Rail Transport Product
DHL Global Forwarding (DGF) Europe has launched China Rail product which is an alternative solution to Air Freight (AFR) and Ocean Freight (OFR). The transit times reached are faster than in OFR and shipping costs are lower compared to Airfreight. The current service portfolio includes RAILLINE (FCL - Full-Container-Load) and RAILCONNECT (LCL - Less-than-Container-Load) both on Eastbound and Westbound. We have shipped so far 50.000 TEUs (Twenty-Foot Equivalent Unit) in 2016 about 120% more compared with the previous year.
DGF designed two different services for the Customers in order to cover all needs, the first one is DHL RAILLINE, (FCL) rail multimodal service available with single containers, wagon groups and block train movements. Economic and environmentally friendly, providing reliable time and cost efficient transportation solutions. The other one is RAILCONNECT (LCL) rail multimodal service is a flexible option with reliable and pre-defined scheduled departures and capacities.
Both solutions are fast and secure option, environmental friendly and efficient in addition they have the following main features:
- supports tight supply chain schedules with on-time reliable inflow of goods
- creates additional market opportunities with faster deliver possibilities
- avoids long deliveries and pick up from shipping locations far away from ports
- provides stability to the supply chain as most time – accurate shipping mode
- state of the art Track & Trace system ensuring that you are always informed on your shipment status
For sure a big benefit is based on significant ecological advantage compared to Air freight and Truck respectively - 95% and - 65% less (see Fig. 1).
Other interesting benefit is lower costs compared to Air Freight, about 25% - 30% less considering an average loading factor around 30CbM per FEU (Forty-Foot Equivalent Unit).
RAIL service benefits compared with Ocean freight are:
- Faster transit time compared to Ocean Freight, we are talking more or less of 22 days (50% saving) and reducing interest payments on loans (See fig. 2)
- Consequently frees up capital for other activities, in fact Customers that used this product have less interest outstanding based on good’s value per container (See Table 1).