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Head of DHL Freight Division Sceptical about Logistic Holding Plan

Ljubljana, 15 October (STA) - Hermann Ude, the head of the forwarding and freight division of logistics giant DHL, does not understand the plans for a logistics holding in Slovenia. Creating a monopoly over logistic infrastructure would halt the development of the sector, he told Friday's Finance.

Slovenia is successful because it is a small country that can adapt quickly. Linking up port operator Luka Koper, rail operator Slovenske zeleznice and logistics firm Intereuropa would bring development to a halt; synergies would be small but the damage would be big, he said.

"Luka Koper is a good partner for us now, because its main task is to cooperate with different forwarders and to develop port infrastructure," he told the business daily.

"The bottom line is: the project might work well because it is big, but I think it will not create added value, neither for the state nor the freight forwarders."

According to Ude, if the companies were integrated the Luka Koper management might decide its priority is a fast rail link between Koper and Italy's Milan, and all investment would be channelled to this project.

For DHL Global Forwarding and Freight, Luka Koper is more useful if it is not connected with railways and Intereuropa; it is best if it can freely cooperate with all shipping companies and other partners.

"I don't understand what benefits [Luka Koper] would have from the tie-up. The fact is that a new monopoly of logistics infrastructure would be created and monopoly always means higher prices and lower quality of service."

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