Bertschi continues to grow and invest in sustainable chemical logistics

The year 2022 was characterized by globally rising inflation and, in the second half of the year, a significant decline in production in the European chemical industry as a result of the massive increase in gas and electricity prices. In this challenging environment, Bertschi successfully confirmed the billion-franc revenue achieved for the first time last year, increasing sales by 8% to CHF 1.1 billion. “We are satisfied with the business results. The success was partly due to the positive development of the global transport concepts initiated in 2012 between Asia, America, Europe, and the Middle East,” says Hans-Jörg Bertschi, Executive Chairman of the Bertschi Group.

(Dürrenäsch) The Bertschi Group is focusing on the digital transformation of its processes. Last year, a significant step was taken with the integration of all systems in European traffic, including the involvement of customers and service partners. The transition was made step by step, with consideration for each employee – the person with their know-how and personal commitment to the customer remains at the center of Bertschi’s new digital world. Further steps are planned for 2023 – including in the global logistics business. The Bertschi Group develops and implements its digitalization concepts and the necessary software with a team of 80 employees, including 50 software developers, mostly independently.

High investments in sustainable logistics projects and container fleet

With investments of CHF 120 million, Bertschi once again targeted the expansion of sustainable logistics infrastructure in 2022, the expansion of tank and silo container fleets now totaling 42,000 units (+5%), and digital transformation. “These investments focus on shifting transport from road to environmentally and climate-friendly rail. For example, the doubling of the capacity of our terminal for combined transport at the Dutch location of Terneuzen, implemented last year, enables an expansion of the service offerings for our customers and contributes to the EU’s Green Deal,” says Jan Arnet, CEO of the Bertschi Group.

With the construction of the logistics center for liquid chemical hazardous goods in Zhangjiagang (China), near Shanghai, a significant investment was completed in mid-2022 after several years of planning and construction. This storage and filling center, with a capacity of 25,000 tons of liquid products stored in tank containers and 25,000 tons of packaged goods, as well as automatic filling systems, is now considered one of the safest and most sustainable chemical logistics centers in all of China, according to international customers. After a successful trial operation, the facility received its definitive operating permit in January 2023. “Due to the strategically good location of the logistics hub in the Yangtze River Delta, close to Shanghai, and its direct accessibility by waterway, the infrastructure is ideally positioned to offer our customers in the global tank container business not only transport services but also sustainable door-to-door supply chains,” explains Hans-Jörg Bertschi.

Photos: Container storage with portal crane and hazardous goods warehouse from the new chemical logistics hub in Zhangjiagang (China)

Outlook: sustained high investment activity despite challenging market environment

As a result of high inflation rates and the associated interest rate increases, the global economy weakened significantly in the second half of 2022. European chemical producers are additionally suffering from the massively increased energy prices, leading to plant closures and relocations of production overseas. The economic downturn is expected to intensify in 2023, manifesting in significantly lower demand for logistics services. At the same time, Bertschi is exposed to the sharply rising energy costs of rail companies in European combined transport, which significantly increase the company’s service costs. “We are very well positioned as a company to withstand this challenging environment and are cautiously optimistic for the second half of the year that a recovery in demand will occur,” says Jan Arnet.

Despite the challenging outlook, Bertschi plans significant investments in the future of the company in 2023. Sustainability in logistics remains at the center of these plans. In January of this year, the construction of a significant rail terminal in Antwerp, the second-largest port in Europe, was initiated. The terminal also integrates value-added services. Containers arriving from overseas in Antwerp can be delivered directly by barge to the new rail terminal, stored there, and then distributed by rail in combined transport throughout Europe, without burdening the roads until arrival at the destination terminal.

The future will be more sustainable

In terms of sustainability, the Bertschi Group today takes on a pioneering role as a leader in intermodal chemical logistics. By successfully shifting over 90% of all transports from road to environmentally and climate-friendly rail and waterways, 70% of CO2 emissions compared to direct road transport are saved. “In our corporate strategy, we have set binding targets for further reducing our CO2 emissions and defined a broad package of measures to achieve this,” explains Hans-Jörg Bertschi.

As part of this strategic objective, terminal vehicles in the Netherlands were converted from conventional diesel to operate with HVO biodiesel in 2022. Hydrotreated vegetable oil (HVO) is a renewable fuel and generates 90% less CO2 emissions than regular diesel. The Birrfeld terminal has been equipped with photovoltaic systems for energy generation. Both measures for CO2 reduction – renewable fuels and solar systems – will also be implemented at other Bertschi locations in the future.

In 2022, Bertschi introduced a new method for calculating CO2 emissions for all its transport services in Europe using the GLEC approach (Global Logistics Emissions Council). This method now allows for the exact calculation of CO2 emissions for each transport variant, which can be transparently provided to customers. We want to offer customers various transport options with the goal of further reducing the ecological footprint together. In doing so, we are preparing to offer our customers alternatives such as hydrogen and electric drive for the pre- and post-haulage by road to the rail and water transshipment terminals in the future. An expansion of this GLEC approach to global traffic will be tackled in 2023.

Photo: © Bertschi