April 26,2021

Long-term partnerships are forged in Moerdijk

Directors Albert van Ommen of Euro-Rijn, Luc Smits of Combined Cargo Terminals (CCT) Moerdijk, and Kees Groeneveld of Euro Nordic enjoy working together.

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In Moerdijk, Euro-Rijn operates multiple terminals, including a terminal for the loading and unloading of bulk and general cargo. CCT Moerdijk is known for its shortsea terminal: the ideal hub for transport to and from the European hinterland. Euro Nordic offers the entire logistics chain as a single package: from sea, air, and land transport to warehousing, customs facilities, distribution, packaging, and processing.

Smits says that nearly 70% of container shipping volumes in Moerdijk are handled by the three parties. According to Smits, Moerdijk can be proud of how the port has developed over the past 20 years into what it is today.

The parties leverage each other’s added value in Moerdijk. A fine example of this collaboration is CCW.

The three started a joint venture in 2007: CCW Combined Cargo Warehousing. Van Ommen: ‘A large portion of Elkem’s goods (a Norwegian company active in electrochemistry, ed.) are stored here.’ A new five-year contract was recently signed with Elkem. According to Van Ommen, it is unique that the warehouse is located on the CCT Moerdijk site.

‘The combination of a container terminal with the warehouses right next to it is a very nice one.’ This has resulted in a growth from 9,000 to 30,000 square meters of warehouse space, from where distribution takes place from Moerdijk to destinations in Germany, France, Italy, Poland, the Czech Republic, and Hungary.

Van Ommen and Groeneveld have even more joint projects. For example, they founded Multi Cargo Logistics (MCL) in Moerdijk together. MCL unburdens companies in the food, feed, and pharma sectors with the storage, transshipment, and supply of ingredients and additives. The two also founded Libra Shipping: a shipbroker and shipping agency specializing in coastal shipping. Van Ommen: ‘You pass the ball to each other whenever possible.’

Moreover, they collaborate with the start-up CargoSnap. That company offers a platform and app for collecting and sharing information about the condition of goods at transshipment terminals and in storage and distribution centers. ‘Its development took place in our warehouses. We both funded a part of it. And, of course, we use it ourselves as well.’

Container crisis

Van Ommen says that container prices have more than tripled in certain shipping areas. ‘Also, goods are currently sitting on the quay due to port congestion, while the next large volume is already on its way. It is also known as consumer buying frenzy.’ MCL, for example, is suffering from this. ‘Traders, especially raw material producers, simply aren’t shipping right now. It is unaffordable.’

As a result, MCL is automatically receiving fewer containers. However, more cargo is coming from France instead of Thailand. ‘Companies are looking closer to home anyway, in order to secure more reliable logistical supply lines.’ The coronavirus crisis alone has made this clear. According to Van Ommen, the difficult thing about the container crisis is that no one knows when it will end.

Groeneveld summarizes the crisis as follows: ‘Incidents such as the corona crisis and the blockage of the Suez Canal, but also a shortage of containers and soaring freight prices.’ Industries are now seeing a greater need to hold strategic stockpiles of raw materials to ensure production continuity during these types of incidents. The use of synchromodality will also contribute to ensuring a reliable flow of cargo.

Turning circle

According to Van Ommen, Moerdijk is a great turning circle: from seagoing vessels to inland shipping and rail. ‘Moerdijk offers everything.’ According to Van Ommen, sustainable cooperation is also very important. An example of this is the MCT empty depot, which is part of CCT. Major shipping companies can deliver and pick up their empty containers there. ‘That is perfect for the Port of Moerdijk and Moerdijk-based companies. Everyone can use each other’s containers to export.’ This prevents many unnecessary kilometers of road transport for empty containers.

The three parties collaborate not only with each other, but also with other companies at the Moerdijk port and industrial estate. Groeneveld: ‘A2B-online ships our cargo originating from Norway for the United Kingdom onward. This ensures a constant and positive interaction between us.’ According to Groeneveld, one of Moerdijk’s strengths is recognizing the added value and specific knowledge of others. ‘It is a place where you grant each other business and want to work together.’

Groeneveld also praises the rail connection, with which his client is very pleased, particularly because of the sustainable benefits. Smits adds: ‘CCT’s three-track rail terminal is also very important.’ Because the rail terminal extends to the quay, direct transshipment is possible between train and inland waterway vessel, and between train and short-sea vessel. ‘A good connection to it or a crossover track still needs to be established. The government must invest in that.’

Van Ommen expects even more growth in Moerdijk, partly due to the arrival of the Moerdijk Logistics Park (LPM). ‘An internal runway will be built between LPM and the current port site.’ According to Van Ommen, the internal runway means a lot for the container terminal: ‘Even more volume, which strengthens the Moerdijk logistics hub.’ It has been a good investment by Port of Moerdijk.

According to Groeneveld, what makes Moerdijk unique is the entrepreneurship of family-oriented companies with short lines of communication. Smits: ‘The collaboration between the three of us, customer and supplier, has been rock solid for years, and we always keep each other on our toes.’