A.P. Moller – Maersk, the Danish integrated logistics company, and Freighters International (PABOMI), its Ethiopian partner, have opened a consolidation centre in Modjo Dry Port, Ethiopia.
The multi-purpose facility, the shipping company said, will help to simplify and optimise apparel and lifestyle customers’ supply chains – by saving costs for them, significantly reducing their speed to market, and making them more competitive.
It will also serve as a hub for export or import cargo in Ethiopia as Maersk’s new consolidation centre offers a full range of warehousing and distribution services that addresses the supply chain issues customers may face.
By having direct links from Modjo Dry Port to Djibouti Port and industrial parks, the facility offers customers first-mile delivery, consolidation, cargo fulfillment, and supply chain management solutions.
Read also: Genesis Shipping plans new container terminals to ease cargo movement
Maersk said that the rail service that connects all the container freight stations to Djibouti Port runs fully on hydroelectric power in line with the policy of decarbonisation, which is an integral part of the company’s strategy.
“Our integrator strategy is all about creating more value for our customers. The new centre in Modjo Dry Port saves our customers time and cost through consolidation, synergies, and providing a single point of contact with greater visibility,” said Carl Lorenz, managing director of the Eastern Africa Area of A.P. Moller – Maersk.
Lorenz said the new facility will ultimately help to make Ethiopia a more attractive and competitive destination for sourcing goods for the apparel and lifestyle industries – key industries for job creation and growing the Ethiopian economy.
The apparel industry is very important to Ethiopia’s economic growth and development, but it faces challenges, including political unrest and the loss of its duty-free access to the US markets through the Africa Growth and Opportunity Act (AGOA) in January this year.
Therefore, the new facility will in turn help to make Ethiopia a more competitive destination for apparel sourcing and help to build supply chain resilience.
