DHL airfreight volumes decline as it turns away business to protect margins

Freight forwarder DHL Global Forwarding's decision to turn away airfreight business to protect profits in the first half of this year resulted in a decline in volumes.
The Bonn-headquartered forwarder recorded a 7.2% year-on-year decline in airfreight exports during the second quarter to 530,000 tonnes, while the half-year result was down by 3.6% to 1m tonnes.
Second-quarter airfreight revenues, meanwhile, increased by 3.1% against last year to €1.27bn and for the half year there was an increase of 7.3% to €2.39bn.
It said that the decline in volumes was the result of withdrawing from some major transactions in order to counteract a decrease in margins, while revenues benefited from exchange rate gains.
"Whilst the measures we implemented in the previous year to increase profitability are in fact showing success, margins are still low when compared with the historical average," it said.
Asked whether it would turn away further business in the remainder of the year, chief financial officer Larry Rosen said the decision on whether to "pass out further on loss making routes and customers" depended on market developments.
If the market improves there would be less need to "pass out" but if it worsens the need to be selective would continue.
Airfreight gross profit increased by 1.7% in the second quarter to €246m.
The overall division saw revenues increase by 5.7% in the first-half to €7.57bn. It said the majority of the increase was down to exchange rate gains of €367m.
The DHL forwarding division's earnings before interest and tax declined by more than 62% at the half year to €57m, which it put down to the cost of implementing a turnaround initiative and tough market conditions, although this was offset by the €99m generated by the sale of shares in Sinotrans.
The turnaround initiative has been divided into three parts: the first, which is complete, is to adjust organisational structures, re-empower countries, re-establish stronger accountability and re-enable staff and adjust incentives.
The second stage, which is being implemented at present, involves improving gross profit, improving cost
and service performance and developing a specific country focus.
The third stage will sharpen commercial focus, see investment in skills and capabilities through training and and the renewal of IT with a business-centric approach.
The cost of the turnaround project of €81m was more than offset by the €99m generated through the sale of the stake in Sinotrans.
Following the announcement of its first-quarter results, DHL parent Deutsche Post said it was suspending the forwarding division's transformation programme as its roll out was affecting business performance.
It reasoned that the project had been too ambitious and more attention should have been paid to the results of pilot projects.
DHL airfreight volume decline for the first-half period was the largest posted so far by the major European forwarders that publish figures, although its position as airfreight leader was unaffected as DHL is by far the largest in this sector.
In comparison, Kuehne+Nagel recorded half-year air volume growth of 5.2%, Panalpina was down at 2.1%, DB Schenker saw growth of 1.1% and DSV's half-year increase came in at 8.7%.

Source : http://www.aircargonews.net/news/forwarders/single-view/news/dhl-airfreight-volume-decline-as-it-turns-away-business-to-protect-margins.html

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FedEx and TNT deal on track but clearance could take a year

TNT Express has provided an update on its planned $4.8bn takeover by FedEx, stating that the two companies are making timely progress on preparations for the offer but reiterated that it could take a year to gain regulatory clearance.

TNT said that FedEx expects to submit a request for review and approval of its offer document with Dutch financial service regulator Netherlands Authority for the Financial Markets (AFM) before June 30, which is the date by which under Dutch law a request for approval must be submitted to the AFM.

Other approvals will also need to be gained, with the offer conditional on FedEx obtaining the required competition clearances in the European Union, China, Brazil and, to the extent applicable, the US.

“FedEx and TNT Express remain confident that substantive anti-trust concerns, if any, can be addressed adequately and in a timely fashion,” the companies said in a statement.

“Although FedEx and TNT Express aim to obtain the required regulatory clearances as soon as possible, it is noted that completing the formal clearance procedures could take up to one year. As such, it may be required to obtain an exemption from the AFM to (further) extend the offer period.
“FedEx and TNT Express confirm that the companies are making timely progress on the preparations for the offer,” they said.

The two companies are confident they will receive regulatory approval, with FedEx chief executive David Bronczek arguing that the takeover would increase competition in Europe by creating a third strong competitor, which would benefit customers over the long term.

Under the planned deal, the relatively small TNT air fleet of 54 freighter aircraft would also be sold to a third party, to assuage the competition authorities in the European Union and elsewhere. This had been one of the major sticking points in the previous proposed UPS takeover.

TNT's owned and leased fleet includes B777Fs, B747Fs, and a combination of BAe 146, Boeing B737Fs and B757Fs. 

The two sides reached a conditional agreement on the deal earlier in April. The agreement recommends an all-cash offer by FedEx for all issued and outstanding ordinary shares, including shares represented by American Depositary Receipts of TNT Express for a cash offer price of €8.00 per share.
Earlier this week, TNT reported a 1.3% year-on-year increase in first quarter revenues to €1.6bn, but operating income for the period slipped to a €11m loss from a €15m gain last year and net profits slipped to a loss of €19m this year from a neutral result for the same period of 2014.



Source: companies
Notes: TNT financial figures converted using XE.com 31/12/2014 exchange rate for comparision purposes only
News URL: http://www.aircargonews.net/news/airlines/express/single-view/news/fedex-and-tnt-deal-on-track-but-clearance-could-take-a-year.html

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Optimistic airfreight forwarders

European airfreight forwarders are expecting volumes to continue to increase over the coming two months.
The latest monthly Danske Bank forwarder index for expectations for the coming two months came in at 57 points, with any figure above 50 suggesting that participants expect volumes to grow over the period.
The April survey also shows an improvement on future expectations compared with the March survey, when the index stood at 54 points.
Current volumes are also ahead of where they were two months ago, with this index standing at 57 points, again suggesting an improvement over the period.
However, there has been a slight tailing off in growth levels as the index stood at 63 points in March.


Source : http://www.aircargonews.net/news/forwarders/single-view/news/optimistic-airfreight-forwarders.html

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FedEx sees peak season bounce

US parcels giant FedEx saw third quarter revenues up four per cent to $11.7bn.
“We had a very successful peak season as volumes grew across all transportation segments, and our profit improvement programs are moving ahead as scheduled,” said Fred Smith, FedEx Corp chairman, president and chief executive officer.
Operating results for the third quarter ended February 28 improved due to volume and base yield growth in all three transportation segments of ground, freight and express.
There was also a “significant net benefit” from fuel, benefits from profit improvement program initiatives, a lower year-over-year weather impact and reduced pension expense.
These improvements were partially offset by higher variable incentive compensation accruals.

Source : http://www.aircargonews.net/news/single-view/news/fedex-sees-peak-season-bounce.html

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Air freight volumes rise for Panalpina

Panalpina saw improved group level profitability in the first half of 2014 as air freight volumes grew four per cent over prior year.

However, the Switzerland-based global logistics operator said that unit profitability in both the air and ocean freight segments was affected by a “challenging market”.

While air freight rates “remained under strong pressure,” Panalpina put the focus on trade lane optimisation and expects the air freight market to grow by between 3-4 per cent in 2014.

Panalpina’s half year air freight volume growth to 417,000 tons was in line with the market. Earlier this month, Swiss logistics rival Kuehne + Nagel reported a similar half year rise in air freight volumes, up 3.9 per cent to 580,000 tons.

Second quarter air freight volumes at Panalpina were up by 1.8 per cent to 213,000 tons, compared with a 6.3 per cent surge in the first three months of 2014.

The Panalpina group’s total gross profit and earnings before interest and tax were “significantly impacted” by currency movements although both financials increased two per cent, reaching SFr777.9 million and SFr60.1 million respectively.

Panalpina chief executive Peter Ulber said that there “is still a lot of work to be done in terms of profitability”, especially in ocean freight.

Added Mr Ulber: “The fact that low margins have absorbed much of the growth in the first half of 2014, particularly in ocean freight, goes to show just how important it is that we stay absolutely on course with our strategic execution.

“Turning around loss-making operations continues to be our firm focus. In the mid- and long-term better IT systems and processes will help us improve productivity and profitability as we keep restructuring and rolling out our new operational system SAP TM.”

Source: http://www.aircargonews.net/news/single-view/news/air-freight-volumes-rise-for-panalpina.html

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Air cargo industry needs a structural redesign

The freighter plane may become a thing of the past if airlines failed to devise strategies to make their cargo operations more efficient, an aviation industry specialist has warned.

The industry needs a structural redesign, said Glyn Hughes, director of cargo industry management at International Air Transport Association (IATA).

Air cargo volumes have remained flat since 2010, he said during IATA’s annual general meeting.
IATA predicts cargo volumes will total about 52 million tons this year, effectively unchanged since 2010.

The $6.8 trillion worth of goods transported by air cargo every year represents 35 percent of international trade by value but only 0.5 percent of total volumes, Hughes pointed out.
He called for more drastic changes to shorten transport times and regain ground lost to the shipping industry.

Some carriers have already reduced the number of freighter planes they operate, he said.
Air freight built a reputation for getting bulky, expensive goods from A to B as quickly as possible. But as paperwork has increased, the average time it takes to shift a product from the manufacturer to the final importer stands at 6.5 days, compared with Lufthansa Cargo’s boast in the 1960s that the process took only three days.

High value goods such as electronics have also become smaller, meaning they take up less space and do not need dedicated freighters for transportation.

These trends are pushing companies such as AstraZeneca, Ericsson and Sony to transport more of their pharmaceuticals and electronics via sea at lower cost. In addition, growing demand for plane travel means more and more freight is being transported in the holds, or bellies, of passenger planes.
Airlines have so far reacted to the tough cargo market by cutting capacity and taking freighters out of service.

To remain competitive in the long term, airlines need to cut shipping times and position themselves as premium operators specializing in high value or perishable goods, such as flowers, or bulky over-sized goods, delegates said.

To boost competitiveness and revitalize trade growth, the industry is working toward a goal of reducing shipping times by 48 hours before 2020.
Of the 6.5 days on average it takes to get air freight from door to door, only a few hours are actually spent in the air, according to IATA.

It is therefore encouraging airlines to simplify procedures with freight forwarders and ground handlers, and to cut down the amount of paperwork it creates by moving to digital documents.
The association said that just 14.3 percent of contracts, known as airway bills, were in electronic form in 2013, short of its target of 22 percent for 2014.

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Hyderabad airport bags award for cargo operations

The Rajiv Gandhi International Airport in Hyderabad has been adjudged the “Best Cargo Airport of The Year” at the recently concluded 40th annual convention of Air Cargo Agents Association of India held at Jaipur.

This is the second year in a row that RGIA has won the award for its cargo operations.

S.G.K. Kishore, Chief Executive Officer, said, “We are delighted to be recognised by a prestigious industry body such as ACAAI which represents India’s Air Cargo Industry."

The airport has emerged as India’s first airport based Free Trade Zone, offering services such as value processing, trading and distribution, duty deferment options and warehousing to optimise their logistics and distribution costs significantly and also enjoy the benefits of tax incentives as offered by the Government of India.

The facilities provided at the FTZ would help logistics companies to warehouse their commodities for both short and long term without impact on import duty.

Source: http://www.thehindubusinessline.com/industry-and-economy/logistics/hyderabad-airport-bags-award-for-cargo-operations/article5338627.ece

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Air freight to grow at slower pace over next 20 years

Air freight traffic has grown at 5.3 per cent annually since 1980. Today goods worth $6.4 trillion travel by air — that’s 35 per cent of all world trade by value.

The growth rate is expected to be 4.9 per cent for the next 20 years. This means by the year 2023 traffic will double, according to V.K. Mathews, Executive Chairman of IBS Software, based in Technopark here.

Minimal profit

However, the profit margins are going to be nominal, Mathews said while speaking at the IBS Air Cargo Forum held at Istanbul in Turkey recently.

IBS Software is a leading provider of solutions to the travel, transport and logistics sectors.

Held every six months, the IBS Air Cargo Forum brings together leading cargo airlines where experts debate how advancements in technology can be leveraged to optimise cost of operations and improve yields.

Airlines have no control over their biggest cost element, fuel prices, Mathews said. Capacity utilisation was less than 50 per cent, leading to yield erosion.

“These statistics need to be kept in mind as we devise strategies on how we conduct business going forward,” he said.

Supply chain

“We need to move on and make the best of a demanding situation. For 90 per cent of the time in the supply chain, the cargo is just waiting to be moved. This is where efficiencies need to come in.”

A digitised shipper-to-consignee process has to become the standard to not only shorten the delivery time but also reduce unit cost, Mathews added.

The two-day conclave in Istanbul saw the unveiling of the iCargo portal by IBS Software, which would enable greater adoption of E-freight.

The first phase of the portal is expected to be complete by November and the second phase by the next financial year.

At least 70 experts representing airlines such as South African Airways, Qantas, Hawaiian Airlines, Lufthansa, All Nippon Airways, Nippon Cargo Airlines and Turkish Cargo, attended the event.

Istanbul as hub

They discussed key issues shaping the global air cargo industry and shared insights on strategies to address some of the critical challenges facing them.

Gary Hoyle of South African Airways was appointed the new Chairman of the IBS Cargo Forum.

Meanwhile, Temel Kotil, Chief Executive Officer, Turkish Airlines, said in his address Istanbul was ideally positioned to be the global connection point for air travel within 10 years.

While Europe’s traditional airports were struggling to add travellers as weak economies hurt demand, Istanbul was racing ahead with double-digit growth, thanks largely to the success of Turkish Airlines.

Kotil said Turkish Airlines was one of the fastest growing airlines in the world and well-placed to have 120 million passengers and 450 aircrafts by the year 2023.

Source: http://www.thehindubusinessline.com/industry-and-economy/logistics/air-freight-to-grow-at-slower-pace-over-next-20-years/article5141007.ece

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TNT Express boosts Oman fleet

TNT Express, one of the world’s largest express delivery companies, has announced the addition of a new 7-ton Mistubishi /Fuso trailer truck to its domestic fleet. 

 

Oman is a part of TNT Express widespread Middle East Road Network (MERN) delivering to countries such as Jordan, Saudi Arabia, Qatar, Kuwait and Bahrain, the network offers the best day-definite transit times in the express market. 

 

James Edgeworth, the TNT Express Middle East sales and marketing director, said: “The investment is part of our commitment to offering excellent road express services across Oman.” 

 

TNT Express in Oman offers a broad choice of Express services, from air to road freight as part ofd its tailor-made solutions to customer requirements, remarked Sivdasan Payangool, the country manager for TNT Express in Oman.

 

"The new Mistubishi /Fuso has comprehensive safety and security features, and offers improved fuel-efficiency," he added.

 

TNT Express is represented in Oman by GAC & Company Oman, a long-established company specialised in the express and freight business.

Source: http://www.tradearabia.com/news/IND_242666.html

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Lootah Biofuels and TNT Express gearing up for Expo 2020

Lootah Biofuels, a fully owned subsidiary of S.S. Lootah Group has signed an agreement with TNT Express, a leading global Express Company to supply locally produced environmentally superior and performance enhancing biodiesel made from used cooking oil for the latter's commercial vehicles in Dubai.

This agreement aims at reducing carbon footprints, and also supports Lootah Biofuels mission of converting 5% of transportation fuel to Biofuels by the year 2020.

The agreement was signed by Mr. Yousif Bin Saeed Al Lootah, CEO, Lootah Biofuels and Mr. Bryan Moulds, Manging Director Middle East and Sub Continent Associates, TNT Express. As per the agreement Lootah Biofuels will provide its high rich content biodiesel B5 to meet the needs of TNT's large fleet of commercial vehicles in Dubai.

The key benefits of this initiative include carbon foot print reduction as well as reduction of UCO waste. It is expected that the agreement will reduce carbon emissions by 18% per year. Through using B5, UCO is put into sustainable use as opposed to being discarded as waste, thereby impacting the environment negatively. This is a further step towards environmental sustainability.

Commenting on this agreement, Mr. Yousif Bin Saeed Al Lootah, CEO, Lootah Biofuels said "Keeping in line with UAE's vision, the project is a significant step towards sustainable development and the Expo 2020 bid for sustainability. Our mission is to deliver economic, operational and environmental benefits for long-term customer satisfaction and sustainable growth and with the TNT agreement we hope to take the consumption of B5 biodiesel to the next level."

"We are pleased to work with Lootah Biofuels who share the same vision as we do for a sustainable environment. This joins our other regional initiatives such as recent CNG vehicle fleet in Pakistan in our continued efforts to reduce carbon emissions globally. With this agreement, we look forward to creating an eco- friendly environment with economically viable biodiesel, thus promoting H.H. Sheikh Mohammad's vision for a green and sustainable Dubai." said Mr. Bryan Moulds, Managing Director Middle East and Sub Continent Associates, TNT Express.

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Air Libya forms partnership for cargo flights

Chapman Freeborn and Air Libya have formed a partnership to fly cargo in Libya using an Antonov An-26 freighter, which will be based at Tripoli’s Mitiga International Airport on a long-term lease agreement.

The venture will introduce internal scheduled services to connect Tripoli and Benghazi with Libya’s more remote airfields—including regular operations to the oil fields in the south of the country.

The An-26—which offers a 5.5 ton payload—will be available for ad hoc cargo charter requirements within Libya as well as international flights to and from the European Union and North Africa.

“The venture will provide much needed logistics solutions in a country where few international aviation companies are currently willing to invest in establishing services,” Chapman Freeborn said in a statement. “It will also provide a viable alternative to sea freight routes to and from Europe which have been subject to high rates.”

Source : http://atwonline.com/finance-amp-data/air-libya-forms-partnership-cargo-flights

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Turkish Cargo expects continued global growth

Turkish Cargo, the freight service of Turkish Airlines, has ambitious plans for growth, and it seeks to continue the rapid expansion it has experienced over the last several years. The cargo carrier has averaged a 20 percent growth rate over the past five years.

“We have a strategy independent from market conditions,” says Mehmet Kizilkaya, Turkish Airlines’ regional cargo director for Central and Southern Europe. “Over the last 10 years, we are playing our own game. Of course, for the airfreight sector in general, the first half of 2013 has been challenging. Based on the positive indications, we believe that there will be a recovery during the second half of 2013 and for 2014.”

Turkish Airlines’ blueprint for growth includes a major expansion in its fleet, which now numbers 232 planes. That figure includes nine freighters and 45 wide-bodies. The Turkish fleet will grow majorly over the next three years, reaching 14 freighters, 71 wide-bodies and 338 total aircraft by the end of 2016.

Turkish Cargo is projecting growth around the globe, with concentration in Africa, the countries of the former Soviet Union, Asia and the Americas, but one region stands out for growth in 2013 and beyond.

“This is an Africa year for Turkish Airlines,” Kizilkaya says.

The southern region of Africa is “interesting,” and is a growing market for the carrier, Kizilkaya says. Central Africa, especially Nigeria, is a strong market, as are the traditional great markets of Algeria, Morocco and Libya.

“We have allocated resources to Africa and we believe in the future of Africa,” Kizilkaya says. “The developing nations will find that Turkish Airlines is a good partner and a good friend.”

The expansion into Africa has been brisk in 2013. Cargo flights to Khartoum, Sudan; Johannesburg; Nairobi; Entebbe, Uganda and Kigali, Rwanda, have been added to the existing network. Trucking networks have also been added in South Africa and Nigeria.

Kizilkaya, who moved over to the cargo department in 2012 after working eight years on the passenger side for Turkish Airlines, says several factors are contributors to the airline’s cargo success. These include Istanbul’s logistics-friendly central location, a young, energetic, well-educated staff and aggressive investment in the company’s infrastructure.

“We are optimistic, but we are more than just optimistic,” he says. “We plan everything. We develop five- and 10-year budget plans and each year, we work hard to achieve our targets.”

Turkish handles a wide range of cargo. Recent examples include:

• 14 tonnes of gold shipments between September and October 2012
• 130 tonnes of live fish between September and November 2012
• 730 tonnes of mobile phones and computers between September and November 2012
• 335 tonnes of hunting weapons between September and November 2012
• 10 tonnes of live bird between September and November 2012.

A major facility expansion is also in the works at Istanbul’s Ataturk Airport. Turkish Cargo is on track to open a new dedicated cargo terminal in the third quarter of 2014. The new terminal will be 42,500 square meters (457,725 square feet), have a 1.2 million tonne capacity and have a special cargo are of 5,250 square meters (56,542 square feet). The current building is 23,000 square meters (247,710 square feet), has a 500-tonne capacity and a special cargo area of 1,200 meters (12,924 square feet).

“With the increase in our fleet and destinations, our base should also coincide with the high demand from our customers,” Kizilkaya says. “The expansion will allow us to handle more special cargo such as live animals and valuables.”

Source: http://www.aircargoworld.com/Air-Cargo-News/2013/08/turkish-cargo-expects-continued-global-growth/2815102#sthash.62iXfM7j.dpuf

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Airport Tries Attracting Freight and Logistics Customers and Incentivising Cargo Charters

Space to Expand Means it's Special Offer Time for Prospective Customers 


US – How to drum up more business? The eternal question for all companies whether in the logistics industry or any other, but a question especially relevant when economic times are hard. Advertising (even with the low rates charged by the Handy Shipping Guide) is one avenue but for Lambert St Louis International Airport (STL) the decision to position itself as the ideal cargo charter airport for the US Midwest firstly meant offering a range of incentives to attract more freight and now the airport has a new drive for cargo charter traffic under way.

The airport already provides new freighter operators with an 18 month waiver of landing fees and terminal rentals, based on a 2 year service agreement, whilst the State of Missouri also provides incentives to attract trade. Now STL is making itself more ‘charter-friendly’ by increasing the amount of charter-related information on its website. The website and supporting video also now feature details of local ancillary service providers such as cargo handlers, freight forwarders, customs brokers and specialist equipment operators. The aim is to simplify the flight planning process for charter brokers and operators.

STL strategy is actively to encourage all forms of cargo and logistics activity on and around the airport; this is fully supported by local government as a vitally-important driver of employment and economic prosperity for the region. The airport already generates an estimated US$3.6 billion annually for the 16-county area surrounding it and the airport has form, it was formerly a major cargo hub, as the home base of Trans World Airlines (TWA) until the latter's absorption into American Airlines in 2001 whilst geographically it is strategically placed, with seventy million people living within just five hundred miles.

The four active runways can handle the largest of aircraft, including the giant Antonov An225 and the adjacent cargo area stretches to 21,500 m2. When pressed Cargo Development Director, David Lancaster, waxes lyrical about the lack of night-time operating curfews, a 24/7 Customs presence, STL’s proximity to inland waterways and major highways and the lack of ramp congestion and slot constraints. He continues: 

“Attracting scheduled freighter services is a long process, especially in the currently unfavourable environment where freighters are being parked and frequencies reduced. We continue to work hard for this business, but tangible results could take some time yet. On the other hand, ad hoc charters continue to flourish. We already accommodate many such flights each year, and we are well suited and located to expand this important area of our business.

“Some of the leading charter operators already pick STL whenever they are allowed a choice of airport by their customers, and they speak highly of the ease of operating here. We now want the rest of the sector to get the message loud and clear that we love cargo charters!”

Source: http://www.handyshippingguide.com/shipping-news/airport-tries-attracting-freight-and-logistics-customers-and-incentivising-cargo-charters_4812

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Positive Growth for Air Freight Volumes in June 2013

IATA’s figures for June 2013 show a 1.2% year-on-year expansion in global air freight demand.

Although weak, this is an improvement when compared to the 0.9% year-on-year demand growth recorded in May and the 0.1% growth realized over the first half of the year.

While previously the global economic trend has been defined by robust emerging economies and stagnant growth in developed markets, the strongest improvements in business confidence are now occurring in some developed economies. Nevertheless, overall business confidence, which is a key indicator for air freight, continues to be weak.

From May to June, global freight volumes increased by 0.8%. A quarter of that improvement was captured by European airlines which saw a 0.9% improvement in demand compared to May, and 2.6% up compared to June 2012. In contrast, Asia Pacific carriers (the biggest players in global air freight) and North American airlines recorded year-on-year declines of 1.8% and 1.2% respectively.

"It’s too early to tell if June was a positive turning point after 18 months of stagnation. Air freight volumes are at their highest since mid-2011, but that good news needs to be tempered with a dose of reality. The global economic environment remains weak, and the basis for the acceleration of air cargo growth in June appears to be fragile," said Tony Tyler, IATA’s Director General and CEO.

Earlier this month IATA released the July edition of its Airline Business Confidence Index which showed nearly 58% of respondents expecting freight volumes to increase over the next year. Despite this, a much greater percentage of respondents (72.2%) expect no change in weak cargo yields despite their expected increase in demand over the same period. The macro-economic trend remains challenging. Recent declines in global export orders do not bode well for trade growth.

Source: http://www.asiatraveltips.com/news13/317-AirFreight.shtml

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Air Freight Figures Rise Slightly Overall as Cargo Totals Released

Shipping through Europe's Third Largest Airport Continues to Increase

NETHERLANDS – As the third largest cargo airport in Europe the air freight figures for Amsterdam’s Schiphol hub are always interesting as they tend to reflect underlying shipping trends. The first half of this year has shown modest growth with a total of 736,608 tonnes handled showing an overall growth of 1.02% against the figure for 2012. Total exports for the first half year rose to 362,124 tonnes, which was a 49.16% share of the total whilst the proportion of imports fell slightly to 50.84%, with a total of 374,484 tonnes.

Regionally, Schiphol’s largest market remained Asia and the total of 281,410 tonnes (up 3%) was 38.2% of all cargo handled. Exports to Asia rose 6% to 140,388 tonnes with imports from Asia also rising fractionally. North America remained Schiphol’s second largest market, with imports up 3% at 65,282 tonnes and exports down 11% at 60,079 tonnes, resulting in an overall share of 17.02% of freight handled (down from 17.94% in the same period last year).

The Middle East and Africa swapped places in terms of importance at Schiphol with the Middle Eastern market taking third place in terms of tonnage shipped, 38,088 tonnes of imports (up 16%) and 55,294 tonnes of exports (up 4.8%), producing overall growth of 9%. However, the increase in imports was largely due to the entry of various Middle East carriers into the Africa-Amsterdam flower trade, resulting in transhipments via the Middle East and re-classification of some Africa-originating traffic. Africa accordingly slipped to 4th place, with 55,641 tonnes of imports (down 3.8%) and 29,827 tonnes of exports (down 4.4%).

Latin America retained 5th position, with 40,492 tonnes of imports (down 4.8%) and 44,555 tonnes of exports (up 3.9%). The apparent reduction in imports chiefly resulted from re-routing of some South America originating flights via Miami, resulting in their re-classification as US traffic whilst Europe saw a small overall gain of 1.28% in the first half year, with a 9.3% fall in imports counteracted by a 12% growth in exports. Schiphol Cargo Senior VP Enno Osinga, commented:

“2013 is showing a similar pattern to 2012 so far, with an early peak around March. There has been a small decline in freighter flights of around 1%, which reflects the tightening of freighter capacity by some carriers in the face of rising costs and soft rates.”

Source: http://www.handyshippingguide.com/shipping-news/air-freight-figures-rise-slightly-overall-as-cargo-totals-released_4794

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