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Ever thought about the life of a truck driver during #COVID19 ? Truck drivers are among the stakeholders receiving sensitisation on the new East African Community #COVID19 guidelines aimed at ensuring easy movement of goods. #RoadToRecovery #SafeTrade
Imports of transport & logistics services make up 55% of Uganda’s total service imports while Uganda’s transport and logistics exports are only 3.7% of Uganda’s total services exports. Such inefficiency costs the country over US$ 784,611,160 million (3 trillion Uganda Shillings). In recent years, Uganda has played a vital role as a distribution hub for South Sudan and the Eastern Democratic Republic of Congo (DRC). Improving logistics services will create employment opportunities. About 208,000 people are currently employed in the logistics sector in Uganda, a number that could rise to 522,000 by 2030.
The logistics hub is located on a 24.1 acres piece of land in Layibi division, Gulu Municipality and was allocated by the Uganda Railways Corporation. The hub is located adjacent to the current Gulu railway station and connects to the main roads to South Sudan and Kampala. #GuluLogisticsHub
Maximize your savings with multiple -Package consolidation and discounted Freight Cargo, Sea cargo, Customs brokerage rates with #ECLIPSE FREIGHTERS AND FORWARDERS LTD.
Contact +256782843531 Kalungi Jet
Just In Time with Eclipse Freighters and Forwarders Ltd
The Beautiful Jinja Pier.
Tank Wagons ferried from Kisumu Port via Lake Victoria on MV Uhuru arriving at Jinja Pier for offloading yesterday.
MV Uhuru delivered 22 wagons containing 1,000,000 litres of diesel. Thus far, 6,000,000 litres of fuel have been delivered from, Kenya.
The Port of Mombasa has witnessed a new shift record performance after registering 1039 moves within eight hours.
The performance registered on container vessel Rio Centaurus on Thursday night during the third shift at Berth No. 21, also saw crane operator Joseph Maina, register a new individual crane record after managing 409 moves translating to 51 moves per hour.
His colleagues Maritim and Odato recorded 290 and 280 moves within the shift.
Maina’s record has outdone the one registered by George Ominde on Friday last week of 362 moves per crane shift on the vessel MV. Cosco Yinkou.
Operations for the vessel Rio Centaurus with an overall length of 229 meters commenced at 2300 hours (first sling).
The vessel worked with three Ship to Shore gantry cranes.
KPA Acting Managing Director Eng. Rashid Salim expressed satisfaction with the performance on the vessel which had a total 3050 container units.
He attributed the performance to good coordination, teamwork and supervision.
“Congratulations to the team including crane operators, terminal tractor drivers, supervisors and all those involved because this is a combination of efforts,” said the MD.
He said plans are underway for purchasing of new yard equipment in the next financial year to facilitate seamless performance.
Among the additional equipment to be purchased to boost operations include twin hook spreaders and new ship to shore gantry cranes.
Commenting on the new record performance, Acting Head of Container Operations Mr. Patrick Makau, expressed delight saying the performance was registered under peculiar environment as a result of the global COVID-19 pandemic challenges.
“We are currently operating in a very different scenario whereby at the moment 240 Container Operations staff are out of station,” Makau said.
On his part Maersk vessel coordinator Mr. Priston Agogo, commended KPA saying this was the best record witnessed at the Second Container Terminal since it started operations.
“KPA should continue maintaining its Ship to Shore Gantry Cranes and tug masters to sustain or even surpass the records,” he said.
Agogo added that the vessel Rio Centaurus is a joint venture between Maersk Shipping Line and COSCO Shipping Line.
GULU THE NEW LOGISTICS HUB UNDER CONSTRUCTION
Construction of UGX 107Bn logistic hub in Gulu starts Gulu, Uganda | THE INDEPENDENT | The construction of the Gulu Logistics hub has finally started in Gulu district. The project is being undertaken by Ambitious Construction Limited. Patrick Kinyera, the Gulu district secretary for works said work at the site started early this week with clearance, fo...
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Photos from Uganda Revenue Authority (URA)'s post
We shall bounce back after Covid 19
The coronavirus and freight forwarding
How managing the spread of coronavirus is impacting freight forwarders and logistics operators
This briefing considers the potential impact on ocean freight and supply chain management activities of freight forwarders and logistics operators should steps to curtail the spread of coronavirus continue to disrupt the movement of goods. While key concerns will distil to delays and potentially cargo deterioration, the following provides some guidance on the potential risks to freight operators and how to mitigate them.
Ocean container supply chains include physical, clerical and data entry processes, many of which involve people congregating and interacting in large concentrations.
Physical cargo packing operations inherently involve human interaction. Similarly, clerical and data entry processes are normally executed in the offices of a range of supply chain stakeholders, including forwarders, ships agents, terminals, banks and customs authorities. Apart from data entry and validation activities, and despite increasing levels of digitisation, the industry continues to have moderate reliance on transferring and dealing with physical documentation.
Currently, many businesses in China have implemented “working from home” procedures. Despite IT functionality, where offices remain closed for protracted periods, it is likely that customs and transport documentation will be disrupted, potentially leading to problems delivering cargo at destination.
Impacts on freight forwarders and logistics operators
Any reduction in goods handled and shipped could have a significant impact on customer revenue. There is also the risk that key customers will lean on forwarders to provide, without a contractual obligation to do so, more expensive "workarounds", such as airfreight and using non-core ocean service providers to perform voyages.
In general, apart from office closures in China, many companies have implemented restricted travel regimes. As a result, expected business travel related to securing transactions or continuing servicing relationships are likely to be disrupted. Inevitably, remote conferencing technologies provide a measure of continuity. It will be important to maintain clear and open communications.
Whilst much of the forwarding industry operates without specially negotiated contracts (relying on incorporation of standard trading conditions), some forwarders have in place supply chain or freight management agreements with their key customers. In such cases, it is necessary to review all specific customer contracts for ocean-related services and identify the obligations on the supplier to perform in contexts such as the coronavirus. Is the forwarder or its agent required to issue FCRs and/or bills of lading? Is the operator required to undertake consolidations? Is it responsible for export customs formalities, etc.? Some agreements are based on the customer’s standard purchasing terms and may consequently be very customer friendly with few exclusions to benefit the supplier. As well as identifying obligations, forwarders should identify any "force majeure" clauses in their agreements and preemptively send notices to customers setting out the problems in China and invoking their force majeure right to be discharged from their obligations to perform.
Industry Standard Terms
Where an operator trades on industry standard terms (such as national association forwarding conditions), it is prudent to send force majeure notices. Further, while the precise date of the commencement of the situation may be open to argument, taking on new transactions relating to a supply chain reliant on fulfilment in China requires detailed scrutiny and probably specific legal advice.
Communications to customers
It is crucial for freight suppliers to keep their customers abreast of all problems experienced by other stakeholders in the given supply chain, such as vendors, hauliers, lines, agents and terminals. To rely upon a force majeure clause or to be discharged of an obligation under general law, an operator needs to evidence that the customer’s losses and any failure to perform were caused by matters genuinely and reasonably outside its control. Suppliers will generally be contractually required to consider and implement any reasonable "workarounds" if they involve modest additional cost.
Communications to other supply chain stakeholders
Freight forwarders and logistics operators need to maintain a paper trail to minimise the risk of claims and to evidence that they did everything reasonable to avoid the customer's losses. Keep written records of communications with supply chain stakeholders and contractors and send them notices holding them to their contractual obligations. A high-level summary of the steps taken and problems encountered should be included in communications to customers.
Clearly, it is not only problems in China itself that should be considered. If original bills are not produced and/or not couriered to destinations, there is the risk that forwarders, purchasers and lines will have to find "workarounds".
If a line issued an original bill of lading to the Chinese agent or network office of the customer’s forwarder but it has not found its way to the destination forwarder/agent owing to reasons outside its control, then as a "workaround", the line is likely to demand a letter of indemnity (LOI) at destination prior to delivering the container to a party who is unable to present the original bill.
Failure to provide a line with an LOI could delay the goods being released and lead to container detention charges being incurred. This can easily turn into a large sum if the line exercises a lien and stores the container at the terminal for a long time. Given that the freight forwarder will want to pass all costs payable to the line onto the customer, it should keep the customer informed about all detention and hold the customer responsible for it. If large detention sums are demanded, legal advice should be sought.
The requirement for an LOI should not generally arise if the line has only issued a waybill. Forwarders and logistics operators may find it advisable therefore, where possible, to instruct lines only to issue waybills.
As well as original line bills not arriving at destination, there is also the risk of house non-vessel operating carrier (NVOC) bills not arriving. Particularly in the circumstances of the coronavirus, but also generally, operators are advised to take great care before releasing goods without the receiver presenting an original house bill. Insurance coverage will be prejudiced where claims arise from intentional release of cargo without presentation of an original bill. Legal advice should be obtained and, if the operator agrees to accept an LOI from the customer/receiver, it should ensure that the wording clearly responds to the risks arising and the party issuing the LOI is good for its money. LOIs should be signed by a first class bank as the party providing the indemnity or as guarantor of the customer as the indemnifying party. If the customer/receiver refuses to provide an acceptable LOI, legal advice should be sought.
It is also possible that customers/receivers abandon cargo at destinations if bills are unavailable, “stop” instructions have been issued by vendors and/or substantial detention charges have accrued. Forwarders should work proactively to avoid the costs, customs complications and operational problems arising from abandoned cargoes; specifically, avoid the temptation of doing nothing in the hope that the problem will resolve itself.
Claims in China
There is a risk of claims from sellers against forwarders and logistics operators and/or their Chinese agents/network offices. If sellers fail to get paid owing to clerical or data entry problems, or because the buyer has received the goods but failed to pay, they are likely to claim against the party issuing the forwarder’s cargo receipt (FCR) or NVOC bill in China. Before any goods are released to receivers, operators should check that sellers have not issued stop notices to them or their Chinese agents/network offices or intimated a claim should the goods be released. LOIs provided by buyers/receivers should expressly cover this risk. If stop notices or claims have been intimated then operators are advised to seek legal advice.
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