AO Sovmortrans signed a long-term contract with the Indian operator Sarjak Container Lines. As reported by Sovmortrans, the company will directly cooperate with the operator Sarjak – Non-Vessel Operating Common Carrier (NVOCC) which owns over 6,600 units of specialized equipment. In particular, these are flat rack containers and open top sea containers.
“We have awarded an agency agreement to NVOCC in order to expand the line agent’s business in Saint Petersburg. Consolidation of company’s position in the sphere of OOG shipment fully corresponds to the vector of our development. Starting in May this year, more than 10 units of cargo have been handled with Sarjak equipment under this contract. In 2016 it is planned to extend the geography of Sarjak agent services in Russia and launch operations in other sea regions,” as Oleg Khaytarov, Sovmortrans General Director, said to Gudok newspaper.
According to him, opportunity to use Sarjak special equipment allows any lots of non-containerized cargoes to be shipped in containers which is important for carrying special equipment, outsized machinery, materials and products by sea, river, rail and motor transport using conventional vehicles. This significantly contributes to optimization of logistical expenses and increases the number of options to render high-quality services.
One of the first projects executed by Sovmortrans together with Sarjak was dispatch of transformer equipment to Ecuador. The total batch quantity was 16 containers, including six containers for overdimensioned cargoes. For each oversized load, an individual drawing was developed to implement fastening with up-to-date pulling gear which allowed to substantially reduce the duration of works on the joint terminal of the company and Sea fishing port.
“One of the advantages of this contract is the opportunity to transport cargoes by means of Sarjak equipment within Russia under Sovmortrans guarantee.” Previously the cargoes had been discharged from special equipment onto other vehicles at the ports of entry or sailaway from the Russian Federation which had a serious impact on the expense portion of units delivery,” clarified Oleg Khaytarov. But the company preferred to keep the transaction cost and its timeframe undisclosed.
The experts though have some surmises about that. As an NVOCC operator, Sarjak applies standard tariffs for transportation, and according to calculation at the company’s website, shipment cost of only 16 containers to Ecuador from St. Petersburg comes to about USD 35,000, believes Aleksei Kalachev, AO FINAM analytical expert. “NVOCC is a sea carrier issuing bills of lading for shipping goods on vessels which it neither owns nor manages, maintaining relations with the operator at the same time. The core of NVOCC’s activities is door-to-door transportation. Offering a lump sum for the entire shipment, NVOCC is fully responsible for it. In this case, NVOCC issues an intermodal bill of loading which is generally recognized as a sea shipping line bill of lading,” he explained to Gudok.
Moreover, the expert noted that cooperation of transport and logistics companies with Sarjak doesn’t have any special advantages or expand the delivery geography, but it enhances their opportunities on intermodal OOG freight.
In the meantime, cooperation with Sarjak is not a Sovmortrans exclusive. For instance, at the end of 2015, NVOCC together with RUSCON transport and logistics company dispatched 15 KAMAZ fire trucks from Novorossiysk to the Port of Hai Phong (Vietnam).
Elena Kudryavtseva, Gudok