Logistics is an important cog in the machinery of the global economy, and in Europe, the growth rate of logistics is bigger than that of the United States.

"We have been seeing a positive trend, with the biggest growth being in contract logistics," said Detthold Aden, chairman of the Board of Management with BLG Logistics Group in Bremen, Germany. "With today's development of the Internet, global sourcing, production, global selling and worldwide buying, it is impossible for companies not to implement logistics."

This means locating where a variety of transport options are available, costs are low and are customers nearby.

Air service is undoubtedly an important factor. With increasing volumes of freight being transported by air, cargo connections are paramount, as is ample aircraft capacity.

While European heavyweight airports Heathrow (London), Schiphol (Amsterdam) and Main (Frankfurt) are tough acts to follow, other airports show promise. Munich International Airport, which opens its new Terminal 2 this month, will become Lufthansa’s second hub after Frankfurt.

"Munich is fast becoming a gateway to North America, Asia, Africa and the Middle East," said Erica Gingerich, a spokeswoman for the airport.

Airports in and around London offer alternatives to congested Heathrow. British Airway's cargo hub at Standstead is a top performer. London Manston Airport succeeds in perishables because of its fast clearance and dispatch of inbound and outbound cargo, and its one-hour drive from London's orbital motorway and 40-minute drive to the Channel Tunnel.

Scotland’s Glasgow Prestwick International Airport has succeeded with niche markets. The airport services the high-tech sector with just-in-time (JIT) and contemporary logistic practices that offer direct connections between Scotland and the United States and Far East.

The airport is popular with freight forwarders and manufacturers throughout the UK and Ireland for both import and export traffic.

"This is evidenced by a new ferry service to Ireland operated by P&O European Ferries from the Port of Troon, only 3 miles from the airport," said Stuart Sinclair, freight director for Prestwick.

Paris’ Charles de Gaulle Airport (CDG), through the Aeroports de Paris, has a strategy to become the biggest cargo handling facilities in the European Union. The investment involves a vast cargo-handling zone on the south side of CDG, which combines more than 120,000 square feet of buildings and warehouses.

Many freighter charter operations are also being handled through nearby Chateauroux, which has up-to-date warehousing facilities.

"Chateauroux Airport, about 90 miles south of Paris, provides an ideal hub for perishables coming from Africa and the Middle East," said Martin Fraissignes, Ch‚teauroux Airport director.

Flying time to this airport is about 10 percent to 20 percent shorter than to CDG.

Vatry International Airport is regarded outstanding for cargo. Its specialized handling facilities enable significantly lower costs than those of other platforms.

Located in the less populated Champagne-Ardennes region, about 90 miles from Paris, air traffic does not disturb residents. Also, nearby is the Vatry Business Park, which hosts distribution centers for Air Liquide Welding, Geodis, TNT and ProLogis.

Vitoria International Airport (VIA) in Spain’s Basque Country is Spain's third-largest cargo airport.

"We have seen dramatic increases in volumes in less than 10 years,” said Ricardo Gonzalez Placer, general manager for Vitoria Integrated Air Services S.A. “All of the cargo we handle is new-generation freight. This represents how we are always looking for new markets. One such commodity is fresh fish, which flies to VIA from South Africa.”

Seaport Factors

With increased trade from the Far East to Europe and North America, via the Suez Canal, the Mediterranean has become an important shipping center. Ports such as Genoa and Marseilles offer good connections to the European hinterland.

Fos-Distriport at Marseille-Fos, Europort South (in southern France) is being developed as an Euro-Mediterranean logistics center, reportedly the biggest distribution zone for intercontinental cargo in southern Europe.

French transport company SDV (Group Bollore) is building a 18,000 square foot platform for Evian and Volvic mineral water exports. TNT-Logistique France is developing 18.5 acres for is logistics distribution services.

The Greek port of Piraeus is positioning itself as a major Mediterranean hub port. "The fact it has multifunctional port facilities, together with an effective maritime business environment, makes it unique for the Mediterranean," said Sotiris Theofanis, Chairman and CEO of the port.

Italy’s port of Gio Tauro and Spain’s port of Algeciras operate as major transshipment hubs.

Pan-European Distribution

Some locations have transportation elements that attract pan-European distribution. The Benelux countries (Belgium, the Netherlands and Luxembourg) are well-suited with road, rail, waterways and air infrastructure in the center of a triangle formed by London, Paris and Berlin. About 160 million people live in this triangle.

Rotterdam (No. 1) and Antwerp (No.2) are Europe’s largest ports for volume. Add to those the ports of Amsterdam, Zeebrugge and Ghent. Rivers and canals that crisscross both the Netherlands and Belgium give this region a highly developed inland waterway system that connects to systems elsewhere.

These factors were vital in attracting SKF Logistics Services to Tongeren. SKF is the world's leading manufacturer of precision ball bearings.

PFSweb, a global single-source provider of logistics services, located a distribution center in Liege Logistics Park. Services include fulfillment (pick, pack and shipment of goods, light assembly, outbound carrier management and returns processing); multi-language customer services (call center, e-mail and technical support); and financial services (online payment support, invoicing, credit and collections, and VAT administration).

Ada, Mich.-based Amway chose to locate its distribution and logistics operations in the Dutch city of Venlo, where it established a partnership with Seacon Logistics. Last year, Amway consolidated its logistics center in Germany to its Venlo facility.

“Having our logistics and distribution operations headquartered in Venlo allows us to best serve our primary markets in Europe,” said Chris Wilson, Amway’s director of European Logistics.

The northern region of the Netherlands serves companies like PPG.

“Location factors in Delfzijl, like physical infrastructure, labor availability and wage levels, have served PPG well,” said Jan Zuideman, operations manager for PPG. “The infrastructure, like the harbor, the A7 motorway and access to the site itself is very good. A number of good educational facilities in the area assist in the supply of well-educated labor. Moreover, the wages are relatively lower than elsewhere in the country.”

In France, LeMans has succeeded in developing logistics because of manufacturers such as Johnson Controls. Stephane Lescouet, in charge of logistics at the LaFerte-Bernard plant, considers the LeMans-Sarthe region as extremely central to supply simultaneously car assembly plants in France, the UK and Spain.

Meanwhile, Gazeley, an affiliate to Wal-Mart, has chosen Burgundy to install a logistic park called MagnaPark using river, road and rail.

Karen E. Thuermer is a freelance writer based in Alexandria, Va.