SDVLIVE NewsLetter No 10_EN

1
Edition N° 10 / June, 2014
SDVLIVE.com
CONTENTS
SDV news - P.3
SDV insight - P.5
Keeping Cool
Brazil’s World Cup Challenge
Investing in Myanmar
air & sea trends - P.7
Market Focus - P.8
Brazil
EDITORIAL
Bringing value to our client solutions
SDV’s mission is to help clients boost their
competitiveness through high value-added logistics.
How does that work in practice?
Improved cash flow through optimized customs
management.
More reliable supplies thanks to real-time
visibility of orders.
Increased reactivity to meet customer demand
by customizing products on distribution platforms.
Reduced carbon footprint with the implementation
of an environmentally-responsible logistics
network that contributes to corporate social
responsibility.
These high value-added solutions demonstrate
our commitment: to take into account the growing
complexity of the international supply chain, to
develop new services, to anticipate the evolving
needs of all our clients and to constantly seek
improvements.
SDV’s innovation pledge is based on a worldwide
network of experts, on women and men with new
ideas who are committed to results, as well as on
a technologically-advanced information system
offering visibility and total mastery of the supply
chain.
Herbert de Saint Simon
SDV CEO
SDV NEWS
3
SDV Project Benelux: Handling windmill blades and tower sections at zeebrugge
SDV and Bolloré Africa Logistics
are launching Speed to Africa
Find out more on sdv.com about our new communication tools
dedicated to the industrial projects and the Save Program
01.07.2014
Speed to Africa, a service run between Europe and Africa, is offered
through SDV worldwide and in Africa through Bolloré Africa Logistics.
Both companies being part of the Bolloré Group.
Thanks to this service, SDV meets the growing demand for urgent
delivery to Africa. It offers also a safer and faster supply chain solution
to SDV’s European industrial customers that casually face critical
situations in their export flows.
Bolloré Bluecars in Indianapolis
SDV Creates a Subsidiary in Hungary
04.04.2014
Present in Romania, Czech Republic and
Poland, SDV is expanding its network in
Hungary, a key central European country with
a population of 10 million and a member of the
European Union since 2004.
SDV Hungary has been set up in partnership with
Airmax, SDV’s exclusive agent since 2007.
The joint venture contract was signed in March
28, 2014 in the presence of Mr. Herbert de Saint
Simon, CEO SDV and Mr. Gabor Turu, CEO Airmax.
Speed to Africa, the End-to-End service from all European countries,
combines the performance of a global integrated network and a broad
freight forwarding expertise in order to guarantee the quickest possible
delivery to more than 20 countries in the sub-saharan Africa.
Our current organisation provides a service round the clock thanks to
strict pre-set processes and operating mode following the approval of
the customer. A dedicated line is handling all the requests promptly
and confirmes the transport plan within the hour. At the airport, urgent
deliveries receive top priority, boarding on the next available flight
while customs clearance is completed beforehand. Pre-alerts are sent
regularly to the customer until the confirmation of the delivery.
In Africa, the chain of services keeps going uninterrupted: The
shipment is managed by Bolloré Africa Logistics that handles all
administrative formalities together as customs clearance, it also
provides delivery to the end-customer and last but not least, as a key
feature of the service, it feeds our tracking system, LINK, to guarantee
the efficient follow up of all operations from end-to-end.
“Beyond its development strategy in Central
Europe, SDV has the ambition to accompany
its customers in the Hungary’s booming
pharmaceuticals, aerospace and telecoms
sectors in which, SDV has developed a worldrenowned expertise”, said Henri Le Gouis, CEO
of SDV Central & Western Europe.
Located in Budapest, SDV Hungary relies on
Airmax for its knowledge of the local air and
ocean market as well as on the agent’s logistics
capabilities, particularly in the pharmaceuticals
sector for which it operates a 1200 sqm
temperature-controlled warehouse.
SDV Kazakhstan participated in KADEX 2014
SDV Chartered Two Helicopters for the Airbus Helicopters Demo Tour in Asia
Success of the OTC 2014 in Houston
09.06.2014
The 2014 Offshore Technology Conference (OTC) was held from May 5
to May 8 in Houston, Texas. Founded in 1969, the OTC is the world’s
foremost event for the development of offshore resources in the fields of
drilling, exploration, production, and environmental protection. The event
had 2,568 companies representing 43 countries.
Every year, this is the occasion for the Group’s Oil & Gas teams from all
over the world to get together and meet with the largest names in the
industry. This year, the SDV and Bolloré Africa Logistics visitors came
from Europe, Asia-Pacific, Africa and the Americas.
SDV Houston hosted a variety of events during the OTC week such as
internal training sessions to discuss the different phases of the Oil & Gas
industry and the OTC client luncheon to which some of SDV’s largest
customers were invited. Various speakers respectively presented the
complexity of the import procedures in their region and how our group is
able to overcome them. On the last evening of the OTC, SDV hosted its
annual cocktail party with participation from over 150 clients and prospects.
Also in the news
02.04.2014 - Earthtalent
by Bolloré – Commitment
to Solidarity and Women
Empowerment at
SDV Bangladesh!
08.04.2014
SDV and C.J.
PATEL signed
a Joint-Venture
Agreement
08.05.2014 - SDV
Participates in the
Breakbulk Europe
Conference &
Exhibition 2014
15.05.2014
SDV First-Ever Company
Certified in Timor-Leste
(ISO 9001:2008,
ISO 14001:2004
et OHSAS 18001:2007)
02.06.2014
SDV Kazakhstan
Participated in
KADEX 2014
13.06.2014
SDV Chicago &
SAGA Transport
the First Bolloré
Bluecar to
Indianapolis
On SDVLIVE.com
SDV Deploys Manhattan Supply Chain Commerce
Platform to Drive Service Improvements and
Growth for Cosmetics Industry Giants
SDV Supports Sephora’s Expansion
within Asia Pacific
04.06.2014
04.06.2014 - Sephora is a French chain of perfumes
and cosmetics stores owned by Louis Vuitton Moët
Hennessy (LVMH) and that operates approximately
1,700 stores in 30 countries.
SDV provides transport and logistics solutions for
this prosperous brand in Singapore, Malaysia and
Thailand since 2013. SDV Australia has just signed
up an agreement with Sephora in June 2014 and
will be operating a 370-sqm distribution center as
of August. Focus on Sephora’s private label and
exclusive brands, those products are shipped from
France, Italy and the USA to our Distribution
Centers and then are distributed locally.
SDV’s logistics activities include the Value-added
services such as FEFO (first-expired, first-out)
picking, labeling for local market, anti-theft tags…
Distribution services: SDV Thailand delivers directly
two stores in Bangkok whilst SDV Singapore serves
ten stores in Singapore and six in Malaysia. The
warehousing under air conditioned storage and the
reverse Logistics for the local market.
The sales forecast are very positive as Sephora
has recently joined ZALORA.COM, Asia’s leading
online fashion destination.
SDV INSIGHT
5
SDV collected 760,000 doses of influenza vaccine from Germany and loaded them into 19 Envirotainers
OTHER ARTICLES
South Asia
Attracts More
and More
Buyers
Fast Aid:
Overcoming
Logistical
Challenges
During Aid and
Relief Operations
Aberdeen:
A Global Hub
for the Oil &
Gas Industry
Timor Leste:
The Private
Sector is
Helping Job
Creation in this
Young Nation
Trade agreements
and infrastructure
projects facilitate
trade with
Colombia
The Risks of
Just-in-Time:
Lean inventory
model puts supply
chains under
pressure
Laos is
Booming
Long Road to
Wind Power:
The difficulties
of shipping huge
wind turbines
On SDVLIVE.com
Keeping Cool
26.06.2014
The world’s importers and exporters
are increasingly using refrigerated air
containers to transport temperaturesensitive pharmaceutical products
“A reliable cold-chain logistics solution is
critical, especially for life-saving products
such as plasma derivatives”, says Jaspar
Lim, senior quality manager at SDV in
Singapore.
Any breaks in the cold chain can also
be costly, with some containers carrying
expensive medicines worth up to 1.5 million
euros, adds Emmanuel Petrequin, SDV’s
regional healthcare manager for Asia Pacific.
But transporting these are frigerated
containers around the globe requires
special training and procedures, with
the top freight forwarders boasting
accreditation from container manufacturer
Envirotainer itself.
One recent SDV operation illustrates the
complexity of transporting vaccines in
Envirotainers. In March, SDV collected
760,000 doses of influenza vaccine from
Germany for one of the world’s leading
biotechnology companies and loaded
them into 19 Envirotainers. The cargo
was then flown to Bangkok in Thailand
and reloaded into four refrigerated freight
containers known as reefers. They were
then trucked to Laos while maintaining
the temperature at between two and eight
degrees Celsius. In total, the journey took
14 days under a 35° C-ambient temperature.
The QEP initiative fits within SDV’s goal
of excellence in cold-chain management.
“In the current competitive environment,
it’s not enough to provide a statement of
compliance. Obtaining QEP accreditation
shows our desire to stay ahead of the
pack”, says Jaspar Lim, who trained the
SDV divisions in Singapore, Hong Kong
and Melbourne, Australia and helped them
receive the QEP accreditation.
SDV, for example, as part of its quality
programme, received accreditation as a
Qualified Envirotainer Provider (QEP) in
Europe and Asia this year.
In Europe, meanwhile, the SDV warehouse
at Charles de Gaulle airport in Paris has
received QEP accreditation and Brussels,
Amsterdam, Frankfurt and Zurich should
follow before the end of the year, says
Damien Martinez, SDV’s healthcare
quality coordinator for Europe.
“QEP continues SDV’s globalization and
our growth in the pharmaceutical industry”,
says Brice Bellin, SDV’s regional healthcare
manager for Europe.
“There are few active cold-chain solutions
for pharmaceutical products such as
vaccines and biopharmaceuticals and we
have to be among the top performers”.
Investing in
Myanmar
24.06.2014
SDV Strengthens Operations in South East Asia by Creating SDV Myanmar
Brazil’s World Cup
Challenge
14.05.2014
Brazil faced a race to complete and equip its stadiums in time for the FIFA
World Cup opening ceremony in the Arena de São Paulo, held in June12.
In particular, the import and distribution of the materials needed for the
Brazilian stadiums is made more complicated by the fact that the 12
stadiums are scattered over this vast country.
It takes for example over three hours to fly the almost 3,000 kilometres
between Rio de Janeiro, home of the Maracanã Stadium where the final
matches will be held, and Fortaleza, that houses the Castelão Stadium.
One operation by SDV gives a glimpse into the complex logistical
challenges. SDV was tasked with shipping 200 containers of metal
structures used in the construction of hospitality areas in five of the
stadiums.
The equipment had to be collected from countries including the United
Arab Emirates, France and the U.K. It then had to be shipped by ocean
freight to Brazil and delivered to stadiums in São Paulo, Rio de Janeiro,
Belo Horizonte, Natal and Fortaleza.
The operation started in February this year and finished at the end of May.
“Our biggest challenge was managing the delays to the schedule”,
says Eduardo Rampani, managing director of SDV Brasil in São Paulo.
“We initially planned to deliver the containers directly to the stadiums
but construction delays meant we had to find warehouses near all five
stadiums until they were ready”.
In addition, no container ships sailed directly to the northeastern ports of
Fortaleza and Natal from France and the U.K. in time to meet the FIFA
schedule. That meant that the containers, weighting 23 tons, had to sail
to the Port of Suape, some 600 kilometers from Fortaleza and some 400
kilometers from Natal, and travel by truck from there.
For decades, Myanmar remained isolated from
the world under its military rule. That changed two
years ago when Myanmar’s new government,
initiated a wave of political and economic reforms,
including a more favorable foreign investment law.
In total, the Myanmar government has authorised
707 foreign companies to operate in the country,
according to the Directorate of Investment and
Companies Administration. By value, most
investors come from China, followed by Thailand,
in sectors including oil and gas, mineral extraction,
transportation and telecoms.
“Myanmar used to be the pearl of Asia and it
has the potential to regain that role”, says Julien
Loiret, general manager of SDV in Yangon, the
commercial capital. “It has historical expertise
in textile manufacturing and is starting to attract
European groups such as Celio (France), Max
Mara (Italy) and Hennes & Mauritz. (Sweden)”.
To accompany this growing demand from foreign
companies, SDV received its licence to operate
in Myanmar at the end of 2013 and officially
opened its office in Yangon in May.
Since then, SDV has built expertise in
understanding and managing the administrative
hurdles to doing business in Myanmar. It can
also advise and assist clients when they need
to obtain their own licenses and trade
authorizations.
“This sudden and rapid opening of Myanmar to
the world is creating numerous opportunities for
investors and international trade”. But
bureaucratic processes remain challenging and
complex”.
Companies that are not extremely careful and well
prepared can find themselves in difficult situations
causing considerable delays and additional costs
or penalties. It’s vital, therefore, that companies
pay attention to the details and act in total
compliance to overcome all the administrative and
operational challenge.
The importance of forward planning means
that SDV interacts with its customer as early as
possible. It also advises and guides them as well as
assisting them throughout the shipment process.
SDV Myanmar, thanks to its local knowledge and
its specialist expertise in oil and gas, telecoms and
garments can help companies have a positive and
productive experience in Myanmar.
Despite the geographic and logistical barriers, deliveries were on
schedule and within budget thanks to SDV’s flexibility, creativity and local
knowledge.
SDV Vietnam moved 500 tons of mineral on a barge
from Da Phuc port to Cai Lan port, 100 km away.
AIR & SEA TRENDS
EUROPE GOES STRONG
manufacturing industry moving between Japan and Europe”,
says Sanguinetti. “This is a new way for companies to
manage stocks”.
27.06.2014
The air and sea freight carriers are reacting to the
challenges of overcapacity in different ways. The airline
industry is parking or scrapping its older, fuel-guzzling
Boeing 747-400 cargo freighters but adding widebody
passenger planes such as the Boeing 777s which have
cargo capacity of 25 tons, the same as a small freighter, says
Van Hove.
“The airlines have replaced the old cargo freighters with
passenger planes of the same capacity so that has not
solved the problem”, he explains.
Economic growth leads to more exports from Europe to Asia
While growth on the world’s busiest trade routes from Asia to Europe
has slowed compared to highs of previous years, exports from
Europe to Asia show continued strength in both the air and ocean
freight markets as Europe emerges from its longest-ever recession.
“For the first time in a decade, growth in exports from the
European Union to Asia is getting close to the growth in exports
from Asia to Europe,” says Georges Van Hove, manager of
airfreight procurement at Bolloré Logistics in Paris.
He cites figures from the International Air Transport Association
showing that European cargo carriers enjoyed 5.1 percent
growth in March compared to the same period in the previous
year, measured by freight-tonne-kilometers. That compares
to the 6.8 percent increase recorded by carriers in the Asia
Pacific.
It’s a similar story in the ocean freight market. Denis Sanguinetti,
sea freight procurement manager for Bolloré Logistics in Paris, sees
sales of European luxury goods, pharmaceuticals and machinery
as well as exports of products in refrigerated containers known as
reefers as helping drive the rebound in European exports.
“The trend started at the end of 2012 and looks like continuing”,
Sanguinetti says.
Despite the pick-up in demand, however, both the air and sea
markets are still suffering from overcapacity, with the air freight
market in particular also facing a shift by clients to cheaper
ocean-container routes. Van Hove estimates that over 400,000
tons of cargo has switched from air freight to sea freight since 2005
with the most pronounced shifts on routes from Europe to Asia and
Europe to the U.S.
The increasing use of reefers is helping drive this change,
says Sanguinetti, estimating that reefer cargo globally has
enjoyed double-digit growth this year. From fruits and flowers
to pharmaceuticals and wine, almost all sensitive cargo can
now be shipped in temperature-controlled boxes, he adds.
Spare parts are another product switching to sea cargo as
companies move towards the just-in-time model where they
reduce their stocks and receive the goods only when they are
needed. “We have floating stocks of spare parts for the car
The shipping companies are opting for mergers and
alliances, although one of the biggest, called the P3 Network,
was recently stopped by China’s Ministry of Commerce
Under this agreement, Denmark’s AP Møller-Mærsk,
France’s CMA CGM and Switzerland-based Mediterranean
Shipping Co would have shared capacity on routes between
Asia and Europe and across the Atlantic and Pacific oceans.
“The trend towards more alliances remains despite the end
of the P3 Network,” says Sanguinetti, citing the recentlyextended G6 Alliance between APL, Hapag-Lloyd, Hyundai
Merchant Marine, Mitsui O.S.K. Lines, Nippon Yusen Kaisha
and Orient Overseas Container Line. In addition, Taiwanbased carrier Evergreen has joined the alliance between
Asia-based carriers Cosco, K Line, Yang Ming and Hanjin
to form the CKYHE alliance. German container shipper
Hapag-Lloyd and Compania Sud Americana de Vapores
of Chile, meanwhile, have agreed to merge some of their
services on routes between the U.S. and Europe. For freight
forwarders such as SDV, the new groupings will mean
rethinking the shipping lines they work with. “Our strategy
is to have a diversified offer for clients”, Sanguinetti says.
“Inevitably, the new alliances will reduce some of our options”.
For now, however, Sanguinetti thinks the alliances will do
little to stabilize container prices. “Globally, the market still
suffers high volatility”, he says.
For airlines, fuel surcharges on chargeable weights are
helping raise tariffs slightly, says Van Hove, but for now not
all airlines are applying the extra charges. “In high volume
markets such as luxury goods coming from Italy, clients are
naturally asking for airlines that still use the traditional way of
calculating fuel surcharges on gross weight”, he says.
7
MARKET FOCUS
8
BY SDV BRAZIL
1
2
3
4
Brazil is Latin America’s biggest economy and the
21.02.12
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SDV Celebrates its 40 Anniversary!
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Additionally to the traditional Freight Forwarding
operations (Air and Ocean), SDV Brazil is also a
provider of Customs Brokerage and Warehouse
Management services.
1 - Import and delivery of 30 Robots (Anti-Bombs) to Brazilian’s Government;
Each Robot required 4 shipments (spare parts, batteries, AMMO).
2 - Export from GE Brazil to Vale Mozambique (Maputo)of 20 railways bogies.
3 - Import and delivery of 200 containers with metal-structure and supplying materials
for 5 stadiums for the FIFA World Cup 2014.
4 - Export of 110 Volkswagen chasis, from Brazil to Nigeria. Total weight of 680 tons for 4,630 CBM.
5 - Shipping of 710 pipes from Vallourec (Brazil) and 277ones from Anadarko Petroleum
(USA), total weight 1,000tons, from Rio de Janeiro port to Abidjan.
6 - SDV Itajubá: Warehouse dedicated to the aerospace industry, used by Helibras,
a Airbus Helicopter company..
KEYCONTACTs
CONTACTS
KEY
Stéphane Armand
Eduardo
Rampani
Director
Pacific
Managing
Director
Tel: +61
(2) 8336 3906
Tel: s.armand@sdvasia.com
+55 11 3897 8415
e.rampani@sdvbrasil.com.br
Cédric Chupin
Tatiane
Menin
Sales
Director
Australia
Brazil
Sales
& New Zealand Manager
11 3897
8422
Tel: Tel:
+61+55
(2) 8336
3992
t.menin@sdvbrasil.com.br
c.chupin@sdv.com