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Cultivating success in agribusiness with tailored logistics

In the ever-evolving landscape of the agricultural sector, agribusinesses frequently grapple with logistics challenges that can hinder operational efficiency and profitability. From unpredictable shipping rates and fluctuating exchange rates to complex import regulations, the challenges mount up. A lack of transparency in logistics processes often leaves clients anxious about the status of their shipments, creating unnecessary pressure and frustrations.

“The right logistics partner is a crucial cog in the success of any agribusiness,” says Detlev Duve, Managing Director of DACHSER South Africa. "As businesses face mounting pressure to optimise costs and ensure compliance, it's essential to partner with a provider that understands the particular complexities of the industry and is well equipped to provide tailored solutions."

According to Duve, essential factors for navigating agricultural logistics successfully include robust project planning and risk management, a strong network, personalised service with teams in the field, detailed tracking and customs expertise. "Potential customers should carefully evaluate how their logistics partners address their pain points. A lack of proactive measures can lead to significant operational disruptions and financial loss."

Strategic solutions for agribusiness

Agribusiness often requires large equipment and machinery to be imported or transported, in cases an entire plant, requiring specialist expertise. When it comes to moving produce, it is vital to maintain product quality and comply with food safety regulations during transit.

DACHSER provides a full suite of supply chain logistics solutions to the agricultural industry. The company frequently handles bulk imports of agricultural implements, equipment, and raw materials from countries like China and Turkey, and exports commodities such as teff and lucerne to other African countries and beyond.

For instance, a milling company that exports processed, fortified maize for the World Food Programme relies on DACHSER's expertise. The maize is warehoused, repacked, and wrapped onto pallets in DACHSER’s food-grade warehouses. “We use our own warehouses in Durban, Cape Town, and Johannesburg, ensuring control and compliance with food safety standards,” says Duve.

Cost-effective and client-focused
​DACHSER South Africa's targeted approach to logistics encompasses a range of services, including consolidation, i.e. LCL (Less-than-Container-Load) services via a sea freight gateway in South Africa, and FCL (Full-Container-Load) services. Break bulk seafreight is offered for large plants as needed. Duve explains, “We pride ourselves on building solutions according to customer needs, and finding the most efficient ways of operating. Congestion is a problem at ports, so we try to consolidate shipments and ensure that we have warehousing at strategic points, securing supply chains end to end for customers." ​
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​Unlike standard annual rate increases, DACHSER frequently reviews terms and agreements to ensure clients get the best possible pricing. “Matters evolve rapidly in logistics and regular reviews are critical."

Shipping rates have become increasingly volatile, a challenge DACHSER tackles head-on. “Escalating costs and exchange rate fluctuations have exploded the rates per container,” says Duve. “We focus on strong negotiation and direct dealing with suppliers to keep costs to a minimum.”

Project planning and control

Effective project planning is another core strength of DACHSER. From importing entire plants to handling complex equipment projects, DACHSER’s international network ensures optimal control and seamless movement of cargo. “Having so many offices internationally strengthens our network, allowing us to provide the best quotes and a seamless experience for our clients,” says Duve.

Customer service and transparency

As a global business, DACHSER has an extensive network and is well-equipped to handle complex shipments across borders - while at the same time cultivating personal connections through our local team. "Our team of experts understands the intricacies of agricultural supply chains and leverages this knowledge to deliver tailored solutions that meet our clients' needs."

Personalised service is at the heart of DACHSER’s operations. Clients are assured of a single point of contact and have access to senior management, including Managing Director Detlev Duve. Frequent updates on shipments, live tracking, and proactive communication differentiates DACHSER from other logistics providers.

“Not knowing what is happening is a major pain point for clients,” says Duve. “Our sophisticated technology and client information systems enable frequent live updates, making a significant difference in client satisfaction. It brings clients closer to where their products are in the world.”

Based in Bloemfontein, South Africa, DACHSER's decentralized sales executives often visit farms, discussing projects directly with customers. "This personal touch significantly enhances the long-term relationships we cultivate, as we deeply understand that in the agricultural industry, connection and trust are vital."

Safeguarding the supply chain: A guide to transporting dangerous goods

In the intricate world of logistics, the transport of dangerous goods poses unique challenges that require specialised expertise and robust safety measures. These goods, encompassing a variety of materials such as chemicals, batteries, and fertilisers, demand meticulous handling to prevent risks to people, property, and the environment. Dachser South Africa has extensive experience in handling hazardous materials, including batteries and fertilisers, with a steadfast commitment to safety and regulatory compliance.

Managing Director of DACHSER South Africa, Detlev Duve, emphasises the importance of meticulous safety measures and adherence to international standards. "At Dachser, our priority is to ensure that all dangerous goods are transported safely and efficiently without compromising on quality or safety," says Duve. "Our teams are trained to manage the complexities of these shipments, adhering to the strictest compliance protocols."

Transporting dangerous goods involves navigating a complex landscape of regulations, safety concerns, and logistical hurdles. Duve outlines key considerations:

Regulatory compliance: Logistics companies must adhere to stringent international, national, and local regulations. This includes compliance with frameworks like the International Maritime Dangerous Goods (IMDG) Code and the IATA Dangerous Goods Regulations. Failure to comply can result in severe penalties and safety incidents.

Proper handling and packaging: Dangerous goods require specialised packaging that prevents leaks, spills, and other hazards. Handling these materials demands trained personnel equipped with the knowledge to manage risks effectively.

Complex supply chains: The logistics of dangerous goods often involve multi-modal transport, utilising road, air, and sea freight. Coordinating these modes while maintaining safety standards adds another layer of complexity.

Specialised training: Regular training programs ensure that employees are well-versed in handling hazardous materials and responding to emergencies.

Advanced technology: The use of real-time tracking systems allows for continuous monitoring of dangerous goods, enhancing both security and efficiency.

Emergency preparedness: Comprehensive emergency response plans and partnerships with local authorities are crucial for swift action in case of an incident.

DACHSER South Africa's operations are aligned with key frameworks such as the International Maritime Dangerous Goods (IMDG) Code and the IATA Dangerous Goods Regulations, ensuring rigorous compliance across all levels. Duve highlights the company's strategic approach to managing hazardous materials: "Our specialised teams are equipped with the knowledge and tools necessary to handle dangerous goods at every stage of transport. From proper labelling and packaging to leveraging advanced technology for real-time tracking, we leave no stone unturned in our pursuit of operational excellence."

The company has invested in state-of-the-art infrastructure and equipment as part of its commitment to safety. Warehousing facilities and vehicles are designed to accommodate the specific needs of hazardous materials, ensuring they are stored and transported in optimal conditions.

"Goods such as fertilizers and batteries require specialised knowledge and infrastructure to ensure their safe and efficient transport," says Duve. "For fertilisers, we must adeptly manage multi-modal transport systems, often combining road, rail, and sea routes to reach remote agricultural areas. This requires meticulous planning and coordination to ensure timely and efficient delivery. Regulatory compliance is another critical consideration, as the movement of fertilisers is subject to stringent safety and environmental standards across different countries."

Shipping lithium batteries involves strict regulations to ensure their safe transport and minimise fire or explosion risks. These rules define packaging type, labelling, documentation, and handling requirements. As Detlev Duve highlights, "Proper packaging is crucial for safety, requiring lithium batteries to be packed in strong, rigid outer packaging to resist damage. Packages must also feature specific labels to identify the battery type and associated risks. "Safety relies on clear communication and proper handling."

In addition to robust internal protocols, DACHSER South Africa maintains comprehensive emergency response plans and collaborates closely with local authorities to ensure rapid action in case of an incident.

As logistics continue to evolve, companies like DACHSER are paving the way for safer and more efficient transport of hazardous materials. "Our focus remains on setting benchmarks for safety and efficiency. We are proud to contribute to global supply chains, ensuring that even the most challenging shipments reach their destination safely," Duve says.

Best practices guide for transporting dangerous goods
Detlev Duve, Managing Director of Dachser South Africa

The transport of dangerous goods is a critical component of global logistics, demanding precision, expertise, and unwavering adherence to safety protocols. Transporting goods such as chemicals, fertiliser and batteries requires meticulous planning and execution to ensure safety and compliance. This guide outlines essential best practices that logistics companies should adopt to manage hazardous materials effectively.

1. Regulatory compliance

Adherence to regulations: Ensure compliance with international, national, and local regulations such as the International Maritime Dangerous Goods (IMDG) Code, ADR for road transport, and IATA Dangerous Goods Regulations for air transport.

Licensing and permits: Obtain necessary permits and licences for handling and transporting dangerous goods across different regions.

2. Proper labelling and documentation

Accurate labelling: Use standardised labels and placards that clearly identify the type of hazardous material being transported. This includes UN numbers and hazard class symbols.

Comprehensive documentation: Prepare detailed shipping documents, including Material Safety Data Sheets (MSDS), transport manifests, and emergency contact information.

3. Employee training

Specialised training programmes: Implement regular training for employees involved in the handling and transportation of dangerous goods. Training should cover identification, handling procedures, and emergency response.

Certification: Ensure that personnel are certified to handle specific classes of dangerous goods, as required by regulations.

4. Use of appropriate packaging

Certified containers: Utilise packaging materials and containers that meet or exceed the standards set by regulatory bodies for the specific type of hazardous material.

Integrity checks: Conduct regular checks on containers to ensure they are free of leaks, damage, or deterioration.

5. Emergency response planning

Comprehensive plans: Develop and maintain updated emergency response plans that outline procedures for dealing with spills, leaks, or accidents involving dangerous goods.

Partnerships with emergency services: Collaborate with local emergency services and have clear communication channels for rapid response in case of an incident.

6. Regular audits and inspections

Internal audits: Conduct periodic internal audits to assess compliance with safety protocols and identify areas for improvement.

Third-party inspections: Engage independent experts to perform inspections and provide insights into best practices and emerging risks.

7. Adhering to international standards

Global best practices: Align company operations with international standards such as ISO 9001 for quality management and ISO 45001 for occupational health and safety.

Continuous improvement: Stay informed about updates to international standards and integrate changes promptly into company practices.

8. Leveraging technology

Real-time tracking: Implement GPS tracking systems to monitor the location and condition of dangerous goods throughout the supply chain.

Automated systems: Use automated systems for inventory management and compliance checks to minimise human error.

Implementing these best practices ensures that logistics companies can safely and efficiently transport dangerous goods while minimising risks to people, property, and the environment. By focusing on regulation, training, technology, and proactive planning, companies can enhance their operational standards and maintain a robust safety culture.

(ENDS)

About DACHSER:

Dachser, a family-owned company headquartered in Kempten, Germany, provides transport logistics, warehousing, and customized services in two business fields: Dachser Air & Sea Logistics and Dachser Road Logistics. The latter consists of two business lines: Dachser European Logistics and Dachser Food Logistics. Comprehensive contract logistics services and industry-specific solutions round out the company’s range. A seamless shipping network—both in Europe and overseas—and fully integrated IT systems ensure intelligent logistics solutions worldwide. Thanks to some 37,300 employees at 433 locations all over the globe, Dachser generated consolidated net revenue of approximately EUR 8 billion in 2024. The same year, the logistics provider handled a total of 83.2 million shipments with a tonnage of 44.1 million metric tons. Country organizations represent Dachser in 43 countries. For more information about Dachser, please visit dachser.com

Golden Week 2023 in China

During September 29 and October 06, most business and factories in China will be closed. The week-long holiday in one of the world’s most important economies poses an impact to the international supply chain. Start to prepare now to minimize the possible disruptions.

What is Golden Week?

Golden Week is a 7-day or 8-day national holiday in China. Every year the Chinese celebrate the establishment of the People’s Republic of China on October 01. This year, Mid-Autumn Festival falls on September 29 and will combine with National Day Golden Week for a long, 8-day holiday from September 29 to October 06. Traditionally, Chinese people used to take the opportunity to travel for leisure and visit their families in other parts of China.
DACHSER in China, like many other businesses, will be closed during the Golden Week and resume normal operations on October 7.

What will happen during Golden Week?

Most businesses and factories will be closed during the week-long holiday, meaning that production will be at halt. Airports and seaports will keep operating but with reduced manpower due to low production volume from factories. Normally government institutions such as customs offices will be closed from October 01 – 03.
Since China, one of the world’s biggest economies and production countries, will come to a standstill for a whole week and factories may not run at full capacity as soon as the official holiday ends, the plunge of production volume would have an impact to the worldwide supply chain.

How to minimize the impact of Golden Week?

While we try our best to minimize any possible interruptions to your supply chain, you can also help us by considering the following:

Communicate with your suppliers and customers to make arrangements for sufficient stock and manage expectations

Discuss your planning with us and prepare an accurate shipment forecast for long-term planning, so we can offer you the most suitable solution that fits your budget and schedule

Place your booking earlier and pay attention to the cut-off dates.

For sea freight, it is recommended to book 4-6 weeks before the start of holiday

For air freight, it is recommended to book 1-2 weeks before the start of holiday

If you have any questions, please get in touch with your usual local DACHSER contact who will be happy to assist and plan the next steps with you together.