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    Better business for
    freight firm this year
    By VG Cabuag
    Reporter

    THE Philippine unit of a Germany-headquartered document and freight shipper expects a slight improvement in the country’s logistics market this year, buoyed by the outsourcing industry and economic expansion.

    According to Lawrence P. Llamzon, country manager of DHL Express Philippines, the domestic logistics market could expand anywhere from 10 percent to 12 percent, which could be good for most businesses engaged in shipping cargoes.

    Llamzon said that the expected expansion—of which DHL claims to  command an estimated 40-percent market share—could boost the company’s cargo volume by 13 percent for the year.

    “A company always has to grow ahead of the market to stay viable and competitive. So we are definitely targeting more than 12 percent,” Llamzon told reporters last week.

    To bring about this growth, the company will establish retail outlets all over the country and will groom “new growth channels” to sustain such expansion.

    Although it has already established its DHL Servicepoint outlets in Metro Manila—a one-stop shop for its customers’ express and cargo delivery needs—the company will soon put up the same branches in other cities.

    DHL’s local business involves serving semi- conductor companies—whose products are the biggest Philippine export—the same market of its competitors such as TNT Philippines, Federal Express and other smaller players.

    However, Llamzon said the company intends to diversify its operations to other growth areas to maintain sustainability and its market leadership.

    “This is why the boom in outsourcing is good for us. There are more documents to deliver,” he said. “The common misconception is that DHL only delivers small mail packets or, at most, boxed parcels weighing about 10 kilograms. We can deliver cargo of up to five tons,” Llamzon said.

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