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Release ID: 4863

DHL launches new direct LCL services from South Asia Pacific to Slovenia

Direct services shorten transit time between Singapore and Sri Lanka with Slovenia

Singapore, 16 August 2010: DHL, the world’s leading logistics company, today announced the launch of a direct Less than Container Load[1] (LCL) services from Singapore and Colombo, Sri Lanka, to Koper, Slovenia, enhancing its connectivity between the South Asia Pacific and Eastern Europe.

The entire Port of Koper region is a Free Trade Zone and is known to be an environmentally conscious port and its operations are certified by the highest quality standards: ISO 9001, ISO 14001 and OHSAS 18001. Slovenia’s economy is highly dependent on international trade – according to provisional data for the first five months of 2010, Slovenia's exports amounted to €7,187.4 million, while imports amounted to €7,670.3 million, an increase of 10.5% and 11% to the same period in 2009 respectively[2].

Amadou Diallo, Chief Executive Officer, DHL Global Forwarding, Africa and South Asia Pacific, said: “As the commercial port in Slovenia, Koper serves as the shortest transport route linking commercial centres in Central and Eastern Europe with the Mediterranean and South Asian countries. With its location, Koper is an ideal logistic and distribution centre to South Asia Pacific. As businesses pick up steam amidst the global economic recovery this year, DHL’s new LCL services to Koper will provide our customers with greater cost efficiencies and shorter transit times in the South Asia Pacific-Slovenia route.”

Among Sri Lanka’s top exports to Slovenia last year were apparel and clothing accessories, fruits and nuts, games, rubber, sports equipment, toys and vegetable textile fibers (paper yarn and woven fabrics of paper yarn). Top imports included boilers, electrical machinery and equipment and mechanical appliances. The value of Sri Lanka’s imports and exports to Slovenia during the first eleven months of 2009 amounted to over Rs.700 million and Rs.130 million respectively; while the overall imports and exports in the preceding year totaled Rs.521 million and Rs.153 million respectively[3].

Singapore and Slovenia is expected to see an increase in bilateral trade and investment with the signing an agreement for the avoidance of double taxation (DTA) on 8 January 2010. Amongst other provisions, the DTA will facilitate exchange of information for tax purposes upon request, provides for lower withholding taxes for dividends, interest and royalties, and sets out permanent establishment rules.

Sam Ang, Chief Executive Officer, DHL Global Forwarding, South East Asia, said: “Singapore is an excellent addition to DHL’s strong network of national gateways given its strategic geographical location and stature as the world’s busiest port[4]. Our move also comes in tandem with the announcement[5] by Singapore’s Economic Strategies Committee to anchor Singapore as a global-Asia hub through deepening existing capabilities in sectors such as logistics services.”

Operated by Danmar Lines, DHL Global Forwarding’s in-house carrier, the new service from Singapore will facilitate trading activities between South East Asia and Eastern Europe, and small and medium enterprises, in particular, will benefit from the shorter transit times. Customers in Singapore can expect their shipments to arrive in Koper in 19 days, saving up to 7 days in transit time as cargo is shipped directly from Singapore to Koper. From Koper, the shipments are distributed to the neighboring countries via DHL’s trucking network.

Major markets covered by DHL’s Singapore – Koper LCL service are:

South East Asia

- Bangkok
- Haiphong
- Ho Chi Minh
- Jakarta
- Penang
- Phnom Penh
- Port Kelang
- Surabaya

Eastern Europe

- Belgrade
- Bratislava
- Bucharest
- Budapest
- Ljubljana
- Sarajevo
- Skopje
- Sofia
- Vienna
- Zagreb

In addition to the direct LCL services from Colombo and Singapore, DHL is also launching the service between Hong Kong and Koper. The launch of the three new direct services further enhances DHL’s seamless flow of ocean freight cargo between Asia and Eastern Europe. Today, DHL offers 17 direct LCL services that ply between Asia and Central and Eastern Europe.

Mr. Clas Thorell, Head of LCL Management Asia Pacific, DHL Global Forwarding, said, “The launch of the direct LCL services from Colombo, Hong Kong and Singapore to Eastern Europe demonstrates DHL’s ambitious march ahead to expand its global LCL network, as part of our constant bid to deliver greater customer service. As our extensive LCL network continues to grow from strength to strength, we will further strengthen our position as the global LCL industry leader.”

DHL currently operates the world’s largest LCL network with close to 2,000,000 cubic meters of LCL freight handled annually via 45,000 point pairs within the DHL in-house system.

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