FDBusiness.com

NYK plans to boost logistics operations

 Breaking News
  • UK Grocery Prices Rising at Fastest Rate in Four Years The latest grocery market share figures from Kantar Worldpanel, for the 12 weeks to 5 November 2017, show UK supermarket sales have increased in value by 3.2% year-on-year in the run up to Christmas. Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel, explains: “Volume sales have increased by less than 1%, meaning it’s [...]...
  • Alcohol Minimum Unit Pricing to Go Ahead in Scotland The UK Supreme Court has ruled that minimum unit pricing for alcohol, which was passed overwhelmingly by the Scottish Parliament in 2012, can now proceed. Scottish Health Secretary Shona Robison has welcomed the decision and confirmed she intends to make a statement to Parliament shortly, setting out the Scottish Government’s next steps. Following the unequivocal backing [...]...
  • GEA Brings Together Technologies to Supply Extended Production Line For BMI GEA has recently been selected to supply an extended pasta filata cheese production line for BMI in Jessen, Germany. With this exemplary project GEA brings together its joint cheese-making expertise, resulting from its acquisition of de Klokslag and CMT in 2014 and 2015 respectively, with GEA’s flow and processing experience to provide a single offering for this [...]...
  • Bosch Packaging Technology Wins German Design Award 2018 The Sigpack VPF (Vertical Platform for Flat Pouches), the first freely scalable flat pouch machine from Bosch, has been honoured with the German Design Award 2018 in the Excellent Product Design category. The German Design Council presents the prestigious award on an annual basis. The German Design Award is the second prestigious accolade for the [...]...
  • Premier Foods Returns to Revenue Growth Premier Foods, the UK convenience food group, has reported group revenue of £353.3 million for the 26 weeks ended 30 September 2017 – an increase of 1.5% on the prior period – with Branded revenue in line with last year at £295.4 million while Non-branded revenue increased by 10.1% to £57.9 million. Group reported half year [...]...

NYK plans to boost logistics operations

July 12
11:37 2012

NYK President Yasumi Kudo said the company plans to double sales from logistics operations in future as global vessel overcapacity depresses freight rates in its container and other sea-borne cargo division

“We have a chance to make more money through logistics than shipping,” Kudo said, “Margins are small, but stable.”

Kudo said freight-forwarding and warehousing businesses led by unit Yusen Logistics will boost sales to $10 billion within seven years. Revenue at these operations, which bring profit margins of about 3 percent, may soar to more than $12.6 billion, he said without giving a timeframe.

The Tokyo-based company also intends to expand its car-carrying business, particularly in Thailand, after its container ship unit posted losses in two of the past three years. “Our biggest concern is the container market,” Kudo said. “Another slide into the red could send us into a tailspin.”

NYK’s container operation lost $179 million in the company’s October-December third fiscal quarter, reversing a $96 million profit a year earlier. Liner revenue dropped 9.6 percent to $1.3 billion. The loss reflected similar losses at Japan’s two other liner companies, MOL and “K” Line.

Although net profit at Yusen Logistics declined by 30.2 percent year-over-year in fiscal 2011 because of extraordinary losses related to Japan’s earthquake and tsunami, the company still earned $31 million.

Kudo said a key focus in bolstering NYK’s logistics business will be auto parts because of the growth of auto manufacturing in Asia. The company is particularly targeting Thailand as Japanese automakers move production to the country because of lower wages and the strengthening yen, as well as China, India and Indonesia.

“Demand for cars in Asia is booming,” Kudo said. “Intra- Asia trade is by far the biggest growth market now.”

About Author

colin

colin

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • November 28, 2017Fi Europe
  • December 4, 2017Plastics and Paper in Contact with Foodstuffs 2017
  • January 8, 2018RAI Exhibition
  • January 16, 2018Sival Plant Production Trade Show
AEC v1.0.4

Jobs: Logistics

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements