Project ENABLE Stimulate Sustainable Freight Transport Systems with Latin American Countries
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SEVENTH FRAMEWORK PROGRAMME Coordination and Support Actions (Supporting) Grant Agreement No: 233910 Project ENABLE Stimulate Sustainable Freight Transport Systems with Latin American countries Deliverable 2.1 Best Practices Handbook Version: Final Date: 23rd of December 2010 Dissemination level: Public Deliverable code: D2.1 Deliverable D2.1: Best Practices handbook PROJECT INFORMATION Title: Stimulate Sustainable Freight Transport Systems with Latin American countries Acronym: ENABLE Grant Agreement no: 233910 Programme: 7th Framework Programme Funding Scheme: Coordination and Support Actions (Supporting) Start date: 1st September 2009 Duration: 24 months Web site: www.enable‐project.net CONTROL SHEET Version history Version Total Date Main author Contributors Summary of changes number Pages 1.0 5.6.2010 Antti Permala, Jarkko Lehti‐ nen 2.0 24 June Antti Permala, Jarkko Lehti‐ 2010 Karri Rantasila nen 3.0 119 8 Sept 2010 Antti Permala Input from D1.1 Karri Rantasila (draft) 4.0 125 21 Dec. Antti Permala Input from D1.1 (final) 2010 Karri Rantasila and 1st conference Abstract The deliverable D2.1 of the ENABLE project documents the European Best Practices that provide solutions to intermodal logistical challenges and barriers in Argentina and Brazil. The selected Best Practices are based on the analysis of existing intermodal situation in target countries. The cases allow building up a picture of the main development lines of logistics corridors in LA. All the presented parties (companies, operators, LSPs, IT providers and policy makers) are essential stakeholders for building up a well‐functioning logistics network. Approval Name Date Prepared VTT 21st December 2010 Reviewed CERTH/HIT 22nd December 2010 Authorized CERTH/HIT 22nd December 2010 Circulation Recipient Date of submission European Commission 23rd December 2010 December 2010 page 2 Deliverable D2.1: Best Practices handbook EXECUTIVE SUMMARY The focus of ENABLE project is in co‐modal and intermodal freight transport. This pos‐ sesses fundamental importance in developing competitive alternatives to road trans‐ port. As roads are being increasingly overloaded, intermodal transport can offer reliable and cost‐effective transport mode in an environmentally conscious manner. EU is Brazil's biggest trading partner, accounting for 22.5% of its total trade. Brazil is the single biggest exporter of agricultural products to the EU, accounting for 13% of total EU imports. Also Argentina is a big exporter of agricultural goods to the EU, as well as Eu‐ rope is Argentina's second export market after Brazil. In addition, EU is the biggest for‐ eign investor in Argentina and Brazil respectively. The backbone of the EU's future bilat‐ eral trade relations with Argentina and Brazil will be a wide‐ranging EU‐MERCOSUR As‐ sociation Agreement. This Agreement aims at the creation of a free trade area. Based on the analysis of existing situation in Argentina and Brazil, findings of project forums and logistics performance indicators, the main logistical challenges and needs for improvements in Brazil and Argentina are addressed and discussed. After identifying the problems, the European intermodal innovations and best practices, mainly devel‐ oped in projects of PROMIT, Viacombi and Bestlog and by European Intermodal Associa‐ tion, are employed to provide solutions to logistical challenges in Latin America. General approach to best practices has been: • Benchmarking the European Intermodal best practices • Looking for sustainable concepts, industrial innovations, and intermodal solu‐ tions • Classification and clustering the best practices • Review of innovations and ideas • Analyzing the organization of innovation process and business models of ser‐ vices • Transferability to other situations or framework conditions. The current intermodal status in LA has guided the selection of best practices that are further divided into five categories according the type of the case: 1) Company Cases, 2) Operator Cases, 3) Logistics Service Cases, 4) Information Technology Cases and 5) Pol‐ icy Strategies. Despite of the differences in EU and LA logistics systems, the key findings of EU Best Practices are extendable to LA and allow one to understand the development paths of LA logistics. The key findings of best practices to be transferred to LA include: • Arranging logistics chain by using intermodal transport • Business models, service concepts and operational principles of intermodal transport operator • Business model and service concept of intermodal logistics network • Connecting port‐ and shipping operations to logistics network by utilizing in‐ formation technology Chosen cases allow together to build a picture over the main development lines of logis‐ tics corridors in LA. All the parties presented above (companies, operators, LSPs, IT pro‐ viders and policy makers) are essential stakeholders for building up a well‐functioning logistics network. December 2010 page 3 Deliverable D2.1: Best Practices handbook ABBREVIATIONS AEO Authorized Economic Operator BP Best Practice CA European Coordination Action CCD Coca Cola Drikker DB Deutche Bahn DBS Deutche Bahn Schenker CO2 Carbon Dioxide CT Combined Transport ICT Information and Communication Technologies IT Information Technology ITU Intermodal Transport Unit JIT Just‐In‐Time EDI Electronic Data Interchange EIA European Intermodal Association IMMTA International MultiModal Transport Association KN Kuehne+Nagel KPI Key Performance Indicator LA Latin America LDC Local Distribution Centers LCL Less than Container Load LPI Logistics Performance Index LSP Logistics Service Provider PCS Port Community System RORO Roll‐on/roll‐off SECU StoraEnso Cargo Unit SLA Service Level Agreements UIRR International Union of Combined Road‐Rail Transport Companies TEU Twenty‐foot Equivalent Units 3PL 3rd Party Logistics 4PL 4th Party Logistics December 2010 page 4 Deliverable D2.1: Best Practices handbook CONTENTS 1. Introduction _______________________________________________________________________________9 1.1. ENABLE Project _____________________________________________________________________9 1.2. Aims of Best Practices analysis ____________________________________________________9 1.3. PROMIT Project ___________________________________________________________________ 10 2. Intermodal transport in Europe________________________________________________________ 12 2.1. EU Intermodal Policy and Actions _______________________________________________ 12 2.2. Related organizations_____________________________________________________________ 14 2.2.1. EIA____________________________________________________________________________ 14 2.2.2. UIRR __________________________________________________________________________ 15 2.2.3. IMMTA _______________________________________________________________________ 15 3. Approach _________________________________________________________________________________ 16 3.1. Methodology_______________________________________________________________________ 16 3.2. An outlook of the EU‐LA logistics environment ________________________________ 16 3.3. LA intermodal status______________________________________________________________ 18 3.4. EU Intermodal status _____________________________________________________________ 22 3.5. Criteria and classification of Best Practice cases _______________________________ 23 4. Best Practice cases ______________________________________________________________________ 31 4.1. Company Cases____________________________________________________________________ 31 4.1.1. Volvo _________________________________________________________________________ 31 4.1.2. StoraEnso ____________________________________________________________________ 35 4.1.3. Coca Cola_____________________________________________________________________ 43 4.2. Operator Cases ____________________________________________________________________ 48 4.2.1. Hupac ________________________________________________________________________ 48 4.2.2. Rhinecontainer ______________________________________________________________ 53 4.2.3. BoxXpress Germany_________________________________________________________ 57 4.2.4. Polzug ________________________________________________________________________ 61 4.2.5. Construrail___________________________________________________________________ 64 4.2.6. Corman_______________________________________________________________________ 67 4.2.7. HUB Zahony _________________________________________________________________ 70 4.2.8. BILK Combiterminal ________________________________________________________ 74 4.3. Logistics Service Cases____________________________________________________________ 78 4.3.1. DB‐Schenker_________________________________________________________________ 78 4.3.2. Kuehne&Nagel_______________________________________________________________ 85 4.3.3. Cargo Domino _______________________________________________________________ 90 December 2010 page 5 Deliverable D2.1: Best Practices handbook 4.4. Information Technology (IT) Cases______________________________________________ 95 4.4.1. Port Infolink _________________________________________________________________ 95 4.4.2. Short Sea XML _______________________________________________________________ 99 4.4.3. Valenciaport IT Platform __________________________________________________103 4.5. Policy strategies __________________________________________________________________110 4.5.1. German terminal policy____________________________________________________110