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The transport industry is highly risky and volatile, yet very lucrative. CGI got involved in providing this service through identified need in the industry. The company has been assisting SME Transporters in raising development finance (government supported) to purchase trucks and trailers.

Most of the SMEs in this industry do not have access to large goods producing companies for transportation contracts, thus they have to rely on transport brokerage companies who charges as much as 50% brokerage fee. In certain cases the SME might provide this service to help boost their business, only to be left unpaid.

On the plus side, some major goods producers such as SAFCOL, are reluctant to deal with brokerage companies given the high brokerage fees they charge the SMEs, preferring instead to deal directly with the SMEs. This created a different kind of problem, the SME transporters are not able to meet large companies’ logistical management requirements, such as timely provision of trucks at designated points, submitting their PODs, etc.

As the SME transporter have fewer trucks, it also created a lot of administrative work for these large companies. This logistical problem created a market niche for a transport logistics management company, hence CGI got involved.

In addition to sourcing finance for SME transporters, CGI also provide them a “one stop” service as follows:

Logistics manager who ensures that request for trucks are met on a timely basis, drivers and relief drivers are properly managed, the trucks are properly serviced, insurance issues are effectively and timely managed, etc.

Administrator that sees to the day to day operations of each of the small business such as timely submission of PODS and receipt of payments to meet loan obligations, payment of wages, etc.

Bookkeeping for each of the SME transporters

Insurance requirements

Regulatory requirements

Other transport management services are provided as well

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