Profitable EGL adds PE office

SOUTH AFRICA continues to feature at the top of the priorities list for recently launched forwarding major EGL.
That was the unequivocal message from executive vice president Europe, Africa, Middle East and West Asia, Peter Singleton, who was in South Africa last week for the official launch of the fledgling local operation.
"We've been pleasantly surprised by the speed with which the division has taken off and become profitable," Singleton told FTW.
"We didn't expect to be profitable before the end of the year, but we're already there."
After a week of sales calls, Singleton believes that the local market like its counterparts worldwide has a clearly defined need - total supply chain management that works hand in hand with IT solutions.
"Coming from a sophisticated US background we were able to use the best of what was on offer and provide quality systems here.
"We don't want to own trucks, but we want to manage the total supply chain."
And this of course goes beyond the traditional role of the forwarder.
"We can finance goods and source goods, a service which is offered to blue chip companies and which we are keen to introduce to the South African market."
The local EGL operation is building on the company's traditional global strengths in the airfreight and import sectors. where it takes a
vertical industry approach
serving mainly the hi tech, automotive, pharmaceutical, FMCG (Fast Moving Consumer Goods) and offshore oil and gas and heavy machinery markets. Growth in the automotive industry saw the opening this month of an office in Port Elizabeth to better serve this sector.
"Within the group we have seen significant growth particularly in the FMCG and high tech and automotive sectors," said Singelton.
In terms of future outlook, Singleton believes exporters should be capitalising on the positive benefits of the depreciating rand to grow exports, an area in which EGL intends to become increasingly involved.