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Friday, January 31, 2003

The official newsletter of the Logistics & Supply Chain Management Society.
http://www.lscms.org
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- Sydney Ports report growth
- Termination
- Trial Shipment of Smart Containers
- Malaysia signs U.S. Customs pact
- Port Klang project 12 percent growth

Sydney Ports report growth
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SYDNEY Ports has reported continued growth to meet its targets despite a two-year period of slowing international trade.

Chairman, David Field, said: "Trade through Sydney's ports generated a 1.9 per cent increase in container trade to 1,009,342 TEU and increased shareholder value in the business by AUD$4.2 million (US$3.37 million)."

The company's priority is to ensure the provision of sufficient capacity to cater for continuing container and general cargo trade growth over the next 20 to 30 year period, said Mr. Field.

"Consistent with the corporation's First Port, Future Port Strategy, the redevelopment of Glebe Island and White Bay facilities has commenced and the preparation of the Environmental Impact Statement (EIS) for the proposed Port Botany expansion is progressing," Mr. Field said.

"The corporation's planned investment in port infrastructure will result in significant benefits to the state's economy in the years ahead.

"The commitment to redeveloping the Glebe Island/White Bay facilities for the motor vehicle and bulk trade is backed by the state government's advocacy to retain Sydney Harbour as a 'Working Harbour'."

A $28.8 million end of year profit was achieved, the company said, $2.2 million less than the previous financial year, which was attributable primarily to superannuation losses. However, operational revenue increased by more than three per cent compared to 2000/2001 due to sustained growth in the majority of trade and improved returns from property investments.

"The corporation aims to ensure a balance is achieved between competing interests of port operators, importers and exporters, the environment, community and the New South Wales government's need to generate growth and economic wealth," Mr. Field said.

Termination
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Due to misrepresentation to members of the public, Mr. Muraledaran Pillai of DiF Logistics (M) Sdn. Bhd. has been terminated as a member of the Logistics & Supply Chain Management Society and it's partner organisations.

Trial Shipment of Smart Containers
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The first wave of 'smart and secure' ocean containers has been transported over the pacific between major ports in Asia and the US west coast, the Strategic Council on Security Technology recently reported.

The shipments mark the operational deployment of Smart and Secure Tradelanes (SST), one of the world's largest public-private initiatives to improve the end-to-end security and efficiency of container transportation.

Over the past month, SST partners, which include large shipping lines, have shipped more than 100 FEU carrying automotive parts, electronic equipment, toys and other consumer product goods that have been equipped with electronic seals that detect security breaches and instantly communicate their status and location over radio frequencies to a web-based software security network.

The first 100 of these "smart and secure" containers have been shipped between the ports of Singapore, Hong Kong, Seattle, Los Angeles and Long Beach over the past six weeks.

The most recent shipment included 10 container loads of store merchandise that were managed successfully by Hutchison Port Holdings (HPH) on behalf of a major US-based retailer and involved a number of HPH partners, including Savi Technology, Maersk Logistics and MOL.

The real-time solutions provided for the initial SST roll-outs managed by HPH came from Savi Technology, which provides radio frequency identification hardware (SmartSeals, Readers and Signposts), as well as inter-linked software, including the Savi SmartChain Platform and Transportation Security System software application.

John Meredith, group managing director of HPH, said: "As one of the largest port operators in the world, we have a vested interest in making sure that ocean-going cargo operations worldwide are conducted in the safest and most efficient manner.

"We're excited about working closely with some of the world's major companies in this initiative, and we're encouraged by the progress and initial results of the first container shipments between Asia and the US west coast.

"SST is a model we expect to continue to roll out in critical trade lanes worldwide," Mr. Meredith added.

The initiative is now implemented at 11 major ocean tradelanes worldwide, and has grown to include about 35 partners, including the world's three largest port operators handling 70 per cent of world trade - Hutchison Port Holdings (HPH), P&O Ports and PSA Corporation; major shippers such as Target Corporation; transportation service providers; and technology solution providers such as QUALCOMM, SAIC, Parsons Brinckerhoff, and Savi Technology, which serves as the primary solution provider of the hardware and software.

Malaysia signs U.S. Customs pact
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US CUSTOMS Commissioner Robert Bonner and Datuk Abdul Halil Bin Abdul Mutalib, Director-General of Customs of the Government of Malaysia, announced that Malaysia has agreed to participate in the US Customs Container Security Initiative (CSI).

A CSI agreement was signed by the two sides on January 20 at Putrajaya, Malaysia.

"We recognise the high volume of trade between the Ports of Klang and Tanjung Pelepas and seaports in the US and Malaysia's role as an intermodal transport hub for cargo originating in many countries. This is an important step, not only for the protection of trade between the US and the government of Malaysia, but for the protection of the most critical component of the world trading system as a whole," said Mr. Bonner.

"We recognise the importance to deter and interdict any terrorist attempt to disrupt global trade or to attempt to make use of commercial shipping to further their own schemes," said Datuk Abdul Halil.

Port Klang project 12 percent growth
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MALAYSIA'S Port Klang is expected to handle 5 million TEU in 2003, a rise of 12 per cent compared to last year, according to the chairman of the port authority, Dr Ting Chew Peh.

The country's wire service Bernama said that the area's North Port was forecast to have a throughput of 2.6 million TEU and its West Port was expected to handle 2.4 million TEU in 2003 as compared to last year when the amounts of freight handled at the sister facilities were 2.48 million and 2.05 million TEU respectively.

Dr Ting said total cargo throughput for last year amounted to 82,242,120 tonnes, consisting of 8,092,906 tonnes of dry bulk cargo, with liquid bulk and break bulk hitting 5,248,475 and 5,628,556 tonnes respectively.

Total cargo throughput in 2002 was 17.2 per cent higher than that of 2001's 70,149,143 TEU, of which some 49.154 million TEU was imports while exports were at 33,088,297 TEU, the chairman said.

Such volumes make the facility 11 or 12th largest in the world, according to the doctor. He also said the forecast growth for this year was based on various expansion programmes, which had been drawn by the authority and would be jointly implemented by the North and West Ports.