EMEX Kazakhstan on track for success

The courier, express, and parcel service EMEX Kazakhstan, a subsidiary of the Militzer & Münch Group, looks back on the past years with great satisfaction and plans further growth.

EMEX is the official partner of FedEx in Kazakhstan and handles all FedEx CEP transports within the country. The company operates its own substantial fleet of circa 100 vehicles as well as a dense network of branch offices in the country. The main sorting center is located in Almaty. All international shipments, including customs clearance, are handled via this hub, with transit times for express delivery between one and four days. EMEX’s major customers operate in the retail, fashion, pharmaceutical and medical technology, as well as oil and gas sectors. What they value most about their CEP provider are the comprehensive turnkey solutions and personalized support.

This year, EMEX is about to celebrate an anniversary. The Militzer & Münch Group’s CEP service in Kazakhstan turns 20 years old and has had a successful time recently: “We were able to increase our market share and consolidate our strong position among the top three service providers in the industry, we obtained important ISO certifications in the areas of quality, environment and safety, and were even awarded industry prizes,” says Tatjana Vorobyeva, who has been heading the company with a staff of more than 360 as Managing Director since 2016. “The positive results are largely owed to growth in e-commerce and consolidated domestic transportation.” In 2023, EMEX also opened its first location in Kyrgyzstan, expanding its extensive branch network in Central Asia.

Into the future – with big plans

EMEX plans to continue growing in the future by investing in personnel management to attract new talent and in its own warehousing space, for example. Strategic marketing measures are to further strengthen the EMEX brand, while an expanded range of services will appeal to new customer groups. These include the Fourth Party Logistics (4PL) and Fulfilment Services divisions, among others.

“We have big plans – and of course we are already preparing for our 20th anniversary”, says Tatjana Vorobyeva. “Our customers rely on EMEX because their consignments are in good hands with us and reach their destination reliably and on time. This trust has brought us to where we are today and spurs us on to continue to improve and grow.”

Militzer & Münch Dubai: Strong in ship supply

About five years ago, the Militzer & Münch Dubai team moved from the city’s airport to the Jebel Ali Free Zone (JAFZA) at the western end of Dubai, one of the largest free trade zones in the world. The move was the result of the country unit’s strong growth, which is still ongoing: Militzer & Münch Dubai is continually expanding its range of services and its customer base is growing. The supply of ships on the water is developing into a particularly successful line of business.

At the location in the Jebel Ali Free Zone, the Militzer & Münch Dubai team focuses on the transport of ship spare parts. For some time now, there has also been an increasing demand from customers for the complete supply of ships. In addition to spare parts, this includes the delivery of further technical equipment, consumables, bonded goods, food for the crew and maintenance services. Militzer & Münch is responsible for the procurement of equipment and goods, their storage, and delivery on board the ships – even beyond the Jebel Ali Free Zone.

Growing market segment in the port of Fujairah

Thanks to the strong commitment of the Ship-Spares-team, led by Business Development Manager Kiran Kumar, the local company has seen a significant increase in orders for ship supplies at the Port of Fujairah. Located on the east coast of the United Arab Emirates (UAE), the port is a major hub for shipping in the Gulf region and the Fujairah Offshore Anchorage Area (FOAA) offers 133 berths for incoming vessels as well as a wide range of maritime services.

“Our aim is to offer our national and international customers an all-inclusive package with real added value in ship handling, from spare parts in transit to catering for the ship’s crew” says Anil Manath, Managing Director of Militzer & Münch Dubai.

Militzer & Münch not only handles ships moored at offshore anchorages in Fujairah but also ships in transit. For this “midstream” supply, Militzer & Münch exclusively delivered more than 200 shipments in UAE waters by using hired supply boats and made over 50 round trips in 2023 – aside from deliveries to local agent’s boats. The ships served by the Militzer & Münch Dubai team currently come mainly from international waters while passing through the OPL (outer port limits) and inner anchorages of the United Arab Emirates during bunkering and maintenance.

“The port of Fujairah has become an important location for us and we expect a further increase in the volume of orders for ship supply”, says Anil Manath. “We will continue to expand our local presence in the future so that we can provide our customers with a central one-stop-shop for the optimal handling of ships round the clock.”

M&M Kazakhstan: Lots of good reasons to celebrate

The Militzer & Münch country unit in Kazakhstan was founded in 1993. Its development is impressive: Today, M&M Kazakhstan offers its customers national and international transports on all transport routes, as well as customs clearance – and all this with great success. The team is growing, as is the customer base; the range of services is continuously expanded, and new markets are opened.

In summer 2023, around 70 employees and customers of M&M Kazakhstan came together in a restaurant in Almaty to celebrate Militzer & Münch’s 30th anniversary with a colorful entertainment program featuring live music, a dinner buffet, and cocktails. Of course, a birthday cake had to be part of the event.

Zlata Kim, Managing Director of the Kazakh country unit since 2019, has closely accompanied and driven the development of the company in recent years. „We can be very proud of what we have achieved over the past three decades,” she says. ”We offer our customers transport logistics services at the highest level. We are constantly expanding our portfolio and adapting our services to current requirements. In the field of renewable energies, we have been able to handle some impressive projects, such as the transportation of large quantities of components and modules for solar plants from China to Kazakhstan.“

There is a close trade relationship between Kazakhstan and China; the European Union, however, has recently turned into the most important economic partner. Which also applies to M&M Kazakhstan. „Rail transports play an important role here, but at the moment, truck transports from Europe are also in high demand from our customers,“ says Zlata Kim.

A new national subsidiary in Vietnam

St. Gallen, December 18, 2023. Logistics company Militzer & Münch is growing in Asia: M&M Militzer & Münch Vietnam Co. Ltd. starts operations today. The new country unit offers the full range of Militzer & Münch services, with a special focus on air and sea transports.

The Militzer & Münch Group is pursuing a growth strategy in the Asia / Far East / Oceania region. Most recently, a new company was founded in New Zealand in 2022. After M&M China, M&M Malaysia, M&M Sri Lanka and M&M New Zealand, M&M Vietnam is now the fifth national subsidiary in the region. It is located in Ho Chi Minh City. The 9 million-strong metropolis on the South China Sea is both the economic center of the country and an important transport hub for Southeast Asia.

Significant development opportunities
Militzer & Münch focuses on promising markets in the region and considers the location to have great potential for further growth: „Within a few years, Vietnam has developed from one of the world’s poorest nations to a middle-income country“, says Andreas Löwenstein, Regional Managing Director Asia / Far East at Militzer & Münch. „We therefore see good opportunities for successful development while at the same time strengthening our network in the region with the new country unit.“

Militzer & Münch Vietnam will serve many different industries in import as well as in export. A large part of the transport volume will be generated by sea and air transportation. Peter Schüpbach, who previously held various management positions, is heading the new subsidiary.

Militzer & Münch Turkey: a well-coordinated team

Earthquake, pandemic, inflation – in the year 2023, the people in Turkey have to cope with severe catastrophes and challenges that seem almost insurmountable. But economic uncertainties and global turbulences are by no means new to the employees of Militzer & Münch’s Turkish subsidiary – and they know how to deal with them.

In February of this year, parts of Turkey and Syria were struck by a devastating earthquake. More than 56,000 people died, many more were injured, lost family members, lost their belongings – the disaster traumatized the people of Turkey.


Help for the victims

In response to the destruction and distress, the Turkish International Freight Forwarders Association, UTIKAD, sent relief goods to the earthquake region – and the Militzer & Münch team assisted. „In this humanitarian effort, we coordinated the transport of urgently needed relief goods carried in twelve trucks plus a complete train of 32 wagons“, says Cem Ulusoy, Managing Director Militzer & Münch Turkey. „In addition, together with the Militzer & Münch branch office in Basel, we donated 5,000 euros to „AHBAP“, a Turkish relief organization.“

The Turkish economy has been severely affected by the natural disaster, too. About 35 percent of the country’s industry are located in the areas affected by the earthquake. Add to this the consequences of the pandemic and global inflation… Militzer & Münch Turkey is suffering from these conditions, too. But the team has learned to operate in an environment characterized by uncertainties, and to carry out business successfully.


Steady development

The Turkish Militzer & Münch subsidiary was founded in 1996. „At that time, we had only seven employees and a single branch in Izmir, run by one person,“ says Cem Ulusoy. After the new management of Militzer & Münch Turkey started working in January 2012, the Turkish country unit began to grow. „Today, we employ almost 60 people and, in addition to the Istanbul headquarters, we operate three branches, in Izmir, Mersin, and Bursa, as well as a warehouse in Hadımköy and an office at Istanbul Airport.“

Militzer & Münch Turkey specializes in the transport of industrial goods and is among the market leaders in project transports. Despite the uncertainties and challenges, the team has successfully defended its position in the industry. Road transportation is most in demand among customers, followed by air and sea freight, segments that are also of great importance. The company’s main customers come from the textile, machinery, chemicals, and construction materials industries.

„We have given proof that we are capable of operating successfully not only in times of uncertainty, but also of fulfilling our social responsibility in times of crisis,“ says Cem Ulusoy. „An important next step for us will be to invest in a warehouse to provide even better services to our customers and meet the ever-growing demands.“

More Space in Dubai

Almost 1,700 square meters of additional warehousing space in total – Militzer & Münch Dubai recently took into operation three new logistics facilities in the Jebel Ali Free Zone.

In order to meet constantly rising customer expectations as well as to offer fully integrated and consistently optimized supply chain solutions, expanding capacities was a strategic move. Militzer & Münch Dubai’s business is developing well. Among others, the 37-member team successfully grew its customer portfolio over the past years: while initially, the focus was on transports for the food industry, other industries are now on board, such as the maritime industry as well as the cosmetics and health & fitness sectors.

The capacity expansion features three 566 square meter facilities. One of the warehouses is temperature-controlled and offers 240 pallet spaces to serve existing contract logistics customers. The other two storage facilities, offering a total of 1,300 pallet spaces, are for ship spares in transit, LCL consolidation and cross-dock business.

“Our vision is to offer our medium-sized contract logistics customers high-quality logistics services, and to be able to meet their requirements from a single source,” says Anil Manath, Managing Director Militzer & Münch Dubai. “With this strategic step, we also ensure that we can continue to focus on the development of our cross-dock, LCL consolidation, and ship spare parts activities.”

More warehousing space in Morocco

Militzer & Münch Morocco is expanding in Tangier: 2,000 square meters of additional warehouse space are to ensure faster handling.

The port city of Tangier is located at the northern tip of Morocco, close to the Strait of Gibraltar, barely 30 kilometers from the Spanish mainland, and thus at a strategically extremely important position for goods flows. For many years, the Tangier branch office has been Militzer & Münch’s gateway to Morocco.

At this time, Militzer & Münch Morocco is expanding its own warehouse with an annex: 2,000 square meters of additional logistics space will help meet the increasing customer demand and ensure the even faster handling of shipments: “At our location in Tangier, we have been recording steadily growing volumes for years”, explains Olivier Antoniotti, Managing Director of Militzer & Münch Morocco. “With the new warehouse, we can handle the additional transport volume even better and with more flexibility.”

In total, the warehouse area in Tangier will grow to 5,000 square meters. The inauguration and operational start-up of the new facility is scheduled for the beginning of January 2024.

Militzer & Münch Eichenzell: the gateway to the Maghreb

Most of the overland transports from the Militzer & Münch branch office in Eichenzell in Eastern Hesse are bound for one or more of the Maghreb countries. This makes Eichenzell one of the most important hubs for transports to Algeria, Tunisia, and Morocco.

The small township near Fulda and Frankfurt is home to the German Militzer & Münch hub for the Maghreb – and it is continuously developing. Over the last few years, the branch has experienced steady and healthy growth. „We have a clear picture of the direction we want to take in the future,“ says branch manager Julian Backenstoß. „We are receiving very positive feedback from our customers for our consistently good service. As a result, we’ve been able to expand our business and also increase our staff.“ Close to twenty colleagues are now attending to the needs of customers. The attached warehousing area covers around 4,500 square meters.

Consolidated freight destined for North Africa
On average, eight to ten containers leave Eichenzell every week in a southerly direction to begin their journey to North Africa: four to five semitrailers per week head to Morocco via Algeciras in Spain. Another four to five round trips per week go to Tunisia via Marseille and Genoa. The focus is on consolidated freight.
The trucks need about six to seven days to make the journey to Algeria. Multimodal shipments are completed within nine to ten days. „If time is of the essence, customers prefer the pre-carriage by truck to Marseille. If transit time is not an issue, the combination with rail is a popular choice, also because it is cheaper. The customer can save a few hundred euros and at the same time do something for the environment,“ explains Lilli Macholdt, Deputy Branch Manager and Trade Lane Manager Maghreb.

More than just the Maghreb
„We have a lot of experience in organizing and carrying out transports to the Maghreb countries,“ explains Julian Backenstoß. „That’s why we keep expanding our activities and recently opened a branch office in Augsburg. There, under the management of Fourat Chetoui, Trade Lane Manager Maghreb, we are currently focusing on the direct freight business to and from the Maghreb. However, we also offer overland transports to many other destinations, of course.“ In addition to transports to North Africa, Militzer & Münch also handles groupage transports to Azerbaijan via Eichenzell, as well as transports to Eastern and Western Europe. Moreover, the Eichenzell branch office has been the official CargoLine Germany depot for more than ten years, acting as a hub for classic groupage pre- and on-carriage to and from Europe or within Germany.”

At M&M Serbia: a regional perspective

Dobanovci, Serbia. “Our goal is the region, and with Bosnia-Herzegovina and Montenegro as our first step, we have embarked on our strategic expansion course,” says M&M Serbia’s Executive Director Nikola Vasiljevic. “Plans are to extend our brand to other neighboring countries.”

M&M Bosnia-Herzegovina and M&M Montenegro were both founded in the summer of 2021. “Bosnia Herzegovina is a growing market with significant potential. Montenegro is the smaller market, but not less important to the M&M Serbia network,” says Nikola Vasiljevic, who heads the new country units. At this time, both M&M Bosnia Herzegovina and M&M Montenegro have a staff of three; road transportation is the main business, but warehousing and customs clearance are offered, too.  The first full business year is behind the two companies, and we wanted to know how they developed.

Challenges and lessons

“For both markets, the past two years were quite challenging for and highly unpredictable, but despite the challenges, we were able to adapt and contribute to the growth of the local logistics and transportation markets,” says Nikola Vasiljevic, who heads the two new units. “Our unique and personalized approach to each client has allowed us to assess the market and our capacities accurately, elevating service to a new level and finding the best solution for every inquiry. Most of the clients we work with in Montenegro and Bosnia Herzegovina are clients with whom we have had long-standing partnerships in Serbia. The focus is on import.”

“Were there any positive or negative surprises in the development of either company,” we ask.

“For a large corporation like ours, surprises, both positive and negative, are an integral part of business. The expertise of our staff is extremely important, as well as their approach to any particular situation. On a daily basis, we face challenges and strive to extract the maximum benefit from them. To us, negative situations are lessons that we can leverage as advantages in the future.”

Militzer & Münch Romania: Upswing and Optimism Despite Uncertain Times

Militzer & Münch has been present on the Romanian logistics market for almost 20 years with its own country unit. The focus is on imports and exports within Europe, with customers mainly from the industrial goods and clothing sectors. Despite current uncertainty factors, the subsidiary not only proves to be stable, but it can even report growth.

At the Romanian subsidiary, all signs point to expansion. And this although market conditions are currently rather challenging. The ongoing war in neighboring Ukraine, the energy crisis, and high inflation are creating uncertainty on the market and hardly allow any forecasts.

 

Teamwork to defy challenges

According to Managing Director Valentin Dragu, the fact that Militzer & Münch Romania is nevertheless so well positioned on the market is mainly due to the high degree of motivation and hard work of his team. „The logistics industry is very dynamic; you have to act flexibly and to be able to react to current market changes. I am very proud to say that we accomplish this even in difficult phases. As a medium-sized transport service provider, we are holding our own very well against the competition, and we are therefore generally optimistic about the future,“ he says.

New location, new employees: for the roughly 30 employees of Militzer & Münch Romania, a move was due last fall; the M&M Romania team relocated to new, modern premises in downtown Bucharest. „Our current team members are happy with the new offices and the location’s very good transport connections, but hopefully also new team members in the future will appreciate this, as we are currently looking for reinforcement“, says Valentin Dragu.

 

Upswing in road and sea transport

So far this year, the current geopolitical and economic situation has had hardly any impact on Militzer & Münch Romania’s activities and results. The country unit recorded a slight decline in project business, though, the volume of road transports, however, increased, and in the sea freight sector, an upswing is noticeable, too.

Nevertheless, Valentin Dragu plans to focus Militzer & Münch Romania on transports that have proven successful for his company: „We expect trade within Europe to intensify next year, which will open up many opportunities for us. Therefore, we are now working on further expanding our transport business and trade relations in this direction – and hopefully soon with the vigorous support of new team members!“

Sri Lanka: stability in challenging times

Since it was founded in 2018, Militzer & Münch Sri Lanka has seen positive development, while also facing major challenges again and again. The team looks to the future with confidence.

Located on the west coast, the port of Colombo is Sri Lanka’s biggest container port; it is considered one of the most important logistics hubs in the region. Almost 6.9 million TEUs were handled here in 2020. Militzer & Münch Sri Lanka has its headquarters in the direct vicinity of the port. Benefiting from this central location, the Militzer & Münch country unit has successfully established itself in Sri Lanka’s logistics market over the past years. Today, it is a member of the Sri Lanka Logistics & Freight Forwarders Association (SLFFA), the association of forwarders and logistics providers.

Good results despite difficult conditions

For the year 2022, the twelve-person team again records good results. This is not to be taken for granted: beside the Corona pandemic, most recently, the ongoing economic crisis and its political consequences also affected the activities of Militzer & Münch Sri Lanka. Fuel shortages, bottlenecks in the power supply, and skyrocketing transport costs burdened the country’s logistics sector; many factories were forced to close.

„Of course, we are glad we can look back on a good year in Sri Lanka despite such adverse circumstances,“ says Dilum Stembo, Managing Director of M&M Sri Lanka. „We are aware, however, that there are still challenging times ahead. We are constantly adapting to the changing circumstances so we can continue providing stable services to our customers.”

Focus on export business

In response to tighter import restrictions, Militzer & Münch Sri Lanka changed its strategy and focused on the export business. The main export goods include tea, rubber, and coconut, as well as products of the apparel industry. By concentrating on these exports, Militzer & Münch Sri Lanka was able to minimize the impact of the dollar crisis on its own activities, as exporters pay in US dollars, and shipping companies invoice in US dollars, too.

In order to reduce power consumption, electricity cuts of several hours a day can occur in Sri Lanka. To avoid a standstill of day-to-day operations during such long supply interruptions, the country unit invested in solar cells for its offices to reduce its dependence on the power grid.

These are challenging times for the country’s economy, but of course equally so for local people. „We are deeply committed to helping here,“ says Andreas Löwenstein, Regional Managing Director Asia / Far East at Militzer & Münch. „In view of the high inflation, we are accommodating our employees financially.“ Dilum Stembo confirms: „Not only the company as a whole but also the staff had to overcome many obstacles. We took efforts to support our staff – also emotionally. I am convinced that it has helped them at least to some degree“

Given the current situation, the course taken has proved successful for Militzer & Münch Sri Lanka, and the country unit has been able to maintain its stability. Says Andreas Löwenstein: „We plan to increase our activities to and from New Zealand, Australia, and Southeast Asia, as well as to and from the USA and Canada. We are confident we will cope well with future challenges.“

Top position in the Mediterranean area: Militzer & Münch Tunisia

The Militzer & Münch subsidiary in Tunisia was founded over 25 years ago. Today, about 100 employees work for M&M Militzer & Münch Tunisia. Their core business: road transports from and to France, Italy, and Germany.

Militzer & Münch Tunisia has its headquarters in the port city of Radès, just a few kilometers southeast of Tunis, the capital. Additional branches operate in the port cities of Sousse and Sfax, as well as at Tunis-Carthage International Airport. Air and sea transports are an integral part of the product portfolio, but the Tunisian country unit’s biggest demand is for road transports; with the customers mainly coming from the textile, automotive, raw materials, and manufacturing industries.

An expert for Tunisia’s logistics market

Saber Boussada has been Managing Director at Militzer & Münch Tunisia for almost three years; he is at home in the transport industry. He had previously held various positions at an international freight forwarding company for more than 15 years, and has been Managing Director for more than ten years now. During this time, Saber Boussada got to know the Tunisian market very well: „Tunisia is a small country, and there’s a lot of competition among logistics service providers. In our day-to-day work, we are repeatedly confronted with the intense competition in the market here, and it depends on our performance and our range of services whether we can hold our ground,“ he says.

Under his leadership, the country unit has in fact been able to hold its ground very successfully so far: Militzer & Münch Tunisia has achieved a significant profit increase since he joined the company, and the team is very optimistic about the further development of Militzer & Münch Tunisia.

Passionate about logistics

„What unites all Militzer & Münch employees is the enthusiasm for fulfilling customer wishes and demands with tailor-made solutions. Delivering goods to their destinations across the widest range of distances and on international routes is our passion“, is how Saber Boussada sums it all up. „Militzer & Münch Tunisia has secured a strong position in this challenging market. I am proud of this commitment, and I am happy to be part of the Militzer & Münch family!“

Turning challenges into opportunities

Despite the fraught economic and geopolitical situation in 2022, the Militzer & Münch country in Turkey was able to close the year successfully – and the company has ambitious plans for the future.

In 2022, the Militzer & Münch team in Turkey demonstrated that difficult times also offer opportunities. The country unit had to cope with challenges such as the aftermath of the Corona pandemic, increased freight costs, and supply chain bottlenecks. Added to these were the negative development of the Turkish economy, which led to major trade imbalances, and the situation in Ukraine.

Yet the team took the right measures in time. „Thanks to our strong position in Turkey, it was easy for us to adapt to the requirements, thus turning disadvantages into opportunities,“ says Ender Atat, Deputy Managing Director at Militzer & Münch Turkey. Alex Sandalcidis, Deputy Managing Director at Militzer & Münch Turkey, adds: „We defined new strategies and introduced new structures on different routes and with different transport modes so that we were able to still meet customer requirements

Militzer & Münch Turkey transports a variety of commodities, including textiles, automotive products, industrial goods, oil and gas equipment, and chemical products. Road haulage accounts for the largest percentage among the transport modes – but sea and air transports are also developing well. Thus, a few months ago, the team restructured the sea freight department in Istanbul in response to increasing requests from customers and partners. Combining carriers is becoming increasingly important, and the staff’s expertise in intermodal and multimodal solutions offers significant benefits to customers.

„Logistics is a people business, and that’s why we have started to invest more in people,“ says Cem Ulusoy, Managing Director at Militzer & Münch Turkey. „Our plans for the future include personnel expansion, the reinforcement of our sales and marketing departments, more investment in overseas sales activities, and further steps to strengthen our role in intermodal and multimodal transports.

“ Plans are also in place to further expand the project logistics segment and to cooperate even more intensively with the Militzer & Münch Group and overseas agents as well as with partners in those countries where Militzer & Münch is not represented.

The company will also continue investing in digitalization and, in 2023, launch a new IT-based system that will offer more transparency in planning future projects.

A strong location of high potential

Whether capacities, energy prices or personnel costs: for the airfreight industry, the Corona pandemic was not without consequences. At present, it is still virtually impossible to make any long-term plans. In times of uncertainty, however, there are also some constants – like Frankfurt Airport, which has maintained its strong position as a major cargo hub in Central Europe for many companies. Including for Militzer & Münch.

 

M&M air sea cargo GmbH has an office directly at Cargo City South, Frankfurt Airport, where 15 employees work to serve customers; and the service goes far beyond standard freight: the team primarily handles dangerous goods shipments, valuable cargo and GDP (Good Distribution Practice) compliant transports for pharmaceuticals, which are subject to specific requirements, for instance with regard to refrigeration.

Santino Hormuth has been working in the logistics industry for 15 years and has been managing the branch of M&M air sea cargo GmbH at Frankfurt Airport for just over a year. Transports according to GDP guidelines have characterized his work from the very beginning, as immediately after he joined the company, certifications in the GDP area were already taking place. „That was rather challenging for me – after all, I was familiarizing myself with the internal structures, the work processes, and my colleagues at the same time,“ he recounts. „Not least thanks to the excellent cooperation on the team, we passed the certifications successfully and have since been working on boosting GDP transports as a product in our portfolio and expanding our customer base in this area.“

Special, in many ways

In 2021, the air freight volume at Frankfurt Airport was around 2.3 million tons, the highest amount of cargo handled at any German airport. Europe-wide, Frankfurt Airport is one of the ten largest airports.

Santino Hormuth appreciates his workplace and is aware of its importance: „Frankfurt Airport is a magnet for companies, an important location for science and education, and one of the biggest workplaces in Germany. It is also the Lufthansa home base and the leading cargo hub in Europe. This gives the airport a very special position also for Militzer & Münch,“ he explains. „Moreover, our location directly at the airport is definitely of competitive advantage for us: we are virtually in the middle of the action, and can act fast.“

Speed is the order of the day

Speed plays a crucial role in the handling of air freight projects. In most cases, orders are urgent and need to be handled efficiently and swiftly. In this respect, Militzer & Münch benefits from its decades of experience and presence on the market, as well as from well-practiced teams. This allows for short decision-making paths with a minimum of bureaucracy – and that way, even particularly urgent transports become routine tasks. Santino Hormuth’s team regularly handles just-in-time shipments for automotive suppliers, transports engines and other parts for the air freight industry, and was recently responsible for the transport of equipment for the World Cup in Qatar from Frankfurt to Doha.

Santino Hormuth’s goal for 2023 is to further increase Militzer & Münch’s freight volume at Frankfurt Airport, the number of key accounts, and of existing customers. To this end, among other things, there are plans to restructure the sales department.

„We are still facing tense times. But in my year so far with Militzer & Münch, I have experienced how informal and at the same time professional the cooperation is here at the Frankfurt site and across all branches. Therefore, I am sure that we will successfully master this phase.“

New terminal inaugurated in Sofia

Smart, efficient, and future-oriented: on May 19, M&M Militzer & Münch BG Co. Ltd. officially inaugurated its new transshipment terminal in Sofia. The cross-docking facility is equipped with state-of-the-art technology, thus ensuring the efficient handling of general and groupage cargo. At the same time, it forms the basis for Militzer & Münch Bulgaria to continue growing in the road freight sector.

The new facility was built to fully meet the requirements of Militzer & Münch Bulgaria. Its transshipment area covers 1,800 square meters. Incoming and outgoing shipments are handled via 16 loading gates, and scanned with the latest generation industrial tablets. A high level of security is ensured; among other things, the entire facility is video-monitored by 60 cameras.

In addition, the facility offers 880 square meters of state-of-the-art office space, creating ideal working conditions for the entire administrative and road transport team of Militzer & Münch Bulgaria. From the terminal, Militzer & Münch mainly serves Germany, Italy, France, Benelux, Spain, and Northern Europe.

„With the new cross-docking facility, we intend to continue expanding in the road segment,“ explains Sacho Todorov, CEO M&M Militzer & Münch BG Co. Ltd. „Thanks to modern technology, our cargo handling operations have become more digital; we are increasing efficiency and raising the quality level even further. We are thus opening up additional opportunities for our new and existing customers.“

Militzer & Münch benefits from Uzbek investments

Uzbekistan is one of the biggest cotton fiber producers worldwide. The Central Asian republic has been investing in its textile and garment industry for some years, banking on technology and know-how from abroad. The industry continues to anticipate massive expansion of capacities.

Militzer & Münch and its customers are also profiting from the investments in the textile sector. For one of the biggest textile exporters in the CIS, Militzer & Münch delivered the equipment to a new production site in the Fergana Valley. Here, in the Uchkurgan region, the exporter combined two of his factories into one plant. The Fergana Valley is famous for its thriving silk production.

For the new production site, the exporter required machinery and other equipment from Belgium, Italy, France, Germany, Spain, Korea, China, India, Switzerland and Turkey. The goods traveled tens of thousands of kilometers by plane, vessel, rail or road. The total transport volume was 650 units, loaded into 150 full truck loads and 500 40-foot containers.

“The project took about one year, it was very exciting, but also challenging”

Renata Gafarova
Project Manager at Militzer & Münch Uzbekistan

The equipment comprised, among others, a complete laboratory, cotton spinning equipment, a rewinding machine, a compressor unit, weaving machinery, winding equipment, a knitting machine as well as an air conditioning system.

“The project took about one year, it was very exciting, but also challenging”, says Renata Gafarova, Project Manager at Militzer & Münch Uzbekistan. “We had to coordinate the deliveries from ten different countries very precisely, observe the different customs regulations – and match all this with the customer’s requirements. We are proud and really happy that everything worked out so well.”

Textile industry in Uzbekistan invests one billion dollar

In revenue, the textile and garment industry is the second biggest sector of Uzbekistan’s manufacturing industry, the biggest being the food, beverage and tobacco industry. All the more reason for the Uzbek government to invest in the textile industry. In 2015, the state joint stock company “O´zbekyengilsanoat” announced a development program until 2020. During this period, projects worth one billion US dollars are to be carried out in the Uzbek textile industry.

The investments offer Militzer & Münch potential for further orders. “The textile exporter is one of our biggest customers and we are proud to be working for the eight factories he operates across the entire Uzbek Republic”, says Khurshid Kasimdzhanov, Managing Director M&M Militzer & Münch Uzbekistan. “The expansion of the textile sector enables us to extend our cooperation with this customer and win new customers from the industry.”

„Our employees are our most important asset“

After more than a year of the pandemic, the Militzer & Münch Group looks back on 2020 with an overall sense of satisfaction. The results of the individual regions vary – but one thing is certain: The employees are committed to creatively mastering the small and big challenges, and to always having an open ear for their customers.

The Militzer & Münch Group’s 2020 business year was, on the whole, satisfactory. “The term ‘mixed fortunes’ sums up the past year quite well,” says Alexei Kovalenko, Chief Financial Officer TransInvest and Militzer & Münch, and spokesman of the Militzer & Münch Group Management. “Except for the spring, especially the month of April, which was marked by lots of uncertainties due to the completely new situation, the rest of the year went largely in line with our expectations.” Among others, there was positive business development in Western Europe, particularly in France and Germany, as well as in the Maghreb.

The Militzer & Münch teams in the individual countries played a substantial role in this development. “These past months have confirmed once again that employees are our most important asset,” says Alexei Kovalenko. “Besides the framework conditions imposed on us by the governments, development is closely related to the colleagues on site. In many cases, the local management did a good job of communicating the temporary and necessary measures, such as short-time work, and the teams went along with them – that was crucial in order to prevail also in the future.”

In addition, the politico-economic framework conditions in some countries were favorable, especially in France and Germany, and Militzer & Münch made use of government support. “In Germany, we experienced some tough weeks in Q2 across all business segments,” says Holger Seehusen, member of the M&M Group Management and Managing Director M&M air sea cargo GmbH. “The option of short-time work was important for the German country unit, and our team fully backed the decision.” In Central Asia, for example, there was no such form of government support, which made the situation far more difficult. There, Militzer & Münch is active in the project business, among other things – this segment however declined noticeably during the pandemic. “Central Asia has been and will be badly shaken by the pandemic,” says Alexei Kovalenko. “However, we are confident that the situation will ease again, and we are still expecting great opportunities in the project business along the new Silk Road.”

Positive signals from the industries

After minor declines, demand from automotive customers already recovered in 2020, and also in the textile and cosmetics sectors, Militzer & Münch records only minor dents in transport demand. “Especially with cosmetics and hygiene products, our expectations of an increase in demand were perhaps a bit higher than it ultimately turned out to be,” says Holger Seehusen. “A positive example is the good cooperation between the teams in China and Germany on the transport of corona protection materials.”

Asia is also benefiting from the e-commerce business, which is particularly noticeable at EMEX, the M&M courier and express service in Kazakhstan – a development that was already apparent in 2020 and continued in Q1/2021. The 1st quarter of 2021 was good in all Militzer & Münch regions, with the country units in Asia still needing to catch up more than their European counterparts.

In some regions, the signs are even pointing to growth: the former delegation in Malaysia has been turned into a full country unit as a joint venture. Militzer & Münch France has taken over ITP and ITPL, companies of the LPS Group (Logistique et Prestations de Services), to further strengthen the Maghreb business. In Vienna, Austria, Militzer & Münch has been represented by its own branch office since October 2020. And the joint venture in Serbia is also developing promisingly. “2020 was the first full year of business for the highly motivated team,” says Alexei Kovalenko. “Thanks to the good development, we decided in March 2021 to acquire the previously rented property with 10,000 square meters of warehousing and 3,000 square meters of office space in Dobanovci near Belgrade, thus giving Militzer & Münch Serbia even more space for growth.”

Ready for the extra mile

The Militzer & Münch Group has always been flexible, and the pandemic once again confirmed it. Where activities allowed, home office options were created at short notice, with both the central IT in Hof and the local IT teams contributing. Some sites relied on a rotating model, which ensured that the offices were never fully staffed.

For the sales teams, among others, however, the pandemic with its many restrictions has been a challenge. “At times, one-on-one customer contact was not possible at all, and digital-only meetings are not easy for either side – neither for forwarders nor for their customers,” says Holger Seehusen. “The creativity of the employees in approaching customers has shown that even in difficult times they are motivated to go the extra mile, to always be close to their customers and understand their needs.” And they demonstrate a great deal of flexibility: telephone conferences called at short notice across national borders and time zones go very well – proof that intensive and efficient exchange is also possible digitally.

Maintaining customer relationships is easier in pandemic times than acquiring new customers, but Militzer & Münch was already well positioned before the pandemic and was able to rely on existing contacts. Thus, the Rail segment at M&M air sea cargo GmbH, for example, developed well in cooperation with the InterRail Group. The relatively new project department in Düsseldorf also gained a foothold and completed some exciting project shipments, including on-carriage to the hinterland, within a very short period of time. In view of the positive business development, Militzer & Münch decided to join the worldwide Atlas Breakbulk Alliance (ABA) network, whose members are forwarding companies with a focus on project shipments only. Thus, participation in the Breakbulk Europe trade fair, which will hopefully take place next year, is a must.

Alexei Kovalenko, Chief Financial Officer, TransInvest and Militzer & Münch, as well as Spokesman of Militzer & Münch Group Management

Holger Seehusen, member of the Militzer & Münch Group Management and Managing Director M&M air sea cargo GmbH.

New country unit in Malaysia

The Militzer & Münch network in Southeast Asia has been expanded: Since May 10, Militzer & Münch has been operating its own country unit in Malaysia. M&M Militzer & Muench SDN BHD, as the company is officially named, focuses on worldwide air and sea freight with comprehensive services.

Militzer & Münch has already been represented in Malaysia by delegate Gopal Krishnan since 2019. He has now taken over the management of the new country unit. “We want to position ourselves in the growth market Malaysia with top quality and comprehensive services,” says Gopal Krishnan. The team’s office is located in Subang Jaya, a major city just outside the capital Kuala Lumpur, with direct connections to both Port Klang and KLIA – the country’s most important seaport and airport, respectively.

“Malaysia is one of the fastest-growing countries worldwide, and is also gaining increasing importance as a logistics hub. With the new country unit, we are making a clear commitment to the location,” explains Andreas Löwenstein, Regional Managing Director Asia / Far East. “We see great potential above all in the air and sea freight sectors, but definitely also in cross-border trucking to the neighboring countries of Singapore and Thailand. In addition, from Malaysia we aim to further expand all our activities in the ASEAN countries.”

In demand: the new route to Baku

Launched last year, already firmly established today: Militzer & Münch’s new truck route Germany – Azerbaijan is in high demand among customers. Every week, two to three groupage trucks are on their way from Eichenzell to Baku, a distance of more than 4,000 kilometers.

Militzer & Münch organizes the transports in cooperation with Nijat Shabanly, the Militzer & Münch delegate in Baku, and TP Logistik, the new local partner. “The first transports started in August 2020,” says Julian Backenstoß, Manager of the Militzer & Münch Eichenzell branch. “Since then, transport volumes have developed very positively. Our customers ship goods from all sectors, from household appliances and electrical goods to pharmaceuticals, chemicals, and products for the food industry.”

There are two options for the route to Azerbaijan: via Poland, Belarus and Russia, or via Austria, Hungary, Romania, Bulgaria, Turkey and Georgia. The decision on which way the shipments are routed is mostly based on the current permit conditions and the political situation. While the truck is in the EU, it can take on additional cargo; the trailer or semitrailer is not sealed until it reaches the EU’s external border. On request, the Militzer & Münch customs departments in Hof or Bad Reichenhall handle customs management.

The trucks are on the road for a total of ten to 14 days each way. Upon arrival in Azerbaijan, the shipments are received at the Baku customs terminal and cleared by the consignee or their agent.

Militzer & Münch Dubai is well on course

Since the reorientation of the M&M country unit in Dubai in 2017 by a new management team, Militzer & Münch has successfully expanded its business and tripled its workforce. In the meantime, the team has extended its service-portfolio to provide customers with a comprehensive range of services pertaining to transportation and storage.

Militzer & Münch has been able to significantly expand its Dubai location in recent months. It was only in October 2018 that the team moved from Dubai Airport to the port in Jebel Ali Free Zone (JAFZ), where it has been operating a warehouse ever since. There, employees can coordinate the loading of containers themselves and offer additional services such as storage, transports to and from India and the Middle East, or the import of flavors for the tobacco industry.

“The colleagues are intimately familiar with the local market and always give proof of high commitment.”

Nikolaus Kohler
Regional Managing Director Middle East / Central Asia, M&M Militzer & Münch International Holding AG

„Since 2018, the customer base and the service portfolio have grown enormously,“ says Nikolaus Kohler, Regional Managing Director Middle East / Central Asia, M&M Militzer & Münch International Holding AG. „An important part of our business in Dubai are warehousing services and distribution for local customers. For example, we very often transport spare parts for boats and ships, and printer consumables.”

A new office for customer service 

Another milestone: Militzer & Münch Dubai has opened its own sales office in the city. „This allows the team to concentrate even more on customer service. A major part of the business is regional transportation for a globally active food company. The team is also currently developing further logistics solutions for the region and for the CIS countries. The employees are also in charge of all questions regarding the Militzer & Münch Dubai air and sea freight services.

„These great developments were possible above all because we have a great team on site in Dubai,“ says Nikolaus Kohler. „The colleagues are intimately familiar with the local market and always give proof of high commitment. We certainly owe our success also to the fact that Militzer & Münch Dubai is well connected locally, while at the same time having access to the international Militzer & Münch network.”