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Multi-hub approach helps mitigate risk for LCL shipments

18 Mar 2021 - by -
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Neutral consolidator CFR Freight is remaining agile in its multi-hub approach as this allows the company to mitigate the risk of using one focal point within the European Union.The past year has not been easy, requiring savvy operations that are adaptable and f lexible in the face of challenge upon challenge.Nicholas von Flemming, CFR national sales manager, admits that the delays and lockdown placed extra pressure on supply chains and that it has been testing to ensure that whether containers are full or empty, the company commits to its schedule of weekly direct departures. Increased freight costs have made the option of a multi-hub LCL product, departing on the same vessels as the FCL product, a compelling one.“With the agility and demand for the neutral product has come growth. This growth is driven by being unique in our market. We have found the recipe to be popular, in catering to the needs of those requiring a total end-to-end solution. Our local strength complements that of our partners in the Worldwide A lliance.”Michelle Horner, trade lane manager, explains that, along with its European partners, the company has the ability to shift and customise service to provide the most direct LCL services into South Africa, ensuring weekly loadings, expedited transhipment handling, and overall transit time efficiencies. Furthermore, allowing the cargo to enter and exit directly into a number of areas has reduced the need for multi-handling associated with LCL. “This is evident in our Nordic, eastern EU and Iberian Peninsula growth levels. Quick and dependable solutions are essential and the European market has the ability to shift focus in line with customer requirements,” s a id Von Flemming.Horner said with increasing costs and diverse requirements for the movement of hazardous cargo, importers and exporters were also looking to LCL as a viable and effective solution for the movement of dangerous cargo.Volumes have been on the increase to Europe, according to Mark Naidoo, trade coordinator, exports. “During the past year, we have seen an increase in PPE, health and sanitary products being exported to Europe as well as wine and organic materials.”It has, however, not been smooth sailing all the way. “Erratic carrier schedules, vessel delays, equipment imbalance and port delays are a major challenge affecting all parties in the logistics sector. A particularly harsh European winter, with low temperatures, ice and snow has created some difficulties within the market as well,” said Horner. “Port delays and omissions within South Africa have added pressure on industry lead times, often requiring corrective planning and amendments to discharge ports.”Importers and exporters are increasingly looking to LCL as a viable and effective solution for the movement of dangerous cargo.– Michelle Horner“

 

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Europe March 2021

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