"Shenma" first open tender for sea transportation business to save freight 1,071,000 yuan
Recently, Shenma Group Co., Ltd. took a significant step by conducting its first quarterly public tender for maritime transportation services. After evaluating the bidding prices and delivery methods, four freight companies were ultimately selected to handle the group’s fourth-quarter maritime transport. This new approach has resulted in a cost saving of 1,071,000 yuan compared to previous arrangements.
Shenma Group typically relies on freight companies and shipping lines to manage the transportation of its exported products. These freight companies either directly tow goods to the port or use intermodal transport—moving goods to a railway station before transporting them to the port by rail. Once at the port, shipping companies take over and deliver the goods to their final destinations. For many years, the company has used a “single move†model, where each shipment requiring sea transport was individually tendered. However, due to small cargo volumes, low attractiveness to transporters, and relatively high costs, this approach often led to frequent changes in transport providers, causing inconvenience for customers.
With a significant increase in export volume this year, the company intensified its tendering efforts. To ensure timely delivery while reducing transportation costs, Shenma Group decided to explore a more efficient bidding model.
Since April, senior officials from Guxin Mine, along with representatives from the Commission for Discipline Inspection, Enterprise Investment Management, and the International Trade Business Department, conducted field visits to cities like Qingdao and Zhengzhou in Shandong Province. They engaged with freight and shipping companies to assess current transportation costs and limitations. Based on these findings, the company adopted a “one-vote system†for tenders. Under this model, Shenma Group only invited bids from freight companies, who then selected the shipping companies. This approach considered the quarterly adjustments in shipping rates and set the tender cycle to one quarter.
During the tender process, the company strictly adhered to the principle of direct towing, ensuring that the same pricing was applied across all routes. Following the evaluation of bid prices and delivery methods, four freight companies—including Henan Shitong International Logistics Co., Ltd.—were chosen to represent Shenma Group’s maritime transport for the fourth quarter. After the open tender, the freight rates for 23 different shipping routes saw varying degrees of reduction, reflecting the success of the new procurement strategy.
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