Romtrans to launch domestic express courier services

Romtrans, one of the main players on the market of delivery, logistics and domestic and international freight shipping will launch domestic express courier services this summer to reduce the losses generated by the decline of the customs activity after Romania”s EU integration.

“One of our company”s main targets this year is to introduce express courier services. The introduction of these services, together with the development of the logistics and domestic distribution sectors, will help us to cope more easily when Romania joins the EU, which will significantly curb the volume of customs brokerage operations,” stated Mariana Calin, Romtrans financial manager.

Romtrans is not unfamiliar with running a courier service, as the company is a licensed agent of the US-based UPS express delivery company on the Romanian market, with their Trans Courier Service.

With turnover worth 4.7 million euros in 2005, Trans Courier Service ranks third on the Romanian market of international express shipping. The main competitors of UPS in Romania are DHL International Romania and TNT Romania, which jointly account for more than 80% of the Romanian international express shipping market.

“This product complements the range of services our company is providing and its launch means also the challenge of entering a market with strong players,” added Calin. The domestic courier services market was estimated at 40 million euros in 2005 and was fiercely contested by Cargus and Fan Courier, which held more than 80% of the internal express courier services market.

Romtrans last year registered turnover worth 77 million euros (278 million RON), up 26% from the level attained in the previous year.

“The rise in turnover was influenced by increase of domestic freight logistics and distribution activities, as well as by the rising volume of freight operated in Mol 1 Constanta Sud-Agigea, where we have Black Sea harbour operator activities,” explained Romtrans financial manager. Turnover will expand this year to 82 million euros.

“Given our strategy related to the expansion of the range of services, we forecast turnover will go up by another 6-7 percentage points”.

The company plans to finalise a logistic warehouse close to Carrefour Militari (Bucharest-Pitesti highway) by the end of this year.

“Even though the Romanian logistics market has followed an ascending trend lately and several specialised companies have emerged, we continue to hold an important position on this market because we are the only expedition company delivering full-range services as regards freight shipment”. lavinia.marin@zf.ro