Refining fuel distribution

Cargo Carriers is a JSE-Listed specialised transportation, supply chain and logistics service provider, supplying a full suite of transportation solutions in various industry verticals including sugar, steel, powders, fuel, chemicals, mining, gas, clothing and apparel.

In the past, fuel companies were in complete control of all their processes from exploration to retail. Today, oil giants are rethinking their supply chains. They are recognising that they can improve their position if they form strategic partnerships in distribution segments, especially for distribution by logistics experts with strong local networks, while they turn their attention to specialising in segments in which they have competitive advantage.

When BP reviewed its logistics operations in 2009, third-party logistics providers were invited to tender for the delivery of fuel from terminals to petrol stations and wholesale customers.

Recently, Caltex made the move to employ local distributors in the Eastern Cape with Caltex Eastern Cape Marketers (CECM). Based on a successful track record CECM was then appointed to a wider franchise that now extends to the inner city of East London. The company intensified its focus on higher SHEQ standards, and has optimized distribution through its partnership with JSE-listed Cargo Carriers in a new joint venture called Uzuko Carriers. Cargo Carriers has established a specialist division to service this sector.

“We have a solid track record of distributing fuel and hazardous materials,” says Murray Bolton, joint CEO of Cargo Carriers. “We are ready to take on the rigours of fuel distribution in South Africa. Our high levels of SHEQ, 50 years of logistics experience, and the formation of Uzuko Carriers are all a testament to our ability and willingness to set the standard in local fuel distribution.”