Australian independent forges new link with Indonesia. Check it out:
(Lloyds List Via Thomson Dialog NewsEdge) AN ALLIANCE between two privately owned freight forwarders for door-to-door services between Australia and Indonesia has been welcomed by shipowning, port and rail companies.
Independent Australian enterprise Northline has signed a memorandum of understanding with Mitra Intertrans Forwarding, a subsidiary of Pelayaran Meratus (Meratus Line) in Surabaya.
The alliance hopes to create a A$30m ($20m) market for end-to-end freight forwarding using Darwin and Surabaya as the main ports which will eventually take in points further north in Asia.
It aims to carry project cargo for the mining and energy sectors northward and provide just-in-time transport for Indonesian manufactured exports south.
Northline chief operating officer Phillip Taylor said: 'Many of our existing clients require an end-to-end service throughout Asia, so now Northline can provide that single-supplier service.
'Our focus will be on expediting the freight process between Indonesia and Darwin, then using our national freight network to transport goods throughout Australia.
'This overrides the delays and warehousing costs of shipping through Sydney or Melbourne.'
Though a test run has not been made, Northline head of strategic development Paul Booth told Lloyd's List that times posted by other companies doing a similar job indicated a saving of 10-14 days.
Port of Darwin trade development manager Garry Scanlan said the port was very happy with the development and would do anything it could to help it succeed.
Shipowner Swire, the only other line that serves Darwin, would not comment until meeting the alliance.
Shipping services from southeast Asia to Darwin now take in Singapore (Swire) or Dili (Perkins). Sources familiar with the deal said Meratus was unlikely to be able to spare its own container and breakbulk tonnage due to weight of work on its existing routes.
'We have already started giving quotes and we are talking to a shipping line at the moment about frequency of service,' Mr Booth said.
'A lot of it is dependent on volume coming through. As volumes increase we hope to gain the frequency and more of a direct service between Darwin and Surabaya.'
Though Northline recently retreated from rail, now carrying only 10% of its goods by train, rail company Freight- Link was keen to see the alliance succeed.
Freightlink chief executive John Fullerton said the partners should be congratulated on being the first to make this long-talked about move.
Mr Booth said: 'We have met with FreightLink... and been assured that we will be offered some good rates for full container load cargo straight through on the rail.'
Northline said it expected opportunities for the international freight forwarding alliance to include:
- A mining and resources supply base in Darwin to service mines in Indonesia and beyond.
- A reliable import hub for products manufactured in Indonesia, with onward distribution to all Australian markets on a 'just in time' basis.
- Reverse logistics, especially for equipment maintenance and repairs from Indonesian mines.
Northline is completing construction of a A$4m, 4,000 sq m distribution centre in Darwin in addition to its existing 10,000 sq m of contract logistics warehousing.
Copyright 2006 Informa Martime Trade and Transport
Technorati
Del.icio.us
Slashdot
Digg
