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TRUCKING FIRM, IMPORT AGENT TEAM TO EASE OFFSHORE SOURCING.

HIGH POINT, N.C.-A trucking service and an import agent have teamed up to form a company to deliver imported products for manufacturers directly to their retailers.

MGM Transport, a furniture carrier based here, and J.E. Blair & Co. have joined forces to create Global Logistics Systems. The new company, also based here, will warehouse goods in China for U.S. furniture manufacturers and then flow products through a distribution network in this country for delivery to retail.

Global Logistics Systems "will specialize in less-than-a-container-load services," said Edward Massood, president and chief operating officer of MGM Transport. "Furniture manufacturers and major distributors importing product from Asia and elsewhere around the globe will now be able to offer their dealers the benefits of direct shipping without the risk," he said.

John Blair, president and chief executive officer of Global Logistics Systems, said consolidating containers will speed up deliveries and bring the import business to retailers who previously couldn't afford the risks.

"Historically speaking, importing direct from Asia has been done by full container load only," Blair said. "That ties up valuable warehouse space for both U.S. manufacturers and retailers. Additionally, it can take anywhere from 45 to 50 days from the Chinese port for a shipment to arrive in a U.S. dealer's warehouse and be inventoried. With the GLS system, furniture can be delivered from China to the U.S. in 21 to 42 days.

"We know also that for retailers, receiving containers directly is a very risky proposition," Blair said. "With our system, dealers of any size will not have to buy a complete container load, and can purchase imported product from their vendors as seamlessly as they would domestic product."

Massood stressed that Global Logistics has no intention of bypassing U.S. suppliers. "We will consolidate product for a retailer as long as it's under U.S. manufacturer's authorship," he said.

The new company will use MGM's existing distribution centers in Totowa, N.J., and High Point. "We're in the process of developing a network of specialized furniture distributors across the country," Massood said.
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Publication:HFN The Weekly Newspaper for the Home Furnishing Network
Date:Apr 23, 2001
Words:348
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