Wednesday , 18 September 2019
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PSA to collaborate with SATS on sea-air connectivity in Singapore

PSA International and airfreight services provider SATS have signed a Memorandum of Understanding (MOU) to provide cargo owners and logistics service providers with greater connectivity for supply chain efficiency, aiming to boost Singapore’s status as a key multimodal transport hub.

The pair will collaborate on a wide range of cross-industry initiatives, particularly in the perishables, electronics, and e-commerce spaces.

Combining sea and air connectivity services, the partnership looks to strengthen Singapore’s position as a global transhipment hub for air and sea cargo, potentially paving the way for new business models and supply chain innovation.

It is hoped that the freight industry, including small and medium-sized enterprises, could benefit from improved multimodal linkages and transit systems for better supply chain efficiency, optimised transport costs, and faster delivery.

Tan Chong Meng, group CEO of PSA International, said: “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 fulfill these demands.

“In addition, through digitally connecting CALISTA 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.”

Through “Yard-to-Port” data linkages and network extensions between both companies as well as enhanced track-and-trace capabilities, the partnership hopes to facilitate data transparency and ease of shipment movement within different free-trade zones (FTZs).

For example, as the world’s first ground handler to receive European Union (EU) approval as an authorised establishment for the provision of meat transshipment services between New Zealand and the EU, SATS’ services 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 CALISTA, the global supply chain platform developed by PSA’s subsidiary GeTS Asia Pte Ltd, to provide real-time updates and greater visibility for shipments transported via multimodal channels.