DHL decides to scale down its Dar operations
What you need to know:
- Reports indicate that DHL Logistics Tanzania Limited pulled out since July 1, for undisclosed reasons.
- However, the move has come in the public eye through letters the company wrote to some of its clients in the country.
Dar es Salaam. A German logistics company, part of the DHL group, is shutting down its local operations which will, however, be contracted to a Tanzanian firm.
Reports indicate that DHL Logistics Tanzania Limited pulled out since July 1, for undisclosed reasons.
However, the move has come in the public eye through letters the company wrote to some of its clients in the country.
The company, which trades as DHL Global Forwarding (DGF), deals mainly with shipping of containers, air and road freight, project and heavy lift business as well as stock cargo movements.
Its sister company – DHL Express, which is the more popular face of the German corporate will not be affected as its operations will continue normally, sources privy to the management told The Citizen yesterday.
DHL Express is the biggest division of Deutsche Post and predominantly runs daily courier and small parcel movements in the logistics chain of the company.
In the letters seen by The Citizen, DHL Logistics Service Customer Officer Mr Daudi Lupemba told their clients that the company would be seizing its operations following decisions taken by the board in Tanzania and the corporate office in Germany.
The firm’s country manager, Pramod Bagalwadi also revealed the same in a letter to FFT chief operating officer Ms Farah Meghji, informing her of the decision to appoint them as agents.
“We count on your support in this exercise through closure of our account in your system or books with necessary reconciliation of accounts at end of June 2017,” wrote Mr Bagalwadi.
The Citizen learnt that the firm and FFT have had a working relationship over the latter’s extensive local network of warehouses and trucking.
Efforts to independently establish the fate of the workers in the company yesterday were in vain as employees, who were available, declined to comment on the development.
For his part, the Chief Executive Officer of FFT, Mr Mark Isikson said he was not aware of the DGF closure reports.
Even so, he admitted the two companies have been cooperating in their business. FFT operates a fleet of trucks, warehouses and cranes besides engaging in customs clearance.
