LATEST LOGISTICS AND FORWARDING NEWS
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1 LATEST LOGISTICS AND FORWARDING NEWS FRANCE - New Peak Season Surcharge by French shipping company CMA CGM - More than 30 companies from France have explored business opportunities in Uganda - SNCF Logistics to acquire 45% of the shares of its Swiss rail freight counterpart INDIA - The Goods and Services Tax (GST) introduced - Consequences of the GST - New shipping weekly service MADAGASCAR - Madagascar invites South African businesses to invest in various sectors - Four factories for the production of fertilisers - Freighter service by Turkish Cargo
2 MAURITIUS - Imports of food products will be facilitated - Major developments at Air Mauritius - Profits on the up for Air Mauritius Group MOZAMBIQUE - Heineken has a US $ 100 million project - Sasol to invest US $ 1.4 billion - Major developments completed at the port of Maputo REUNION ISLAND - Positive financial results for Air Austral - Threats concerning the competitiveness of the port of Reunion Island - Partnership between Air Austral and Air Madagascar not yet finalised OTHER PARTS OF THE WORLD - China s gateway - Growing acts of maritime piracy in the Gulf of Guinea - Establishment of an operating company by K Line, MOL and NYK
3 LATEST LOGISTICS AND FORWARDING NEWS FRANCE New Peak Season Surcharge by French shipping company CMA CGM The French shipping company CMA CGM has applied a new Peak Season Surcharge since the 3 rd July The Peak Season Surcharge of US $ 250 per TEU covers all cargo (Dry, break bulk and reefer cargo) originating from all Asian ports (including Japan, Southeast Asia and Bangladesh) and transported to all Northern European ports (including the full range from Portugal to Finland/Estonia as well as the United Kingdom). More than 30 companies from France have explored business opportunities in Uganda A delegation of more than 30 companies from France visited last month Uganda to explore business opportunities in that country. The visit was organised by one of the powerful private sector organisations, the MEDEF (Mouvement des Entreprises de France). Annual trade between France and Uganda amounts to million euros. France is the tenth largest supplier of Uganda with a market share of 2%. SNCF Logistics to acquire 45% of the shares of its Swiss rail freight counterpart The French rail freight company SNCF Logistics will acquire 45% of the shares of its Swiss rail freight counterpart, BLS Cargo. This will enable SNCF Logistics to offer international services where BLS Cargo operates (from the North Sea to the Mediterranean).
4 INDIA The Goods and Services Tax (GST) introduced Since the 1 st July, a uniform indirect tax, the Goods and Services Tax (GST) is levied on goods and services all over India. The GST is an umbrella tax which has replaced the different taxes such as the Central Excise Duty, the Service Tax, the Additional Duties of Excise & Customs, the Special Additional Duty of Customs as well as cesses and surcharges on the supply of goods and services. Consequences of the GST With the implementation of the Goods and Services Tax (GST), the selling price of equipment used in athletics, gymnastics and table tennis has increased as the GST on these products amounts to 28%. Beauty products like aftershave, perfumes, cosmetics, skin care products, shampoos, hair dyes have also become dearer. Analysts expect imports of these lines of products will curb down. New shipping weekly service The shipping company APL has launched a weekly service, the India Pakistan-Mediterranean Express (IPM) which directly connects India and Pakistan with the Mediterranean markets. The vessel calls at the ports of Khor Fakkan, Karachi, Nhava Sheva, Mundra, Djibouti, Jeddah, Damietta, Piraeus, Malta, Aliaga, Mersin and Port Said West.
5 MADAGASCAR Madagascar invites South African businesses to invest in various sectors The President of Madagascar, Henry Rajaonarimampianina has recently visited South Africa and invited business leaders of that country to invest in large projects in the fields of mining and textile sector. Furthermore, energy is another area as demand for electricity in Madagascar currently exceeds supply. Only 23% of the population has access to electricity, giving opportunities for energy providers. Four factories for the production of fertilisers A loan of 2.5 million USD has been allocated by the EXIM Bank of India to the Government of Madagascar so as to enable the completion of the unachieved construction project of 4 factories for the production of fertilisers. The project was initiated in 2008 but was brought in abeyance by the political instability. The first fertilisers plant will start its operations by the end of this year at Ambatondrazaka and will have an annual production capacity nearing tons. Freighter service by Turkish Cargo Turkish Cargo has launched since the 1 st July, a weekly Istanbul Johannesburg Antananarivo freighter service. The Airbus freighter with a capacity of 65 tonnes and 280m 3,leaves Istanbul Ataturk at on Saturday, lands in Johannesburg at before making a stop-over in Madagascar from 4.25 to 6.25.
6 MAURITIUS Imports of food products will be facilitated Imports of food products will be facilitated in Mauritius in the near future with the promulgation of the Food (Amendment) Regulations under the Food Act. The procedures will be streamlined for food-related business that require pre-market approval permit. Under the new regulations, the application for pre-market approval permit would be made electronically through the TradeNet system. Furthermore, every application for pre-market permit will be determined within 5 working days from the date the application has been received. Last but not least, the list of food, pre-packed food, container or contact material requiring prior pre-market approval permit, will be reduced. Major developments at Air Mauritius Air Mauritius will undertake a major modernization of its fleet. It will receive its first two Airbus A in October and November Moreover, with Air France/KLM, Air Mauritius will start operations to Amsterdam as from October This will enable the Mauritian air carrier to target the Dutch market as well as the Nordic European countries. Profits on the up for Air Mauritius Group For its last financial year which ended on the 31 st March 2017, the Air Mauritius Group recorded profits of 27.6 million euros compared to 16.5 million euros during the previous year.
7 MOZAMBIQUE Heineken has a US $ 100 million project The Dutch brewer Heineken intends to invest US $ 100 million in a factory in the region of Manhiça in the South of Mozambique. However, this project is on put on hold due to the high excise duty and Mozambique s tax regime. To alleviate these obstacles to investment, the Mozambican government plans to revise the tax burden. Sasol to invest US $ 1.4 billion A consortium led by Sasol, the South African petrochemical company, will invest US $ 1.4 billion in a fuel production plant in the Inhambane province in southern Mozambique. The processing facility will produce light oil and liquid petroleum gas. The project is currently at the initial stage of its development, the sixth well has been drilled and soil data are analysed. Major developments completed at the port of Maputo The port of Maputo can now accommodate vessels of tons since its access channel has been dredged to a depth of 14 metres. Moreover, the port has now the capacity of handling more than tons of cargo per month.
8 REUNION ISLAND Positive financial results for Air Austral The air carrier of Reunion Island, Air Austral has made public its financial statements for the financial year It generated a turnover of million euros with a net profit of 6.15 million euros, a positive result since 4 years. The annual turnover has increased by 7% compared to the previous financial year. Threats concerning the competitiveness of the port of Reunion Island The competitiveness of the port of Reunion Island may be hampered in the near future if the European Commission of Brussels withdraws the fiscal advantages of the ports of France and its overseas territories such as that of Reunion Island. The port of Reunion Island might have to settle corporate as well as land taxes. The corporate tax in France will be brought down from 33 to 28% this year. Partnership between Air Austral and Air Madagascar not yet finalised Air Austral relies on its partnership with Air Madagascar to strongly position itself on the regional market. However, the finalisation of this partnership is taking more time than expected.
9 OTHER PARTS OF THE WORLD China s gateway The new international airport of Beijing known as China s gateway will start its operations in The steel structure of its terminals has been completed last month. The new airport will be able to handle two million tonnes of cargo a year by It will have four runways and aircraft movements per year. Growing acts of maritime piracy in the Gulf of Guinea There is a resurgence of acts of maritime piracy in the Gulf of Guinea. Shipping companies have expressed their concern about the increasing cases of armed robbery attacks and kidnapping for ransom. The latest International Maritime Bureau (IMB) Piracy report stated that during the first three months of 2017, throughout the world, 33 vessels were boarded and four fired upon. Moreover, of the 27 seafarers kidnapped for ransom, 63% were in the Gulf of Guinea. Establishment of an operating company by K Line, MOL and NYK Shipping companies K Line, Mitsui O.S.K. Lines and Nippon Yusen Kabushiki Kaisha (NYK) have established an operating company since the beginning of July for the integration of their container shipping business. The new company will look for compliance with the competition laws of different countries before starting to operate. The joint services are planned to begin as from the 1 st April 2018.
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