Completion of cargo-partner Acquisition

NIPPON EXPRESS HOLDINGS, INC., is pleased to announce that, in accordance with the share transfer agreement concluded on May 12, 2023 with cargo-partner Group Holding AG and its subsidiaries Multi Transport und Logistik Holding AG, Safer Overseas Transport Holding GmbH, cargo-partner GND GmbH, and CARGO-PARTNER US HOLDINGS INC. (hereinafter collectively referred to as “cargo-partner”), it acquired all shares of several cargo-partner subsidiaries based mainly in Central and Eastern Europe that provide logistics services worldwide on January 4, 2024 through a special purpose company that is a wholly-owned subsidiary of Nippon Express Europe GmbH (President: Shinichi Kakiyama), itself a European holding subsidiary of NIPPON EXPRESS HOLDINGS, and completed all procedures required to make these newly-acquired companies subsidiaries of NIPPON EXPRESS HOLDINGS.

Headquartered in Austria, cargo-partner has a robust logistics business base in Central and Eastern Europe, a region that is increasingly attracting attention as an industrial cluster in Europe. It is a highly reputable corporate group focused principally on air and ocean freight forwarding in Europe, Asia, and North America that also offers rail and truck transport and contract logistics services.

The subsidiarization of cargo-partner will complement the NX Group’s logistics infrastructure in Central and Eastern Europe, expected to see significant future growth as a production base within the European region, and will enable the NX Group to further expand its global network and enhance the services it provides in the European region.

The resultant expansion in the volume of air and ocean freight handled will also strengthen the Group’s competitiveness in the global market, enable it to respond to the diverse demands of its global customers, enhance its ability to meet logistics demand between Asia and Europe and elsewhere, and bolster its global account structure.

Since the NX Group and cargo-partner have differing customer bases and differing strengths in specific countries and regions, they will seek to create synergies in their logistics operations through mutual complementation, thereby accelerating the expansion and development of their global businesses.

Going forward, the NX Group and cargo-partner will maximize the synergies they generate as a unified entity to help create value for the NX Group’s customers and stakeholders.

Completion of cargo-partner Acquisition

NIPPON EXPRESS HOLDINGS, INC., is pleased to announce that, in accordance with the share transfer agreement concluded on May 12, 2023 with cargo-partner Group Holding AG and its subsidiaries Multi Transport und Logistik Holding AG, Safer Overseas Transport Holding GmbH, cargo-partner GND GmbH, and CARGO-PARTNER US HOLDINGS INC. (hereinafter collectively referred to as “cargo-partner”), it acquired all shares of several cargo-partner subsidiaries based mainly in Central and Eastern Europe that provide logistics services worldwide on January 4, 2024 through a special purpose company that is a wholly-owned subsidiary of Nippon Express Europe GmbH (President: Shinichi Kakiyama), itself a European holding subsidiary of NIPPON EXPRESS HOLDINGS, and completed all procedures required to make these newly-acquired companies subsidiaries of NIPPON EXPRESS HOLDINGS.

Headquartered in Austria, cargo-partner has a robust logistics business base in Central and Eastern Europe, a region that is increasingly attracting attention as an industrial cluster in Europe. It is a highly reputable corporate group focused principally on air and ocean freight forwarding in Europe, Asia, and North America that also offers rail and truck transport and contract logistics services.

The subsidiarization of cargo-partner will complement the NX Group’s logistics infrastructure in Central and Eastern Europe, expected to see significant future growth as a production base within the European region, and will enable the NX Group to further expand its global network and enhance the services it provides in the European region.

The resultant expansion in the volume of air and ocean freight handled will also strengthen the Group’s competitiveness in the global market, enable it to respond to the diverse demands of its global customers, enhance its ability to meet logistics demand between Asia and Europe and elsewhere, and bolster its global account structure.

Since the NX Group and cargo-partner have differing customer bases and differing strengths in specific countries and regions, they will seek to create synergies in their logistics operations through mutual complementation, thereby accelerating the expansion and development of their global businesses.

Going forward, the NX Group and cargo-partner will maximize the synergies they generate as a unified entity to help create value for the NX Group’s customers and stakeholders.

UK Logistics Sector Returns to Pre-Pandemic Level

Occupier demand for UK logistics and industrial space returned to its pre-pandemic norms following a year of tough market conditions, according to newly-published data from global real estate services firm Cushman & Wakefield.

According to the firm, more than 10.2 million sq ft of space transacted in the occupational market during Q4 2023, taking the total annual figure to 32.5 million sq ft.

The Q4 volume of 10.2m sq ft was a 2% increase on Q4 2022’s 10m sq ft. While marginal it will serve as a cause for cautious optimism in a market which saw just 13.5m sq ft transact across the two previous quarters. Take-up for the full year 2023 represents a 41% decrease on the 2022 total but falls just 2% below the 10-year pre-pandemic average.

Demand has been driven by a much wider pool of business during 2023, with healthcare, MedTech, food related businesses and advanced engineering companies all active nationally, while film studios and creative industries have been taking more space in and around London.

This diversity of demand has been important during a period in which the market has experienced a notable absence of large third party logistics, ecommerce and retail demand. Interest rate hikes and the subsequent impact on retail volumes, as well as the easing of the supply chain pressures that had induced a wave of additional demand in recent years, has caused demand from these areas to drop back.

Inflationary pressures have also driven some occupiers to seek out and develop their own purpose-built facilities in response to rental levels. Upcoming sustainability and environmental regulations appear to be dissuading occupiers from taking poorer quality buildings, with Grade C take-up now at its lowest level since 2008.

Richard Evans, Head of UK Logistics & Industrial at Cushman & Wakefield, said: “As expected, 2023 was certainly a challenging year for the market with tough trading conditions and persistent inflation. But the Q4 take-up figures and the breadth of demand highlights just how robust and resilient the market can be in the face of such pressure, and we’re delighted to see such a variety of businesses acquiring modern, high-quality space. We expect to see continued improvement in market conditions throughout 2024 as consumers and businesses regain confidence and the wider economic recovery begins.”

Cushman & Wakefield also states that concerns around oversupply are beginning to fade as the development pipeline dwindles, and the surge of grey space returning to the market has cooled off. Following a sharp increase in the supply of available space from Q4 2021 onwards, Q4 2023 represented a second quarter of only marginal increases. Total availability of space within units of 50,000 sq ft and above rose by just 2% compared with the Q3 value, as a result of the constrained development pipeline and persistent pressures on build and financing costs. Despite a year of rising supply, and some speculation of oversupply in the market, a more forensic examination of available space shows that overall the market continues to be characterised by a lack of choice and pockets of undersupply, supressing occupier choice and potentially holding back demand.

UK Logistics Sector Returns to Pre-Pandemic Level

Occupier demand for UK logistics and industrial space returned to its pre-pandemic norms following a year of tough market conditions, according to newly-published data from global real estate services firm Cushman & Wakefield.

According to the firm, more than 10.2 million sq ft of space transacted in the occupational market during Q4 2023, taking the total annual figure to 32.5 million sq ft.

The Q4 volume of 10.2m sq ft was a 2% increase on Q4 2022’s 10m sq ft. While marginal it will serve as a cause for cautious optimism in a market which saw just 13.5m sq ft transact across the two previous quarters. Take-up for the full year 2023 represents a 41% decrease on the 2022 total but falls just 2% below the 10-year pre-pandemic average.

Demand has been driven by a much wider pool of business during 2023, with healthcare, MedTech, food related businesses and advanced engineering companies all active nationally, while film studios and creative industries have been taking more space in and around London.

This diversity of demand has been important during a period in which the market has experienced a notable absence of large third party logistics, ecommerce and retail demand. Interest rate hikes and the subsequent impact on retail volumes, as well as the easing of the supply chain pressures that had induced a wave of additional demand in recent years, has caused demand from these areas to drop back.

Inflationary pressures have also driven some occupiers to seek out and develop their own purpose-built facilities in response to rental levels. Upcoming sustainability and environmental regulations appear to be dissuading occupiers from taking poorer quality buildings, with Grade C take-up now at its lowest level since 2008.

Richard Evans, Head of UK Logistics & Industrial at Cushman & Wakefield, said: “As expected, 2023 was certainly a challenging year for the market with tough trading conditions and persistent inflation. But the Q4 take-up figures and the breadth of demand highlights just how robust and resilient the market can be in the face of such pressure, and we’re delighted to see such a variety of businesses acquiring modern, high-quality space. We expect to see continued improvement in market conditions throughout 2024 as consumers and businesses regain confidence and the wider economic recovery begins.”

Cushman & Wakefield also states that concerns around oversupply are beginning to fade as the development pipeline dwindles, and the surge of grey space returning to the market has cooled off. Following a sharp increase in the supply of available space from Q4 2021 onwards, Q4 2023 represented a second quarter of only marginal increases. Total availability of space within units of 50,000 sq ft and above rose by just 2% compared with the Q3 value, as a result of the constrained development pipeline and persistent pressures on build and financing costs. Despite a year of rising supply, and some speculation of oversupply in the market, a more forensic examination of available space shows that overall the market continues to be characterised by a lack of choice and pockets of undersupply, supressing occupier choice and potentially holding back demand.

Weleda Bolsters Hubs with WMS

Weleda AG is a leading manufacturer of anthroposophical medicine and holistic natural beauty products. The company has achieved a significant milestone with successful integration of the LFS warehouse management system supplied by EPG (Ehrhardt Partner Group) at its production location in Switzerland. Introducing the system signifies a crucial step in transitioning all manufacturing sites in the German-speaking region to LFS.

The Swiss pharmaceutical and natural beauty product group operates in a challenging sector defined by strict regulatory requirements and complex supply chains. It was faced with the increasingly necessary task of improving efficiency in its warehouse management processes at its production sites in Germany and Switzerland without losing the required flexibility in its warehouses.

Weleda was looking for a flexible warehouse management system which would provide administration for its entire logistics materials and information flow to meet its specific requirements as a medicine and natural beauty product manufacturer.

It settled on the LFS warehouse management system. Weleda now uses LFS at its Arlesheim production location to ensure that more than 8,000 downstream clients such as pharmacies, drug stores, hospitals, retail companies and mail order firms are reliably supplied with around 250 orders daily. LFS’s introduction in Switzerland is a pilot project which ultimately aims to allow all logistics processes to be mapped in LFS throughout the German-speaking region in the future.

Flexible, scalable, transparent

LFS collects and visualises all process data for intra-company logistics. Its well-organised logistics cockpit offers transparency in displaying future logistics processes such as goods receipts, order statuses and picking. This ensures early identification of process optimisations and warehouse potentials. Employees at control points receive proactive notifications of potential bottlenecks.

LFS seamlessly integrates into the existing Weleda infrastructure, enabling the use of standard processes and regular updates and allowing key users to configure and parametrise the system effortlessly. Client-specific adjustments have been made during installation to ensure optimal mapping of processes and perfect integration of hardware such as printers, scanners and workstations. The natural beauty experts are also obliged to take into account numerous GMP/GDP regulations. All WMS requirements needed to be documented, tested and validated in advance according to stringent criteria.

Partnership into the future

In addition to successfully completing the introduction of LFS, the partnership-based cooperation between all project participants merits special attention regarding further progress of the project. “The partnership between Weleda and EPG is defined by a dynamic in which all involved parties work closely together on a cooperative basis,” explain Eugen Risto and Salvatore Trovato, LVS Project Managers at Weleda. “It’s a partnership where every voice is heard and all members work consistently towards a common goal. Their professionalism and constructive approach mean we can look forward to the forthcoming launch at the German location confidently.”

Following successful incorporation at Arlesheim, the partners now aim to apply the experience they gained there to the logistics campus in the German city of Schwäbisch Gmünd with its high-bay warehouse for 17,200 pallets. Plans are in place to introduce EPG’s International Shipping System (ISS), a multi-carrier shipping software that already handles shipping logistics at Weleda’s headquarters effectively. The WCS material flow system is also to be integrated to control the automated storage units and conveyor systems efficiently.

Weleda Bolsters Hubs with WMS

Weleda AG is a leading manufacturer of anthroposophical medicine and holistic natural beauty products. The company has achieved a significant milestone with successful integration of the LFS warehouse management system supplied by EPG (Ehrhardt Partner Group) at its production location in Switzerland. Introducing the system signifies a crucial step in transitioning all manufacturing sites in the German-speaking region to LFS.

The Swiss pharmaceutical and natural beauty product group operates in a challenging sector defined by strict regulatory requirements and complex supply chains. It was faced with the increasingly necessary task of improving efficiency in its warehouse management processes at its production sites in Germany and Switzerland without losing the required flexibility in its warehouses.

Weleda was looking for a flexible warehouse management system which would provide administration for its entire logistics materials and information flow to meet its specific requirements as a medicine and natural beauty product manufacturer.

It settled on the LFS warehouse management system. Weleda now uses LFS at its Arlesheim production location to ensure that more than 8,000 downstream clients such as pharmacies, drug stores, hospitals, retail companies and mail order firms are reliably supplied with around 250 orders daily. LFS’s introduction in Switzerland is a pilot project which ultimately aims to allow all logistics processes to be mapped in LFS throughout the German-speaking region in the future.

Flexible, scalable, transparent

LFS collects and visualises all process data for intra-company logistics. Its well-organised logistics cockpit offers transparency in displaying future logistics processes such as goods receipts, order statuses and picking. This ensures early identification of process optimisations and warehouse potentials. Employees at control points receive proactive notifications of potential bottlenecks.

LFS seamlessly integrates into the existing Weleda infrastructure, enabling the use of standard processes and regular updates and allowing key users to configure and parametrise the system effortlessly. Client-specific adjustments have been made during installation to ensure optimal mapping of processes and perfect integration of hardware such as printers, scanners and workstations. The natural beauty experts are also obliged to take into account numerous GMP/GDP regulations. All WMS requirements needed to be documented, tested and validated in advance according to stringent criteria.

Partnership into the future

In addition to successfully completing the introduction of LFS, the partnership-based cooperation between all project participants merits special attention regarding further progress of the project. “The partnership between Weleda and EPG is defined by a dynamic in which all involved parties work closely together on a cooperative basis,” explain Eugen Risto and Salvatore Trovato, LVS Project Managers at Weleda. “It’s a partnership where every voice is heard and all members work consistently towards a common goal. Their professionalism and constructive approach mean we can look forward to the forthcoming launch at the German location confidently.”

Following successful incorporation at Arlesheim, the partners now aim to apply the experience they gained there to the logistics campus in the German city of Schwäbisch Gmünd with its high-bay warehouse for 17,200 pallets. Plans are in place to introduce EPG’s International Shipping System (ISS), a multi-carrier shipping software that already handles shipping logistics at Weleda’s headquarters effectively. The WCS material flow system is also to be integrated to control the automated storage units and conveyor systems efficiently.

Peru Operations Expand with Racking

OXXO, the convenience store chain has taken a significant step forward in its growth in the Peruvian market. In collaboration with AR Racking, industrial storage solutions supplier, OXXO has successfully completed an ambitious expansion and optimisation project of its logistics operations in Villa el Salvador, Peru. This initiative involved the installation of 1000 PAL positions and 98 picking spaces, significantly improving its storage capacity and operating efficiency.

The warehouses involved in this project cover a total of 5000 square metres, divided into a 4000 square metre extension of an existing facility and the construction of a new 1000 square metre warehouse. In the extension, 250 adjustable pallet racking positions have been added with 59 picking levels, while in the new warehouse, 750 adjustable pallet racking positions with 39 picking levels have been installed.

One of the most notable characteristics of this project has been the implementation of 1000 adjustable pallet racking positions with 100 picking levels. Despite the challenges that this project presented, including the need for an urgent installation without any interruptions in OXXO’s logistics operations, AR Racking managed to complete the project using its stock two days before the agreed deadline, resulting in the customer’s full satisfaction.

Peru Operations

José Luis Vásquez Samamé, Regional Manager of OXXO LATAM Logistics Operations, expressed his satisfaction with the project: “We are very pleased to have collaborated with AR Racking in this important expansion project. The installation of 1000 adjustable pallet racking positions and 98 picking spaces has significantly improved our storage capacity and product management efficiency. We thank the entire AR Racking team for its commitment and professionalism in the execution of this project.”

This successful project represents a significant step forward in OXXO’s expansion in the Peruvian market and strengthens AR Racking’s position as leader in industrial storage solutions in the region. The collaboration between these two companies has proven to be a model of success in logistics management and optimisation of storage spaces. “This project has been an exciting challenge for us. The urgent installation and early delivery show our commitment to customer satisfaction and excellence in the execution of logistics projects. We are proud to have contributed to the continuous success of OXXO in the region.” confirmed Omar Durand, Project Manager in AR Racking.

AR Racking is part of Grupo Arania, an industrial group of companies with extensive experience and scope, and with a multi-sectoral activity based on the transformation of steel that dates back more than 80 years. AR Racking provides the market with a wide range of solutions with high certified quality standards and a comprehensive project management service. AR Racking’s industrial storage systems stand out for their innovation, reliability and optimum efficiency.

Peru Operations Expand with Racking

OXXO, the convenience store chain has taken a significant step forward in its growth in the Peruvian market. In collaboration with AR Racking, industrial storage solutions supplier, OXXO has successfully completed an ambitious expansion and optimisation project of its logistics operations in Villa el Salvador, Peru. This initiative involved the installation of 1000 PAL positions and 98 picking spaces, significantly improving its storage capacity and operating efficiency.

The warehouses involved in this project cover a total of 5000 square metres, divided into a 4000 square metre extension of an existing facility and the construction of a new 1000 square metre warehouse. In the extension, 250 adjustable pallet racking positions have been added with 59 picking levels, while in the new warehouse, 750 adjustable pallet racking positions with 39 picking levels have been installed.

One of the most notable characteristics of this project has been the implementation of 1000 adjustable pallet racking positions with 100 picking levels. Despite the challenges that this project presented, including the need for an urgent installation without any interruptions in OXXO’s logistics operations, AR Racking managed to complete the project using its stock two days before the agreed deadline, resulting in the customer’s full satisfaction.

Peru Operations

José Luis Vásquez Samamé, Regional Manager of OXXO LATAM Logistics Operations, expressed his satisfaction with the project: “We are very pleased to have collaborated with AR Racking in this important expansion project. The installation of 1000 adjustable pallet racking positions and 98 picking spaces has significantly improved our storage capacity and product management efficiency. We thank the entire AR Racking team for its commitment and professionalism in the execution of this project.”

This successful project represents a significant step forward in OXXO’s expansion in the Peruvian market and strengthens AR Racking’s position as leader in industrial storage solutions in the region. The collaboration between these two companies has proven to be a model of success in logistics management and optimisation of storage spaces. “This project has been an exciting challenge for us. The urgent installation and early delivery show our commitment to customer satisfaction and excellence in the execution of logistics projects. We are proud to have contributed to the continuous success of OXXO in the region.” confirmed Omar Durand, Project Manager in AR Racking.

AR Racking is part of Grupo Arania, an industrial group of companies with extensive experience and scope, and with a multi-sectoral activity based on the transformation of steel that dates back more than 80 years. AR Racking provides the market with a wide range of solutions with high certified quality standards and a comprehensive project management service. AR Racking’s industrial storage systems stand out for their innovation, reliability and optimum efficiency.

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