A touch of Italian flair

Euro-Med Ireland Logistics Ltd., was established in December 1999 to operate a car distribution terminal in Ringaskiddy, Co. Cork from where it imports and distributes Fiat and Alfa Romeo cars throughout Ireland. Transportation manager John Forde reviewed the company’s first year in business.

The company was set up as a partnership between Grimaldi Lines of Italy and their agents in Ireland, Ocean and General. Grimaldi Lines has a contract with the Fiat Auto Group to provide door to door logistics services for their products throughout various European markets, including Ireland. “Grimaldi Lines started a service to Ireland in January 1998. This has been a natural progression from that. We take responsibility from the factory right through to the dealership. This gives Fiat the benefit of one point of contact for all issues concerning the movement of the car,” John explained.

The new company certainly hit the ground running, entering the market at a time of high demand. John elaborated: “we had a very steep learning curve, like any start up operation. We commenced the business right at the peak season for delivery of cars. We delivered some 12,000 cars in our first four months of operation. At this point in time things are ru0nning very smoothly and we are very happy with the way things have progressed.”

Additional Capacity
Operating from a 40,000 square metre terminal in Ringaskiddy the company are currently constructing an additional 40,000 square metre facility which will include new offices. “It will double our capacity for parking cars from 2,000 to 4,000. During the peak season we would hope to deliver 1,000 cars per week. We will build up stock between now and the end of the year and that will quickly disappear in the new year,”John enthused

The company recently constructed a pre-delivery inspection centre and a new workshop. Managed by Adrian Sheehan the P.D.I centre will check each vehicle for road worthiness before delivery. Minor repairs and van conversations will be carried out in the workshop.

To facilitate the distribution process the company has six trucks of 10 car capacity and two trucks with eleven car capacity. “Above and beyond that we sub-contract to other car transportation companies. We would anticipate that we will continue to sub-contract part of our volume in the future,” John revealed.

Vessel
The cars are shipped to Ireland weekly and are discharged at the port of Cork. John explained: “A Grimaldi Lines vessel arrives every Saturday. We prepare the cars in the first few days of the following week and deliver the cars before the next vessel arrives.” The cars are then distributed to the 28 Fiat Auto dealerships throughout the country depending on requirements.
The company has a number of other strings to its bow which complements in the importation and distribution of cars. “Euro-med are not only involved in the transportation of cars. The shipping line itself connects Ireland to 17 other ports in Europe and the Mediterranean and we carry all types of cargo. We carry containers, general cargo, refrigerated cargo, all types of rolling stock. We ship cars for Ford, General Motors, Peugeot / Citroen and Mitsubishi into Cork and they make their own arrangements for delivering the cars.”

Import
“We take containers of tiles from Turkey, tomatoes from Italy, salt from Israel, textiles from Egypt and so on. They would then be delivered throughout Ireland. We also export cheeses to Greece, food products throughout the Mediterranean, computer products to Malta etc.,” John explained.

The collection of products for export and the delivery of imported products is carried out through a mixture of “inhouse transport” and sub-contractors. The company uses semi-trailers for the delivery of cars. This allows the trucks to hitch on other trailers and carry containers giving the company more flexibility. The company has also built a 2,000 square metre container handling facility within the terminal. “This gives us the infrastructure to grow in the future. We are only at the very beginning of what we plan to do,” John revealed.

Advantages
He revealed that shipping cars with general freight had a number of advantages. “From a logistical point of view we have a vessel arriving every week regardless of the volume of cars on the ship. If Fiat have 50 cars to deliver this week, the vessel will come with 50 cars. The fact that we put the cars with all our other business makes the ship viable.” The goods for export going out on the return journey have a similar effect.

Trucking Moves
The company do about 3,000 trucking moves per year for cars and a similar number of movement for imports and exports other goods. John added that there is room for growth and expansion within the business. “Both (sides of the business) have great potential. The service began in ‘98 and has grown at about 100% per year. We would anticipate that next year will double again. However the car side of the business will eventually reach a plateau.”

The proliferation of 00 registered cars throughout Ireland has certainly boosted Euro-med’s business and John predicts there is further room for growth. “Ireland is now achieving similar standards of living as its European neighbours. The average car ownership in Europe is 50 per hundred people. Ireland is well behind that and is playing catch up.”