There was good news in terms of freight demand, 58% of respondents reported a rise in air freight volumes in Q3 compared with a year ago – which is above the average over the past five years (51%). A number of respondents noted a combination of increasing load factors and stable demand for air cargo as the reason for the increase. The viewpoint for air freight demand tempered for the third consecutive survey. This reflects a moderation in the upward trend in freight demand following the end of restocking cycle last year and increasing concerns about the growing trade tensions between the US and China. 52% of respondents expect increasing volumes over the next 12 months, down somewhat from 58% last quarter. Attribution: © International Air Transport Association, 2017. AIRLINE BUSINESS CONFIDENCE INDEX OCTOBER 2018 SURVEY. All Rights Reserved. Available on IATA Economics page.

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C o v e r S to ry

LEADERS IN TRANSPORTATION SERVICES Logistics News ME catches up with Mr. Al-Jarman, who discusses about the steps taken by Emirates Transport to become the standout leader in transportation services.

.E Mohammed Abdullah Al-Jarman has been the head of Emirates Transport and Services Corporation (Emirates Transport) as the Director General since 2007. He is one of the most prominent Emirati leaders with a bachelor’s degree in accounting and more than 30 years of expertise in the field of institutional financial and investment work and institutional leadership, in addition to being the chairman of the boards of a number of companies affiliated to the Corporation. H.E Al-Jarman also took the lead during the corporation’s quality transition from a service to an investment based institution that is equipped with a coherent business system and various activities and services. “Our main strategic goal for the next five years is to maintain our position as market leaders by focusing on efficiency, and quality and to sustain growth by targeting new investment opportunities in the provision of transportation management services. We will also work towards developing business and key activities, and directing them towards automation and transport technology, and of course, promoting innovation and building new capabilities,” said H.E Al- Jarman. Emirates Transport provides a number of

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integrated services in the transport, leasing and technical services sectors through 8 main services, 26 sub-services, and over 30,000 vehicles at its disposal. The customer base includes a number of active clients in the public and private sectors represented by a number of ministries, as well as various private sector companies and institutions. Under the management of H.E Al-Jarman, Emirates Transport has stroke an optimal balance between the investment side and the requirements of governance, quality, safety, audit management, risk, and social responsibility, development of its policies and systems, and enhancement of the culture of commitment. Emirates Transport currently boasts more than 25,000 male and female employees, and the largest specialised fleet with a mixed brand of vehicles of more than 30,000 vehicles. Leaders in School Transport & Safety One of Emirates Transport primary services is school transportation and they currently take an unprecedented lead as market leaders in the industry. The Corporation are currently exclusive operators when it comes to school transportation for government schools with 5,093 buses

transporting 218,800 students to 641 schools and is the only trusted school transport operator by the federal government as well as department of education and knowledge in Abu Dhabi. In the private sector there are 914 buses operating and transporting 28,398 students to 72 schools, further solidifying Emirates Transport as absolute market leaders in the Middle East. On top of that Emirates Transport take an exceptional lead in ensuring safety for students who travel on these buses. “The provision of this service centers on the importance of school transport, which is considered an influential element in the system of mass transport in the state, and the need to provide a comprehensive service to include not only the regular daily transport for public schools, but also transport for school trips and for the use of summer and evening youth centres,” added H.E Al- Jarman In 2018, Emirates Transport revealed their quarterly traffic accident record for its fleet of vehicles, including school transport, showed a decrease in accident rates during the second quarter of this year, compared to the first quarter with a reduction of 80% in the overall number of medium level accidents recorded in its fleet, and a decrease of 50% in the category of

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D e c e m b e r 2018

Awards •

Golden Order of Merit Awards 2014

•

Middle East Business Leaders Award 2015

•

Asia Pacific Entrepreneur Award in the UAE 2016

•

Arab Eagle Award for Excellence Management in Arab Region 2017

Logistics News ME | December 2018 | 29

C o v e r S to ry

serious accidents, compared to the first quarter of the same year. This continuous reduction is due to the rigorous safety training that Emirates Transport conducts for its drivers at its training center. Its training center in coordination with the school transport division has trained 31,941 trainees, of which 21,686 are drivers and 10,255 are female supervisors, in various specialized training programs including evacuation procedures and the use of emergency doors in school buses, first aid, fire extinguishing, awareness training programs on traffic safety, buses technical safety and how to deal with preventive maintenance systems and cases of sudden breakdowns on buses. Apart from training its staff, Emirates Trans-

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port formed a partnership with Abu Dhabi Education Council to launch ‘Hafilati’, an app that enables parents to track their children to and from school, as part of their efforts to enhance safety in school buses. “Through this step the corporation seeks to contribute to the country’s goal of developing its education systems and reflects the directives of the wise leadership to prioritise the overall safety of students, especially in school buses,” said H.E Al-Jarman. Digital Transformation Emirates Transport initiated a new “Unified Tracking System”, which is the largest in the region. The unified tracking system is considered a fundamental component of the “Fleet Man-

agement Solution” which will provide advanced analytics capabilities which include better quality, cost savings and uninterrupted customer service through better asset planning and utilization, also the solution will enable Emirates Transport to do predictive analytics. This can all been tracked and operated by Emirates Transports own high tech control room. This resulted in Emirates Transport forming a strategic partnership with Etisalat Digital to provide smart tracking services to 20,000 vehicles. In the spirit of moving into a more digitalbased platform, the corporation implemented ‘Oracle Cloud Applications’ to drive a major digital transformation across all its core business operations. The initiative will help Emir-

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D e c e m b e r 2018

ates Transport introduce innovative offerings that create new revenue streams, deliver exceptional customer service and drive operational efficiency. Emirates Transport also introduced “Robotics Process Automation” (RPA) for a number of its services including vehicle rentals and driver training courses. The system is detailed and immediate, as it is able to automate a wide range of operations in the main functions on a 24-hours, seven days a week basis. At its customer service automotive centers, Emirates Transport is now upgrading their facilities to develop and modernize all its auto services centers, to achieve the highest levels of customer happiness. This is already happening at two of its centers in Juwaize’e, Sharjah and

Mezyad, Al Ain, reflecting the corporation’s growing presence in a dynamic sector. The new multi-building facility includes a customer service and reception building, as well as an auto maintenance workshop that comprises 12 services lanes processing up to 50 vehicles daily. In addition to this, a plan has been implemented to expand the customer service centers by opening six new sites in the country, including auto inspection centers in Al Ain areas of Al Hair and Al Quwa’a. The construction work is expected to be completed before the end of 2018 Growth H.E Al-Jarman has been able to achieve a remarkable and steady transformation in Emirates Transport due to his successful management of

strategic and digital transition processes, restructuring projects and cost management to ensure continued growth in the Corporation’s financial results over the coming years, in line with its new strategic plan for 2018-2022. This year alone Emirates Transport have signed major contracts in its bid to increase and expand its services in the United Arab Emirates. For H.E Al-Jarman, this has always been the plan to expand services through business centers, to contribute significantly to the development of a group of subsidiaries and through the alliance with an elite of government and private sector agencies and institutions in the country and beyond. “Emirates Transport is a support services provider. Our main goal is to assist our partners in

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C o v e r S to ry

mobilisation and transportation, thereby allowing them to focus on their core business. In this way, our business too has grown by 30 per cent in the number of service requests, and 23 per cent in the value of those service requests. This is a genuine indicator of the excellent standard of services provided and the amount of business generated across the UAE,” explains H.E Al Jarman. Sustainability Emirates Transport currently has a fleet of 10,251 large, medium and small buses, including 5,765 school buses. With such a large fleet H.E Al- Jarman was quick to point out that Emirates Transport is an evolving business and has adapted to using new technology in order to be environmentally friendly and sustainable. “In 2017, the Corporation placed more emphasis on such projects by resuming pre-existing initiatives rather than launching new ones, such as the conversion of diesel buses into hybrid vehicles, and testing the first electric school bus at a regional level. Emirates Transport, in cooperation with ADNOC, converted 8,096 vehicles into hybrids, in addition to providing maintenance services for 2,340 vehicles that had been previously converted.” “This project has several benefits from both the environmental and investment perspective. For example, it reduced fuel costs overall by 25 per cent, thereby reducing carbon emissions,” added H.E Al-Jarman On the sustainability front, Emirates Transport stepped up its efforts with the final phase of field tests for the first electric school bus in the region in 2017. The bus accommodates 45 students and has zero emissions, whereas similar traditional diesel or petrol powered buses consume 0.347 liters per km with corresponding numbers in emissions. Emirates Transport conducted carbon footprint measurements in 2017, in cooperation with the Dubai Carbon Centre of Excellence, revealed that their carbon footprint continued to decline, particularly in comparison to its recent, ongoing growth in revenue, as well as in the size of its fleet, which accounts for 97 per cent of the Corporation’s carbon footprint. This initiative led Emirates Transport to received recognition in two categories during the 11th Arabia Corporate Social Responsibility (CSR) Awards 2018. “In a sincere effort to provide effective infrastructure for bus operations, two integrated electric charging stations have been established and equipped to serve these buses. It is worth mentioning that bus batteries can be fully charged

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within four hours, and are sufficient for travel up to a distance of 100 km within extreme operating conditions, including running air conditioners and all other electronic devices.” H.E Al Jarman ascribes great importance to the launch and support of environmentally friendly projects such as CNG Vehicle Conversion Centre, the Tyre Retreading unit, the Dry Car Wash Unit, the rental of environmentally friendly cars and the expansion of green building systems. Forefront of CSR Emirates Transport has developed a comprehensive corporate social responsibility (CSR) programme, which includes a wide range of activities and initiatives in various areas of social responsibility, placing it amongst the leading corporate institutions as a result of its remarkable success in integrating investment objectives with social and environmental commitments.

“Our initiatives hope to reflect the Emirates Green Development Strategy, which is aimed at achieving a more sustainable economic development. We believe in preserving the environment for future generations through the adoption of responsible business activities and practices, in close cooperation with federal and local government agencies, and partners in the private and civil sector. Ironically, our CSR strategy started with one singular founding initiative – the noble task of providing transport services to government schools,” remarked H.E Al-Jarman. In the Year of Zayed, the corporation added 18 more initiatives in addition to the 22 ongoing CSR initiatives, which were implemented through various departments and branches across the UAE, in cooperation with different community parties. Two of these initiatives, ‘Support a Colleague’ and ‘Umrah Trips for Employees’, have been awarded the Innovation category in the field of volunteerism and hu-

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D e c e m b e r 2018

manitarian work in the sixth edition of the UAE Ideas Conference. These initiatives have helped Emirates Transport win numerous awards for its CSR initiatives. These include the RAKEZ Business Excellence Awards for the category of ‘Best Practices of Corporate Responsibility’. Future Challenges The transport industry has a few challenges ahead of them with a growing demand, increasing transportation rates, and driver shortages, increased the pressure of environmental impacts, enhanced safety, stricter driver regulations and many more. These challenges do not deter H.E Al-Jarman as he believes continuous innovation and improvement can help Emirates Transport get past the obstacles ahead of them: “In terms of the future, one of the main areas of focus for us is innovation and shaping the future. This value is

about committing to providing an environment that encourages creativity and innovation, and constantly seeks to adopt the latest processes, innovative services and management practices that address the customers’ needs, whilst simultaneously responding to their expectations.” Oil prices too have been a major difficulty for the transportation industry. According to OPEC, the average oil price in 2018 is $71.2 compared to the previous year of $52.5. This has increased operational costs and forced transportation companies to find alternative forms of energy to alleviate the pressure. H.E Al-Jarman said: “Emirates Transport is working with its allies and providing them with all the support needed, taking into consideration all aspects of environmental and economic needs. We have already started including hybrid/electric vehicles into our fleet, and supplied fully electric cars to the ministries. Furthermore, our recently announced fully electric school bus

will also help to make a massive dent in emissions overall.” The positive leadership of H.E Al-Jarman, advocated by long years of management experience and substantial leadership visions, has contributed to the achievement of numerous government and private awards in return for Emirates Transport remarkable projects and initiatives. As a result of this H.E Al-Jarman in turn has received a number of awards including the “Golden Order of Merit Awards” in the category of “Wise Leadership in the Arab World” 2014, from Tatweej Academy for Excellence Award in the Arab Region, and the Middle East Business Leaders Award (MEBSLA) in the category of public service transformation 2015 from the American Leadership Development Association (ALDA), and the “Asia Pacific Entrepreneur Award in the UAE” for 2016, and the “Arab Eagle Award for Excellence Management in the Arab region” for 2017.

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P r o d u ct r e v i e w

Blue Star introduces the new VRF IV PLUS 100% Inverter Blue Star has been a global leader for close to 75 years in the air conditioning and refrigeration products, making it a preferred company to cater to the increasing demand in this region. The company is present in 18 countries across the Middle East, Africa, SAARC and ASEAN regions and has 5 modern manufacturing facilities. With a well entrenched network of distributors and dealers across the region, Blue Star has been constantly engaging with the end user in UAE with its wide and varied range of products. Blue Star is offering a wide range of eco-friendly and energyefficient cooling and refrigeration products catering to every related requirement in the residential and commercial space in UAE. It has been catering to an ever increasing consumer base, which has representation across various sectors including: construction and manufacturing, government agencies, schools and educational institutions, hospitals, showrooms & retail units. Every Blue Star product is a result of robust R&D, a strong understanding of design and superior manufacturing processes. These core attributes have made Blue Star the preferred cooling and refrigeration solution provider. “Blue Star offers a range of cooling and refrigeration products, specifically catering to the UAE market, backed by superior technical specifications and unmatched

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product features. We proudly present to you our VRF IV Plus 100% Inverter Systems,” remarks CEO of Blue Star International FZCO, Mr. Dawood Bin Ozair Blue Star is now presenting the new VRF IV Plus range, specially designed for the UAE market. Blue Star’s VRF IV plus units are equipped with 100% inverter compressors. The unique logic of the VRF system is that it optimally loads compressors in such a way that maximum efficiencies are achieved under any load condition. The other advantage of 100% inverter is the low starting current. This helps optimize electricity requirements, such as generator capacity and cable sizes. Blue Star manufactured products are tested and approved in precisely calibrated laboratories. Blue Star products laboratories are accredited by National Accreditation Board for Testing & Calibration Laboratories. NABL is member of International Laboratory Accreditation Cooperation. Blue Star laboratories are accredited by NABL as per ISO/IEC 17025 testing and calibration standards. The products are tested in these laboratories are up to international standards such as AHRI, EN, ISO, GSO, SASO, MEW, QCC etc for various products. Blue Star laboratories are approved for satellite level program for safety testing as per IEC/EN 60335-1 & 60335-2-40 standards by Intertek & TUV for testing of products manufactured by Blue Star.

“Blue Star’s VRF IV Plus is specially designed to deliver 100% capacity even at a higher ambient temperature of 43°C. Superior engineering in designing of electronics, efficient heat exchangers, patented oil return controls and algorithms, enables VRF IV Plus to provide 100% capacity at 43°C and non-stop operation even at 56°C,” said Mr Ozair. The company’s manufacturing strength is spread across five state-of-the-art manufacturing facilities across the country. The Blue Star VRF IV Plus units are manufactured at the contemporary and modern factory at Dadra. Set up in line with international standards, the products manufactured at this ISO 9001-2015 certified factory are sold in different countries across the globe. All machines manufactured at Blue Star factory are rigorously tested for various parameters before dispatch. Customers too can witness actual performance tests conducted on VRF IV Plus before dispatch of their machines. Blue Star is one of the few companies in the airconditioning industry that offers this facility. Mr. Ozair concluded: “With a legacy of over seven decades of experience in providing expert cooling solutions, we would want to position ourselves to cater to the ever-increasing needs for cooling and refrigeration products, for both the residential and commercial consumers in UAE.”

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D e c e m b e r 2018

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Year in review

In Review 36 | Logistics News ME | December 2018

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In Review

Fareye

FarEye’s Kushal Nahata, CEO & Co-Founder tells us about their journey in 2018

What did company expect in 2018 & did it achieve their goals and objectives? This year has been phenomenon for us as we were able to raise a funding of USD 10million earlier this year. We later underwent geographical expansion to Europe - Now we have seven corporate offices worldwide including India, Dubai, Singapore & Europe, FarEye currently serves customers in over 20 countries. Our major focus was also on client acquisition and we wanted to get new clientele, we started with 75+ clients earlier this year now we have 150+ clients across the globe- our partners in growth! We have also diversified our products and now we have two product offerings: • FarEye eCommerce Logistics: Logistics intelligence platform to optimize parcel movement for retailers and 3PL companies. • FarEye Transportation: Predictive visibility platform for shippers to achieve on-time delivery. FarEye platform uses predictive technology to estimate delay in freight movement.

We recently joined hands with Dipper Technologies, as a step towards digitalizing global transportation industry and improve it to ensure on-time deliveries with reduced cost of goods movement. We are now a strong team of 200 – targeting the trillion dollar logistics & supply chain industry, globally. Biggest Achievement in 2018? FarEye also bagged Deloitte Technology Fast50 India 2018, Business Today’s Coolest Startups 2018 & Inflection Awards 2018 along with many more valuable awards this year which is testimony to our success. What is the company expecting to achieve in 2019? FarEye was established in 2015 with a vision to address the key challenges in the logistics and supply chain space using mobility, data analytics & automation. Working with global leaders like DHL, Amway, Blue Dart and many others, FarEye empowers 10 million shipments each day and has been ranked in the Deloitte Tech Fast 50 listing for the third time in a row. While on this journey, we

realized that the need for visibility is only increasing with both commercial customers and consumers wanting to know in real-time where their shipments are and when would they arrive. The team at Dipper, understood the problem really well and this understanding coupled with a very passionate team & a strong product supplements FarEye’s existing strength in supply chain industry technology. This acquisition reinforces FarEye’s growth plans to solve challenges for longhaul and multi-modal logistics. The joint comprehensive solution will enable shippers to gain end to end visibility of the freight and will give them access to preventive tools for optimizing supply chain management. From Order Creation, Allocation, Transit Visibility and ePoDs, combined with powerful SLA and KPI dashboards, fuelling, resource utilisation, optimisation to toll cards - this suite will cater to needs of all stakeholders (consignors, 3PL/Transporters, Fleet Owners and Consignees) alike. With this acquisition, FarEye has expanded its product portfolio with two welldefined offerings: • FarEye eCommerce Logistics: Endto-end platform to run eCommerce logistics and optimize goods movement. • FarEye TransportationPredictive Visibility Platform to run logistics operations to achieve on-time delivery and efficiency. FarEye has been growing at an astounding growth rate of 362% year on year. We intend to continue the momentum while expanding and diversifying our product portfolio. The 8 trillion USD logistics industry has the scope to streamline it processes and with the boom of eCommerce industry and the need to attain customer centricity gives us a chance to fulfill the gap in the industry.

Logistics News ME | December 2018 | 37

Year in review

GAC

Fredrik Nyström, Group Vice President, Middle East tells us about GAC’s 2018 What did the company expect in 2018 & did it achieve their goals and objectives? GAC sees a lot of potential in our contract logistics business in 2018 and in the years to come. It was also one of our main objectives to complete the construction of our purposebuilt contract logistics facility on time, to serve the increasing demand for warehouse space in the region. Our newest contract logistics facility in Dubai South opened earlier this year in May, adding to the company’s existing contract logistics capacity and complements established facilities in the Jebel Ali and Dubai Airport Free Zones. The AED 100 million facility brings our total capacity in the Emirate to over 170,000 pallet positions. We also saw many new contracts inked in our contract logistics business with clients from the travel retail, FMCG and other sectors. Currently, the facility holds 21,500 occupied pallet positions of goods and handles around 60 vehicle movements per day. Further, the oil & gas industry was another area where we saw an opportunity

and expected increased activity. Despite the sector still facing price pressures, GAC was able to distinguish ourselves with our integrated suite of oil & gas services supporting the sector from exploration through to production, which saw us secure several business wins across the region. Biggest achievements in 2018? Despite the challenging business climate, GAC had an encouraging year with several new contracts awarded across our businesses in various countries such as the UAE, Bahrain and Oman, to name a few. One of our biggest achievements in 2018 is the opening of our newest contract logistics facility in Dubai South. The AED 100 million facility is the largest and most sophisticated in GAC Dubai’s history and has been designed to meet a higher standard than what is currently available in the market, from operational efficiency and dynamism through to environmental systems. The facility has been extremely well-received, and several new contracts

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have been signed with clients from the travel retail, FMCG and other sectors. What is the company expecting to achieve in 2019? With the added capacity from our Dubai South facility and the various upgrades made to our existing facilities, we are able to attract more new customers and take on more products from existing customers. 2019 will be an exciting year for GAC as we continue to drive the growth of our contract logistics business. We also foresee more activity in the oil & gas area and will continue to meet the sector’s complex needs with specialised integrated shipping, logistics and marine services that are cost-effective yet do not compromise on service or quality. GAC will also continue to defend our market-leading position in the logistics industry by putting our customers first, leveraging our existing assets and values, continuing to innovate and taking advantage of new technologies.

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In Review

Scania

Ă&#x2013;zcan Barmoro, Managing Director, Scania Middle East tell us about their 2018

the New Truck Generation in Abu Dhabi & Dubai and look forward to the launch in Oman, Saudi Arabia and Qatar. With the new generation trucks, we designed a solution that is optimised to overcome the various challenges unique to your business, offering the option of optimisation instead of standardisation. This generation of trucks and services has been engineered to perfection with the goal of improving fuel efficiency. Through improved aerodynamics and new engine concept together with intelligent support systems, the new generation Scania is in the lead when reducing fuel consumption.

What did Scania Middle East expect in 2018 and did the company achieve its goals and objectives? Scania Middle East has achieved its objectives for 2018 and has delivered approximately 700 trucks in the Gulf region. Keeping in mind that this has been achieved in a market that is still under pressure. Many markets in the Gulf still report a decline in heavy duty truck sales in 2018 as compared to 2017 which means Scania has increased its market share in the region. Most markets in the Gulf are still suffering due to challenges in the construction sector which has affected all suppliers of heavy duty trucks. Also, oil & gas segments are still under pressure. We hope to see improvements in the next year within these sectors as they represent a major share of the heavy truck sales. Biggest achievements in 2018? The biggest project for Scania Middle East in 2018 has been the launch of the New Truck Generation. We are very pleased to

see the high interest and positive response from customers at our events in the different markets. As of now, we have launched

What is the company expecting to achieve in 2019? With the launch of the New Truck Generation in the Middle East, we aim to increase our truck sales in 2019 and believe the new and improved range will open up new opportunities for Scania. Additionally, we aim to sell more buses in 2019.

Logistics News ME | December 2018 | 39

Event review

IRU World Congress - Oman The IRU World Congress, held from November 6th - 8th, was organised by IRU and hosted by ASYAD in collaboration with the Ministry of Transport and Communications. Over 1,000 participants from more than 75 countries attended the three-day event.

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D e c e m b e r 2018

Over a two day event, road industry leaders together with business, government and thought leaders will gather in Muscat to exchange ideas, debate solutions and define the future of transport, mobility, logistics and trade. IRU President, Christian Labrot welcomed the participants and encourages action, “We are excited to bring the industry to Oman, to the IRU World Congress 2018, to take part in the new global event for transport, mobility and logistics. This is the platform for the world’s transport leaders to stay ahead of the game and to keep up with the lightning speed of innovation and technology.” Themed “Innovation on the Move”, the Congress is co-hosted by Asyad, Oman’s premier provider of integrated logistics services. It explores the vital role of technology in driving improvement and facilitating global trade. Nabil Salim AlBimani, Group Chief of Ports & Freezone at Asyad says, “Technology-driven innovation will be the key to meeting the challenges of tomorrow.” Transport leaders from over 75 countries arrived at the event along with numerous major transport companies that included Volvo, AXA, PWC, Mercedes Benz, MAN, IBM, and Virgin Hyperloop. Themes included new technology, disruptive business models, laws and investment strategies, changing trade patterns, new market needs, emissions, decarbonisation and social issues. The Congress will also marked the culmination of IRU’s 70th anniversary adventure, “We Love the Road where David Couliau”, a film producer and storyteller, who travelled through 18 countries across three continents by truck, bus, coach, taxi and skateboard to meet the real people of road transport. On the last day of the event the Muscat Compact was signed at IRU World Congress, a roadmap for the future of road transport, mobility, trade and logistics. As a principle-based framework for cooperation, it will bring the industry together to take control of its future by using innovation to overcome current challenges and uncertainty. The Muscat Compact focuses on four key elements: talent, trade, environment and innovation. It spurs collective action and guides public-private collaboration at a local, national, regional and global level. ‘The Compact was discussed in a closed ministerial dialogue, examining how governments can work better with transport operators in supporting trade facilitation, building

human capital, decarbonising and supporting innovation. Governments from 25 countries came together to plan a course of action to achieve industry objectives and global goals, notably as set out in the UN 2030 Agenda for Sustainable Development and the Sustainable Development Goals (SDGs). The Muscat Compact was presented during the closing session by Emil Kaikiyev, Minister in charge of Energy and Infrastructure of the Eurasian Economic Commission, who called for collaboration between the public and private sectors in taking transport, trade and

mobility forward. He said, “IRU has long advocated an end to silo approaches, with harmonisation and shared global best practices. This is more important now than ever, as we face accelerated change and also significant opportunities. The Muscat Compact is the beginning of a new proactive era for transport, where we act together to design our future and we start building it.” Secretary General of IRU, Umberto de Pretto, added, “This is a defining moment for the industry. We can’t predict the future, but we can forge our own destiny within it.

Logistics News ME | December 2018 | 41

Event review

The survival of the industry – of global prosperity – depends on it.” The Compact was one of many positive outcomes of the three-day global event, which saw global decision-makers come together to support transport operators in boosting trade facilitation, good regulation, digitalisation and intermodal efficiency. In addition, Mwasalat, Oman’s national transport company, signed a Memorandum of Understanding (MoU) with Busworld, the biggest and most experienced bus and coach exhibition in the world, to host the event in Muscat in 2021. The final day of the Congress also explored avant-garde solutions from leading business figures who have successfully ridden the wave of disruption and prospered from innovation. André Borschberg, Co-Founder, CEO and Pilot of Solar Impulse expressed, “Innovation is all about pushing boundaries. It’s about having the vision to see what existing technology can do and the expertise to bring that vision to reality. It’s about having a license to fail, try again, fail again and eventually succeed. And it’s about courage.” Dr. Rand Hindi of Snips.ai, added, “This is what the digital revolution is all about. It’s about using this artificial intelligence to make technology disappear in a way that you can just go about your day and not care about it anymore.”

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D e c e m b e r 2018

The round table sessions focused on autonomous road transport, responding to new challenges in urban mobility, and reaping the benefits of innovative practices that can generate new revenue streams and optimize resources. “After three decades of globalisation, many companies expect their supply chains to shorten in the years ahead. But while some manufacturing processes will

migrate ‘closer-to-home’, speeding the shift towards regionalisation, numerous well established and finely tuned supply chains will remain in place, adapting to serve expanding local markets. For businesses, supply chains may be shrinking, but the era of complex supply chain ecosystems is still far from being over,” said author, logistics expert and lecturer Mark Millar.

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11-12 February 2019 Dubai World Trade Centre Dubai, UAE

be a part of breakbulk middle east Where Diversification Means Opportunity for Project Cargo Specialists Welcoming all companies interested in the cargo transport, logistics and support of major projects in the GCC and surrounding regions. To exhibit, sponsor and register, visit www.breakbulk.com/bbme2019

NOW IN DUBAI â&#x20AC;&#x201C; THE PROJECT HUB OF THE GCC

Distribution

DOING IT RIGHT. Truebell tells us all about their food storage and distribution process

Established in 1984, Truebell started out with a small fleet of vehicles servicing retail shops in the UAE. Within a short space of time Truebell expanded their distribution reach, covering not only retail but also hotels, restaurants and catering companies. In 1990, Truebell further expanded its presence with the introduction of institutional customers in the GCC and North Africa regions – exporting supplies to them by sea and air. “As per customer demands, in 1992 we expanded our portfolio of products to include all types of food – ambient, chilled, frozen and fresh – as well as adding janitorial and cleaning items, thus providing a one stop store concept where clients can come to us for all their requirements,” says Truebell Director, Mr. Jitender Gandhi UAE’s geographical location and infrastructure make it an ideal supply and re-distribution gateway - offering huge growth potential. It is

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strategically located at the center of international trade making it globally well positioned as an emerging transshipment hub. “UAE infrastructure has progressed tenfold over the last 20 years and will continue to become more futuristic and service orientated as the country continues to invest in infrastructure that is vital to boost trade, roads, sea ports, air ports and rail networks. We are confident that there advancements, combined with our development, will continue to provide opportunities and channels of trade for Truebell,” said Mr. Gandhi Truebell distribute food to major international catering companies with their food requirements for remote site locations. The team covers a vast geographical spread, be it onshore, offshore or the locations of other catering suppliers across the Middle East, North Africa and CIS regions. Regardless of where the clients are based, they all take advantage of

Truebell’s consolidated food supply solutions. Flexibility, efficiency and cost effectiveness is the strength on which we have retained our international customers for three decades. Since 2014, the organisation revenue has more than double from $59 million to $122 million. “The food and beverage industry has one of the most challenging and complex logistics requirements driven by time freshness of the products and high regulation standards. This temperature-controlled and sensitive supply chain requires a high-degree of detailed planning, management and specialised handling. Through trying and testing every known combination of truck, van, refrigeration unit and vehicle body that the industry has to offer, we have found the ultimate combination which consists of the most up-to-date vehicles and air-conditioning equipment in the market today, quality refrigeration units and thermally-insulated

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D e c e m b e r 2018

Mr. Jitendra Gandhi - Director at Truebell

trucks and vans ranging from 3 tonnes up to 10 tonnes.” In order to ensure high quality in the food they distribute Truebell uses state-of –the-artstorage equipment and thermally-isolated containers to ensure optimum freshness throughout the supply cycle. Temperature controls are stringently implemented throughout the facility and continuously monitored by trained staff. The company also uses a hazard analysis critical control point programme (HACCP) that ensures the risks and hazards associated with food safety, freshness and quality are systematically evaluated and appropriately controlled along the entire supply chain from the product source to delivery to the end customer. “On receipt of goods at the warehouse, each and every item undergoes a strict inspection procedure - with all potential hazards identified and dealt with by fully trained staff. We also conduct regular audits on all our suppliers

to verify they are complying with our standards and to ensure continuous quality improvement.” “Food is only ever transported in vehicles specifically designed for food transport. All of our vehicles are vigorously cleaned on a regular basis, ensuring all health and safety regulations are met. Minimising the time food is in transit is key to us,” added Mr. Gandhi. Truebell has reached a high degree of professionalism in this service through its quality management system and its reputation in the international market has made it the preferred supplier to many reputable shipping companies. “Not only does our deep understanding of the challenging and dynamic food, distribution and shipping industry make us unique, but our commitment to excellence has made us one of the preferred suppliers to the world’s most important ship managers and owners, as well as to various other major companies worldwide. Over the years, we have worked to develop

a first-class smooth supply chain performance, particularly when it comes to supporting our clients operating in remote and challenging locations. Transporting to remote locations demands strict control, planning and analysis and this is something we have worked to perfect. Our staff are extremely competent and adequately training to carry out all assigned roles. While our sales and distribution network helps Truebell achieve self-sufficiency, enhanced service standards and increased market penetration.” Sustainability has always played an important role in Truebell’s operations, with their focus in previous years to improve sustainability through efficient waste management systems, route optimisation in logistics and optimisation of warehouse processes and operations. “In recent years, we felt the rising need for a sustainability-driven operation and our new state-of-the-art distribution centre in Dubai Industrial Park is our first major step towards realising this vision. The facility is equipped with storage solutions and efficient machinery that operate on reduced carbon footprint and protect the health and efficiency of both men and machines alike,” explained Mr. Gandhi Truebell is aware of the future challenges that will come their way as they look to rapidly expand varieties of food products and brands. “Continuously working to bring new varieties of products and brands from various different regions around the world is one of the biggest challenges facing Truebell’s food trading and distribution division today. Other challenges include maintaining a healthy balance between income and expense levels as well as continuing to bring new clients from the region on board to support and enhance future growth.”

Logistics News ME | December 2018 | 45

Trucks

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D e c e m b e r 2018

Engineered to Perfection Scania has announced the launch of its new and complete truck range in the UAE. Scania’s new truck generation is extending its offering, and with its unique modular system, supply more performance steps, connectivity, and a comprehensive palette of productivity-enhancing services as well as customised transportation solutions. Scania is setting a new standard for what is premium in the transport industry. The result of ten years of development work and investments of over two billion Euros, the new truck generation builds on the values, strategies, and innovations, which for the past 127 years have made Scania an industry leader. “With the new generation trucks, we designed a solution that is optimised to overcome the various challenges unique to your business, offering the option of optimisation instead of standardisation. This generation of trucks and services has been engineered to perfection with the goal of improving fuel efficiency. Through improved aerodynamics and new engine concept together with intelligent support systems, the new generation Scania is in the lead when reducing fuel consumption. At Scania, we believe the best way to succeed is to offer your driver an outstanding office with the support of smart services. With major product news and improvements down to the smallest details, this new generation is sure to improve the working environment of your drivers. Connected vehicles provide valuable insight into operating conditions as well as the necessary intelligence to develop vehicles for even better performance – useful insight for Scania’s continuous research and development work,” said Mr. Özcan Barmoro, Managing Director of Scania Middle East. Features of the new truck range include; new design and shape of the front and chas-

sis for improved aerodynamics, powertrain updates resulting in exceptional fuel efficiency and driving performance, extended storage options, enhanced driver’s seat adjustment options, maintenance based on your operation, increased uptime and profitability, unique safety features such as rollover curtain side airbags, stability control, active emergency braking (AEB), electronic braking system (EBS), adaptive cruise control (ACC) and lane departure warning (LDW), more space behind the seats for wider beds, new infotainment system with 7” touch screen, and the Scania Opticruise automated gearboxes now feature a layshaft brake for even smoother and much faster gear shifting, actually twice as fast when shifting up. And as an option we also have a version with a clutch pedal that can be used on demand, for example when maneuvering in challenging situations. Mr. Barmoro gave us a preview of how the trucks were tested both for the comfort of the driver and the durability of the new truck. “In order to improve driver experience, it was essential to find the most optimal driver position for best control of the vehicle. We built a prototype with a driver station that was able to move around inside the cab to evaluate the most optimal driver position, you could even sit in the middle of the cab and drive. Then we used our most experienced and skilled test drivers to find the optimal driver position. Based on the new driver position we designed the complete

Logistics News ME | December 2018 | 47

Trucks

driver station with an ergonomic dashboard around the driver with great overview and logical grouped buttons and levers which are easy to reach, so that the driver can always have full control of the vehicle. To improve the direct vision, we lowered the dashboard and the door panels, and also slimmed the A-pillar panels and the mirrors. When the volume was defined, we created a strong cab structure around it using higher tensile steel to further improve the crash safety in the cab. On the exterior, we have put in a lot of resources, simulations and tests in wind tunnels and worked through all the details to improve the aerodynamics. We have minimised all the gaps, integrated the spot lamps, we have more performance steps for Roof air deflectors and front bumper heights, all to make it as aerodynamic and fuel efficient as possible.” When asked about the unique difference between these new trucks and the previous versions Mr. Barmoro was quick to point out why their trucks stand out: “This is not just a new truck range, it’s also a unique, ingenious toolbox of sustainable solutions with products and services that Scania is first in the industry to deliver.” “Thanks to improved powertrains and better aerodynamics, the range pushes further Scania’s already outstanding fuel performance.” “With customer profitability as the starting point, Scania’s goal is to become the

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D e c e m b e r 2018

leading provider of sustainable transport solutions. This means integrating sustainability fully into the business and working with others to tackle impacts, transform our industry and create lasting value. Scania’s aim is to drive the shift towards a sustain-

able transport system, creating a world of mobility that is better for business, society and the environment. This New Generation Scania will push us further towards our vision of driving the shift towards sustainable transport systems,” said Mr. Barmoro.

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S u pp l i e r f o c u s

LogiPoint becomes a global strategic convergence point connecting three Continents “The ability to provide high quality and advanced integrated logistics solutions in Jeddah Islamic Port has enabled Saudi Arabia to emerge as a strategic logistics hub on the all-important Red Sea Logistics Corridor, which connects four continents of the world” said Farooq Shaikh, the Chief Executive Officer of LogiPoint. Farooq was talking about the wide array of logistics solutions which LogiPoint of-

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fers to an ever expanding base of global and regional clients. “Our solutions have been designed and structured so that our clients achieve greater efficiencies in their supply chain through optimized operations and minimized inventory cost, while enabling them to respond to customer demand faster, all of which leads to real bottom-line advantage for our valued clients”, he says. LogiPoint is a subsidiary of Saudi Indus-

trial Services Co. – SISCO, a Saudi Joint Stock company listed on Tadawul. It has been pioneering logistics solutions in the Kingdom for over 20 years ever since it established the first and the largest Bonded and Re-Export Zone in Jeddah Islamic Port. Today, the Bonded and Re-Export Zone, which is spread over 1 Million Sqm. in Jeddah Islamic Port, is a world-class, customer-centric integrated logistics services area,

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where international and local clients are able to take advantage of services like port services, lead-logistics, specialized handling and storage, labeling, co-packaging, and also turn-key supply chain integration from the port terminal to the distribution center. In shipping terms, Jeddah port helps clients save 4-8 days in import or export transit time when compared with other ports in the region. This is an advantage which is reinforced through using the LogiPoint services in the Jeddah Islamic Port. Farooq Shaikh stressed the advantage LogiPoint brings to clients, “They have the option to import the goods into the Kingdom after breezing through the customs, or to rework and re-export their goods to any part of the world from Jeddah without having to pay customs and duties. There is a dedicated customs office within the Bonded and Re-Export zone to cater to the needs of the clients and to ensure a smooth and speedy clearance process for the shipments”. The value of speedy and smooth clearance in an industry that came up with the term “Just in time” can hardly be over-emphasized. Building on over 20 years of experience of working with regulatory authorities, clients, logistics partners and other stakeholders, LogiPoint has embarked on an ambitious program to set up new Logistics Parks and Zones in the Kingdom. Here is a look at the projects in the pipeline: a) Logistics Parks - Modon 1 is located in the heart of the Jeddah Industrial Area and is spread over 120,000 m2. “We will provide additional services aligned with International Standards to both existing and new clients, and will look to help bring in new efficiencies in the collective supply chain of the Jeddah region” said Farooq Shaikh explaining that through this project heavy traffic flow will also be efficiently managed in and out of the Industrial City. The proximity to the Jeddah Islamic Port will lead to time and money savings in transport, while bringing flexibility and agility to planning and operations. Additionally, the project offers ample open storage space for clients’ cargo, while also providing parking space for their vehicles so parking in the industrial area’s congested streets can be avoided. b) Logistics Parks - South Jeddah is located in Al-Khumra, the 2nd largest logistics hub in the Kingdom, and is spread across

Jeddah is just 20 minutes’ drive from the port, and lies close to two major highways. It is also less than two kilometers from the proposed Land-bridge station which will ultimately represent the western terminal for the trans-Saudi railway linking Jeddah and Dammam via Riyadh.

662,900 m2. It consists of a state-of-theart integrated warehousing complex that will offer LogiPoint customers secure storage and one-stop shop solution for all their logistics needs. The Logistics Parks South

The LogiPoint CEO sounds excited about the way forward for the organization: “LogiPoint is committed to expanding its current investment base by developing both green-field and brown-field integrated logistics facilities across Saudi Arabia while focusing on attracting international investors into the Kingdom. We have been at the forefront of bringing international concepts in logistics efficiency to KSA over the last two decades, and with the Kingdom’s drive towards achieving Vision 2030 objectives, we see a greater role for LogiPoint as enablers of trade and development through innovative logistics solutions”.

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S u pp l i e r N e w s

Supplier News

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U p dat i n g yo u o n t h e r e g i o n ’ s s u p p l i e r s

Fujairah Terminals signs MoU with United Steel

Fujairah Terminals, an operational arm wholly owned by Abu Dhabi Ports, has signed a Memorandum of Understanding (MoU) with United Steel Industries (USI), a premier manufacturer of rebars, rods and wire coils. The agreement supports the handling of the company’s import and export shipments through Port of Fujairah. Also, Fujairah Terminals will facilitate all required logistics support for the company. The MoU was signed by Ahmed Al Mutawa, Chief Executive Officer of Fujairah Terminals, and Mamed Magomadov, Partner at United Steel Industries. The

partnership enables United Steel Industries to benefit from the Fujairah Terminals’ strategic location and platform to efficiently access the region. Ahmed Al Mutawa said: “Our continued collaboration with United Steel Industries stems from our commitment to consistently play a vital role in supporting the economic and social development of the Emirate’s business community. Today’s MoU portrays Fujairah Terminals’ competitive advantage and will provide United Steel Industries with increased time efficiencies and immense cost reductions. We look forward to continue

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solidifying our position within the UAE’s strategic expansion into markets in the Indian sub-continent and East Africa.” On this occasion, Mamed Magomadov said: “It is privileged for us to be in relation with Fujairah Terminals for all our cargo import & export handling including logistic services. Our decision to invest in our relationship with Fujairah Terminals is motivated based on multiple business factors that will gain us a competitive advantage. By choosing to utilise the Fujairah Terminals, we will be benefiting from increased time efficiency, cost

reduction and a convenient location only few kilometres from our steel plant.” Through Fujairah Terminals, Abu Dhabi Ports is enhancing existing infra and super structure; in addition to managing all container, general cargo, RoRo and cruise ships in the port. It further extends this exclusivity throughout the emirate of Fujairah for container business. Abu Dhabi Ports is also deepening of berths to enable the port, which already serves clients and companies in the entire Gulf Region, Indian Ocean and Indian Subcontinent, to cater to larger vessels. www.cbnme.com

D e c e m b e r 2018

Emirates Steel signs new iron ore pellet supply deal with Vale

Emirates Steel, the only integrated steel plant in the UAE, has signed a fouryear (2018-2021), high value contract with Vale, the world’s largest producer of iron ore and iron ore pellets, to supply iron ore pellets for its steel production in Abu Dhabi. Both companies have a longstanding business relationship that commenced in 2007 and has through this fouryear contract strengthened into a strategic partnership. Emirates Steel has an iron ore pellet requirement of around 6 million tons per year. The agreement was signed by HE Saeed Ghumran Al Remeithi, CEO of Emirates Steel and Mr. Peter Poppinga, Executive Director, Vale during an official meeting held at the Emirates Steel office in the presence of senior officials from both companies. “The agreement with Vale comes in line with Emirates

Steel strategy, which aims to secure flexible source of iron ore at competitive, stable and long term prices. This new partnership plays a vital role to further strengthening the growth of our steel production in Abu Dhabi, as well as realizing our vision of being a world class steel manufacturer providing the highest quality products, services and solutions to our customers and maximizing returns to our shareholders,” said Mr. Al Remeithi. Peter Poppinga, Executive Director, VALE said: “The long-term agreement resembles the two companies visions combined in longterm partnership. Also shows Vale’s strong willingness to support the Middle East steel making industry through leveraging on competitiveness, productivity and performance with high quality products.”

flydubai integrates FedEx web services technology

Dubai-based airline flydubai and Swiss Aviation Software (Swiss-AS) have integrated the flydubai Engineering Maintenance System (AMOS) with FedEx Web Services, which are designed to enhance air waybill generation and the transition towards paperless documentation. The integration of the FedEx air waybill automation in the AMOS system gives flydubai the ability to manage their entire processes from their desktop, reducing processing time by up to one minute per shipment, and saving approximately 340 employee hours per month. “Integrating our Engineering Maintenance System with FedEx Web Services will have a lasting effect on our automation process, by reducing shipment processing times and increasing our operational efficiency,” said Mick Hills, Senior Vice President, Engineering and Maintenance at flydubai. “At FedEx, innovation has been in our DNA since our first day of operations in 1973, and our technology is designed based on what our customers need to make their shipping processes and business successful,” said Jack Muhs, Regional President, FedEx Express Middle East, Indian Subcontinent and Africa. In addition, FedEx Web Services technology will help avoid duplicate data entry, ensuring that air waybills are created error free, while providing flydubai with real-time tracking and transit times. flydubai is the first airline in the UAE to implement the integrated AMOS and FedEx Web Services system, which will benefit more than 100 airlines and Maintenance, Repair and Overhaul (MRO) companies around the world. Logistics News ME | December 2018 | 53

Save the date

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The key exhibitions, conferences, and seminars coming up this month

December

1-2

December

3-4

Eurotek Birmingham, UK The Eurotek, organized by the EUROTEK (Explore) Limited will take place from 1st December to the 2nd December 2018 at the International Convention Centre Birmingham in Birmingham, United Kingdom. The conference will cover areas like European biennial advanced and technical diving conference. This international event comprises three elements, opportunity to benefit from good quality facetime with the leading manufacturers, relevant training agencies and engaged destinations, boats and centres, opportunity of accessing 40 different educational and inspiring talks and useful workshops that cover the many aspects of diving. From shipwrecks, cave diving and physiology through to technique, safety, scientific and imaging. Blockchain for Supply Chain Logistics Forum Houston, USA Blockchain technology is considered to be a game-changer for decentralizing infrastructure and building a trust layer for business logic. It is envisioned to be a technology that could propel us into the next industrial revolution. This edition will be introducing Artificial Intelligence and IoT to see how these technologies can provide the analytics, tracking, and transparency needed to advance current and often outdated systems.

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December

12-14

December

13-15

ICAO NGAP Global Summit Shenzhen, China ICAO NGAP Global Summit is intended to unite the aviation community, education and labor sectors to address strategies and actions for engaging, educating and retaining the next generation of aviation professionals, and to establish partnerships for the implementation of these actions. It will provide a unique opportunity for informationsharing, discussing and highlighting the importance of NGAP in implementing ever-evolving global strategies for safety, air navigation, security, environmental protection, and economic development. India Cold Chain Show Mumbai, India India Cold Chain Show is a 3 day event being held from 13th December to 15th December 2018 at the Bombay Convention & Exhibition Centre (BCEC) in Mumbai, India. This is the most dynamic B2B trade show serving Indiaâ&#x20AC;&#x2122;s cold supply chain industry. For half a decade, it has been the sole trading voice for cold storage infrastructure, refrigeration, reefer transport, temperature control, IT solutions and data storage solutions. www.cbnme.com

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