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SBW capitalizes on regional integration |
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Archives -
2006 Archive
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Written by B. Tyril
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Monday, 08 May 2006 |
Smyril Blue Water is growing fast in Iceland, Faroes and Norway—offering seafood exporters temperature controlled transport across the globe, using roll-on/roll-off ferry Norröna combined with trucks, plus containers, air freight and a large network of professionals.
Newly-established Smyril Blue Water is quickly becoming a major North Atlantic transport logistics provider as seafood exporters in the Faroe Islands, Iceland and Norway are learning that their most effective means of shipping cargo to clients in Continental Europe will often be using the company’s services.
Since the 2003 arrival of superferry Norröna into its predecessor’s established sea route that interlinks Iceland, Norway, Faroe, Shetland and Denmark, the concept of quick, temperature controlled cargo has found new meaning in ro-ro logistics, utilizing the services of this large and fast moving ferry in conjunction with trucks.
With offices in the Denmark, Faroe Islands and Iceland, Smyril Blue Water also offers air freight under the label of SBW Express, a new a fast growing division of the company, according to managing director Heðin Joensen.
Add container transport from the Faroes and Iceland to overseas destinations via Blue Water’s global network of 700 employees in 42 offices in 20 countries, in addition to agents worldwide—another fast-growing segment in the business.
With the founding of Smyril Blue Water in 2005, a 50/50 joint venture between the owners of the Faroese ferry operator Smyril Line and the Danish cargo company Blue Water was incorporated. Based on years of wheel and keel cooperation between Smyril Line and Blue Water in freight logistics, Smyril Blue Water is the only company on the market to offer a ro-ro transport service between Nordic and European countries.
“We offer our customers a unique transport concept of rolling cargo between Scandinavia, Europe and the North Atlantic countries,” says Mr Joensen. “This implies direct transport on wheels all the way from the shipper to the recipient. The Norröna can take as much as 130 trucks, and we also have privileged access to Blue Water’s fleet of 500 trucks on the European highways and motor ways, plus a global network of offices and agents.”
In regard of temperature controlled goods including chilled and frozen seafood, the combination of reefer trucks and the Norröna is often the fastest and safest way for North Atlantic fish products to reach their European destinations in high quality form, Mr Joensen adds.
“Our system offers the advantage of a quick and secure service in a straight, unbroken chain as the trailers are transported on wheels only; and to stabilize cargo and prevent unwanted motion during transport we use pallet wide trailers.
The idea is to rid the cargo of exposure during transport to the highest extent possible, whether in connection with loading or unloading or anything else—and to prevent any unnecessary holds or delays and any unwanted shifts in temperature. In brief we offer a top quality service, ideal for those who are keen on delivering a top quality product to their clients.”
In Iceland, the client base is growing nicely, according to Mr Joensen. The Norröna has for years had a weekly service from Seyðisfjörður on the east coast to the Hanstholm, Denmark, and in spite of a tough competitive environment, there seems to be none to match Smyril Blue Water’s service.
“It’s gradually becoming clear to Icelandic seafood companies, like their Faroese counterparts, that the Norröna offers an unbeatable solution for transport down to the Continent,” Mr Joensen adds. “The amount of cargo shipped from Seyðisfjörður has been growing and we expect this to continue. In the Faroes, we will be coming up strongly especially as the aquaculture industry is now recovering and exports of salmon will pick up again.”
In the face of growing regional integration, Norwegian seafood exporters are likewise becoming an attractive market. Shetland Islands, an important link in the Norröna’s routes, at the same time looks set to increase trade with the Faroes and Iceland.
“We have had some changes in the legal environment of the Faroes, which allow for a jump in imports from Norway. We have had a major trade agreement between Iceland and the Faroes, plus a trade agreement with the EU that eases imports from third countries and exports to the EU—all of which will lead to more integration in the region. We see an increase in the quantity of fish transported from Norway to the Faroes as well as from the Faroes to Shetland, and an increased level of business between Iceland and the Faroes. So there are great opportunities here, in our main line of business as well as air freight and container services.”
Link to pdf presentation...
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