Trade volumes grow despite depressed global market

Neutral
consolidator
CFR Freight has
managed to grow
its sea and airfreight trade
volumes between South
Africa and the USA and
South America despite slow
economic growth globally.
Managing director Martin
Keck said the company
was fortunate to have seen
growth in its seafreight
exports to the USA as well as
stable southbound volumes
in a climate where there was
generally no growth overall.
“The biggest challenge
all over the world is the low
freight rates at levels below
sustainability. When the
seventh biggest shipping line
files for business rescue in
Korea it is a sign speaking
for itself,” Keck said.
“Economic and political
instability which we are
seeing in South America,
pre-election USA and in our
own country are creating
volatility and financial
insecurities,” he said.
Keck added that the
intrinsic stability of the
company, which had wellestablished
services and
partnerships with agents
across the Americas, had
been an antidote against
global uncertainty. CFR
Freight has operated as a
neutral NVOCC for over 25
years and offers LCL and
FCL ocean freight, airfreight
and warehousing services.
“We are running direct
seafreight services from
Chicago, Atlanta and New
York into all South African
ports and an export service
from all SA ports to New
York. Brazil and Argentina
– and equally direct
import trade lanes into our
country,” he said.
CFR Freight airfreight
general manager, Stephen
Bishop, said a large segment
of clients had experienced
growth and required
additional airfreight
services. He said regulations
in the US around airfreight
were stringent and the
company constantly worked
with its partners abroad to
keep abreast of restrictions.
“Within South
America, there are often
challenges around customs
regulations, embargoes and
communication back to SA,
so being aware of the status
quo is imperative for us to
assist our clients,” he said.
Bishop added that the
company would be launching
a new rates
management
system by
year-end
which would
have farreaching
implications
for clients
and staff.
“The rand
has been
very volatile
which has
a big effect
on imports
and on airfreight, given
the costs involved. We
will ensure our pricing is
market-related and that we
are distinguishing ourselves
from our competition by
offering
a premier
service and
value,” he
said.
Bishop
added
that the
business was
expanding
its product
range to
focus more
on live
animals and
temperaturecontrolled
services as well
as improved consolidation
services into key territories.
INSERT & CAPTION
The biggest challenge
all over the world
is the low freight
rates at levels below
sustainability.
– Martin Keck