The Philippines' 2GO Express has started phasing out its containerships and will completely transfer to roll-on/roll-off (ro-ro) vessels, according to The Manila Times.
The company, which started its ro-ro service in 2004, will start replacing its 100 containerships with ro-ro ships this year, a process it expects to complete in five years.
Sabin Aboitiz, 2GO Express CEO, said the ro-ro service "eliminates a lot of the middle steps in the supply chain" as it does away with the need for warehouses. Clients can send and receive cargo as if it was running on dry land, because the truck runs on the road, gets on the boat and rolls off at the port, then drives to the destination,"
Mr Aboitiz also explained that although ro-ro ships were more expensive than containerships and eat more fuel, they were faster, more efficient and can make three trips a week against two for containerships.
Mike Camahort, senior vice-president and chief operating officer of 2GO Solutions, explained: "In terms of time, it takes an average of six days using a containership and just an average of three days via ro-ro, with less handling and waiting. All trucks are bar-coded, so customer can go online and see where their cargo is at anytime."
The company's ro-ro volume as of December 2006 was twice as high as the year before, the report added.
The company, which started its ro-ro service in 2004, will start replacing its 100 containerships with ro-ro ships this year, a process it expects to complete in five years.
Sabin Aboitiz, 2GO Express CEO, said the ro-ro service "eliminates a lot of the middle steps in the supply chain" as it does away with the need for warehouses. Clients can send and receive cargo as if it was running on dry land, because the truck runs on the road, gets on the boat and rolls off at the port, then drives to the destination,"
Mr Aboitiz also explained that although ro-ro ships were more expensive than containerships and eat more fuel, they were faster, more efficient and can make three trips a week against two for containerships.
Mike Camahort, senior vice-president and chief operating officer of 2GO Solutions, explained: "In terms of time, it takes an average of six days using a containership and just an average of three days via ro-ro, with less handling and waiting. All trucks are bar-coded, so customer can go online and see where their cargo is at anytime."
The company's ro-ro volume as of December 2006 was twice as high as the year before, the report added.