In this issue :
A delegation of 20 German business people visited the Eastern Cape
Positive move to ease road congestion at Durban terminal strengthening already established ties with the region.
Gama outlines Spoornet’s Eastern Cape plans About 10 500 new jobs have been created in the region since the
German delegation visits Eastern Cape province entered into a partnership with Lower Saxony, one of
Germany’s largest states, 11 years ago, said Christian Wulff, premier
US/SACU free trade deal pushes ahead of Lower Saxony during his first visit to the province.
Latest figures on commercial vehicle exports “Many companies from Germany including Volkswagen, Daimler
New sea loop on West Africa trade Chrysler, and Steinhoff have made investment in the province in
order to create jobs,” he said. His federal state and Eastern Cape
SAA to offer daily flights to Washington have set up joint projects in the fields of education, health and
WTO forecasts 2006 global export growth at 7% vocational training.He appealed for close co-operation on issues
What’s wrong with Spoornet’s service? concerning the 2010 World Cup.The partnership between the
Eastern Cape and lower Saxony was established in 1995.
Security association plans SA visit
About those Incoterms…….Ex Works. Deputy US trade representative Karan Bhatia has met with senior
officials from the member countries of the Southern African Customs
After a wait of 20 years the R100-million to build the Congella Union (SACU) – SA, Botswana, Lesotho, Namibia and Swaziland..
Bhatia said the US remains committed to concluding a
bridge in Durban has finally been approved in a joint project comprehensive free trade agreement (FTA) and, in the near term, to
between the National Ports Authority (NPA) and the eThekwini strengthening the US-SACU trade and investment partnership in
(Durban) municipality.This is expected to improve accessibility concrete ways.
into the area and relieve congestion on Bayhead Road and According to Bhatia, discussions focused on the best way to move
South Coast Road. forward on the FTA and how to build on and improve the trade
partnership. To that end, the US and SACU have agreed, subject to
Spoornet is planning to increase from 20-40% its share of approval by ministers, to establish a framework through which the
parties will remain vigorously engaged in growing and deepening
container traffic carried from East London inland by 2010, their relationship.
CEO Siyabonga Gama told delegates at the Eastern Cape
transport summit held in East London recently. According to the latest figures from the National Association of
Investment in Eastern Cape rail corridors is a “strategic Automobile Manufacturers of SA (Naamsa), SA exported 4 797 light
imperative for South Africa, said Gama, and Spoornet was commercial vehicles(LCVs) in March, and 11 445 for the first quarter.
targeting growth in rail’s share of both the container and bulk In medium commercial vehicles (MCVs) the total export for March
markets on the inland routes. was 4 units with 9 in the first quarter; for heavy commercials (HCVs)
the figures were 5 and 15; for extra heavies (EHCVs) 10 and 15; and
for buses 10 and 15.
May 2006 Issue
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. . . Pg. 2
According to the latest issue of BRS-Alphaliner, Maersk Line and Incoterms 2000 – It is not recommended that the following interpretation
Safmarine are understood to launch an additional relay loop between of the terms is used commercially. This interpretation is provided as a
Algeciras and West Africa, covering Dakar, Lome, Pointe Noire, guide only.
Libreville and Takoradi (WAF 9). EXW (Ex Works) – represents the minimum involvement of the seller
Previous experience indicates that four or five ships of 1 400-2 200- and the maximum involvement of the buyer in the movement of the
TEUs will be used. goods from the point of ‘works’. The statement ‘EXW’ must be qualified
to give the address of the ‘works’, which may be a factory, site or
SAA has announced that it is closing its daily service to Atlanta’s warehouse etc. Care should be taken to note that the actual point of
Hartsfield-Jackson International Airport and upgrading the current manufacture might well vary from the place where the seller operates
four flights a week to Washington-Dulles International Airport to a their commercial undertaking. Under Incoterms 2000, risk and
daily service. It will have a brief stop in Dakar, Senegal - offering a responsibility pass from the seller to the buyer when the cargo is made
connection to other points throughout West Africa. available on the ground at the ‘works’, at or on the agreed future date or
On these flights, SAA will introduce its flagship Airbus 340 aircraft - future time, uncleared through customs.
replacing the Boeing 747-400. The seller must give advance notice of availability (how much notice
would have to be predetermined e.g. through the sales contract). This
The World Trade Organisation (WTO) reported that exports in goods point is important as the buyer assumes liability for all risks from the
increased by 6% in 2005 (in real terms) and estimated they would time of availability on the ground and is therefore exposed from that
rise by 7% in 2006. The surge in the price of oil and metals helped moment up to the event of collection. During this period, the buyer is
the share of fuels and mining products to reach 16% of global trade liable for all risks to the cargo, even though they are not yet under the
last year, according to the UK’s Economist, its highest for 20 years. buyer’s physical control, and this is further aggravated by the fact that
the goods are generally uninsured throughout this period too.
Spoornet has invited its customers, through the medium of FTNow, to The buyer and seller should only consider EXW when the buyer can
submit any suggestions that would help to improve its service. actually arrange the customs clearing prior to export and for the
If you’re dissatisfied with the service currently on offer and if you immediate collection of the cargo on availability. The seller should note
have any constructive ideas, send them to email@example.com that the export of the goods is NOT guaranteed under EXW and the
They will forward them to Spoornet’s strategy division and provide buyer may, for example, may opt to keep the goods in the country of
their feedback. origin. Although EXW is a popular term it remains complex.EXW is
rarely compatible with documentary credits (for example.) – and the
South Africa’s poor security record has attracted the interest of the term FCA often offers a more manageable alternative.
Technology Asset Protection Association (Tapa), which is keen to
play a role in raising security standards in the country. Should you have any enquiries please contact Jenny Iyer :
Established several years ago by 20 global high tech companies, firstname.lastname@example.org tel.(+27) (031) 465 0577.
including Apple, Ericsson, Dell, Hewlett-Packard, Nokia and The views and opinions expressed in these articles are those of the
Samsung, its objective is to effect positive change in the security
Authors and not necessarily those of Laser Logistics (Pty) Ltd or the
practices of the freight and insurance communities.
Laser Group (Pty) Ltd, unless specifically indicated. While everything
A delegation is expected in South Africa on May 15 to discuss its
concerns and suggestions with the main players. possible is done to ensure the accuracy of the information in this issue,
which is believed to be correct, neither Laser Logistics (Pty) Ltd nor the
Laser Group (Pty) Ltd, may be held responsible for any errors.
May 2006 Issue
visit us @ www.lils.co.za