Raring To Go For E-Commerce

Shenzhen in China – once a fishing village, today one of the main trading hubs worldwide for the electronics and telecommunications industries. From here, Militzer & Münch China starts its regular exports to Great Britain for an international online retailer – customs clearance included. The demand for transports for the online market keeps growing and offers Militzer & Münch the possibility to tap additional markets.

With its status as Special Economic Zone, Shenzhen is regarded as an important location for foreign investments; the city is one of the world’s fastest growing metropoles. The economy in the region is booming; there is demand from European countries especially for consumer electronics products such as power banks, chargers, USB cables, loudspeakers and keyboards. The Militzer & Münch customers profit from this demand, too.

In May 2017, Militzer & Münch began cooperating with the international online retailer. “This is a perfect order for us and the big opportunity to further develop our expertise in the e-commerce sector”, says Glenn Bai, Managing Director Militzer & Münch China. “We have expanded our services for this customer step by step. Now, we deliver products to Great Britain every week.”

The services comprise:

• Picking up goods for different shippers

• Order picking and packing at customs warehouse in Shenzhen

• Consolidating goods as FCL

• Sea transport from Shenzhen/Hong Kong to Great Britain

• Import customs clearance/customs clearance and taxes

• Order picking and packaging

• Labeling and kitting

• Returns management

• Delivery to the customer’s warehouse in Great Britain via FTL / LTL / courier service

New Challenges and Solutions

From China to Great Britain the goods go by vessel, with overland transport to the customer’s warehouse by truck. But the transport comes with some challenges. “There are usually over 30 sets of customs declarations per container”, says Glenn Bai. “To check the customs declarations of e-commerce business, the British customs authority has implemented stricter regulations, which often leads to delays.” Moreover, there are congestions again and again at the port of Felixstowe, Great Britain’s largest container port, and transit times become longer. “In view of the Brexit, the situation may deteriorate even further”, Glenn Bai says. “It is all the more essential for us to do a perfect job especially when it comes to customs declarations, and to provide optimal advice to our customers.”

At this time, Glenn Bai and his team are focusing on optimizing their logistics solutions for the e-commerce business. “In the long term, we will also offer rail and air freight solutions for online trade”, says Glenn Bai. “Beside the China – Great Britain trade lane, we are also concentrating on transports to Central Asia and Russia. We look forward to handling more e-commerce projects in the future.”

Next stop: Chicago

For a customer from Bavaria, Militzer & Münch Germany is handling a project – the volume of the order: 200 to 250 containers. Over several months, the team is transporting façade components and construction material from Bavaria to an American chemical plant near Chicago. In January, an extreme cold wave caused a state of absolute emergency in the USA – and posed quite some challenges to the team.

A chemical plant in Chicago is being expanded at this time. In late 2018, a Bavarian manufacturer contracted Militzer & Münch to deliver the necessary façade components and building material from Germany to the USA. The project is scheduled to be finished by spring 2020.

Up To Seven Containers Per Week

So how do over 200 heavy-weight containers get from Bavaria to Chicago? “This is of course a big project”, says Walter Weissig, Manager Ocean Freight and Deputy Branch Manager at M&M air sea cargo GmbH in Munich. “First of all, we negotiated the tariffs, the potential routes and dates with the shipping line and their trucker, and closely coordinated with our Hamburg colleagues and our partner in Chicago.”

The freight for the American customer consists mainly of 40’ HC containers and some 20’ standard boxes. All in all, the team prepares five to seven containers for transport each week, some of them weighing up to 19 tons.

“After we have loaded the containers at the exporter’s location in Lower Bavaria, the first leg of the transport is via rail to Bremerhaven”, says Walter Weissig. “From there, we ship the cargo to New York or Norfolk. The shipping line is then in charge of rail transport to the destination hub at Chicago / Norfolk Southern Landers. The last leg to consignee is done by truck.”

Icy Cold Winters and Extreme Situations

In January, a sudden cold wave hit the United States. “The polar winds caused temperatures last winter to drop as far as minus 30°C”, says Walter Weissig. “That was the second lowest value ever registered in the USA.”

Between New York and Chicago, there reigned an absolute state of emergency. “Containers were stuck up to two weeks at the port, before they were trucked to New Jerseys where they were put on rails”, says Walter Weissig. “What’s more, there is this lack of drivers in the USA. The customer of course insists on exact delivery times with the appropriate advance notice. This is not always easy to manage, as on the day the container reaches Chicago, we don’t yet know which driver is assigned for the last mile.”

Going For It, With Full Commitment

Daily reconciliation of all shipments via tracking and tracing and via mail is indispensable. “With up to 30 containers at the same time with different status reports – loaded at shipper’s warehouse, shipped on board, vessel arrival New York / Norfolk, discharged, transit to rail, rail departure, train arrival, picked up for delivery, delivery – this is extremely time-consuming”, Walter Weissig says.  “In the meantime, the transport chain has become established. Due to good cooperation between the shipping line, our agent and the customer, everything runs smoothly. Overall transit time is 30 days maximum.”

The Militzer & Münch team is already working on a follow-up project. The Bavarian shipper has enquired about the transport of another sixty to seventy 40’ containers. The consignee: another company, also in the United States.

M&M Poland Transports Grain Silos to Tanzania

Militzer & Münch Poland was awarded an extraordinary contract last winter. As part of a government project, the Polish M&M team is working on a very large order to deliver grain silos to Tanzania. The intensive contract negotiations with the customer took almost one year. The logistic and statutory requirements were a challenge to the expertise of the entire team.

In November 2018, the team of Militzer & Münch in Poland was contracted to deliver about 200 containers with grain silos to Tanzania. The grain silos protect harvests against pests and putrefaction – and can thus, in the long run, prevent hunger and malnutrition in the East African country.

“The customer had never before handled sea freight – and of course never on this trade lane”, says Artur Wojtczak, Sales Director, M&M air sea cargo S.A. “As this was a large project, he got several quotes and then took a lot of time to consider. In the end, our consulting and expertise convinced him – and he awarded the contract for the project to our team.”

 

Business Development Manager Anna Kiczak was responsible for the contract negotiations.

 

New Destination and Strict Requirements

Artur Wojtczak and his colleagues in Wrocław, Poland, demonstrated their full commitment to win the tender.  “Our Business Development Manager Anna Kiczak presented our service portfolio to the customer”, says Artur Wojtczak. “She was in charge of the negotiations that took almost one whole year.” Among others, the strict government regulations and requirements prolonged negotiations. The team had to review them in detail so as not to overlook anything. “Tanzania is a totally new destination for Militzer & Münch”, Artur Wojtczak says. “This means a valuable new experience for the whole team. Already in preparing the project we learned a lot.”

A Strong Team

The members of the team familiarized themselves intensively with the local standards. “Then, our colleague Arkadiusz Kant negotiated with the African agents the best possible conditions for the cooperation”, says Artur Wojtczak. “He has spent several years in Kenya and was thus the perfect contact person.”

The participation of Senior Business Development Manager and sea freight expert Paweł Szelest was also absolutely essential. “Together with Anna Kiczak, he worked on the contract details. Our lawyer supported us in legal matters.”

In December, the first five containers were dispatched. In the meantime, the team has already successfully delivered an essential part of the project volume, with the help of Oksana Deveterykova, operations agent at Militzer & Münch Poland.

The project is expected to last until the first quarter of 2020 – until the circa 200 containers have reached Tanzania. The project benefits from the professionality and expertise of all colleagues involved. “The destination is totally new territory for the team – and the colleagues are doing a brilliant job. From the start, they were open to the new challenge. And our customer can reach them 24/7. This untiring commitment of course generates interest among customers from similar sectors or with similar export destinations.”

 

Development Cooperation in Tanzania

Beside droughts and poor harvests, the improper storage of grains such as millet and corn is among the root causes of hunger in Tanzania. The so-called post-harvest losses often amount to almost 50 percent. This forces Tanzanian families and farmers to bridge the time until the next harvest with food they pay high prices for; as a consequence, they get into debt.

Some governments and organizations are currently committed to improve the grain farming and economic strategies in Tanzania. In the course of these projects, grain silos are sent to Tanzania, and Tanzanian craftsmen are learning to build silos from zinc sheet. Such measures allow families and farmers to better subsist on their own grain products and to sell surplus stock at a profit in the long term. This again allows them to invest in the education of their children.

Across half the globe, in three days

In 2018, Militzer & Münch Poland started exporting freshly picked blueberries for the new customer Agro Trade. The Argentinian berries are very sensitive and stay fresh only for a few days after harvest. A single delay in the transport process can lead to the entire freight losing its value.

For many years already, Agro Trade, a Polish family company, has been specialized in cultivating and trading blueberries. In 2018, Agro Trade commissioned Militzer & Münch Poland to import the popular fruit from Argentina and to transport it to Western and Northern Europe.

In summer, when the Polish blueberries are ready for harvesting, Militzer & Münch Poland delivers them, via road, to Germany and the Netherlands among others. “Demand for blueberries has increased so much over the last few years that Agro Trade has long begun importing the fruit also from Argentina”, says Wlodzimierz Scibiorek, business development manager at Militzer & Münch Poland since 2007.

From the bush to the retailer

Most challenging in transporting sensitive, fresh goods are temperature fluctuations and the transit time. Exposed to frost or excessively high temperatures, the berries can lose their form and freshness. In order to guarantee the best possible quality, the blueberries have to reach the retailer and consumer as soon as possible after they are harvested. This requires strategic, quick procedures especially for the transports from Argentina.

“From South America, we ship the berries directly to the airports of Frankfurt and Amsterdam”, Wlodzimierz Scibiorek says. “From there, we take them to the sorting plant in Poland, where they are packed. Then, the blueberries are already dispatched to the European retailers. Thus, transit time is only two to three days.”

For every import shipment, Militzer & Münch Poland and Agro Trade set up the exact schedule for the shortest possible delivery time. The buyer has to provide the necessary documents, papers and certificates for everything to go fast. “Every error can be expensive”, says Wlodzimierz Scibiorek. “Unnecessary delays impair the fruit and lead to loss in value. With smooth processes, Militzer & Münch Poland guarantees that in the end, someone can enjoy the fresh, sweet fruit in their muesli or muffin.”

Agro Trade plans to tap into and supply new markets in Japan, China, Korea and the United Arab Emirates together with Militzer & Münch Poland – the versatile and healthy blueberries are also highly popular in Asia.

Airfreight to Indianapolis

Militzer & Münch Poland acquired a renowned new key account last year: the US American sawmill manufacturer Wood Mizer. Many of the customer’s machines weigh up to a ton and are considered dangerous goods. Dariusz Onisk, Key Account Manager at M&M air sea cargo S.A., and his colleagues organize airfreight shipments, among others to South Africa and the USA.

Over 25 years ago, Wood Mizer established a production plant at Kolo in central Poland. The saw mills of the company that was founded in 1990 are in use in over 100 countries. “In spring 2018, Wood Mizer contracted us for the first export shipments”, says Dariusz Onisk. “Since then, we have transported saw mills and other equipment via air to the USA, to Sri Lanka, South Africa and India among others. For LCL shipments with destinations in Africa and China, we occasionally offer our customer also sea freight solutions.”

Dangerous goods challenges

Wood Mizer’s saw mills and other timber processing machines weigh between 200 and 1,000 kilograms on average. Many also come with a combustion motor and are thus subject to the IATA Dangerous Goods Regulations (DGR). “Every shipment is unique, and the challenges we as forwarders are confronted with vary from shipment to shipment” says Dariusz Onisk. “Transporting DGR goods is especially demanding. Depending on the size and weight, we load the big saw mills into special wooden boxes or strap them onto pallets.”

In late 2018, the Militzer & Münch Poland team transported an especially heavy shipment to the USA in the shortest time. “The saw mill was to reach the consignee in Indianapolis as fast as possible. We packed it in a 4.2 x 1.5 x 1.3 meter wooden box. The gross weight was almost 1.5 tons”, Dariusz Onisk says. “In cooperation with Wood Mizer and the airline in question, we met all security and safety requirements and got the cargo to its destination safely and on time.”

Good cooperation generates trust 

For every transport, the Militzer & Münch Poland team is in close contact with Wood Mizer. The saw mill manufacturer is kept informed during the entire process. “It is important to be fully responsive to the customer’s requirements during preparation and execution of the transport”, says Dariusz Onisk. “By now, I am perfectly familiar with the habits and needs of Wood Mizer. My team and I, we can offer the customer very individualized service.” The next destinations have long been defined. “Today, we pick up a saw mill in Poland for transport to Taipeh.”

Too big for rail freight

Militzer & Münch transported out-of-gauge wooden boxes, a total weight of circa 28,300 kilograms, from Shanghai, China, to Almaty in Kazakhstan. Much too big for rail transport – but Militzer & Münch offered the perfect solution to transport the huge blower systems for transformers.

For a renowned German technology corporation, Militzer & Münch China has been handling regular transports via rail from China to Germany since late summer last year. Which is why the customer also commissioned Militzer & Münch with the transport of transformer cabinet blowers and cell cabinets from China to Kazakhstan. As usual, this shipment was also meant to go by rail; yet owing to a change in regulations, rail freight was not possible. “We had to explain to the customer that the new Chinese railway regulations that became effective in January 2019 did not allow transporting out-of-gauge cargo via rail”, says Glenn Bai, Managing Director Militzer & Münch China. “So, our colleagues from different Militzer & Münch branch offices cooperated to offer the customer an alternative solution.”

Truck as an alternative means of transport

The result: Militzer & Münch delivered the freight as full truck load (FTL). The Militzer & Münch branch office in Urumqi in north western China made it possible. Located near the border to Kazakhstan, the branch office fulfilled the necessary conditions for the transport, as the cargo had to be transloaded by Militzer & Münch at Khorgos, Kazakhstan, at the border to China. The reason: Chinese trucks are not approved for transports in CIS countries. As they are near Khorgos, the colleagues at the Urumqi branch were able to take care of the transloading process on site.

The advantages of cooperation

To realize the entire transport, three Militzer & Münch colleagues worked closely together: Kaka Xu, M&M China’s Account Manager for the technology corporation, Anna Elcheva, Trade Lane Manager Russia and CIS at Militzer & Münch, and Guanghua Nie, Manager of the Urumqi branch. The three colleagues also contributed helpful local knowledge, such as for customs clearance. All in all, the transport took only 14 days.

“Our advantage at Militzer & Münch is that we operate numerous branch offices in many countries along the New Silk Road”, says Glenn Bai. “Without this, the transport of the over-dimensioned cargo via truck would not have been possible.”

Wagons from Belarus on Hungarian railway tracks

For a leading Swiss manufacturer of rolling stock, Militzer & Münch Switzerland transports components to Belarus for the assembly of rail wagons, and to Hungary for interior fitting. The wagons are to be used for passenger transport on the Hungarian railway network.

Over the last few years, the rolling stock industry has profited from a steadily increasing total market for new railway vehicles. While in 2012, the turnover was at 48 billion EUR, it reached 55 billion EUR in 2017. This global growth also benefits the Militzer & Münch customer, who manufactures customized railway vehicles for his clients, meeting their individual requirements in terms of interior design as well as in terms of technology.

The construction material Militzer & Münch transports for the customer comes from different countries and covers everything that is needed for the construction of railway wagons. The freight includes aluminum profiles, toilets, brakes, switches, cables, foamed plastics and textiles.

Militzer & Münch Basel serves as control tower

“Several Militzer & Münch teams cooperate on this project so we can offer the customer the best possible transport solution”, says Nikolaus Kohler, Regional Managing Director Middle East / Central Asia. “We use the Militzer & Münch Belarus truck fleet. Militzer & Münch Basel coordinates the entire project; the Basel team also does the customs clearance. We also use our Eichenzell location as a consolidation hub for goods from Europe.”

Since January 2018, the Militzer & Münch team has handled about four to five full truck loads (FTL) from Switzerland to Belarus per week. From Eichenzell, another two to three FTL transports are dispatched to Belarus per week.

There are plans to extend the weekly transport volume to 15 full truck loads destined for Belarus and Hungary. “We are pleased with the volume of this order, and with the complexity that comes with it”, says Nikolaus Kohler. The big project is scheduled to run through December 2019. The customer has already announced further transports, this time to Azerbaijan.

An individually tailored IT solution

One special feature characterizes the wide-ranging project: thanks to the in-house IT company ‘MMcom’, Militzer & Münch can offer the customer an IT solution that is optimally designed to meet his requirements. Via the IT platform, the goods flows from different countries of origin via two consolidation hubs to the destinations in Belarus and Hungary are registered and mapped. Per remote data transmission, the system indicates in real time which shipments have been received at the warehouses in Switzerland and Eichenzell, and collates them into packing orders.

Heavy lift, long distance

22 transformers and associated equipment from Shanghai to Port Sudan – that was the order for Militzer & Münch China. The heaviest cargo weighed 67 tons – the total weight of the goods was too much for a normal bulk carrier.

The customer, a company from the energy and utilities sector, needed the transformers for the construction of several transformer stations. The volume of the freight: circa 11,000 cubic meters, the equivalent of around 78,500 water-filled bathtubs – a challenge for the team.

“The obvious solution: we used a heavy lift carrier for the transport”, says Sara Zhang, Project Operation Manager M&M Beijing. “That allowed us to cover the 7,000 sea miles smoothly.” For Militzer & Münch China, this break bulk shipment was the first order from the customer, and also the first transport to East Africa.

The transport had been planned in detail beforehand so the entire freight could be collected at one point and shipped out simultaneously. “Not only the transformers, also the associated equipment differed a lot and came from several places of origin in China”, says Sara Zhang. “A time-consuming endeavor; but together our team and our local partner coordinated the project perfectly and cooperated successfully to handle the transport within the time frame set by the customer.”

Liquid foods perfectly packaged

For a worldwide operating producer of packaging solutions headquartered in France, M&M France transported three big machines to dairy plants and beverage producers.

The transport to Omsk was especially urgent – the customer needed the delivery of several machine components to be perfectly synchronized. Militzer & Münch assigned two teams for the project, organized block customs clearance as well as the parallel delivery of all modules. In no more than twelve days, the trucks covered the 5,500 kilometer distance to the Siberian metropolis.

Two more plants went to Krasnodar in Southern Russia, and Samara in the country’s South East. It took two drivers per truck seven days to cover the 4,000 and 3,500 kilometers.

Close cooperation

Employees from the manufacturing company supported the loading and supervision of the modules in Le Havre and Lagny. The customs clearance of the door-to-door transports was done by the customer’s agent.

The project was not the first successful cooperation: in 2014, Militzer & Münch France already handled a transport to Russia for the producer of packaging solutions. Follow-up orders are already in sight – among others, with transports to Tashkent, the capital of Uzbekistan.

Attracting: Militzer & Münch as 4PL provider

Militzer & Münch Greece has added 4PL to its portfolio. The first big contract comes from a US fashion label.

Militzer & Münch Greece’s Managing Director Panagiotis Manolopoulos and Commercial Director Efi Moucha are personally involved in the project. With their team, they ensure that the store shelves in the big shopping malls and at international airports are always well stocked with lingerie and beauty products from the USA.

“We are the control tower for the distribution in Europe”, says Panagiotis Manolopoulos. “We organize all transport, storage, order picking and logistics services for the European representative of the brand.

From the US, the goods reach Denmark by sea freight container. They are temporarily stored by a forwarder with a big Europe-wide network selected by M&M Greece. The Danish location is the hub for the distribution of the goods across Europe.

Militzer & Münch Greece is closely connected to the Danish partner, has an eye on all orders received in Denmark at all times. Some transports are handled by the Danish partner; others are executed by Militzer & Münch organizations or third parties. “We can offer the customer the optimal solution for each country – within the Militzer & Münch Group, but also externally”, says Efi Moucha.

Furniture for new stores is also among the goods transported. In Athens and Thessaloniki, Militzer & Münch already supplied two boutiques.

Aiming at expansion

“Adding 4PL services to our portfolio helped us a lot in the past few months, mainly in view of the economically difficult situation in Greece”, says Panagiotis Manolopoulos. Plans are to expand the business eastward. First transports already went to the United Arab Emirates.

Transformer on Tour

How to get a huge transformer for a new power station to cover a 2,000 kilometer distance? The Militzer & Münch team in China had the solution: on a 20-axle bridge trailer.

The order for the heavy lift transport came from the Chinese electric utility company. Militzer & Münch organized the complete door-to-door transport from the manufacturer’s plant in Boading, northern China, to the construction site in Tianshui. At 450 tons, the transformer was too heavy for a standard low platform trailer; on the axles of the bridge framework trailer, the weight was evenly distributed.

Precise preparation

To make sure the roads can bear the high strain, the team did a preliminary road survey for the entire distance. Only then were they able to apply for a special authorization to use the roads. Militzer & Münch had to obtain a special permit from each of the four provinces the transport crossed – Hebei, Neimenggu, Ningxia and Gansu.

In order not to overly hinder traffic, a large part of the distance was covered by night. The bridge trailer covered the 2,000 kilometers in 15 days. An escort vehicle accompanied the transport from start to destination.

Azerbaijan: first transports

In March 2017, Militzer & Münch opened a representation in Azerbaijan. Business is doing well: different industries are already relying on Militzer & Münch‘s Middle East expertise to import their products to the landlocked country in the Orient.

Nijat Shabanly and Nasimi Mammadov represent Militzer & Münch in Baku. About six months after the office was taken into operation, Nijat Shabanly looks back on a successful initial period: “So far, we’ve handled groupage transports form Germany, Italy, Belgium and Turkey”, he reports. “But we also had a full truck load transport from Germany and a refrigerated shipment from the Netherlands.” Among the handled goods are products for the food industry, the baby care- and the cosmetics industries, as well as goods for the construction and medical engineering sectors.

By now, Militzer & Münch Azerbaijan was able to realize even more transports – for example full truck load shipments with equipment from Rotterdam, Netherlands, and from Heinsberg, Germany, to Azerbaijan. The team also successfully works in air shipments and collaborates with Militzer & Münch offices in Istanbul, Frankfurt, Hannover and Balice (Poland).

First project

The two employees in Azerbaijan already handled a big project successfully as well: they organized the transport of tiles in 41 containers from Foshan, China, to Baku. The boxes went via sea from Foshan to Poti, Georgia. From there, the freight was hauled via road to the destination in Baku. Total transit time was 40 days.

The two Militzer & Münch representative’s confidence about the future is owed to big infrastructure projects in Azerbaijan: the international Baku-Tbilisi-Kars (BTK) railway project, the new port of Baku, and the new railway connection between Baku and the Iranian border.

“These projects will positively impact the logistics landscape in our country.”

Nijat Shabanly
Representative from M&M Militzer & Münch in Azerbaijan

The BTK railway project was launched to directly connect Azerbaijan, Georgia and Turkey. Kazakhstan and Turkmenistan can be connected to the new railway as well via the Caspian Sea. The official opening ceremony took place in the end of October.

“These projects will positively impact the logistics landscape in our country”, says Nijat Shabanly. “We are confident that Militzer & Münch will benefit from them, and that we can soon offer our customers additional destinations. These infrastructure projects will also contribute to turning Azerbaijan into an important transit country.”

The international Baku-Tbilisi-Kars railway project (BTK) connects Azerbaijan, Georgia and Turkey directly. Kazakhstan and Turkmenistan can be connected to the new railway as well via the Caspian Sea.

Refreshments delivered by Militzer & Münch Tajikistan

In June, Militzer & Münch Tajikistan signed a one-year contract with a soft drink manufacturer. The customer operates a bottling plant in Dushanbe, the capital of Tajikistan, and needs his products to be distributed nationwide.

In 5, 10 or 20 ton trucks, the soft drinks are delivered from the Dushanbe factory to over 20 consignees. Most delivery destinations are distribution centers in the greater Dushanbe and Khujand areas and in Khatlon province. Some transports go directly to supermarkets and gas stations. On average, the Militzer & Münch team Tajikistan loads and handles five to ten truckloads per day. In the first month alone, the volume transported amounted to 191 full truck loads.

Extending the service

“We are very happy with the project and hope to be able to extend the transport volume soon, also across borders”, says Aziz Sharipov, Managing Director M&M Militzer & Münch Tajikistan. “We are currently discussing this intention with our customer.” The negotiations are about a delivery service from the bottling plant in Dushanbe to Lahore and Peshawar in Pakistan, with transit via Afghanistan.

Tajikistan – fast facts

Population: 8,921,000
Capital: Dushanbe (ca. 780,000 inhabitants)
Topography: More than 70% of the area is high mountain ranges
Form of government: presidential republic with two-chamber parliament
President: Emomalij Rahmon (since 1994)
Economy: The economy relies mainly on the cultivation of cotton. The cultivation of grain, vegetables, fruit and tobacco plays a minor role. The most important export commodity is aluminum. Tajikistan is landlocked, which hampers economic development.
Infrastructure: Tajikistan’s many mountain ranges make the development of transport infrastructure rather difficult. Owing to the Trans-Caspian Railway, Dushanbe, the capital, is linked to the international railway network. The railway connects the city via Tashkent in Uzbekistan with Moscow in Russia.

A successful team effort

Chewing gum, sweets, and tooth paste – three totally different items. And yet, they have one thing in common: they can all contain xylitol. In June, Militzer & Münch transported this food additive from Dezhou in China to Poznań in Poland.

Sweet and fresh on the tongue – that’s what xylitol tastes like. The chemical is used by the ton in the food industry, where it goes by the code E 967. Militzer & Münch’s order was to transport powdered xylitol from the production site in China to a food manufacturer’s plant in Poland.

“We developed a highly effective, multi-modal transport chain for this project.”

Glenn Bai
Managing Director Militzer & Münch China

For this project, the staff of Militzer & Münch in China arranged the road and rail transport from Dezhou to Malaszewicze, the central rail trans-shipment hub in Poland. The longest part of the journey was done by rail: the 25 sealed containers were transported on board seven trains. In Malaszewicze the team of Militzer & Münch Poland took over. The bonded containers were hauled to the destination in Poznań by road.

“We developed a highly effective, multi-modal transport chain for this project”, says Glenn Bai, Managing Director Militzer & Münch China. “A combination of road and rail transports is optimal for the leg between China and Poland. Thus, the transit time was only 20 days.”

Safety specifications implemented

Since xylitol is a chemical substance, strict safety regulations must be observed. Especially owing to the detailed SOP (Standard Operating Procedure), the cooperation between the Polish and the Chinese teams was exemplary. The team at the Qingdao branch in China had provided the material safety data sheet SOP.

“The cooperation was perfect”, says Glenn Bai. “We are proud we succeeded in developing our rail service and our product portfolio with this first transport ex Dezhou.” So far, Militzer & Münch China had concentrated on full container load (FCL) transports from Zhengzhou and less than container load (LCL) transports from Yiwu. Right now, Eric Wang, Rail Freight Director M&M China, is working on additional destinations ex Wuhan, Chongqing, Zhengzhou and most recently also ex Dalian in Northeast China.

Xylitol – low calorie and tooth-friendly

Xylitol is mostly used in the food industry; its code is E 967. It serves as a naturally occurring sugar substitute that can be produced in trees, plants, vegetables, fruits, but also in humans via their sugar metabolism. Xylitol is used, among others, in toothpaste for caries prophylaxis. German chemist Emil Fischer discovered xylitol in the late 19th century. He later won a Nobel Prize in chemistry for his research in the field of sugar chemistry.

High-Tech from Brazil

More than 9,000 kilometers from Brazil to Poland: in summer, Militzer & Münch Poland coordinated the transport of machinery for a new paper factory. This marked another step in the cooperation with the customer, one of Brazil’s leading manufacturers of machinery for the paper industry.

The Polish Militzer & Münch team handled the door-to-door transport from the manufacturer’s plant in Brazil to the factory of a leading Polish paper product manufacturer in collaboration with long-time Brazilian logistics partner Pirâmide SeaAir. The print cylinders, steel frames and screens are part of a production line for the new paper factory. The factory produces, among others, greeting cards, children’s coloring books and paper gift bags.

Apart from the transport, the Militzer & Münch team and their Brazilian logistics partner did the customs clearance and coordinated the loading and lashing of the bulky goods. In Mid-June, the 18 containers – 40-footers as well as flat racks – reached Gdansk safe and in time.

“We are happy that the customer chose us for the project.”

Artur Wojtczak, Business Development Manager M&M air sea cargo S.A.

Thanks to the new road department in Warsaw, Militzer & Münch also delivered 15 additional full truck loads with machinery and parts within two days from Slovakia and Italy to the building site at Iława.

Successful cooperation

“We are happy that the customer chose us for the project”, says Artur Wojtczak, Business Development Manager M&M air sea cargo S.A., Warsaw. “I’m sure our experience, the short transit times and the high safety and security standards we guarantee have played a role there, too.” Militzer & Münch Poland already handled several projects for the manufacturer in recent years.  With the heavy lift transport from Rio do Sul to Iława, Militzer & Münch Poland successfully continues its cooperation with the Brazilian company.

The pearl of the Baltic Sea

Owing to its situation on the Baltic Sea, the Hanseatic City of Gdansk is a popular logistics location. Gdansk has been known as a place of trade since the Hanseatic era. The main industries: ship building, the petrochemical and chemical industries as well as high-tech. The Port of Gdansk is Poland’s major port and still an essential transshipment hub for the entire country, with about 3.6 million tons of goods transshipped in June 2017 alone.

Three flatbed trucks to Fergana

For a supplier from the automotive sector, Militzer & Münch transported a production line from Spain to Uzbekistan: thereby the costumer can curve and temper glass for automotive sidelights and taillights. The teams of Militzer & Münch in Nurnberg, Germany and Tashkent, Uzbekistan, cooperated on the project.

The partner of Militzer & Münch in Spain, Altius S.A., commissioned the shipment to Militzer & Münch Uzbekistan. In March 2017, eight standard trucks and three flatbed trucks started the 7,000 kilometer journey from Northern Spain to the Uzbek part of Fergana Valley.

The trailers boarded the parts of a furnace for curving and tempering automotive sidelights and backlights glasses. The transit time from Aller in the Spanish Asturias to Fergana was about 16 days.

Strict entry requirements project

For security reasons, access to the Fergana valley is strictly regulated for foreign trucks. “As finding an Uzbek carrier in Spain was difficult, we had to look for another option,” says Nelly Djurabaeva, Traffic Manager, Militzer & Münch Uzbekistan, who headed the project. “Together with Denys Gumenyk, head of the Nurnberg projects team, we worked out a route to Fergana with entry into the valley via Osh in Kyrgyzstan. Foreign trucks could use this route to enter Fergana without reloading. The transport went smoothly.”

Setting a good example project

After the successful handling of the comprehensive transport from Spain to Uzbekistan, the team at Militzer & Münch Belarus also used the route recommended by their colleagues – although from another point of origin. This time, ten trucks transported parts of textile machinery from Northern Italy to Fergana, again via Osh, Kyrgyzstan.

The Fergana Valley

  • Densely populated valley in Central Asia, situated between the Tien Shan and Alay mountain ranges
  • It lies mainly on Uzbek and partly on Tajik and Kyrgyz territory
  • More than 10 million people live in the valley that is about 300 kilometers long and up to 110 kilometers in width

Electricity Vietnam

Smartphones, vacuum cleaners, and electric railways – they all run on electricity. And where there’s electricity, insulators are needed, for example to fasten transmissionlines to the transmission tower. Militzer & Münch Ukraine was able to win a producer of polymeric insulators as a customer, and now transports insulator parts from Shanghai to Ukraine, and forwards the finished goods to Vietnam.

The contract was already signed in the beginning of June 2016 for a duration of three years. “New customers with regular transport orders are extremely important to us, as this strengthens our market position”, says Yuliya Bezverkha, Marketing & Sales at Militzer & Münch Ukraine.

European quality at very low prices

Militzer & Münch Ukraine’s customer designs and manufactures polymeric insulators for current  lines, open switching stations and substations as well as AC overhead  lines for railways. The insulators are produced in the Donetsk region according to international safety specifications before they are exported to Vietnam.

“The most important advantage of products produced in Ukraine is European quality at Chinese prices.”

Yuliya Bezverkha
Marketing & Sales, Militzer & Münch Ukraine

For the manufacturing process, the company relies on equipment from Germany, Switzerland, and from other leading foreign suppliers. The machinery allows fully automating the basic manufacturing processes. “The most important advantage of products produced in Ukraine is European quality at Chinese prices”, says Yuliya Bezverkha. The finished products are then exported. The insulators that go to Vietnam are roughly 1.5 meters in length and weigh four kilograms each.

Import and export from one source

Militzer & Münch Ukraine handles the import as well as the export for their customer. “We import parts from Shanghai to Ukraine, mainly via sea freight in 20 foot containers, sometimes also via air,” says Yuliya Bezverkha. “The goods we transport are fastening elements that connect the insulators to the current line and the transmission tower.”

After they have arrived in Ukraine, the goods are trucked from the Port of Odessa or Kiev Airport to the production factory in the Donetsk region. Here, the polymeric insulators are produced and packed in wooden boxes for on-forwarding. The finished insulators are transported to Ho Chi Minh City, mostly by air.

During one year, the M&M Ukraine team shipped more than 15 tons in airfreight and 51 in sea freight in imports from Shanghai, and more than 24 tons by air and 50 tons by sea in exports to Vietnam. “We appreciate the trust the costumer puts in us”, says Yuliya Bezverkha.

What are insulators?

Insulators must offer high mechanical stability, but very low electric conductivity. In order to combine these two components, insulators are made from solid insulating materials such as aluminum oxide ceramics, porcelain, glass, glass-fiber reinforced plastics or epoxy resins.

Insulators are used to fasten or guide bare electrical conductors. The current flow through the fastening element is inhibited to the largest part. Insulators used in the open, for instance on transmission towers, big antennas or substations, moreover have to be durable in view of ultraviolet radiation and weather variations.

Hydropower for Central Asia

Sustainable energy supply: About 100 kilometers north of Dushanbe, the capital of Tajikistan, a dam is being built on the river Vakhsh. The Militzer & Münch Group handles the door-to-door transport of the components for two gas-insulated switchgears for the hydropower station, which is part of the dam.

Once finished, the Rogun dam will be the world’s tallest river dam, measuring 335 meters in height. The Rogun hydroelectric station is to supply several regions of Central Asia with electricity. Six 600-megawatt turbines will produce about 13.3 billion kilowatt hours of electricity per year. In the switchgears, the electric energy is distributed or transformed, which prevents overload and shorts.

Secured cargo

In the course of this year, Militzer & Münch transports numerous parts for two switchgears by truck to the Rogun dam construction site. The project is handled by the Militzer & Münch team in Nuremberg. Components for the switchgear systems come from Germany, Turkey and Poland.

The total weight of the parts amounts to 1,800 tons. On the long transport routes, the 180 to 200 trucks – 30 of them with an over height of 3.4 meters – cross several narrow mountain passes. At many passages, there’s the danger of falling rocks or avalanches. Therefore, the packaging of the goods must be heavy-duty and secure for transport, so that the cargo arrives at the destination undamaged.

Perfect coordination

In order to meet the timelines of the construction schedule, the Militzer & Münch team coordinates 20 to 25 truck transports per week. The customs clearance is done by the consignee.

Electricity from water power

  • In 1867, the Frenchman Benoît Fourneyron developed the first practicable water turbine.
  • In 1866, Werner von Siemens invented the electro-dynamic generator that was able to convert movement into electric energy.
  • The first hydropower plant to generate electricity was built in England in 1880.
  • In 1895, the world’s first large hydropower station was taken into operation at the Niagara Falls.
  • In Europe, the first water-powered stations were built in Rheinfelden on the Rhine in 1898.

Big delivery to Kazakhstan

Loaded with everything a hotel has to provide, 30 containers are crossing entire continents. The Militzer & Münch branch office at Eichenzell serves as the control tower for the scheduling, coordinating, handling and monitoring of the goods flow. The project is to be finished in April.

The project involves four continents: Europe, Asia, Australia and the United States. The transports from the different countries to Kazakhstan, the place of destination, can take between 22 and 70 days – depending on where the transport starts. In a first step, the majority of the products go to Eichenzell, via airfreight, via sea or road. Once they arrive, the goods are trucked to Duisburg, where they are loaded onto trains and shipped to Astana in Kazakhstan. The train ride takes 20 days.

It’s all about cooperation

In cooperation with sister company InterRail, the Eichenzell Militzer & Münch team dispatches some 30 containers. The forty-footers are carrying a cargo of totally diverse goods: From furniture and electric appliances, toiletries and fitness equipment to kids’ toys and many more. The Militzer & Münch locations in Frankfurt, Hamburg and Berlin are involved in the entire process as well. Regarding the truck transports, Militzer & Münch Eichenzell cooperates with CargoLine and other partners.

Militzer & Münch draws up the documents for the customer: From packing lists to commercial invoices and export declarations. They also check the import licenses and any necessary certificates. This is essential, as the suppliers are sending their goods to Europe; while the goods then are headed for Kazakhstan. With the original documents, the goods cannot be cleared in Astana; so the paperwork had to be translated into Russian.

 

Astana, the second largest city in Kazakhstan

  • Astana was proclaimed capital of the country in 1997.
  • The city has 814.401 inhabitants (data from 2014).
  • The majority of the big buildings were built since 1998.
  • Over the past 20 years, a new government quarter, shopping malls and business centers, apartment buildings and museums were erected. By December 2013, about 32 billion US dollars had been invested in the capital’s development.
  • An additional boost for urban development is owed to Expo 2017, the World’s Fair that is held in Astana. The Kazakh capital invests in the development of traffic infrastructure and other projects to cope with the large number of visitors  coming to the fair and  a further increase in population.
  • Owing to its situation in the middle of the country, Astana holds a special position as a traffic hub.

Structural elements from three continents

All in all, the Militzer & Münch Group transports almost 190 containers laden with parts for a paper machine to Russia. The German and the Chinese Militzer & Münch organizations are involved in the multimodal transports. The challenging project will be finalized in this summer. 

The Republic of Karelia lies in the Northwest of the Russian Federation. In Segezha, a town of 30,000, a paper mill is being modernized and equipped with anew paper machine. Paper and cardboard are, alongside wood and metals, the main exports of the region. The majority of the parts for the machine come from the Voith Group. Voith St. Petersburg assembles the paper machine in cooperation with the end customer. For the transportation of the machine parts, Voith commissioned, among others, Militzer & Münch.

Complete imports from China and Brazil

Once assembled, the paper machine measures 130 meters in length and 10.5 meters in width. It consists of numerous parts. Militzer & Münch is responsible for the entire imports from China and Brazil to Germany and for the container exports via sea from Germany to Russia. In September 2016 Militzer & Münch began dispatching the first ocean transports of components from Brazil and China to Germany using leasing containers.

First sea shipments from Hamburg to St. Petersburg are planned for April. The goods are then on-forwarded from St. Petersburg to Segezha via road.

 

“The good cooperation and intensive communication between the Militzer & Münch teams in China and Germany have allowed the project to proceed smoothly.”

Thomas Czojor
Manager Militzer & Münch Air & Sea branch Hamburg

 

Different containers used

A planning phase of several weeks preceded the project. “Together with our suppliers, we have to individually adapt the transport mode for each single delivery”, says Thomas Czojor, Manager of the Militzer & Münch Air & Sea branch Hamburg. “For example, many calender rolls for the machine come from China. We transported them to Hamburg with open top containers.”  Apart from open top containers, Militzer & Münch also uses high cube and flat rack containers for this order (cf. box), plus one out-of-gauge box.

The oversize box, measuring 3.45 meters in length, 3.33 meters in width, 4.20 meters in height and weighing 19 tons, had a very long journey. “Due to its height, this break bulk load was a special challenge”, says Thomas Czojor. “We delivered it from Shanghai via Antwerp in a special transport to the customer’s plant in Heidenheim, Germany.” The component for the paper machine will now be transported to Russia on a truck.

 

Customs know-how is a must

Apart from the transport per se, Militzer & Münch is also responsible for part of the customs clearance. “We did the export clearance in Brazil and China, the import clearance in Germany and the export clearance for Russia”, says Thomas Czojor. The import customs clearance in Russia is done by the end customer’s customs broker.

So far, the entire project has been handled to the fullest satisfaction of the customer. “The good cooperation and intensive communication between the Militzer & Münch teams in China and Germany have allowed the project to proceed smoothly”, says Thomas Czojor. The customer has already placed new enquiries with Militzer & Münch; they are being worked on.

 

Karelia

Karelia is located in Europe’s Northeast, between the Baltic Sea and the White Sea. The entire region covers an area of about 200,000 square kilometers. 85 percent of the area is Russian territory: that’s the Republic of Karelia with a population of 700,000. About 30,000 square kilometers belong to Finland; the Finnish part counts 400,000 inhabitants.

 

The Russian part of Karelia is governed as an autonomous republic within the Russian Federation with regional legislation and its own constitution. Among the main export goods are treated and untreated wood, but also paper and cardboard. The major trade partners are Finland, Germany, the USA and Great Britain.

 

The paper machine

As far back as 2,000 years ago, the Chinese knew a method to produce paper. In Europe, paper wasn’t produced until a thousand years later. Before the industrial revolution, it had to be made by hand.  At that time, paper was a precious and expensive raw material.

In 1789, Frenchman Nicholas-Louis Robert invented a machine that produced continuous paper instead of one sheet at a time – a cost-efficient and fast method of papermaking. With this invention, the product became accessible to the public at large.

Some years later, British paper merchants Henry and Sealy Fourdrinier added yet another essential improvement to Robert’s invention with the help of engineer Bryan Donkin. They developed a machine where all the processes follow one after the other without an attendant having to interfere.

The basic principle of the paper making machine has not at all changed since: Cellulose fibers from plants are diluted in water to pulp. A sieve separates the fibers and water; the crude paper or web is formed. The remaining humidity is extracted from the paper sheet via pressure and heat. In the final calendering process, the paper is smoothed.

Today, paper machines produce about 1,800 meters of paper per minute. The quantity produced by a modern paper machine in one hour surpasses the annual quantity a machine was able to manufacture in the 19th century.

 

What containers were used by Militzer & Münch in this project?

 

For lightweight and voluminous goods, high cube containers are the preferred choice. They are about 30 centimeters higher than standard 40-foot containers, allowing for higher piles of palettes. A 40-foot box measures 12.03 meters in length, 2.35 in width and 2.68 in height.

 

Open top containers are mostly used for higher shipments. They can be loaded from the top by crane, if loading through container doors is impossible. Open top containers can be closed with a removable tarpaulin. The 40-foot containers measure 12.03 meters by 2.35 by 2.38.

 

For out-of-gauge or voluminous cargo, a flat rack container is used. Boxes that are larger than a closed container can be loaded onto such containers. The cargo is safely secured with posts and lashing straps according to legal requirements. A 40-foot container measures 12.05 meters by 2.44 by 2.26.