Transporting Greater China
30 January 2013
Joerg Bull, Managing Director, Kuehne + Nagel Hong Kong, Macau & South China
Swiss logistics company Kuehne + Nagel opened its second warehouse in Hong Kong last June. The 75,000-square-foot facility brings the warehousing space under its management in the city to 350,000 square feet. Hong Kong serves as the firm’s head office for its operations in Macau and South China.
“The trend to outsourcing non-core activities to capable logistics providers such as Kuehne + Nagel is increasing: companies from trade and business recognise that it is important to focus on core competences in order to maintain competitiveness,” said Joerg Bull, Managing Director, Kuehne + Nagel Hong Kong, Macau & South China.
Established in Hong Kong in 1965, Kuehne + Nagel is part of a group-wide network of 1,000 locations in more than 100 countries. With about 650 staff at five locations across the city, it’s among the leading logistics providers in Hong Kong.
The company offers a comprehensive range of services, including sea freight, airfreight, contract logistics and integrated logistics solutions. It also serves several business sectors, including automotive, high-tech, industrial goods, pharmaceutical and healthcare, as well as fast-moving consumer goods and retail.
To meet the requirements of special sectors, the company has broadened its range, offering hotel, beverages, marine and reefer logistics, for goods needing refrigerated vehicles.
Meeting Market Demand
Kuehne + Nagel’s Hong
Mr Bull said there’s growing demand for quality warehousing and distribution in the Greater China region.
“In a world characterised by the division of labour, ongoing globalisation, new production strategies and shorter product life cycles, customers expect the best possible management of flows of goods and information from a single source,” Mr Bull said.
Committed to Hong Kong
Kuehne + Nagel’s second logistics facility is located at the Hutchison Logistics Centre, adjacent to the company’s warehouse at Asia Terminals Ltd and its container freight stations in Kwai Chung. “These facilities are strategically connected with our container freight station operations for sea and air freight, offering customers streamlined integrated logistics activities and enhanced flexibility under one roof,” Mr Bull said.
“Asia has become the driving force of global economies, and Hong Kong is one of the main logistics hubs in the Asia-Pacific region. Due to its strategic location, the city also serves as the major gateway to China.”
Mr Bull said that the growing importance of the Chinese mainland as a consumer market has created a two-way traffic flow to and from the mainland, offering immense opportunities for Hong Kong’s logistics industry.
With five locations in the city, Kuehne + Nagel is a leading logistics operator in Hong Kong
“In addition, Hong Kong is a free trade port with world-class infrastructure facilities and a mature business-operating environment. The port and airport operators are well-known for their high productivity. An experienced and professional workforce is also available,” he added.
As the mainland shifts its emphasis to local business development and consumption to reduce dependency on exports, Kuehne + Nagel is following this market trend. The company began rolling out comprehensive road logistics products in 2011, with the establishment of eight strategic depots in key mainland cities, including a hub in Guangzhou, to meet the strong demand for quality domestic services. These include door-to-door services, direct pick-up and delivery, guaranteed departures, reliable lead times and proof of delivery management.
Mr Bull said that innovation is key to the logistics industry’s success, citing Kuehne + Nagel’s sophisticated IT system. The single track-and-trace system provides nearly real-time visibility across the entire supply chain.
For pharmaceutical and healthcare shipments, Kuehne + Nagel has introduced an active tag for temperature-measuring during flights. “This is a good example where IT creates the difference with new hardware and software that enables companies, especially pharmaceutical companies, to deliver much more securely and decrease inspection time, which leads to faster delivery.”
Kuehne + Nagel
- Logistics & Supply Chain
- Hong Kong
- Western Europe