¡¡¡¡Globalization in the time of information technology has created both opportunities and challenges for port and port logistics operators, and the struggle to bring the advantages of port and logistics companies into full play under the support of favorable policies is a constant one. So too is the question of how logistics service providers can respond quickly and establish effective emergency logistics strategies?

¡¡¡¡At the 2008 Bo¡¯ao Int¡¯l Forum of Modern Logistics & Free Port Development held on June 8th and 9th, more than 400 professionals gathered at Ningbo city, Zhejiang Province for a free discussion of port economy and port logistics, presenting different approaches and stirring up a storm of enthusiasm.

¡¡¡¡Transformation and Upgrading

¡¡¡¡Representatives from the forum¡¯s organizer, Ningbo City, said frankly, ¡°What we want most for the development of modern logistics is to achieve the best possible advantage of a successful port logistics carrier.¡±

¡¡¡¡¡°A special feature and advantage of Ningbo city is the presence of Ningbo port,¡± Wu Hemin, Deputy Mayor of Ningbo, pointed out. ¡°Ningbo should make the best use of its port advantages to develop int¡¯l logistics, logistics parks, advanced logistics technology and equipment, and to transform and upgrade itself from simply an industrial port engaged in transport into a port of trade as well. In addition, the connections between the port and its bonded basin at Meishan should be more effectively strengthened, the operation & management quality of existing logistics parks better improved, cultivation and regulation of the fourth party logistics further quickened, and distribution and integration of resources greatly optimized.¡±

¡¡¡¡¡°Integration of functions and overlapping of favorable policies¡± will be the future direction of development for areas that are put under the special customs supervision.¡± He Li, Director of the Division of Processing, Trade & bonded monitor of the China State Administration of Customs, gave a positive confirmation of the efforts made in the construction of bonded basins, which, he said, are special supervision areas that are most widely opened, most powerful in general function, most complete in policy design, and which best facilitate clearance processing. According to Mr. He, the current form of bonded basins and general bonded areas will be stable in China for some time to come.¡±

¡¡¡¡Highly opened logistics service, competitive tax policy and special customs supervision/monitoring measures at bonded port basins will contribute to the development of modern logistics, enhance logistics efficiency and service quality, lower logistics costs and promote the construction of int¡¯l port centres. It will, in addition, help improve the value-added ability of logistics operators there, sharpen their competition with each other, and create a large amount of employment opportunities.

¡¡¡¡Regarding this, it is suggested that a culture of ¡°giving¡± instead of ¡°taking¡± should be particularly cultivated to settle this contradiction. That is to say, the government should be encouraged to take a more long-sighted view of the matter, to endorse wider-opening policies, to increase input in new development projects and to attract more logistics customers in for the future. What¡¯s more, rather than cast one¡¯s eye only at GDP to the ignorance of its coverage and general contribution to the advancement of regional economy, a more appropriate examination system should be established for the development of bonded basins. Thirdly, more attention should be focused on logistics density as well as other aspects that have much to do with the quality, and not merely the quantity, of modern logistics within the basin area.

¡¡¡¡System Development & Infrastructure Construction

¡¡¡¡The snow disaster early this year, the Wenchuan earthquake on May 12 and the present floods have forced the government, business and common people to think more about the emergency logistics system and its application around the country.

¡¡¡¡In the eyes of Xu Dong, Secretary of the Emergency Logistics Committee of the China Logistics & Procurement Association, establishing an emergency logistics system and giving full play to all its parts requires first of all the smooth running of emergency logistics passageways. The problem  is that it is often hard to maintain their smooth operation when disaster happens, which then calls for the existence of a complete material storage system and the close integration of the nation, region, military, market and family.
¡¡¡¡Any timely response from logistics operators will benefit from the existence of a pre-planned emergency strategy and highly efficient service.

¡¡¡¡Mo Zhiming, Senior Vice President of Sinotrans-DHL (China), introduced the experience of his company: ¡°There should always be a plan pre-drawn for any possible emergency in logistics operation, in which should be set forth strategies for contact and communication, distribution of resources, personal responsibilities and division of work etc. What¡¯s most important in the conduct of emergency logistics is to do what one¡¯s most capable of doing.¡± 

¡¡¡¡A most excellent example of emergency logistics operation is the preparation of cars in the F1 contest, which covers oil refill, change of tyre and maintenance of vehicles,¡± Ye Weilong, Directing Manager of COSCO Logistics Co., Ltd, said: The work efficiency of oil refilling and vehicle maintenance in the F1 contest sets a big goal of achievement for us.¡±

¡¡¡¡A routine contractor of the State¡¯s most vital chemical and radioactive materials, Ye Weilong summed up the experience of his company in the development of an emergency logistics system as follows: ?¡ãThe execution of a successful emergency design consists of three aspects: firstly, the existence of a pre-drawn design; secondly, the cultivation of an emergency team and thirdly, the necessity for practice.¡±

¡¡¡¡An official from the Ministry of Transportation of Japan thought infrastructure facilities play a very important part in emergency cases, such as anti-quake berths. For instance, he said, although the earthquake of 1995 caused much damage to Kobe¡¯the anti-quake berths had been able, quite surprisingly, to avoid much losses; some had got out of it unscathed, and others only small bruises, and were quickly repaired in one week¡¯s time.

¡¡¡¡Cost was once a most worrying problem in the construction of anti-quake berths because they are usually 1.5 times more expensive than ordinary ones. But, said the official without a bit of pride, we had tried successfully to reduce their cost to 1.2 times that of the ordinary berths, and are prepared to raise their percentage to 70%.

¡¡¡¡¡°This experience is beneficial to China and all other countries in the development of modern port logistics service,¡± he confirmed.