As Hutchison Ports celebrates its 50th anniversary, the company continues to expand its investment into new markets and leverage the advances in technology to boost terminal productivity, operational efficiency and cost savings.

Our cover story looks at how telematics provides a solution for a notorious supply chain ‘black hole’ for data, when shipments are moved by truck.

We also discover what the roadblocks are to the successful implementation of blockchain and how the hybrid sea-air market is performing, providing shippers with the best of ocean and airfreight in one integrated solution.

In a packed issue of OPPORTUNITY, we take a snapshot of how AI and robotics shapes the new world of warehousing.

There are features on Hutchison Ports unveiling of its PARIS API which offers customers a competitive edge while planning their regional transport and the latest updates to the new deep-sea container terminal in Stockholm.

Finally, we look at the ground-breaking partnership which led to the launch of the Hong Kong Seaport Alliance to raise Hong Kong’s competitiveness in the region.

GMD UPFRONT MESSAGE

Hutchison Ports is turning fifty this year - as we celebrate this milestone, it is important that we look to the future as well as the past. Over the last five decades we have built a solid foundation for our Group, thanks to a combination of the hard work and expertise of our people who ventured into the uncharted territories of the port and logistics sector with an entrepreneurial spirit. This has served us well and paved way for the expansion of our business globally.

TELEMATICS MOVES FROM SCIENCE FICTION TO REALITY

As the Internet of Things (IoT) moves from science fiction to reality, the way we live our lives will change forever. In our homes, offices, neighbourhoods and on the road, IoT will provide critical links to enhance connectivity. Trucking is also becoming an inter-connected business, as the use of telematics technology allows data captured while driving to be processed and transmitted over long-distances.

BLOCKCHAIN AT THE CROSSROADS

Blockchain standardisation has the potential to provide significant savings in both time and costs for all connected implementers. Blockchain is a relatively new technology; it’s only been in existence for a decade, but it’s continued use and evolution will change the cargo industry entirely. A few companies have made the leap to establish blockchain technology in their supply chains. However, there has yet to be a global blockchain initiative implemented or standards established.

WAREHOUSES OF THE FUTURE HAVE ARRIVED

Artificial Intelligence and robots have the potential to save a company and the shipping industry a significant per centage in overall costs and time when used in warehouse management. Supply Chain 4.0, which is the Internet of Things, advanced robotics, analytics, and big data, can potentially lower operational costs by 30 percent, reducing lost sales by 75 percent and decreasing inventories by up to 75 percent as well.

SEA-AIR CARGO HITTING THE SWEET SPOT FOR SHIPPERS

More shippers are turning to sea-air car go services to circumnavigate poor ocean reliability and high airfreight rates during peak season. Comparing sea-air to alternative shipping options, he said the biggest competitor has been the proliferation of low-priced airfreight - known as deferred airfreight - which caused sea-air volumes to drop by as much as 50 percent compared with 10 years prior. At the time, increased uplift of direct airfreight led to much lower rates.

STOCKHOLM CONTAINER INCREASE AHEAD OF NEW TERMINAL OPENING IN 2020

Ahead of the opening of Hutchison Ports new container terminal in Stockholm next year, the latest container volumes for the Port of Stockholm increased by 25 percent in the first quarter of 2019, when compared to the same period in 2018. Hutchison Ports is to commission the first phase of its new deep-sea container terminal in Stockholm in May next year.

PARIS API - THE NEXT GENERATION IN TRANSPORT PLANNING AND OPTIMISATION

The API space is evolving more rapidly than ever before. Like ‘big data’ and ‘cloud’ did before them, APIs are enjoying mass exposure and appeal to individuals and companies alike. PARIS Optimal Transport Planning is a division of Hutchison Ports with extensive experience delivering multi-modal optimisation applications for its clients which include some of the world’s largest ocean carriers.

THE HONG KONG SEAPORT ALLIANCE HERALDS NEW ERA FOR OPPORTUNITY AND GROWTH

The Hong Kong Seaport Alliance (The Seaport Alliance) is a contractual agreement between HIT, COSCO-HIT, ACT and MTL to collaborate on operations at Kwai Tsing to improve the value proposition of the combined facilities in the context of growing regional competition, maximise efficiencies, optimise utilisation & cost synergies and to reduce environmental impact. The operators will cooperate on operational aspects and make their activities in Kwai Tsing terminal-neutral.