FIATA Review No. 108

FIATA REVIEW
Magazine of the
International Federation
of Freight Forwarders
As­so­ci­a­tions
No. 108, July 2015
Ethiopia – Unprecedented Economic Growth
Dubai – RAME Field Meeting Turns Up The Heat
Team Zimbabwe – A Force To Be Reckoned With
UIC and FIATA are pleased to announce the seventh edition of the Market Place
Seminar that will be held on 24–25 September 2015 in Antwerp, bringing together
railway undertakings, terminal oprators, freight forwarders and customers. This year
the Market Place Seminar will focus on Rail Crossroads
Day One – Thursday 24 September 2015
13:00–13:30Registration
13:30–14:00 Opening and Welcome
14:00–15:30 Conjunction between sea and rail
Moderator: Ivan Petrov
15:30–16:30 Coffee break: networking
16:30–18:00 Terminal operations – Moving forward
Moderator: Mark Huybrechts
18:30–19:15 Welcome Reception Antwerp City Hall
Grote Markt 1, 2000 Antwerp
19:00–23:00 Dinner at Restaurant Pelgrom
Pelgrimstraat 15, 2000 Antwerp
Day Two – Friday 25 September 2015
09:00–10:30 Rail connections – green light for hinterland traffic
Moderator: Hans-Günther Kersten
10:30–11:30 Coffee break: networking
11:30–13:00 Effects of digitalization on Logistics
Moderator: Johan Gemels
13.00–14.00Lunch
14:00–17:00 Port tour by bus
Seminar overview
Venue: Languages: Social event: Fee: Hilton Antwerp Old Town, BE-2000 Antwerp/Belgium
English
Networking dinner on 24 September 2015
EUR 290.00 per person
We look forward to meeting you,
The Organizing Team
www.marketplaceseminar.org
CO-host
Co-operation
partners
Sponsor
FIATA REVIEW NO. 108, JULY 2015
3
Contents
Editorial
5 From the President’s Desk
News
6 Team Zimbabwe: A force to be
reckoned with
8 Enlarged Working Group
UIC/FIATA on Rail Transportation
10 Just when you thought Dubai couldn’t get any hotter – FIATA’s RAME event turns up the heat
14 Contemporary Challenges to the Freight Forwarders’ Community
16 ALACAT 2015 Congress
Honduras: The heart of logistics for the world
20 2015 FIATA World Congress
Golf Tournament
21 FIATA members celebrate Long
Service Anniversaries
Country Report
12 Ethiopia – One of the World’s
Fastest Growing Economies
Personally
19 Meet David Phillips
Vice President of FIATA
Here & There
22 New to the FIATA Secretariat –
Lanlan Gu
Happy Birthday!
Agenda
23 Forthcoming Events
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Ethiopian street market at Hawzen,
southern Tigray region, EthiopiaPhoto 123RF
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FIATA REVIEW NO. 108, JULY 2015
5
F rom the P resident’s D esk
Dear Colleagues and Friends
T
arena and promises to become more and
more meaningful also in terms of the advocacy work of FIATA. Let me also mention
the article about the International Freight
Forwarders Day in Odessa, considering we
all know the Ukraine is a country where
logistics continues despite the situation of
unrest at the eastern border.
his FIATA Review appears after
the regional meetings have taken
place both in Africa and in Asia.
Let me tell you they have been the most
successful ever in regards of the number
of participants. ALACAT was also a trove
of opportunities for making friends, for
refreshing long standing friendships and For golfers, do not miss the Golf Tourbusiness contacts. All these meetings are nament sponsorship at the Congress in
aptly covered in the Review with indi- Taipei, it will be a ball! Speaking of golf,
vidual articles. This is the test paper of the if you have not met David Philips on the
more proactive role FIATA is taking in green you may wish to read his interview.
reaching out to its members, all across the Well done, mate!
board, training, airfreight, multimodal,
security, Customs: what an agenda!
Let me go back to the Congress, this is our
portrait in the parlour. I have sent an inviNow, whilst we are all preparing for a tation to all my peers in their associations
memorable Congress in Taipei starting to strongly promote the Congress. It is not
on Sep 8th we can read the Review, which only a business opportunity, as it should
features some juicy content: an article be, assisted by state of the art networkabout the TOT in Zimbabwe, where the ing tools, but it is also the big workshop
Foundation has spread its wings in sup- where our advocacy mission is discussed,
port of our sector. We have a complete displayed and promoted. This year we
report on the UIC/FIATA Meeting in have the elections of officers and the proVienna, which signalled the importance of posals for the Future of Fiata on the table.
transcontinental corridors between Asia This is a meal nobody can afford to miss.
and Europe.
See you all
in Taipei
We have an important contribution from
in September,
Ethiopia, a country which is prominently
safe travels!
projecting itself onto the international
6
News
Team Zimbabwe: A force to be
“We realize that a new battlefield has
emerged that goes well beyond the manufac-
implement strategies that meet supply
chain demands.
light the daily support of my classmates,
both in the good times and the bad.”
Mr Thomas Sim acts as Master Trainer
for FIATA’s Foundation Vocational Training. He is forthcoming and stimulates
students with his leadership, passion and
teamwork. The general feeling at the
end of the two-week programme was
that of belonging – belonging to a team,
belonging to an international federation,
belonging to an industry. And we know
that a team is more than the sum of
its parts. It cannot be understated how
important a great team is to a project’s
success. All 34 ToT participants learned
that team-building often seems as complicated as watchmaking or playing in an
orchestra – there are a lot of moving parts,
and things have to be just right in order to
create something magical. In the end, the
Zimbabwean ToT Class of 2015 achieved a
collaborative group dynamic. Let us listen
to their voices:
I learned how to develop a lesson plan and
plan strategically to have clear objectives
and deliverables when I am training. I feel
that I am now able to interact with my
learners in a beneficial way. They will learn
much better because they have a capable
trainer that feels part of the whole. I just
wish the ToT were two weeks longer so
that I could learn even more about supply
chain management.”
turer vs manufacturer, distributor vs
distributor, and retailer vs retailer
competitive arenas of the past.
The battle commands of today are flexibility,
speed, and productivity, all amplified by
the winds of consumer-demand. The new
competitive realities are causing suppliers,
manufacturers, wholesalers, and retailers
alike to rethink their strategic initiatives
with their supply chain partners.
In this hyper-competitive 21st century world
of supply chain survival, service excellence
becomes the minimal requirement to play
the game”.
“The ToT was excellent. The facilitators
and my colleagues made sure I understood
everything and clarified each and every
one of my questions, mainly on andragogy,
sea transport and legal matters. I felt that
asking questions was easy and never felt
ashamed to ask. Let us keep up the good
work as the great team we are!”
Thomas Sim, ABVT Chairman, opened
the Train-the-Trainer Programme conducted in Harare, Zimbabwe from April
29th to May 14th, 2015 with these words,
thus setting the competitive and motivating tone that would accompany course
The course helped future trainers idenparticipants from beginning to end. His
tify their strengths and weaknesses and
words explain why the capacity-building
endeavours of the FFVT are so impor- “I opened my mind to different perspec- be effective public presenters and trainers.
tant – the world is changing and freight tives and on the way I learned a lot of This quality is important for industry
forwarders need to adapt to this change. new relevant information. I can now say players to offer value both upstream and
From the traditional role of acting as the I have in-depth knowledge of the freight downstream of the supply chain, relievintermediary between carriers and buyers, forwarding industry as well as andragogy, ing their customer to focus on their core
the freight forwarder needs now to be a and my presentation skills have greatly competences. Along these lines, at the
partner that helps customers create and improved. But above all I’d like to high- Opening Ceremony, the Zimbabwe Rev-
The broad international representation of the TOT
FIATA REVIEW NO. 108, JULY 2015
7
reckoned with
Women at work: Zimbabwe TOT participants together with Ms Verena Schaer
enue Authority Commissioner H. Kuz- jective of elevating standards of the freight appropriately, and maintain interest and
vinzwa said: “This achievement alone forwarding and logistics profession in the dispel confusion. In the ToT, we got to
is proof and indicates a step toward our Zimbabwe and the Southern Africa region. watch an experienced instructor teach and
willingness to keep ourselves abreast with
then practice teaching segments to other
international best practices; norms and The ToT helps groups of experienced participants.”
standards that will keep you relevant industry practitioners to develop their
and competitive through investing in knowledge and skills to become trainers. The FFVT will continue to promote ToT
knowledge enhancement.”
Combining the development of generic courses in developing countries with the
training skills with course-specific famil- aim of increasing knowledge, improvThe ToT includes a strategic planning iarisation, it enables experienced teachers ing human resources in the industry and
session at the end. The Shipping and For- to provide training on the 14 Minimum producing better outcomes. Projects in
warding Agents Association of Zimbabwe Standards defined by the ABVT. All Cameroon, Morocco and Central America
-SFAAZ- will be training on behalf of 34 members of the Zimbabwe Class of are in the planning stage. With those
FIATA in Zimbabwe certifying students 2015 are now able to present informa- future participants, we share these words
with the FIATA Diploma in Freight For- tion effectively, respond to participant said by a Zimbabwean participant:
warding. SFAAZ is also planning ahead: questions, and lead activities that rein“We have serious intentions of going into force learning. They know how to direct “Confidence as a trainer comes from the
the region and other countries which do learners to supplementary resources and knowledge that you are well prepared in
not have the capacity that we have. We are reference materials, use ice-breakers, lead your topic and the resources you’ll use to
offering the FIATA Diploma and we are discussions, listen effectively, make accu- present your information. Confidence is
hoping to introduce the Higher Diploma rate observations and help learners to link also understanding that an effective trainer
in Supply Chain Management next year,” training to their jobs. In this context, one is someone who presents in a professional
stated SFAAZ Chief Executive Officer Jo- participant mentioned: “I am very happy manner, is an effective communicator and
seph Musariri. Clearly, this training event to have attended this ToT. I learned to has developed an awareness of the learning
will mark the beginning of a series of maintain eye contact, maintain a positive needs of their learner group. Confidence is
professional training courses with the ob- attitude, speak in a clear voice, gesture being part of a team.”
8
News
Enlarged Working Group UIC/FIATA
Preamble
Last year in Istanbul the Working Group
took the decision to expand the scope of
the FIATA Working Group Rail Transport
as well as of the Permanent Contact Group
UIC/FIATA to the Asian continent and
its links to and from Europe.
China plays an important role in rail transportation and over recent years, rail traffic
between Asia and Europe has become
increasingly popular. Urumqi has been
developed as the Chinese platform for this
rail traffic. At this stage a maximum of
5% of Chinese exports to Europe can be
transported by this route (due to capacity restrictions, transport prices, etc.) and
therefore it still must be regarding as a
growing and important niche market. For
the time being 0.5% of the goods flowing
between Asia and Europe are transported
by rail. The potential for growth in goods
moved by rail is huge.
Working Group UIC/FIATA
in Vienna
In his opening speech Mr Francesco Parisi,
FIATA President, pointed out that FIATA
represented the interests of the freight forwarding and logistics industry worldwide
and that it was important for FIATA to
work together with other organisations
that represented the industries of different
modalities of transport of goods too.
There are further reasons why FIATA
considered strengthening its ties with the
UIC:
• Rail transport is the modality which is
currently seeing huge investments to
increase capacity worldwide,
• It is difficult for Small- and Mediumsized Enterprises to approach rail transport, and
• Rail transport has the smallest impact
on the environment and it is more
sustainable.
Mr Parisi asserted that rail traffic would
grow along dedicated rail corridors, but
that additional infrastructure was a must
to reach success within the next few years.
The new Working Group UIC/FIATA UIC and FIATA concluded that in order
held its first meeting on 23 and 24 April to increase the competitiveness of inter2015 in Vienna, Austria and debated national rail freight between Europe and Therefore, UIC and FIATA call on the
various topics about the EURASIAN link. Asia, FIATA and UIC see the need for authorities responsible for concluding,
The Chairman, Dr Ivan Petrov (Bulgar- consistent corridor management “from implementing and enforcing agreements
ia), was glad to welcome 40 participants terminal to terminal”. Such Euro-Asian on such IRFCs, to establish a common
and he was delighted that for the first or Inter-continental Rail Freight Cor- legal regime that governs the relationship
time in a rail meeting, two representa- ridors (IRFCs) might consist of different between the owners or managers of the
tives from China, Mr Zhang Zhao from regional corridors (e. g. Trans-Siberian infrastructure and the freight operator, to
SINOTRANS, and Mr Hao Guoqi Corridor and New Silk Way Corridor, or ensure that the following principles are
from the Chinese Russian Railway Con- European Rail Freight Corridors in EU observed:
tainer Freight Forwarding Co., were in member states) to which different regulaattendance.
• Non-discriminatory access to the infrations apply.
structure along the entire corridor;
FIATA REVIEW NO. 108, JULY 2015
9
on Rail Transportation
The UIC/FIATA Working Group meet in Vienna / Austria
• One-Stop-Shop, i.e. a joint body to • Both parties should promote advantages of IRFC;
request and receive answers, in a single
place and in a single operation, regarding infrastructure capacity for freight • UIC and FIATA should regularly inform their members about the actual
trains crossing at least one border along
situation in IRFC and the potential for
the freight corridor;
development;
• Inter-operability (both of technology
• Both parties would promote initiatives
and of operational rules);
in corridors development in international organisations and bodies, form
• Free access of every stakeholder to all
suggestions of development and impleinformation concerning track access;
mentation of best practices;
• Make efforts to form balanced freight
flows on IRFC to minimize empty runs;
and
• Suggest decisions for border-crossing
facilitation.
All Presentations can be downloaded
from the FIATA Website (www.fiata.com)
> Media > Recent views (Downloads)
> Working Group UIC / FIATA
10
News
Just when you thought Dubai couldn’t get any
Dubai, April 19, 2015: Hosted by the UAE’s
National Association of Freight and
Logistics (NAFL), the Region Africa Middle
East (RAME-2015) conference wasted no
time in delivering impactful discussions
and memorable moments to the 500
delegates in attendance.
Giving the keynote address was His Excellency Sultan Ahmed bin Sulayem highlighting the immense developments in
Dubai and the need to anticipate demand
in potential markets. He informed the
delegation of the importance of trade in
Dubai towards growing the economy and
the need to create enabling environments
for logistics to flourish.
The RAME Meeting hosted His Highness
Sheikh Ahmed bin Saeed Al Maktoum,
President of Dubai Civil Aviation Authority. FIATA President, Mr Francesco
Parisi alongside NAFL President, Mr David Philips, and RAME Chairman, Mr
Basil Pietersen, all took to the stage to
show their appreciation to the Highness presenting him with a plaque as a
token for his support to FIATA and the
logistics industry.
The RAME meeting was strategically broken up in three sessions each catering to a
specific region which was in attendance.
Dubai’s role as a gateway between Asia
and Europe was highlighted early and it
became evident through various presentations that the economy will be led by
trade, tourism, logistics and the financial
sector for the years to come.
Mr Hassan Al Hashemi, VP International
Relations at Dubai Chamber of Commerce
stated the vision of the emirate was to host
20 million visitors by the year 2020. The
Chamber of Commerce, which has offices
around the world, for example in Azerbaijan and Ethiopia, would help ensure the
development of gateways to receive such
visitors and promote trade.
Shifting focus to South Asia, which highlighted India preparing for growth in
airfreight with expected investments of
$13.5 billion to build and expand cargo
terminals. In addition to air, the government will invest $57.3 billion towards
One could also not overlook the develop- expanding port capacity of 32 Million
ment of Dubai’s new airport development Metric Tons (MMT) said Mr Tushar Jani
to be completed in 2025–2027 which will – Chairman, SCA Group. It was also
become the biggest airport in the world emphasized that Pakistan’s geographical
Mr Adil Al Zarooni highlighted, Senior advantage could use Karachi as a gateway
VP of Sales at Jebel Ali Free Zone (Jafza). by creating vertical connections between
Further development to Dubai’s ports Karachi’s wharfs and the markets of Cencan be expected which has already wit- tral Asia and Western China.
nessed good growth and handle millions of
TEUs annually and is home to some 170 One could not help but take notice of
the international crowd that was preshipping lines.
sent, particularly more than the usual
Catering to European delegates, Mr RAME Event. “The conference welcomes
Mahmood Al Bastaki, CEO of Dubai our neighbours from the East as an opporTrade, highlighted the shift of distri- tunity to discuss the Trade Corridor that
bution from Europe to Dubai in order exists between the Indian Subcontinent
to serve the Middle East, North Africa and Africa, via the Middle East, and in
and South Asia. Companies such as HP particular Dubai and the UAE. India is
and Apple have moved to create hubs in now a trading power house and Africa is
Jafza. Further discussions ensued around the fastest growing economy therefore the
an upcoming rail connection within the conference provides delegates with the
Gulf Cooperation Council (GCC) with opportunity to meet potential partners,”
the hopes of moving away from cumber- Said NAFL President, Mr David Philips.
some paper based inspections and striving towards customs boundary alignment Moving from Asia to Africa, the Yamoussimilar to the EU.
soukro Decision (YD) took centre stage as
Mr Issa Baluch, FLA Chairman, explained
Highlighting the importance of the meet- its failed implementation by African
ing was none other than FIATA President, Member States and advised that the unMr Francesco Parisi: “RAME is an emerg- ions within Africa would play an integral
ing market which is experiencing tremen- part in its re-implementation. FIATA’s
dous growth in logistics. FIATA needs to role was to continue to promote the decibe dynamic in its approach to the region sion’s full implementation in addition to
and avail itself to hear the needs of our supporting ICAO in the Lome Declaramembers. There is no better place than the tion which seeks initiatives to implement
regional meetings to listen, understand the YD. It was highlighted that FIATA
and get a feeling for where FIATA can add Past President, Mr Jean-Claude Delen,
value to its membership.”
delivered an online video presentation to
the delegation at the ICAO meeting in
FIATA REVIEW NO. 108, JULY 2015
11
hotter – FIATA’s RAME event turns up the heat
His Highness Sheikh Ahmed bin Saeed Al Maktoum receives a token of gratitude for his support
Antananarivo, Madagascar from 25–27
March 2015 on FIATA’s support.
AN FREIGHT FORWARDERS AND The RAME Field Meeting left delegates
SHIPPING AGENTS ASSOCIATION with much to think about as they listened
(EFFSAA) represented by Mr Richard to thought provoking presentations and
Representing the United Nations Eco- Mfeungwang and Mr Teodros Abraham discussed ideas with a number of delegates
nomic Commission for Africa (UNECA), delivered informative presentations en- with experiences in different areas. The
Trade Director Mr Stephen Karingi high- ticing delegates with suggested venues, outcome of the meeting will not only
lighted the African Union’s aim to estab- local tours and key industry topics to be leave a lasting impression but also infuse
lish a Continental Free Trade Area (CFTA) discussed if they were to host the next action from the industry in a number of
by 2017 which could increase Africa’s RAME Field Meeting.
areas and geographical regions throughout
the world. In the end, it was not all busitotal trade by over 10%. In addition, his
organisation’s studies have found that rail With such a demand for Train-the-Train- ness at the field meeting though; delegates
transport is presently less competitive er (TOT) courses throughout RAME, were able to unwind at the Gala Dinner
than road transport in the Central Cor- Mr Aldo Da Ros gave an overview of the which witnessed the commemoration of
ridor due primarily to the poor condition FIATA Foundation Vocational Training key members in NAFL, live music and
of railways and wagons, and the distance highlighting the next TOT course would delicious food. An excellent outing had
from Dar es Salaam to Kigoma (1254 km), take place in Harare, Zimbabwe from also been planned by NAFL for the
delegates, a desert safari through the
taking 7 days by train while traveling by April 30th to May 14th.
dunes and sands of the nearby desert,
road to the Burundi border takes only 3.
An inspiring agreement was struck be- and the night was rounded off with a
Already anticipating the next RAME tween NAFL and the Federation of Freight brilliant sunset.
Field Meeting, the two top bidders for Forwarders’ Associations in India (FFFAI)
2016 took to the stage; the SYNDI- signing a Memorandum of Understanding For more details on the RAME Field
CAT NATIONAL DES AUXILIAIRES (MoU) with the goal of working together Meeting FIATA encourages you to read
DE TRANSPORTS ET DE TRANSIT to learn best practices from each other and the minutes of the RAME meeting which
(SYNAUTRATRA) and the ETHIOPI- relay those practices locally.
can be found on the FIATA FDDS.
12
Country Report
Ethiopia – One of the World’s
the world according to 2014 estimates. facilitation of just-in-time supply chain
participation.
landlocked by its six neighbouring countries: The country’s economic growth is largely
attributed to intense government proEritrea, Djibouti, Somalia, Kenya, Sudan, and
jects aimed at achieving its Millennium Logistics Connectivity
South Sudan.
Development Goals (MDGs) to become a Ethiopia is centrally located globally,
Almost exactly down its middle, the Great middle-income economy by 2025.
within non-stop transport distance to
Rift Valley divides the country into seemall major markets, roughly equidistant
ingly two halves, a north-western half and Agriculture accounted for 43% of GDP between the United States and Japan, bea south-eastern half. You will find the in 2013 in contrast to 51% in 2007. The tween China and Brazil, between Europe’s
Ogaden Desert on its eastern outskirts, sector also generates over 70% of export largest economy and India, and between
and paradoxically one of the two sources values and employs 85% of the population. Russia and South Africa.
of the Nile River, Lake Tana, in the North. The share of the service sector has been
And what will you find right in the coun- increasing in the past decade and reached Trade logistics reforms promise to dratry’s heart? Its capital city, Addis Ababa, 45% in 2013 from 39.8% in 2007. Manu- matically shrink the effective distance
of course. With archaeological findings facturing remains low in terms of its share between Ethiopia and global markets. Addis Ababa is already the main air hub for
dating back more than 3 million years, it of GDP at around 12%.
Africa and the home of Ethiopian Airlines,
is also a country of ancient culture.
Core agricultural products include cereals, which carries two thirds of Africa’s air
With over 90 million inhabitants, Ethio- coffee, seed oil, cotton, sugar cane, vegeta- freight and has just significantly extended
pia is the most populous landlocked coun- bles, khat, cut flowers, hides, cattle, sheep, its cargo capacity and range.
try in the world, as well as the second-most goats, and fish, while major industries
populated nation on the African continent. include food processing, beverages, tex- Ethiopia has launched a national logistics
It occupies a total area of 1,100,000 square tiles, leather, chemicals, metals processing, strategy to use multiple ports in neighkilometres and is the world’s 27th-largest and cement. Exports from Ethiopia in the bouring countries in order to improve the
country.
2009/2010 financial year totalled $US1.4 country’s participation in international
billion. The country produces more coffee trade. Supported by the United Nations
Economy
Development Programme, the country will
than any other nation on the continent.
Ethiopia is sub-Saharan Africa’s fifth biguse the Mombasa port, the Port of Sudan
gest economy and is showing promising Ethiopia’s exports are growing rapidly, and Berbera port in Somalia, in addition to
signs of growth in the future. GDP was including time-sensitive products, such as the Djibouti port. The Mombasa port will
estimated at US$47 billion in 2012/2013, cut flowers, a sector in which Ethiopia has cater for the southern part of Ethiopia and
with GDP real growth rates estimated become one of the largest exporters in the connect the country to the East African
at 8.8%, 9.7%, and 8.2% in 2012, 2013 world since 2005. While this development Community Common Market.
and 2014 respectively. Ethiopia had one reflects in part Ethiopia’s suitable clima­
of the highest real GDP growth rates in tic conditions, it also reflects Ethiopia’s Air Cargo in Ethiopia
Ethiopian Airlines has begun a four-fold
expansion plan to build and grow its air
Ethiopia – Facts & Figures
cargo terminal in Addis Ababa as one
Official name
Ethiopia
of Africa’s largest carriers improves the
Capital city
Addis Ababa
freight-handling ability of its hub to supForm of government Federal parliamentary republic
port its ever-expanding global reach.
You will find Ethiopia in the Horn of Africa,
Area
1.104.300 km2 (426.371 sq mi)
Population
90.076.012
Official language
Amharic
By 2025, Ethiopian Cargo plans to carry
over 800,000 tons a year with operations
to 37 freighter destinations across five
FIATA REVIEW NO. 108, JULY 2015
13
Fastest Growing Economies
Addis Ababa by night
conti nents using 20 dedicated cargo new roads and dams to produce hydro- two largest first languages are: Oromigna
aircraft. The plan includes an automated, electric power.
and Amharic (official language). English
high-bay racking system with four elevatis the most widely spoken foreign laning transfer vehicles to increase the speed Among the new national railway lines, guage and is the medium of instruction in
of loading and unloading.
one will connect the region of Afar, where secondary schools and universities.
Ethiopia is encouraging the mining of
Infrastructural Development
potash for fertiliser, to Djibouti, the main Ethiopia Freight Forwarders
Ethiopia expects to open a new railway export point for land-locked Ethiopia. and Shipping Agents Association
line linking the capital Addis Ababa with Canada’s Allana Potash Corp is among the (EFFSAA)
the Red Sea state of Djibouti in early 2016, firms developing mines in Afar.
Private freight forwarding companies
a project at the centre of plans to create
started emerging in 2001, and as such
new manufacturing industries, the head Population and Languages
it is still a young industry. The Ethiopia
of the state railways said. The 700-km The country’s population is highly di- Freight Forwarders and Shipping Agents
(450-mile) line is being built at a cost verse, containing over 80 different ethnic Association was established in 2004,
of $4 billion by China Railway Engi- groups. According to the Ethiopian na- and has both private and government
neering Corporation (CREC) and China tional census of 2007, the Oromo are the operators as members. Approximately 120
Civil Engineering Construction (CCECC). largest ethnic group in Ethiopia, at 34.4% freight forwarding and shipping agents
Ethiopia is seeking to have 5,000 km of of the nation’s population. The Amhara operate in Ethiopia of which some 50 are
new lines working across the country by represent 27.0% of the country’s inhabit- members of the EFFSAA. The objectives of
2020. By October 2015, a considerable ants, while the Somali and Tigray repre- EFFSAA are to protect the interests of its
portion of the Addis Ababa—Djibouti sent 6.22% and 6.08% of the population, members, convey applicable information
regarding the industry to industry players,
project will be finished.
respectively.
perform advocacy and lobbying, and the
In addition to the Djibouti line, two There are 88 individual languages of education and training of human resources
others are being built across the country Ethiopia according to Ethnologue, with necessary for the proper functioning of the
which are among a range of big infra- the 1994 Ethiopian census indicating that industry in line with FIATA’s minimum
structure investments that also include some 77 tongues were spoken locally. The standard curriculum.
14
News
Implementation of Information Technologies and Transport
Contemporary Challenges to the Freight
FIATA Director General, Mr Marco Sorgetti, awards a successful trainee with a FIATA Diploma in Freight Forwarding
The International Freight Forwarder’s Day,
held in Odessa on June 3rd, 2015 brought
together the professional freight
forwarders’ community for the thirteenth
time to discuss topical issues, prospects
of development, and the introduction of
innovations to the industry.
the International Federation of Freight
Forwarders’ Associations (FIATA),
and with the support of the Ukrainian
National Committee of the International Chamber of Commerce (UNC ICC),
and the Association of Freight
Forwarding Organisations of Ukraine
(UKRZOVNISHTRANS).
THIS YEAR THE CENTRAL THEME
of the forum was devoted to intelligent Ivan Liptuga, Vice-President of PLASKE
transport system development, innova- JSC, and Vice-President of FIATA,
tion control, model formation, imple- delivered a welcoming address on behalf of
mentation of information technologies, the organisers of the International Freight
and new instruments for specialists’ voca- Forwarder’s Day 2015. He emphasised
tional training in the area of international that the support of the government of
freight forwarding, transport logistics and Ukraine, evidenced by special greetings
supply chains.
to the participants from the country’s
Prime Minister, Arseniy Yatsenuk, was
The event was held at the initiative of testimony to the significance of the
PLASKE JSC under the auspices of event.
Mircea Ciopraga, Secretary General of the
Intergovernmental Commission TRACECA declared that the transport system of
Ukraine had great potential and that the
importance of the TRACECA corridor
consistently increases with the development of Ukrainian transport infrastructure in the context of transport communications with other countries.
Director General, Marco Sorgetti, noted
that FIATA has represented the interests
of freight forwarders for 89 years and that
it is one of the most numerous organisations in the world. As FIATA’s Director
General highlighted, the basic principal
of the federation’s work is the constant
establishment and maintenance of logistics connectivity. “We can confidently
say that this principle is important to
FIATA REVIEW NO. 108, JULY 2015
15
Intellectualization:
Forwarders’ Community
Delegates of the International Freight Forwarder's Day take their seats to discuss industry innovation
Ukraine, and the whole world, as trade
and transport become ineffective without
logistics connectivity,” he said. He also
drew attention to the necessity for work
on the implementation and improvement
of information technologies and noted
that FIATA was heading full speed in
this direction.
On assessing the prospects of development of the transport sector in Ukraine
and its integration motivation, Francesco
Dionori, Chief, Sustainable Transport
Section, UNECE remarked: “We carry
out intermodal work and we are a repository for a large number of agreements.
Ukraine has joined 90% of them already,
and this is a powerful step in the right
direction – for Ukraine and for Europe
as a whole”.
intelligent transport systems;
The conference’s work within the framework of the International Freight Forwarder’s Day 2015 was devoted to the • New technologies in freight forwarders’
professional training.
following thematic discussions:
• Intelligent transport systems: possibili- As tradition dictates, the Freight Forwardties and challenges for multimodal and er’s Day 2015 ended with the awarding
of the FIATA Diploma in Freight Forintermodal transport;
warding to trainees who had completed
• Information services on international the programme, which was arranged by
PLASKE following the request of FIATA’s
transport corridors;
Association Members, the Association
• Local transport and logistics systems
of International Freight Forwarders of
establishment and operation practice, Ukraine (AIFFU) and the Association
of Freight Forwarding and Logistics
cooperation in supply chains;
Organisations in Ukraine (UKR• IT technologies in transport logistics;
ZOVNISHTRANS). Diplomas were officially awarded to the graduates by the
•Training of specialists, providing Director General of FIATA, Mr Marco
staff for the design and operation of Sorgetti.
16
News
ALACAT 2015 Congress
Honduras: The heart of the logistics for the world
take into consideration the importance
that the ratification of the Agreement will
surely have.
logistics platforms that exist in the country with which diverse and challenging
projects of investment in the local infraALACAT Congress from 18 to 20 May this year.
structure are planned and how a network
The Customs Panel deliberated the role of of corridors from North-South and EastALACAT is the Federation of National customs in the facilitation of global trade. West will connect Honduras to ensure new
Associations of Freight Forwarders and Different aspects of the customs system flows of freight in the region.
International Logistics Operators of Latin were shown and in what ways these can be
America and the Caribbean, an entity that both elements of support to the facilita- A Training and Certification panel was
brings together 15 national associations of tion and simplification of trade as well as a held which was followed by a Training
the region and that each year duly brings potential obstacle if their implementation Forum by Mr Thomas Sim with a compretogether an important group of logistics and conceptualization do not take into hensive presentation on FIATA’s position
account the development of trade and the on Staff Training and options for the
entrepreneurs from around the world.
geometric growth of the volumes and region to seek solutions to its shortcomThree years ago, AHACI, the Honduran values conveyed.
ings which ALACAT and their national
Association of Freight Forwarders and
associations have a role to fulfil.
Logistics Operators, won the nomination During the Logistics Chain Security Panel
as host association to hold the XXXII different forms of security were explored. The Logistics Parks conference developed
ALACAT Congress and chose the business The current challenges are increasing, an important analysis of the macroecoand logistics city of San Pedro Sula as the forcing not only load controls to come into nomic variables of the Central American
effect, but also more documentation pro- region, especially with a historical view to
event venue.
cedures and actors in the logistics process. the impact that conflicts have had in the
The opening ceremony took place under
region and how substantial progress over
the auspices of a large audience, some from During the Central American forum, the years has been made.
the neighbouring regions and some from where in a very wide and fraternal way,
much further afield, and in the presence of the situation of foreign trade in the re- The ‘Future Position of Cargo’ conferthe presidential delegate of the Republic gion was discussed and how a dynamic ence was held by an IATA representative,
of Honduras and a number of dignitaries future was visible but at the same time who presented information on the current
from the city.
full of potential obstacles that need to be situation of the sector, its challenges and
resolved with an international effort from opportunities, and emphasized the e-cargo
The academic programme of the Congress all countries and especially from logistics and e-freight topic and its developmental
featured the participation of high-level service providers.
elements that are essential to maintaining
panellists and speakers who discussed
the role of air cargo services in the industry.
current logistics topics thoroughly.
With representatives of the highest mari- The presentation concluded with a call for
time authorities, the maritime panel dis- the ratification of the Montreal Convention,
The opening event touched on the Bali cussed topics in the Development of Ports particularly by Honduras, Nicaragua and
Agreement and its impact on Latin Ameri- around the world, Maritime Insurance, Guatemala. The conference also included
can trade where extensive details about Sustainable Ports Management and Envi- a broad debate on topics of interest for asthe important development that the im- ronmental Protection, Logistics Competi- sistants, with questions and answers around
plementation of the Bali Agreement will tiveness in Latin America and Logistic Costs. topics such as training (the new modules of
the initiative of training on the handling
have for the economy of the world were
highlighted. Fundamental guidelines Representatives from the government of of Cass and operability), implementation
were discussed during the conference to the Republic of Honduras described the of e-cargo, and the difficulties of the same.
The city of San Pedro Sula in the Honduras
played host to the XXXII Latin American
FIATA REVIEW NO. 108, JULY 2015
The last panel included the participation of international organisations such as
the Inter-American Development Bank,
who discussed the Logistics Strategy for
Central America and Honduras, and the
US Embassy who delivered a presentation
entitled ‘Program of Pathways to Prosperity in the Americas’.
17
Main table composed of Mr Jorge Heinermann President of ALACAT, Mr Luis Hernandez
President of AHACI, Mr Ricardo Alvarez, Presidential Delegate of the Republic of Honduras,
Mr Armando Calidonio, Mayor of San Pedro Sula, Mr Emilio Silvestri, Director of the
Honduran Institute of Tourism, and Mr Francesco Parisi, President of FIATA.
The congress included a great variety of
topics on all the prospects of the logistics
system in the region. These subjects were
covered in an agile, entertaining, and
especially practical way, and forced us to
debate the successes and challenges of the
operation of the logistics network, and once
again reminded the delegation of the fundamental role played by the freight forwarder.
The ALACAT 2015 Congress also included
a Tradeshow where more than 60 companies were able to show and offer their
products and services to all the attendees.
Ribbon Cutting of the Tradeshow Opening by Mr Luis Hernandez, President of AHACI,
Mr Francesco Parisi, President of FIATA, Mr Jorge Heinermann, President of ALACAT, Mr
Cultural and social events also took place
during the Congress. With the support
of San Pedro Sula’s City Hall and Mayor,
a cocktail function in honour of FEDECARGA, Central American Association
of Freight Forwarders, was held, and ‘A
Typical Night at the Railway Museum of
El Progreso’ along with the city’s mayor,
offered the attendees a historical view of
the railway system of Honduras. The Cultural Closing Ceremony allowed all the attendees to taste the Honduran cuisine and
learn traditional dances with live music.
The 2016 Congress will be held in Barcelona, Spain, in conjunction with the
17th International Logistics and Material
Handling Exhibition of Salon Inter­
nacional de la Logisitca (SIL).
Ricardo Alvarez, Presidential Delegate of the Republic of Honduras, Mr Armando Calidonio,
Mayor of San Pedro Sula, Mr Emilio Silvestri, Director of the Honduran Institute of Tourism
Mr Jorge Heinermann, President of ALACAT, Mr Luis Hernandez, President of AHACI,
Ms Pamela Lopez, Director of AHACI, Mr Ricardo Alvarez, Presidential Delegate of the
Republic of Honduras, and Mr Armando Calidonio, Mayor of San Pedro Sula at the
AHACI stand in the trade show.
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FIATA REVIEW NO. 108, JULY 2015
19
Personally
Meet David Phillips
Vice President of FIATA
Mr Phillips is the Founder and CEO of Freight
Systems, a freight forwarding and logistics
company established in 1988 in Dubai.
Freight Systems has offices in 17 countries
across the globe. David is a founding member and current President of the National
Association of Freight and Logistics (NAFL)
and a FIATA Vice President. Mr Phillips is
an active member of various professional
groups in Dubai, and is also a member of the
Dubai Cargo Board tasked with maintaining
the city’s leadership position in logistics.
He was also recently nominated as a member of the Maritime Advisory Council in
Dubai. He has been part of the sustainability
efforts of Dunia Finance, a financial
institution in Dubai, and is a speaker and
mentor in their “Young Business Leaders
Programme” – complimentary to eligible
students who aspire to become leaders in
the business world.
If you had not joined the transportation What changes would you like to see?
business, which profession would you
Instead of just competing with each other,
we can compete whilst cooperating. I
have chosen (and why)?
Both my grandfathers were medical doc- know this comment will generate a lot
tors, and the family did hope that I would of discussion, but that is precisely what
follow in their footsteps, but academics it needs. I can’t count the times I have
not being one of my strong suites, that was heard that our profession is the second
quickly ruled out, thankfully.
oldest in the world. Any process that has
not changed in the past 5 years needs to
So what fascinates you about the freight be relooked. I guarantee you there exists
forwarding industry?
a better, more efficient and cost effective
It is an ever evolving industry, with cus- way, it is never too late to change.
tomers demanding more for less, which
drives innovation, keeping us on our toes. Looking at the future, what advice
This challenge is exciting and every ‘win’ a would you give a young person joining
validation that we are doing something the industry today?
right.
Don’t be boxed in by legacy. Think outside the box. Feel empowered and demand
And what was the motivation to accept
to be heard.
your post with FIATA?
I consider myself very fortunate to be Generally speaking, what, in your
where I am today, and it is this industry opinion, has been mankind’s best inthat I must thank. It is time for me to give vention (and why)?
back to the industry that has given me so The internet for sure. It has broken down
much. I felt that accepting a post with boundaries, and changed the way business
FIATA would allow me to learn as well is transacted. Having said this, I wish the
as contribute to the industry on a global ‘Reply To All’ option was never created.
platform.
Which famous person would you like
to have met (and why)?
How do you view the state of the
Nelson Mandela. To be persecuted for
industry today?
We don’t have the luxury of choosing so many years and still have no malice
where we work and must have global abili- or need for revenge, despite having the
ties that exceed customer expectations, power to do so. It is the ultimate lesson in
and yet remain competitive. To do this we humility. The more powerful we are, the
must embrace technology and induct the more humble we ought to be. Tough one.
benefits into our industry. There is a huge
gap here and there still exists reluctance Do you have any unfulfilled wishes
towards technology. Security has become (professional or personal)?
a major driver, and rightly so, however we I am often called the ‘Eternal Optimist’
still need to enable trade and business and I have always seen my glass as half full.
must find a balance where security is not One wish that I know will remain unfulcompromised at all, yet trade is encour- filled is my dream of being a scratch golfer.
aged. Technology is the answer. Hanging My coach tells me there is just one thing
I lack… talent.
onto legacy will prove disastrous.
20
FIATA REVIEW NO. 108, JULY 2015
News
2015 FIATA World Congress Golf Tournament
Something to Remember!
The FIATA annual golf tournament will be held
this year on one of the top golf courses in
Taiwan namely Chang Gung Golf Club.
The club is owned and managed by
Formosa Plastic Group, one of the
largest manufacturing companies in Taiwan. Formosa Plastic
Group is not only known for its
scale but also for its management. The golf club is thus
meticulously maintained
and run under the same
company philosophy. It is
in excellent condition and
golfers will thoroughly enjoy
a round of the beautiful game
on this course.
text. The golf balls are being co-sponsored by Mr
Issa Baluch, past FIATA president and Mr JP
Tseng, co-chair of the Taipei Organising
Committee, which will serve as a
special memento for the congress.
Taipei FIATA –2015
The weather during the Congress period is expected to be
more stable and comfortable with
less heat. The transfer from your hotel
to the golf club will be well taken care of
and excellent cuisine will be offered to re-fuel
your body after a hard competition.
Chang Gung Golf Club was established in 1980. It takes about 40 minutes
to reach it from this year’s Congress venue. It
has 3 courses, North, Central and South, and each
course has an average length of about 3600 yards from white tee.
Many prizes are up for grabs this year. Each participant will receive a pack of 12 Srixon balls in scripted with commemorative
Three of the best gross and
net scorers will be awarded
special prizes, as well as holein-ones, nearest to the pin,
second and third nearest to
the pin, etc., and players
can win awards at each of
the holes.
Please do not miss out on this fantastic opportunity. We cordially
invite you to challenge and win an unforgettable memory at the
2015 FIATA World Congress in Taipei.
Chang Gung Golf Club takes about 40 minutes to reach from this year’s Congress venue.
FIATA REVIEW NO. 108, JULY 2015
21
News
FIATA members celebrate
Long Service Anniversaries
50 years
AVIOMAR S.A. EXPRESOS AEREOS Y MARITIMOS
COLOMBIA
JASVANT B. SHAH
INDIA
JEENA & COMPANY
INDIA
LEVANT EXPRESS TRANSPORT SAL
LEBANON
OY BEWESHIP AB
FINLAND
TULSIDAS KHIMJI PVT. LTD.
INDIA
25 years
ADLATUS INTERNATIONALE SPEDITIONS GMBH & CO KG
GERMANY
AERO FREIGHT CO. LTD.
QATAR
AIR SEA WORLDWIDE LOGISTICS LTD.
HONG KONG SAR
B.M. INTERNATIONAL PVT. LTD.
INDIA
BEL INTERNATIONAL LOGISTICS LIMITED
HONG KONG SAR
COLE INTERNATIONAL INC.
CANADA
COMBINED LOGISTICS (HONG KONG) LTD
HONG KONG SAR
CROWN WORLDWIDE LTD
UNITED KINGDOM
CTSI LOGISTICS LIMITED
HONG KONG SAR
DHL GLOBAL FORWARDING (HONG KONG) LIMITED
HONG KONG SAR
D-T-D CARGO S.A.
URUGUAY
EASTERN WORLDWIDE CO., LTD.
HONG KONG SAR
GEIS SDV GMBH
GERMANY
GORDON WOODROFFE LOGISTICS LIMITED
INDIA
HOMEBOUND PACKERS & SHIPPERS LTD.
BANGLADESH
INTERNATIONAL SHIPPING LINE (L.L.C.)
UNITED ARAB EMIRATES
KUEHNE + NAGEL LIMITED
HONG KONG SAR
LAO FREIGHT FORWARDER
LAO PEOPLES DEM. REP.
LOMBARD SHIPPING & FORWARDING LTD
UNITED KINGDOM
MARINE BAR SHIPPING SERVICES & INTERNATIONAL TRANSPORT CO. LTD.
IRAN, ISLAMIC REP. OF
MODERN FREIGHT COMPANY (L.L.C.)
UNITED ARAB EMIRATES
NAF GLOBAL LOGISTICS LIMITED
HONG KONG SAR
NOVO CARGO SERVICES LTD.
BANGLADESH
OHL (HONG KONG) LIMITED
HONG KONG SAR
ORIENT CARGO AGENCY (A DIVISION OF ORIENT TRAVEL & TOURISM AGENCY LLC)
UNITED ARAB EMIRATES
P.T. RITRA CARGO INDONESIA
INDONESIA
P.T. SCHENKER PETROLOG UTAMA
INDONESIA
RAIL CARGO LOGISTICS - HUNGARIA KFT
HUNGARY
TEHRAN RAHVAR INTERNATIONAL FREIGHT FORWARDERS CO. LTD.
IRAN, ISLAMIC REP. OF
TRANSFORWARDING WAREHOUSING J.S CO. TRANSIMEX SAIGON
VIETNAM
TRIMANSON EXPRESS LTD.
HONG KONG SAR
22
FIATA REVIEW NO. 108, JULY 2015
Here & There
New to the FIATA Secretariat – Lanlan Gu
LANLAN joined FIATA in April this year.
and English. She also has completed her A2
As a Chinese national, Lanlan has acquired over
certification in German from the Goethe Institute
15 years of professional experience abroad in mul-
in Dubai. With her administrative competencies, she
ticultural environments, and has gathered solid
hopes to greatly enjoy applying her international
know-how in administration support for executive
business acumen to assist FIATA’s Director General
officers and administration management teams,
in her new role and hopes to aid the development of
to ensure the smooth running of business opera-
FIATA into the future. Lanlan is looking forward to
tions. With a Bachelors’ in Administration Manage-
meeting more of the FIATA constituency at the 2015
ment of Education, she is fully fluent in Mandarin
FIATA World Congress in Taipei.
Happy Birthday!
FIATA congratulates a well-known delegate on his birthday.
We wish him many more years of good health and happiness.
Mr Professor Ralph de Wit (Belgium), 55 on 12 July 2015. A longstanding member of the ABLM and Honorary Member of FIATA since 2007.
140035FIATAReviewAd_FINAL.pdf
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FIATA REVIEW NO. 108, JULY 2015
23
Agenda
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