DHL upgrades direct LCL UAE-China service

DHL Global Forwarding has announced the launch of additional direct less than container load (LCL) service from Shanghai to Dubai, making it the second direct LCL service to connect China and the UAE.

This new trade lane also extends to some other major cities in the Middle East such as Doha and Kuwait City. Dubai-based importers now have two sailings to choose from, allowing their exports to reach the Middle East in either 17 or 19 days, a statement from the Deutsche Post DHL unit said.

“We are always striving to offer our customers better services to meet their ever changing business needs,” said Claudio Scandella, the CEO for DHL Global Forwarding, Middle East, North Africa and Turkey.

“With the economic ties between the UAE and China continuing to expand and develop, our direct Shanghai to Dubai LCL service reflects DHL’s commitment to supporting and nurturing bilateral trade between these two growing markets and our continued focus on offering superior logistics solutions that enable our customers to get their goods to market as quickly as possible.”

Dubai, one of the world’s premier transshipment hubs and the best port in the Middle East, ranks ninth among the world container ports, and plays a critical role in the economy of the Middle East.

Trade volume between China and the Middle East surged to $190 billion dollars in 2010, according to recent statistics. In the first half of the year 2011, the trade volume increased by 36 per cent year-on-year to hit the $120 billion mark.

The new LCL service by DHL will further strengthen trade between China and the Middle East, enhancing the competitiveness of Shanghai in the international shipping market, and offer customers based in the UAE and wider Gulf region a more cost-efficient solution to satisfy their shipping needs, the statement said.

The service is operated by Danmar Lines, the in-house carrier of DHL Global Forwarding.

“The launch of the new trade lane allows us to expand our service offerings geographically and also ensure a smooth transition from freight collection to delivery by offering outstanding assembly and distribution networks at both origin and destination,” said Marc Meier, global head, LCL Management, DHL Global Forwarding.

“With offices in every significant port and industrial region, we have the capability to meet different LCL requirements. Customers will enjoy a tangible reduction in transit time as well as the additional flexibility for last minute quality control and production,” he said.

“As trade between China and the UAE continues to rise, the new direct LCL service is a valuable milestone to cater to the needs of new and existing customers, whilst also leveraging Dubai’s strategic position as a regional logistics hub,” said Samer Kaissi, the country manager for Danzas Dubai.

“The new route is an excellent example of Dubai playing an increasingly important role in facilitating regional trade by offering greater cost-efficient services to customers.”

All LCL services are accompanied by DHL’s first-class IT solutions, such as DHL Track & Trace and other tools, to allow full visibility throughout the whole supply chain.

DHL also provides insurance services to customers as a value-added service, the statement said. The company’s shippers interest insurance (SII) covers losses or damages of all cargo transported by DHL, as well as transportation costs.

As a global leader in LCL, DHL provides a robust in-house LCL offering that is built upon the concept of national and multinational gateways. The company carries more than 97 per cent of its total volumes in-house.