Print
PDF
Damco, the global third party logistics provider, has expanded its Hub-in-Transit programme by establishing a new hub in the United Arab Emirates as well as similar facilities in Malaysia and Morocco.
The concept enables companies to postpone decisions on final delivery date and final destination, by using container transshipment hubs as decoupling points in the supply chain.
Anthony Elwine, Damco’s global head of chemical and industrial, explains: “Damco customers have used our Hub-in-Transit solution successfully to improve service to their customers while decreasing costs and we have now developed three additional hub locations to help them serve even more markets. Chemical sector clients have been early users of the programme, but the service is also suitable for other products, such as steels and textiles or fast moving consumer goods.”
The service is said to be especially of interest to companies with limited on-site storage capacity, which may be forced to ship their products based on assumptions about the best place and time of delivery. Hub-in-Transit enables them to make full use of carrier free-time by using strategically located transhipment hubs as virtual warehouses for goods. By doing so, Damco claims they will be able to lower their costs whilst increasing logistics flexibility.
