DP World won a 30-year concession deal to manage and develop a terminal in Saudi Arabia’s largest port, located on the Red Sea, further expanding the global port operator’s footprint in the kingdom.
Saudi Ports Authority (Mawani) awarded the build-operate-transfer contract to DP World to upgrade the Jeddah South Container Terminal at Jeddah Islamic Port, the company said in a statement on Monday. DP World will invest up to $500 million (Dh1.84bn) including on improvements that will allow the port to handle ultra-large container carriers.
“Beyond the terminal, our ambition is to develop inland connectivity across the Arabian Peninsula between Jeddah and Jebel Ali Port in Dubai, as well as to Saudi Arabia’s cities through smart technology-led logistics, which should support further growth in this strategic hub that connects East-to-West,” Sultan bin Sulayem, DP World’s chairman, said.
The contract caps a string of deals by DP World in 2019 that included snapping up UK transport and logistics company P&O Ferries, Indian rail logistics company Kribhco Infrastructure and Chilean ports operator Puertos y Logistica. The investment in Saudi Arabia comes as the kingdom plans the privatization of its airports and ports in a strategy to diversify the economy away from oil.
Saudi Arabia expects real economic growth of 2.3 percent next year, driven mainly by the non-oil sector, according to the government’s budget announcement.
The Jeddah Islamic Port handles volumes of more than six million twenty foot equivalent units (TEUs) annually.
The largest port in terms of volume and cargo handling capacity, it handles more than 65 per cent of all cargo imported through Saudi Arabia’s ports, according to its website.
Established in 1976, it has five terminals and 62 berths, spanning an area of 12 square kilometers.
DP World has operated the South Container Terminal on a lease agreement for more than 20 years.
The new terminal will have an upgraded capacity of 3.6m TEU, up from 2.4m TEU, to meet the expected growth in future demand and will create 1,400 jobs, according to the statement.
Kuwait-based logistics major Agility recently reported third-quarter net profit of KD21.7 million, an increase of 8.4 percent over the same period in 2018, despite “challenging market conditions”.
The company also posted a 1.6 percent increase in revenue for Q3 to KD400.7 million.
Year to date, net profit was up nearly 8 percent to KD63.6 million while revenue rose 2.2 percent to KD1.2 billion, Agility said in a statement.
Tarek Sultan, Agility vice chairman and CEO, said, “Our infrastructure portfolio of companies drove our results in the third quarter, with all major entities seeing growth.
“Our global integrated logistics business, on the other hand, was affected by challenging market conditions and trade-war headwinds that have affected the industry as a whole,” he said.
“Even so, GIL is moving forward aggressively with its digitization agenda to improve operational efficiency and drive a better customer experience.”
Sultan added, “We continue to invest in technology-driven change and seek to be the digital leaders in our industry… We are also accelerating in-house development, acquisitions, and partnerships to grow our digital logistics platform, Shipa. We believe this is the key to differentiating Agility and positioning us for future growth.”
Q3 air freight volumes fell 15.8 percent (in tonnage) as a result of trade concerns and lower demand from customers across industries and geographies, partially offset by higher yields, the company said.
Averitt Express announced recently that it has expanded its presence in Atlanta, with the opening of a new distribution and fulfillment center.
The Cookeville, Tenn.-based company said that this facility is comprised of nearly 140,000 square-feet and designed to receive, manage, and distribute freight and inventory. Averitt has two other company locations in the Atlanta metropolitan area, with those locations being service centers that are components of its less-than-truckload and truckload distribution networks. And it added that this new facility is part of the company’s branded distribution and fulfillment network that is made up of more than 1 million square feet of freight and inventory staging space spread across more than 20 locations in Central and Southern US.
“We are excited to increase our presence in this vital freight market to better serve the growing needs of our customers,” says Wayne Spain, Averitt’s president and chief operating officer. “Whether it’s moving cargo to or from the Port of Savannah or managing inventory for order fulfillment, this new facility will expand our ability to assist our customers at every turn in their supply chain.”
An Averitt spokesman told LM that this new facility increases the company’s freight-handling capacity in the Atlanta market, explaining this is one of the busiest hubs for freight transportation in the nation and within Averitt’s direct footprint.
“As a branded Averitt Distribution and Fulfillment Center, the location also increases our flexibility to deliver a wider array of services that are not as easily achieved in a traditional service center (terminal) environment,” the spokesman said.
When asked what the main customer benefits of this facility are for shippers, the Averitt spokesman noted how the company can now provide shippers quick access to freight staging space in Atlanta.
“Our team can handle essentially all aspects of freight and inventory management and distribution out of our new facility,” he said. “From a supply chain management perspective, by utilizing our distribution and fulfillment center in Atlanta, or any other similar Averitt location for that matter, we can help reduce the amount of resources and time that a customer would spend by managing their own warehouse or distribution center operation.”
As for Averitt’s Georgia operations, the spokesman said this new facility provides a warehousing and freight staging solution catered to inland service needs.
“This location is positioned to enhance our regional distribution capabilities for shippers as well as localized shipping needs such as final mile and white glove delivery,” he said. “On the other hand, our Averitt PortSide facility in Savannah offers similar services, including warehousing, that are primarily targeted towards shippers that move cargo in and out of the port. By combining the power of our distribution and fulfillment operations with those of our PortSide and traditional trucking service centers, the level of customization that we can offer shippers is practically endless.”
Reed Exhibitions, recently announced that it is organizing SiTL Middle East, a brand-new trade show focused on providing the latest developments in the transport and logistics sector to be held at Dubai South from November 16 to 18, 2020.
The new event is the latest addition to Reed Exhibition’s regional portfolio of events in the UAE covering the major developments and transformations within the transport and logistics sector. The event is set to provide an effective platform for government and industry stakeholders from across the Middle East, Africa and South Asia (MEASA) to access leading technologies that increase efficiency and reduce costs in logistics operations.
In addition, the event will be an important venue for key officials from various countries to hold bilateral discussions, while the UAE Government and other leading commercial entities will highlight the country’s major efforts in building a global hub supported by world-class facilities and services.
Khalifa Al Zaffin, Executive Chairman of Dubai Aviation City Corporation (DACC) and Dubai South, remarked: “Dubai South is committed to make significant contributions towards expanding the capabilities and strengths of the Middle East as an important hub for global logistics and e-commerce. Our vision is in line with Dubai’s and the UAE’s strategy for sustainable growth and continued global leadership. Through SITL ME, we will be gaining new insights and opportunities to grow in terms of technology and innovation, which is essential in the drive towards efficiency and sustainability in business operations and management. We are confident the event will bring about these key focus areas which are highly important for both the government and private sectors.”
Nadia Abdul Aziz, President of Dubai-based National Association of Freight and Logistics (NAFL), said: “The UAE’s logistics sector has been an early adopter of modern technologies which positioned the Arab world’s second biggest economy as a world-class business hub. Dubai had taken a proactive role in planning its development in terms of logistics facilities, zones and investments. We have the best connectivity in the region to reach out to more than three billion population via our both air and sea/rail connectivity.”
Trade/e-commerce is part of the government’s strategy for the future. Logistics passport has been launched, a first of its kind initiative, and also a reward scheme for logistics and freight companies by Dubai Customs World. “Under the Dubai Plan 2021, logistics-related targets are prominent. The strategy has an economic component that aims for the city to become one of the top five logistics centres in the world. Dubai has also launched a new ‘Silk Road Strategy’ aiming to establish the emirate as a global trade and logistics hub,” she said.
The rapid growth of e-commerce and new technologies such as robotics, artificial intelligence (AI), blockchain and Internet of Things (IoT) have made the sector increasingly crucial to businesses where transport and logistics play an essential role. It is part of a supply chain management where planning, implementing and controlling of flow and storage of goods and services take place, from their points of origin to end consumer.
Bombardier Aviation recently announced two new senior leadership appointments across the business aircraft sales team, including Michael Anckner as Vice President, Worldwide Sales, Learjet Aircraft and Corporate Fleets, and Peter Bromby as Vice President, Worldwide Pre-owned Sales. The appointments allow a dedicated focus on growing two important segments of Bombardier’s business aircraft market.
“Learjet aircraft are the ultimate productivity tools featuring industry-leading performance and direct bottom-line benefits,” said Peter Likoray, Senior Vice President, Worldwide Sales and Marketing, Bombardier Business Aircraft. “Combining the Learjet sales team with the Corporate Fleets team is a natural fit as momentum continues following the launch of the Learjet 75 Liberty. Moreover, Bombardier’s business jet portfolio includes the broadest, smoothest flying family of aircraft with the highest reliability and optimized operating costs across the board.”
Michael Anckner has held various positions of increasing responsibility at Bombardier since 2013, most recently as Regional Vice President, Sales, Corporate Fleets and Specialized Aircraft. In his new role, Michael will keep his current responsibilities pertaining to Corporate Fleets and take on the mandate of continuing to increase the Learjet brand awareness and support its success.
“Combining these two groups will naturally allow the Learjet and Corporate Fleets teams to create a unified approach to key markets by sharing knowledge and best practices,” added Likoray.
The pre-owned aircraft market segment continues to play a key part supporting Bombardier’s success. A seasoned business jet industry executive, Peter Bromby’s new role will now focus exclusively on worldwide sales of pre-owned aircraft, contributing to this segment’s strategic growth and providing the highest calibre of support enabling customers to evolve seamlessly within the Bombardier product family.
Adriaan den Heijer took over as executive vice president of Air France KLM Cargo and managing director of Martinair Holland on 1 January 2020.
He succeeded Marcel de Nooijer who joined Transavia as CEO on 1 January.
Heijer has held various commercial, operational and management posts at KLM, Air France KLM and in cargo since 1995.
In 2016, he was appointed senior vice president of pricing and revenue management at Air France KLM.
Pieter Elbers, president and CEO of KLM says, “His experience at Passage and Freight and his commercial and operational background at KLM and Air France make him a worthy successor to Marcel de Nooijer. I am confident that Adriaan will further expand the quality of the service that Marcel and his team put down in Amsterdam and Paris.”
Heijer adds, “I am very enthusiastic about my appointment as executive vice president of Air France-KLM Cargo. AFKL Cargo is a global player with a proven track record of delivering innovative solutions and service excellence. I’m looking forward to joining the engaging spirit of the cargo teams in preparing our cargo business for the future.”
Pasi Nopanen has been appointed Finnair Cargo’s sales director Asia and will take up his position from March 9, 2020, located in Shanghai. Nopanen has extensive experience in the air cargo industry, having worked for airlines and freight forwarding companies during his career. He joins Finnair from Qatar Airways.
“We are very happy to see Pasi returning to Finnair. With his background and his customer-oriented approach he is an ideal person to lead our Asian sales teams,” says Fredrik Wildtgrube, Finnair Cargo’s head of global sales.
Emirates president and aviation industry veteran Tim Clark will retire next year after more than three decades at the world’s biggest long-haul airline, whose growth he took to dizzying heights.
Emirates chairman Sheikh Ahmed bin Saeed on Tuesday sent an internal memo informing company staff of Mr Clark’s departure in June, an Emirates spokeswoman said.
Mr Clark, who turned 70 in November, will continue as a consultant to the airline, according to the memo. There was no information of the company’s plans to find or appoint a successor, the spokeswoman said.
During his 35 year-service at Emirates, Mr Clark helped to transform the Dubai airline into an intercontinental connector that siphoned traffic from well-established legacy airlines and dictated aircraft specification to global plane makers Boeing and Airbus, as per its operational requirements.
Emirates has helped transform Dubai into a major global travel and finance hub.
“It is the end of an era,” independent aviation consultant John Strickland said. “He was a true visionary: without Tim, I believe Emirates would not be the success it is today and the aircraft manufacturers owe him a debt of gratitude for pushing them to make market-leading aircraft that have seen wider success thanks to Tim pushing for greater specification capability.”
Mr Clark is stepping down after conducting what he called a “root and branch” review of the airline’s fleet and network following an end to its flagship Airbus A380 double-decker.
As a result, he has overhauled the Emirates fleet to embrace smaller wide-body jets amid a backdrop of slower travel demand and sluggish economic growth. This culminated in a series of restructured deals at the Dubai Airshow last month that included the mid-sized Boeing 787 Dreamliner and Airbus A350 Neo jets, charting a new strategy for growth for the company.
While the airline has been profitable during the past three decades, it has recently grappled with a series of challenges ranging from geopolitical tensions to lower oil prices, currency fluctuations and trade wars that have hurt the global economy’s growth.
During his 16 years at the helm, the executive has navigated Emirates through periods which have included major financial crises, big industry shake-ups and natural disasters.
Under the Briton’s leadership, the airline pioneered exemplary luxury features that allowed premium passengers to take a shower at 9,000 metres above ground and enjoy a drink at its upstairs bar on the A380 double-decker.
Before joining Emirates, Mr Clark was a route planner at Gulf Air and worked at Caledonian Airways.
The airline executive, who is widely respected in the industry, holds a degree in Economics from London University in the UK and is a Fellow of the Royal Aeronautical Society.
Emirates began operations in 1985 with planes leased from Pakistan International Airlines and has grown today to operate a fleet of 270 aircraft, flying to 159 destinations.
Plane maker Boeing has named current chairman, David L. Calhoun, as CEO and president, effective January 13, 2020 to replace Dennis A. Muilenburg who has resigned from his positions as CEO and board director effective immediately. Calhoun will remain a member of the board.
In addition, board member Lawrence W. Kellner will become non-executive chairman of the board effective immediately.
The company also announced that Boeing CFO Greg Smith will serve as interim CEO during the brief transition period, while Calhoun exits his non-Boeing commitments.
Ronn Torossian, a crisis expert and CEO of leading PR agency 5W PR has commented on the situation in the past, both when the B737 crashes occurred and when the aircraft were originally grounded
He says, “The multiple Boeing crashes over the past year have caused panic among travelers and the aviation industry, with the 737 being grounded and the US Federal Aviation Administration reportedly investigating ‘production issues’ at Boeing’s Max factory. Boeing is already falling behind on its opportunity to regain lost public trust, and now the clock is ticking.
“Boeing needs to make the most of the time that the 737 is grounded, committing to efforts to rebuild consumer trust, as well as customer trust abroad. With Airbus continuing to make leaps on the international market, Boeing can’t afford doubts among either the consumer public or the consumer market, much less both.”
In a company statement, the board of directors “decided that a change in leadership” was necessary to restore confidence in the company “moving forward” as it works to repair relationships with regulators, customers and all other stakeholders.
“On behalf of the entire board of directors, I am pleased that Dave has agreed to lead Boeing at this critical juncture,” Kellner said.
He added, “Dave has deep industry experience and a proven track record of strong leadership, and he recognizes the challenges we must confront. The board and I look forward to working with him and the rest of the Boeing team to ensure that today marks a new way forward for our company.”
Calhoun said, “I strongly believe in the future of Boeing and the 737 MAX. I am honored to lead this great company and the 150,000 dedicated employees who are working hard to create the future of aviation.”
Oman Air has achieved one of its best ever on-time-performance (OTP) rate of 90 percent over the past calendar year.
The achievement makes it one of the best performing airlines globally in 2019 in terms of flight punctuality. This metric measures the airline’s flight punctuality, an important criteria amongst customers, particularly frequent international air travelers, when selecting an airline to fly with.
In December 2019, the year’s busiest month for air travel, the airline earned an industry high of 92 per cent OTP rating.
This is a noteworthy accomplishment in one of the year’s most challenging months in terms of winter weather and seasonal peak volumes with year-end rush of travelers crisscrossing the globe at busy airports.
The 90 percent OTP rate is Oman Air’s highest since 2015, when it flew almost 25 per cent fewer flights than it did in 2019. In the just-concluded year, Oman Air flew 69,656 flights, 34,225 of which departed from Muscat International Airport.
Abdulaziz Alraisi, Oman Air CEO commented, “We are pleased with our on-time-performance reaching the 90 percent mark. This means we are delivering our promise on punctuality. This is an important element of the customer journey. And we will ensure our overall guest experience remains at the top of industry standards. I am grateful to all my hard-working colleagues across Oman Air’s global network for this marvelous achievement in flight punctuality for 2019.”
“Year-on-year, we have been improving in many aspects of our flight operations. The last quarter of 2019 was our best quarter of the year for on-time departures, which once again shows that our ongoing Transformation Program is delivering increased efficiency within the airline and better experiences for our guests”.
Technology has made the world smaller and faster.Real time communication with people from all over the world at different time zones through phones and gadgets
