Linfox wins logistics management award

Transport giant Linfox has been awarded the 2017 SMART Award for Excellence in Transport & Logistics for its FOXLink subcontractor management system.
The award was presented as part of the SMART supply chain and logistics conference held in Sydney.
According to Linfox, its new FOXLink online subcontractor management system enables compliance with mandatory and customer-specific safety accreditation and training requirements for drivers.
“FOXLink has helped reduce internal administration costs by reducing processing time and providing a direct channel of communication with subcontractor. It has also helped improve road safety by ensuring that our subcontractor drivers meet our industry leading standards of driver training,” the company said.
According to Linfox, the system is currently being used by 150 site managers, 50 corporate users and over 1,000 external users and has significantly reduced administrative and legal processing time.

Samsung, Packsize receive Australian supply chain excellence award

Packsize International together with its customer Samsung Electronics Australia received the ‘Excellence in Manufacturing Supply Chains’ award during the recent Smart Conference and Expo 2017 event.
Industry judges awarded the On Demand Packaging implementation at Samsung Australia’s Spare Parts and Logistics distribution centre in Sydney. In partnership with DB Schenker, Samsung Australia used Packsize’s custom packaging solution to streamline processes and optimise delivery services. Among the results achieved were production, inventory management, and stock control improvements, less corrugated fiberboard and void fill and reductions in product damage and freight costs.
Within three months of implementing the service, Samsung reported an approximately 50 per cent reduction in concealed damage and a 10 to 15 per cent reduction in the cubic volume of items shipped.
“Stock-takes that required three days can now be done in three hours,” said Samsung Australia’s Spare Parts and Logistics Manager David Ungar. “Packsize is a collaborative and enthusiastic partner, willing to share their experience and knowledge to deliver benefits, and is committed to a long-term relationship.”
“As packaging’s role in the value chain expands, so will our ability to support new operating models, improve logistics, create even greater customer satisfaction, and deliver smarter packaging design,” said Sean Ledbury, General Manager, Packsize International’s Asia-Pacific subsidiary, Packsize Propriety Limited.

Sydney Airport, Port Botany freight improvement works begin

Sydney motorists will soon benefit from a new road underpass linking General Holmes Drive, Botany Road and Wentworth Avenue, with work now under way on the $170 million Airport East project.
Federal Minister for Urban Infrastructure, Paul Fletcher said the project, which includes $40 million of funding from the Australian government, will improve the movement of rail freight to and from Port Botany while improving traffic flow from the airport.
“Sydney Airport and Port Botany are two of Australia’s most important international gateways but roads in the area are increasingly congested due to the rising numbers of passenger, freight and commuter vehicles,” Fletcher said.
“Motorists who use these roads know how important the Airport East project will be to improving congestion around the airport and Port Botany.
“Once finished in 2019, congestion through this area will be reduced in both the morning and evening peaks, making trips to and from the airport easier, with less time wasted sitting in traffic.”
NSW Minister for Roads, Maritime and Freight, Melinda Pavey, said the Airport East project will replace the General Holmes Drive rail level crossing with a road underpass linking General Holmes Drive, Botany Road and Wentworth Avenue.
“There will also be improvements to the Mill Pond Road intersection, along with widening of Joyce Drive and General Holmes Drive to three lanes in each direction between O’Riordan Street and Mill Pond Road,” Pavey said.
“The Airport East project forms part of the NSW Government’s Sydney Airport precinct upgrades.”
Work on the Airport West project is due to finish in mid-2017 and work is expected to start on the Airport North project later this year.

Construction begins at Moorebank Logistics Park

Minister for Finance, Senator the Hon. Mathias Cormann and Minister for Infrastructure & Transport, the Hon. Darren Chester MP marked the official commencement of construction at the Moorebank Logistics Park on 6 April, following months of pre-construction and remedial works.
Moorebank Intermodal Company and the Sydney Intermodal Terminal Alliance (SIMTA), a wholly owned subsidiary of Qube Holdings, reached financial close on the agreement to develop and operate the site in late January.
Moorebank Intermodal Company Chair Dr Kerry Schott AO and Qube Holdings Chairman Chris Corrigan joined the ministers in recognising the significant milestone.
“The site has a direct rail link to Port Botany and the interstate freight network which, along with its proximity to major motorways, makes it ideal for an intermodal facility,” said Corrigan. “Moorebank Logistics Park will transform the freight and logistics supply chain along the East Coast.”
Corrigan noted that Moorebank was identified as a priority location for a freight terminal in 2004 and in October 2016 was included on Infrastructure Australia’s priority list for national infrastructure projects.
Dr Schott noted that both Qube and the Government share a long-term strategy to improve the logistics chain between the port, Moorebank and the rest of the freight network. This arrangement has the potential to become a model for future projects involving government and the private sector.
“Moorebank Intermodal Company was established to facilitate the development of the Moorebank Intermodal Terminal and oversee the achievement of the Commonwealth’s infrastructure and freight policy objectives.”
“The commencement of construction is a significant milestone that recognises our success and brings us a step closer to realising the substantial benefits this development will deliver for the people of southwest Sydney, and NSW more broadly.”
“Moorebank Logistics Park is a nationally significant infrastructure project that will be a major economic contributor to local and regional communities for years to come.”
Chester commented, “Today marks the first sod turn of the Moorebank Logistics Park, one of Australia’s most important freight infrastructure projects to address urban congestion and improve national freight connectivity.
Assessed as a priority project by Infrastructure Australia, the Moorebank Logistics Park is expected to deliver over $11 billion in economic benefits over the coming 30 years, including $120 million a year for the economy of south-western Sydney.
Over 1,300 jobs are expected to be created during construction of the Moorebank Logistics Park and a Deloitte Employment Forecast Report found that, once operations are at full capacity, the site will employ approximately 6,800 people.

DP World postpones Melbourne and Sydney infrastructure surcharge

After consultation with the Victorian Transport Association (VTA), DP World Australia has agreed to push back the introduction of its new fee for containers at its Sydney and Melbourne terminals by two weeks, to Monday 17 April.
“There is no doubt that the new infrastructure surcharge rates to be applied to full containers delivered via road or rail at DP World Australia’s Melbourne and Sydney terminals will impact significantly on the transport industry in terms of cost, profit margin and other economic variables,” VTA CEO Peter Anderson told Logistics & Materials Handling. “The VTA has been in close consultation with many operators that have expressed concern about the increases to the surcharge, and our advice is to quickly enter into discussions with customers to negotiate passing on the full financial impact of the increase as soon practicable.”
DP World has agreed to postpone the commencement date of the new surcharge to give operators and industry additional time to negotiate with their customers, and to alleviate short-term cash flow issues that could be experienced from the fee taking effect.
“The increase is indeed dramatic, and must be passed on by operators directly to their customers in order to mitigate its impact,” Anderson said. “It is important that customers understand that the costs of doing business for transport operators are increasing rapidly, and that transactional costs such as this surcharge, and similar increases to tolls and levies, ultimately must be worn by customers and the end user.

DP World fee surge “unfair and discriminatory” say NSW trucking operators

Road Freight New South Wales (RFNSW) has called on the ACCC to investigate the new infrastructure surcharge to be introduced on 17 April 2017 by DP World at its Sydney terminal.
The surcharge will be $21.16 per container and will apply to all full containers received or delivered via road or rail at the Sydney Terminal.
Simon O’Hara, General Manager, RFNSW called on the ACCC’s Rod Sims in a letter to investigate whether DPW Australia misused its substantial market power under s46 of the Competition and Consumer ACT (CCA), engaged in unconscionable conduct under ss 20 or 21 of the Australian Consumer Law (ACL), or imposed the infrastructure surcharge in an unfair and discriminatory manner, including under the new small business unfair contract terms law.
“Our members are extremely concerned about DP World’s unilateral decision, which was announced without any consultation with industry,” said O’Hara. “There has been no discussion or input from carriers, just a one-page letter warning carriers that their ongoing access to the Sydney terminal is contingent on them paying up.
“DPWA has failed to justify why it’s imposing the extra levy on carriers, spinning it as an ‘infrastructure surcharge’ We have no understanding as to how they reached this decision, and given they have not consulted with industry, we still do not understand their rationale,” he said.
O’Hara said that the decision was anti-competitive, discriminatory and unfair.
“Carriers will be charged through the One-Stop Vehicle Booking System and RFNSW is calling on DP World to outline specific billing and payment procedures for carriers and how they compare with rail operators at the port. We are concerned that carriers, yet again, will be disadvantaged,” said O’Hara.
“The fact that the Infrastructure Surcharge applies only to laden containers arriving by road and rail is discriminatory and to the detriment of road and rail companies that do not have the ability to change stevedores in response to the price increases.
“That is, the infrastructure surcharge will not apply to the repositioning of empty containers by shipping lines, which contributes substantially to the total container movements conducted by DPWA and the use of the various capital equipment sought to be covered by the Infrastructure Surcharge,” he said.
“DP World demands payment in seven days, and ongoing access to their terminals is conditional on paying on time. Yet, transport operators will only be able to recoup the costs based on their customers’ terms [in] 30 days, or in many cases longer.”
O’Hara said that RFNSW would also take up the surcharge with the Australian Small Business and Family Enterprise Ombudsman, Kate Carnell AO.

DP World announces fee hikes at Sydney, Melbourne ports

DP World Australia (DPWA) is increasing its port access fees at its Sydney and Melbourne facilities, Lloyd’s List Australia (LLA) reports.
In Sydney, transport operators will be charged $21.16 for each full container received or delivered via road or rail, previously there was no fee.
The charge to use DP World’s Melbourne terminal will increase from $3.45 to $32.50 per container.
The new fees are set to take effect on 3 April, though LLA notes that industry bodies such as the Freight and Trade Alliance and the Australian Peak Shippers are challenging the change.
Brian Gillespie, Chief Commercial Officer at DPWA, has released a statement attributing the new fees to increased property rates in Sydney and competition. Through changing the way the Sydney Terminal operated, DPWA had avoided passing on the costs until now, he explained.
“Since 2013, DPWA has incurred material increases in the costs of occupancy of more than 30 per cent, including the cost of council rates, land tax, rent and terminal infrastructure maintenance,” he said.
The cost of the company’s presence in Melbourne has also reportedly risen by more than 60 per cent since 2016.
“Despite DPWA’s continue efforts to offset higher fixed costs through efficiency improvements, these material step changes in costs cannot be offset,” Gillespie added.
“It is important to note that a substantial part of our Melbourne terminal, including our dedicated truck marshalling area, is devoted to servicing road transport, and that the cost of providing this specialist infrastructure has, like Melbourne terminal as a whole, been subject to the cost increases.”
Peter Anderson, CEO of the Victorian Transport Association (VTA) noted that the Infrastructure Surcharge will put further pressure on the country’s transport companies.
“Coming off the back of the up to 125% increase to tolls announced by CityLink operator Transurban, this increase will put additional pressure on operators to remain competitive,” he said.
“Operators will have no choice but to pass on the increase to their customers.”

Sydney-based WiseTech Global acquires Italian business

Sydney-based logistics software specialist WiseTech Global has announced the acquisition of Italian software provider ACO Informatica.
According to WiseTech Global, ACO Informatica will remain under the joint-leadership of Managing Director, Raffaele Uria, and General Manager, Bruno Soldati, with the company to be integrated within the WiseTech Global group. It’s the second time in 2017 the company has acquired a European business, after taking over German software company znet group in January.
“We know the ACO team well, both for their innovative customs clearance solutions for Italy and as a WisePartner for CargoWise One,” said Richard White, WiseTech Global CEO. “Now with the team as part of our WiseTech Global family we will work together on delivering more powerful capabilities for customers in the future.”
In addition, ACO will continue to supply products in Italy including U-by-Cargo, Logimatica and Acciseweb along with WiseTech’s powerful global logistics execution platform, CargoWise One.
“At ACO, we have a strong track record of delivering value-adding logistics solutions for our customers,” commented ACO Managing Director, Raffaele Uria. “We are delighted to join the WiseTech Group and together we will focus on providing high productivity customs border clearance and logistics execution software to the Italian and broader European markets.”
Across 125 countries, CargoWise One enables logistics service providers to execute highly complex transactions in areas such as freight forwarding, customs clearance, warehousing, shipping, land transport and cross border compliance and to manage their operations on one database across multiple users, functions, countries, languages and currencies.
Headquartered in Milan, ACO Informatica provides customs and logistics solutions to over 200 customers including DHL, Italsempione, Saima Avandero DSV, SNATT Logistica and Traconf.

CEVA Logistics secures new facility in Eastern Creek, NSW

Supply chain management company CEVA Logistics has signed a four-year lease at the Calibre industrial development – owned by property group Mirvac – at Eastern Creek, New South Wales.
Construction of the building CEVA will occupy has yet to complete, though it will consist of approximately 18,000sqm of warehouse and 1,000 metres of office space, allowing CEVA to consolidate three existing warehouse operations from different locations into one.
“As a world leading supply chain management company, CEVA will benefit from Calibre’s unmatched transport links. At the nexus of the M4 and M7 motorways, the site has a dedicated multi-directional signalised intersection connecting to major transport links,” said Stuart Penklis, Mirvac’s Group Executive, Industrial.
“The advanced specification of the facility sets a new standard of quality and amenity for industrial estates in Australia, whilst delivering long-term efficiency and flexibility for CEVA,” he added.Mirvac Calibre East Ck small
Penklis said that the state government investment in infrastructure is drawing large-scale users to Western Sydney.
“The upgrade of the M5 Motorway and WestConnex has stimulated demand as it will improve access and connections between Western Sydney, Port Botany and Sydney CBD. Calibre is ideally placed adjacent to the motorway, catering for logistics and manufacturing occupiers looking to benefit from this investment in infrastructure.”
Carlos Velez Rodriguez, Managing Director Australia and New Zealand, CEVA, said, “We’re very pleased to have secured the first facility at this new premium logistics hub. Calibre raises the bar for contemporary industrial estates, and the quality and design make it an exceptional opportunity to have secured.
“This transaction allows us to consolidate from different locations across the state, creating a huge value proposition and bottom line efficiencies. Against the back drop of high demand for industrial sites in Sydney’s west, Calibre’s prime location makes it an unmatched opportunity.”

NSW Trains CEO steps down

Rob Mason, Chief Executive of NSW Trains, will step down from the organisation after a long career in the rail sector, including the last three-and-a-half years as the first CEO of NSW Trains.
Following an 18-year career in senior roles in the London Underground, Mason joined RailCorp in 2005 as Group General Manager of Train Services, and was CEO from 2008 to 2013.
Secretary of Transport for NSW, Tim Reardon, thanked Mason for serving the people of NSW for more than a decade. “Over the last three-and-a-half years, Rob has successfully established NSW Trains as a customer-focused organisation, delivering improvements to customer service, increasing patronage on intercity services and reconnecting the organisation with the regional and rural communities it serves,” he said. “Rob has made a significant contribution to transport in this state and I wish him well for the future.”
Reardon said that Sydney Trains CEO Howard Collins has been asked to take on the additional role of Acting Chief Executive of NSW Trains to help retain the successful structure and separate operations of Sydney Trains and NSW TrainLink. The announcement today will simply change the executive reporting lines to focus accountability for delivering the NSW Government’s More Train, More Services program over the short term, he explained.
“More than $1.5 billion will be invested over the next three years on the More Trains, More Services program, which will boost capacity through hundreds of extra services, better infrastructure and new trains,” Reardon added. “With such incredible customer growth, more than ever, the successful delivery of the Government’s massive investment to improve the rail network, which includes a new timetable to be implemented later this year, will require Sydney Trains and NSW Trains to continue to work together in a coordinated way.”
Peter Allaway, the current Executive Director of Customer Service Delivery, will be appointed as Chief Operating Officer and take responsibility for day-to-day management of NSW Trains, reporting directly to Collins.

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