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Logistics companies to play larger role in sea freight

4/18/2009 10:04:53 AM

Major logistics companies are set to play an increasingly important role in the future of sea trade, despite a highly fragmented market, according to the chairman of the management board of Schenker.

 

“The market share of ocean freight forwarders is growing faster than the market share of the shipowners,” said Dr Thomas Lieb, chairman of the management board of Schenker.

 

“Over the past four years, the market share of the top four container shipping companies has grown by 4.3 percent. During that same period, the market share of the top four ocean freight providers grew by 18.8 percent,” said Lieb.

 

By constantly developing and expanding the supply chain, providers of integrated logistics services create significant added value for carriers and customers, continued Lieb.

 

“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.

 

Logistics providers enable their customers to control the supply chain by determining both the inventories as well as the size and frequency of transports. “Cost transparency means that the point of maximum cost effectiveness can be clearly defined.”

 

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