The Logistician - Vol 38

Wednesday, 16th October, 2002

The official newsletter of the Logistics & Supply Chain Management Society.
http://www.lscms.org

- Boeing sets up office in Malaysia
- Future of Hong Kong Ports to be debated at forum
- China Shipping launches 5,800 TEU ship
- C-TPAT
- Truckers threaten to strike in India

Boeing sets up office in Malaysia

THE Boeing company has opened a new office in Kuala Lumpur, Malaysia, in an effort to enhance its operations in the Southeast Asia region and to further develop a strong customer focus, the company said.

"We want to continue to be a valuable business partner with our regional (Asian) customers, and this office enhances our ability to serve our customers more effectively," said Stanley Roth, Boeing vice president of international relations, Asia-Pacific.

In August, Paul Walters was named regional vice president, Southeast Asia, based in Kuala Lumpur where his role is to co-ordinate all company business activities in a number of countries in the region including Singapore, which has had a Boeing office for a few years, leading and facilitating Boeing's strategy and globalisation process in Southeast Asia, the company said.

Future of Hong Kong Ports to be debated at forum

DELEGATES at the 7th Terminal Operations Conference for Asia, TOC2003, to be held at the Hong Kong Convention Centre February 25 to 27, 2003, will examine, among other things, the options for Hong Kong in its bid to retain its position as the major regional trade gateway.

Other issues to be debated at the forum include: maritime security requirements for Asia-US trade post September 11, the need for revenue recovery in liner shipping and globalisation and consolidation of terminal ownership and operation to name but a few.

TOC2003 Asia will be the major industry forum, said organisers Informa Maritime & Transport, that brings together key ocean carriers, terminal operating companies and port authorities. Leading industry executives, academics, analysts and innovators are invited to contribute to the conference proceedings - as moderators, speakers, panelists or workshop leaders.

A three-day exhibition of products and services for modern port and terminal operations will complement the main conference programme too. Further information about TOC2003 Asia can be found on the event website: www.toc-events.com.

China Shipping launches 5,800 TEU ship

THE largest container vessel in China has been launched by Dalian New Shipping Heavy Industry co.(DNS), according to Xinhua News Agency.

The China Shipping Group (CSG) ordered the 5,618-TEU (twenty-foot equivalent) container vessel that can run up to a speed of 26 knots and is 279.6 metres in length and 40.3 metres in width. The vessel is one of eight ships of the same type ordered by Chin Shipping.

C-TPAT

Some of us may have come across this 'term' in the last few weeks and months.

The Customs Trade Partnership Against Terrorism (C-TPAT) program now has more than 550 US importers signed up, together with the majority of steamship lines serving the US, and the program is now being broadened to include intermediaries. Brokers, freight forwarders, and non-vessel operating common carriers (NVOCC's) who can apply for membership in the Customs-Trade Partnership program. C-TPAT, is an initiative between business and government to protect global commerce from terrorism.

The program calls upon importing businesses and service providers to establish policies to enhance their own security practices and those of business partners involved in the supply chain. Once these policies are in effect, imports by these businesses would be given expedited processing at ports of entry.

As we have seen in the past year, the whole world suffers if terrorists begin using the global trade network to mount attacks and the economic repercussions of such events would be even more severe.

In addition to importers, carriers, brokers, freight forwarders and non-vessel owning common carriers, ultimately, C-TPAT membership will also be available for port authorities, terminal operators, warehouse operators and manufacturers. You can log on to http://www.customs.ustreas.gov/enforcem/tpat.htm to find out more about C-TPAT.

Truckers threaten to strike in India

Truckers in India have threatened to strike Nov. 15 to protest increasing insurance premiums. India's Insurance Regulatory and Development Authority (IRDA) has called a meeting of insurance companies and truckers Oct. 28 to try and avert the job action.

Shippers allege that insurance companies are charging premiums in excess of revised tariffs published by the Tariff Advisory Committee and in violation of IRDA guidelines. The congress has also expressed dismay at the failure of the central government to implement reforms it promised three years ago when truckers went on a week-long strike.
The threat comes as port and dock-workers called off their own strike after state-owned ports agreed to pay a 20 percent bonus to port and dock workers for the fiscal year ended March 2002. A prolonged strike by truckers, who carry 60 percent of India's cargo, could send the economy into a tailspin and snarl container movements.

Insurance companies countered by noting that while truckers are resisting a hike in premiums, they don't hesitate to increase freight charges when fuel costs go up.

The transport congress has demanded, as a way of keeping the premium low, amendments to the Motor Vehicles Act limiting compensation for road accident victims. Insurance companies agree that the only way to rationalize third-party insurance premiums is to impose a ceiling on compensation awards.