Dachser Rheine expands capacity

The new DACHSER magazine is here!

Experts estimate that digital connectivity will reach a data volume of 400 trillion gigabytes as early as 2030. Whether or not that happens, one thing’s for sure: data collection and processing are increasingly determining and changing the way we live and work. And one other thing is true: handling data responsibly makes life easier and offers many opportunities. Especially in logistics.

Statement by Dachser CEO Burkhard Eling on the military conflict in Ukraine

Peace and the free movement of goods are fundamental prerequisites for the positive, free development of all societies. In this spirit, Dachser has grown as an international logistics provider over the past decades. We therefore deeply regret the escalation of the military conflict in Ukraine. Among other things, the conflict will also have a substantial impact on supply chains in Eastern Europe. 

Our first priority is the safety of all drivers transporting consignments on behalf of Dachser. We have therefore today imposed an immediate takeover and loading stop for all shipments to Ukraine. This applies to all European transports of our Cargoplus service segment, which specializes in FTL and LTL transports to the CIS countries, among others, as well as to all transports from the European Logistics network that are handled in Ukraine by our partner ACE. Regular traffic from our platform Strykow (Poland) to Kiev will be discontinued. All trucks that are currently still on their way to Ukraine have to be returned in coordination with the customers. We are in close contact with our Ukrainian partner, who has also closed his warehouses.

In air freight, the airspace over Ukraine has been closed in a wide radius. Take-offs and landings are not possible here, so that congestion at the alternative airports is to be feared. 

Our European Logistics and Air & Sea Logistics teams are closely monitoring developments in the situation and are in close contact with our customers. This also applies in particular to restrictions on the movement of goods that may arise in the coming days as a result of the sanctions announced against Russia.

  Dachser's activities in Ukraine and Russia.

Dachser does not have its own locations in Ukraine, but works there with its partner ACE Logistics. The Estonian company is also Dachser's partner for the Baltic states and joint venture partner in Finland. The Cargoplus service segment handles additional full truckload services.

In Russia, Dachser has been represented by its own national company since 2008 and provides services in the Road Logistics and Air & Sea Logistics business segments. Around 160 staff are employed at seven locations. In 2020, Dachser Russia handled around 17,000 consignments and generated revenue of EUR 21.6 million.

Current situation in India and the impact on DACHSER’s operations

Regarding the current situation in India, we would like to give an update about DACHSER’s operations in India. The situation as of today, April 28, 2021, is as follows:

DACHSER branches in India:

Most branch offices across India are being kept closed as a precautionary measure due to the sudden rise of COVID cases. Our teams are working from home, with only skeletal staff at the offices and hence there are likely to be delays in responses due to the ongoing crisis.

As a consequence of the lockdown, there are some operational impacts for air, sea, customs clearance and domestic trucking.

Air Freight: 

Most countries have barred passenger traffic from India leading to no passenger carrying flights operating on International routes from/to India.

• This has created some additional constraint on already stressed space availability situation.
• Rates are bound to inch upwards for all sectors.
• Transit times too have increased as a consequence of capacity crunch.

Sea Freight:

• Sea freight was already facing the challenges due to the Suez Canal blockage end of March.  Ports and terminals are functioning normally, but vessel schedules are impacted by the Suez Canal blockage as well as the sudden rise of COVID cases in India.
• Therefore delays are expected. Customers are advised to factor in delays of 1-2 weeks while planning their inventories.

Expect more delays in communication or operations due to increasing COVID infections among staff at ports, customs, CFS and shipping lines.

Customs:

We do not have any unexpected disruptions in cargo movement in India, nor is any work stoppage expected at present.

• Customs clearance activities are functional at the movement.
• Customs is working with less manpower, no Customs Brokers is allowed to meet the customs officials, all processes is done faceless and things are moving in slow phase.

At DACHSER, we have undertaken significant measures to ensure our employees’ health and safety, at the same time continue to manage our day-to-day operations with minimal impact to our customers’ supply chains. Our teams are working diligently by all possible means in these testing times to assist and to overcome the challenges being faced.

Please rest assured that we will keep you updated of any changes to the current situation. In case of questions, please feel free to contact your local DACHSER representative in the region.