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23 May 2012 12:00PM

Sea freight providers’ market share grows

17 Apr 09 ,  www.eyefortransport.com
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According to Dr Thomas Lieb, chairman of Schenker's management board, the market share of sea freight forwarders is growing faster than that of the shipowners.

Speaking to the delegates at the CI Global Liner Shipping 09 conference, Lieb explained the factors that he believes will continue to be crucial for the success of the ocean freight market, not only in difficult economic conditions.

"Over the past four years, the market share of the top four container shipping companies has grown by 4.3%. During that same period, the market share of the top four ocean freight providers grew by 18.8%." Lieb added that he therefore believes that major logistics companies will play an increasingly important role in future. On the whole, however, the ocean freight market is highly fragmented.

By constantly developing and expanding the supply chain, integrated logistics services providers create significant added value for carriers and customers, continued Lieb. Thanks to more co-operation at the interface to the carriers, they can offer more reliable cargo space for both carriers and customers.

On the one hand, said Lieb, the customer benefits from tailor-made solutions for optimising and completing his supply chains. Large logistics companies can offer a wide range of value added services, e.g. in the IT sector.

"Only logistics providers enable the comprehensive control of logistics costs," said Lieb, "especially in respect of the ratio between the costs of warehousing and the transport costs."

He pointed out that logistics providers enable their customers to control the supply chain by determining both the inventories as well as the size and frequency of transport. "Cost transparency means that the point of maximum cost effectiveness can be clearly defined."

He also noted that ‘green' logistics is one of the four key trends for the future. A number of options already exist for designing logistics as a truly sustainable process. These include reducing CO2 emissions, close co-operation with partners and suppliers, innovative solutions such as a combination of ocean- and airfreight, choosing the most suitable transport mode, and energy-saving measures.

Apr 15, 2009

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