December 29, 2008

The Star

Infinity unveils ‘freight village’

Infinity Logistics and Transport Sdn Bhd has invested RM20mil in its new “freight village” that is set to provide cost-efficient logistics solutions for exporters and importers in the current challenging market.
 
The freight village also gives its customers some preparation time in view of the shorter free storage period for containers via Port Klang to three days from five days effective Jan 1.
 
Free storage period is the “window time” given by port operators to importers to clear goods after vessel arrivals or for exporters to send goods before vessel arrivals at the ports without any charges.
 
After that period, storage fee will be imposed on a daily basis per container.
 
The 4.4ha freight village, equipped with a 10-tonne overhead crane and two laden-reach stackers, is a transit point for containers to be distributed through various modes of transportation (multimodal).
 
This is because the freight village, located in Port Klang, has its own rail terminal via KTM landbridge services and the equipment for loading containers onto trucks.
 
It is also adjacent to both Northport and Westport for convenient sea transport.
 
Managing director Chan Kong Yew told StarBiz that the volatility of energy price and the current economic situation had prompted Infinity to come up with the freight village concept.
 
“Compared to using haulage service, our rail terminal service is cost efficient for hinterland cargo transportation to our freight village that will then be stuffed into containers for export,” Chan said. “Imported goods can also be transported via the same method.”
 
The freight village also integrated Infinity’s main core businesses, namely land logistics, non-vessel operating common carrier (NVOCC), freighting and container bulk business, Chan said.
 
NVOCC is a cargo consolidator of small shipments in ocean trade that can issue a bill of lading, the official legal document representing ownership of cargo.
 
Infinity’s container bulk business involves the usage of flexitank to be fitted into containers for liquid cargo such as most types of oil, lubricants, printing inks, emulsions, latex, wine and dairy products.
 
For hauliers, the freight village can also create business opportunities by providing return cargo after delivering goods at the freight village instead of going back empty.
 
Chan said this was due to the efficient freight village system and capacity that could accommodate 500 laden twenty-foot equivalent units (TEUs) at any one time.
 
As a value-add service, Infinity had teamed up with Singapore-based New Eng Kong, an expert in container depot operations.
 
“This will create value for our customers as they now can keep empty containers at our depot,” Chan said. “Previously, our customers were repositioning their excess containers back to Penang, Pasir Gudang, Padang Besar and inland container terminals.”
 
With the implementation of the three-day free storage period at Port Klang in two days’ time, Chan said the freight village would benefit importers and exporters as it would help them meet the shorter free storage period.
 
“On the last day of the free storage period, we can remove the containers from the port to our freight village for importers.
 
“Exporters can also accumulate their containers to be shipped at our premise longer than three days before vessel arrivals,” he said.
 
But Infinity would not encourage the freight village to be used as a storage place, Chan said.
 
Instead, it is to be used as a freight inter-chain point where customers can reduce unnecessary logistics cost such as storage fees at the port.

   
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