DB Schenker is expanding its green ocean freight services and has secured an arrangement to use 12,000 metric tons of biofuel component for all of its own consolidated cargo, less-than-container load, full-container-load and refrigerated containers, from MSC Mediterranean Shipping Company, the world’s largest container line.
The amount of biofuel purchased is enough to save an additional 35,000 metric tons of CO2 equivalents along the entire production chain in the market. The equivalent of around 30,000 standard containers may be shipped with net-zero CO2 emissions, depending on how the fuel is used during navigation.
The purchase agreement signed this month represents one of the largest carbon insetting biofuel deals between a freight forwarder and a shipping company. It sets out the use of certified sustainable, second-generation biofuels – derived from used cooking oil – instead of conventional fossil-based marine fuel. The 12,000 metric tons of biofuel component will be blended between 20 and 30%, resulting in approximately 50,000 metric tons of blended biofuel to be used in MSC’s container ships. The agreement allows DB Schenker to offer its customers an off-the-shelf product that enables net-zero ocean transport.
Certified emission reduction for customers’ carbon footprint
This partnership is the latest impressive example of DB Schenker’s commitment to clean logistics and is another solid contribution to increasing the demand for alternative fuels in the industry. Similar to net-zero flights using sustainable aviation fuel (SAF), customers can now book regular net-zero ocean transport and receive an annual certificate of their emission reduction for their carbon footprint. The latter means that every metric ton of biofuel is bunkered in addition to any legal mandate and carrier’s set fuel purchase orders.
Thorsten Meincke, Global Board Member for Air & Ocean Freight at DB Schenker: “Together with MSC, we are offering our customers a convenient and clean solution using the latest generation of maritime biofuel to help them achieve a real additional reduction in their emissions. We are doing this because we firmly believe it is the right thing to do and are therefore paying for biofuel purchases in advance. One thing is certain: the more customers demand climate neutrality throughout supply chains, the faster we achieve clean container ocean freight.”
Caroline Becquart, Senior Vice President of MSC: “Decarbonizing ocean freight cannot be achieved by a single player and requires collaboration between shipping and logistics companies and their customers. MSC Biofuel Solution is our first certified carbon insetting program that reduces emissions in our customers’ supply chains, accelerating the energy transition by creating demand for net-zero-carbon shipping and delivering direct CO2 savings. We’re delighted to partner with DB Schenker, with whom we share similar climate ambitions along our collective journey to net zero.”
Biofuel can be used for regular ocean freight operations without adjusting a ship’s infrastructure or supply chain, making it a particularly convenient solution. MSC Biofuel Solution is designed to be a win-win approach to move from ambition to action. MSC bunkers sustainable biofuel, and clients benefit from the CO2 savings, passing them on throughout the shipping value chain. This differentiates the program from carbon offsetting initiatives that focus on future emission reductions outside the shipping industry.
Biofuel & carbon insetting: Further information for editors
Biofuel is eminently well-regarded as a decarbonization transition fuel due to its high quality (according to EU RED II Annex IX, Part A+B) and the principle of additionality. The latter means that every metric ton of biofuel is produced and bunkered “in addition” to the baseline and therefore is an additional reduction in emissions in the overall carbon footprint and an actual avoidance of fossil fuels.
The entire chain of custody for the carbon insetting process is independently verified, with the carbon savings certified by external certification organizations attesting to the avoided emissions from the carbon footprint of freight transport. The bunker supplier also issues proof of sustainability for the biofuel.
Second-generation biofuel, also known as advanced biofuel, ensures at least 80% reduction in CO2e emissions (well-to-wake). For DB Schenker’s ocean freight, it is also guaranteed palm oil free, including no palm oil waste and no indirect land use change (ILUC).
The fuel needed for a 100% reduction in container transport is ensured by over-allocation, which also offsets the emissions generated when the fuel is produced and transported. This allows DB Schenker to achieve net-zero emissions well-to-wake and avoid fossil fuels in ocean freight.
Wan Hai Lines establishes its new office in India. Image: Unsplash
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Aiming to further enhance service quality and gain a stronger foothold in the Indian sub-continent, Wan Hai Lines has established its India new office in Kolkata in July 2023. Contact details for the new office are as follows: WAN HAI LINES (INDIA) PVT. LTD 3rd Floor, Block C, Apeejay House, 15 Park Street, Kolkata, West Bengal, 700016 TEL: 91-33-4450 4500 According to the 2023 Foreign Trade Policy announced by the Indian Ministry of Commerce and Industry, India’s export trade volume will reach 2 trillion US dollars in 2030.
Therefore, benefiting from government policy incentives and the shifting trend of the global supply chain, India’s status in global manufacturing and international trade is increasing, which is conducive to maintaining long-term high economic growth. And the proportion of global exports has increased significantly. In addition, the continuous economic stimulus policy will help revitalize the domestic economy, and domestic demand is expected to increase significantly. Therefore, Wan Hai is optimistic about India’s future import and export situation. And also through the establishment of a new office to improve the overall operating efficiency.
Wan Hai India Kolkata office held a grand opening reception in the evening of 27th July. During the banquet, there were many important customers & guests. The Kolkata Port Authority, Kolkata terminal operators, feeder operators and important local customers were invited to send representatives to attend the meeting to express their blessings to Wan Hai’s opening of the Kolkata market. At present, Wan Hai has six owned offices in India, namely Mumbai, Chennai, Mundra, and Vizag, Delhi and the sixth office Kolkata office. In addition to directly providing river port services, it will also simultaneously strengthen service links between India and neighboring countries, such as Nepal and Bhutan. It is expected to pursue customer first through continuous expansion in the future and sustainable business philosophy.
World's Largest Container Ship, MSC MICHEL CAPPELLINI. Image: MSC
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More than 800 guests gathered in a custom-made tent at the MSC Gate Terminal in Bremerhaven to witness the naming ceremony of the latest edition to Mediterranean Shipping Company’s fleet, MSC MICHEL CAPPELLINI, with the ship as the backdrop. Prior to the naming ceremony, MSC signed a Memorandum of Understanding with the Free and Hanseatic Cities of Bremen and Hamburg and their ports, agreeing on the use of shore power for MSC’s vessels in both ports.
MSC MICHEL CAPPELLINI is one of the world’s largest and most fuel-efficient container ships by design. At 400 metres in length and with a 61.5 metre beam, it has a capacity of up to 24,346 TEUs. Despite her magnificent size, her design and technical specifications enable the shipment of more cargo at the lowest carbon footprint per container carried.
The vessel employs a small bulbous bow, large diameter propellers and energy-saving ducts, which will help to further reduce fuel consumption and associated greenhouse gas emissions.
MSC MICHEL CAPPELLINI and her sister ships are also built with an air lubrication system to reduce drag on the hull, as well as shaft generators to yield additional power.
In his welcome speech, MSC CEO Soren Toft highlighted the importance of Bremerhaven to MSC as a European cargo hub: “The ports in Bremen are such an important cargo hub for us in Germany and in Northwest Europe. It is truly a strategic location for MSC, and home to over 370 of our colleagues. However, our connection with Germany goes deeper than trade. This is the third naming ceremony of an MSC vessel since 2015, and the second in Bremerhaven. It is therefore by no surprise that we continue to grow with our customers in Germany.”
Soren continued: “Efficiency and innovation are two drivers that led to the development of the MSC MICHEL CAPPELLINI. Through innovation we seek to shift the boundaries of what is possible and surpass our own industry-breaking milestones, a process of continuous evolution. Both, as a family company and as the leader of our industry, we are very mindful of MSC’s key role in decarbonizing the logistics value chain, and the benchmark we set for others in our industry.”
MSC Germany Managing Director Nils Kahn also highlighted the importance of the ports of Bremen as an MSC location: “We handle more than 1 Mio TEU per year here and run dedicated trains to and from many domestic locations. We are connecting the world from exactly this location with a weekly service to the Eastern Mediterranean, two weekly services to the Far East, three weekly services to South America and Mexico and an impressive five weekly services to North America.”
The ship’s blessing was conducted by Provost Dr. Bernhard Stecker, who has led the Catholic Community Association Bremen since 2019 and is the head of the Catholic Office in Bremen, the liaison office of the Catholic Church to the Bremen Senate and the Bremen Parliament in the state. After the blessing, Godmother Cindy-Jo Cappellini performed the christening of the ship by cutting the ribbon and smashing a bottle of champagne against the hull.
Yellow confetti streamed down, the ship’s horns sounded and MSC MICHEL CAPPELLINI can now travel the world’s oceans.
Memorandum of Understanding on Shore Power Infrastructure
Shortly before the naming ceremony started, Kai Stuehrenberg, State Secretary for Economic Affairs of the Free Hanseatic City of Bremen, Andreas Dressel, Senator for Finance of the Free and Hanseatic City of Hamburg and MSC CEO Soren Toft met for the signing of a Memorandum of Understanding (MoU) agreeing on the use of shore power for MSC container vessels in both ports.
Soren Toft said: “I am particularly proud that we signed a Memorandum of Understanding between MSC, the Free and Hanseatic Cities of Bremen and Hamburg, and their port administrations, to partner and collaborate on the implementation of shore power taking us one step closer to ensuring a decarbonized supply chain for global trade.”
MSC Germany Managing Director Nils Kahn also called on German authorities in Berlin to ensure closer collaboration between German ports on the topic of infrastructure development, citing the MoU signed between MSC and the port authorities as an example of what private-public partnership means for MSC.
Additional speeches were given by Kai Stuehrenberg, State Secretary for Economic Affairs of the Free Hanseatic City of Bremen, Andreas Dressel, Senator for Finance of the Free and Hanseatic City of Hamburg.
The Naming Ceremony
The ceremony was a celebration, highlighting MSC’s commitment to sustainability, sports and the arts. It was moderated by German TV presenter, Jule Gölsdorf. She introduced Boris Herrmann, Germany’s leading yachtsman, world record holder and skipper of sailing team Team Malizia. Boris Herrmann shared his experience from the recent Ocean Race. MSC is a sponsor of Team Malizia and one of the six Official Founding Partners. In front of the 800-guest crowd Boris expressed his gratitude for MSC’s sponsorship and dedication to net zero commitments.
Guests included representatives of local authorities and businesses, customers and journalists. They enjoyed a spectacular performance by Andrea Casta, the famous Italian crossover electric violinist, and Sarah Voss, Germany’s artistic gymnast, all-around national champion and bronze medal winner in the team competition at the 2022 European Championships. The live music and the acrobatic gymnastic performance expressed the very concept of balance between progress and sustainability, humans and nature, present and past.
MSC CEO Soren Toft concluded: “Global trade is crucial for maintaining peace, economic development and growth, and we are serving as a neutral force in the face of the political and diplomatic adversity we see today. Our new 24,000 TEUs-class ships, some of the world’s largest currently on the water, are essential for facilitating and enabling effective global trade. Ultimately connecting cultures, people and continents.“
ONE announces FLX, a new service for South American reefer shipments. Image: ONE
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Ocean Network Express Pte. Ltd. announces FLX, a new service connecting the West Coast of South America to the East Coast of North America. The service is set to launch in September 2023. With an emphasis on innovative and efficient transportation solutions, FLX caters to customers looking for reliable South American reefer container shipments.
Flavorful South American Delights Reach New Shores
Many Latin American fruits, vegetables and seafood, such as mangoes, asparagus, shrimp, have been gaining popularity worldwide. As a result, Latin American reefer container transportation has seen a remarkable growth, nearly doubling over the past few years.
Strengthening Our Commitment to South America and Reefer Services
With our reefer services, we have established ourselves as a significant player on the Latin America-Asia route, for which we have earned praise from our customers over the years. To further improve the quality of our transportation services, we are redoubling our efforts by investing in state-of-the-art equipment, including Control Atmosphere (CA) containers and telematics devices.
Unveiling FLX: Expanding New Horizons for Shipments
FLX provides exclusive service, connecting the South America West Coast to the North America East Coast (Florida) with our own dedicated fleet of vessels. The service aims to offer fresh options to our valued customers, including those previously engaged in Asia-bound shipments, while expanding shipping possibilities and streamlining supply chain processes. FLX will launch in September 2023 in preparation for the harvest and shipping season.
Service Details
The FLX service will deploy four vessels in order to ensure schedule stability. This service will connect Callao and Paita (Peru), and Guayaquil (Ecuador) to South Florida with one of the fastest transit times on the market. With excellent options for the transportation of refrigerated cargo, the direct routes include Callao-South Florida in 11 days, Paita-South Florida in 9 days, and Guayaquil-South Florida in 8 days.
Furthermore, FLX provides a direct connection from South Florida to Honduras, in addition to destinations in Colombia, Ecuador and Peru. With hub ports like Cartagena (Colombia) and Callao (Peru), ONE services can be seamlessly connected with other services to/from the United States, East Coast South America, Europe, Caribbean and Asia.
Chilean exporters can also conveniently connect their cargoes via Callao, adding to the route’s accessibility. In summary, the FLX route offers multiple connection options:
Callao – Paita – Guayaquil – Cartagena – South Florida – Puerto Cortés – Cartagena – Callao.
Yu Kurimoto, Managing Director of ONE said, “We aim to share South America’s distinctive flavors with people across the globe. With our FLX and LUX services, we are excited to open new doors for businesses and individuals, enabling them to enjoy the authentic tastes of this vibrant region.”
