Whopping increase but more to come

IN THE 16th spot in the 2003 IATA Top 30, Exel Supply Chain Logistics recorded a whopping 65.3% increase in turnover to total R50.8-million for the year. But, as its take-over with Eagle Freight was still being consolidated last year, that company was still listed on the latest IATA statistics – with its own turnover of R14-m, and still holding 29th place in the league. But add the two companies’ turnovers together, said Exel MD Francois van der Merwe, and the overall Exel total was R64.8-m – enough to have merited the company 10th spot. “We are reasonably happy,” he told FTW, “as a merger process is always difficult.” Highlights of the year for Exel were in automotive and textile exports. “That was where our extra business came from,” said Van der Merwe, “but we were also losing a lot of general cargo because of the strengthening of the rand.” He feels that the company now being a combined entity will provide better service facilities to all destinations – particularly to the US, which is the focus for Exel’s automotive exports under the Africa Growth and Opportunity Act (Agoa) export incentive. Exel has also increased its focus on Africa, although seafreight and road transport still tend to outstrip airfreight exports to the continent – and often charters are needed for destinations not on the IATA airlines’ schedules.