Challenges

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• Challenges
• for the
• Cool Chain logistics sector
• by Christian Helms
• 10th November 2008
• Logitrans, Feria de Madrid, Madrid

2
Overview

• Present Status
• Short-term Consequences
• Long-term Consequences
• Path to success

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Present Status

• Broken Cool Chain / participants
• No harmonization of requirements
• 30 spoilage
• Increasing world population
• Increasing hunger

4
The old / present supply chain
Airline
Distributor
Production
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Present Status

• Broken Cool Chain participants
• No harmonization of requirements
• 30 spoilage
• Increasing world population
• Increasing hunger

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Increasing World population
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Present status

• Broken Cool Chain participants
• No harmonization of requirements
• 30 spoilage
• Increasing World population
• Increasing hunger

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Increasing hunger

• To saitisfy the worlds sanitation and food
  requirements would only cost US13 billion what
  people of the United States and the European
  Union spend on perfume each year
• Chronic food deficits affect about 814.2 million
  people in the world (FAO 2005)
• There is a future need to produce 34 more food
  for an increasing population and at the same time
  also eradicate the present poverty for 1.3
  billion people

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2. Short-term Consequences

• Increasing Food costs 6.7 in the Euro area from
  July 2007 to July 2008 (Eurostat)
• Increasing demand for efficiency gains
• Increasing demand for tasty/healthy food ?
  worldwide sales of ecologically produced food in
  2000 worth 18 billion Euro, annual growth rate at
  about 5 billion Euro.

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3. Long-term Consequences

• Global standards and harmonization, e.g. CCQI
• Political measure (WHO, UN, EU, local
  governments,...)
• One stop shop service provider
• Increasing food imports ? 52 between 2003 and
  2007 in the US and the EU
• Eliminate no value adding intermediaries

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CCQI-Overview
Example Airfreight
Production
Consumption
Road Transport
Road Transport
Storage / Handling
Storage / Distribution
Transport to Aircraft
Transport to Terminal
Air
Transport
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3. Long-term Consequences

• Global standards and harmonization, e.g. CCQI
• Political measure (WHO, UN, EU, local
  governments,...)
• One stop shop service provider
• Increasing food imports ? 52 between 2003 and
  2007 in the US and the EU
• Eliminate no value adding intermediaries

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The future supply chain
Supply Chain
One stop shop supply chain provider
Production
Airline
Trucker
Customs Agent
Airport
Packaging supplier
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3. Long-term Consequences

• Global standards and harmonization, e.g. CCQI
• Political measure (WHO, UN, EU, local
  governments,...)
• One stop shop service provider
• Increasing food imports ? 52 between 2003 and
  2007 in the US and the EU
• Eliminate no value adding intermediaries

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4. The path to success

• Invest into Know-How
• Understand the supply chain
• Demand Glasshouse

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Together we can do Better...
Thank You!
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• Questions to Cool Chain Association

Kerstin Belgardt Contrescarpe 52 28195
Bremen Germany Tel [phone] Fax 49
421 460 470 10 E-mail sec_at_coolchain.org