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Airfreight Prices Reach New Heights Ahead of the Holidays

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Air Cargo, Archives, Global Logistics, Global Trade Daily

Airfreight Prices Reach New Heights Ahead of the Holidays

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Numerous analysts agree that the upcoming holiday season could bring numerous supply chain challenges resulting in sold-out products, delayed replenishments and disappointed customers. Airfreight cost rises are already emerging as an obstacle in the mix.

Capacity Shortages and Rising Demand

Insights from airfreight logistics professionals and other people in the know suggest that reduced capacity on flights coupled with surging demands are two factors contributing to the current conditions.

An analysis of air cargo rates for September 2021 illuminates how all regions could experience the effects of more logistics professionals availing of air cargo services when they can. The push to secure spaces has pushed some major brands to invest in their own planes. However, smaller retailers are often left out because they lack the resources to cope with higher rates, let alone dedicated aircraft.

Global demand levels were up by 9.1% compared to figures collected for September 2019. Unfortunately, available capacity is 8.9% below pre-COVID-19 levels. However, other sources clarified that although volumes are up, not all planes are full.

When the report drilled down into regional situations, it revealed that Asia-Pacific airlines saw international cargo volumes rise by 4.5% compared to September 2019 figures. European carriers saw a similar 5.3% volume increase, and demand went up by 6.9% for the North Atlantic trade lane.

African, Middle Eastern and Latin American carriers felt even more intense pressure during the studied period than in September 2019. African airlines coped with a 34.6% jump in international cargo demand, while those in the Middle East and Latin America had overall upticks of 17.6% and 17.1%, respectively. The capacity shortage was particularly pronounced for Latin American air cargo specialists, with availability down more than 24% on 2019 levels.

Air Cargo Still an Appealing Option

Since goods often travel incredibly long distances to reach their destinations, intermodal transportation is increasingly necessary. It involves using at least two methods, such as a ship and a truck, to get cargo to the right places. However, it’s not always easy to choose the best options. That’s because airfreight is not the only sector saddled with extra demand.

In the United States, March 2021 container volumes for the Long Beach and Los Angeles ports were up 97% on the previous year, resulting in the busiest March recorded so far.  Also, the United States, Europe and Great Britain are among the places dealing with truck driver shortages.

While facing those obstacles, logistics professionals may understandably conclude air cargo carriers are among the best options, provided they’re willing to pay the associated rates. One issue is that many experts believe port backups won’t resolve anytime soon. A proposed solution to keep some United States ports open 24 hours may not be enough to make significant impacts, either.

Those realities have pushed more people to consider air cargo as a possibility. Bruce Chan, a senior analyst at investment bank Stifel, said, “Terminals and container yards are full. Drayage capacity is tight due to structural driver supply issues, as well as compounding disincentives to pick up from ports as a result of the delays.”

He continued, “As such, we believe there is a contingent of inventory that will not arrive in time for the seasonal rush via ocean and that freight may be converted to air.” Numerous logistics professionals have nonetheless warned consumers to expect product shortages this year. Some have recommended that shoppers take pictures of items and put them into holiday cards in case the actual products show up late.

A Few Things to Know Before Considering Airfreight Options

Shipping things by air is often the most desirable method when speed is a priority. Plus, delicate items, such as electronics and designer clothing, are among the products that most commonly travel in planes.

Airfreight cost averages were typically higher than other transportation methods even before these recent rises. Therefore, shipping more expensive items by plane was a popular choice because the hope was that the higher product revenue would justify the expenses.

However, carriers don’t accept goods in all cases. For example, aerosols with an aggregate weight of more than 150 kilograms cannot travel in a passenger aircraft. People should take the time to verify that cargo specialists will accept their products rather than assuming that’s the case. All forms of product transportation require considering things like weight and flammability to ensure safety.

It’s also more complex to prepare products for shipment by air versus sea. The cargo gets loaded onto a pallet in a warehouse, wrapped with plastic, and secured with cords and ropes. Packing the products together as tightly as possible is critical because shifting significantly during a flight could cause the plane to crash.

These details mean that even if someone is prepared to deal with rising airfreight costs, they must take the time to check that plane-based shipments are right for their products and their overall needs.

Passenger Air Travel Increases Could Decrease the Crunch

Even if there are no significant airfreight cost decreases on the horizon, an expected bump in passenger flights could ease the current capacity issues. For example, the United States recently reopened its borders to many international travelers who can show proof of their COVID-19 vaccinations.

The largest cargo holds in passenger planes’ bellies accommodate the equivalent of two 40-foot freight containers. At one time, they carried as much as half of the total air cargo capacity. Many airlines expanded their cargo space during the pandemic, but it still did not compare to levels seen previously.

Part of the reason was that airlines most dedicated to expanding cargo capacity limited the changes made. Representatives worried that demand could dry up in the future, meaning any efforts to expand cargo space might only bring short-term payoffs. However, the anticipated passenger flight boom won’t universally affect available areas.

Logistics professionals expect the most benefits to come from planes carrying people between the United States and Europe. However, the effects will not be as notable for transpacific flights.  For example, many pandemic-related travel restrictions remain in effect for China. Plus, more passengers originating in Europe traveled to the U.S. than to Asian destinations even before the pandemic.

Airfreight Logistics Are Continually Complex

People considering shipping goods by air have many pros and cons to weigh, and that was the case before rates began climbing. Being aware of those aspects will help them conclude whether the cost is worth the money when considering all other factors.

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Emily Newton is an industrial journalist. As Editor-in-Chief of Revolutionized, she regularly covers how technology is changing the industry.

technology CGS supply
Archives, Global Logistics, Global Trade Daily, Trucking

Resolving Fluidity Challenges in Today’s Bottlenecked Supply Chain Environment with Technology

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In today’s demanding supply chain environment, SMEs (small and medium-sized enterprises) are facing unprecedented supply chain challenges much like larger companies and, as a result, have been investing in their own fleets due to the lack of equipment available in the marketplace.

Equipment scarcity as well as the reliance on outdated, legacy technologies to resolve today’s challenges are fast becoming the key underlying obstacles affecting SMEs to maintain their competitive advantage in today’s bottlenecked supply chain reality. More and more, companies are understanding that along with the investment in the assets must be the investment in asset management technology.

It has become clear that the right asset management platform—meaning the right technology, the right team of experts, the right level of adaptability and scalability– can serve as an invaluable tool to not only manage assets, but also transform operations and streamline processes.


The growing importance of technology for competitive advantage

While SMEs are looking for technology to help them respond to market shifts and evolving business strategies, they typically rely on modest IT budgets and stretched-thin admin teams. As their current software is reaching its end-of-life phase, SMEs are looking for cost-effective, scalable technology that can address today’s needs as well as those of the future. They rely on technology partners to help understand what is necessary: Is it an upgrade to a current system? Is a modification or new feature in order? Will a plug-in elevate the system to where it needs to be? Should this be a start-from-scratch system?

There is no doubt that as time goes on, SMEs–even those who may have resisted technology– will rely on technology services and solutions more and more, as the agility and flexibility of small and medium-sized enterprises within the supply chain have become ever more vital to supply chain fluidity. Innovative asset management technology platforms are enabling fleet managers to optimize their assets, control costs, manage M&R (maintenance & repair) as well as reduce admin costs. Tools designed to manage M&R help ensure streamlined communications, accountability, productivity and, most importantly, safe equipment. Customers utilizing asset management technology realize these robust benefits and more.

When selecting an asset management platform, it’s important to work with a partner with a proven track record, such as, Consolidated Intermodal Technologies (CIT), which was developed by Consolidated Chassis Management (CCM) and, for the last 10 years, has served as the asset management tool for its chassis pools. CIT is designed for fleet managers looking to upgrade their technology to support a growing fleet in a sustainable, scalable and efficient manner. CIT’s platform focuses on various intermodal equipment fleets, including chassis, trailers, containers, reefers and gensets of around 100 units.

These types of technology solutions are emerging as a competitive advantage by providing real-time visibility that enables businesses to make strategic decisions based upon quantitative analysis. Efficient asset management will provide the opportunity for SMEs and larger companies to outsource many back-office activities, enabling internal resources to be redirected to value-adding processes, including supply chain management. In fact, these services offer the possibility for SMEs to reduce labor costs, and the human capital necessary to manage their supply chain operations.

When it comes to investing in technology, we at CIT believe it is important to remember that one size does not fit all. It is crucial to collaborate with a technology partner who understands your business, your IT capabilities and resources as well as your goals. With the right asset management platform and team of experts that “get you,” businesses of all sizes can address the most complex and critical challenges to optimize operations, align business objectives and enhance corporate culture practices.

CIT is an innovative and proprietary asset management platform designed to enhance efficiency, elevate productivity, increase visibility, improve workflows and processes while lowering expenses and eliminating time-consuming redundancies. CIT understands the pain points of fleet managers as well as the importance of optimizing assets that are in compliance and on the road. For more than 10 years, the CIT platform has been the technology behind CCM’s fleet optimization system.

__________________________________________________________________

A seasoned technology executive with over 30 years of transportation IT industry experience, Mr. Thomas Martucci oversees the development and implementation of technology strategies that generate revenue and reduce costs. As VP for CCM and CTO for CIT, Mr. Martucci is responsible for business process management, software development, and technology implementation.

Ro-Ro
Archives, Global Logistics, Global Trade Daily, Ocean Ports

HOW TO PROMOTE HEALTH AND REDUCE HAZARDS IN RO-RO TERMINALS

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When it comes to the health and safety of your personnel, nothing should fall through the cracks. The port industry is no exception to this: If you are currently running roll-on and roll-off operations—from ports to terminals to vessels—you need to be mindful of the safety best practices round-the-clock.

Workplaces need to be free from accidents, injuries, and fatalities to optimally fulfill their operations. In which case, ro-ro operators are responsible for complying with safety rules that protect crewmembers, stevedores, longshoremen, and office-based employees. 

What Can Contribute to Ro-Ro Accidents?

There are several factors to watch out for when implementing safety hazards in ro-ro. The following are based on the guidelines set by the Occupational Health and Safety Administration (OHSA):

1. Lack of training. The inability of employees to perform their duties due to lack of training can be detrimental to worker safety. Without proper training in the field, serious injuries can occur to the employee and/or those around them.

2. Fatigue. Being overworked is common in the port industry because the operations are non-stop. Being overfatigued makes it difficult for any crew member to stay focused on the job and have the energy to perform at their best.

3. Inadequate traffic controls. Managing automobiles coming in and out of the vessel can be hazardous without a proper traffic control system in place. Arrangements should be made to ensure everyone’s safety, such as creating clearly marked walkways or putting stoplights to manage traffic.

4. Material failures. Worn-out machinery is prone to accidents. Some old systems may malfunction in the middle of high-intensity activities.

5. Unsafe walking surfaces. Tripping hazards are common in cargo holds. Working areas must be free from debris and lashing points, or at the very least, there should be signages that alert workers if they are in unsafe working areas.

6. Inadequate ventilation. Internal combustion engine-driven ships must have proper ventilation around-the-clock. If left unattended, this could exceed the allowable limit of carbon monoxide concentrations.

7. Improper use of—or failure to use—personal protective equipment. Protective equipment exists to keep hazards from inflicting further injuries, especially burns or electrocution. Protective equipment such as chemical hood respiratory masks also keep you from inhaling harmful chemicals.

How Ro-Ro Operators Can Promote Health and Safety

As the port industry continues to advance, changes have introduced new hazards. The occupation taken upon by port workers has very high accident rates, so doing at least the bare minimum health and safety protocols will go a long way in mitigating risks. 

That said, each ro-ro operator should be able to develop, manage and implement working initiatives that promote the safety of its workers no matter what circumstances they are in. Here are a few general principles to follow.

1. Design a protocol that prevents your worker from handling crucial tasks alone. Accidents can happen anytime, especially during critical activities. If you have enough manpower to handle port activities, make sure that everyone has an accountability partner. But in circumstances where only one person can do the job, make sure that there is good communication with a party chief or anyone within the port to check on your worker’s safety.

2. Set a working budget for protective gear and other safety materials. Estimate your budget allocation for protective gear, warning signages, alert systems and other precautionary items to protect your workers during operations. Set aside a budget for testing equipment as well. It’s helpful to use expense report software to help you manage and track costs, ensuring that all crucial gears are purchased first.  In addition, include a budget for repairs and inventory. 

3. Make sure air flows properly. Adequate ventilation ensures that port workers have access to clean and sustainable air while on deck. According to the International Labour Force (ILF) in Geneva: “When internal combustion engines exhaust into a hold, intermediate deck or any other compartment, the employer must ensure that the atmosphere is tested as frequently as needed to provide carbon monoxide concentrations from exceeding allowable limits.”

Tests should be made regularly to ensure that the area is conducive for workers to perform their duties in without worrying about inhaling harmful chemicals. Likewise, the ILF mentioned that managers should ensure that no papers are on the loose and are properly stored in a secure and organized fashion. Papers tend to be sucked into the exhaust ventilation system, which could block airflow.

4. Make safety protocols visible. While most safety protocols are common sense, some people can forget them or not be trained in performing them properly. Make all your safety efforts obvious to port workers so they have reference materials when they need them most. For example, print out catalogs that tell them a step-by-step process on how to put out a fire in case it happens.

All signage should be clearly displayed throughout the site, whether on the ship or at the port. This should include a 24-hour emergency hotline as well as a map to the nearest clinic, hospital, fire station or police department. Entry and exit points, first aid kits and other emergency equipment should also have signage so workers know where to find what they need.

5. Be mindful of vehicle stowage and lashing or unlashing. Make sure that all vehicles, trailers and other automobiles are secured before taking off. The best practice is to secure one vehicle before another is positioned behind it. Also, lashers should have their own lashing points, both on the automobile and the ship.

6. Beware of slips and falls. Onboarding the ship is hazardous due to inadequate lighting, frequent weather changes and fluctuating water conditions that can make the deck very slippery. Make sure to put clear warning signages in areas that are prone to slips and falls, and make sure that these are well-lit. Likewise, prepare an on-site emergency plan that outlines clear instructions on what workers need to do in case of a fall.

7. Double-check machinery before sailing off. For safety purposes, make sure that you have experts inspect the machinery, the schedules of the workers, the first-aid kits, and other equipment. Check if there are possible oil spillages and if so, avoid all contact unless they are deemed safe. Note that chemicals release toxic fumes that may cause injuries or even start a fire.

Prioritize Safety First at All Times

These are some of the most basic health and safety practices you can do in your ro-ro operations, but they are not intended to replace any national regulations. Rather, they should help give you a better idea of where to start improving your organization’s protocols.

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Archives, Global Trade Daily, News

Chapman Freeborn Transports Six McDermott Aviation Bell 214B Helicopters from Greece to Australia on Volga-Dnepr’s AN124 Aircraft

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Chapman Freeborn and Volga-Dnepr Airlines have successfully collaborated with McDermott Aviation to demobilize helicopters from Greece. This most recent operation involved the repatriation of 6 McDermott Aviation Bell 214B helicopters to Australia on an AN124 aircraft.

The helicopters, totaling 35 tonnes, were flown individually into Athens Airport (ATH) by a single pilot who landed them on the tarmac prior to them being dismantled airside and exported as IATA-compliant air cargo. Usually, exports would take place within a cargo terminal, however, the Bell 214Bs’ exceptional versatility enables a level of mobility that is invaluable when dealing with complex load planning, airport coordination and constraints pertaining to the COVID-19 pandemic.

Loading onto the AN124 was executed with the help of Volga-Dnepr’s internal cranes, external equipment and the highly-specialized expertise of Volga-Dnepr and McDermott Aviation crew.

It is a rare occurrence and colossal achievement for 6 helicopters to be transported in one aircraft simultaneously, and the success of this charter required all parties involved to embrace this challenging and dynamic situation. The Chapman Freeborn team worked closely with experts including McDermott’s helicopter engineers, Volga-Dnepr’s loadmaster and other crew from both organizations comprising of 24 people in total, to seamlessly coordinate the operation.

The team also navigated complexities presented by COVID-19 to ensure PCR tests, vaccinations and COVID-safe procedures were all prioritized.

Thanks to the hard work and dedication of everyone involved, this important and rare charter meant that the 6 helicopters arrived punctually at Perth Airport (PER).

Michael Amson, Cargo & Passenger Charter Manager at Chapman Freeborn, said, “Without the support and cooperation of all parties involved in this extraordinary charter, it would not have been the success that it was. We would like to thank Volga-Dnepr Airlines, McDermott Aviation, DNATA, Cargo Connect, and Signature Flight Support for their combined efforts, which ultimately enabled the client to continue their vital work in the emergency services sector without interruption.”

Ekaterina Andreeva, Commercial Director, Volga-Dnepr Airlines, highlights: “Some people might say – it is impossible to transport six helicopters aboard one plane, but here is what distinguishes air cargo specialists – we make impossible possible by bringing together the right people at the right time armed with competences, experience and equipment. We would like to thank everyone involved in this mega-project which will go down into the history of our life-saving logistics operations”.

_____________________________________________________________

Chapman Freeborn Group

Chapman Freeborn combines over 45 years of experience with unrivaled global coverage to meet the air charter requirements of customers 24 hours a day, 365 days a year.

The company’s diverse client base includes major corporations, governments, non-governmental organizations (NGOs) and relief agencies, as well as high net worth individuals (HNWIs) and prominent figures from the entertainment world.

Chapman Freeborn’s depth of aviation expertise includes managing passenger and cargo charter operations, aircraft leasing, humanitarian airlifts, and much more.

The group’s subsidiary companies include Chapman Freeborn OBC, Chapman Freeborn Flight Support, Intradco Global, Magma Aviation, and Arcus Air Logistics.

Part of the Avia Solutions Group

Chapman Freeborn is a family member of Avia Solutions Group, a leading global aerospace services group with almost 100 offices and production stations providing aviation services and solutions worldwide.

Avia Solutions Group unites a team of more than 7,000 professionals, providing state-of-the-art solutions to the aviation industry and beyond.

For more information about Avia Solutions Group, please visit www.aviasg.com.

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America's Leading 3PLs, Archives, Features, Global Trade Daily

AMERICA’S 50 LEADING 3PLs: IT’S CLEAR THIRD-PARTY LOGISTICS COMPANIES ARE NEEDED NOW MORE THAN EVER.

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The logistics industry has faced more than its fair share of challenges over the past year. 

As economies were brought (literally) to a halt by lockdowns and transport restrictions, the process of moving goods from A to B became riddled with added complexity, cost and difficulty. 

However, what the pandemic period has shown is just how critical the likes of third-party logistics (3PL) companies are to keeping all of our lives moving forward. Logistics workers have been among the unsung heroes who have often been on the frontline as the virus swept (and continues to sweep) its way across many parts of the world. 

The first part of this year’s top 50 takes a broad sweep of just some of the companies that continue to go above and beyond to go keep industries functioning–manufacturing, defense and ecommerce among them. 

Next is a look at some specific specialties that make particular 3PLs standout. Here, we list companies that thrive on technology, specialize in multimodal offerings and offer service to the more remote states in the USA. 

The third and final chapter of our top 50 charts some of the industry leaders that can provide inspiration to women seeking careers in logistics. The number of women truck drivers industrywide has grown 68% since 2010, with a 30% rise between 2018 and 2019. While this sort of trajectory is promising, women still only make up 10% of our long-haul drivers, meaning there is still plenty of work to do. We look at a handful of firms with inspirational female leaders and managers helping to steer their progress. 

3PLs BY SECTOR

Manufacturing 

Holman Logistics: Established in 1864, Holman Logistics has been a longstanding partner for manufacturing firms through the decades. Its manufacturing support services include material inventory management, quality control, shipping and receiving, and workforce management. Holman works closely with many well-known brand manufacturers of both CPG and durable goods. www.holmanusa.com 

UTXL: During its 24 years of service, Kansas City-based UTXL has arranged more than 1 million shipments with a 98% on-time delivery rate. Many of its customers are longstanding clients in the manufacturing space, from building products suppliers to automotive parts producers. www.utxl.com 

More 3PLs 

–Transplace

-United Facilities

Defense and aerospace

Phoenix Logistics: Based in Orlando, Florida, Phoenix Logistics has been providing engineering, manufacturing, IT, and logistics and supply chain services to the defense, aerospace, and industrial markets for 30 years. The company serves OEMs, Tier 1 and 2 suppliers, and government customers worldwide, including the US military. www.phxlogistics.com 

Neovia: Located in Irving, Texas, Neovia provides flexible solutions designed exclusively for the time-sensitive, service-critical requirements of the aerospace and defense industry. Its suite of services comprises inventory forecasting, warehousing, performance monitoring, replenishment and deployment, network design, supplier management and performance-based logistics. www.neovialogistics.com 

More 3PLs

–Omni Logistics 

-Hawthorne Logistics

Ecommerce

Whiplash: Formerly known as Port Logistics Group, California-based Whiplash specializes in omnichannel ecommerce fulfillment services, offering seamless integration with the world’s most powerful and revered ecommerce platforms. Real-time order and inventory insights are key features of its solution, which are powered by an open API and backed up by experienced support personnel. www.whiplash.com 

Rakuten SUPER LOGISTICS: Supported by a one- to two-day U.S. ground delivery network with sites spanning east to west, Rakuten SUPER LOGISTICS positions itself as an expert capable of empowering ecommerce retailers. Its solutions integrate with giant online retail platforms, including Amazon, shopify, eBay and Walmart. www.rakutensl.com 

GEODIS: With a direct presence in 67 countries and a global network spanning 120 countries, GEODIS supports a huge number of retailers with their online operations. The company recently launched an extended GEODIS eLogistics service in the U.S. to provide best-in-class ecommerce fulfillment solutions to emerging direct-to-consumer brands. The service will operate from three key locations in Indiana, California and New Jersey. www.geodis.com    

More 3PLs 

–ShipBob

-Seko Logistics

Food & drink

Arrive Logistics: With more than 1,300 employees and over 70,000 unique carriers, Arrive Logistics serves customers through several specialized divisions. The Arrive Fresh team is a centralized, experienced team that is uniquely equipped to solve the challenges of moving produce, meat, seafood, dairy and nursery freight. www.arrivelogistics.com 

McLane Global Logistics: The McLane family has been a proud partner of the U.S. food industry for more than 120 years. Based out of a 285,000-square-foot distribution center in Houston, Texas, the firm offers a complete package of food logistics services. This includes food grade warehousing such as organic certified storage and temperature-controlled facilities, fulfillment, re-packing, transportation and technology services for importing, exporting and domestic business. www.mclanegloballogistics.com 

More 3PLs

–Genpro

-RMX Global Logistics

Healthcare

TRIOSE: In its 20-year history, TRIOSE has supported more than 10,000 healthcare locations with their supply-chain operations. The company offers a broad range of smart, full-service supply chain solutions to hospitals and healthcare systems across the United States, leveraging a mix of technology- and human-based support mechanisms to assist clients. www.triose.com 

Cardinal Health: Healthcare logistics has been a specialty of Cardinal Health since 1995. The company is headquartered in Dublin, Ohio, and is also a global manufacturer and distributor of medical and laboratory products, as well as a provider of performance and data solutions for healthcare facilities. www.cardinalhealth.com 

More 3PLs

–The Jay Group 

-Rhenus Logistics 

3PLS BY SERVICE SPECIALTY

Technology platforms 

R2 Logistics: R2 Logistics prides itself on leveraging several technology platforms to better serve its customers. Its Transport Management System (TMS) is flexible and scalable, offering features such as KPI reporting, automated decision making and provision of actionable data to underpin supply chain optimization efforts. www.r2logistics.com 

GSC Logistics: With locations in Oakland, Tacoma and Seattle, GSC Logistics has been operating for some of the USA’s largest retailers and manufacturers since 1988 and occupies some of the most strategic gateways on the West Coast. Its offering is based around high-performance technology and platforms which help its clients to mitigate costs through proactive planning and fleet scalability solutions. www.gsclogistics.com 

Transportation Insight: Transportation Insight empowers shippers and carriers with hybrid digital logistics services backed by proprietary technology, data and deep industry human expertise. Based in North Carolina, the firm enables its customers, which typically operate in retail and manufacturing industries, to harness the power of big data to inform strategic supply chain decisions. www.transportationinsight.com 

Coyote Logistics: A ‘tech + humanity’ approach underpins the 3PL offering from Coyote Logistics, something which enables it to keep up with rapidly evolving supply chain trends. For instance, its new pricing framework doesn’t incentivize volume and gross margins, but instead provides accurate rates and optimal matches for customers based on AI and machine learning. www.coyote.com 

Werner Enterprises: Supported by cutting-edge technology, Werner Enterprises is on its way to becoming the first North American carrier to move its entire tech stack and operations to the cloud. This includes the implementation of MasterMind, a new cloud-based transportation management system, and Carrier’s EDGE, a self-service digital platform designed to increase available freight visibility. www.werner.com 

CT Logistics: Thanks to a range of in-house software systems, CT offers customized services and programs which combine to present a comprehensive, global supply chain solution for customers. The firm has been in operation since 1923 and has moved with the times in order to remain relevant. Today, many of its applications and services are available as SaaS (Software as a Service) and BPaaS (Business Process as a Service) via the cloud. www.ctlogistics.com 

More 3PLs 

–EXIM Trade Options

-LFS

-NEON Logistics

Remote locations

Lynden: Lynden offers complete 3PL services in, out and within Alaska, Hawaii and Puerto Rico, as well as many locations around the globe. The company is regarded as a particular expert in Alaska shipping and has been operating in the state since 1954, servicing a diverse array of industries including energy, mining, construction, seafood, retail and manufacturing.  www.lynden.com 

Carlile Transportation: While not fitting the typical profile of a 3PL, Carlile Transportation is a go-to for companies looking to reach many of the remote and inaccessible parts of Alaska. As well as transport, the company also provides warehousing and brokerage services, among other solutions, for small businesses. www.carlile.biz

More 3PLs

–Direct Drive Logistics

–Hawaii Transfer Company

Multimodal networks

Echo Logistics: Since its founding in 2005, Echo has built strong partnerships with over 50,000 carriers, creating a robust network that allows the company to move over 16,000 shipments every day for more than 35,000 clients. With its multimodal transportation solutions, the firm serves corporations of all sizes, from small and medium-sized businesses to Fortune 500 companies. www.echo.com 

A.N. Deringer: In 1919, Alfred Neel Deringer founded the firm that today employs more than 450 supply chain professionals. It is the largest privately-held customs broker in North America, providing solutions over land, air and sea thanks to its formidable network of multimodal transit options. www.anderinger.com 

DACHSER: Since the founding of this family-owned enterprise in 1930, DACHSER has evolved into a global market leader in system logistics. With a presence in 24 locations around the world, the firm employs well over 650 staff and handled more than 214,000 tons of cargo in 2020, utilizing its multimodal capabilities, including air, sea and rail freight services. www.dachser.com 

More 3PLs 

–C. H. Robinson

-NTG Freight

-Hub Group 

3PLs empowering women in logistics

NFI Industries: Having been in business since 1932, NFI prides itself on being a champion of sustainability, with the wellbeing of its people and communities at top of mind. It remains a family-owned business, and was recently recognized by the Women in Trucking Association (WIT) as one of the best companies for women to work for in transportation. www.nfiindustries.com 

Langham Logistics: Langham Logistics stands proud as the only women-owned 3PL with GMP storage and distribution facilities in both the Midwest and Southwestern regions of the United States. The company was co-founded by President & CEO Cathy Langham, who opened two franchises for trucking and air freight three years after graduating from the IU Kelley School of Business before setting up Langham with her brother and sister. www.elangham.com 

Kenco Group: In business for more than seven decades, Kenco Group is the largest woman-owned 3PL company in the United States. Its purpose is simple: “to empower our people and customers through connected solutions.” Jane Kennedy Greene sits as chairwoman of the Board of Directors, which is headquartered in Tennessee, while the company has operations in 30 U.S. states and Canada. www.kencogroup.com 

Knichel Logistics: Knichel Logistics is a woman-owned, non-asset-based provider of transportation and logistics services, including intermodal, trucking, specialty equipment and various ancillary services. The company was founded by Kirsty Knichel, her siblings and father William, who she took over from as president & CEO in 2009. Today, she owns a majority stake in the business and hopes her success will inspire other women to step into the industry. www.knichellogistics.com 

BAT Logistics: In March 2021, the Women in Trucking Association announced its fourth annual list of Top Women to Watch in Transportation, with BAT Logistics’ Ashley Jankowski among them. She currently serves as vice president and was selected along with her peers for their significant career accomplishments in the past 12 to 18 months as well as efforts to promote gender diversity. www.batlogistics.com 

J.B. Hunt: As it celebrates passing 60 years in business J.B. Hunt defines itself as a people-first company founded on innovation, disruption and service. Co-founder Johnelle Hunt has become one of the most influential women in the transportation industry after setting up J.B. Hunt with her husband in 1961. She regularly speaks in front of female audiences, using her story to inspire others into pursuing a career in the 3PL industry. www.jbhunt.com 

Odyssey: Several of Odyssey’s senior management are women. Last year, Lindsey Shellman, vice president of WIN Business Services–a web-based tool that helps shippers manage their freight with just a few keystrokes–was named one of Supply & Demand Chain Executive’s Women in Supply Chain. “As a supply-chain leader, it is my responsibility to provide equal opportunities and create a work environment where women can contribute and excel,” she stated in response. www.odysseylogistics.com 

ReedTMS Logistics: Addressing issues of gender and racial equality is a key part of ReedTMS Logistics’ mission, and the company routinely features in the Women in Trucking Association’s best companies to work for lists. In 2019, two of its female managers also gave a keynote presentation on the topic of creating an inclusive company brand at WIT’s Accelerate Conference and Expo. www.reedtms.com 

U.S. Xpress: Women in management positions at U.S. Xpress are making significant contributions to the success of the business and their customers. Vice President of Customer Experience Julie Van de Kamp was named one of Women in Trucking’s 2020 Top Women to Watch in Transportation, and she also headed a leadership panel hosted by the Massachusetts Institute of Technology’s Women in Supply Chain Initiative to mark Women’s History Month earlier this year. www.usxpress.com 

More 3PLs 

–BlueGrace Logistics

–Aria Logistics 

FSM
Archives, Global Trade Daily, Software

What Is the Best Field Service Management Software?

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Field service management (FSM) technology is essential for businesses wanting to maximize their team’s productivity. Features like schedulers, dispatching utilities, and user-friendly mobile apps make managing team members in the field easier.

The quality and availability of these features can vary significantly among platforms, however. Here are the most essential FSM software features and a comparison of the top options.

Essential and Cutting-Edge FSM Software Features

Most FSM software will include a few of the same basic features. Industry-leading platforms will almost always offer job scheduling, dispatching, work order management and contact management tools. Typically, these programs will also come with apps that allow workers to access the information they organize remotely or via a smartphone while in the field.

Newer, more sophisticated platforms are also adding in more advanced features that can provide some additional functionality.

1. Route Optimization

Route-planning tools find the most efficient route for a given job, including multistop trips. They help field members move from one location to another while reducing mileage, travel time and gas consumption.

In some systems, real-time data from vehicle GPS will be used to find the best possible routes. Route optimization may also be combined with dispatching optimization to help a business respond to new work orders as quickly as possible.

These tools can help businesses overcome some of the most common route optimization challenges and improve routing efficiency.

2. Intelligent Scheduling

Many managers rely on automatic or simple manual scheduling to assign field workers to jobs. This approach can work, but it’s often extremely inefficient.

Intelligent scheduling leverages algorithms that consider all the workers across an organization, their availability, current location and other information to more effectively assign them to jobs. In the same way route optimization takes advantage of available data to improve routing, these tools get the most out of scheduling workflows.

Most modern service fleets outfit their workers with various diagnostic and repair tools, especially if the business services complex or critical machinery, like construction equipment.

The specific toolkit in a vehicle or with a particular field worker may vary significantly — meaning each worker may not be equipped for every job. Varying skill sets can also make the choice of worker critical. Intelligent scheduling technology can take this into account and only look for workers with the correct tools for a job.

In practice, these features can help companies complete more jobs with the same resources while offering customers faster response times and improved service windows.

3. Open APIs

FSM platforms often include integrations for tools businesses are already using — like Outlook, Quickbooks or even industry-specific software like digital construction tools. These integrations allow the software to share data directly with these tools and integrate the new FSM into existing workflows.

Extensive, open APIs help simplify the learning process for a new FSM. The software integrates with tools companies are already using, reducing the number of new features workers must learn how to use. They also help make an FSM much more scalable.

These extensions may require additional payment or IT investment, but they can extend platforms’ functionality.

What to Consider When Reviewing FSM Options

Not all platforms offer these tools. Managers interested in these features should carefully investigate a potential FSM tool to ensure it provides the functionality they desire.

These are five of the most popular field service software options available.

1. FieldOne

FieldOne is an FSM tool designed for large and enterprise-level businesses that offer field service. Available features include automated routing and workflow automation. The software works across several platforms.

Native apps for iOS, Android, and Windows phones and tablets are available, and because the tool is cloud-based, workers using these apps can access the FSM software from just about anywhere.

The software is built with the Microsoft Dynamic Platform, enabling easy integration with tools that can extend the base software’s functionality.

Pricing for the software can vary. The FieldOne developers offer a free trial, meaning businesses can experiment with the software without committing to a subscription.

2. Jobber

Jobber is an FSM platform built to help home service businesses coordinate their field team and stay on top of work orders.

The software includes a client manager and hub that allows business customers to approve quotes, check appointment details, pay invoices and request work orders. The tool also provides scheduling and quoting features and a one-on-one support system for when users need help troubleshooting.

Various pricing plans for Jobber exist, starting at as slow as $35 per month for a single user. The most expensive “Grow” plan costs $196 per month and supports up to 30 users. Costlier plans offer additional features, and some functionality — like GPS tracking — isn’t available with the cheapest “Core” plan.

Jobber offers a free trial, allowing interested businesses to test the software before investing in a subscription.

3. FieldEdge

FieldEdge is built for contractors, particularly providers of HVAC, plumbing and electrical services. The program supports a wide range of company sizes, from individual freelancers up to enterprise-level businesses.

Software features include inventory and workflow management, an activity dashboard, reporting and mobile access. The program supports web, Android and iPhone access.

FieldEdge also offers a client portal that allows customers to review information related to work orders, invoices and other essential information. The software provides seamless integration with QuickBooks, which can help to simplify business record-keeping.

Pricing for FieldEdge is determined individually for a company and customized based on the business’s needs. An available 14-day free trial gives companies a chance to experiment with the software.

Find the Right FSM Software

Choosing the right FSM can help any business streamline operations and deliver better service to customers faster. These three FSM tools are some of the most popular picks.

The best FSM software for a business will depend on that company’s needs. Looking for key features like route optimization, client portals and APIs will help managers determine if a particular software will simplify their business’s workflows.

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Emily Newton is an industrial journalist. As Editor-in-Chief of Revolutionized, she regularly covers how technology is changing the industry.

Archives, Global Trade Daily, News

Chapman Freeborn South Africa Flies 10 Cars to Malawi for the SADC Summit

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In August, Chapman Freeborn South Africa transported vital cargo from Johannesburg International Airport (JNB) to Lilongwe International Airport (LLW) ahead of the 41st SADC Summit.

The SADC Summit is an important event during which the Southern African Development Community gather to discuss policy direction of the 16 member states. The cargo comprised of 10 vehicles which were urgently required to provide transportation during the Summit, and the operation required excellent cooperation and efficiency to ensure they arrived on time.

Chapman Freeborn Cargo Charter Manager Africa, Gerhard Coetzee, worked in conjunction with the client, Imperial Clearing and Forwarding South Africa Pty Ltd, to find a suitable solution in the shortest possible timeframe. He arranged for the vehicles to be transported on a Boeing 777-200F on a part-charter to Malawi, and the operation went to plan with the cargo arriving on schedule for the Summit.

Abhilash Kunjupilla, Operations Director at Imperial Clearing and Forwarding South Africa Pty Ltd, said “It was once again a pleasure working with the team at Chapman Freeborn, their ability to create innovative solutions at very short notice as well as still maintaining the level of service is impeccable.  My team and I are always able to rely on the consistent service from you.“.

The Chapman Freeborn Cargo Team has over 45 years of experience and work with clients all over the world to arrange delivery of their time-critical cargo. From automotive components to energy industry structures to life-saving humanitarian aid, Chapman Freeborn will ensure your shipments reach their destination on budget and on schedule.

Get in touch with the team today by emailing cargo@chapmanfreeborn.aero to discuss your requirements.

lading
Archives, Global Shippers 101, Global Trade Daily, International Trade

AVOIDING ERROR IN THE BILL OF LADING LIFECYCLE

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There is constant chatter surrounding gaps within the supply chain–from driver shortages to lack of technology adoption. While solutions to these problems may seem simple enough, many fail to realize the multiple moving parts of a supply chain that would need to adopt these solutions.

Just this year, the Port of Los Angeles became the first port in the Western Hemisphere to process 10 million container units in a 12-month period. “Over the past 12 months, port terminals have worked an average of 15 container ships each day, up from a pre-pandemic average of 10 ships a day, representing a significant increase in productivity,” the Port of L.A. reports. With America’s busiest port breaking records for annual volume, it sets a new standard for the industry.

With a new record of goods being shipped, this introduces a magnitude of opportunities for error. Perhaps one of the most common is in the bill of lading (BOL) lifecycle. A BOL serves as a contract between an original equipment manufacturer (OEM), the shipper and the carrier–acting as a legal document to protect all parties involved.

From the time an item is developed overseas to the time it takes to reach an end consumer, that product and BOL have switched hands multiple times. There’s the OEM, the carriers, port staff, freighter’s crew, other port’s employees, the carrier again, a potential distributor, more carriers and then finally the retail store, where the end consumer can purchase the product. With products being mass shipped and divided at ports or distribution centers, this leaves room for error when it comes to BOL accuracy.

Because of this, an electronic bill of lading tool (eBOL) can help create a valid, blockchain-like record of a product’s journey–from origination to end consumer–resulting in less human error, faster turnaround times and reduced inflation costs.

What can go wrong with the BOL? 

According to a recent study, the top challenges in supply chain management were recorded to be visibility (28%), fluctuating consumer demand (19.7%) and inventory management (13.2%). Consider the effects of COVID-19 this past year, and these areas have since then largely increased. In fact, the global e-commerce market is expected to total $4.89 trillion this year, and keep growing over the next five years. 

With rising demand, the BOL is essential in the supply chain lifecycle to ensure accuracy and transparency throughout. This means facilitating collaboration, standardization, digitization and automation across all supply chain parts.

With the BOL serving as proof that the shipper has given permission to haul goods, the traditional paper copy leaves room for human error. For example, during a pickup or delivery, the driver is recording the product, quantity, whether it’s cold storage or not and the final destination of a shipment. Next, the clerk would sign the paperwork and the driver would be on their way. After that, the BOL paperwork would need to be faxed in, but consider the driver’s route. A driver might be gone for a week or two (even more) before the BOLs would be able to be turned in. And it doesn’t stop there–once the driver’s packet of BOLs makes it back to headquarters, the office then needs to process them manually and store the physical copy for years for auditing purposes.

The long turnaround time simply sets companies back. Additionally, if a driver recorded the wrong product name or number, this could result in a product having to be returned, costing companies time and money.

How can an eBOL platform help?

An eBOL is not a new concept within the supply chain, but due to the amount of moving parts and interoperability challenges, it hasn’t reached wide-scale adoption. However, due to the visibility, inventory and growing capacity as well as safety challenges, companies are starting to include eBOL and digital pickup and deliveries as part of their supply chain digital transformation initiatives. An eBOL tool creates streamlined workflows for all supply chain parties, resulting in more efficient shipments and greater transparency. 

As discussed, traditional paper BOLs leave room for human error and improper documentation in addition to lengthy turnaround times. By eliminating paperwork and manual processes, an eBOL can instantly capture key information and significantly cut down on dwell times. In fact, companies who have used an eBOL tool saw a significant decrease in driver dwell times–from 66 minutes on average down to 23 minutes.

Going beyond paperwork, an eBOL tool has the ability to boost collaboration by supporting just-in-time manufacturing and replenishment planning. This provides visibility that allows logistics partners to make faster decisions in case freight needs to be re-routed to different plants, distribution centers and stores to meet customer demands. Overall, the entire supply chain becomes more agile. 

Additionally, given the current environment of COVID-19 cases spiking and taking into consideration the delta variant, eBOL tools are effective in reducing health and safety risks for drivers and yard workers by minimizing paper and physical interactions. Now that information can be accurately tracked and shared through a contactless option, this makes the process self-service for drivers and eliminates the need for in-person check-ins. 

What effect does an eBOL tool have on the end consumer? 

It all starts with capacity. Driver shortage is not a new concept in the supply chain and logistics industry. Currently, the supply chain is stressed with a heavy demand and not enough capacity due to driver shortages, which can drive up shipping costs that translate to the end consumer. 

However, if drivers across the supply chain spend less dwell time at facilities, that time can be spent making an additional stop. One more delivery added to a driver’s route could help create more capacity and stabilize shipping prices that has the potential to trickle down savings to consumer products.

In addition to strengthening supply chains, companies across the country are trying to find ways to keep inflation from rising. Using an eBOL tool turns those in-person interactions at facilities into quick, digital processes, streamlining the delivery and pickup process. By getting drivers in and out of facilities faster, companies can improve capacity challenges by enabling drivers to add another stop to their days, which will hopefully reduce shipping costs and benefit consumers in the long run. 

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Brian Belcher is the COO and co-founder of Vector, a contactless pickup and delivery platform that ensures supply chain partners get the right load to the right place at the right time. Prior to Vector, Belcher led Customer Success at Addepar, a wealth management platform, which manages more than $2 trillion in client assets. Before joining Addepar, Belcher co-founded Computodos, a socially-minded supply chain solution that helps source, transport and distribute recycled computers to developing countries. He holds a bachelor’s degree in Business Administration from Santa Clara University. 

tarp
Archives, Global Logistics, Global Trade Daily, Trucking

Everything to Know about Tarp Systems

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Tarp systems provide benefits for various industries, such as logistics, manufacturing, and lumber. The below infographic includes details about several purposes for tarp systems, including securing all items and keeping others safe while products are in transit. Components of a tarp system are also discussed and are broken down based on three types of systems- the electric tarp system, crank tarp system, and ratchet tarp system.

The infographic also includes considerations to keep in mind when deciding which tarp system is most suitable for your business needs. A few key points to remember when choosing a tarp system are the size of your products, the ability of the person transporting the items to physically maneuver the tarp, and the distance that your items will be transported.

 

This originally appeared here. Republished with permission.

intermodal
Archives, Global Trade Daily, Site Selection, Stories

INTERMODAL IS HOT: HOW SIX CITIES ARE MEETING LONG-HAUL CHALLENGES

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How hot is intermodal right now? Total volumes rose 20.4% year-over-year in the second quarter of 2021, according to the Intermodal Association of North America (IANA) Intermodal Quarterly report. 

International containers gained 24.8% from 2020; domestic shipments, 15.7%; and trailers, 18.5%, according to the Calverton, Maryland-based association’s report, which also found that intermodal volumes not only grew for the fourth consecutive quarter in Q2, but the double-digit gain was the largest quarterly increase since Q3 of 2010 as well as the sixth quarter with a double-digit growth rate in the history of the data. 

“What is noteworthy is the breadth of the gains,” said Joni Casey, president and CEO of IANA, before September’s IANA Expo in Long Beach, California, where the Q2 surge was a source of industry optimism. “With one or two exceptions, the three market segments showed positive performance in all of IANA’s 10 regions.”

Trans-Canada led with a 29.6% total growth increase, followed by the Southeast-Southwest at 28.9% and the Midwest-Northwest at 26.6%. The Intra-Southeast likewise posted a 25.9% increase; the South Central-Southwest, 24.5%; and the Midwest-Southwest, 21.8%. The Northeast-Midwest came in at 20.9%.

“Freight volumes are expected to slow but experience steady q/q growth into 2022,” forecasts the 2021 Second Quarter Intermodal Quarterly report. “For 2021 as a whole, truck loadings are forecasted to be 7% higher than 2020 levels.”

Freight demand pressures, the end of consumer stimulus infusions and unemployment supplement and the ongoing surge in small new trucking companies have complicated matters, according to the report. “Intermodal remains highly competitive with trucking due to very high rates and tight driver supply. 

This situation will likely continue at least into early 2022, however, could be affected by a quicker stabilization in the trucking market, as reflected by a peak in truck spot metrics.” 

Managing the ups and downs of intermodal transport is greatly assisted by the IANA, whose roster includes more than 1,000 members from railroads, ocean carriers, ports, intermodal truckers and over-the-road highway carriers, intermodal marketing and logistic companies, and suppliers to the industry. (Learn more at intermodal.org.) But at the hyper-local level, economic development corporations (EDCs) also play a role in keeping freight trains rolling. Below are six cities meeting intermodal challenges with the help of their EDCs.

MILLERSBURG, OREGON

The Albay-Millersburg Economic Development Corporation estimates that 81% of the exported agricultural products from the Mid-Willamette Valley of Southern Oregon are loaded onto ships at the Seattle and Tacoma ports, with the remainder exported from ports in Long Beach (8 percent) and Oakland (3 percent), California. 

Complicating the flow of produce is traffic congestion near Portland, Seattle, Tacoma and farther down Interstate 5 into California.

However, like an oasis of calm sits Millersburg, which allows agricultural producers in the region to consolidate their products efficiently and avoid bumper-to-bumper nightmares altogether. To that end, the Linn Economic Development Group (LEDG), which is an affiliate of the Albay-Millersburg EDC, is constructing the Mid-Willamette Valley Intermodal Center (MWVIC) in Millersburg.

The town of around 2,000 people just happens to be where the Union Pacific Railroad mainline, BNSF’s Portland Western Railroad and I-5 come together. The MWVIC was made possible by passage of the state’s Keep Oregon Moving legislation, which appropriated $25 million toward development.

The intermodal center will include a main office, parking lot, space for about 100 trucks to park overnight, amenities for truck drivers, capabilities to handle domestic and international containers, track space for inbound and outbound trains, a 60,000-square-foot storage warehouse and docks to support reloading and transloading onto rail, with capacity for longer-term storage of product.

Agricultural producers and train operators are not the only beneficiaries of the project. Shippers will now have the option of choosing the best transportation alternative for each individual load. The LEDG estimates that under full utilization, private transportation cost savings will total $2.1 million per year.

But the public should turn out to be the biggest winner. Reducing the number of trucks on the highways would lower maintenance costs, reduce congestion, improve air quality and decrease carbon emissions—while the MWVIC at the same time increases jobs and local spending. 

ALLENTOWN, PENNSYLVANIA

The Norfolk Southern Allentown Rail Yard is among the railroad’s largest facilities, but only a few of the 200 manufacturers in the Pennsylvania town transport goods by rail. The Allentown Economic Development Corporation would like to change that. Saying of the yard “we’re very fortunate to have it,” Scott Unger, executive director of the Allentown EDC, says he and his team are pulling out all the stops to increase rail usage.

Pennsylvania’s Bureau of Rail Freight administers a special grant program called the Rail Freight Assistance Program that provides financial assistance to companies that are interested in bringing a railroad spur directly to their property for freight shipments. The goal of the grant program is to preserve and stimulate economic development through new and expanded rail service.

Also hoping the state incentive program lights a fire under local manufacturers is the R. J. Corman Railroad Co., LLC, which owns 11 Class 3 short line railroads in the Mid-Atlantic and the South, as well as the R. J. Corman Allentown Rail Yard.

“Products that are ideal for transloading include palletized commodities which can be loaded and unloaded in a boxcar,” explained John Gogniat, director of Commercial Development for R. J. Corman. “In addition, products such as lumber or steel that can be unloaded with a forklift are ideal candidates. That said, we are open to entertaining any potential commodity and will develop a mutually desirable solution for its loading and unloading.”

Gogniat notes that Allentown’s strategic location provides access to Philadelphia, Scranton, York, Harrisburg, Wilmington, New York and beyond.

WILKES COUNTY, NORTH CAROLINA

The North Carolina Department of Transportation’s Rail Industrial Access Program also uses state funds to help construct or refurbish railroad spur tracks required by a new or expanding company. Program funding is intended to modernize railroad tracks to ensure effective and efficient freight deliveries.

Many companies taking advantage of the incentive are located in Wilkes County, which was established in 1777 and is still known today as a mecca for outdoor recreation, small-town living . . . and a big business mentality. 

Consider the Yadkin Valley Railroad, which offers Wilkes County businesses rail access to ship their products into the Ronda and Roaring River areas. Operating out of the Winston-Salem area and hauling 11,500 carloads per year with freight, Yadkin joins G&O’s short line railroads, which offer connections to CSX and Norfolk Southern, in figuring into the logistical operations of Charlotte Regional Intermodal Facility.

Wilkes County Economic Development Corporation will point businesses to other local and state incentive programs to improve rail access—dependent on the applicant’s potential to create new jobs and invest capital in the region. The aim is to get companies to locate or expand in North Carolina versus another state.

“The North Carolina Railroad Company partners with the state’s economic development community and railroads on initiatives designed to drive job creation, freight rail use and economic growth,” reads an EDC release. “Through NCRR Invests we evaluate requests for investments to address the freight rail infrastructure needs of companies considering location or expansion in the state.” 

But Wilkes County does not live by rail alone, as the EDC also trumpets a location that is close to major freeways and interstates, two international airports (Charlotte Douglas and Piedmont Triad) and three major East Coast ports (Wilmington, North Carolina; Norfolk, Virginia; and Charleston, South Carolina). 

NEW YORK, NEW YORK

An ambitious program was born out of congestion, pollution and unconnected cargo transportation options in the Big Apple. Freight NYC aims to expand the use of rail and water to move food, building materials and other goods that are normally trucked in from outside the five boroughs.

“Freight NYC will better equip New York City to meet 21st-century demand by modernizing the city’s freight infrastructure, reducing truck traffic and improving air quality, while creating nearly 5,000 good-paying jobs in the process,” says James Patchett, chief executive of the New York Economic Development Corporation. “This plan is a win-win for our environment and economy.”

The city would invest as much as $100 million in the program that would include a 500,000-square-foot distribution center on the site of the Brooklyn Army Terminal, adjacent to the New York New Jersey Rail carfloat hub, as well as a new air cargo center near John F. Kennedy International Airport in Queens.

Private participation in a $20-30 million barge terminal on five acres of land owned by the city in Hunts Point, a major distribution crossroads for produce in the Bronx, is also part of the multimodal plan. 

Small rail freight yards on a line through Brooklyn and Queens, where goods would be transloaded to smaller vehicles for final delivery, is also envisioned.

DECATUR, ILLINOIS

When you think of the granddaddy of rail operations in the Midwest, you think of Chicago. That’s part of . . . heck, the main problem, according to Nicole Bateman, president of the Decatur Economic Development Corporation and executive director of the Midwest Inland Port. The Windy City is not only the nation’s busiest rail freight gateway, it’s the third-largest intermodal container/trailer port in the world, following Singapore and Hong Kong, according to the Illinois Department of Transportation.

What comes to mind when you think about freight, Singapore and Hong Kong? Congestion. As such, shippers on both ends of the supply chain need alternatives to Chicago—which is where Decatur (as Bateman’s fingers cross) comes in. 

Located 160 miles southwest of Chicago, Decatur is now being propped up by its EDC and the Midwest Inland Port as a distribution transportation center, which is fed not only by four railroads but easy access to interstates and airports. The port association is utilizing public-private partnerships to capitalize on Decatur’s geographic location, while the EDC seeks to make the city Illinois’ designated downstate freight transportation hub as a way to relieve rail and highway congestion in Chicago.

Users of the Midwest Inland Port have experienced savings in freight transportation costs and significant reduction in transit times, Bateman recently told American Shipper.

SEGUIN, TEXAS

Talk about strategic locations, Seguin sits alongside Interstate 10 and the banks of the Guadalupe River, with San Antonio a mere 35 minutes to the west, Austin only 55 minutes north and Houston about 2 ½ hours to the east.  

Besides the easy access to I-10, Seguin also connects to State Highway 130, which it bills as “the safe, fast and reliable alternative to congested Interstate 35 in Central Texas.” Two international airports (San Antonio and Austin-Bergstrom) and two deep-water ports (Houston and Corpus Christi) are an hour of so away.

But perhaps the biggest jewel in the close proximity crown is Union Pacific’s San Antonio Intermodal Terminal (SAIT), a $100 million state-of-the-art facility designed to support the growing intermodal volume in southern Texas. The expansive facility is designed to handle 250,000 annual container lifts as it serves markets across South Texas.  

If that hasn’t sold you, allow the Seguin Economic Development Corporation to work its magic. The EDC helps guide businesses through the maze of available loans, grants and tax breaks from the city, county and state. To hear the EDC tell it, finding applicants should be no sweat considering Seguin’s “easy access to four of the United States’ largest consumer markets, allowing manufactures to get their products to millions of consumers, all within a five-hour drive.”