Tag: Czech Republic

Logistics hot spots go East

Posted by | Jun 16, 2008 | |

A European study shows Poland and the Czech Republic are new logistics ‘hot spots’

Retailers looking to improve their pan-European logistics networks should consider countries such as the Czech Republic and Poland, according to new research from supply chain consultancy Total Logistics www.total-logistics.eu.com and logistics property business King Sturge www.kingsturge.co.uk. The study shows that several eastern European countries have overtaken Germany in the race to be the location of choice for European businesses.

The study assessed the relative attractiveness of each country, taking into account such issues as warehousing costs, labour rates and road transport costs.

Kenneth Porter, partner at Total Logistics, said: “Working through a number of different scenarios was a fascinating exercise as it demonstrated the relatively poor performance of Germany from a warehousing perspective, given its central location and otherwise excellent reputation. Even when we factored out the comparatively high cost of labour in the country, Berlin, Bonn and Dusseldorf came out relatively poorly against other cities such as Prague, Warsaw, Katowice and Vilnius.”

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Austrian Post builds up European parcels network

Posted by | May 2, 2008 | |

Austrian Post is poised to make four more acquisitions as it builds up its parcels subsidiary trans-o-flex and the Eurodis international network, adds services and expands logistics infrastructure.

The listed company is currently conducting due diligence on four relatively small parcels and mail companies, three of them in Eastern Europe and one in Western Europe, chairman Anton Wais said at a media briefing in Frankfurt earlier this week.

Austrian Post, which already bought ten companies in 2007, has a budget of EUR 150 million for acquisitions over the next 18 months. During this period, it also expects to purchase the remaining 25pct in German subsidiary trans-o-flex out of this budget for a previously agreed price, Wais added. But it is not interested in acquisitions in Poland or Turkey due to strong competition between major players in those countries, he noted.

The group already has subsidiaries in Slovakia, Czech Republic, Hungary, Croatia, Serbia, Germany, Netherlands and Belgium. The subsidiaries’ established brands will be maintained in the short term, and Austrian Post will start to review group-wide branding in mid-2009, Wais added in response to questions.

Austrian Post currently generates 27pct of group turnover outside Austria. The parcels and logistics division generates 73pct of its EUR 739 million revenues outside Austria, with the bulk coming from Germany. The division’s EBIT margin, which dropped to 1.7pct last year as B2C customers in Austria switched to new entrant Hermes, is targeted to improve to 2-3pct this year and to 5pct in 2009/2010.

The European parcels network will be built around Eurodis, the trans-o-flex partner network covering 21 countries. This currently offers common products and has an integrated IT system, but a linehaul network will not be created.

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DHL Express grows and expands in Eastern Europe

Posted by | Feb 27, 2008 | |

DHL Express is growing its local business and opening new facilities in Central and Eastern Europe to continue its expansion in the region.

In the Czech Republic, its domestic business PPL CZ increased volumes by 28 pct to 15 million parcels in 2007, thanks partly to the launch of B2C services with home deliveries, DHL Czech Republic announced.

PPL extended its network to 13 locations last year with new logistic centres at Humpolec in southern Bohemia and Libeznice near Prague as well as shared facilities with DHL at Teplice and Plzen.

In Slovakia, the express operator last month opened a regional terminal in Zvolen, mid-way between the capital, Bratislava, and the eastern city of Kosice. The facility, which is shared with DHL Freight, will cope with the company’s rising volumes, said country manager Laurenc Svitok.

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TNT applies for EU's new AEO status for priority treatment at customs

Posted by | Jan 24, 2008 | |

TNT NV said it will apply for EU authorised economic operator (AEO) status, which will allow it to receive priority treatment at European customs when agents inspect shipments.

The new standard, launched Jan 1, is accompanied by increased border control, with the aim to increase security in the international supply chain and to modernise EU customs procedures.

The status gives companies the right of access to simplified procedures.

TNT said: ‘The AEO standard is to express carriers what the green ‘nothing to declare’ line is to individual passengers: a fast-moving and formality-light solution. The officials may inspect your luggage, but normally they won’t.’

The company says it is the first of the main express-services companies to apply for the status.

It said its TNT Post unit applied for the status as a pilot in the Netherlands in December, and now its flagship air hub in Liege is applying for AEO status with the Belgian customs authorities.

The European Commission said although each company must apply for the status with each individual country, it only has to complete the paperwork for the first application. The other countries are expected to grant the status without requiring the process to be repeated.

TNT said it will soon apply for the status for its main operations in the Netherlands as well as in Germany, Ireland and the Czech Republic, with all other EU countries to follow by the middle of the year.

The company said it is providing the authorities with a comprehensive self-assessment, which should allow them to process the application within 90 days instead of 300, and expects to receive full EU-wide accreditation by mid-2009.

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Logistics hot spots go East

Posted by | Jan 21, 2008 | |

Retailers looking to improve their pan-European logistics networks should consider countries such as the Czech Republic and Poland, according to new research from supply chain consultancy Total Logistics www.total-logistics.eu.com and logistics property business King Sturge www.kingsturge.co.uk. The study shows that several eastern European countries have overtaken Germany in the race to be the location of choice for European businesses.

The study assessed the relative attractiveness of each country, taking into account such issues as warehousing costs, labour rates and road transport costs.

Kenneth Porter, partner at Total Logistics, said: “Working through a number of different scenarios was a fascinating exercise as it demonstrated the relatively poor performance of Germany from a warehousing perspective, given its central location and otherwise excellent reputation. Even when we factored out the comparatively high cost of labour in the country, Berlin, Bonn and Dusseldorf came out relatively poorly against other cities such as Prague, Warsaw, Katowice and Vilnius.”

“Only when you model a more complex scenario, for instance a UK plus two other warehouse network, do countries such as France and Benelux re-appear.”

The research also highlighted the importance of warehouse design and the differences in understanding between logistics experts and developers when it comes to speculative developments. For example, the report highlights the fact that many developers are taking terms such as ‘cross docking’ too literally by assuming that occupiers with a requirement to cross dock must necessarily have a warehouse with loading docks on two elevations. In reality, most cross docking operations actually involve a U-shaped product flow using a single elevation.

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