Switzerland's Kuehne & Nagel has acquired a licence to operate as a non-vessel operating common carrier (NVOCC) in China, greatly enhancing its ability to act as an independent forwarder.
The licence, from the Ministry of Communications, allows the company to issue its own bills of lading, effectively giving it the authority to directly sell international sea-freight services in the mainland.
'It will allow us to provide . . . integrated logistics solutions as well as further boost our business development in the fast-growing market in [China],' Asia Pacific managing director Andy Weber said.
The move also signals a wholesale shift in mainland policy towards NVOCCs and the issuance of licences to foreign companies involved in international trade in the mainland.
China has traditionally refused to recognise NVOCCs and has instead issued Class A licences to foreign forwarders and shipping lines through the Ministry of Foreign Trade and Economic Co-operation (Moftec).
Five years ago only three companies - Maersk, Sealand and AEI - were believed to possess such a licence. All other companies had to sell their services through agents such as Sinotrans, which would charge a booking commission.
The NVOCC licence, thought to be comparable to the Class A accreditation issued by Moftec, signals Beijing will now allow competition in the logistics-related licensing arena.
