Express mail carrier DHL plans to invest 20 million euros in business development in Russia this year, its Moscow offices announced on Monday. The bulk of the money will be put into the building of new customs terminals in Russia’s regions. “Having analyzed the potential of Russia’s market for express deliveries and logistics, DHL has decided to expand its business by developing its capacities,” the statement says.
Read MoreDHL (USA) stated on November 11, 2004, it would spend euro20 mil (USD25.6 mil) next year to build three new processing centers in Russia. It is planned to build a 10,000 square meter, euro9.5 mil euro terminal in the Moscow region, close to Sheremetevo airport (Moscow, Russia) and one each in St. Petersburg and Samara. DHL preferred to leased small-scale warehousing facilies before but lack of supply of large-scale facilities forces it to start new construction. DHL plans operations in Russia will grow by 50percent including 60percent for inter-Russian deleveries. TNT (Netherlands) reported 33percent growth of operations in Russia in 2003 mostly due to logistic services rendered to the top international companies, i.e., Sony (Japan), Lucent Technologies (Korea), and Hewlett-Packard (HP) (USA).
Read MoreIn Russia DHL has been working since 1984. Now it has 100 its own and agent offices in the territory of the country. Turnover of the company in Russia is not disclosed. According to the Russian division of DHL, in 2004 it will transport 3.2 million cargoes including 60% inside of the country. According to Post of Russia, the market of Russian express delivery market is estimated at $200-250 million (some market players estimate it at $500 million), $150 million of this sum being international delivery more than 70% of which is controlled by the “big four”: DHL -45% (DHL estimates its share at 57%), UPS and TNT- 15% each and FedEx – about 4%. In domestic delivery market significant market shares belong to Pony Express and SPSR Express.
Read MoreIn 2005 DHL controlled by Deutsche Post World Net plans to set up its own terminal worth EUR9.5mln with an area of 10,000 square meters in Moscow. Besides, DHL targets to construct terminals in St.Petersburg and Samara. A total of EUR20mln will be invested in these projects. The above-said terminals are designed for receipt and handling of foreign and domestic cargo that will be delivered to Russian regions.
Read MoreRussia’s state-owned Russian Post company has signed a contract with Italy’s Elsag to build the first automated mail-sorting center in the Moscow Region, Russian Post’s General Director Igor Syrtsov said Thursday. The construction of the center would be funded by loans, he said. The center would be able to sort up to 3 million items of mail daily and would service the city of Moscow and the Chukotka Autonomous District, as well as the Moscow, Tver, Ivanovo, Kostroma, Ryazan, Tula, Vladimir, and Kaluga Regions.
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