Monthly Archives: November 2009

Odyssey Logistics & Technology Offers Chemical Customers Differentiated Service with Management Dynamics’ Transportation Management Solution

Posted on by
Reply

Leading Logistics Provider Automates Ocean Contract Management to Grow its International Business

EAST RUTHERFORD, NJ, November 30, 2009 — Management Dynamics, a leading provider of global trade management solutions, today announced that Odyssey Logistics & Technology Corporation (OL&T), a global logistics and transportation service provider for the chemical and process industries, has expanded use of Management Dynamics’ Transportation Management solution to provide its customers with flexible and competitive routing and rate options for international shipments. This scalable web-based solution has enabled the OL&T logistics team to grow its international business and develop stronger customer relationships.

“We are expanding our business into international markets, adding new contracts and rates, and therefore needed a fully automated process that allowed us to handle more quoting without having to hire additional staff,” said Doug Clark, Senior VP, Global Marine & Int’l Logistics Services, Odyssey Logistics. “Management Dynamics has enabled us to differentiate our logistics services with a powerful solution that has significantly improved customer satisfaction and contributed to growing our business internationally.”

Management Dynamics’ Transportation Management solution allows OL&T to centrally manage its ocean service contracts, describing every term with a powerful rules engine to create ‘calculable contracts’. Fully integrated with all carriers’ governing rules tariffs, the solution evaluates all potential routings from available bullet rates to more complex multi-factor combinations of outport arbitraries, alternate port-to-port rates, and inlands. This allows users, with little or no experience in pricing, to compare full bottom-line rates across multiple service contracts, modes of transport, routings and service levels. OL&T has also integrated Management Dynamics’ Transportation Management solution into the Odyssey Global Logistics PlatformSM, OL&T’s technology backbone, using an XML-based API. This allows OL&T users to check an ocean rate stored in the Management Dynamics Transportation Management solution without leaving OL&T’s system.

OL&T has seen several significant benefits since implementing Management Dynamics’ Transportation Management solution, including:

  • Optimized Carrier Selection – a secure, centralized repository of ocean freight rates and service information provides the OL&T logistics team the ability to compare shipping options based on cost and service parameters and ultimately optimize carrier selection for its customers
  • Differentiated Service Offering – powerful multi-factor search and rating engines empower the OL&T logistics team to quickly prepare accurate rate quotes and help OL&T’s clients handle complex rate requests when offering differentiated freight cost proposals to their customers
  • Reduced Transportation Costs – ability to compare full, bottom-line shipment costs including all applicable assessorials side-by-side prior to booking allows OL&T to capture cost savings for its clients

“Logistics Providers must use specialized price management tools to improve sales productivity and better differentiate their services for shippers that are looking for detailed comparisons of equipment, routes and rates,” said Nathan Pieri, SVP Marketing & Product Management, Management Dynamics. “Odyssey Logistics is successfully using Transportation Management to support their international growth objectives and setting an example of how to exploit technology to build a winning edge.”

About OL&T
Odyssey Logistics & Technology provides global logistics management services to the chemical industry and other process manufacturers. OL&T delivers a comprehensive portfolio of logistics services to the chemicals and process industries so that clients` products are delivered safely, reliably and economically, with the advantage of shipment visibility and actionable data across all modes. OL&T presents a unique scope of industry knowledge, experience and technology, applied to client supply chain operations in two distinct outsourced logistics contexts: Managed Logistics Services and Third Party Services. The OL&T team of chemical engineers and logisticians brings unparalleled expertise-they are chemical and process industry insiders, intimately familiar with the supply chain complexities and hazardous materials requirements. Its technology backbone, the Odyssey Global Logistics Platform (SM) features a net-native transportation management infrastructure that supports highly integrated, flexible and data-rich service offerings. For more information, visit www.odysseylogistics.com.

Share

22 Developing Countries Team Up to Boost South-South Trade

Posted on by
Reply

The International Centre for Trade & Sustainable Development reports that 22 developing countries have tentatively agreed to reduce tariffs and other trade barriers as a means to boost trade between their countries.

“Trade officials report that negotiators from 22 nations on Wednesday reached an outline agreement on a new round of concessions under the Global System of Trade Preferences among Developing Countries (GSTP), following days of meetings at the Geneva headquarters of the UN Conference on Trade and Development (UNCTAD).

The draft agreement will be submitted to ministers from participating countries for discussion and approval at a meeting scheduled for 2 December. The ministers will be in Geneva for the WTO’s ministerial conference starting 30 November.”

The countries participating vary from Brazil to Zimbabwe, South Korea, Indonesia, and India, however South Africa and China are not participating.

Under the terms of the tentative accord, participating states would lower tariffs on exports of some 70 percent of each others’ agricultural and manufactured goods. These tariff cuts would not be extended to other countries. Once the deal is adopted, each country will draw up a list of products eligible for tariff cuts, and then submit them to other participants for negotiation and verification. The ‘margin of preference’ appears likely to be at least 20 percent below currently applied MFN tariff levels.

What this would mean in practice is that if India levied a 10 percent duty on car parts imported from the US, identical parts coming from Brazil would face a tariff of 8 percent or lower.

Although it could put US exporters at a disadvantage in these countries, importers who are already operating in any of these countries will see great benefits to the reductions in tariffs.

For example a apparel manufacturer that sources raw material from India for production in Indonesia, will still see the cost savings even though they may export their finished product to the EU or US. The key is intelligent low-cost country sourcing.

Read more at ICTSD:  Developing Countries Close to Deal to Boost South-South Trade

Free Trade Agreement White Paper: Best Practices to Achieve the Next Level of Savings from Free Trade Agreement Management Global Sourcing

Free Trade Agreement White Paper

Free Trade Agreement White Paper

This white paper addresses five best practices that will allow your company to fully take advantage of FTA opportunities:

  • Establish a Supplier Management Program
  • Implement Multi-sourcing Data Visibility
  • Manage Supplier Communications with an Automated Solicitation Process
  • Automate the Qualification Process
  • Expand your FTA Portfolio

Learn more by reading the Free Trade Agreement white paper.

Share

Obama Hopes to Pass KORUS Trade Agreement By 2010

Posted on by
Reply

While visiting South Korea, President Obama announced his intention to pass the South Korea-US free trade agreement that is currently on hold, pending approval in Congress.

From the New York Times, on Thursday:

At a news conference in Seoul, South Korea, Mr. Obama and the president of South Korea, Lee Myung-bak, both declared their desire to renegotiate elements of the agreement and to have both countries ratify it as soon as possible.

“I am a strong believer that both countries can benefit from expanding our trade ties,” Mr. Obama said. “I have told President Lee and his team that I am committed to seeing the two countries work together to move this agreement forward.”

However, since Thursday it has become unclear whether the two nations will be able to renegotiate the terms of the agreement, as the South Korea foreign trade minister ruled out additional trade talks on Friday.

US Manufacturers oppose the agreement, saying it does too little to open the Korean market and they will face an influx of Korean competitors. Proponents counter that, with Korea’s new trade agreement with the EU, the US must approve this deal if it wants to remain competitive in both markets.

Read the complete article at: South Korea Trade Pact Is Revived by Obama

Share

Levi Strauss Testifies in Trade Preference Policy Review

Posted on by
Reply

The chief supply officer at Levi Strauss testified in front of the House Ways & Means committee recently to encourage a stable, long-term trade preference program that encourages liberal rules of origin for raw materials and is easy for companies to utilize.

From the Journal of Commerce:

A successful trade preference program must be stable and predictable over a long term, the chief supply officer for Levi Strauss & Co. told the House Ways and Means Trade Subcommittee on Tuesday.

It should also have liberal rules of origin for raw materials, and once put in place, be allowed to continue unchanged, said Levi Strauss Senior Vice President David Love.

Love was the only importer among 18 government, trade, labor and humanitarian groups called to testify by Chairman Sander Levin, D-Mich., in the first step of a review of trade preference policy. The Senate Finance Committee will hold its own hearing on the subject on Thursday.

Love said that Levi Strauss had imported some 60 million units from Colombia under the Andean Trade Preference Act. The program was due to expire in 2006, and since then Congress has renewed it for only short intervals. As a result, Colombian imports have dropped to one or two million units.

“We cannot make commercial decisions based on three to six month timeframes,” Love said, “especially when orders are placed a year in advance.”

Read the complete summary of the hearing at the Journal of Commerce: Importer Calls for Stable Trade Preference Policy

Share

US Trade Preference Programs

Posted on by
Reply

Simon Lester at International Economic Law and Policy Blog raises a question about the current US Trade Preference policy, based on recent comments by the USTR General Counsel Tim Reif regarding the eligibility criteria for US Trade Preference Programs:

“First, the criteria were intended to and have achieved four core goals: (1) strengthened the rule of law in beneficiary countries; (2) provided incentives for sensible policies and policy reforms; (3) promoted development; and (4) improved the operating environment for U.S. exporters in the beneficiary countries…”

- USTR General Counsel Tim Reif

Here’s my question:  In using these criteria, is there an intent to discriminate among countries?  (Putting aside the question of whether intent should matter under the relevant WTO non-discrimination standards, which is a separate issue).

On the one hand, it could be argued that the purpose of the criteria is to have every country satisfy the criteria, and thus meet the policy goals that have been set out.  Thus, the hope is that no one will be discriminated against.

On the other hand, it may not be realistic to expect everyone to comply.  Thus, there is likely to be a disparate impact, and this outcome is known with a reasonable degree of certainty.

To me, it sounds like there is an intent to discriminate, as trade policymakers know that certain countries will not comply with these criteria. Obviously not every country does satisfy the criteria and meet the 4 goals described above.

Share

Colombia holds major export event in Miami

Posted on by
1

The largest Colombian export mission ever to the United States is in Miami this week for two-days of match-making sessions with pre-selected importers. High on the agenda for sale: women’s lingerie and other clothing, processed foods, books and other manufactured goods, Colombian officials said.

To help offset a drop in trade due to disputes with Venezuela, Colombia is accelerating its drive to diversify sales abroad. More than 360 Colombian exporters are visiting Miami this week for pre-arranged meetings with more than 240 importers from the United States, Canada, Mexico and Caribbean islands, said Maria Elvira Pombo, president of Colombia’s export promotion agency Proexport.

Colombia held similar but smaller export events recently in Chile, Brazil and Guatemala, she said.

Read more about the event at the Chicago Tribune:  Colombia holds major export event in Miami

Share

Management Dynamics Releases Trade Wizards 10.0 Web-based Research Tool

Posted on by
Reply

Improves Compliance with International Trade Regulations and Advisories

EAST RUTHERFORD, NJ, November 18, 2009 — Management Dynamics, a leading provider of Global Trade Management solutions, today announced the release of Trade Wizards 10.0, a Web-based portal to trade content from 122 countries that facilitates the research of complex trade questions. The new release makes it easier for companies to classify products, calculate landed costs and perform document determination at the Harmonized Schedule (HS) level.  In addition, a new user experience allows users to manage their searches and ultimately find information faster.

“Trade Wizards is an invaluable tool for our global trade team and we use it daily to quickly and accurately classify our products, determine applicable import or export controls, or to answer a question from the business on total landed cost,” said Glenda Welch, Director of Corporate Logistics and Transportation, Belkin International. “The latest version of Trade Wizards is much easier to use, allowing us to conduct our research more efficiently and to fully tap into Management Dynamics’ trade content library including the new HS-based document templates.” 

Management Dynamics’ Trade Wizards 10.0 enables the user to make quick, interactive queries using a standard Web browser to calculate landed cost, screen for restricted trade parties, search for HS and Export Control Number (ECN) classifications, identify applicable regulatory controls, and determine trade documents. Management Dynamics maintains the trade content needed to answers these questions for 122 countries or approximately 99 percent of the world market. What used to require many hours to manually research trade rules and regulations can be achieved in minutes using Trade Wizards 10.0.

New key features available on Trade Wizards 10.0 include:

 

  • New Classification Workflow – Perform complex searches that include the tariff number and either a legal or common term to quickly find relevant classifications.  Also, searches may be defined with complete Boolean logic and search results are displayed in a tree format to simplify the navigation to a classification.

 

  • Landed Cost Calculator Scenarios – Build landed cost scenarios with multiple origin countries to quickly identify the minimum landed costs with respect to product invoice, duty, VAT, excise, other governmental charges, transportation and insurance.

 

  • Restricted Party Screening – Screen with an improved screening engine and access to Management Dynamics’ coverage of 94 restricted party lists offering the highest level of compliance with the lowest rate of false positives.

 

  • Document Determination – Determine the documents required for exporting and importing based on country of export, country of import, and HS number. Results returned include hundreds of documents required for exports, imports, preferential agreements and product specific documents based on the HS number provided.

Trade Wizards 10.0 functionality is available in a highly intuitive user experience with online help that can be used immediately with no user training.

 “As businesses continue to globalize at a fast pace, it is important for supply chain teams to have the resources they need to keep up with the ever-changing trade regulations and supporting content,” said Nathan Pieri, SVP Marketing & Product Management, Management Dynamics, Inc. “The latest Trade Wizards 10.0 release takes a big step forward on usability and ultimately makes it easier for users to accurately answer their toughest trade questions.”

Share

India and the EU Hopeful For Free Trade Agreement in the Coming Year

Posted on by
Reply

World Trade magazine reports that India and the European Union have re-ignited discussions to create a free trade agreement between the two parties. Discussions originially began in 2007, but was slowed because of differences on intellectual property rights and fusing trading best practices with climate change.

“Despite the economic slowdown, I am happy to note that trade in goods and services between India and EU has doubled over the past five years to reach almost 80 billion euros,” Singh told reporters after the meeting.

India is the European Union’s biggest trading partners, with a rise of over 29 percent within the last five years.  Plans are underway to complete the agreement within the next year.

To read the full article, click here.

Share

Obama and Hu Jintao to Talk Trade Among Topics to Discuss

Posted on by
Reply

President Obama landed in China on Sunday to discuss some much needed topics with President Hu Jintao, according to Time magazine. One topic is trade. In recent months, trade issues has been heated between the two nations as both have thrown around the idea that each nation is participating in protectionism since the recession began.

“They’re working through a lot of scattered issues, but they are working through the WTO,” says James McGregor, the former chairman of the American Chamber of Commerce in China. “In the old days, every trade issue would become a very public and unstructured argument.”

China and the U.S. trade around $400 billion in goods each year. Many trade experts were concerned tension may get too high, making resolution difficult. But, U.S. officials dismiss that allegation, saying that the affected goods are only a small part of the total trade exchange.

Wanna read more: http://www.time.com/time/world/article/0,8599,1939536,00.html?xid=rss-topstories

Share