Supply chain solutions provider Barloworld Logistics and bulk commodities shipping and logistics company LBH Africa formed a strategic partnership in March to offer dry bulk commodity supply chain solutions into and out of Southern Africa.

Barloworld supply chain management executive Rupert Schmidt tells Mining Weekly that the combination of Barloworld’s supply chain capabilities and integrated technology platform with LBH’s in-depth understanding of bulk commodity movements enables the parties to offer customers a more holistic, optimised and value-adding supply chain.

Barloworld CEO Steve Ford says the company’s specialist skills and in-depth practical knowledge further allow for customised and enhanced dry bulk commodity logistical processes, thus reducing operational costs, improving service, adding visibility and increasing reliability.

The Barloworld Logistics and LBH Africa team will act as a single point of contact between clients and multiple service providers across the dry bulk supply chain.

Schmidt reaffirms that the partnership will be most effective when dealing with dry bulk commodities, which are particularly prominent in the chemicals, minerals and grain industries. He particularly lists coal, manganese, magnetite, anthracite, sulphur and soda ash as probable cargoes.

“We are working on some exciting projects together, including moving anthracite on rail,” adds Schmidt.

Meanwhile, LBH Africa MD Athol Emerton points out that providing cargo owners with relevant real-time information and stock-level visibility across the supply chain will enhance accurate cargo and ship planning, minimise demurrage and potentially facilitate early funding mechanisms that enhance cash flow.

Ford asserts that technology plays a vital role in increasing visibility across the supply chain, delivering insightful management information and enabling faster, smarter and more successful decision-making, as well as facilitating better control across the supply chain.

Emerton states that LBH’s partnership with Barloworld allows for truck congestion at mines and ports to be alleviated, standardised points of departure and prompt regular contractor payments.

Schmidt adds that the partnership also enables customers to achieve better safety and governance standards along their supply chain.

Both businesses are strategically positioned and globally connected through an established freight network on international trading routes, he states, adding that this forms a comprehensive understanding of local and international markets, customs and excise law requirements, as well as the safe and cost-effective movement of goods inland through ports, across borders and on oceans.

By integrating processes and managing multiple suppliers, the team offers integrated multimodal management solutions that enhance visibility and improve security, service and efficiency across the supply chain, while simplifying and reducing the administration of the movement of dry bulk commodities, explains Schmidt.

He asserts that forming mutually beneficial, strategic relationships with key suppliers and business partners enables companies to focus on their core business, while leveraging the expertise and experience of industry leaders to fast-track innovation and enter new markets.

“Our partnership with LBH Africa is indicative of our strategy to leverage our supply chain expertise and expand our service offering into niche markets,” states Ford.

“We are delighted to provide customers with a unique lighthouse visibility solution and look forward to continually innovating to create the most competitive and secure bulk solutions in the industry for our customers and to potentially roll them out to other regions over time,” concludes Emerton.