An advanced, multi-functional logistics base Schenker BITCC (Beijing International Technology Co-operation Centre) Logistics Center - opened at Beijing International Airport yesterday.

The centre, which took a year to build, covers a storage area of 12,750 square metres. It has 140 pallet positions and 13 docks for loading and cross-docking processes.

It says it would provide not only traditional air, sea, and land transportation services, but also tailor-made logistics solutions for high-tech industries like telecommunications, pharmaceuticals, auto and electronics.

"Due to the location of our new terminal, we offer our international customers the most efficient access to one of the top emerging regions worldwide," said Karl-Heinz Emberger, general manager of Schenker BITCC Logistics Co Ltd.

"Although the new centre is not the largest in area, we offer the most service categories and best service quality," he added.

Logistics services in China are still in their infancy and lag way behind the United States and European countries. Local companies entered the field only during the last five years.

In 2002, China opened up the sector to foreign logistics companies and Schenker got the opportunity to fund the joint venture (JV) in China, said Enberger.

The JV, Schenker BITCC Logistics Co Ltd, has a registered capital of US$5.7 million, of which 70 per cent owned by Schenker. At that time, it was the first foreign majority shareholding joint venture in Beijing.

Han Meng, deputy general manager of Schenker BITCC Logistics, told China Daily that Schenker had won the bids for two businesses international cargo and Customs clearance - for the 2008 Beijing Olympic Games.

"We have signed the contract for being the Beijing Games' logistics supplier with the International Olympic Committee. And the contract with the Beijing Organizing Committee for the Games of the XXIX Olympiad (BOCOG) will be inked in days," said Han.

On July 27, UPS was declared by BOCOG to be the 2008 Beijing Olympic Games logistics partner. "However, their co-operation excluded international cargo and Customs clearance," Han said.

Han believes that "based on the understanding of our customers' needs, the opening of the logistics facility centre is an obvious strategic step to expand our logistics services in Beijing."

(China Daily September 7, 2005)