Driving To Deliver Your Business


Essar Shipping eyes more revenue from cargo handling

MUMBAI: Essar Shipping aims to increase third-party cargo handling to 50% of its total revenue by 2020 from 30% at present, as the company engages with companies in India and the Gulf, trying to make up for loss of captive business after the parent group’s oil refining company was sold and the steel business got stuck in bankruptcy proceedings.

“We are working with steel companies, not just in India but also Qatar and Bahrain among other Middle Eastern markets. We are focusing a lot on the Gulf areas which are in close proximity to us,” CEO Ranjit Singh told ET in a recent interview. The company needs to look for new clients with a chunk of its captive business gone.

Essar Oil was sold to Russian oil giant Rosneft, fund UCP and Swiss commodities trader Trafigura for £12.9 billion last year. Essar Steel is under insolvency[3] proceedings before the National Company Law Tribunal. Essar Shipping[4] has also bid for the tender floated by staterun oil marketing companies Bharat Petroleum Corp[5] and Indian Oil Corp for carrying crude oil. Some clarity on the bids will emerge by end of April, said Singh, adding the company is looking to acquire a very large crude carrier (VLCC) and a Suezmax if it wins the deal.

Essar Shipping handled 13.06 million tonnes of cargo in FY17 and registered a 28% growth in total cargo tonnage in the third quarter of FY18. The company is set to increase capacity from 15-16 million tonnes to 20-21million tonnes by FY19 with increase in tonnage and higher operational efficiency. The company operates a fleet of 14 ships that include two VLCCs, one capesize ship, six mini-capesize ships, one panamax bulk carrier, two supramax bulk carriers and two 13,000 dead weight tonnage (DWT) general cargo ships.

Analysts said getting fresh third party business wouldn’t be so easy in these times of still weak economic activity and oversupply in shipping capacity. “Charter rates are still on a downward spiral and there are numerous players in the market. The problem of overcapacity persists and it would be difficult to get new business for a player,” said a senior analyst who didn’t want to be named.

Singh said that while the dry bulk has improved since its downward spiral starting 2008 — the benchmark Baltic Dry Index has increased four times from its February 2016 low — the crude segment has hit “rock-bottom”.



  1. ^ Shipping (economictimes.indiatimes.com)
  2. ^ bankruptcy (economictimes.indiatimes.com)
  3. ^ insolvency (economictimes.indiatimes.com)
  4. ^ Essar Shipping (economictimes.indiatimes.com)
  5. ^ Bharat Petroleum Corp (economictimes.indiatimes.com)

King Abdullah of Jordan visits Schiphol cargo facilities

The king of Jordan has paid a visit to Amsterdam Airport Schiphol, viewing the Joint Inspection Centre (JIC) and learning how freight can be handled in a safer, more efficient manner. His Majesty King Abdullah II and a delegation of Jordanian officials including minister of industry and trade, Yarub Al Qudah; and the kingdom’s ambassador to the Netherlands, Ahmed Al Mufleh visited the airside of Schiphol and were shown an example of the inspection journey that a package arriving at Schiphol SmartGate Cargo undertakes during the import process at the JIC. The samples went through JIC’s ULD control scanner and a further manual inspection was carried out by personnel of the Customs Authority to identify other potential risks.

The Jordanian guests were welcomed by Haarlemmermeer deputy mayor, Ap Reinders; Royal Schiphol Group president and chief executive officer (CEO), Bert Wiersema, Customs acting CEO; Customs Schiphol Cargo deputy director, Evert de Jager; together with Panalpina managing director for the Netherlands, Rob de Vos and Lodewijk van de Vosse from the Panalpina Perishables Network. The JIC is designed to make freight handling safer and more efficient by allowing different law enforcement and inspection authorities to carry out checks in close cooperation with business partners. De Vos says: “The event had the aim to assess the import processes of perishables and their effectiveness as part of a public-private cooperation; essentially, how these processes can have a positive impact on the speed of handling cargo by private entities without compromising security.”

The second part of the visit focused on the public-private cooperation model used for the logistics of perishables, and the tour was under guidance of Panalpina with checks performed by the Netherlands Food and Consumer Product Safety Authority. Panalpina relocated some perishables that were in transit to the JIC to highlight the cooperation model and demonstrate that less control by public authorities does not compromise security and can foster efficiency. Van de Vosse says: “Very stringent requirements need to be fulfilled to be part of these processes.

We are proud to work together with our partners at Schiphol and the authorities to ensure every step of the way is handled in the safest and most efficient way.

“This is something we aim to do throughout our global Perishables Network.”

Appointments and Departures in Shipping and Logistics Professions This Week

Some Big Figures Swap Jobs Throughout the Industry DENMARK – AP Moller Maersk’s[1] Chief Finance, Strategy and Transformation Officer and registered Director, Jakob Stausholm has announced his intention to leave the company at the end of the month, following the Danish shipping and logistics giant’s ongoing reorganisation. He resigned from his position after Maersk decided to split his job role, in which he oversaw the areas of Finance, Transformation, IT and Digital, into a fully focused Finance function and the responsibilities of IT, Strategy, Digital and Transformation, into another, under the remit of CEO Soren Skou. Stausholm commented:

“I very much agree with the new organisational design.

It is the right solution for the company, however as a consequence of the change, I have requested to pursue other opportunities.” NETHERLANDS – Bart Pouwels, currently Director Business Development Cargo at Amsterdam Airport Schiphol[2], has been named to lead the Cargo team within the new Schiphol Aviation department, effective 1st April. He will report directly to Head of Aviation Marketing, Cargo, and Customer Experience Maaike van der Windt.

The new department at Schiphol will consist of five teams: Cargo; Route and Business Development; Traffic Analysis and Forecasting; Marketing & Communications; and Customer Experience. UK – Forth Ports[3] has appointed Ann Rooney as its new Business Development Manager, to focus on Oil and Gas support and decommissioning activity for Scotland. She previously worked with DB Schenker for seven years in various roles and also with GAC Shipping Limited as project coordinator and ships agent.

She will be based in Aberdeen. UK – Tony Bauckham has joined Volga Dnepr UK[4] as Commercial Director. Bauckman is responsible for proactive charter sales management as well as for development of the commercial sales team and regional management.

UK – Sir Michael Bibby has been elected 132nd President of the UK Chamber of Shipping[5]. John Denholm, chairman of J&J Denholm, was elected Vice-President. Sir Michael is planning to step back from his position as Managing Director of Bibby Line Group during 2018 to allow him to better focus his time on external work interests, including his involvement with the UK Chamber.

UK – Karen Smart, currently Director of Landside Operations at London Stansted Airport, has been appointed Managing Director of East Midlands Airport[6]. Smart will take up her role at the pure cargo airport in April and takes over from Andy Cliffe, who is leaving the business to take up a new role as CEO of Midland Expressway. UK – Charity Chief Executive, Commodore Malcolm Williams CBE RN, has retired from the national maritime charity, the Shipwrecked Fishermen and Mariners’ Royal Benevolent Society[7], after 14 years at the helm.

UK – Whistl[8] has appointed Fabiola Sharrat as Operations Director, effective April 3. She will also sit on the Executive Board. FINLAND – Tuomo Valkonen has been appointed as the new Chief Financial Officer of the Evac Group[9], effective May 1.

He will be based in Espoo, Finland, and report Tomi Gardemeister, President and CEO. BELGIUM – Dieter Vranckx, currently Lufthansa Vice President Asia Pacific, has been appointed as the new Chief Financial Officer and Deputy Chief Executive Officer of Brussels Airlines[10]. Vranckx will become the third member of the Management Board of Brussels Airlines, which will collectively report to the SN Airholding Board of Directors.

US – Dale Gustafson, the last pioneer of high voltage tyre inspection who is still active in the retread industry, is hanging up his voltmeter and going fishing. Gustafson is one of the inventors of the Hawkinson NDT, the Omega-M, and all generations of the Central Marketing Spectra Tire Inspectors. He was the Chief Technical Consultant during his years partnering with the Paul E.

Hawkinson Company, and from 2002 till the present time he manufactured tyre inspectors and provided parts and service through his own company, TEI Service[11]. US – Matheson Trucking[12] has appointed Tamrya Ford as its Chief Financial Officer and Mark Olszewski as Director of Postal Operations. US – Netradyne[13], AI technology firm focusing on driver and fleet safety, has announced Dale Willis as Vice President of Data Services and Insurance.

Willis joins the company with a background in both the automotive technology and insurance industries. US – LotLinx[14], automotive AI firm has announced that Jim O’Sullivan will join the company’s Board of Directors. US – Cubic[15] has announced the appointment of Rhys Williams as Vice President, Treasurer.

US – Stertil-Koni[16] has announced that Devin Leahey has joined the company as a Warehouse Associate. US – The Grimes Companies[17] has announced that its President, Neil Porter will be retiring at the end of the month. Ike Sherlock, current Executive Vice President, will assume the role of President, effective immediately.

SOUTH KOREA – THAILAND – UPS[18] has announced the appointment of Harrison Park as Managing Director of UPS Korea, succeeding JK Rha, who retires after 28 years of service. He takes responsibility for all express delivery and logistics operations of UPS Korea in this new role. He will report to K.K.

Leung, President of North Asia District, UPS Asia Pacific. UPS Thailand has appointed Russell Reed as the Managing Director, succeeding Tan Boon Tiam. He is responsible for UPS’s small package, freight forwarding and contract logistics operations as well as for overseeing the growth of UPS’s operations in Cambodia and Myanmar.

HONG KONG – The Noble Group’s[19] Founder, Richard Elman has resigned as Non-Executive Director, the day after the supply chain manager slid into default. Elman had retained a presence in the company he founded in 1986, even as he gradually gave up his leadership responsibilities over the years. He stepped down as CEO at the end of 2009 and became non-Executive Chairman, though he struggled to hand over the reins with the group having five CEOs in seven years.

Elman eventually also stepped down as Chairman when a restructuring specialist was appointed to the role last year.

The position of Chairman Emeritus was then created for Elman.

CHINA – Best Inc[20], a smart supply chain service provider, has announced that Lin Wan has been appointed by Alibaba Group to replace Wenhong Tong as a member of the company’s board, Compensation Committee and Corporate Governance and Nominating Committee, effective since March 20.

Appointments and Departures in Shipping and Logistics Professions This WeekAppointments and Departures in Shipping and Logistics Professions This Week


  1. ^ AP Moller Maersk’s (www.maersk.com)
  2. ^ Amsterdam Airport Schiphol (www.schiphol.nl)
  3. ^ Forth Ports (www.forthports.co.uk)
  4. ^ Volga Dnepr UK (www.volga-dnepr.com)
  5. ^ UK Chamber of Shipping (www.ukchamberofshipping.com)
  6. ^ East Midlands Airport (www.eastmidlandsairport.com)
  7. ^ Shipwrecked Fishermen and Mariners’ Royal Benevolent Society (shipwreckedmariners.org.uk)
  8. ^ Whistl (www.whistl.co.uk)
  9. ^ Evac Group (evac.com)
  10. ^ Brussels Airlines (www.brusselsairlines.com)
  11. ^ TEI Service (www.teiworldwide.com)
  12. ^ Matheson Trucking (www.mathesoninc.com)
  13. ^ Netradyne (netradyne.com)
  14. ^ LotLinx (www.lotlinx.com)
  15. ^ Cubic (www.cubic.com)
  16. ^ Stertil-Koni (stertil-koni.com)
  17. ^ The Grimes Companies (www.grimescompanies.com)
  18. ^ UPS (www.ups.com)
  19. ^ The Noble Group’s (www.thisisnoble.com)
  20. ^ Best Inc (www.best-inc.com)

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