LATEST LOGISTICS AND FORWARDING NEWS

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1 LATEST LOGISTICS AND FORWARDING NEWS FRANCE -Direct flights between Brest and London -Restructuration plan for Air France-KLM group -A taskforce to better co-ordinate the planning of freight trains INDIA -Hapag Lloyd and Hamburg Süd increase their capacity between India and Hamburg -Boosting the development of inland waterways -CMA CGM has increased its tariffs MADAGASCAR -Growth of the textile sector in The revamping project of Ivato international airport and of the extension of that of Nosy Be in abeyance -The National Electricity Agency of Thailand explores Madagascar

2 MAURITIUS -Evergreen wishes that at least one of its vessels calls at Port Louis -Oil refinery project -The recommendations of American consultants Louis Berger Group (LBG) MOZAMBIQUE -Projects in the Zambezi Valley -Investments of 660 million US dollars in two projects -A new rail link with the ports in Mozambique REUNION ISLAND -Air Mauritius flights between Mauritius and Reunion Island, under Air France flight number -The requests of the road hauliers -Air Austral will not service the Seychelles OTHER PARTS OF THE WORLD -Growth in sea-air freight traffic at Dubai -CMA CGM has reorganised its CIMEX 1 service -Record investments planned in railways in the United States

3 LATEST LOGISTICS AND FORWARDING NEWS FRANCE Direct flights between Brest and London Air France will be offering through its subsidiary, City Jet and as from the 25 th March, 2 non-stop flights between Brest and the City of London each week. The plane, a Fokker 50 will take off from Brest on Fridays and Sundays. Restructuration plan for Air France-KLM group Air France-KLM group has announced that it will cut its debts by 2 billion in 2012 and up to around 4 billion by the end of It will also restructure its short as well as medium-haul operations and reduce its fleet so as to overcome the current imbalance between supply and demand in air transport. A taskforce to better co-ordinate the planning of freight trains The company that manages the rail network in France, RFF has established a taskforce to better co-ordinate the planning and operations of freight trains in collaboration with the major rail freight customers. This initiative aims at addressing the difficulties of rail operators to obtain network capacity for their freight traffic due to the current modernisation works.

4 INDIA Hapag Lloyd and Hamburg Süd increase their capacity between India and Hamburg With the growing maritime trade between India and the Port of Hamburg, shipping companies Hapag Lloyd and Hamburg Süd have deployed seven larger vessels with a capacity of TEU instead of TEU each on the Indian Ocean Service (IOS) which covers the Indian ports of Mumbai-Nhava Sheva and Mundra. Mainly fertilizers, machinery, chemical products are shipped from Hamburg to India while textile products, stoneware and textile raw materials take the other direction. India is currently the 12 th trading partner of Hamburg. Boosting the development of inland waterways The Prime Minister of India, M. Singh has taken steps to fast-track the development of infrastructure by the government and private companies, on the km of navigable waterways of India. He wants to promote the transportation at low cost of bulk or project cargo but also of containers. CMA CGM has increased its tariffs CMA CGM has increased since the 1 st February, the tariffs of the westbound trade of its Epic service (from India to Northern Europe and the Mediterranean). For dry and refrigerated cargo, a hike of US $ 200 per TEU and of $ 400 per 40 feet container, has been applied.

5 MADAGASCAR Growth of the textile sector in 2011 According to the Group of enterprises and partners of the export processing zone, the textile sector of Madagascar has recorded a 20% growth in 2011, especially in the European market. In 2012, there are uncertainties due to the international economic situation but new opportunities are coming up with the possible arrival in Madagascar of a Japanese group specialised in cotton. The revamping project of Ivato international airport and of the extension of that of Nosy Be in abeyance The revamping project of Ivato international airport and of the extension of that of Nosy Be are in abeyance. The Managing Director of Airport of Madagascar (Adema) has stated to the press that Adema is looking for a source of financing and hopes that negotiations will be finalised in The extension of Nosy Be airport will enable jumbo planes such as Boeing 777 or Airbus 340 to land and take off. The National Electricity Agency of Thailand explores Madagascar The National Electricity Agency of Thailand (EGATI) will undertake feasibility studies before taking the decision to invest or not in hydroelectric power or in renewable energy.

6 MAURITIUS Evergreen wishes that at least one of its vessels calls at Port Louis The shipping line Evergreen has undertaken negotiations so that at least one of its own vessels services Port Louis. Evergreen has currently a slot-sharing agreement with Mitsui OSK Line. The container-carrying ships of Mitsui OSK Line call at Port Louis 3 times per month, doing the following port rotation: Malaysia Singapore-Port Louis-Durban-Maputo before moving back to Malaysia. Evergreen wishes to introduce one of the vessels of its own fleet to increase the frequency to a weekly basis. Oil refinery project Indian company Mangalore Refinery and Petrochemicals Ltd (MRPL) has asked the Government of Mauritius to carry out a feasibility study to see if an oil refinery can be set up in Mauritius, outside Port Louis, may be at Mahebourg. The project is estimated at 2 billion US dollars and can contribute to turn Mauritius into a petroleum hub in the Indian Ocean. The recommendations of American consultants Louis Berger Group (LBG) American consultants Louis Berger Group (LBG) has told the Government of Mauritius that Fort William in the port area, could be developed into a site for a modern fishing industry and to establish a unit for the processing of seafood.

7 MOZAMBIQUE Projects in the Zambezi Valley The Mozambican government has granted 200 million US dollars to the Public Development Agency of Zambezi Valley so that several projects for the economic development are achieved by 2014, such as the construction of a factory for the assembly of tractors in the province of Sofala. Investments of 660 million US dollars in two projects The Mozambican government has granted a forest concession of acres to company IFLOMA (Manica Forestry Industries) in the province of Sofala. 450 million US dollars will be invested to produce wood and related products. Furthermore, acres of land have been allotted to company Episteme which will invest 210 million US dollars over 10 years, in the production of sugar and cotton. A new rail link with the ports in Mozambique South African group Transnet and Swaziland Railways will build a new rail line that would boost trade in the region. The project estimated at 17 billion rands, includes upgrading the existing railway infrastructure so as to establish a new rail link with the ports in Mozambique. The project is expected to be completed by 2016.

8 REUNION ISLAND Air Mauritius flights between Mauritius and Reunion Island, under Air France flight number Since the 1st February, Air France commercialises the daily flights operated by Air Mauritius between Reunion Island (Saint-Denis and Saint-Pierre) and Mauritius, under Air France flight numbers. This code-share agreement enables a greater number of destinations to be served via Mauritius and via Reunion Island. Air Mauritius operates up to 7 daily flights between Mauritius and Reunion Island. Air Mauritius and Air France together have up to 18 flights per week between France and Mauritius by Airbus A or Boeing Moreover, Air France operates up to 12 weekly flights to Reunion Island by Boeing ER from Paris-Orly airport. The requests of the road hauliers Eight trade-unions of road hauliers have asked for a drop in price of fuel by euro per litre of fuel at filling stations and that the price remains the same until they obtain fuel as professionals. Air Austral will not service the Seychelles Air Austral intended to service the Seychelles (Mahe) from Paris starting the 27 th March. However, the air carrier has decided not to go forward with this project due to the commercial partnership that the Government of the Seychelles has signed with Etihad Airways, the national airline of Arab Emirates.

9 OTHER PARTS OF THE WORLD Growth in sea-air freight traffic at Dubai The World Central Airport of Dubai is reaping the benefits of sea-air freight traffic due to the bonded link from port of Jebel Ali to the airport. The World Central Airport has been handling an average air cargo of tonnes per month. 36 air carriers, mostly cargo flights, land and take off from that airport. CMA CGM has reorganised its CIMEX 1 service CMA CGM has reorganised its CIMEX 1 service on the Asia-Middle East trade after entering into an agreement with shipping lines CSCL and UASC. The 3 companies jointly operate the CIMEX 1 service with seven vessels. Calls at the ports of Jebel Ali and Khorfakkan have been added to facilitate entry to Gulf destinations through CMA CGM s feeder vessels. Record investments planned in railways in the United States The Association of American Railroads (AAR) said that it is going to spend a record US $ 13 billion in freight railroads in Railways are used for the transportation of 42% of freight in the United States.

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