New Facilities for Cargo Partner in China

With the acquisition of four additional facilities, logistics company cargo-partner has continued to grow its network in China. The business, which is in process to be acquired by forwarder Nippon Express, has enlarged its Chongqing office and opened a new office in Nanjing, a new warehouse in Guangzhou, and a new pharmaceutical facility in Shanghai. 

 For exporters and importers who want GDP-compliant shipping options for pharmaceuticals, the new Pharma Competence Centre now acts as a functional hub. In a press statement, cargo-partner stated that its local specialists could offer temperature-controlled trucking for the first and last miles in addition to temperature-controlled air and ocean freight services. 

In addition to warehouses in Shanghai, Chengdu, Kunshan, and Hong Kong, there is a new facility in Guangzhou. It will largely serve high-tech demand, but the company also intends to draw future volumes from e-commerce, industry, and consumer goods. The facility will also likely be expanded the following year. One of several cargo-partner offices in the Yangtze River Delta, the new customer service and sales office in Nanjing will provide airfreight, seafreight, land transport, contract logistics, and value-added services. 

 "Nanjing is a major logistics gateway in eastern China, situated at the confluence of several key logistics hubs, including Nanjing Lukou International Airport, Nanjing Port, as well as important railway hubs connected to the main railway networks," the company made clear. Regarding the relocation to larger facilities in Chongqing, the company noted that the city is an important logistics and transportation hub in central China, with airports that rank among the top 10 in throughput throughout the country. Additionally, the city has a sizable port, and the Chongqing-Duisburg railway connection is a key component of the expanding trans-Eurasian rail system. "China presents enormous opportunities for the cargo-partner group as a dynamic and rapidly changing market," stated Luca Ferrara, chief executive of cargo-partner. "

"We continue to expand our network in China with the opening of our new Pharma Centre in Shanghai, our new warehouse in Guangzhou, and our new office facilities in Chongqing and Nanjing. Our long-term objectives of increasing operational effectiveness, creating closer ties with our local partners and clients, and opening up fresh chances for growth are ideally aligned with our strategic choice to establish a strong presence throughout China."

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BIFA campaign to entice hiring from other industry areas

 

A Freight Development Pathway programme has been started by the British International Freight Association (BIFA) to find, recruit, and train qualified people from outside the freight forwarding and logistics industry.

One of the top workforce solutions providers in the world, Manpower, collaborates with trade association BIFA.

The programme is a part of a larger effort to solve the well-documented recruitment challenges facing freight forwarding, according to Carl Hobbis, an executive director of BIFA who also oversees the trade association's training initiatives.

Career possibilities with BIFA member freight forwarding and logistics firms will be made available to candidates.

Participants in the Freight Development Pathway will get a three-week employability programme from BIFA's team of qualified trainers, as well as an introductory freight and customs training course.

The programme will be run by Manpower and will involve employability training to make each participant ready for interviews and potential jobs, weekly one-on-one meetings, and group sessions.

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George Willis Appointed as President of UPS US Operations

Effective May 1, UPS has appointed George Willis as president of US operations.

Willis will succeed Myron Gray who chose to retire after serving for 40yrs at UPS . Willis will report to Jim Barber & will join most senior leadership group of the company.

Willis began his career with UPS in 1984 as part time package handler in the Georgia district & many other part time supervisory roles while attending Morehouse college. He received his bachelor degree from Trinity college.

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Hellmann gains AEO status in the UK

Hellmann Worldwide Logistics UK has been awarded authorised economic operator (AEO) status by HM Revenue & Customs.



The supply chain quality standard highlights businesses involved in the international supply chain.
The two-year process began in December 2012 and involved Hellmann training over 500 staff to complete the process and achieve its goal of becoming AEO certified.
HMRC inspected all areas of the business, offering recommendations for improvements, and making Hellmann UK the third country in the company’s global network to receive the accreditation.
Ian Dallow, security manager at Hellmann Worldwide Logistics UK, said: “Gaining the AEO status has been a lengthy process but something that has been extremely worthwhile. New procedures have been implemented and a more stringent security culture has been adopted to ensure the best service to our customers.
“AEO also provides us with additional business opportunities with major clients and a framework based on quality to help to drive the business forward.”

Source :http://www.aircargonews.net/news/single-view/news/hellmann-gains-aeo-status-in-the-uk.html

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The No. 1 platform for the sector: Asia’s leading event for air cargo and logistics

Air Cargo China is the leading event in the air freight sector in Asia – and it is continuing to grow in size and significance.

Come along and present your company and its expertise at this major exhibition, taking place for the sixth time from June 17 to 19, 2014, at the Shanghai New International Expo Centre.

On these dates a dynamic trade audience from around the world will be converging on Shanghai, that makes Air Cargo China to such an interesting platform for you, as a place to present your latest products and solutions and as a place to engage in intensive networking.

The Air Cargo China Conference
 
The experts’ view on sector trends Again this year, the international air freight conference is being held as part of Air Cargo China 2014. This forum attracts decision-makers in the industry to come and talk about the latest challenges facing the air cargo business – with a special focus on the Asian market of course.

As an exhibitor you also profit from the presence of the entire Asian logistics and transport sector, as Air Cargo China is an integrated part of transport logistic China.

This leading show for the Far East has expanded fast to become the most important meeting place for the transport, logistics and air cargo industry in this region.

Seize this opportunity, and secure your foothold in the markets of Asia.

Source: http://www.aircargochina.com/en/home/home.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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DHL launches downtown mobile service

DHL-Sinotrans, the leading air express company in China, launched mobile stations indowntown Beijing, Shanghai and Shenzhen to provide companies with convenient pick-upfacilities.

The move will help optimize shipment routes for express items and extend cut-off times forcustomers, according to Wu Dongming,managing directorofDHL-Sinotrans International AirCourier Ltd andexecutive vice-president ofDHL Express Asia Pacific.

The mobile stations will also help tackle logistic issues in urban centers.

The DHL-Sinotrans, established in 1986 as a joint venture between DHL and China NationalForeign Trade Transportation (Group) Corp, has deployed eight vehicles in the three cities,extending the pick-up time by up to 60 minutes.

In Beijing, DHL-Sinotrans extends pick-up cut-off time for customers in areas around Guomaoand Zhongguancun. In Shanghai, the service is in place within the CBD area.

The vehicles use a 3G wireless signal to access the DHL’s operations network.

Source: http://www.chinadaily.com.cn/business/2013-09/16/content_16973931.htm

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AP set to become major sea, air logistics hub

Andhra Pradesh commanded a lion’s share of over 46 per cent in the total basket of new port projects being implemented across Indian maritime States.


The port sector in Andhra Pradesh is set to receive a significant boost with the decks cleared for setting up of a second major port in the State.

The proposal to set up the port, with an initial capacity of six berths in Prakasam district, has been already placed before the Union Cabinet — the initial investment will be of Rs 8,000 crore.

While the State Government will hold about 11 per cent stake in the project, the rest will be picked by the other PSUs such as NMDC and steel companies, who are the major users of the port facilities.

Once commissioned, the State will have two major ports, the other being the country’s premier Visakhapatnam port, and 14 non-major ports.

Having occupied the top slot amongst all major ports in terms of throughput for six consecutive years, it slipped to the second position, after Kandla, in the last two years.

However, the port, which currently handles about 70 million tonnes of cargo annually, is expanding its capacity, after which it could regain the lost position.

RS 3,500-CR EXPANSION

The Rs 3,500-crore expansion, which includes setting up three coal berths, a fertiliser berth, a liquid cargo berth and a general cargo berth, are all scheduled for completion within a year.

It is being implemented through the (public-private partnership) PPP route, with private sector port players such as Essar, involved in the capacity building exercise.

The three non-major ports in the State, Gangavaram, Kakinada and Krishnapatnam ports, together handle about 40 million tonnes.

The State Government has prepared a master plan that envisages increasing the capacity of its non-major ports to handle 175 million tonnes in 2020.

Immediate on the anvil are two ports at Machilipatnam and Nizampatnam, with 20 million tonnes and 15 million tonnes capacity respectively.

Gangavaram port is expanding its capacity from 15 million tonnes to 45 million tonnes by adding three multi-purpose berths and a coal handling terminal, which may be commissioned by next year.

Already the port has made waves in the industry due to the natural draft that it has, allowing bigger ships to anchor.

A recently study by trade body Assocham has pointed out that Andhra Pradesh commanded a lion’s share of over 46 per cent in the total basket of new port projects being implemented across Indian maritime States.

The State is currently implementing three projects worth Rs 20,000 crore in the ports sector under the PPP model as on April 2013, according to a study.

However, the study revealed that Andhra Pradesh comes fourth in terms of completion of port-related projects in the Eleventh Plan period — it completed three projects worth Rs 1,425 crore, with a share of 5.8 per cent in the completed projects pie.

Indeed, Andhra Pradesh is well on its way to becoming a major logistics hub not only in the realm of sea transportation but also air cargo.

AIR CARGO HUB

The Rajiv Gandhi International airport, located at the centre of the country’s production hub with a strong regional connectivity, is gaining ground as India’s first full-fledged air cargo hub.

With more than 20 important domestic and other South Asian cities located less then two hours of flying time away and South-East Asian cities such as Singapore, Kuala Lumpur and Bangkok and Westa Asia cities four hours away, the airport is gearing up to cash in on this natural advantage.

Hyderabad airport currently handles over one lakh tonnes a year, which can be modularly scaled up to 1.5 lakh tonnes.

Lufthansa has already nominated the airport as its pharma hub and Cathay Pacific recently added Hyderabad with a twice-a-week Boeing 747 freighter service. Also Thai Airways and Blue Dart are offering main-deck through their Boeing 747-400F MD-11F and Boeing 757F freighters.

MORE AIRLINES

In addition, about 18 scheduled airlines, including 13 international, have cargo bases here, offering belly spaces, ranging from 2-3 tonnes in a 737 type aircraft and 20-25 tonnes in the larger 747 type aircraft.

The airport has a 33,000-tonne capacity dedicated temperature-controlled pharma zone, a 20-acre Free Trade Zone with warehousing and distribution and the integrated terminal operated by GMR and Menzies Aviation of the UK.

New initiatives include cool container links for pharma products, general and temperature-controlled warehouses within the cargo village, promotion of road feeder services and 24x7 customs clearance of cargoes.

Source: http://www.thehindubusinessline.com/news/ap-set-to-become-major-sea-air-logistics-hub/article5071494.ece

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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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Ethiopian Airlines opens second cargo hub in Africa

Addis Ababa, Ethiopia - Ethiopian Airlines, which operates the largest cargo services in Africa, is to open its second cargo hub in Africa, in partnership with the Lome-based ASKY Airlines, the Ethiopian flag carrier has announced on its website.

PANA reports Saturday that the new cargo hub will commence operations in September 2013 using a B737-400F aircraft.

For the past three years, Ethiopian and ASKY have partnered to serve the needs of passengers travelling within, to and from West and Central Africa through the Lomé hub.

Now, Ethiopian and ASKY are partnering in the establishment of a new cargo hub in the Togolese capital for the transportation of goods between West Africa and the rest of the world.

'This partnership will enable easy and convenient air transport of high value and perishable goods to and from West and Central Africa, thereby playing a critically essential role in the growth of trade and the economic development of the region,' Ethiopian Airlines said.

“As Africa continues with its fast economic growth, we are expanding our cargo network to serve the continent better and make air cargo accessible to more countries and more people,' it added.

Ethiopian Cargo, the cargo operations of the Airlines, serves 25 cargo destinations globally using six dedicated freighter aircraft.

Ethiopian Airlines, which has been in operation close to seven decades, is the fastest growing Airline in Africa. It is 100% owned by the Ethiopian government

ASKY, a passenger airline operating out of the Togolese capital, was founded in 2008 as a hub carrier for West and Central Africa, and it is 40% owned by Ethiopian Airlines.

Source: http://www.afriquejet.com/news/10782-ethiopian-airlines-opens-second-cargo-hub-in-africa.html

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Russia wants to increase trade, commercial ties with Pakistan

ISLAMABAD: Russia considers Pakistan an important country of the region as it has great economic potential and wanted to increase bilateral trade and cooperation with Pakistan in diversified areas of economic activity. 

Strong bilateral trade and larger cooperation between Pakistan and Russia would bring prosperity and integrity to the region.

Yury M Kozlov Trade Representative of the Russian Federation in Pakistan at Islamabad Chamber of Commerce and Industry (ICCI) said, “Russia eyes Pakistan as a significant market and many Russian investors are taking interest to explore Pakistan for joint ventures and investment”. 

He said previously Russia participated in some big projects in Pakistan including Pakistan Steel Mills and now there was a renewed interest to enhance trade and economic ties with Pakistan in multiple areas. 

Kozlov said negotiations are in process with Pakistan for energy projects and cooperation in science and technology. He said a Russian company has already offered $1 billion financial and technical assistance for rehabilitation and upgradation of Pakistan Steel Mills. He said Russia was also ready to implement 500-600 megawatts coal-fired thermal power projects near Muzaffargarh and Jamshoro and also to modernise and convert some other power projects in Pakistan to coal. 

He briefed the local businessmen about the upcoming trade exhibitions in Russia and invited them to participate in these exhibitions for exploring new areas of business cooperation.

Zafar Bakhtawari President Islamabad Chamber said Pakistan was now focusing on Central Asia for trade and exports and developing strong economic relations with Russia was vital for tapping huge markets of this region. 

He said Pakistan was occupying a key economic location in the region and Russia should provide support to Pakistan to get the membership of Shanghai Cooperation organisation.

He said the bilateral trade of $542 million between the two countries was far less as Pakistan and Russia has the potential to take bilateral trade up to $4 billion for which serous efforts are required to be made by both sides. 

He said many Pakistani products including food, fruits and vegetables, livestock, leather products, surgical equipment and sports goods have the potential to meet Russian consumers’ needs and private sectors of both countries should be facilitated for direct contacts to tap all untapped areas of mutual cooperation. 

He stressed for direct air flights between Islamabad and Moscow and soft visa policy for promoting trade up to potential.

Russia is the third largest textile importing country of the world importing textile products of $20 billion annually and Russian textile importers should avail quality textile products of Pakistan, which are very competitive and affordable. a
He said the government in Pakistan was determined to undertake big infrastructure development projects including roads and railway network and invited Russian investors to take active part in these projects.

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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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Mideast carriers see freight volumes up 12.7pc

Middle Eastern airlines saw a continued robust expansion of demand in June with freight volumes growing by 12.7 per cent year-on-year, said a report released by the International Air Transport Association (Iata).

The consistent high growth in recent years, as the region’s carriers take advantage of the geographical position of the Middle East, has led to a substantial increase in its share of world air freight, it added.

African airlines recorded relatively slower growth in June, up 2.4 per cent on June 2012. This lags the year to date trend of 4.3 per cent, which is the second best of all regions, the report noted.

With economic growth in some key African markets looking strong, demand for high-value light weight consumer goods should rise, helping air freight volumes in the months to come, according to Iata.

The global air freight demand in June saw a 1.2 per cent year-on-year expansion in June according to the figures.

The figure, although weak, shows an improvement as compared to the 0.9 per cent year-on-year demand growth recorded in May and the 0.1 per cent growth realised over the first half of the year.

From May to June, global freight volumes increased by 0.8 per cent. A quarter of that improvement was captured by European airlines which saw a 0.9 per cent improvement in demand compared to May, and 2.6 per cent up compared to June 2012.

In contrast, Asia-Pacific carriers and North American airlines recorded year-on-year declines of 1.8 per cent and 1.2 per cent 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 per cent of respondents expecting freight volumes to increase over the next year.

A much greater percentage of respondents (72.2 per cent), however, expect no change in weak cargo yields despite their expected increase in demand over the same period. The macro-economic trend remains challenging.

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

Source: http://www.tradearabia.com/news/IND_240327.html

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Saudi Airlines Cargo reports 6% revenue growth for H1

Saudi Airlines Cargo has reported revenue growth of 6% for the first six months of 2013.

In the first half of the year, Saudia Cargo moved a total of 270,000 tonnes, breaking last year's record of 250,000 and achieving a 6% increase in revenue and a 4% increase in tonnage.

Cargo moved on the bellies of passenger aircraft grew by 29%, with the main contributors being the USA (+50%) and the UK (+40%), while cargo boardings on the freighter network grew by 3%.

Cargo moved on the bellies grew by 29%, with the main contributors being the USA (+50%) and the UK (+40%), while cargo boardings on the freighter network grew by 3%.

The airline’s growth is the result of a number of factors, the airline said through a statement. During the first half of the year, the carrier increased its freighter capacity from Dhaka and commenced B747 freighter flights in Mumbai and Kano, Nigeria. It also started operations with its first B747-8F in June, which is currently scheduled on Riyadh-Hong Kong-Riyadh-Frankfurt-Saudi Arabia flight rotations.

In terms of charter activity, revenues were lower than anticipated in the first six months due to a shortage of aircraft availability. As of July 2013, however, the airline increased its fleet to fifteen aircraft (4 MD11s and 11 747s), three of which are dedicated to offering sufficient capacity in the growing ad hoc charter market.

“Although the current market is a bit soft, we still expect to achieve a 10% growth during the second half of the year,”said Nabil Khojah, CEO of Saudia Cargo. “This is principally due to the boost in our charter activity, optimization of our freighter network, adjustments to freighter schedules and increases in the number of freighters to some of our key destinations.”

Saudi Airlines Cargo operates a fleet of 15 freighters and sells the belly-capacity on 145 passenger aircraft for Saudi Arabia’s flag carrier Saudia, spanning a rapidly expanding global network of 225 destinations. In addition to its scheduled freighter services, the cargo airline also provides cost-effective and practical worldwide charter flight solutions from a growing fleet of dedicated charter aircraft.

Source: http://www.arabiansupplychain.com/article-8965-saudi-airlines-cargo-reports-6-revenue-growth-for-h1/#.UfY1LuRHL_I

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Stricter cargo security in U.S. to cost airlines NIS 10m a year

The new measures, which include more scanning, might usher an increase of the maximum prices for flying shipments or the introduction of a security fee on exporters.

The price for sending air freight overseas could soon rise due to stricter U.S. security demands that could halt flights to the United States if not carried out. The companies affected would be El Al Israel Airlines, United Airlines, Delta Air Lines and US Airways.

source: http://www.haaretz.com/business/.premium-1.538436

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Giant Logistics Group Falls Foul of Freight Forwarding Ownership Law

FedEx Proposes to Continue Operations Despite Being Ruled Out of Public Utility Contract 


PHILIPPINES – When the judiciary comes up against state in virtually any country, casual observers can often sit back and enjoy the ensuing row. After effectively being kicked out of the country this week when a Court ruled that its government-issued freight forwarding licence was invalid, FedEx has apparently vowed to continue operations whilst awaiting the final decision of the Supreme Court after two native logistics firms won a wrongful practice suit.

The government, under the auspices of the Civil Aeronautics Board (CAB), issued FedEx with the 5 year licence in May 2011 following a Department of Justice authorisation some years earlier that exempted freight forwarders from the national requirement to only grant public utility contracts to companies owned and operated by Filipinos.

The appellate Court begged to differ however saying, having made the original decision to disqualify FedEx (and any other forwarder affected by similar licence arrangements) that the Justice Department had no authorisation to overturn its ruling. Three justices all agreed on this after a case was brought by two Philippine companies, Merit Freight International Inc. and Ace Logistics Inc., aiming to prove that FedEx is a foreign corporation.

There was precedent for the prosecution in that one company, Royal Cargo, apparently previously 70% owned by Filipinos and with a foreign president but married to a native, exchanged their president for a German national which caused the CAB to rescind their licence to operate unless a further change of presidential status was effected within one month.

It is difficult to see how FedEx can win this particular argument and certainly there may be some residue of distaste after the events of February 2009 when the logistics giant pulled out of its contract to operate a 300,000 square foot cargo terminal in the Subic Bay International Airport. The closure, despite an agreement stretching into 2010, was due to FedEx’s desire to reposition its main Asia Pacific hub to China’s Guangzhou Baiyun International Airport, the first time the US company had ever closed a main cargo hub. The move cost over seven hundred Filipino jobs and followed a move the previous year when FedEx pulled the plug on the operations of Corporate Air which also had a presence at Subic.

It is presumed that the FedEx appeal will centre on the money the US corporation says it is has earmarked to invest in the expansion of its facilities in the country, which was to include new offices and freight terminals supposedly at a cost exceeding $11.5 million. In a statement a spokesman for FedEx (Philippines and Indonesia) said:

“FedEx is operating under the international freight forwarder licence issued by the CAB as an independent entity in the Philippines. The licence was issued on May 2, 2011 and is valid until May 1, 2016. Pending the final decision of the Supreme Court, the CAB has confirmed that FedEx (together with all of the 30 plus other foreign-owned air freight forwarders) can continue to operate under the licence.”

source: http://www.handyshippingguide.com/shipping-news/giant-logistics-group-falls-foul-of-freight-forwarding-ownership-law-_4791

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Project Freight Forwarding Logistics Simpler with Modern Technology

CAD and Predictive Software Makes Designs for Tricky Cargo Movements Easier


WORLDWIDE – According to Per Thornblom, the planning of difficult freight movements using modern technology is allowing logistics providers to set new standards of value and efficiency. Thornblom, Group Project Logistics Manager for the GAC Group, will be addressing the PowerLogistics Asia 2013 conference this October where he will explain why he is embracing the new tools available to shippers with such enthusiasm.

Thornblom recounts how Computer Aided Drawing (CAD) is emerging as a vital element in planning how to load and store complex shipments. Lashing calculations identify the best way to secure cargo on a vessel whilst on-board stability and weather routing software help plan a safe and efficient voyage. In his speech the GAC man will outline the key advantage that dedicated software brings to the planning of heavy lift projects, and how the smart application of technology facilitates the engineering of detailed solutions to ensure timely, safe and on-budget execution. He explains how the availability of these new instruments, plus the wise utilisation of a trained workforce can ensure success, saying:

"Project logistics is a diverse and demanding field, in which having the right skills, knowledge and experience is essential. Project skills are built on practical experience and a solid background in shipping and logistics – and we now have new tools to enhance that expertise.

“Within GAC, wherever we can, we aim to bring existing employees into the heart of project logistics operations - as and when required - and train them in the specific skills they need. Our staff can also enhance their knowledge through a range of theoretical and practical courses offered by the GAC Corporate Academy. Staff with a practical background, who have served at sea or who have been involved in heavy lift logistics operations, are always a good fit.”

Many of the world's leading project forwarding professionals and their clients from the EPC (Engineering, Procurement & Construction), oil & gas, energy and mining sectors will gather at the Singapore's Marina Bay Sands Hotel for PowerLogistics Asia 2013. Participants from throughout the Middle East, Indian Subcontinent, Asia and Australia will include industry giants such as Chevron, Technip, Jacobs Engineering, Mammoet, Jumbo Shipping, SAL Heavy Lift, Panalpina, JAS Forwarding and many more.

Source: http://www.handyshippingguide.com/shipping-news/project-freight-forwarding-logistics-simpler-with-modern-technology_4788

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