Direction a diseconomy
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eAT a time when there is constant political reference to the need for integration of transport services it cannot be stated too often that attempts to dictate to users how traffic should flow will lead to diseconomies far outweighing any apparent benefits", says Mr. P. S. Henman, chairman of Transport Development Group, in his annual report. Mr. Henman stresses that only the user can hope to assess accurately the factors determining transport selection, while competition between providers is the only effective way of securing the efficient and flexible transport system essential to the nation.
As reported earlier, TDG made a record gross profit of £6.78m. last year, and the chairman stresses that this was achieved despite considerable pressure of rising costs on profit margins.
Included in new developments recorded by Mr. Henman are the establishment of EuropoortHull Trailers by Gilyott and Scott Ltd. in the UK and Gebr. van den Bos Transporten NV, in Holland. He revealed that, as well as acquisitions in Germany which had been reported in COMMERCTAL MOTOR. TDG's sub-holding company ETOM NV had acquired two Dutch hauliers, Internationaal Transportbedrijf Kwaadland "de Vrachttaxi". NV, which operates a fleet of vehicles from Delft on haulage services in Holland, Germany and France, and Rombouts Internationale Transporten NV, of Schiedam, which specializes in refrigerated transport. ETOM has also bought the Jac. Meisner forwarding and freight agency business in Rotterdam, two forwarding agencies (Josef Hirsch GmbH and Donau-Rhein GmbH, of Munich) in Germany and a Belgian haulier, Jos Schreus NV.
He says that the ETOM Rotterdam staff is showing growing ability to negotiate international acquisitions and introduce TDG management methods, but heavy penalization of overseas profits under the 1965 Finance Act and the need to pay a premium of nearly 20 per cent for foreign currency in providing funds for acquisition made European investment less rewarding.
Pay award objections 'THE Road Haulage Wages Council has received representations of objection to its proposals in RH(83) for changes in wage and overtime rates, as sent out to interested parties on March 11.
A meeting of the Council is being arranged for early this month so that the objections can be considered.
Victory Profits: The profit (after taxation) of Victory Transport Ltd., Southampton, for the sixmonth period ended on Dicember 31 last was £23,291. This compared with a figure of £40.390 for the 12month period ended on June 30 last. Corporation tax was assumed at a rate of 40 per cent.