13 months ago


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BLG Logistics: A driving

BLG Logistics: A driving force behind Turkish automotive trade Logistics expert BLG Logistics has its core competencies in the automobile, contract and container logistics segments, in which it offers comprehensive logistics system services. The logistics expert is operating worldwide and has developed from a company in Northern Germany with local operations into a global logistics provider in the past 17 years. At the beginning of 2015 BLG expanded its reach by opening a branch office in Istanbul. About BLG Thanks to its worldwide locations, the expert for automobile, contract and container logistics has developed into a global logistics specialist in the past 18 years. The clientele includes the leading German automakers as well as strong brands in the retail trade. Through its logistics solutions the BLG Group, headquatered in Germany, is an important interface for the success of its customers. And the company is growing. Today it provides around 16,000 jobs around the globe. GLOBAL BUSINESS Turkey’s geographic location holds great advantages for logistics and the city of Istanbul is of great importance as a logistics hub. In Turkey BLG offers services in the automotive sector. In addition to managing the logistics for export and import vehicles, coordinating automobile transport via vessel, rail and truck, vehicle storage and vehicle handling, the logistics expert also performs customs clearance, freight forwarding and logistics consulting for its customers. Delivery reliability despite difficult conditions History shows that BLG Logistics often had to be flexible and innovative. Three years ago, for the first time in the history of automobile transportation via rail, BLG ran two block trains with 408 vehicles from European production plants to the Asian part of Turkey. Prior to that, BLG Auto Rail had developed rail concepts for car manufacturer regarding transport to and from Turkey. In February 2014 snowfall and sleet had blocked access to Slovenia and the planned port of shipment in Koper. BLG needed to find an alternative since the company had received a specific inquiry about running two trains to the Asian part of Turkey at short notice. Thanks to the rapid approval processes in the Eastern European countries of transit, the logistics expert was able to meet its client’s request immediately. BLG Auto Rail used two block trains for transport and covered the route to the Turkish port of Tekirdag within four days. In 2015, BLG moved 13 block trains for a German car manufacturer from Germany and Hungary to Turkey (Köseköy) and transported 2,650 units with these trains. For this year the company plans to expand business with even more customers and more destinations like Iran. Well prepared for a growth market The Turkish car industry recorded linear growth over the last 15 years. BLG expects this growth to continue in the coming years. One important factor is the proportion of car owners in Turkey. Compared to the US or Western Europe, the number is very low. While 933 of 1,000 persons in the US and 612 of 1,000 persons in Western Europe own cars, the proportion of car owners in Turkey is substantially lower at 164 of 1,000. This number is significant for a high growth potential in the domestic market and is supported by an increasing GDP as well as economic growth. Therefore the car manufacturers based in Turkey already plan for 2017 a significant expansion of their production capacity. This means over 2.5 million vehicles will require handling for import and export. This is where BLG comes in with its know-how, personnel and the appropriate infrastructure to meet its clients’ expectations. The growing Turkish automobile industry is increasingly looking for logistics specialists since it needs partners who can provide innovative logistics solutions. To this extent, the Turkish market is a growth market for BLG. There is another additional factor that makes the Turkish automobile market interesting for multinational logistics providers such as BLG Logistics. Export and import are very balanced. In the year 2016 Turkey imported a total of 681.000 units and exported 1.141.382 units while the local production figures came to around 1.485.927 units. Car manufacturer like Hyundai, Ford, Fiat and Renault, to mention just a few, have production plants in Turkey. They are all both exporters and importers. They produce large numbers of a few models in Turkey. To complete their model range for the domestic market, they have to import the lacking models from other countries. This advantage makes it possible for logistics specialists like BLG to plan transports efficiently since in most cases they are able to provide transportation in both directions. Photograph: BLG Logistics WORLD OF INDUSTRIES – INTRALOGISTICS & DISTRIBUTION 2/2017

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