Singapore is upping its multimodal cargo game with container port operator PSA International and Changi Airport-based cargo handler, SATS signing an agreement to boost sea-air connectivity.
PSA and SATS say they will collaborate on a wide range of cross-industry initiatives, particularly in the perishables, electronics, and e-commerce spaces. From ‘Yard-to-Port’ data linkages and network extensions between both companies, to enhanced track-and-trace capabilities, the partnership will facilitate data transparency and ease of shipment movement within different free-trade zones (FTZs).
The Memorandum of Understanding (MOU) signed Thursday aims to provide cargo owners and logistics service providers with seamless connectivity for greater supply chain efficiency.
“Combining sea and air connectivity services, the partnership between PSA and SATS strengthens Singapore’s position as a global transshipment hub for air and sea cargo, paving the way for new business models and supply chain innovation,” the duo say.
“When SATS became the world’s first ground handler to provide multimodal meat transshipment services between New Zealand and the EU, we demonstrated that multimodal connectivity can attract higher trade flows,” says Alex Hungate, president and chief executive officer, SATS.
“Today, we hope our cross-industry initiatives with PSA will now enable the whole industry to market efficient multimodal solutions globally, through Singapore.” Taking the example of the multimodal meat transhipment which requires European Union (EU) approval, SATS says the service could potentially be extended to new trade routes across both companies’ networks.
Beyond physical cargo movement, SATS and PSA will also integrate their systems to aid regulatory compliance and build data analytics capabilities. COSYS+, a comprehensive cargo terminal handling & management system operated by SATS, will be linked with CALISTATM, the global supply chain platform developed by PSA’s subsidiary GeTS Asia, to provide real- time updates and greater visibility for shipments transported via multimodal channels.
Tan Chong Meng, Group CEO, PSA International, comments: “Shippers are increasingly seeking innovative multimodal solutions for their cargo to reach their preferred markets competitively.
“This partnership with SATS will enhance Singapore’s ability to offer unique air-sea multimodal connectivity to fulfil these demands. In addition, through digitally connecting CALISTATM and COSYS+, we will be able to offer multimodal users greater visibility of their cargo and better protection of cargo integrity, with optimised transit times and costs.”
The move, facilitated by government agency Enterprise Singapore, is amed at boosting Singapore’s status as a key multimodal transport hub.