Challenging the norms of the industry

Frey not only addresses the problem of moving empty containers from the Americas to Asia but also aims to build new capabilities within Maersk.

Karoline Andersen
Aug 19, 2019 · 3 min read
Image for post
Image for post
Trading company Frey has sourced grains and oilseeds in container surplus locations, transporting them to and selling them in container deficit locations.

Frey: A bold new venture

Incubated within Maersk Growth, Frey is a trading company that was born to address the inefficiencies in the container value chain, like moving empty containers back to deficit areas. Since its inception in December 2018, it has sourced grains and oilseeds in container surplus locations, transporting them to and selling them in container deficit locations.

Image for post
Image for post
A transloading facility for grains in Chicago, United States

Utilizing dialogue and expertise

The key to this milestone was collaboration and dialogue on a local level between Frey and Maersk.

Another success factor was Frey’s partnership with Danske Commodities (DC), Europe’s biggest power and gas trader which has successfully built and scaled a data-driven trading company. Jeff says that they have found good compatibility with DC’s skill set and expertise in developing solutions.

Transform and build

Frey is taking an active role in the global commodities market, which today is largely a bulk market. Here, says Jeff, they found a great conversion opportunity. “There is an opportunity to tap into a market that is not large on containers, but it requires a level of innovation and willingness to challenge the norms of the industry.”

Peter adds that Frey is building new capabilities that can generate incremental revenue and growth over time. “Whilst the starting point is addressing a problem of physical flows, there is also a significant opportunity in working with the trading element and leveraging the expertise of DC. Over time that can also open up opportunities in other segments and geographies.”

“There is an opportunity to tap into a market that is not large on containers, but it requires a level of innovation and willingness to challenge the norms of the industry.”

— Jeff Laursen, co-CEO of Frey

Taking a bold step

“We ventured into a new area of sourcing several thousand tons of soybeans and taking ownership of the cargo. We need to be open and willing to try new things,” says Peter.

In the long run, Frey’s aim is to become a leader within the segment, by adding on trading activities, developing value chain activities and expanding the portfolio of commodities.

Maersk Growth

Maersk Growth is the corporate venture arm of A.P.

Karoline Andersen

Written by

Maersk Growth

Maersk Growth is the corporate venture arm of A.P. Moller — Maersk. We accelerate and invest in startups and new technologies to build the future of trade. We are solving problems for our customers and for ourselves, by combining entrepreneurship with the power of Maersk.

Karoline Andersen

Written by

Maersk Growth

Maersk Growth is the corporate venture arm of A.P. Moller — Maersk. We accelerate and invest in startups and new technologies to build the future of trade. We are solving problems for our customers and for ourselves, by combining entrepreneurship with the power of Maersk.

Medium is an open platform where 170 million readers come to find insightful and dynamic thinking. Here, expert and undiscovered voices alike dive into the heart of any topic and bring new ideas to the surface. Learn more

Follow the writers, publications, and topics that matter to you, and you’ll see them on your homepage and in your inbox. Explore

If you have a story to tell, knowledge to share, or a perspective to offer — welcome home. It’s easy and free to post your thinking on any topic. Write on Medium

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store