Relaxation in Europe: Update of the current loading restrictions

DACHSER's transport network is prepared for dynamic changes

DACHSER says thank you - over the past few weeks, our customers have informed us in good time about their current transport requirements and included us in their planning. This has enabled us to quickly adjust our capacities to the actual demand. Due to the sharp decline in transport volumes in recent weeks, we have temporarily reduced transport capacities and installed special schedules.

The many measures taken to reduce new infections with the coronavirus have had a positive effect in many European countries in recent days. Initial easing measures, for example a partial reopening of retail outlets, are making everyday life easier for people. Since many industrial companies are also resuming production - albeit mostly at lower output levels - we expect transport volumes to remain volatile, but to increase again in principle.

With the active support of our customers, we are very well prepared for the coming period and will also be able to handle rising transport volumes again with the well-known DACHSER quality. It will continue to be very valuable for us in the future, too, that our customers continue to provide us with all the planning information that will enable us to adjust transport capacities and planning in line with demand.

We would like to thank you for your active cooperation during this very challenging period and look forward to continuing our successful collaboration, in which you can continue to rely on DACHSER.

For a sustainable society: More and more NGOs are taking action around the world

In the course of globalization, internationally networked non-governmental organizations or NGOs are playing an increasingly important role. DACHSER’s partnership with children’s aid organization terre des hommes demonstrates how a company can support an NGO over the long term.

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.

Navigating the future of logistics in sub-Saharan Africa: opportunities and challenges

The potential for logistics in Sub-Saharan Africa is immense. With a population exceeding one billion and a rapidly growing middle class, consumer demand for goods and services is on the rise. According to the African Development Bank, the continent’s GDP is expected to grow by 3.4% in 2024, driven by increased consumer spending and improved business climates in key economies.

Initiatives like the African Continental Free Trade Area (AfCFTA) aim to boost intra-African trade by reducing tariffs and streamlining customs procedures. This agreement, covering 54 African countries, is creating a single market of 1.2 billion people with a combined GDP of over $3 trillion, offering unprecedented opportunities for growth. Investors are increasingly exploring opportunities in Africa across sectors such as energy, mining, construction, and logistics.

As the global transition to renewable energy accelerates, Africa further has the potential to become a key hub for both renewable energy and critical minerals. The continent is rich in critical minerals vital for manufacturing renewable energy sources and possesses untapped natural gas fields. Effective integration of strategic logistics solutions is essential to fully unlock this economic potential.

The opportunities and challenges that lie ahead for logistics in Africa present a unique landscape for growth and innovation. However, to harness this potential, we must address the inherent challenges with foresight and strategic planning.

Opportunities abound

The logistics sector in Africa is poised for significant advances due to several key factors.
Firstly, the continent's infrastructure development is gaining momentum, with numerous investments targeting roads, railways, and ports to enhance connectivity. Improved transport networks will facilitate smoother distribution channels, allowing businesses to thrive.

The rise of e-commerce in Africa is transforming the way goods are traded, creating a burgeoning demand for efficient logistics services. As more consumers turn to online shopping, companies must adapt their logistics strategies to support rapid delivery models.

The adoption of technology in logistics—ranging from advanced tracking systems to automation—offers the potential for increased efficiency and reduced costs.

Lastly, as African countries continue to embrace renewable energy solutions, there's an opportunity for sustainable logistics practices to emerge, aligning with global efforts to combat climate change.

Collectively, these opportunities signal a transformative era for the logistics landscape in Africa.

Challenges to overcome

Despite these opportunities, the logistics sector in Sub-Saharan Africa faces significant hurdles.
One of the primary challenges foreign investors face in Africa is the underdeveloped infrastructure for logistics. The World Bank reports that less than 30% of the continent’s roads are paved, which exacerbates the costs and complexities of moving goods. This shortfall hinders the economically viable import and export of essential strategic goods and minerals needed to establish new markets and infrastructure.

While large international corporations have recently made substantial investments across the continent, it is crucial for African nations to focus on upgrading and repairing existing supply chain assets, such as roads, railways, ports, and warehouses to enhance their capacity to attract further foreign investment.

High logistics costs, exacerbated by inefficient port processes and a lack of digital solutions, remain a primary concern. Moreover, regulatory hurdles continue to impede the seamless flow of goods across the region. Inconsistent customs regulations and lengthy clearance times can lead to delays and increased costs, impacting the overall efficiency of supply chains.

Inefficient port processes are critical nodes in the logistics network, and many African ports suffer from inefficiencies that lead to delays and increased costs. Modernising port infrastructure, implementing advanced management systems such as automated container handling, and real-time tracking could significantly enhance port efficiency. Additionally, while the potential of digital technologies is vast, their current adoption in Sub-Saharan Africa is slow, necessitating investments in technology and digital literacy to overcome these challenges.

A strategic approach

At DACHSER South Africa, we understand these challenges and are committed to providing intelligent logistics solutions that cater to the unique needs of the Sub-Saharan market. Our approach leverages technology and a deep understanding of the local market. We offer customised services such as air and ocean freight, contract logistics, and warehousing solutions tailored to specific industry needs. For instance, our expertise in automotive and healthcare logistics allows us to support these critical sectors with precision and reliability.

Information security is a cornerstone of our operations. We have obtained TISAX® Level 2 certification, ensuring that our logistics processes meet the highest standards of data protection. This commitment to security helps safeguard our clients' supply chains and builds trust in our capabilities. Sustainability is also a key focus for DACHSER. We are actively working to reduce our carbon footprint through investments in energy-efficient technologies and more sustainable transport solutions. Since 2022, Dachser has been purchasing 100% green energy on a global level.  By promoting eco-friendly practices, we aim to lead the charge towards a more sustainable logistics future in Africa.

The future of logistics in Sub-Saharan Africa is bright, but realising its full potential requires a concerted effort to overcome existing challenges. By harnessing the region's opportunities and addressing its hurdles with innovative solutions, we're confident in our ability to drive growth and efficiency in this dynamic market as we work with our clients to navigate the complexities of the logistics landscape and unlock new avenues for success in Africa. The AfCFTA and regional cooperation will be vital in this transformation, connecting African markets and enhancing global competitiveness. Now is the time for businesses to invest in Sub-Saharan Africa; the potential for growth and development is immense, and with the right strategies in place, the region can become a global logistics powerhouse.