GLOBAL SUPPLY CHAIN OCTOBER 2022 ISSUE

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Air freight on the upswing; taking off to new heights

Post pandemic, the air cargo sector is on a roll. The air cargo sector is now in robust form harking back to the pre-covid era!

That was the unambiguous encouraging message coming out of the recently concluded three-day IATA World Cargo Symposium (WCS) held in London from 27 to 29 September 2022.

According to Brendan Sullivan, IATA’s Global Head of Cargo, air cargo had a stellar year in 2021 attaining US$ 204billion in revenues and it is expected to go up substantially in 2022. With Covid in retreat and global industry gradually limping back to normalcy, it is now chocks-off and the air travel industry is a major beneficiary.

With increased restoration of flights and air services, the positive fallout has extended to the international air cargo segment. This clearly bodes well for the industry which has seen its fortunes soar in this positive environment.

However, that take-off and surge in business is tempered by geopolitical global developments with far-reaching repercussions. At present, however, social, and economic challenges are mounting. The war in Ukraine has disrupted supply chains, jet fuel prices are high and economic volatility has slowed GDP growth.

These and other polarizing developments are bringing the world closer to brinkmanship and if not addressed or resolved pose a major restraint to growth for the aviation sector. So, although much headway is made, much remains to be done.

This edition has been embellished by a slew of expert contributions and Op-Eds by eminent professionals. Two among these are on food security and micro-fulfillment centres (MFCs), which are becoming the next big step in creating a harmonious omni-channel supply chain.

The ongoing war in Ukraine has sparked a new supply chain crisis, causing exceptional disruption to the food chain. Jason Kay, Chief Commercial Officer, IMS Evolve, provides some insights and potential solutions.

Ongoing shifts in the retail landscape, driven by e-commerce, along with changing customer demands and expectations, are creating an increased need for fast, efficient local fulfillment, opines David Dronfield, General Manager, Swisslog Middle East.

Add to this our regular repertoire of news, features, profiles, business analyses, and useful content all of which are well encapsulated and curated to make for stimulating reading!

Happy reading!

OCTOBER 2022 3

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Up to date news of the Global Suppy Chain industry

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IATA WCS 2022

A report on the recently concluded World Cargo Symposium 2022.

Saudia Cargo-IATA Deal

Carrier signs agreement on Pharma Certification.

Turkish Cargo

The carrier is flying high with major accomplishments.

Etihad Airways

A news round-up.

Quantron

German manufacturer of hydrogenpowered vehicle in expansion mode.

LogisEye

LogisEye has been shortlisted by Taqaddam for prestigious Award.

Cost or Margin Generator?

Consultant Nissrine ElQobai reflects on Supply Chain efficacies.

JAFZA Automotive

Dubai’s JAFZA is now a major automotive hub.

National Logistics Policy

India’s PM Narendra Modi unfurls a new logistics policy.

42 Infor

Three tips to help manufacturers adapt to changing demands

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Frost & Sullivan Intelligent Mobility Summit 2022

The sector adapts and morphs in its quest for a sustainable future

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HBKU White Paper

Empowering SMEs in an age of sharing economy and digital platforms.

44 Food Security

Jason Kay on how global food supply chains can mitigate disruptions

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Abu Dhabi Conference

Innovative Food Systems are key to tackling global food crises—experts

Metito Qatar

Qatar’s first sewage treatment PPP Project awarded to Metito

OpEd Swisslog

Maximizing the synergies of co-locating an MFC within the retail environment

Etihad Rail

Readying for the long haul.

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News roundup

KEZAD

Abu Dhabi’s KEZAD provide integrated ecosystems for strategic industries

4 OCTOBER 2022 October 2022 Issue 95

AD Ports Group reaches key milestone in the construction of CMA Terminals Khalifa Port

n AD Ports Group recently installed the first 90-tonne block for the quay wall of the new CMA Terminals Khalifa Port, marking the major development milestone with a special ceremony.

The development of the new terminal is on track with budgeted capital expenditure of AED 3.3bn. The terminal is expected to be operational in H1-2025 and will be managed by a joint venture owned by CMA Terminals (70% ownership), a subsidiary of global shipping and logistics giant CMA CGM, and AD Ports Group (30% ownership).

When the quay wall is complete, the signed block will be one of more than 6,000 within the 19m deep berth pocket and will be able to accommodate the world’s largest container vessels. Other facilities under development include a 3,500m offshore detached breakwater, a fully built-out rail platform, and 1,000,000 sqm of the terminal yard.

Once ready, the new terminal will have an initial capacity of 1.8mn TEUs, will be fully integrated with Etihad Rail and will significantly enhance Khalifa Port’s connectivity and position as a key gateway for the region.

“With the arrival of CMA CGM, Khalifa Port is now providing hubs for three of the world’s top four shipping lines, consolidating our position as a leading facilitator of trade, logistics and industry,” remarked Saif Al Mazrouei, CEO, Ports Cluster, AD Ports Group.

“This is an important moment for

SAFEEN Feeders joins CMA CGM Group in launching new service for Southeast Asia

n AD Ports Group’s SAFEEN Feeders will collaborate with shipping leader CMA CGM Group, a global player in sea, land, air, and logistics solutions, in launching a new Southeast Asia service linking Singapore, Colombo and Chennai.

The company’s ‘SAFEEN Pioneer,’ which has a container capacity of 2,034 TEUs, will join CMA CGM Group’s ‘Songa Tiger’ on the India East Coast Express 2 service, connecting these key ports. SAFEEN Feeders will market the service under the name Singapore Chennai Colombo Service (SCC).

This will be SAFEEN Feeders’ first service to call in Southeast Asia, as the company continues to expand its global reach.

“We are very proud to be working with our partner, CMA CGM Group, on the India East Coast Express service. This service connects key global markets with some of the busiest ports in the world and will help boost trade and improve delivery times,” commented Captain Ammar Mubarak Al Shaiba, Acting CEO – Maritime Cluster and SAFEEN Group, AD Ports Group.

SAFEEN Group delivers a comprehensive range of port and marine services, transshipment, offshore and subsea logistics and feeders services, a press statement concluded.

our company and our partners, as work continues to develop this new terminal, which will expand our Group’s shipping and logistics network in the region,” noted Michael Lund Hansen, CEO of CMA Terminals Khalifa Port.

Saif Al Mazrouei and Michael Lund Hansen signing the first 90-tonne block for the quay wall of the new CMA Terminals Khalifa Port.
6 OCTOBER 2022
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AP Moller-Maersk signs landmark agreement with Dubai South

n Maersk Kanoo UAE recently signed an agreement with Dubai South for its new warehousing and distribution (W&D) facility in Dubai.

The agreement was signed by Christopher Cook, Managing Director, Maersk UAE and Mohsen Ahmad, CEO, Logistics District, Dubai South, at the regional headquarters of Maersk West & Central Asia in Dubai.

The 15,000sqm Maersk Integrated Logistics Centre DWC facility in the Dubai South Logistics District will have a capacity to cater to 15,000 pallet positions and 10,000 bin locations; it will also serve as a fulfillment centre.

“This will allow us to further build on our air-sea hub operation, which has become increasingly important while also satisfying the right balance between speed and cost with tremendous flexibility,” asserted Cook.

“In reinforcing Dubai’s status as global trade and air-freight logistics hub, we will spare no effort to offer Maersk optimal

solutions to further advance its air cargo operations as well as support them in their growth journey,” affirmed Mohsen Ahmed.

The Maersk Integrated Logistics Centre DWC at Dubai South will become operational later in September 2022. The new facility will allow Maersk to operate a hybrid model of a bonded

and non-bonded warehouse and truly fulfil different customer needs, including that of a fulfillment centre for end-to-end e-commerce solutions, a press communique indicated.

n RouteQ, a provider of cloud-based, AI-driven solutions for route planning, recently announced that Dubai-based online gifting platform, BloomingBox, has leveraged RouteQ’s route-optimization and track-and-trace solutions to enhance last-mile delivery operations, reduce costs, improve customer satisfaction, and spur business growth.

Launched in 2018 by UAE-based entrepreneurs Tariq Abu Samra and Jaya Arunasalam, BloomingBox is an online gift platform specializing in same-day delivery of premium products including flowers, plants, cakes, boxed confectionery, hampers and a range of other high-end items.

“All aspects of our world are digitalfirst now. At BloomingBox, we offer unique items that redefine the art of

gifting, but we also must be able to meet customer demands for rapid, accurate and reliable delivery,” remarked Jaya Arunasalam, Managing Partner, BloomingBox.

BloomingBox operates a hybrid delivery model comprised of its own workforce of drivers and a dedicated fleet of cars and bikes, supplemented by an on-demand fleet of cars. The model was selected for its potential to meet fluctuating demand cycles caused by seasonal and unforeseen factors.

To deliver orders to customers’ doors on time, every time, BloomingBox divides its order fulfilment into three main functions. First-mile

services are responsible for picking up items from suppliers and delivering them to BloomingBox’s warehouse. Middlemile services cover transport between the warehouse and the company’s redistribution hubs. The last-mile services deliver the orders to customers.

“To compete, the customer experience must be the prime focus. In the modern economy of ‘at-home everything,’ last-mile delivery is a critical component of how people shop,” observed Vladimir Nesterov, General Manager, Middle East, RouteQ.

The Maersk and Dubai South delegations following the signing of the landmark agreement. Tariq Abu Samra (L) and Jaya Arunasalam, Co-founders, BloomingBox.
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RouteQ empowers BloomingBox to offer premium gifting delivery service in the UAE

Major progress for Gulftainer in Saudi Arabia

n Gulftainer has announced substantial growth in its commercial and container operations in Saudi Arabia.

The Gulf Stevedoring Contracting Company (GSCCO), part of the Gulftainer group of companies, boasted a 12% drastic increase in terminal activity at Jubail Commercial Port since 2021, at 347,000 TEUs. An additional 21% yearon-year increase in tonnage for general cargo at the terminal was also reported, with 2.7mn metric tons for the first half of 2022.

Within the same calendar period, the Jubail commercial team successfully navigated a contract with JESCO for 600,000 metric tons per annum of steel. MSC has also added a new feeder service, MEF-L4 through Jubail, adding to our

projection of volume for the remainder of the year.

“I am very proud of the team’s efforts commercially and we are focused on continual improvement for the remainder of the year,” stated Robert Hambleton, Managing Director, Gulftainer, KSA

“Despite the challenges posed by the pandemic, we have seen a steady increase in business. Our focus this year has been to remain efficient and provide our customers with a seamless experience,” commented Peter Richards, CEO, Gulftainer.

Jubail’s strategic geographic location has enabled it to continue to evolve into a pivotal gateway for international trade and industrial activity, enhancing Saudi Arabia’s economic and trade potential. The city is home to Gulftainer’s flagship facilities, including the Jubail Container Terminal (JCT), contributing significantly to the region’s economic activity.

RTA and Careem’s Joint Venture Hala welcomes Khaled Nuseibeh as new CEO

n Hala, the first partnership between the public transport authority (RTA) and a private company (Careem), has well revolutionized how people travel around the city.

The Hala Board has announced the appointment of Khaled Nuseibeh as Chief Executive Officer (CEO), following five years as General Manager for Emerging Markets and GCC at Careem, which will see the unique venture realize a new set of goals.

Hala officially launched in August 2019 and a month later celebrated a milestone of the one millionth trip booked.

Pursuing his wealth of knowledge and interest in technology advancement, Nuseibeh successfully led nine key markets across the GCC and Middle East as General Manager at Careem.

“Hala’s success story and unlock its full potential through enhanced customer experience and reliability, while continuously progressing our value to all our riders and Captains,” commented Nuseibeh.

Peter Richards, CEO, Gulftainer. Khaled Nuseibeh, CEO, Hala.
8 OCTOBER 2022
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Egypt Post signs agreement with SAP

n The Egyptian National Postal Organization (ENPO) and SAP have recently signed an agreement to establish a RISE with SAP Private Cloud, in addition to modernizing software applications and introducing best global practices of postal services.

The contract was signed by Dr. Sherif Farouk, Chairman, ENPO, and Sergio Maccotta, Senior Vice President and General Manager, SAP Middle East South.

“This protocol is the culmination of the continuous cooperation and strategic relationship between Egypt Post and SAP and is part of our ongoing efforts to implement the best technology solutions throughout all our services and transactions using advanced software solutions and integrated digital services to facilitate and secure internal and external transactions,” affirmed Dr. Farouk.

“This agreement represents a big technological leap for us, as it aims to transform the current work processes on the advanced global technological RISE with SAP platform as an integrated solution on a private cloud,” commented Ehab Abu Bakr, Vice Chairman, Digital Transformation, ENPO.

“This new agreement is an example of how SAP is supporting ENPO to reinvent its processes and services, promote innovation, and deliver new services,” asserted Mohammed Samy, Managing Director for SAP Egypt.

Abu Dhabi Airports appoints Jamal Salem Al Dhaheri as its new CEO

n Abu Dhabi Airports has appointed Jamal Salem Al Dhaheri as its Chief Executive Officer.

A seasoned business leader, Al Dhaheri’s appointment will continue the journey of success achieved by Shareef Hashim Al Hashmi for Abu Dhabi Airports, taking the organisation to the next phase of transformation to become a regional leader in airport management and operations, a press communique stated.

Al Dhaheri brings more than 27 years of experience in leadership positions across several prominent companies in Abu Dhabi. For five years, Al Dhaheri was the Chief Executive Officer of General Holding Corporation (Senaat), before ending his tenure in 2020 to lead ADQ’s newly formed food and agri-tech company Silal, also as Chief Executive Officer.

Al Dhaheri is currently Chairman of the Board of Directors of Dubai Cables (Ducab), Chairman of Silal and Vice Chairman of Emirates Steel Arkan.

In support of its vision to deliver world-class transport, logistics and freezone services through cutting-edge infrastructure, Al Dhaheri will oversee Abu Dhabi Airports’ ambitious air cargo masterplan to invest in the facilities and infrastructure at Abu Dhabi International Airport to ensure enhanced safety and efficiency of all airport and aircraft operations and processes.

Dr. Sherif Farouk, Chairman of the ENPO, and Sergio Maccotta, Senior Vice President and General Manager, SAP Middle East South. Jamal Salem Al Dhaheri, CEO, Abu Dhabi Airports.
OCTOBER 2022 9
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ARIA Commodities announces AED 154mn investment projects in Hamriyah Free Zone

n ARIA Commodities, the market leader in the field of Asphalt and Distillates and Storage Infrastructure Development, recently announced it will invest a total of AED 154mn (US$ 41.93mn) in the construction of four plants in the Hamriyah Free Zone, including a bitumen plant, a refinery, a tyre recycling plant, and a storage terminal.

ARIA has also announced that it will lease three additional plots of land in the free zone, bringing the total number of plots acquired to five, with a combined area of 540,000 sq.ft.

ARIA’s new expansion plan was revealed during a ceremony held recently to sign a lease agreement with the Hamriyah Free Zone Authority (HFZA). In attendance were Saud Salim Al Mazrouei, HFZA Director, and Mirat Bhadlawala, CEO, Energy Business and Chief Optimization Officer, ARIA Group with senior officials from both sides.

“ARIA’s new plants will be eco-friendly. Not only will the four plants improve the optimum use of natural resources, but they will also help reduce industrial

waste and extend the life cycle of materials and products by adopting environmentally friendly measures,” stated Al Mazrouei. For his part, Bhadlawala stressed that ARIA aims to be a onestop-shop in road and civil construction, manufacturing, and trading of distillates, not just within Hamriyah but expanding our reach globally to cater to the gas oil and bunkering markets too.

Veolia extends water reuse process for Qatari dairy producer Baladna

n Following the first stage completed in 2020, Qatar’s leading dairy producer Baladna renewed its trust in Veolia Water Technologies to extend the wastewater treatment capacity at its farm in Al Khor, north of Doha.

Baladna is home to over 24,000 cows that are spread over 2.6mn sqm and will now recycle 22,000 cbm / day of wastewater.

The partnership started in 2020 with

the design and construction of a 6,000 cbm / d wastewater treatment plant, allowing for the treated water to be reused for irrigation within the farm and, following further treatment by reverse osmosis, to spray and cool the cows during hot summer months. Based on this successful project, Baladna decided to go further in 2021 by tripling the treatment capacity to 22,000 cbm / d.

“This project marks a major milestone

on the sustainability journey of Baladna and will significatively contribute to improving the environment for the surrounding Al-Khor area,” affirmed Piet Hilarides, CEO, Baladna.

“This project will reduce the strain on freshwater resources while eliminating the need for huge water treatment lagoons and the visual and odour pollution caused,” remarked Thierry Froment, CEO Veolia Water Technologies Middle East.

Baladna
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Fugro expands its presence in the Middle East with new facility in JAFZA

n The leading global Geo-data solutions provider, Fugro has inaugurated a new facility in the Jebel Ali Free Zone (JAFZA) expanding its footprint in the Middle East and India region.

With this new facility, Fugro reaffirms its commitment to offering expertise and advanced Geo-data solutions to the rapidly growing energy, infrastructure, and construction industries in the Middle East and India.

The new 28,000sqm facility will be the new base that advances collaboration between teams and will function as a regional base combining expertise to support clients with advanced Geo-data solutions.

The facility will also host a state-of-the-art Remote Operations Centre (ROC) expanding the company’s remote and autonomous capabilities, transforming the maritime sector.

Since entering the Middle East in the early 1970s, Fugro has established itself in multiple strategic locations across the region including Qatar, Egypt, India, and Saudi Arabia.

The new facility was inaugurated by the Fugro Board of Management Mark Heine and Barbara Geelen and attended by

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the Consul General of the Netherlands in Dubai and Abdulla Bin Damithan, the CEO & Managing Director DP World UAE and JAFZA.

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Emirates Glass partners with Schott to provide fire-resistant glass

n Emirates Glass recently signed a deal with the international technology group Schott to provide architects in the Middle East and beyond with highperformance glazing that combines fire-resistance and design freedom in a unique way.

With rich color nuances and an abundance of patterns, the new offering opens attractive possibilities for fireresistant glazing of facades, partition walls, skylights, rooflights, doors and windows that meet international safety requirements according to a press communique.

Present at the signing ceremony were Abdulaziz Bin Yagub AlSerkal, CEO, Industrial Platform, Dubai

Investments; Ahmed Al Shared, Head of Operations, Dubai Investments; Rizwanulla Khan, Executive President, Emirates Glass along with Stefan Hergott, Vice President, Schott, Special Flat Glass Business.

“Opening the possibility of revolutionary viewing options, these glass series offer a wide range of individual solutions, ensuring maximum flexibility to meet complex demands,” commented Khan.

“Partnering with Emirates Glass allows us to enhance our presence and address the requirements of regional customers at the same time. We are looking forward to the cooperation,” remarked Hergott.

OCTOBER 2022 11 Fugro serves clients around the globe, in the energy, infrastructure and water industries, both offshore and onshore.

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WebOps Global, the world’s leading healthcare supply chain, debuts in the UAE

n WebOps Global, the Atlanta, USA-based world’s leading healthcare supply chain solutions provider, has launched its first international headquarters in the UAE.

As the healthcare sector in the country witnesses a rising demand amidst rapid digital transformation, infrastructural development, a strong regulatory framework to protect patients, and advancements in patient care delivery to build a seamless healthcare ecosystem, WebOps Global will provide for the growing needs of the sector in the country and beyond.

Being one of the most ambitious countries in the GCC, especially with regard to its healthcare sector, the UAE was deemed the ideal location for WebOps to open its first international

SupplyVan makes conscious efforts towards sustainability

SupplyVan, the largest MRO (Maintenance Repair Overhaul) E-Commerce Store in the Middle East is supporting the cause of sustainability through their packaging materials.

According to the ‘Green Economy Initiative’ launched by the UAE Government in January 2012, the country seeks to become a successful model of the new green economy and enhance its sustainability.

To support this project, SupplyVan does not use excessive packaging materials to pack the products unless necessary to protect the items during transit. Through their recently implemented same-day delivery system, SupplyVan’s delivery vehicles and drivers are trained to handle small and large deliveries, the company said in a recent press communique.

Many of their products are delivered in their original packaging (without the use of additional packing materials) as provided by the manufacturer thereby reducing the consumption of paper and plastic packaging materials. The E-commerce company packages products for delivery using only recyclable materials, the press statement continued.

“SupplyVan is doing its part to reduce the carbon footprint. Having grown fivefold in less than two years, SupplyVan has set a stellar example that embracing sustainability does not have to come at the cost of a lucrative company growth rate.,” asserted Ali Asgar Raja, CEO and Founder, SupplyVan.

The first and largest dedicated MRO E-Commerce Store in the Middle East, SupplyVan sells more than 1,700 brands online including major brands such as Makita, Stanley, 3M, DeWalt and Bosch.

headquarters after operating in the USA for more than 15 years, according to a corporate press communique.

“At WebOps our purpose is to have the right device at the right time for the right patient, and we are committed to improving patient care by enhancing the healthcare supply chain,” affirmed Hamid Dean Refai, General Manager, WebOps Global.

About 93 percent of hospital executives say that they have experienced supply chain disruption in their inventory over the last

year, and most of them want to invest in ensuring they have the right inventory while controlling their costs, according to a press communique.

“As the healthcare sector continues to grow and mature, it is vital to limit the possibility of rising costs, and we at WebOps look forward to supporting the region by leveraging efficient supply management and automated workflows as these exciting times continue,” concluded Refai.

Al Payne, CEO, WebOps LLC (R) speaking to the media.
12 OCTOBER 2022
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Al Masaood Power showcases first UAE-built smart electric charging solution

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n The first of its kind solar-power solution will help decarbonize the transport sector

Al Masaood Power Division, part of the Al Masaood Group, one of Abu Dhabi’s leading business conglomerates, has showcased its latest UAE-built smart electric charging solution, SHAMS+ (SHAMSPLUS), at the recently concludedEnvironment & Development Forum (EDF) 2022 held in Cairo, Egypt.

During the event, Al Masaood Power is highlighting the significance of innovations such as SHAMS+ as an important solution to decarbonize the transport sector in line with its commitment to promote green mobility and help achieve UAE’s Net Zero emissions strategy by 2050.

“Our participation at the forum reflects our commitment to promoting sustainability and achieving netzero emissions,” remarked Rasso Bartenschlager, General Manager, Al Masaood Power Division.

SHAMS+ is a multi-user charging and solar-powered solution for electric vehicles (EVs) including cars, buses, trucks, and marine vessels that can meet all the mobility sector’s charging needs while being sustainable and environmentally friendly.

This cordless, off-grid and high-power DC solar charging system is an ideal solution for marine docks, for the desert, agricultural fields, interstate highways and can also be implemented in the city.

With smart internet-based and universal charging ventures, the solution will provide sustainable charging through solar energy at the highest charging speed starting from 25 minutes, a press communique concluded.

UAE-based G42 Healthcare collaborates with Amazon Web Services

n G42 Healthcare, the Abu Dhabi-based leading health tech company and a subsidiary of artificial intelligence and cloud computing company G42, has announced a partnership with Amazon Web Services (AWS) to develop new global genomics, proteomics, and biobanking service.

G42 Healthcare owns the region’s largest Omics Centre of Omics Excellence in Abu Dhabi, which can deliver over 500,000 whole-genome sequences per year.

“Our offering aims to leverage the extensive omics data management and bioinformatics solutions hosted globally on AWS at our customers’ fingertips. For us and AWS, this collaboration is about much more than data; it is about value,” stated Ashish Koshy, CEO, G42 Healthcare.

“The cooperation between G42 Healthcare and AWS is an exciting milestone to provide on-demand service for multi-omics data globally,” remarked Jens Dommel, Head of Public Sector Healthcare, EMEA, Amazon Web Services.

Ashish Koshy, CEO, G42 Healthcare. The Al Masaood Power team at EDF 2022.
14 OCTOBER 2022

ADNOC awards US$ 1.83bn framework agreements for drilling-related services

n Abu Dhabi National Oil Company (ADNOC) recently announced the award of five framework agreements valued at US$ 1.83 bn (AED 6.72bn) for directional drilling and logging while drilling (LWD) to support its efforts to expand production capacity of its low carbon oil and gas resources to help meet the world’s growing demand for energy.

The framework agreements are the largest of such awards in the oil and gas industry and were awarded to Al Ghaith Oilfield Supplies and Services Company, Al Mansoori Directional Drilling Services; Schlumberger Middle East; Haliburton Worldwide Limited Abu Dhabi and Weatherford Bin Hamoodah Company following a competitive tender process.

The awards cover ADNOC’s onshore and offshore fields and will run for five years with an option for a further two years. Over 75% of the award value could flow back into the United Arab Emirates (UAE) economy under ADNOC’s

In-Country Value programme over the duration of the agreements.

“These awards build on our ongoing investments in drilling services and they will deliver substantial in-country value for the nation to support economic growth and diversification, in line with the UAE Leadership’s wise directives,” commented Yaser Saeed Almazrouei, Executive Upstream, ADNOC Upstream.

The framework agreement awards will support ADNOC’s requirement to drill thousands of new wells to expand its production capacity to five million barrels per day (mmbpd) by 2030, enable gas self-sufficiency for the UAE and remain a leading low-cost, low-carbon oil producer. The awards will also enable hundreds of millions of dollars in cost savings, a press communique concluded.

ADNOC Refining to complete first phase of Waste Heat Recovery Project

n The Abu Dhabi National Oil Company (ADNOC), Eni, and OMV, are set to complete the first phase of its innovative Waste Heat Recovery project at the General Utilities Plant in Ruwais, Abu Dhabi.

ADNOC produces some of the world’s least-carbon intensive crude and the company is further reducing its greenhouse gas (GHG) emissions intensity by 25% by 2030, aligned to the UAE Net Zero by 2050 Strategic Initiative.

The Waste Heat Recovery project is one of several strategic initiatives to decarbonize ADNOC’s operations and builds on the company’s heritage of responsible environmental stewardship.

This includes milestones such as the implementation of a zero routine gas flaring policy in the early 2000s and establishing the region’s first commercial-scale Carbon Capture and Underground Storage facility in 2016.

Started in 2018, the $600 million (AED2.2bn) Waste Heat Recovery project will recycle waste heat generated from the plant to produce up to an additional 230 megawatts (MW) of electricity per day – enough to power hundreds of thousands of homes.

“The Waste Heat Recovery project will revolutionize power and water generation at our plant in Ruwais and is vital to the ongoing expansion of Ruwais as part of ADNOC’s 2030 smart growth strategy,” remarked Abdulla Ateya Al Messabi, CEO, ADNOC Refining.

ADNOC’s Waste Heat Recovery project is designed to capture exhaust heat from the gas-powered turbines at ADNOC Refining’s General Utilities Plant, which is currently vented into the atmosphere, to produce steam that is subsequently used for power production.

OCTOBER 2022 15
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Emirates SkyCargo upgrades customers to a seamless booking experience with WebCargo

n Emirates SkyCargo is adding a new channel for its customers around the world to directly access and book its flights for cargo shipments, in a digitalled move to enhance user experience and booking efficiency.

Working with WebCargo by Freightos, the industry’s largest air cargo booking platform, Emirates SkyCargo customers will have quick and easy direct access to the cargo airline’s flights and inventory to make direct bookings.

“Partnering with WebCargo enables us to improve access to our products and services and provide a secure and convenient booking channel for our customers,” remarked Nabil Sultan, Emirates Divisional Senior Vice President, Cargo.

“We continue to see that instant pricing and booking, whether on WebCargo.co or via WebCargo’s APIs, delivers dramatic improvements in efficiency and data reliability, while providing the flexibility needed to navigate today’s supply chain

disruptions,” observed Zvi Schreiber, CEO, Freightos Group

Emirates SkyCargo is rolling out customer access to the WebCargo platform in a phased manner, with Spain, The Netherlands, Germany, France, Italy, The United Kingdom, and Turkey going live tomorrow.

By the end of October, Emirates SkyCargo’s inventory on the WebCargo

platform will be available to customers across all of Europe, followed by Australia and the United States in November. Customers in Asia and Africa will have access by January 2023.

WebCargo is the most advanced digitization platform for logistics service providers. WebCargo joined the Freightos Group in 2016 a press communique concluded.

P&O Maritime Logistics takes possession of new bespoke vessels in PNG

n P&O Maritime Logistics, a leading provider of maritime services globally, is taking delivery of two new bespoke vessels designed specifically to service Ok Tedi Mining Ltd (OTML) in Papua New Guinea (PNG).

Operating on the Fly River and in the Gulf of Papua, P&O Maritime Logistics’ new vessels will work to transport mainly copper concentrate for export – a key ingredient in developing renewable technology and in urbanisation.

With no road or rail links to the mine, P&O Maritime Logistics has been a longterm partner in enabling the development of the mine, servicing the route since the late 1980s, a press communique indicated.

The company is scheduled to take possession of the first vessel in midSeptember followed by the second vessel in mid-October.

“Our new vessels built and customised for operating on the Fly River are a testament to this approach: we put our

customers first and invest in their success,” commented Martin Helweg, CEO, P&O Maritime Logistics.

“This deal also provides the opportunity for more cadets from Western Province to

get seat time training under P&O Maritime Logistics. We look forward to continuing this partnership with the addition of the new vessels to the fleet,” remarked Musje Werror, Managing Director and CEO, OTML.

16 OCTOBER 2022
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ENEC strengthens UAE-France cooperation in the nuclear energy sector

n The Emirates Nuclear Energy Corporation (ENEC) recently signed a Memorandum of Understanding (MoU) with CSFN (French Nuclear Cluster) at the fifth edition of E-Fusion.

The event brings together the UAE and French nuclear sectors to further develop and strengthen their collaboration to support the development of the global nuclear supply chain. E-Fusion is organized by ENEC in partnership with Business France, the national agency supporting the international development of the French economy and CSFN.

ENEC and CSFN’s new MoU will focus on future enhancement of a local supply chain for the UAE Peaceful Nuclear Energy Program and the Barakah Nuclear Energy Plant, increase local manufacturing and supply of components and equipment and enable greater sharing of knowledge, skills and expertise.

“France is a leader in the field of nuclear energy and the UAE has been considerably expanding its capacities in this field. E-Fusion is a very important initiative in this regard,” stressed HE Xavier Chatel, the

French Ambassador to the UAE.

“The development of a high-tech nuclear supply chain in the UAE is contributing to the intellectual wealth of the nation and the Industrialization Strategy. We look forward to continuing our work with organizations from responsible nations, including French enterprises that have been key partners for many years,” observed HE Mohamed

Ibrahim Al Hammadi, Managing Director and CEO, ENEC.

“E-Fusion is now entering a new dynamic with a shared governance between UAE and France. This cooperation aims at developing opportunities for our two countries, contributing to a neutral carbon future,” noted Hervé Maillart, Head Coordinator for the French nuclear industry.

ADAFZ to welcome new cargo businesses at Cargo Village and Terminal

n Abu Dhabi Airports Free Zone (ADAFZ), a subsidiary of AD Airports, revealed that they are approaching successful completion of the Cargo Village and Terminal rehabilitation project.

As part of an expansion strategy to increase cargo capacity, enhance operational capabilities and attract new business opportunities, the project has equipped the cargo facilities within ADAFZ with vital upgrades that meet the latest aviation industry standards.

Among the most vital upgrades is the new cool storage facility, developed in collaboration with Etihad Airport Services and Etihad Cargo, which will enable the airport to handle temperature-sensitive air cargo, such as pharmaceuticals, healthcare and life sciences products, in optimal conditions.

With a dedicated temperature-controlled area of more than 3,300sqm, the cool storage facility broadens the AD Airports capabilities to handle all import and transit shipments, and store loose cargo and unit load devices (ULDs).

“Infrastructure advancement is a central

enabler for vibrancy and sustainability across business and industry, something we aim to capitalise on alongside all existing and potential free zone partners with cargo requirements,” commented Eng. Jamal Salem Al Dhaheri, Managing Director and CEO, Dhabi Airports.

ADAFZ is committed to better support companies and their cargo strategies, as well

as the logistics industry and cargo market share regionally. Increased cargo volumes and direct airside access to the Cargo Village are also available for businesses interested in direct import and export operations, aligning with the ADAFZ objective to establish a unique and preferred business destination for local and international organisations across all sectors, a press communique concluded.

18 OCTOBER 2022

Etihad Rail moves to a self-operating model

n Etihad Rail has concluded, ahead of schedule, the knowledge transfer programme with Deutsche Bahn (DB), Europe’s largest railway operator and infrastructure owner.

The partnership between the two organizations, oversaw the establishment of the joint venture Etihad Rail DB in 2013, where the exchange of knowledge in railway operations, operations control centres (OCCs), maintenance of rolling stock, and development of the operating rules and regulations, was integral for subsequent operations.

This took place during InnoTrans 2022, the leading international trade fair for transport technology, which was held in Berlin, Germany from 20-23 September 2022.

These areas of support and experience shared by Deutsche Bahn led to the achievement of critical milestones, enabling Etihad Rail to establish a vital national industry through the creation of the UAE’s first railway network.

Supplementary to knowledge transfer,

Deutsche Bahn provided Etihad Rail with guidance on the Health, Safety, Environment, & Quality (HSEQ) requirements and the development of the Operational Safety Case, which ultimately resulted in Etihad Rail DB’s accreditation as the UAE’s first heavy rail operator.

“We conclude our knowledge transfer programme with our partner of almost a decade; Deutsche Bahn, ahead of schedule

NEWS

and in line with international best practices,” remarked Shadi Malak, CEO, Etihad Rail.

“Together we have achieved the highest customer satisfaction with ADNOC, made a significant contribution to climate protection by saving a large amount of CO2 emissions, and kept our promise to provide a sustainable knowledge transfer to our partner Etihad Rail and the Emirati people,” commented Niko Warbanoff, CEO, DB.

Agility Ventures invests in fast-growing e-Commerce platform

n Agility recently announced that its venture capital arm, Agility Ventures, has invested in Shiprocket, India’s leading tech-enabled last-mile delivery aggregator and order management platform, based in New Delhi.

Shiprocket has attracted investment from multiple global and Indian venture capital firms and e-commerce service providers since it was established in 2017. The company simplifies last-mile delivery by consolidating invoices, offering more affordable prices, and locating the fastest, most reliable couriers.

Henadi Al-Saleh, Agility Chairperson and head of Agility Ventures, announced the investment, saying it was part of Agility’s strategy to expand its leadership in digital logistics and e-commerce in high-growth markets through in-house development, acquisitions, and investment in innovative startups.

Al-Saleh indicated Shiprocket has the ‘first-mover advantage’ in India’s potentially massive e-commerce market and has built successful products for which there is a growing appetite in the Middle East/North Africa, including post-checkout services for

smaller digital sellers.

“Shiprocket has excelled by building cutting-edge products that solve major logistics problems for business customers as they scale, much like PayPal supported merchants with payments solutions. It has also managed to plug a big hole in the B2C e-commerce space by offering customers of direct-to-consumer brands a seamless post-

checkout experience that includes delivery,” Al-Saleh remarked.

“The Middle East is a key market for Shiprocket and we are working towards providing the best technology solutions for e-commerce sellers, D2C brands and SMEs in the region via our Shiprocket Direct and Wigzo platforms,” commented Akshay Ghulati, Co-Founder, Shiprocket.

OCTOBER 2022 19
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a training programme, which was conducted by the French Customs. The four-day training targeted 30 inspection officers from Dubai Customs.

At the closing ceremony, Ahmed Mahboob Musabih, Director General of Dubai Customs, CEO of Ports, Customs and Free Zone Corporation welcomed the French guests: Nathalie Kennedy, Consul General of France; Rafik HOUNASRegional Customs Attaché; Sally Jarjour, Assistant Customs Attaché, Olivier Herbault, Deputy Head, Le Havre port container targeting unit in the presence

heads of departments and the inspectors participating in the programme.

Musabih thanked the French training team for the great training programme that reflects the deep ties between Dubai Customs and the French Customs.

“Dubai Customs strategic plan 20212026 aims to lead safe customs globally, which inspire us to work diligently to enhance the skills of the customs inspection staff and adopt an integrated series of procedures and techniques to address all smuggling attempt,” emphasized Musabih.

DP World moves 10 millionth unit at London Gateway

n DP World announced that its terminal at London Gateway has handled its 10 millionth container, just nine years after the smart logistics hub on the doorstep of the capital opened for business.

The milestone illustrates the remarkable track record of growth at London Gateway, which last year transported 1.8m TEU, an increase of almost 650 per cent compared with its first full year of operation in 2014. A new £350m fourth berth will further increase capacity by a third when it opens in 2024.

“After the disruption of recent years, shipping lines and cargo owners are looking for capacity, reliability and growth opportunities. We are providing it, enabling customers to move goods smoothly and efficiently in and out of the UK and across their supply chains,” commented Ernst Schulze, UK Chief Executive of DP World.

DP World operates the UK’s most advanced logistics hubs: two deep water ports at London Gateway and Southampton with access to freight rail terminals. By offering a choice of deep-water entry and exit points to and from UK, the leading

provider of smart logistics solutions offers greater flexibility and choice for shipping lines, cargo owners and exporters.

DP World announced in July that London Gateway handled more than one million TEU in six months between January and

Customs centers are provided with the latest advanced inspection devices, in addition to the continuous development of the ‘Siyaj’ initiative, which aims to tighten control over seaports to protect society and the economy relying on modern AI technologies, drones and boats that are equipped with advanced systems to monitor and track vessels ships before they enter the ports.

“Presently, the UAE is France’s number one trade partner in the Middle East accounting for 34.5% of France’s exports to the region,” remarked Natalie Kennedy.

June, a record for the port. This performance contributed to a record volume of cargo in the first half of the year for DP World’s ports in the UK, with a combined total of 1,937,000 TEU when factoring in throughput at Southampton.

20 OCTOBER 2022
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Empowering SMEs in an age of sharing economy and digital platforms

The impact of the pandemic has been profound on SMEs

A trio of academicians, Ahmed Abdul Hadi Haqqani, Dr Adel Elomri, and Dr. Laoucine Kerbache from the Division of Engineering Management and Decision Sciences, College of Science and Engineering, Hamad Bin Khalifa University (HBKU), in Doha, Qatar examine the ramifications of the growing interface between SMEs and modern emerging technologies.

ENERGIZING SMES 22 OCTOBER 2022

The effects of the global pandemic and the rapid growth of e-commerce have led to the acceleration of the digitalization of supply chains across the world. In 2020, the e-commerce market amounted to US$ 4.28trillion with projections to reach US$ 5.4trillion by the end of 2022.

This growth has led to huge investments in digital supply chain management around the world. This growth is enabled by the development in areas such as the Internet of Things (IoT), sensor networks, sharing economy, and artificial intelligence (AI), among many other smart solutions.

Profound impact

The impact of the pandemic has been profound on SMEs (Small and Medium Enterprises) and startups due to the disruption caused to their respective supply chains. According to the report by the United Nations, in 2020, 1/5th of all SMEs were permanently closed in the US, 47% in India, 60% in the Philippines and 10,000 formal closures in Mexico.

The impact on exports and other trade activity resulted in a drop in goods exported globally from US$ 19trillion (2019) to US$ 17.5billion (2020). The disruption was caused by the abrupt change in consumption, consumer behaviour and the problems faced to acquire raw materials and other critical resources during the pandemic. A key challenge faced by SMEs and startups around the world is market access, which became an even greater problem during the pandemic.

Developments of Sharing Economy to Empower SMEs

The advent of digital platforms provides SMEs and startups with an opportunity to thrive by participating in the sharing economy ecosystem. The concept of sharing economy also referred to as collaborative consumption or the peer economy is based on the central idea that access is more important than ownership.

This phenomenon is disrupting traditional modes of business and reinventing how goods and services are exchanged at both peer-to-peer (p2p) and business-to-business

(B2B) levels. There are mainly three market forces driving the collaborative economy.

Technology drivers

This includes, first, the digital technology drivers such as mobile devices, mediation platforms, social networking, and other parameters. Second, there are several economic drivers such as monetizing excess resources or idle inventory, promoting access over ownership, and finally, societal drivers where there is a general drive for sustainability, and generational altruism, among others.

As exposed in (Figure 1), sharing economy has the objective of increasing access while reducing investments in resources and infrastructure to maximise profitability, which in turn could lead to a more sustainable ecosystem.

According to a report by PWC (Pricewaterhouse Coopers), sharing economy in the rental market sector is projected to grow from US$ 15billion in 2013 to US$ 335billion by 2025 (Figure 2), which shows the immense potential of sharing economy.

E-commerce platforms like Amazon and eBay have been thriving in the age of digital transformation by linking many small businesses to all types of consumers. From

Dr. Laoucine Kerbache is currently serving as a Professor and a Founding Faculty Member of the Logistics and Supply Chain Management Program within the Engineering Management and Decision Sciences Division at HBKU.

For over thirty-five years of academic, research, and consulting activities, he has been very active in his areas of expertise, focusing on modeling and optimization in Operations and Supply Chain Management. He has published over one hundred papers in international journals.

He has a PhD, MSc, and BSc in Industrial Engineering and Operations Research from the Mechanical and Industrial Engineering Department, University of Massachusetts, Amherst, USA.

OCTOBER 2022 23

The on-demand feature of sharing economy provides access and flexibility that creates a new form of supply chain management that increases efficiency through the utilization of underused resources to avoid the burden of ownership.

Trends and perspectives for LSCM

The digital supply chain is recognized as an integrated and intelligent system where various elements are connected by smart technologies, and the massive data can be accumulated and leveraged with innovative ICTs to deliver products and services more efficiently and effectively.

Digital transformation is not only a weapon for the logistics service providers to

Sharing economy sector and traditional

projected

growth

Dr. Adel Elomri is currently serving as an Assistant Professor and a Founding Faculty Member of the Logistics and Supply Chain Management Program within the Engineering Management and Decision Sciences Division at HBKU.

Dr. Adel Elomri holds a Ph.D. and an MSc in Operations Management (with Highest Honors) from Ecole Centrale Paris (France). He has more than fifteen years of international experience as a lecturer and researcher in Supply Chain and Operations Management.

Currently, Dr. Elomri has projects underway in the areas of healthcare operations management, sustainable supply chain management, and smart logistics.

a supply chain management perspective, this provides SMEs and startups with the opportunity to connect through these platforms to achieve economies of scale in their operations or sharing of resources in a mutually beneficial manner.

However, unlike large businesses and organisations, SMEs and startups lack the resources to implement a digital supply chain. The process to digitalize is often complex and time-consuming, which detracts many businesses to invest in them.

The features of sharing economy like on-demand access to services and goods, peer-to-peer or business-to-business sharing of goods and collaborative consumption allow SMEs and startups to remain competitive in a dynamic market where accessing technology and resources is more efficient than outright ownership,

which is costly and risky.

In the past decade businesses like Uber, Airbnb, Lyft and Talabat have benefited from the sharing economy business model significantly. For example, Uber has amassed a market cap of approximately US$ 50billion in just 12 years (Figure 3) whereas some auto manufacturers (GM) have gone bankrupt in the same period despite ownership of several brands and resources associated with those brands.

The growth has been rapid in a variety of sectors such as the mobility sector, hospitality sector, e-commerce sector and lending sector. This shows that the future of SMEs and startups lies in forming strategic partnerships enabled by digital platforms that are developed by independent stakeholders or an alliance between suppliers and manufacturers.

Figure 2 Sharing Economy Vs Traditional Rental Sector Source: PWC
ENERGIZING SMES 24 OCTOBER 2022
2013 2025 $15 b n $ 24 0 b n S h a r i n g e c o n o my sector Tr a di ti o n a l rental sector $ 3 3 5 bn $ 3 3 5 bn Peer-to-peer Peer-to-peer c r owd f u n din g l e n din g a n d o nlin e staffing accomodations C a r s h a r in g M u s i c a n d v i d e o s tre a m in g rental Equipment and h o s te ls B & B Bo o k rental C a r re nta l DV D re nta l
rental sector
revenue
S ha r ing e c onomy sector Tr aditiona l rental sector

Mobility Sector

Ahmed is curently persuing a PhD degree in logistics and supply chain management within the College of Science and Engineering at HBKU under the supervision of Dr. Adel Elomri and Dr. Laoucine Kerbeche.

His main research interest is to investigate the role of new digital technology in transforming logistics and supply chains management.

Hospitality Sector

survive the global economic crisis but also a means to align with the general trend of digitalization of society and the economy and hence to take advantage of a huge economic opportunity therein.

With sustainability at the forefront of all activities, coordination through participation in sharing economy could help improve the efficiency of the supply chains.

For example, the coordination of logistics activities between independent firms who may even be competitors can take several forms ranging from sharing physical logistics assets such as warehouses, a fleet of vehicles, or consolidating decisions such as inventory pooling, joint replenishment, or bi-lateral coordination such inventory transhipment, spare parts, and other resources exchange.

The applications of Digital Technologies and Social Computing in Logistics and Supply Chains lead to a more transparent and more sustainable system with benefit, cost, and risk-sharing among firms. It is of great significance to collect real-time information along with logistics and develop a connection between the physical and digital worlds in both services and manufacturing industries.

Despite the viability of the concept of sharing economy in real life, there are many challenges faced by stakeholders

involved in the operation of such platforms. Many questions and problems associated with these platforms have not been dealt with in operations management research. For instance, the use of collaborative consumption raises several operational and decision-making challenges, including:

• To what extent would sharing economy help companies leverage logistics challenges?

• Is it necessarily the case that sharing economy leads to greater sustainability?

• What logistics activities can benefit most from sharing economy?

• What is the optimal design of logistics on-demand service platforms?

• What are the social and labor welfare implications of the massive use of sharing economy?

However, the field of the smart supply chain is still in its infancy. Efforts to address supply chain digitalization and social computing application are scattered across different aspects and need more attention across operation management research to maximise the potential associated with digital supply chains and sharing economy.

(More insights and intellegence on these subjects will be available to attendees of the GWC forum in Doha, Qatar in November 2022.)

Figure 3 Traditional and Sharing Economy Companies Compared based on Market Cap/Valuation Source: Bloomberg E-Commerce Sector SE Uber Ford GM Avis Lyft Airbnb Hilton Marriot Intl Hyatt Lending Club Western Union HyKeycorpatt Barclays Ebay Etsy Target J.C. Penney SE Cap ($B) Lending Sector
Uber has amassed a market cap of approximately US$ 50billion in just 12 years
Eng. Ahmed holds a Master Degree in Project Management from the University of Leicester (UK) and a Bachelor of Technology in Petroleum Engineering from Jawaharlal Technological University (India).
OCTOBER 2022 25
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80
70 60 50 40 30 20 10 0
SE Valuation/Market

IATA World Cargo Symposium 2022 London

concludes on an upbeat note

WCS hosted over 1300 delegates from over 60 countries

The recently concluded World Cargo Symposium (WCS 2022), held at the Excel Centre in London from 27 to 29 September, is the largest and most prestigious annual event. WCS 2022 is projected to continue to move the industry from talk to action.

The Symposium featured plenary sessions, specialized streams, workshops, and executive summits, tackling aspects related to Technology & Innovation, Security and Customs, Cargo Operations and Sustainability.

Maintaining momentum, building resilience.

WCS hosted over 1300 delegates from 60+ countries and it provided a unique platform for air cargo leaders and exhibitors to connect and network. Attendees engaged with senior experts and decision makers to debate and present latest trends and issues impacting Air Cargo.

The Symposium featured plenary sessions, specialized streams, workshops, and executive summits, tackling aspects related to Technology & Innovation, Security & Customs, Cargo Operations and Sustainability.

We are happy to report that Global Supply Chain partnered with the 15th World Cargo Symposium.

Four-fold priorities

The four-fold priorities, outlined at WCS included achieving net zero carbon emissions by 2050; continuing to modernize processes; finding better solutions to safely carry lithium batteries and making air cargo attractive to new professional talent.

“Air cargo had a stellar year in 2021 achieving US$ 204billion in revenues. At present, however, social, and economic challenges are mounting. The war in Ukraine

has disrupted supply chains, jet fuel prices are high and economic volatility has slowed GDP growth,” stated Brendan Sullivan, IATA’s Global Head of Cargo.

“Despite this, there are positive developments. E-commerce continues to grow, Covid-19 restrictions are easing, and high-value specialized cargo products are proving resistant to economic ups-anddowns. Going forward, achieving our net zero commitment, modernizing processes, finding better solutions to safely carry lithium batteries, and making air cargo attractive to new talent are critical,” he added.

The road to Net Zero by 2050

In 2021 the aviation industry agreed a balanced plan to achieve net zero CO2 emissions by 2050. A potential scenario for this is 65% through Sustainable

Aviation Fuel (SAF); 13% from hydrogen and electric propulsion; 3% from more efficient operations and 19% through offsets and eventually through carbon capture, as an out-of-sector solution while technology develops.

Modernization and Efficiency

“The challenges of the pandemic gave us confidence that we can change and adapt fast. We need to use that confidence to get even closer to the expectations for modernization that our customers have. Here we need to be true to air cargo’s unique selling point and move even faster,” continued Sullivan.

IATA highlighted two areas where progress was being made. IATA’s ONE Record is making it possible for everyone across the industry’s value chain to see

IATA WORLD CARGO SYMPOSIUM (WCS) 2022 26 OCTOBER 2022

the same information on shipments. Already 156 companies and four customs authorities are using it.

Secondly, IATA’s Interactive Cargo Guidance provides a common framework so that tracking devices can monitor the quality and accuracy of conditions of time and temperature sensitive goods.

SAF

“SAF is the key to achieving net zero emissions. Airlines used every drop that was available in 2021. And it will be the same this year. The challenge is SAF production capacity. The solution is government incentives. With the right incentives, we could see 30 billion litres of SAF by 2030. That would be a tipping point by 2030 towards our net zero ambition of ample SAF quantities at affordable prices,” asserted Sullivan.

Government support for the modernization agenda through facilitating trade is also critical.

“The Revised Kyoto Convention which brings standardization, technology, predictability and speed to trade facilitation and the World Customs Organization (WCO) SAFE Framework of standards to facilitate and secure trade are major steps forward in supporting global trade. Universal adoption and implementation will deliver the greatest benefits,” observed Sullivan.

Safety

Safety, specifically finding better solutions to safely carry lithium batteries was highlighted as a priority for the industry.

“We can be proud of the progress that we are making to further improve the safe handling of lithium batteries. For air cargo,

this is a top priority. However, even the best regulatory structure means nothing if the rules are not followed. Compliance is an issue with the transport of lithium batteries, particularly with the proliferation of new and inexperienced entrants in e-commerce activities,” cautioned Sullivan.

IATA called for regulatory authorities (EASA—European Union Aviation Safety Agency and FAA—Federal Aviation Agency) to accelerate development of a test standard that can be used to demonstrate that fire containment pallet covers and fire-resistant containers are capable of withstanding a fire involving lithium batteries.

Government authorities need to step up and take responsibility for stopping rogue producers and exporters of lithium batteries.

Industry to use and harness technology such as DG Autocheck to more easily and accurately verify that the shipment complies with DG requirements.

To embed best practices on the safe carriage of lithium batteries across the value chain, IATA has expanded its CEIV Lithium Battery programme to include airlines and shippers.

Personnel

“People are the core of any improvement in what air cargo can deliver. Sadly, we saw thousands of jobs leave the industry during Covid-19, especially cargo handlers. We are now competing for talent in a very tight job market. And when we do find the right and willing talent, training and longer-than-usual security clearance processes delay their entry into the workforce,” noted Sullivan.

IATA called for governments to accelerate clearance processes, including those for security, as a short-term solution and longer term to do a better job of attracting, onboarding, and retaining talent.

IATA also encouraged more cargo carriers to sign on to the industry-wide 25by2025 initiative to promote gender diversity. “The need to create equal opportunities for the female half of the world’s population is highlighted by the situation today where the industry is struggling to attract sufficient talent. Achieving an equal gender balance must be core to any long-term talent strategy,” concluded Sullivan.

IATA WORLD CARGO SYMPOSIUM (WCS) 2022 OCTOBER 2022 27

Saudia Cargo signs agreement with IATA to work on its CEIV-Pharma Certification

Continues its drive as a globally competitive market leader

Saudia Cargo recently announced its agreement with IATA to work on its Centre of Excellence for Independent Validators for Pharmaceutical Logistics (CEIV Pharma) Certification, the global standards in the safe and secure air transportation and handling of pharmaceuticals.

Saudia Cargo CEO, Teddy Zebitz, and IATA Senior Vice President Commercial Products and Services, Frederic Leger, signed the agreement on the sidelines of the recently concluded World Cargo Symposium, the largest and most prestigious air cargo event, held this year in London on 28 September.

For the next few months, Saudia Cargo will continue rigorous preparations across multiple aspects of its operations, particularly on staff competency to handle pharmaceuticals, to comply with IATA’s requirements for CEIV Pharma Certification on top of GDP (Good Distribution Practice).

Critical healthcare cargo

The process is meant to ensure that critical healthcare cargo such as Covid-19 vaccines and other pharmaceutical and bioscience products are not compromised while they are being transported on air.

“This move shows Saudia Cargo’s commitment to the highest global quality standards and compliance when it comes to transporting pharmaceuticals and life sciences products. Human lives are paramount in our operations whether it involves staff or end-users,” asserted Zebitz.

“This give our customers and partners the continued confidence and peace of mind that the pharmaceuticals we transport are treated with utmost care in line with international standards,” he continued.

When it comes to transporting pharmaceutical products across continents, Saudia Cargo has successfully built a trusted name. For decades now, it has been the preferred shipper for vaccines and other medicines across the Middle East and Africa. As the company’s global humanitarian mission continues, it also demonstrated its strong commitment to UNICEF’s goal of distributing Covid-19 vaccines for free to developing countries.

Uniquely positioned

Uniquely positioned bridging the East to the West, Jeddah-based Saudia Cargo offers fast and efficient air transport services with minimal ground handling time. In recent years, the company unveiled its multimillion new cold chain facilities with state-of-theart features at its sprawling new cargo terminal in Jeddah and other parts of Saudi Arabia.

Saudia Cargo joined the rest of the world to save humanity, successfully carrying over 500,000 tons of cargo, mostly healthcare, and operated over 6,000 cargo flights.

In today’s new normal, the airline sees its role in handling pharmaceuticals as critical to people’s lives and livelihood that deserves deepening capabilities and expertise in the supply chain, a press communique concluded.

Saudia Cargo and IATA officials celebrating following the signing of the agreement.
28 OCTOBER 2022
by GENERATION

Turkish Cargo vaults as the top-ranking European Air Cargo Carrier

Carrier aims to become among the top three air cargo brands in the world in 2025--Chairman

According to the most recent World Air Transport Statistics data, published on an annual basis by the International Air Transport Association (IATA); Turkish Cargo ranked the first among the European air cargo companies while it ranked the 4th among the global airlines, thanks to its total transportation performance.

According to the FTK (Freight Tonne Kilometers) data, the successful brand increased its business volume by more than 32 percent by showing a transportation performance of 9.2 million tonne kilometers in 2021 and hit the top by outdistancing the leading air cargo brands in Europe.

“As the fastest-growing air cargo brand in

the world, we continue to add value to the air cargo industry with our contributions to the supply chain and maintain our critical role when it comes to increasing the global trade’s competition power. We are on the march towards our target to become one of the top three air cargo brands in the world in 2025,” asserted Dr. Ahmet Bolat, Chairman of the Board and the Executive Committee, Turkish Airlines.

The airline reported a record-breaking growth in market share, flight network and carried tonnage

With the fleet, infrastructure, process, and quality improvement investments performed by Turkish Cargo since 2017,

global carrier rose to fourth from 22nd in the global rankings and increased its market share to the level of 5.2% from the 2.6% during the last five years.

The successful brand, which had 13 cargo planes in its fleet in 2017, increased this number by 53.8% to 20 in 2022. In parallel with the expansion of the fleet, the number of the destinations operated with freighters nearly doubled by reaching 100 in 2022.

Furthermore, SMARTIST, the facility in which Turkish Cargo has started to carry out its operations as of the end of 2021, is now in service as the largest and the cutting-edge air cargo facility in Europe, in terms of its facility capacity and its technological infrastructure.

TURKISH CARGO

Turkish Cargo carries Türkiye’s pride Togg to Argentina

As a logistics solution partner, Turkish Cargo contributes to the globalization journey of Togg, The country’s national electric car, and one of the most ambitious manufacturing projects of Türkiye.

Turkish Cargo transported Togg, which is set to be one of the global brands of Türkiye, to perform its winter tests.

The Togg smart device, whose road, safety, performance, and range/battery tests are continuing at accredited test centers in different parts of the world, flew to Tierra del Fuego, Argentina for its winter tests.

“Doing our part as the national flag carrier with the power of being the airline that flies to more countries than any other in the world, we are proud to deliver the Turkish automobile and our country’s technology exports worldwide,” affirmed Dr. Bolat.

“We stand by our word be it snow, winter or mud, even on the other side of the world

if need be. We are taking firm steps towards our goal to launch on the promised date,” emphasized M. Gürcan Karakaş, CEO, Togg.

Togg got on the world stage with Turkish Airlines’ special flight. Togg’s new brand identity and concept car took its place on the international stage for the first time at the CES fair held in Las Vegas in 2022, and the vehicle was transported with a special flight of Turkish Cargo.

Turkish Cargo makes use of special equipment for sensitive products requiring special shipment processes. The movements of valuable cargoes stored in sensitive cargo compartments are kept under continuous supervision by means of cameras installed around the storage facilities.

With its unique solutions, global air cargo carrier, which has an experience over 30 years in special cargo shipments, ranks among the first choices of global companies in search of dependable business partners.

Strategic Cooperation with China’s YTO Cargo Airlines

Turkish Cargo recently entered into a commercial agreement with YTO Cargo Airlines, affiliated to YTO Express which is a well-known listed express logistics enterprise group in China, for the purpose of strengthening air cargo connection between China, Central Asia and Türkiye and building additional capacity.

As part of the said agreement, four flights are being operated on weekly basis between Xi’an and Tashkent by YTO Cargo Airlines. The departure and arrival cargo capacity of such flights are being utilized entirely by Turkish Cargo and being offered to its customers. “Thanks to this new cooperation, Turkish Cargo continues to generate cargo solutions from and to China for its customers all across the globe,” commented Turhan Özen, Chief Cargo Officer, Turkish Airlines.

“We, as the YTO Express family, are pleased to have built good relations and a robust cooperation with Turkish Cargo,” remarked Jian Sun, CEO, YTO International.

Turhan Özen, Chief Cargo Officer, Turkish Airlines. Dr. Ahmet Bolat, Chairman of the Board and the Executive Committee, Turkish Airlines. Jian Sun, CEO, YTO International.
OCTOBER 2022 31

IATA to trial CO2 Emissions Calculator for Air Cargo with Etihad Airways

Will be working with Etihad Cargo to track the necessary data for cargo shipment

The International Air Transport Association (IATA) will be trialing a carbon dioxide (CO2) emissions calculation tool specifically developed for cargo flights together with Etihad Airways.

To effectively manage and report on sustainability progress, the entire value chain – shippers, forwarders, investors and regulators – along with consumers are asking for reliable and trustworthy data calculations. This trial will provide a valuable proof of concept for the cargo component of the IATA CO2 Connect carbon calculator.

IATA will be working with Etihad Cargo to track the necessary data for cargo shipments during a three-month trial. Etihad will be sharing data from flights and advising on various use cases to achieve the highest levels

of accuracy, consistency, and transparency.

By mid-2023 IATA aims to launch CO2 Connect for Cargo providing the industry with precise and consistent methodologies for both passenger and cargo operations.

“The airline’s development with IATA demonstrates the ability and willingness to co create solutions to support Etihad Cargo’s journey to achieving net zero carbon emissions by 2050 and demonstrates the carrier’s agility in adopting state-of-the-art technology and digital solutions,” stressed Martin Drew, Senior Vice President Global Sales & Cargo, Etihad Aviation Group.

“IATA’s CO2 Connect carbon calculator will be an effective tool in making the transportation of cargo more sustainable and will benefit not only Etihad Cargo’s customers but also the wider air cargo

sector in the future,” he added.

“This trial with Etihad will help us in bringing an industry-leading carbon calculator for cargo in the coming months,” commented Frederic Leger, IATA’s Senior Vice President for Commercial Products & Services.

About CO2 Connect for Passengers

IATA CO2 Connect is the most accurate tool available for the calculation of aviation emissions in passenger operations. It makes use of airline specific and actual fuel burn information and load factors. This sets it apart from theoretical data models.

IATA CO2 Connect is available to companies within and outside the travel

32 OCTOBER 2022

value chain, such as travel management companies (TMCs), travel agencies, airlines, or multinational corporations.

They can access the relevant CO2 emissions data and integrate it in a customized manner into their existing flight booking tools. Travel managers or travelers can easily see the CO2 emissions per routing. The tool also permits the consolidation of data for reporting purposes.

IATA CO2 Connect utilizes the newly developed CO2Calculation Methodology, adopted by IATA’s Passenger Service Conference in March this year. This was conceived by leading partners from 20 airlines and major aircraft manufacturers, in consultation with international standardsetting bodies and logistics services providers, a press statement concluded.

“The airline’s development with IATA demonstrates the ability and willingness to co create solutions to support Etihad Cargo’s journey to achieving net zero carbon emissions by 2050.”
– Martin Drew, Senior Vice President Global Sales & Cargo, Etihad Aviation Group.
Kim Hardaker and Asad Jumabhoy at the deal signing ceremony. IATA & Etihad Cargo
OCTOBER 2022 33

LogisEye selected for TAQADAM Programme

Company recognized and rewarded in fierce competition that attracted 9636 regional applicants

LogisEye, the company that prides in accelerating digital transformation in the logistics industry with state-of-the-art cloud-based digital freight procurement ecosystem has been selected as one of the most promising tech startups out of 9,636 applicants to participate in the current TAQADAM Startup Accelerator and Bootcamp started on 1 August 2022.

“Being the CFO of DHL-Danzas, Dubai, for more than two decades, I have firsthand knowledge of identifying the challenges, opportunities, and problems in the logistics and supply chain sector. With a single idea of breathing new life to all the stakeholders in the entire supply chain, LogisEye Freight Procurement Solutions provide enhanced transparency and visibility to accelerate freight procurement decisions and bring substantial cost-time savings,” affirmed CM Mathew, Founder and CEO of the DAFZAbased LogisEye.

Local and regional startups hailing from any sector and belonging to all business stages, as well as international applicants who are looking to expand into the MENA region, are potential candidates for this awards programme.

Funding

This year’s applicants stand to receive up to US$140,000 in funding, access to workshops and co-working spaces in Saudi Arabia,

as well as opportunities to network with mentors and industry experts. With +50 startups expected to be a part of the initial accelerator programme, further selected participants will later also be presented with a chance to pitch to a global judging panel of potential investors at the TAQADAM (preeminence in Arabic) showcase in 2023.

Having supported over 130 startups since its inception, the TAQADAM Startup Accelerator launched in 2016 is located at the King Abdullah University of Science and Technology (KAUST) and organized in partnership with Saudi British Bank (SABB).

Startup ecosystem

The TAQADAM’s Startup Ecosystem also offers 360-degree support from the KAUST entrepreneurship team, mentors, and experts, from planning to pitching through investor connections, mentorship from industry experts and MENA-area leaders, access to a leading startup community, services subsidies for design, finance, legal, and more.

“As a startup, you are always short on resources, so the help TAQADAM provides is invaluable. The support and advice we received about marketing, legal, IT Development, finance, and fundraising preparation allowed us to focus our energy on growth and next steps for our

company,” asserted Mathew.

“TAQADAM gives comprehensive support in all areas of the business through mentorship, networking, investors, and every aspect your business could need to grow and thrive. LogisEye plans to expand our operations to Saudi Arabia and India during this quarter.” added Mathew.

“Can’t wait for the next growth phase of LogisEye as we continue to challenge and disrupt the entire supply chain and logistics sector globally,” concluded Mathew. Our digital freight procurement solutions include:

LogieBid - Customers worldwide can launch reverse auction to procure most competitive market rates online for their international transportation by air, ocean (FCL/LCL) and road (FTL/LTL). Users can invite LogisEye vetted LSP’s, and additional LSP’s of their choice. Customers can compare and analyze bids digitally, award bids, route and track their shipments under single platform.

LogiQuote - Our marketplace for instant freight and marine insurance rates. LogiQuote provides rates for airfreight and courier shipments. Users can search, compare, select rates from multiple suppliers in less than 10 seconds. Rates are available on different carriers and service levels. LogiQuote is currently connecting major airports in UAE with top 50 countries, +1400 trade lanes.

34 OCTOBER 2022
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Is your logistics and supply chain function a cost or a margin generator for your organization?

Very often you feel like you are a victim of your logistics costs, you don’t even want to talk about it. Furthermore, your supply chain team becomes the ‘persona non grata’ of your company. Nissrine Elqobai, Founder and CEO, ENY Consulting, advocates examining the ecosystem from a fresh perspective to make operations effective and cost-efficient.

Why do we always look at it as a half empty glass?

Marketing has a cost, but you must think of it as a lead generator, even when it is a long shot.

Why not think about your supply chain the same way as a margin generator and a customer magnet?

Would you change your mind after reading this? Maybe not, but at least it will help you start a thinking process with your teams.

Validation

Every year at this time of the year (Q4—the last quarter), you start validating your next

year’s budget and organizing your end-ofthe-year inventory. Your teams are preparing their appraisals and computing how much the logistics operations cost this year. Heavy!

This mix of process and people should give you much more joy and results on the positive side.

How about first measuring the cost because what you cannot measure you cannot improve.

Always find simple ways to calculate your logistics costs, then challenge your team quarter after quarter to find a better way to describe that cost in letters and in figures. The more you dissect and analyse your costs, the better you understand them, the better you can optimize them.

Opportunity

The logistics and supply chain costs are not a burden. On the other hand, it is a beautiful opportunity to better understand the dark and mystery side of your company. To do that you always need competent minds, or your team may fail in its endeavours.

The first step is to understand your operations. Write down and clearly map your logistics / supply chain costs (including manufacturing, warehousing, replenishment, procurement, suppliers, in summary end to end supply chain).

Once you map them out, you group them to get five top Key Performance Indicators (KPIs). Now you can measure how

36 OCTOBER 2022

much your supply chain costs. Next step is to integrate them into your team next year objectives, make it personal!

The Supply Chain Alchemy: Go for gold!

Now that you measured the vast costs of your organization from end to end, you have put that in your budget for next year too. All this ‘supply chain’ can, at any moment, be turned into a cash generating machine. This is where your efforts can lead into Gold!

The number one condition is to get the right competency and the right people with the right skills and knowledge. Do the right thing always!

Your supply chain, once you understand it, measure it and then you can easily optimize it.

You can at least get back 10% of your logistics and supply chain cost every year back and use it for your business. The opportunities are endless, because every day it is a new story with new challenges therefore new opportunities.

Generate margins

You can generate margins from your management information systems (MIS),

your payment modes (supply chain finance); or again by implementing simple tools that will allow your team to save time and be more efficient where it matters.

You can generate margin from your inventory almost every day, by optimizing the way you calculate your replenishment (and not creating only purchase orders).

By tracking your deliveries and shipments (upstream and downstream), you can generate even if little savings from your routing optimization, container fill rate and other considerations.

These are but a few examples of how you turn a cost into a margin. All are linked and continuously in movement, your teams KPIs are on a dashboard and shown every month, not once a year.

Supply chain generates faster savings than any other department if you know how to kick it off and implement it.

In summary, don’t be a victim of your supply chain, however, hold your supply chain as your trump card. Always get the best people in this department, they can do wonders!

The number one condition is to get the right competency and the right people with the right skills and knowledge. Do the right thing always!
Nissrine Elqobai, Founder and CEO, ENY Consulting
WHITE PAPER: GLOBAL SUPPLY CHAIN OCTOBER 2022 37

Jebel Ali Free Zone (Jafza) a leading trade and logistics hub in the Middle East, part of DP World Group, facilitated over 1.2mn MT from Dubai’s total volume of around 4.8mn MT of vehicle & transport commodities transited through the emirate in 2021. This equates to US$ 12.4bn, more than a third of the total trade worth US$ 31.3bn.

Enabling the rise of the auto industry

Jafza has been a significant contributor to the automotive industry’s progress in the country. Its unique logistics infrastructure and global trade network, in specific have ensured the steady rise of the automotive sector, connecting African, Asian and Middle Eastern traders to consumers

across the world.

With companies from 70 countries and a workforce of nearly 8,000, Jafza’s infrastructure and trade volumes are an attraction for industry giants such as Ford, General Motors, Honda, Hyundai, Nissan, Mitsubishi, Volkswagen, and Volvo.

The free zone’s multimodal ecosystem connects traders with more than 260 airports via Al Maktoum International

Jebel Ali Free Zone propels automotive growth

World-class infrastructure and access to GCC and Africa markets

JEBEL ALI FREE ZONE (JAFZA)

Airport and over 150 ports with direct services to Jebel Ali Port. It also gives them access to the GCC road network and the Etihad Rail that will commence operations in 2023 and has the Jebel Ali Rail Terminal among the first stations in its network.

Integrated Automotive Logistics

While the Jebel Ali Port is integral to automotive trade in general, it is a steady contributor to the export and import of used cars. Thus, reinforcing Dubai’s status as a major export hub for used cars in the UAE and the MENA region.

Due to a consistent demand for used cars, according to a report by Ken Research, the UAE’s used car market is expected to reach AED 112bn in revenue by 2025. As long as this demand exists, DP World,

through its UAE assets will continue recording tremendous growth in the coming years for the automotive sector.

Jebel Ali Port’s state-of-the-art roll-on, roll-off (RoRo) terminal plays a pivotal role in this ongoing success. The port has RoRo berths which can handle up to one million car equivalent units (CEUs). It can also store up to 27,000 CEUs within its quay-side yards, including a multistorey facility, the largest in the region. Adjacent container stuffing and de-stuffing services are also significant advantages for partners.

Prior to import or export from the Port, automotive manufacturers, dealers, and importers can also utilise the PreDelivery Inspection (PDI) facilities in Jafza for services such as light accessory fitting, vehicle storage, washing, age prevention and audio system installation.

Moreover, including third-party logistics (3PL), container services and automated customs clearance and brokerage, has created a one-stop ecosystem in Jafza that caters to importers, exporters, and OEM distribution.

Reinforcing International Trade

While physical infrastructure has been the foundation of Jafza’s success, it has been supported by bespoke solutions provided by DP World Logistics to optimise supply chain operations for auto traders.

These include fourth-party logistics (4PL) activities and track and trace technology to enable transparency and simplicity across logistics activities, trade financing, feedering and reverse logistics. Global automotive customers can leverage DP World’s global presence across 78 countries, including dedicated RoRo facilities in Cyprus, Romania, Germany, and Dubai.

DP World’s acquisition of Syncreon in July 2021 also enables the company to deliver end-to-end solutions to cargo owners. Syncreon operates across high-growth automotive industries with services such as receipt of materials, warehousing, inventory management, kitting/sequencing for line feeding, and export packaging.

DP World’s European network comprises 12 inland terminals, strategically located in economic centres throughout Germany, Switzerland, Belgium, and France. DP World also provides tri-modal connectivity between inland terminals in major European ports through 60 weekly barge services and over 100 rail connections.

Connecting businesses across Africa with the world

The UAE contributes 21 per cent of the automotive trade in Africa, equating to approximately 7 billion MT of cargo annually.

Specifically, the UAE plays an indispensable role in the trade of spare parts, a time-sensitive and operationally complex logistics activity. Rapid industrialisation and accelerated urbanisation throughout the continent of Africa have ensured that today, the continent’s roads have approximately 22 million vehicles. This has led to a sharp rise in demand for spare parts materials, consequently increasing the demand for DP World’s services.

The company now provides multimodal transportation solutions that facilitate trade with Nigeria, Ghana, Egypt, Angola, and Senegal. The recent acquisition of South Africa-based Imperial Logistics strengthened DP World’s intra-Africa network and range of services delivered.

The UAE contributes 21 per cent of the automotive trade in Africa, equating to approximately 7 billion MT of cargo annually.
JEBEL ALI FREE ZONE (JAFZA) OCTOBER 2022 39

Indian PM launches National Logistics Policy

Policy aims to promote seamless movement of goods across the country

Logistics broadly includes facilities crucial to trade and accounts for 13 to 14% of India’s GDP, almost double of what the costs are in developed countries.

been enabling paperless export-import trade processes, and faceless assessment in customs has been rolled out. Similarly, e-way bill and FASTag are also common in highways to improve the efficiency of the planning sector.“Only after doing so much, we have come out with a National Logistics Policy,” he explained.

An umbrella policy for the logistics sector has been in the works for around three-four years. It was felt that the logistics cost in India is high compared to other developed economies. India’s logistics cost as a proportion of the Gross Domestic Product (GDP) is believed to be around 13-14 per cent. The government now aims to bring it down to single digits as soon as possible.

Efficiency in logistics can also increase a country’s exports, boost domestic manufacturing, and make India a more attractive destination for global investors.

Indian Prime Minister Narendra Modi recently launched the National Logistics Policy (NLP) that aims to promote seamless movement of goods across the country and improve its competitiveness of Indian goods in domestic as well as global markets.

“To ensure quick last mile delivery, end transport-related challenges, save time and money of the manufacturers, prevent wastage of the agro-products, concerted efforts were made and one of the manifestations of those efforts is today’s National Logistics Policy,” PM Modi asserted.

According to the Prime Minister, the policy “has not come out of the blue and there are eight years of hard work behind it”. To improve connectivity, the government has been doing systemic infrastructure development through schemes such as Sagarmala, Bharatmala, Dedicated Freight Corridor.

“Today, the total capacity of Indian ports has increased significantly, and the average turn-around time of container vessels has come down from 44 hours to 26 hours. Through waterways, we can do eco-friendly and cost-effective transportation. For this, many new waterways are also being built in the country,” he continued.

Logistics broadly includes facilities crucial to trade: transport services for the movement of goods, storage facilities that are particularly essential for trade in perishable goods such as food items, fruits, and vegetables, and smooth functioning of government services that facilitate trade such as licensing and customs.

Technology adoption

Modi further said that the adoption of technology has been strengthening the logistic sector. For instance, e-sanchit has

The policy has been brought in tandem with the Prime Minister’s ambitious GatiShakti national master plan that was launched to build robust infrastructure, fill the missing gaps in logistics and draw more investments into the country.

ULIP

The Prime Minister also launched the Unified Logistics Interface Platform (ULIP) that will bring all the digital services related to the transportation sector into a single portal, freeing the exporters from a host of very long and cumbersome processes.

A new digital platform–Ease of logistics Services or E-Logs–has also been launched., through which industry associations can take up any issues pertaining to operations and performance with the government.“A complete system has also been put in place for the speedy resolution of such cases,” he concluded.

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Three tips to help manufacturers adapt to changing demands

Change is the only constant in manufacturing today. Disruption, innovation, and continual refinement of shopfloor processes are driving factors in today’s complex market landscape.

This is especially important in the Middle East, where numerous national initiatives aim to stimulate manufacturing growth. For example, in the UAE industrial manufacturing is a key pillar of Operation 300bn, a government strategy launched in 2021 with the aim of raising the industrial sector’s contribution to the GDP from some US$ 36bn to US$ 81bn by 2031.

Meanwhile, the government of Saudi Arabia is providing significant backing to the manufacturing sector with initiatives such as the implementation of the required infrastructure, construction of new industrial cities like Jubail and Yanbu, the establishment of SIDF (Saudi Industrial Development Fund) and other incentives which help industrialisation, according to Mordor Intelligence.

Smart solutions will help you make smart decisions, anticipate risks, make strategic choices, and forge new partnerships.

Data insights help plan for contingencies and manage expectations. You will know the stock you need and when you can expect it to arrive.

2) Manage shop floor complexity

Manufacturers must meet the demands of customers for highly personalised products. However, you still need to control costs and improve margins. In many industries, traditional mass production is being replaced by mixed mode manufacturing with highly configured products, engineer-to-order, and assemble-on-demand operations becoming the new normal.

Modern manufacturing software is essential for the transformation. It helps streamline processes, close gaps, and keep workflows synchronised. The latest Industry 4.0 technologies provide critical tools—like smart sensors—for tracking machine performance, output, quality control, and optimising resources.

plan the use of resources.

You have tough decisions to make. Modern Enterprise Resource Planning (ERP) software helps capture, track, and leverage data throughout the organisation. Using facts, not feelings or hunches, manufacturers can better align with customers, launch new product introductions, design and source appropriate parts and components, and track all costs.

New strategies for remaining relevant and growing the business can now be planned and executed with a balance of long-term goals and short-term capacity and cash flow restraints. Data insights are key.

Seek the right tools to improve operational efficiency and foster innovation

1) Improve supply chain agility

The disrupted supply chain has been a major headache for most manufacturers. Trade tariffs, bottlenecks and delays, geopolitical tensions, chip shortages, unavailability of cargo containers, and high costs of fuel have turned procurement into a game of chance— with unfavourable odds.

Modern software, with artificial intelligence (AI)-driven analytics and full supply chain visibility, can provide relief.

Tools also help manage the existing workforce which must work smarter, not harder, to get the job done. Data insights help keep the shop floor running with orchestrated precision, because every part, every machine, and every work cycle matters.

3) Leverage data insights

While answering consumer demand for new and personalised products, manufacturers must simultaneously strive to improve productivity, boost efficiency, automate processes, and strategically

To avoid threats to market share and profitability, manufacturers must stay alert and on top of the ever-evolving trends. You need to adopt modern, datadriven processes and turn to technology to help you introduce new products.

Technology, such as modern cloud-deployed ERP solutions, help organisations quickly adapt to change, including starting new branches or divisions. This agility means you can now focus on green initiatives, offering new services or managing logistics.

Manufacturing is being redefined, and software plays a major role in supporting the new era—from go-to-market strategies to supply chain planning and shop floor operations. It may be easier than your think—if you start in the right place.

Three tips to help you adapt to changing demands:
Whether you make automotive components, office furniture, or industrial valves, you need to stay on top of trends and adapt. New strategies and actions must synchronize—and align with customer expectations affirms Kerry Koutsikos, GM and VP, MENA, Infor.
MANUFACTURING 42 OCTOBER 2022

Intelligent Mobility Summit 2022

Spotlights Transformation of Mobility Industry

The sector adapts and morphs in its quest for a sustainable future

The recently concluded Frost & Sullivan’s Annual Intelligent Mobility Summit 2022, (APAC, Middle East, India & Europe) held virtually on 7 and 8 September 2022, was themed: ‘Towards a Sustainable Future’. This year marked the 14th edition of the flagship mobility event.

“The intensifying climate change crisis and rapid resource depletion have magnified the need to identify alternative business paradigms. Industries worldwide, including mobility, are moving towards models of sustainable, innovation-led growth, where environmental and social considerations are being merged into business and investment decisions,” affirmed Darrell Huntsman, Chief Executive Offer, Frost & Sullivan.

The push towards decarbonization and sustainability is particularly crucial for the mobility industry, which has long been indicted for its disproportionately large carbon footprint and high emissions levels. Accordingly, the mobility industry is being seen as a key catalyst in the quest to achieve global net-zero emissions by 2050.

CASE

Advanced technologies mirrored in connected vehicles, autonomous driving, shared mobility and electromobility (CASE) trends, changing customer preferences, and regulatory pressures are fast-tracking sustainable models of growth in the mobility industry.

Across the mobility spectrum, stakeholders are designing comprehensive sustainability blueprints that cover products like zero-emission vehicles and software-defined vehicles, processes like carbon-neutral manufacturing and circular economy, and business models like “lifestyle-as-a-service.”

“The mobility industry is undergoing fundamental shifts in its push towards decarbonization and a resilient, resource-responsible future,” noted Vivek Vaidya, Associate Partner and Senior Vice President, Mobility Practice, Asia Pacific, Frost & Sullivan. “While stakeholders have shown purposeful intent, there is still tremendous potential to integrate sustainability more effectively into business models to drive greater innovation, growth and profitability,” he added.

Networking sessions

Indicative of the scope and scale of the challenge at hand, the Summit brought together a diverse network of industry experts, innovators, and policymakers, with over 2,000 delegates participating in thought-provoking debates, panel discussions, and networking sessions.

Over 30 thought leaders from industry and government shared their insights on an array of hot topics. Featured speakers included Ponz Pandikuthira, Vice-President, Global Product Marketing, Nissan; William Wei, CTO Foxconn/MIH; Daniel Majewski, Head of R&D Strategy and System Solutions, ZF Group; and Benjamin Maillard, GM North America Free2move, among many others.

Discussions covered an eclectic range of topics, including decarbonization as a driving force in sustainable mobility, strategies to achieve a carbon-neutral

vision, current and upcoming trends in the electric vehicle market, creating smartphones on wheels, implications of government regulations on automotive industry prospects, the battle for supremacy between traditional automakers and technology start-ups, and the circular economy of batteries. Discussions also focused on the future of automotive retail, commercial trucking, and mobility.

INTELLIGENT MOBILITY OCTOBER 2022 43

How can the Global Food Supply Chain mitigate disruptions?

The ongoing war in Ukraine has sparked a new supply chain crisis, causing exceptional disruption to the food chain.

The volatility of the food supply chain has become apparent when faced with disruptions and external factors. So, what can retailers do to overcome the current and expected disruptions to the supply chain and limit consequences in the future? Jason Kay, Chief Commercial Officer, IMS Evolve, provides some insights and potential solutions.

GLOBAL FOOD SUPPLY CHAIN

Consumers are increasingly becoming aware of the complexity of the global food supply chain. Pre-Covid, shoppers could rely on fully stocked supermarket shelves with produce packaged and ready for purchase. However, during the pandemic, interruptions and shortages highlighted the delicate nature of the food supply chain.

Now, the war in Ukraine has sparked a new supply chain crisis, causing exceptional disruption to the availability of seasonal workers, exports, imports, and the rising prices of fuel and animal feed.

These recent shocks to the global supply chain have led to situations that would have once sounded absurd, from people

fighting over toilet roll and a national McDonalds Milkshake shortage, to the highest petrol and diesel prices ever.

The Global Food Supply Chain

Establishing product provenance and traceability as well as ensuring food quality and safety across the supply chain can prove difficult as the various stages of a supply chain are often run as a siloed entities limiting continuity, visibility, and connectivity. This, coupled with constantly changing circumstances and external influences, creates a challenge for the industry.

However, in the face of the recent, well-publicised disruptions, approaches are starting to shift. Organisations are looking to technology to connect and monitor supply chain activity, from farm to supermarket shelves, to establish traceability, ensure product safety and mitigate potential disruptions.

By leveraging IoT to connect machines, systems and third-party data across the supply chain, insights can be leveraged

to drive continuity and achieve real-time visibility into everything from conditions, and performance to location and movement.

This technology enables seamless and safe sharing of information across the supply chain and drives enhance product provenance, safety and quality whilst unlocking huge operational efficiencies, such as accurate inventory investment, effective production schedules and preventative maintenance regimes. All these ultimately mitigate disruption, protect revenue, and enhance the end consumer experience.

The Bullwhip Effect

A new, technology-enabled approach could not come at a more important time for the global food supply chain. There is great uncertainty across the cold chain currently, and the United Nations has issued an official warning that the invasion of Ukraine could cause a global food crisis due to the change in exports of things like cereals, maize, and wheat.

Jason Kay, Chief Commercial Officer, IMS Evolve, has over 30 years’ experience working to digitally transform some of the biggest names in retail. As one of the founders of retail technology specialists IMS Evolve, Jason is a pioneer of retail IoT solutions and has a particular interest in cold chain digitalisation.
OCTOBER 2022 45

As a result of this, global food prices are almost 30% higher than this time last year. The question on the lips of many in the industry now is: how can the supply chain manage this uncertainty?

Historically, the solution to avoiding food shortage has been to build high inventories. However, this inevitably leads to both physical and financial waste due to the Bullwhip effect.

Also known as the Forrester effect, the Bullwhip effect occurs when information around product demand is distorted from one end of the supply chain to the other (from the retailer to the wholesaler or manufacturer).

Reactive retailers

When retailers become highly reactive to demand, it sets off a domino effect along the supply chain where small fluctuations in demand at the retail level cause progressively larger fluctuations at the wholesale, distributor, manufacturer, and raw material supplier levels.

A change in any link along the supply chain can have a profound effect, as excess inventory can result in huge volumes of waste, while insufficient inventory can lead to reduced lead time, poor customer experience and lost business.

In complex supply chains, the Bullwhip

effect of inaccurate, incomplete, or outdated information has been showed to increase operating costs by up to 25%. This amplifies uncertainty down the chain and leads to manufacturers and primary producers suffering disproportionate costs and food waste.

The impact of the Bullwhip effect on the supply chain can be reduced by realtime information and knowledge being shared across all organisations within the chain. This is also where the technology mentioned early comes in. Leveraging Internet of Things (IoT) technology can improve both communication and response times to develop an interoperable, open-framework platform that enables inventory levels and production data to be safely shared easily, quickly and at more a granular level of detail.

Digital Sandwich

One good example of an initiative that is offering increased transparency and food safety in the UK is the Digital Sandwich Project. Backed by the UK government, a consortium of UK universities, tech, food, and manufacturing firms are currently developing a cross-platform, cross-supply chain exemplar to irrefutably track all components of a pre-packaged sandwich; a simple product which has a very

complex supply chain.

The aim of the project is to increase productivity and flexibility while improving food safety and provenance across the supply chain by connecting and tracking ingredients. IoT forms a core component of the project, providing the product traceability layer, which will virtualise the digital sandwich so that food products are tracked in real-time, from supply to assembly and delivery, whilst monitoring and managing the conditions and environments of each product component at any given point on its journey.

By adding a ‘digital layer’ to the supply chain, disparate systems are bought together into one standardised, formalised, open platform. This endto-end traceability of ingredients minimises unexpected disruptions and ensures optimal conditions for produce throughout the supply chain.

Not only does by tracking and combining location, condition and product data protect the safety of produce, extend shelf life, enable more accurate use-by dates, and keep food fresher for longer, it also mitigates food spoilage and waste to drive a greener and more profitable supply chain for the future.

Futureproofing the Supply Chain

Recent unprecedented global events have highlighted that supply chains have vulnerabilities. However, by focusing on cutting edge technologies, the industry can develop a global digital supply chain that provides greater visibility, control and confidence around demand, provenance and food safety while driving enhanced sustainability practices.

Through widespread digitalisation, retailers can achieve greater visibility and control over the food supply chain to mitigate against variations in demand at the customer or retailer level reverberating up the chain and causing greater discrepancies. As a result of proper planning and futureproofing of supply chain operations, retailers can quickly respond to potential problems and disruptions now and in the future.

46 OCTOBER 2022

Innovative Food Systems key to tackling global food crises – experts

Policymakers from major fresh food suppliers to participate in WUWM Conference in Abu Dhabi

Global conflict, supply chain disruptions, and the continued economic fallout of the pandemic are likely to keep global food prices at historically high levels until 2024, according to a recent market report from the World Bank.

Among the factors driving price inflation are record levels of food wastage, with up to 40% - 70% of fresh food in supply chains being damaged or wasted due to unfavourable storage conditions or poor handling.

There has also been a reduction of farm labour capacity, leaving a significant volume of produce unpicked in fields after harvests, and 23 countries have implemented food export bans, with seven implementing export-limiting measures, as of August 2022.

As a result, policymakers, innovators, and international leaders are looking for new ways to reorganise supply chains to prioritise food security and ensure access to healthy diets.

WUWM

The World Union of Wholesale Markets (WUWM) Conference 2022, which will be held in the Middle East for the first time in October, will bring together government bodies with leading fresh food producers and wholesale market authorities to discuss key challenges and potential new approaches to bring food from farms to the table.

“We are actively working with global partners to share key learnings and address the critical challenges facing global food supply chains today,” observed Saeed Al Bahri Salem Al Ameri, Director General of Abu Dhabi Agriculture and Food Safety Authority (ADAFSA).

ADAFSA is launching several initiatives that aim to boost local production and enhancing market accessibility and competitiveness for local products. These initiatives also look to encourage food and agricultural supportive industries, in addition to improving wholesale markets for livestock and other agricultural products.

Distribution hub

AD Ports Group, which is developing one of the region’s largest food trading and logistics centres at KIZAD in Abu Dhabi, is also establishing an integrated food storage and distribution hub in Uzbekistan to enhance the nation’s food trade across global markets and drive Central Asian food security.

“As the host of the WUWM Conference in Abu Dhabi, we are looking

to learn from our global partners about the different routes wholesale markets are taking to improve efficiency and ensure sufficient food supplies,” noted Abdullah Al Hameli, CEO, Economic Cities & Free Zones, AD Ports Group.

“The key aim of the conference is to find pathways to provide communities with balanced, healthy and nutritious diets, and to overcome the current challenges restricting access for a significant proportion of the global population,” remarked Stephane Layani, Chairman, WUWM.

Other topics set to be discussed at WUWM Abu Dhabi 2022 include logistics, the role of food hubs in ensuring healthy diets and the role of digitalisation.

The conference will take place from 1920 October 2022 at Abu Dhabi National Exhibition Centre.

FOOD SECURITY 48 OCTOBER 2022
For More Details Contact : sukhjinder@sclarabia.com

Ashghal awards Qatar’s first sewage treatment PPP Project to Consortium Metito

Total project cost of US$ 1.48bn

Qatar’s ‘Ashghal’ awarded the Consortium Metito, Al Attiyah Motors & Trading Company, and Gulf Investment Corporation (GIC), the contract for the development, design, build, finance, and procurement for the country’s first 150,000 cbm/day sewage treatment works (STW) project under a Public-Private Partnership (PPP) agreement.

The QAR 5.4bn (US$ 1.48bn) project, located in the areas of Al Wakrah and Al Wukair, marks the country’s first sewage treatment PPP project.

In a recent official signing ceremony held in Qatar, HE Sheikh Khalid Bin Khalifa Bin Abdulaziz Al Thani, Qatar’s Prime Minister and Minister of Interior graced the signing ceremony for this historic project.

The Prime Minister stated that the initiative of signing the contract of Al Wakrah and Al Wukair STW project is a culmination of the State’s efforts to consolidate the partnership between the public and private sectors, on the one hand, and attract and stimulate local and foreign investments on the other.

Qatari stakeholders

“ Metito has been closely working alongside its Qatari stakeholders, developing projects since 1987, and being awarded this contract alongside our partners is a great honor and a testament of our commitment to play a leading role in enabling Qatar to achieve its ambitious water agenda,” affirmed Mutaz Ghandour, Chairman and CEO, Metito.

The Al Wakrah and Al Wukair STW project will contribute to the achievement of Qatar’s 2030 Vision to streamline water consumption and

encourage the use of unconventional water resources. The consortium’s scope will involve the design, construction, and delivery of KAHRAMAA facilities, including a primary substation, initial commissioning, performance acceptance testing, and 25 years of operations and maintenance.

“We are the largest shareholder in this consortium, which means providing an effective contribution to the capital, in addition to our decades-long experience working within Qatar. We are proud to be awarded this contract under a publicprivate partnership for the next 25 years, with the local and global expertise that our consortium has,” explained Abdul Aziz Al Attiya, Chairman, Al Attiyah Motors & Trading Company.

Partnership

“We are delighted to work in partnership with the Qatari government and our partners on this historic project. Impact

investment is a key principle for Metito and it is an honor to lead on a project that supports Qatar’s efforts to develop and implement a sustainable drainage infrastructure across the country,” observed Rami Ghandour, Managing Director Metito.

“In line with its strategy to focus on sectors with high added value to the economies of the region, GIC has chosen the development of utilities and infrastructure projects as one of the most important sectors,” noted Meshary Al-Judaimi, Group Head –Principal Investment, GIC.

“With a local workforce of over 2200 employees and extensive operations in Qatar, we are very familiar with the local water sector and its challenges. Our understanding of local requirements backed by our strong engineering capabilities, and innovative technologies, will enable us to deliver a world-class project fitting of Qatar,” asserted Walid Oraby, Metito Qatar Executive Director.

PPP PROJECT—QATAR OCTOBER 2022 49

Maximizing the synergies of co-locating

an MFC within the retail environment

Ongoing shifts in the retail landscape, driven by e-commerce, along with changing customer demands and expectations, are creating an increased need for fast, efficient local fulfillment, opines David Dronfield, General Manager, Swisslog Middle East

Micro-Fulfillment Centers (MFCs) are the next step in creating a harmonious omni-channel supply chain. Since their introduction around 2018, MFCs have continued to expand in popularity.

There are a number of factors contributing to the growth of MFCs, including consumer demand for faster deliveries and more options; grocers wanting to compete with pure e-commerce companies, plus each other; grocers wanting to compete with service providers like InstaShop, and NowNow in the UAE, and more recently, Covid-19, which has led more people to shop online to avoid in-store contamination risks.

E-grocery fulfillment

Micro-Fulfillment Centres (MFCs) are proving to be an important solution for grocers seeking to automate e-grocery fulfillment for pickup and delivery. The consistent volume of e-grocery orders that many grocers are now receiving, and the complexity of those orders, support a strong business case for local, automated fulfillment.

Automated MFCs allow companies with or without a brick-and-mortar footprint within a particular area to move fulfillment closer to customers to reduce transportation costs and enable shorter delivery times, benefitting both the retailer (or Fast-Moving Consumer Goods

(FMCG) producer) and the customer.

Companies can build a micro-fulfillment centre as a standalone facility, or inside or bolted onto an existing location, to expand fulfillment capacity. MFCs can support customer curb-side pick-up, too, or a hybrid of pick-up and delivery.

Co-locating the MFC at the retail store offers multiple synergies, but the implementation of an MFC requires careful planning.

MFCs are proving to be an important solution for grocers seeking to automate e-grocery fulfillment
Swisslog automated e-grocery fulfillment for pickup and delivery
MICRO-FULFILLMENT CENTERS (MFCS) 50 OCTOBER 2022

The case for in-store MFCs

While some grocers have opted to centralize fulfillment in regional distribution centres that support but are physically disconnected from retail stores, there are clear advantages to co-locating an MFC within an existing retail store, when space permits.

In-store MFCs not only enable grocers to leverage their existing retail space, they also can reduce the inventory stocking requirements of the fulfillment centre because store inventory can be used to supplement the inventory in the automation system.

Rather than re-creating specialty services, such as prepared foods or butcher services in the regional centre or even investing in cold storage automation, an automated MFC with high-volume manual picking can be configured to fulfill approximately 90% of the typical basket,

with the remaining 10% being picked from the store as required.

Leveraging benefits

This enables grocers to leverage the benefits of automation while reducing the size of the investment and offering online shoppers the same breadth of products as in-store shoppers. At the same time, they minimize the negative impact of manual pickers, with their oversize carts, on the in-store shoppers.

Some retailers may also gain synergies in receiving and stocking processes and increased labor flexibility when deploying automation in the store rather than in a separate location.

Overcoming MFC Challenges

While there are obvious advantages to deploying automation in-store, there are some key challenges that must be

addressed. The most significant of these is the space an in-store MFC requires. Most MFCs consume between 8,000 and 14,000 square feet and that can create challenges, particularly for smaller stores or those in dense, retail environments with no opportunity to expand the store footprint.

Real estate is becoming scarcer in most major cities around the world, and this leads to higher costs, plus less available space to construct an MFC.

In larger stores without space for physical expansion, some grocers have

Swisslog MFC Solution E-Grocery AutoStore 3D Rendering. David Dronfield
OCTOBER 2022 51

accommodated MFCs through store compressions. By rearranging and consolidating in-store merchandise, they can create the space required for an MFC and, through the improved efficiency provided by the MFC, increase the sales volume per square foot for a particular location.

Government regulations

Government regulations must also be taken into consideration when setting up an MFC. There may be additional taxes, or restrictions on where an MFC can be established, and how close it can be to residential areas.

Residents may object to the increase in delivery vehicles, increased carbon emissions and noise pollution – all of which would make it more difficult to secure a planning or development permit.

Optimizing limited available space may also require re-evaluating processes in the main distribution centre.

Swisslog is working with grocers today who are implementing more case handling processes in their main distribution centre to enable shipping of mixed pallets or split case orders specific to the MFC, reducing the space required for receiving and streamlining replenishment at the local level.

MFC Automation software

A final challenge worth considering is the ability of the MFC automation software to adapt to the specific requirements of e-grocery fulfillment. Just because automation control software can meet the needs of some e-commerce applications does not mean it will work in e-grocery.

Grocers require a greater ability to manage inventory by expiry dates and lot codes, pre-picking and staging capabilities that smooth out the peaks that occur during the most popular order times, and the ability to easily re-configure storage bins at replenishment stations.

Co-locating the MFC at the retail store offers multiple synergies, but the implementation of an MFC requires careful planning and an experienced partner. At Swisslog, we are working with grocers at every stage of MFC evolution—from fully deployed to initial planning—to optimize space utilization, enhance inventory management and increase throughput and productivity.

With more than 2,000 warehousing and logistics automation projects completed worldwide, Swisslog not only has fundamental knowledge in food and beverage, e-commerce, and retail, but it can deliver logistics automation for the whole supply chain network within these industries, starting with large CFC and moving through Dark Store, down to MFC.

Swisslog RFC Solution E-Grocery 3D Rendering E-Grocery Up Store.
52 OCTOBER 2022
Pick
Join NAFL & FIATA Get connec ted Network ing & Business Oppor tunities MOST ELABORATE NET WORK IN THE WORLD FOR FREIGHT AND LOGISTICS SCHOLARSHIPS FOR DESER VING UAE NATIONALS Here’s why you should consider being a member: + The FIATA member cer tificate + Use of the FIATA logo + Entr y in the FIATA members direc tor y & network ing events + Adver tising in the FIATA members direc tor y, review and information (FIATA e Flash) + Special Rates for FIATA publication and ar ticles + Access to secretariate assistance + FIATA arbitration support + Use of FIATA documents(FIATA Bills of Lading) + FIATA worldwide member connec tivity + Talent Connec t Worldwide, E-Learning International Benefits: + The NAFL member cer tificate + Use of the NAFL logo + Free access to network ing events + Discounted rates for par ticipating in global and regional conferences + Asssistance in case of legal advocac y + Discounts for cargo/logistic events and exhibition stands + Discounted training rates for NAFL members + Training/Cer tification for regional/international courses + Insurance at discounted rates (cargo/liability/medical) + + Complimentar y internship & Sk ills upgrade Mentoring & Innovation ideas + Discounted supplier rates for industr y produc ts National Benefits: Be the Industr y voice, protec t yourself by STC, Insurance and maritime advice, Network B2B, B2C FIATA LEARNING ACADEMY the global voice of freight logistics tional ssociation of eight & Logistics ACCREDITATIONS NAFL : National Association of Freight & Logistics P.O. Box 60944 Dubai, United Arab Emirates Tel: +971 4 3431112, Mobile: +971 50 7802631 Register at info@nafl.ae / shankar@nafl.ae, ww w.nafl.ae DGR-CAT1-6 / IMDG ADVOCACY NETWORKING & EVENTS Join NAFL & FIATA Get connec ted Network ing & Business Oppor tunities MOST ELABORATE NET WORK IN THE WORLD FOR FREIGHT AND LOGISTICS SCHOLARSHIPS FOR DESER VING UAE NATIONALS Here’s why you should consider being a member: + The FIATA member cer tificate + Use of the FIATA logo + Entr y in the FIATA members direc tor y & network ing events + Adver tising in the FIATA members direc tor y, review and information (FIATA e Flash) + Special Rates for FIATA publication and ar ticles + Access to secretariate assistance + FIATA arbitration support + Use of FIATA documents(FIATA Bills of Lading) + FIATA worldwide member connec tivity + Talent Connec t Worldwide, E-Learning International Benefits: + The NAFL member cer tificate + Use of the NAFL logo + Free access to network ing events + Discounted rates for par ticipating in global and regional conferences + Asssistance in case of legal advocac y + Discounts for cargo/logistic events and exhibition stands + Discounted training rates for NAFL members + Training/Cer tification for regional/international courses + Insurance at discounted rates (cargo/liability/medical) + + Complimentar y internship & Sk ills upgrade Mentoring & Innovation ideas + Discounted supplier rates for industr y produc ts National Benefits: Be the Industr y voice, protec t yourself by STC, Insurance and maritime advice, Network B2B, B2C FIATA LEARNING ACADEMY the global voice of freight logistics tional ssociation of eight & Logistics ACCREDITATIONS NAFL : National Association of Freight & Logistics P.O. Box 60944 Dubai, United Arab Emirates Tel: +971 4 3431112, Mobile: +971 50 7802631 Register at info@nafl.ae / shankar@nafl.ae, ww w.nafl.ae DGR-CAT1-6 / IMDG NAFL TRAINING NAFL MEMBERSHIP COURSES IN FREIGHT FORWARDING & LOGISTICS LEGAL ADVOCACY NETWORKING & EVENTS

Etihad Rail welcomes the first batches of its new state-of-the-art fleet of trains

Acquisition will enhance railway freight services across the UAE

Etihad Rail, the developer and operator of the UAE National Rail Network, recently achieved a new milestone in the development of the National Rail Network, with the arrival of first batches of the company’s new and advanced rolling stock fleet.

The locomotives and wagons, which reached the UAE via Zayed and Al Musaffah Ports, will operate across the whole network upon its completion.

The achievement was announced during an event, which was organised by Etihad Rail at Al Mirfa city in the Al Dhafrah region in Abu Dhabi, to unveil the new fleet of locomotives and wagons. The event was attended by Shadi Malak, CEO, Etihad Rail, alongside Marty Haycraft, President and CEO, Progress Rail and Henry Pang, Executive Director, MENA, CRRC, in addition to a number of senior officials from all sides.

UAE Railways Programme

The achievement comes in line with Etihad Rail’s efforts to achieve the objectives of the UAE Railways Programme, the largest land transport system of its kind in the UAE, which was launched as part of the Projects of the 50, the largest set of national strategic projects that seek to set up a new phase of development across UAE for the next fifty years.

The UAE Railways Programme aims to set a new roadmap for transporting goods and passengers via train across the country, which will contribute to developing a sustainable land transport system that connects the cities of the UAE via railways.

The first batches have arrived in the UAE through Zayed and Al Musaffah Ports, which comes as part of Etihad Rail’s commitment to expanding its fleet of trains to serve the entire network. The

Etihad Rail connects ICAD railway terminal to the network 2

Company will increase its fleet of heavy freight locomotives to 45 heavy transport locomotives, which is equivalent to six times of its current fleet. Progress Rail, a Caterpillar company of America and one of the world’s largest manufacturers of diesel and electric locomotives, will handle the manufacturing and supply of the new EMD® SD70 electro-motive diesel locomotives.

New fleet

“The arrival of the new fleet of locomotives and wagons to the UAE on schedule reflects the level of the achievements that the Etihad Rail project is realising in the development of the UAE National Railway Network,” asserted Mohammed Al Marzouqi, Executive Director, Rail Relations, Etihad Rail.

“Our diesel-electric EMD® SD70 locomotives meet the highest global standards,” noted Marty Haycraft, Progress Rail President and Chief

Executive Officer.“Etihad Rail’s new fleet is a great example of what our customers have come to expect from our advanced locomotives, which are designed to perform in extreme conditions,” he added.

“CRRC is pleased to witness the successful delivery of the multi-function wagons, which will contribute to reducing carbon emissions and provide safe, sustainable, and efficient services,” commented Ben Quak, General Manager, CRRC UAE.

Etihad Rail fleet that meets the highest international standards

Etihad Rail’s new fleet was designed specifically to withstand the geographic, climate conditions, and the high temperatures and humidity levels in the GCC region, ensuring the highest levels of performance, efficiency, and sustainability.

ETIHAD RAIL 54 OCTOBER 2022

The fleet is set to elevate the transport and logistical services system in the UAE, solidifying the country’s position in the logistics sector on a regional and international level. It will increase the capacity of the UAE National Rail Network to more than 60 million tonnes of goods per year. Etihad Rail’s new fleet will also contribute towards reducing carbon dioxide emissions by 70%-80%.

Advanced locomotives

Each of the fleet’s new diesel-andelectricity-operated Electro-Motive Diesel EMD® SD70 locomotives, provides 4,600 BHP, which makes it one of the most powerful engines in the Middle East.

The locomotives are equipped with the latest filtering innovations such as the pulse sand filtering system, which

Etihad reception in NYC Etihad Rail new wagons fleet offloading
ETIHAD RAIL OCTOBER 2022 55

Each locomotive can pull upto the capacity of 300 trucks. The volume of goods transported is equivalent to 5,600 daily truck trips.

ensures that the train operates at high effectiveness and efficiency when passing through desert regions. They also incorporate and comply the latest technologies and standards for reducing emissions.

The locomotives are equipped with advanced on-board technologies and systems like the European Train Control System (ETCS) Level 2, the most advanced signalling system of its kind, to ensure safety, security, and reliability, in addition to efficiency and sustainability.

Each locomotive can pull 100 wagons, which is equivalent to the capacity of 300 trucks. The volume of goods transported by these trains is equivalent to 5,600 daily truck trips.

Multi-function wagons

The wagons are equipped with the latest braking, signalling, control, communication, and safety systems. The variety of wagons will enable a higher flexibility and capability in transporting goods of various sizes, including petrochemicals, raw steel and its products, limestone, cement, building materials, industrial and household waste, aluminum, food, and assorted goods.

This helps reduce transportation costs by 30% and increase logistic efficiency, which drives economic success for clients and users of the network. In addition, railway transport will reduce road congestion caused by trucks, which are currently the only shipping method.

The new locomotives and wagons will be stored at Etihad Rail’s facilities in Al Mirfa until the completion of construction works on the UAE National Railway Network. The development of the network is proceeding at a rapid pace and marking a number of achievements, the most recent being finishing 75% of Stage Two of the project within 28 months.

The new hub will be equipped to handle over 20mn tonnes of bulk, containerized, and general cargo annually.

Etihad Rail has announced the successful completion of the connection between the railway freight terminal at the Industrial City of Abu Dhabi (ICAD), which is the largest inland freight railway terminal in the country, and the UAE National Rail Network.

The Company completed tracklaying works and conducting successful tests on the new line, which extends from the borders of Saudi Arabia to the port of Fujairah, on the eastern coast, passing through key manufacturing hubs and urban centres.

This achievement comes in line with the goals of the UAE Railway Programme, which is the largest integrated system for transporting goods and passengers across the country. The programme aims to connect the country’s key centres of industry and production, open new trade routes and facilitate population movement.

Stage Two

Upon the completion of Stage Two of the UAE National Rail Network, Etihad Rail will provide planning solutions from the railway terminal, which is located at the heart of the Industrial City of Abu Dhabi, burgeoning hub of industrial companies in the area.

“The strategic location of the ICAD railway freight terminal will also drive value for all our customers as it is the largest

indoor railway freight terminal in the UAE,” commented Mohammed Al Marzouqi, Executive Director, Rail Relations Sector, Etihad Rail.

Etihad Rail is constructing the largest inland railway freight terminal in the UAE in ICAD, spanning just over 2.7mn sqft, the new railway freight terminal at will comprise over 22 buildings and major structures to support operations, processing up to nine trains each day.

It will facilitate the distribution of goods across the countries of Gulf Cooperation Council (GCC) and UAE, where it will connect quarries in the northern emirates to industrial centres in the Musaffah area, in addition to connecting Ruwais, Khalifa Port and the container companies in Dubai within Jebel Ali Port. The containers will be hauled by rail to and from other freight facilities following a road journey to the end-user location.

Logistics hub

The railway freight terminal will act as a logistics hub for heavy industries enabling a seamless distribution of raw materials and machinery for manufacturers, in addition to facilitating better connections to vital trade infrastructure, such as ports. It will also offer customs services, which will make ICAD tenants more competitive.

Etihad Rail completes the connection of railway freight terminal at ICAD with main line
Etihad Rail connects ICAD railway terminal to the network 1
ETIHAD RAIL 56 OCTOBER 2022

Perfecting waste collection

Perfecting waste collection

RENAULT TRUCKS C: PERFECT SOLUTION FOR WASTE MANAGEMENT APPLICATION

Renault Trucks C380 P6X4 E5 fitted with 25cbm garbage compactor in partnership with Gorica-Farid has been designed to offer the complete application with all the necessary features to end user both from technical and commercial standpoint.

RENAULT TRUCKS C: PERFECT SOLUTION FOR WASTE MANAGEMENT APPLICATION

Renault Trucks C380 P6X4 E5 fitted with 25cbm garbage compactor in partnership with Gorica-Farid has been designed to offer the complete application with all the necessary features to end user both from technical and commercial standpoint.

This truck is also equipped with superior safery features such as advanced emergency brake system, lane departure warning system, and tire pressure monitoring system. middle-east.renault-trucks.com

This truck is also equipped with superior safery features such as advanced emergency brake system, lane departure warning system, and tire pressure monitoring system.

Bahri Logistics signs MoU with MOSOLF to develop the automobile supply chain

The two parties will present domestic automotive logistics solutions across Saudi Arabia

Bahri Logistics and the MOSOLF Group, one of the leading system service providers for the automotive industry in Europe, recently announced the signing of a Memorandum of Understanding (MoU) aims to establish and develop an automotive logistics framework initially focused on Saudi Arabia with plans to expand across the Gulf Cooperation Council (GCC).

The mutually beneficial agreement seeks to deploy innovative solutions that will enhance the automobile supply chain network domestically and regionally by harnessing both parties’ industrial

expertise and shared resources.

With the support of the Ministry of Investment (MISA) the MoU was signed by Soror Basalom, President, Bahri Logistics, and Gregory Hancke, Vice Chairman, the Executive Board of the MOSOLF Group (COO), during the signing ceremony held at Ministry of Investment (MISA).

Under the terms of the partnership, Bahri Logistics and German automotive supply chain experts MOSOLF will work collaboratively to develop and operate an automotive logistics system in the Kingdom that prioritizes B2B fulfillment and the application of industry-leading

logistics practices.

The MoU between Bahri Logistics and MOSOLF seeks to further fortify the Kingdom’s current automotive logistics supply chain.

“This valuable partnership will help develop the automotive logistics market as we continue to innovate our services and work in step towards the transformative objectives of Vision 2030,” remarked Basalom.

“MOSOLF Group and Bahri Logistics will create the best conditions for the innovative and sustainable development of the automotive market in Saudi Arabia and the GCC,” commented Hancke.

Bahri & Tabadul MoU meeting. Bahri and STC Channels deal signing ceremony.
JEBEL ALI FREE ZONE (JAFZA) 58 OCTOBER 2022
JEBEL ALI FREE ZONE (JAFZA) Bahri-MOSOLF deal signing ceremony.
OCTOBER 2022 59

KEZAD Group launched to provide integrated ecosystems for strategic industries

AD Ports Group, the leading facilitator of trade, logistics, and industry, recently unveiled ‘KEZAD Group’ as part of the plan to consolidate and grow its Economic Cities & Free Zones offering, marking a new phase of evolution towards strengthening Abu Dhabi’s position as the region’s leading industrial and manufacturing destination.

The move follows the integration of Khalifa Industrial Zone Abu Dhabi (KIZAD) and Specialised Economic Zones (ZonesCorp) into the newly formed KEZAD Group (Khalifa Economic Zones Abu Dhabi Group), which comprises 12 economic zones with a total area of 550sqkm, including 100sqkm designated as Free Zones.

Presently, the KEZAD Group hosts more than 1,750 clients from 17 industrial and economic sectors catering to a range of key industries such as Pharmaceuticals, Metals, Automotive, Polymers, Building Materials Recycling, Food & Agriculture Technology, Plastics & Polymers, Retail & Logistics, Hi-Tech & Green Energy, Life Sciences, Oil & Gas, and Specialty Chemicals, each offering direct access to all industry and economic verticals from processing and storage to distribution.

Abu Dhabi Industrial Strategy

Established to align with the UAE’s Industrial Strategy, the economic vision of Abu Dhabi and the recently launched Abu Dhabi Industrial Strategy, KEZAD Group is designed to offer greater opportunities for investors looking to streamline every segment of their supply chain.

It will leverage the collective strength of a combined organisation to enable expanded competitive choice of locations, greater pricing options, quality of infrastructure, ease of doing business and integrated services through unified

Move will boost revenue and create cost synergies

processes, superior service delivery, and focused offerings for customers.

KEZAD Group will be solely responsible for managing the process of planning, developing, operating, regulating, and promoting combined assets (KIZAD, ZonesCorp and KIZAD Communities) under the AD Ports Group’s Economic Cities & Free Zones portfolio, that makes up 55 percent of the UAE’s industrial area.

Long-term contracts

“From a business perspective, Economic Cities & Free Zones provides AD Ports Group with revenue generated by longterm contracts, and stimulates further growth across our other operations, as

clients deploy our logistics, ports and digital services,” commented Captain Mohamed Juma Al Shamisi, Managing Director & Group CEO, AD Ports Group.

“We are proud to launch KEZAD Group under our Economic Cities & Free Zones portfolio, bringing together the entire scope of services and ecosystems that businesses require to thrive in today’s competitive market,” noted Abdullah Al Hameli, CEO, Economic Cities & Free Zones, AD Ports Group.

“The KEZAD Group will deploy this enhanced scale to fully support strategic industries and enable sustainable diversification and growth, observed,” Mohamed Al Khadar Al Ahmad, CEO, KEZAD GROUP.

KEZAD Group is home to facilities of numerous leading local, regional and global companies.
KEZAD, ABU DHABI 60 OCTOBER 2022
W i t h a s y s t e m a t i c o r g a n i z a t i o n a n d i n n o v a t i v e s o l u t i o n s , w e o f f e r y o u Q u i c k , P r o A c t i v e , c r e a t i v e s o l u t i o n f o r y o u r m o s t c o m p l e x t r a n s p o r t a t i o n C h a l l e n g e s O u r s e r v i c e p a c k a g e i n c l u d e s t h e h a n d l i n g o f O v e r S i z e d a n d H e a v y L i f t c a r g o , a s w e l l a s p r o v i d e R i s k A s s e s s m e n t a n d t h e m e t h o d s t a t e m e n t f o r t h e d e l i v e r y o f c a r g o O u r P r o j e c t P r o f e s s i o n a l s a n a l y s e s t h e s c a l e o f t h e p r o j e c t a n d o r g a n i z e s a l l t h e n e c e s s a r y r e s o u r c e s a n d p e r m i t s t o c o m p l e t e t h e d e l i v e r y w i t h g r e a t e s t e f f i c i e n c y Integrated and highly complex logistics services +971 56 408 7656 emirhan turhan@hellmann com G E T C O N N E C T E LD E T ' S D O B U S I N E S S ! Emirhan Turhan Head of Sales UAE
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