Having the correct partners
and agents is a key
ingredient for successful
operations with the Far East.
According to Kevin
Taylor, Far East trade
manager for International
Liner Agencies (ILA),
there are many challenges
to overcome when dealing
with the diverse market that
is the Far East – and having
a good partner or agent acts
as a good guide.
“ILA builds up solid
relationships that last for
years,” he said.
In China the company had
the same agent for the past
15 years representing them
from the north to the south
of the country.
“With reciprocal
visits twice a year, ILA
has invested heavily in
understanding and growing
the Far East market,”
said Taylor. “Through
continuously trying to
improve our service
offering and value-added
products, we offer a delivery
service that helps improve
efficiencies, reduces man
hours and assists pressured
forwarders if they do not
have vehicles available.”
Taylor believes that
the Far East is a crucial
market for South Africa.
“We rely heavily on their
finished products. South
African manufacturers
are in most cases simply
unable to compete with
the pricing from the East,
which encourages South
African consumers to look
elsewhere for cheaper
products.”
He said ILA partnered
with forwarders regardless
of whether they were niche
market or global players to
offer a competitive product.
“While volumes in China
have declined this year,
they have now stabilised,”
he said. “On the other hand
volumes have drastically
increased from South East
Asia on the inbound route.
Outbound traffic has been
growing month on month
from the start of 2012.”
He said many Chinese
products were being
manufactured in South East
Asia.
“It is for that reason that
we have now partnered with
an agent in South East Asia
to represent us in the entire
region.”
His outlook for 2013 is
one of hesitant optimism.
“2013 is not expected to
be a great year for the Far
East but I still think with
the right mix of dynamic
sales people and operations
people backing them up,
you enable yourself to get
a bigger slice of a smaller
pie,” he said.
CAPTION
Kevin Taylor … ‘investing heavily
in understanding the market.’