Branching out through collaboration with Logistikas

Branching out through collaboration with Logistikas

Euroports Rauma and Logistikas, a well-known logistics operator, have developed their customer’s logistics pipeline together. Agility, cost efficiency and sustainable development are generated by cutting down the distances and unloading the containers when they first arrive in Rauma.

This summer, Euroports received a shipment of steel coils weighing approximately 2,500 tonnes. The coils were then transported for storage at the facilities of Logistikas’ Rauma unit. A larger shipment arrived later in the autumn. Euroports unloaded a 3,700 tonnes shipment of the same material from a ship. This is a new venture for Euroports Rauma.

– We have never worked with steel coils like this before. Previously, any arriving coils have come in containers. We had preexisting equipment and expertise for this project.

Of course, we performed internal checks on our procedures in regard to work safety, unloading ships, and loading trucks says Mikko Ahtola, Commercial Manager of Euroports Finland Oy.

– As a result of these two shipments, we have established procedures for both declared and undeclared goods. When the next shipments arrive, we know what actions we need to take.

In this collaboration, both parties have their own customers. Depending on the delivery terms, Logistikas orders services from Euroports or vice versa. Euroports manages the operations within the port area while Logistikas manages transport and storage.

– Together we proved the high level of service security to our customers. This means that we showcased how the entire process works until the very moment the coils arrive on their property. We know Euroports as an operator well which makes it easy for us to offer these types of collaborations to our own customers with transparency, explains Markus Viitanen, Sales Manager of Logistikas.

Containers back in rotation faster than before

The impact of a reliable, high-quality port operator is significant for the work Logistikas does every day as the company operates in the immediate vicinity of the port and the imported and exported goods of their customers are transported through the Port of Rauma. Logistikas operates in the facilities of their customers as well as their own logistics centers in ten different cities across Finland.

Previously, these steel coils were delivered from a port located in southern Finland to the eastern parts of the country. From there, they were transported to the west coast. By utilizing the Port of Rauma, logistics become more efficient in many ways.

– If we unload the containers immediately here on the coast, there is no need to transport them inland. This way we can get the containers back in rotation quickly. It creates savings for the customer and boosts the attractiveness of the Port of Rauma. Driving empty containers for long distances is not cost-effective, Viitanen says.

– In addition to cost efficiency, sustainable development is an important aspect. Distances become shorter which makes the logistics more ecological. This is an important value for the both of us as well as for our customers, adds Ahtola.

Ahtola points out that these types of operations offer a potential direction of business growth for the port operator.

– To gain new traffic for the port we must look beyond the waymarked routes and their incoming or outgoing traffic, so to speak. If we want to reroute traffic to the west coast and the Port of Rauma, we need to look into different opportunities from the new perspectives the synergy between the two strong local operators creates, Ahtola says.

In the core business of port operations, the shipments must be large enough so that material handling is economically viable and additional value can be created in a reasonable proportion. The collaboration between Euroports and Logistikas will become even closer in the future; the companies are in constant dialogue and development is ongoing.

– We have even redirected large production volumes from our customers to the Port of Rauma because this route allows us to create a cost-effective logistics pipeline. From here, we have very good connections to almost everywhere in Finland, Viitanen emphasizes.