The world’s largest transport and logistics trade fair opened in Munich yesterday with a recordnumber of exhibitors and hopes for a record number of trade visitors this week despite heavy volume
declines and a price war in the industry sparked by the international economic downturn.The number of exhibitors at Transport Logistic has increased by 11% to 1,760 companies from55 different countries this year, organiser Messe München announced. The number of non-Germanexhibitors has risen by 16% compared to the last show in 2007 and now represents 41% of allexhibitors.
“Transport Logistic has developed into the leading trade fair in Europe and one of theleading ones in the world,” said Messe München board member Eugen Egetenmeir at the opening pressconference yesterday. The figures reflected a clear trend for companies to focus their trade fairparticipation on events offering “the best return on investment” in economically difficult times,he commented.
The major exhibitor segments are logistics providers, IT companies, air cargo operators(including 200 airlines and airports), ocean freight-related companies and about 80 rail operators,while there are more country stands and joint presentations than in 2007.
However, there is only a relatively small number of courier, express and parcel companiesexhibiting at Transport Logistic this year, headed by DHL and several German operators includingHermes, Trans-o-flex and GO Express & Logistics. Notable absentees are TNT and DPD. Egetenmeirsaid this was a “temporary” effect and he expected CEP operators to be “fully back with us” at thenext event in 2011.
After 47,000 trade visitors attended the 2007 event, Egetenmeier declined to predict how manywould attend this year, but Michael Kublenz, head of the German freight forwarders association andchairman of the Transport Logistic advisory board, forecast the event would top the 50,000 figurethis year. He also emphasised the importance of this year’s event during the market downturn as anopportunity for discussions between suppliers and customers.
Outlining the current state of the German transport and logistics industry against thebackground of an expected 6% drop in GDP this year, Kublenz said companies in the sector are seeingvolume drops of 10% – 30%, with relatively stable business for consumer goods but declines of up to50% for industrial goods. Over-capacity built up in recent years is leading to massive pricepressure as a result, he said. “Price falls of 10% – 30% are not unusual,” he declared.
“Overall, the logistics sector is in recession and the volume of business is declining acrossthe board,” Kublenz stated. While the German transport ministry has predicted a 4% decline for theindustry, the sector itself expects declines of up to 12%, he pointed out. The transport andlogistics industry should use this period to review strategies, optimise processes and adapt coststructures, while the government should ensure investment in transport infrastructure, especiallyin port hinterland connections, he added.
