Ethiopian Freight Forwarders and Shipping Agents Association

EFFSAA Weekly Newsletter, Vol. 02, No. 070

EFFSAA Started 12th Round FIATA Diploma Training

Ethiopian Freight Forwarders and Shipping Agents Association (EFFSAA) began the 12th round FIATA Diploma training in the evening session.

Following the completion of the 8th round training program which was taking place in the evening session, the Association announced about the upcoming training program through a radio ad, posted on its official social media handles and sent invitations to different stakeholders of the sector including its members.

The program which was started on 21st of March 2022 has a total of 28 trainees from different academic background and work experience.

Currently, EFFSAA has 3 active classes in 2 weekend and 1 evening session. The recently started class will be the 2nd weekend program for this year.

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Procured Trucks to Hit the Ground Running by Loading Fertilizer

Ethiopian Shipping and Logistics Service Enterprise’s (ESLSE) brand new trucks arrive at Djibouti with their entry to Ethiopia with the first batch of fertilizer cargos being expected to start as early as this coming week.

It is to be recalled that the sea and land logistics giant procured 38 trucks directly as per the country procurement rule from the former supplier, Jinan Sinotruck Co, which won the bid for the procurement of 150 Sino trucks about a year and half ago.

The country’s law allowed the enterprise to procure up to 25 percent additional product or service directly besides the original biding volume or amount.

As a result, the Chinese prominent truck manufacturer agreed to supply additional 38 trucks on the same winning unit price, which was given for the 150 trucks last year.

ESLSE has stated that the latest procurement consumed 194 million birr. The trucks that arrived in Djibouti this week will be assembled at the same there, and will start their operation by transporting fertilizer cargo which was imported for the upcoming agriculture season.

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Spanish Consultancy Bags 100m Birr Job to Supervise Modjo Dry Port Expansion

The Ethiopian Maritime Authority has hired a Spanish consultancy firm to supervise the expansion project at the country’s largest dry port facility for a whopping 100 million Br.

The Modjo dry port facility is one of eight dry ports in the country, handling 90pc of inbound shipping containers. These inland logistics centres play a vital role in the economy, facilitating the transportation of raw materials to local manufacturers and the shipment of export commodities. The expansion project is part of a trade logistics programme launched in 2017. It aims to cut back waiting time from two months to three weeks, increasing the facility’s efficiency, located 80Km southeast of Addis Abeba.

The Authority, under Yehualashet Jemere, signed a contract with the consultant last week. Yehualashet was a former state minister for Transport before taking the helm two months ago, replacing Mekonnen Abera, who had served as the head of the Authority since 2008.

A multinational firm specialising in engineering and consulting founded in 1956, EPTISA is expected to oversee work progress under the Modjo Dry Port expansion project over the coming two years.

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Kenya Readies Expanded Mombasa Port for Operations

Kenya Readies Expanded Mombasa Port for Operations

Kenya Ports Authority is preparing to handle more cargo at the Mombasa port after the completion of a second container terminal (CT2) that can accommodate at least 450 twenty-foot-containers at a time. The CT2, which is part of the Mombasa port development programme, is designed to accommodate larger vessels.

According to KPA, the terminal will give the port a competitive edge over neighbouring ports, mainly in Dar es Salaam and Djibouti.

By 2023, the port of Mombasa is expected to handle about 1.732 million twenty foot equivalent units up from the current 1.42 million. It is estimated the port will handle 47 million tonnes of cargo in the next 10 years from the current 30 million tonnes and up to 111 million tonnes by 2047.

Already KPA has procured salvage boats worth $16.65 million and three ship-to-shore gantry cranes at $28.9 million to boost efficiency and bulk handling at the CT2.

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2021 Like No Other Decade for Container Shipping

Global shipping lines made an operating profit of over $110 billion in 2021.

“To put this into perspective, the combined 2010-2020 operating profit across all years was a combined figure of $37.54 billion. In short, the industry has tripled its operating profit in FY2021 compared to the past decade. And this is discounting MSC (privately held) and PIL (irregular updates).”

On average, six shipping lines netted an operating profit of $861/TEU, the report said.

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