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POPS100 Percent Cargo Inspection: Part Deux Congress apparently didn't read my article of April 7th, 2007 on the practical difficulties of 100 percent cargo inspection called for under House bill HR-1. HR-1 requires 100 percent cargo inspection of all air and ocean cargo. Forget that we don't have the current technology to perform the scanning. Forget that there is no clearly defined mandate for what's to be scanned. Forget that it will take a loooonnnngg while to figure out the union rules on how this will take place. The one concession I can see in the passed bill is that rather than implementing this deal by the end of 2010, it has a 5 year implementation window with the ability of the government to extend the deadline 2 years...
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POPSS. Carolina and Ga. Governors Propose New Jointly Run Port Big news in the ocean freight business. South Carolina Governor Mark Sanford and Georgia Governor Sonny Perdue announce intention to develop a jointly run port facility in Jasper, SC. Modelled on the Ports of New York and New Jersey, the new port facility would share responsibility and funding on a bi-state basis serving the southeastern US. This is huge news as ocean vessels continue to get larger. Savannah, Georgias primary commercial deep water port, is limited in capacity by Savannah River, on which it sits. The new port would be capable of handling increased capacity container ships and as a green field project, potentially attract co-located commercial distribution centers.
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POPSInbound Logistics: The Indian Logistics Goldmine. Logistics and transportation companies always follow the freight. If sourcing origins change, so do liner vessel routes. Warehousing, forwarding, consolidation and other 3PL services also go where the business is. Behind China, India is the second most important Asian sourcing and manufacturing location. India boasts of a highly competent technical work force, low labor costs and abundance of low cost manufacturing. The key to Indian growth for the long term however will be continued investment in supply chain infrastructure. The article below from Supply and Demand Chain Executive outlines the challenges and opportunities.
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POPSNRF: Container Traffic Starting to Build at Retail Ports The National Retail Federation issued a press release highlighting container traffic growth at major ports used by major US retailers. The NRF's "porttracker" follows activity at the ports of Los Angeles/Long Beach, Oakland, Tacoma and Seattle on the West Coast, and New York/New Jersey, Hampton Roads, Charleston and Savannah on the US East Coast. Container traffic growth for February, typically the lowest volume month for the year, is up 10 percent over February 2006. This years peak season volume should reach crescendo in July, 2007 based on current projections. The National Retail Federation is the largest Retail Trade Association in the world.
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POPSWeather affects Rail Traffic in February Snow and Ice in the mid-west and northeastern United States hampered rail operations in February. No surprise as truck traffic and parcel carrier hubs located in Tennessee, Kentucky and Ohio were similarly impacted during the winters worst storms.
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POPSThe Wal*Mart "Category" Killer Article. This is an old 2003 article, but I think its worth reading again. This talks about selling too much to one customer...and making a deal with the devil in doing so. This doesnt just apply to Walmart and i think since 2003 Walmart has realized it has the power to kill its vendors. (which helps nobody.) Certainly it did not motivate vendors to help WM with their RFID initiative.
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