Tag: DHL

Kraft selects exel to provide warehousing services in Brazil

Exel, an important part of DHL Logistics in the Americas, has been selected by international food and beverage company Kraft Foods to provide warehousing services for the company’s ambient and temperature-controlled products in Brazil.

Exel will provide yard management, inventory control, invoicing, shipping, lot control, receiving, storage and scheduling services at Kraft distribution centers in the Brazilian cities of Louveira, Sao Paulo, and Araucaria, Parana.

The new locations opened in late 2006 and employ more than 280 from the Louveira and Araucaria areas.

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Lufthansa Cargo summer schedules: More frequencies and new destinations

Lufthansa Cargo is increasing its freighter frequencies to Dallas, Sao Paulo and Shanghai in the summer timetable. New destinations in the summer flight schedules are Lahore and a direct connection from Cologne through East Midlands (UK) to Wilmington (USA). Cargo customers will also benefit from changes bearing on airfreight in Lufthansa passenger services.

In the freighter timetable, Lufthansa Cargo is raising frequencies to Dallas from two to thrice weekly. Sao Paulo will be served by six flights weekly from Frankfurt. Frequencies to Shanghai will be increased from eight to nine weekly. Changes are also forthcoming in traffic days to Los Angeles. In the summer flight schedules, Los Angeles will be served twice weekly – on Wednesdays and Saturdays.

Lufthansa Cargo is, moreover, operating scheduled flights in summer to and from Lahore in Pakistan. These services will be laid on ex Frankfurt, on Tuesdays and Thursdays, in combination with Bangkok. New in the timetable is a direct connection from Cologne through East Midlands to Wilmington. This service will be operated within the framework of the existing intercontinental joint venture with DHL.

The summer timetable is valid from 25 March to 27 October 2007.

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Fast, reliable services spur worldwide demand

Global courier firm DHL Express (Malaysia) Sdn Bhd said one of its
customers, a multinational information technology (IT) firm, has seen its
freight shipped via express services grow at double-digit rates since
2003.
“This particular client now uses express delivery for 80 per cent of
its total shipments,” it told Business Times.
The firm currently operates a regional hub in Penang, dealing with
spare parts procurement and fulfilment as well as repair and return
services for the Asia-Pacific region.
“Because of the high value and importance of their shipments, their
spare parts and repair and return items are on a tight Service Level
Agreement.
“This means that we and the client have an agreement which guarantees
certain delivery requirements.
Shipments must be delivered within an
agreed time-line, failing which we are responsible for any delay,” DHL
Express said.
The firm’s shipments comprise IT goods, electronics, machines and
parts. Eighty per cent are destined for overseas markets and the
remaining 20 per cent for local delivery.
Like this firm, more and more companies globally are turning to express
services for their delivery needs as express operators are able to
provide guaranteed, fast, reliable, on demand, worldwide, integrated,
door-to-door movement of shipments which are tracked and controlled
throughout the journey.
Express services are the “Business Class” of cargo services, says
Oxford Economic Forecasting in a report released in 2005.
“The express industry is one of the world’s fastest-growing sectors –
since 1998, its growth has been more than twice that of the global
economy as a whole. It is expanding particularly rapidly in the
transition and emerging market economies,” the report said.
The report estimates that the industry globally will grow by an average
of 8 per cent per year in real terms between 2003 and 2013. Direct
employment in the express industry is also expected to increase from 1.25
million now to 2.1 million by 2013, if it is unconstrained.
The industry is expected to support almost 4.5 million jobs by 2013,
said the report.

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DHL Express (Malaysia) aims to increase its market share

DHL Express (Malaysia) aims to increase its market share by another one to two per cent by end of this year.

It currently leads the local express delivery market with more than 40 per cent market share.

Its plans for the year include doubling the number of DHL Servicepoints to six by end-2007, from the present three Servicepoints in Bangsar, SS2 and Menara Axis.

The three new Servicepoints will be set up in Penang, Johor Baru and the Klang Valley. With these Servicepoints, customers can easily pick up or drop off packages.

The service centre has a built-up cost of RM21 million and features, among others, a fully automated material handling system.

With the new service centre, DHL can sort 5,000 packages a day compared with 3,000 packages a day previously and “still have lots of room to expand”, Sam Leong (Country Manager) said.

DHL Express Malaysia is also looking to introduce more routes for its customers.

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Express growth in Malaysia

Although it makes up only a small portion of cargo traffic, the express delivery service is generating substantial worldwide employment and revenue.

This industry is expected to grow faster than its counterparts in other cargo sectors – air and ocean – between now and 2010.

The International Air Transport Association (Iata) has estimated that the global air cargo will grow at an average of 5.3 per cent for the 2006-2010 period, while ocean freight is expected to increase by 7.2 percent.

But Teong said the local express delivery industry will grow at an average of 10 per cent per year, and is expected to continue to expand rapidly as the country becomes more developed.

Local courier firm City-Link Express (M) Sdn Bhd, for one, expects its 2007 revenue to grow by 10 per cent, while GD Express Carrier Bhd (GDEX) sees its revenue growing in the range of 20-30 per cent.

Revenue growth of global express firms such as DHL Express, meanwhile, is expected to outpace the industry average. Its Malaysian operation has been registering a growth of 15-20 per cent in revenue in the last few years.

Recognising the lucrativeness and potential of this industry, Malaysia Airlines’ air freight unit, Malaysia Airlines Cargo Sdn Bhd, is working on introducing an express delivery product this year.

There are currently 114 licensed express delivery players in Malaysia. The market is led by the four major foreign players – FedEx, UPS, DHL Worldwide Express and TNT, which combined capture a 60 per cent share of Malaysia’s RM1 billion express delivery business, with the rest coming from local courier players. “The top 10 players already have a 95 per cent control of the market. The other smaller players only offer despatch services,” Teong pointed out.

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