Current and expected market performance in the coming years
World economic growth rate reached 3.5% in 2012, but dropped to 3.2% in 2013. It is expected that it will slightly increase to 3.4% in 2014 and 4% in 2015, according to the World Bank Global Economic Prospects. It is also expected that growth rate in the advanced economies will be 1.8% in 2014 compared to 2.4% in 2015. The projected growth rates play a decisive role in world expansion as well as improvement of emerging and developing economies. Therefore, growth rate in emerging economies is expected to be 4.6% in 2014 and 5.2% in 2015.
Slower growth rates have a relative impact on the Company’s businesses. This was evident in Q4 of 2014, when the US export market of dry bulk cargo, project cargo, and RO/RO cargo to the Middle East and India witnessed a sharp decline.
To enhance Ro/Ro cargo transportation, Bahri General Cargo will focus on the heavy vehicle sector to acquire a bigger market share between the Kingdom, India and United States.
Develop human resources and quality policy
The Company recruited well-experienced professionals in the field of general cargo transportation in the local and regional offices of the Company
The Company pays full attention to the Quality Department and continually improves its processes and operations via regular workshops and quality assessments. In addition, the Company has been fully endorsed via the ISO 9001:2008 certification. In 2014, Bahri’s General Cargo Transportation Co. in Baltimore, Maryland, United States, followed suite and successfully obtained the ISO 9001:2008 certificate. These achievements will ensure additional improvements in the regular operation of maritime routes heading to the east and west. Services of other sectors in the field of general cargo transportation are managed also through systematic application of documented processes and operational procedures subject to a rigid quality management system and precautionary procedures.
Phase I of migrating from SIS system to MOVE system will be finalized in 2015.
Activities conducted in 2014
Newly-added ports are: Jacksonville and Aqaba in the east bound route and Izmir in the west bound route.
Current projects or to be completed in 2015
The contract with the Ministry of Defense was renewed for additional 5 years
A contract was signed with Doosan Heavy Industries to transport the desalination equipment under Phase III of Yanbu Project.
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Annual Report 2014
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