PSA International and SATS have signed a memorandum of understanding to establish sea-air connectivity to promote Singapore as a key multimodal transport hub.

Combining air and sea connections, the partnership strengthens Singapore’s position as a global transhipment hub for air and sea cargo.

The freight industry, including small and medium sized enterprises stand to benefit from improved multimodal linkages and transit systems for better supply chain efficiency, optimised transport costs, and faster delivery.

The two companies will collaborate on a wide range of cross-industry initiatives, particularly in the perishables, electronics and e-commerce sectors.

From yard-to-port data linkages and network extensions between both companies to enhance track-and-trace capabilities, the partnership will facilitate data transparency and ease of shipment movement within free-trade zones.

SATS and PSA will also integrate their systems to aid regulatory compliance and build data analytics capabilities.

COSYS+, a cargo terminal handling and management system operated by SATS will be linked with CALISTA, the global supply chain platform developed by PSA’s subsidiary GeTS Asia to provide real-time updates and greater visibility for shipments.

Alex Hungate, president and CEO of SATS says: “When SATS became the world’s first ground handler to provide multimodal meat transhipment services between New Zealand and the EU, we demonstrated that multimodal connectivity can attract higher trade flows. Today, we hope our cross-industry initiatives with PSA will now enable the whole industry to market efficient multimodal solutions globally, through Singapore.”

Tan Chong Meng, group CEO of PSA International says: “Shippers are increasingly seeking innovative multimodal solutions for their cargo to reach their preferred markets competitively. This partnership with SATS will enhance Singapore’s ability to offer unique air-sea multimodal connectivity to fulfil these demands.”