Shipping & Logistic supplement

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shippinglogistics The Malta Independent on Sunday APRIL 2018


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Insuring your PERSONAL BELONGINGS for shipping When you want to ship your prize treasures from shore to shore it pays to cover all eventualities.

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onsider the experience of anyone whose boxes sink, or are dropped into a harbour. They may happily be expecting full compensation. But if the boxes are recovered and their contents returned to the owners, even if they are damaged beyond repair and the owners only

have cover for loss at sea, they may be in for a shock. Since, technically their possessions were not lost, their claims are at risk. If, however they had included insurance against sea water damage and not just loss at sea, they would be laughing. Whatever the expenses involved in shipping your property, never cut on insurance.

Marine cargo insurance covers physical damage to, or loss of your goods whilst in transit by land, sea and air. No matter what you have to move, an important part of getting it overseas is getting the proper insurance. To do this, consider the journey all the items will take, from door to door – on the road to the port, through

customs, loading and sailing on a vessel, to arrival, unloading, customs, possible storage, and its journey to the final destination. Even if you are moving overseas for work and your employer is taking care of your relocation overseas expenses not all policies are the same. You need to have sufficient knowledge about marine cargo insurance so you can choose the most adequate insurance plan for yourself and your family. You can do this through your international moving company, from an insurance company, or a marine insurance broker.

Ask yourself:

• Does the company offer a door to door policy, and an “all risk” policy insuring your shipment for its full replacement value at destination? • What kind of coverage is offered if you pack your own goods instead of packing them professionally? • Which laws will apply to the moving insurance policy; those of the destination country, home country, or international law? • What are the policy exclusions and clauses stating that you are not covered by the insurance policy or that you will not be paid out in certain circumstances? • Can you add to the insurance policy clauses and conditions to extend the standard coverage? What deductions are applied in the event of a claim? • What are the procedures and deadlines when submitting a claim? • Read and reread the fine print on your policy with a magnifying glass – twice. Continues on page 4


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Insuring your PERSONAL BELONGINGS for shipping Continued from page 2

What type of insurance should you chose?

International moving companies offer different types and degrees of protection, so you need to be sure to have a thorough discussion about the coverage available and what each type provides. Be sure to consider the difference between insurance for air shipments versus ocean shipments, especially if you will be needing both air and sea transport for the same cargoes. Below are some of the types of coverage many companies offer. You could also contact a third party provider to give you more detailed options: • Legal liability: This is the most basic insurance for many international moving companies. Goods are automatically covered under a legal liability standard based on what the transportation industry sets. Most of the time, the ocean carrier is responsible for a certain amount of euro per package. Air shipments are determined by weight. This insurance does not cover partial loss. • Total loss coverage: Your entire shipment must be lost, destroyed or damaged for this type of coverage to apply. It does not cover any partial loss or damage. • All-Risk Cargo Insurance: This is the safest, and also the most expensive, choice when it comes to shipping your goods. But it does cover any possible loss or damage during ocean transit. Usually, this includes water or fire damage, theft, partial loss, breakage and more. Additionally, it covers non-delivery of goods and improper stowage by the shipping company This type of insurance is recommended for all household goods and automobile shipments.

What will it cost?

Your costs for extra insurance will vary depending on the type of policy you choose, the value of your goods and the extent of coverage. Whatever they are and whatever their value you should probably make sure you take out a policy that at least covers their total replacement value or at least the cost of any repairs that may need to made as a result of their transportation. Remember that this must be for what they would cost new, at today’s prices and not what you may have paid for them in the first place. Factor in the rise in value of any antiques. In fact, you should consider taking out specific insurance for anything ‘irreplaceable’. This would at least cover the financial cost, even if the sentimental value can never be repaced.


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Blissful days at sea Aside from cargo, ships also carry holiday passengers looking for a luxurious break

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n 2017, from January to December approximately 670,135 passengers took a cruise to or from Malta. Some were in transit, others landing, some stayed overnight, but sadly the fewest – a mere 14,503 visited Gozo. This is a real shame considering all the island has to offer visitors and that it had once planned for cruise ships to be able to moor close to its shores regularly. The majority of tourists came from EU countries, of which the largest numbers were from Germany (115,358). England 113,387 and Italy (99,927) came next. Then came Spain (28, 822) and France

(58, 018). Not surprisingly, America with (72,612) made up the highest number of passengers. Canada (20,870)Australia, (16,933) came next and Japan(7, 064) followed. It is often thought that more females choose cruises than men and these figures were born out by the difference between 356, 802 female and 313,333 male passengers who came to Malta last year. The idea that cruises are only for the elderly still seems to hold strong, although judging by the figure of 82,977 under 19s accounted for, family cruises must be catching on. The least number of passengers came from the 80+ age group, understandable perhaps. But, despite the allure of a honeymoon cruise, 20-39 year olds are three times less likely to choose a cruise than the 60-79 year olds, who number a little more than those between 40 and 59.

The number of cruise liners coming in to Malta was 342, up from 316 in 2016 and 307 in 2015. When a cruise liner calls at both Malta and Gozo it counts as a single call. The number of passengers who embarked from Malta usually return to their home port so they are not included in the total

traffic figure, but 41,570 passengers sailed away last year. Transit passengers and those who land in Malta are included as cruise passengers. Passengers staying at least one night on board their liner numbered 40,759; a good deal more than last year’s 22,519 and many more than 15,847 in 2016. All in all Malta deserves more cruise visitors. Cruising is a comparatively safe way to travel, the ports within reach of the Maltese Islands are many and varied and our climate and the seas around are generally temperate and moderate.


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EXPRESS TRAILERS has chosen April as the Road Safety month and over the coming days, it will be launching a nationwide campaign to promote more responsible road sharing. FRANCO AZZOPARDI, Chairman and CEO of EXPRESS TRAILERS explains the importance of this campaign, why the company has taken this initiative and what it aims to achieve.

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hy would a transport and logistics company like Express Trailers take up a road safety cause? The answer is very simple. Our company is regarded as the leading respected transport and logistics operator in Malta. We deploy a very large fleet of trucks, trailers and vans to deliver most of everyone’s essential day to day commodities, and we have always acknowledged that a company like us must be a nuisance on the road. So, we wanted to redress the balance a bit and we felt that promoting road safety would be most in line with our operations as active road users. This does not mean that we just woke up and decided to start advocating for safety. Safety was always high up on our agenda because of the respect we have for

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our people, especially our drivers. who we always make sure can operate in the safest environment. We are just extending this respect to all the community in which we operate. In fact, it has now been quite some years since we started taking a more active role in the community by promoting more responsible road sharing and we did this when we started supporting other more vulnerable road users, such as athletes, first through our sponsorship to the Żurrieq Wolves Athletic Club’s Half Marathon event. Eventually, we continued extending this support to other clubs such as the Mosta Cycling Club and the Mellieħa Athletics Club.

What prompted Express Trailers to launch this national campaign? We decided to start this national campaign because traffic is very high on the country’s agenda and as Malta’s leading transport and logistics company, we


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many times we forget that really and truly, on the road, everyone is responsible. In fact, safety on the road should be a top priority for everyone because on the road, everyone is borrowing space, and everyone has an acquired right to use the roads. Therefore, every road user is responsible for the safety of all other road users. If a pedestrian decides to cross the street from a blind corner and gets run over, the fault is the pedestrian’s and not the car driver’s. If a cyclist or a runner is using the road to train, they need to be wearing protective gear which also makes them visible. We specifically refer to ‘road sharing’ because this is what it is all about: sharing the road by different agents – drivers, commuters, pedestrians, athletes, bikers, cyclists and more. Everyone is responsible for others not just when we are at the wheel of a vehicle

Where does this campaign fall within Express Trailers’ operation? Express Trailers is going through an important phase. From an operations perspective, we are investing in our setup to be able to start expanding internationally. Locally, we have invested in a total facelift of our external yard, our workshops and in our fleet, purposely because we are constantly advocating in favour of safer operations. Bigger operations translate into bigger responsibility to act as a flag bearer for this very important cause because above all, we invest in the right people to become responsible drivers. We are proud to be in this privileged position that allows us to advocate for more safety on the road. All this supports our constant commitment towards safer operations

You refer to your company’s drivers as your brand ambassadors. Why do you think that? Our drivers, the ones driving our orange fleet, take safety extremely seriously. They play an active role in upholding our company’s commitment to safer operations and this is what earned them the right to be our foremost ambassadors on the road. Let us make no mistake about how tough their job is, being on the road all day long whatever the weather and traffic conditions. I make sure that they are constantly being commended not only for their dedication and pride in their job but also for the respect they show on our roads. Therefore, from here, I take the opportunity to salute all our drivers whom I consider as our flag-bearing heroes on the road. And today, besides being our brand ambassadors, they are now being called to be ambassadors for road safety in a campaign which celebrates this collective commitment.

What, in your opinion, does this campaign say about Express Trailers?

When ORANGE STANDS for ROAD SAFETY At Express Trailers, together with all our employees, we have managed to coin our collective brand identity under the tagline WeAreOrange. In our dictionary, today being ORANGE means upholding the highest standards that define us as a brand namely excellence, experience and expertise in all we do and in how we do it.

I feel that this national Road Safety campaign helps us to consciously transmit the differentiating qualities of our Orange brand and the culture it reflects. At Express Trailers, together with all our employees, we have managed to coin our collective brand identity under the tagline WeAreOrange. In our dictionary, today being ORANGE means upholding the highest standards that define us as a brand namely excellence, experience and expertise in all we do and in how we do it. Having said that, although Express Trailers is fronting this campaign, in no way must this be limited to our people, drivers or employees. This is a national campaign because the issue of safety on the road is a national one. Everyone is a road user and, therefore, everyone is being called to act responsibly on the road. On the road, we are all vulnerable and ultimately, we are all being called to contribute to each other’s safety.

feel compelled to commit ourselves to advocate more actively in favour of road safety on Malta’s roads through a national campaign. When I joined Express Trailers as its Chairman and CEO, I found a company that enjoys a very positive track record and widespread respect as a responsible road user. In fact, it was very easy for us to also find the support of Transport Malta and the Malta Road Safety Council who are supporting us in this campaign. Although most of the campaign will be communicated throughout April, road safety is a principle that calls to be respected all year round.

You specifically refer to ‘more responsible road sharing’ compared to the more common notion of ‘more responsible driving’. Although when we think of road safety, we automatically think of drivers who need to drive responsibly,

For more information about the Road Safety campaign, visit www.expressroadsafety.com


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SPINNING SAIL TECHNOLOGY is poised to bring back wind-powered ship Over 200 years after steamships first began crossing the ocean, wind power is finding its way back into seafaring. Global shipping firm Maersk is planning to fit spinning “rotor sails� to one of its oil tankers as a way of reducing its fuel costs and carbon emissions. The company behind the technology, Finnish firm Norsepower, says this is the first retrofit installation of a wind-powered energy system on a tanker.

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et the idea of using these spinning cylinders on ships to generate thrust and drive them forward was first trialled in 1924 – and shortly after disregarded. So why do Norsepower and Maersk think this time the technology will be more of a success? The rotor sail was invented by German engineer Anton Flettner. It is effectively a large, spinning metal cylinder that uses something called the Magnus effect to harness wind power and propel a ship.

lightweight and relatively cheap materials and designs, combined with higher oil prices and the need to reduce emissions, mean rotor sails could now take off. The 240 metre-long Maersk tanker will be retrofitted with two modernized versions of the Flettner rotor that are 30 metres tall and five metres in diameter.

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Two Flettner rotor sails installed onboard a Maersk Tanker vessel. Photo credit Maersk Tankers In favourable wind conditions, each sail can produce the equivalent of 3MW of power using only 50kW of electricity. Norsepower expect to reduce average fuel consumption on typical global shipping routes by 7% to 10%, equivalent to about 1,000 tonnes of fuel a year. The rotor sail project will be the first installation of wind-powered energy technology on this type of tanker. This will provide insights into fuel savings and operational experience and help to reduce their environmental impact. Each rotor sail is made using the latest intelligent lightweight composite sandwich materials, and offers a simple yet robust hi-tech solution, although they could still cost more than 1.6 million euro to install. That is the equivalent of around 5.5% of the cost of a typical used ship of that size, but a significantly lower percentage for a new tanker.

Greener technologies The rotor sails that Maersk will be testing might be its most promising technology yet, but it has also been exploring other efficiency measures.

Shipping is entering a brave new era with accelerating advances in big data, artificial intelligence, smart ships, robotics and automation. Maersk is testing drones to deliver ship supplies instead of traditional barges, special paints on its hulls that would cut down on algae and other microorganisms that increase drag, solar-powered sails, kites that tow a vessel, batteries, and biofuels. What will force more shipping firms to adopt these kind of measures are the new pollution rules that will come into effect at the end of the decade. From 2020, shipping companies will be required to reduce the sulphur content of their fuel, which could come at a significant cost. This potentially makes investment in technologies such as rotor sails much more worthwhile. Wind propulsion for commercial vessels appears to be gaining mainstream industry support and perhaps, in the not too distant future, might even become commonplace. George Aggidis, Professor of Energy Engineering, Lancaster University. This article was originally published in The Conversation, theconversation.com

How does it work? When wind passes the spinning rotor sail, the air flow accelerates on one side and decelerates on the opposite side. This creates a thrust force that is perpendicular to the wind flow direction. Although it takes energy in the form of electricity to spin the sail, the thrust it produces means the engines can be significantly throttled back, so it reduces overall fuel use and emissions. Flettner built two rotor vessels, one of which managed to sail across the Atlantic to New York in 1926. But this modern attempt to harness the wind for ocean travel failed to compete with diesel power. Rotor sails were too heavy and the costs too high for them to yield the expected fuel savings and become successful with shipping operators. But technology improvements and the rise of environmental regulations have led to renewed interest in rotor sails. Wind power firm Enercon launched a new rotor ship in 2008, while in 2014 Norsepower added its first rotor sail to a cargo ship owned by sustainable shipping firm Bore. Promising

Buckau Flettner Rotor Ship


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Photo by Mediacoop Aerial Photography

APRIL 2018

INVESTMENT OF OVER €1 MILLION in oil-spill response

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he recent grounding of the 60m Togo-registered bunkering vessel Hephaestus was a reminder of Malta’s vulnerability to marine disasters. The Maltese Islands lie at the crossroads of the busiest shipping lanes in the world. The effects of an accidental oil spill could have disastrous consequences on the marine environment and could also cripple some, or most of Malta’s reverse osmosis plants, crucial to the country’s potable water supply. According to the Climate Change Adaptation Strategy, it is calculated that should Malta’s current water production sources fail, Malta has only two days of fresh water supply to contend with.

In response to this risk, Port Logistics Operations Ltd invested €1 million in the oil response vessel MV Moor, €100,000 in equipment to contain any oil spills that might occur and a further investment of €10,000 in the training of personnel, enabling the organisation to have a professional, fully-fledged oil response team. Against a backdrop of bunkering vessels on the horizon, PLO’s trainees deploy a long stretch of heavy plastic boom that is used to reduce the possibility of polluting shorelines and to make the recovery of oil easier. Booms help concentrate oil in thicker surface layers so that skimmers, vacuums, or other collection methods can be used more effectively.

PLO Managing Director, Noel Galea, explained that in the eventuality of an oil spill, containment is the first priority. “In the case of a Tier 1 or Tier 2 spill, the response team can be deployed in two hours for the ports of Valletta and Marsaxlokk. In case of spills outside the port, mobilisation time is four hours within territorial waters, excluding Area 3 and Area 6, where a maximum mobilisation time of six hours would be required. In the case of severe Tier 3 spills, substantial external resources would then be needed.” Should an oil spill occur outside territorial waters, these are taken care by the European Maritime Safety Agency. Port Logistics Operations’ oil response team is trained to assist in such operations.


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MALTAPOST – a business partner in e-commerce logistics

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-commerce logistics activity has increased considerably over the past years with both consumers and businesses leveraging on a global market to fulfil their purchasing requirements. In 2012 MaltaPost had the foresight to launch SendOn, a product that knocks down specific cross border delivery barriers which prevailed by offering a UK delivery hub address. Since then, the service has evolved globally to cover USA, Europe and Asia, and has been used by thousands of Maltese online shoppers. SendOn is also a popular delivery medium for business clients

who require consignments of different sizes to be delivered from these regions to Malta in a safe and cost effective manner. Insurance options per consignment are also available for greater peace of mind. MaltaPost’s ecommerce proposition is now being further strengthened by its comprehensive e-fulfilment service – eSeller which caters for the storage, packing and dispatching services to both local and international destinations. Whether you are a seasoned merchant with a high street presence or you are just starting off in the market with an innovative offering, MaltaPost is your ideal logistics partner.

Delivery options abound, from lower cost untracked services to express courier solutions. The Company has recently invested in a nationwide network of 24/7 parcel lockers within 13 locations in Malta and Gozo for the convenience of today’s busy consumers who are rarely at home when deliveries are attempted. With the Easipik network, local businesses can have their clients’ purchases delivered to a parcel locker instead of a home address. On delivery to the Easipik locker, the receiving party will receive a code via sms. Once this is keyed into the Easipik parcel locker’s touch screen the correct locker

will open and the client can collect the item. MaltaPost also leverages its existing nationwide delivery and distribution network to reach any destination or entity across Malta and Gozo and provides bespoke intra-company as well as on-demand delivery services to its corporate clientele.Combining this with its international delivery capabilities MaltaPost offers an unrivalled logistics service at competitive rates. For more information about these services call our Business Relations team on 2596 1720 or email business@maltapost.com

GRIMALDI GROUP – Frequent, Punctual & Fast Innovative Transport

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ith a long experience dating back to 1947, the Grimaldi Group is specialised in the operation of rollon/roll-off vessels, car carriers and ferries. It is a dedicated supplier of integrated logistics services based on maritime transport to the world’s major vehicle manufacturers. Through its maritime services, the Naplesbased Group also transports containers, palletised/unitised cargo and passengers with a modern fleet of more than 120 ro/ro-multipurpose vessels, pure car carriers and ferries, 30 of which built in the last five years. The Group’s presence in the maritime transport of vehicles started in 1969 when it introduced a regular service between Italy and England. The Group rapidly gained the trust of other major car manufacturers who chose Grimaldi’s vessels to transport their production from North Europe to various Mediterranean countries. Throughout the years the Group rapidly developed and it now serves over 120 ports in 50

countries in the Mediterranean Sea, North Europe, West Africa, North and South America. The shore personnel and crew are over 15,000 people. The Grimaldi Group comprises six main shipping companies, including Atlantic Container Line (ACL), Malta Motorways of the Sea, Finnlines and Minoan Lines. The Finnish company, Finnlines, runs a fleet of ro/pax and ro/ro vessels in the Baltic Sea and North Europe, while the Greek ferry company Minoan Lines operates a ro/pax service between between Piraeus and Crete. The Grimaldi Group has also evolved to become a multimodal transport operator offering “door to door” logistics services. For this purpose, it currently operates, together with strategic partners, various car and container terminals totalling over six million sq. metres in the Mediterranean, North Europe and West Africa as well as trucking companies for the transport of cars and containers. In recent years, the Group has also invested in the development of the “Motorways of the Sea” in the

Mediterranean Sea introducing new and modern ropax ferries. Currently, its network covers Italy, Spain, Malta, Montenegro, Tunisia, Morocco, Libya and Greece for the transport of trailers, cars and passengers. The high quality service offered by the Grimaldi Group is egularly awarded by its international clientele such as General Motors, FCA, Ford, Honda and Land Rover. Finally, the Grimaldi Group is the first Italian shipping company to have obtained the SMS, ISO 9001 and ISO 14001 certifications for Safety, Quality and Environment. Moreover, the Grimaldi Group is also the first shipping company in Italy to be awarded the status of Authorized Economic Operator - Complete (AEO-F). The Grimaldi Group, Naples is represented in Malta by Sullivan Maritime Limited. Should you wish to make a booking or require any further information, please visit www.sullivanmaritime.com or call +356 2299 5110.


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