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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Russia to build three new-generation ice-breakers for Northern Sea Route

Russia will float out a new-generation nuclear ice-breaker by 2017 with two more to follow in 2020 under a government program to ensure commercial shipping along the Northern Sea Route (NSR) – a 6,000-km Arctic waterway stretching from the Barents Sea in the west to the Bering Strait in the east. Russia is the only country with a nuclear-powered ice-breaking fleet. By the early 2020s, the NSR is expected to start recouping its cost.

The NSR is currently operational all year round. As cargo traffic increases, Russia will need more ice-breakers to cut the way for commercial ships. At present, Russia has five ice-breakers in its Arctic waters. But by 2021, four of them will be decommissioned.

In former Soviet times, the NSR was closed for military reasons. Now that foreign commercial ships are allowed to use it, more and more companies are seeing it as an effective transport corridor connecting Europe and Asia, said Yuri Shcherbanin from the Institute for Economic Forecasts of the Russian Academy of Sciences.

"The distance between Northern Europe and Northeast Asia is much shorter than the traditional route through the Far East and the Suez Canal. Cargo transportation along the Northern Sea Route has grown considerably over the past two years. More than 45 commercial ships sailed through it last year, including a liquefied gas tanker that brought over 66,000 tons of LNG from a Statoil plant in Norway to Japan."
In 2012, The Norwegian-flagged Marika tanker shipped more than 65,000 tons of aviation fuel produced from Sakhalin oil from Korea to Finland.

Within a few years, Russia will start developing oil and gas deposits on its Arctic shelf. The Novatek company is launching the construction of the Sabetta port and an LNG refinery in the Gulf of Ob. Future LNG exports both to Europe and Asia will require more ice-breakers, Mikhail Babenko, a gas environmental policy coordinator at the World Wildlife Fund (WWF), told the Voice of Russia.

"It’s absolutely evident that no diesel-powered ship can manage to sail the whole length of the NSR without refueling. A diesel-powered ship can’t cut its way through ice as efficiently as a nuclear ice-breaker. Another big advantage of nuclear ice-breakers is the absence of soot emissions."
New-generation ice-breakers will surpass their current analogues over a whole range of parameters, said Alexander Voznesenksy, Director of the Baltiysky Zavod shipyard.

"The new ice-breaker will have a draft of between 8.5 m and 10.5 m. Thanks to its unique design, it can be operated both at the Northern Sea Route and in the estuaries of Siberian rivers. Its width – 34 m – means that it can cut the way for tankers with a dead weight of 100,000 tons."

New-generation ice-breakers will be equipped with advanced security and navigation systems.

Source: http://voiceofrussia.com/2013_08_25/Russia-to-build-three-new-generation-ice-breakers-for-Northern-Sea-Route-9892/

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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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EXCLUSIVE-China approves first Argentine GMO corn cargo -sources

BUENOS AIRES, Aug 6 (Reuters) - China has approved its first shipment of genetically modified Argentine corn, Buenos Aires-based trade sources said on Tuesday, signaling that the Asian country may eventually import GMO crops from other producers like the United States.

The sources said Chinese health authorities cleared 60,000-tonnes of genetically modified (GMO) Argentine corn. The cargo was already headed inland to be used as hog and chicken feed.

Benchmark Chicago corn futures fell briefly after the market learned about the shipment. Argentina competes for market share with the United States, the No. 1 world corn exporter. But CBOT corn futures, which were already depressed due to good U.S. crop weather, ended the session mixed.

U.S. farmers could eventually benefit from China finally opening the door to GMO corn imports.

Demand for corn-fed pork and poultry has boomed in China as a growing middle class can afford a higher-protein diet.

The Argentine corn was imported by China's state-owned trading house COFCO and left Argentina about a month ago, said three Buenos Aires-based grains trading sources with knowledge of the situation.

The market knew since May that Argentine corn was headed to China. But questions lingered as to whether it would be approved for entry by the AQSIQ, China's General Administration of Quality Supervision, Inspection and Quarantine.

"The cargo has now been approved by the AQSIQ and the vessel has been discharged in China. The corn is officially imported and on its way to end customers," said a source at a major trading company in Buenos Aires, asking not to be named.

Chicago corn prices have fallen sharply from record highs last summer, and many analysts and traders expected prices to fall further on prospects for a U.S. bumper crop this season.

In contrast to last year, the world is expected to be awash with corn for the foreseeable future, keeping prices in check. Argentina's 2012/13 crop is nearly all harvested.

China is seen by corn futures traders as a wild card in their attempt to pencil in specific price projections.

Most Argentine corn is genetically modified. A small amount was allowed into China late last year as a test case under a China-Argentina GMO deal signed in February 2012.

There is broad scientific consensus that food on the market derived from genetically modified crops pose no greater risk than conventional food. However, advocacy groups argue the risks of GMO food have not been adequately identified. (Additional reporting by Sam Nelson in Chicago; Editing by Gerald E. McCormick, Jeffrey Benkoe and David Gregorio)

Source: http://www.trust.org/item/20130806201856-jygv5

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Abu Dhabi cargo portal planned

Etihad Airport Services – Cargo (EAS-Cargo), a subsidiary of Etihad Airways, is working with the Singapore-based Cargo Community Network (CCN) to roll out a new information technology platform for the Abu Dhabi cargo community called Cargo Community Service (CCS). 

The service is designed to facilitate air cargo booking and shipment processes for Abu Dhabi-based freight forwarders and clearing agents, by linking them directly with air cargo carriers, ground handlers and third parties.

Also, under CCS, several comprehensive electronic cargo services for the Abu Dhabi air cargo community will be introduced utilizing a secure online portal called CCNhub. This includes Electronic Customs Manifest and Electronic Delivery Orders (eDO) functions, which Etihad says offers freight forwarders a timely and cost-effective way of submitting customs data electronically for cargo clearance, in addition to obtaining pricing information for printing delivery orders.

EAS-Cargo and CCN expect the new information technology platform services to go live in the fourth quarter of 2013.

“We are delighted to collaborate with EAS-Cargo as it sets about building an air cargo e-commerce environment and hub in Abu Dhabi,” said Teow Boon Ling, CCN’s CEO. “Having been in this region for the past few years, we have a good understanding of the local market requirements and practices, and with this exciting partnership we envisage the customized e-services we deliver to the Abu Dhabi cargo community will elevate the standard of air cargo services to the next level.”

Kevin Knight, Etihad Airways’ chief strategy and planning officer, said: “In line with Etihad Airways’ vision to promote Abu Dhabi as an international gateway, e-commerce has always been at the forefront of how we do business. Partnering with CCN to create a cargo technology platform will simplify business engagement for the entire Abu Dhabi cargo community by enabling all stakeholders including, freight forwarders, clearing agents, the terminal operator and the regulatory authorities to communicate on a single platform.”

Source: http://www.aircargoworld.com/Air-Cargo-News/2013/08/abu-dhabi-cargo-portal-planned/0614818#sthash.JHvNC3kI.dpuf

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E-commerce boost for Abu Dhabi air cargo community

Abu Dhabi: Etihad Airport Services — Cargo (EAS-Cargo), a subsidiary of Etihad Airways, is working with the Singapore-based Cargo Community Network (CCN) to roll out a new information technology platform for the Abu Dhabi cargo community called Cargo Community Service (CCS).

The one-stop service is designed to help air cargo booking and shipment processes for Abu Dhabi-based freight forwarders and clearing agents by linking them directly with air cargo carriers, ground handlers and third parties.

Furthermore, under CCS, a number of comprehensive electronic cargo services for the Abu Dhabi air cargo community will be introduced utilising a secure online portal called CCNhub. This includes Electronic Customs Manifest and Electronic Delivery Orders (EDO) functions, which offer freight forwarders a timely and cost-effective way of submitting customs data electronically for cargo clearance, in addition to obtaining pricing information for printing delivery orders.

EAS-Cargo and CCN expect the new information technology platform services to go live in Q4 2013.

Teow Boon Ling, CEO of CCN, said: “We are delighted to collaborate with EAS-Cargo as it sets about building an air cargo e-commerce environment and hub in Abu Dhabi.

“Having been in this region for the past few years, we have a good understanding of the local market requirements and practices, and with this exciting partnership, we envisage the customised e-services we deliver to the Abu Dhabi cargo community will elevate the standard of air cargo services to the next level.”

Kevin Knight, Etihad Airways’ chief strategy and planning officer, said: “In line with Etihad Airways’ vision to promote Abu Dhabi as an international gateway, e-commerce has always been at the forefront of how we do business. Partnering with CCN to create a cargo technology platform will simplify business engagement for the entire Abu Dhabi cargo community by enabling all stakeholders, including freight forwarders, clearing agents, the terminal operator and the regulatory authorities, to communicate on a single platform.”

Source: http://gulfnews.com/business/aviation/e-commerce-boost-for-abu-dhabi-air-cargo-community-1.1217443

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EU to enter talks with China on ending its anti-dumping wine probe

CHINA and the European Union continue to negotiate anti-dumping probe of European wine exports which amounted to 257.3 million litres in 2012, valued at US$1 billion, half of which were from France. 

A decision to drop the wine anti-dumping probe is unconfirmed with a latest report from Reuters citing law firm's continued investigation into the Chinese industry association's complaint. However, discussion is a sign that Europe's most important trading partner is willing to ease tensions. 

The threat of duties on European wine from France, Italy and Spain appears a symbolic move, particularly centred on the two countries, France and Italy, most in favour of hefty fines on Chinese solar panels. 

Germany and Britain opposed the move with Germany as they would be hurt by tariffs in China, a major exporter of polysilicon, a raw material used in making solar-energy devices. 

Source: http://www.schednet.com/home/index.asp?area=seacargo

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Seaport operations company loads landship during training

JOINT BASE LANGLEY-EUSTIS, Va. - With clear, blue sky above and the hot afternoon sun shining down on the Vissering Landship Training Facility here, the 390th Seaport Operations Company out of Ceiba, Puerto Rico, is hard at work. The soldiers of the 390th SPOC are conducting their yearly Extended Combat Training exercise to learn new skills and refresh current skills as Army cargo specialists.

The training at the Vissering Landship is unique since it gives soldiers the chance to practice loading and unloading cargo and vehicles from a sea vessel while remaining on land. 

The types of training we are doing here is called a Logistics–Over-The-Shore operation, said Sgt. Carlos Garcia, a cargo specialist with the 390th SPOC. Garcia explained that the training involves loading and unloading cargo onto a watercraft, and roll-on and roll-off training for the vehicles being loaded onto a vessel. This is just one of many exercises they will be doing in preparation of the final live exercise, he said. 

The 390th SPOC leadership will be busy training their soldiers in all aspects of their job during this training event as cargo specialists. 

“We specialize in transporting cargo and personnel in planes, trains and sea vessels,” said Pvt. Richard Paul Lopez, a cargo specialist with the 390th SPOC. With so many aspects in which to train, the 390th SPOC will be working hard to give every soldier the best possible experience. Garcia said they are constantly rotating their training, and they will soon be training on tactical maneuvers while on convoys. With so much to learn and do, soldiers are constantly being challenged, he said. 

“So far it’s been great,” Lopez said. “It’s great, because the training never gets repetitive.” 

This training exercise gives the Soldiers a chance to work with equipment they don’t have access to back at their home station in Puerto Rico, said Sgt. 1st Class Luis Gonzales, a cargo non-commissioned officer with the 390th SPOC.

At the training site, the 390th SPOC continually emphasizes the importance of safety, especially for the junior-enlisted soldiers. Garcia said that safety is the main priority as well as refresher training. He said the training is important because it goes down to the basic soldier skills, from discipline to situational awareness, and that is why safety is so important. 

Along with safety, the need to know the job well and be able to perform is important. Gonzales explains that safety is a big part of this training, but we also have to take advantage of all the knowledge the instructors here have and learn from the experience of all the soldiers.

With so much to brush up on, and the need to train more than 150 Soldiers in land, air and sea cargo loading operations, the 390th SPOC is well on its way to guide all their soldiers to success. 

The chance to work with new equipment and being able to utilize the experience of instructors has the 390th SPOC running like a well-oiled machine.

Source: http://www.dvidshub.net/news/111180/seaport-operations-company-loads-landship-during-training#.UftMeORHL_I#ixzz2amzpMWOi

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Piracy and its Effect on Global Trade

Dr. Jamal Sanad Al-Suwaidi, Director General of the Emirates Center for Strategic Studies and Research (ECSSR), contends that over the last ten years, the Gulf of Aden and the Arabian Sea have reached high levels of piracy, lending to increased risk for the maritime shipping industry. At Tuesday’s international symposium entitled: ‘The Challenges of Piracy in the Gulf of Aden and the Arabian Sea,’ he highlighted the issue.

“The risks of such crimes taking place are exacerbated by links to organizations involved in international terrorism. Undoubtedly, the volume of global trade that passes through the Gulf of Aden and the Arabian Sea makes this region an indispensable economic artery and maritime corridor for world security and stability,” he is quoted as saying.

However, aiming for a balance in his rhetoric, he also accentuated how the United Arab Emirates (UAE) have shown their commitment over the past ten years to reducing piracy and related activities in the region. These actions by the UAE have shown positive results, as well as a commitment to working against international terrorism and the collateral crime manifests itself as a bi-product of it.

Acknowledging the notion that piracy is largely a bi-product of weak government as well as ties to terrorist organizations, Dr. Al-Suwaidi is later quoted as saying: “In response to maritime piracy activities in the Gulf of Aden and the Arabian Sea, the UAE is following a two-track approach. On the one hand it provides support for international efforts to confront maritime piracy gangs and on the other hand it supports political ties aimed at enabling the Somali state to control its territory.” Lending credit to the nations in the region for exhibiting their best efforts to curb the phenomenon of piracy is a major step forward into the realm of significantly cutting down on the problem.

The symposium held on Tuesday reflected the issue of piracy in the region, while also seeking solutions through various panels to combat the problem in the future. Overall, it will contribute to safer shipping lanes and economic activity in the region to be reflected in the coming months/years.

Source: http://globalseafreight.com/piracy-and-its-effect-on-global-trade/

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GMS Offers Valuable Service for Retired Vessels

Being as controversial as it is, the practice of shipbreaking is relinquishing its role to more productive means of retiring used vessels. One of these means is ship recycling. One of the most prominent companies in this industry is GMS LeaderShip, a company with a global office disposition that conducts cash buys of ships in order to recycle them or sell them to other companies that do.

So far, GMS has negotiated the recycling of about 2,000 vessels, making them the premier company in the industry worldwide. They operate out of offices ranging from Bangledesh, India, Pakistan, Turkey, and Shanghai to Dubai and Romania. GMS stands out due to its exceptional Corporate Social Responsibility Standards (CSR). It has exhibited these many times over through its deals with other companies and its innovative solutions to ship recycling.

GMS has achieved numerous milestones over the last three years. These include: negotiating more than 100 ship buying deals over the last nine years, delivered 300 ships in one year, developed a Green Ship Recycling Program, and delivered 24 vessels in one month. For more information on GMS’ accomplishments, visit the following site: http://www.gmsinc.net/gms/aboutus.php.

In the coming years, GMS will be a significant partner for companies who want to exercise CRS and engage in disposal of vessels in a way that will not be harmful to the environment or the people who work to dispose of them or recycle them.

Source: http://globalseafreight.com/gms-offers-valuable-service-for-retired-vessels/

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Future Expansion of Malaysian Ports

Kuantan Port in Malaysia is expected to grow exponentially in the coming years. A partnership between IJM Corp Bhd and its subsidiary Kuantan Port Consortium Sdn Bhd (KPC), as well as China’s Guangxi Beibu Gulf International Port Group will facilitate the expansion.

The final design of the project is due in October; the partners have agreed to expand the facility with 16 extra meters of draft alongside the new facility’s berths to help support trade to and from the adjacent Malaysia-China Kuantan Industrial Park. Kuala Lumpur, Malaysia’s major gateway near the capital, is also slated for expansion. Rumors of a third major port being built have also circulated via the Port Klang Authority; this would be in response to rising demand. Westport and Northport currently handle container traffic at Klang.

This presents an issue because these ports also have their own ambitions for expansion, being hindered in their endeavours as long as Port Klang continues to use their facilities. Northport’s plans to increase capacity include means of purchasing larger container-handling equipment, while Wesport plans to raise funds for new developments through a proposed initial public offering. Westport’s goal is to have this complete within the calendar year.

The expansion in Malaysia means more access of maritime shipping to the Asian market, especially due to the connections between Malaysia and China. This is an expansion project that companies will want to be familiar with in the coming months, as its development will affect access to the region.

Source: http://globalseafreight.com/future-expansion-of-malaysian-ports/

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Peak Season Surcharge for All Imports to Vostochniy, Russia

The shipping industry experienced a flux of increased freight rates.  This is due to the year before showing exceptionally low freight rates where shipping companies lost billions of dollars due to overcapacity.  The consequence of this was a 2012 that saw many companies looking for ways to increase their rates to meet costs on ocean freight.

This phenomenon has manifested itself in many companies increasing previously implemented or implementing peak-season surcharges.  One of the most recent to adopt this measure is MCC Transport.

MCC Transport is a regional specialist handling all Intra-Asia containerized cargo for the A.P. Moller – Maersk Group in addition to providing feeder services for a wide range of regional and global shipping lines.  Their rates, going into effect on 15 July 2013 for all dry cargo imports, will be as indicated in the following table:

TYPE	PEAK SEASON SURCHARGE
	20’	40’	40’HC	45’
DRY	USD 50	USD 50	USD 50	USD 50

Source: http://globalseafreight.com/peak-season-surcharge-for-all-imports-to-vostochniy-russia/

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US: Stricter cargo security to cost airlines $2.8m 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 US 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.freshplaza.com/news_detail.asp?id=111688

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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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Slow growth in China hits Asia-Pacific air freight performance with June volume down 1.8%: IATA

CHINA'S ECONOMIC slowdown has dampened air-freight demand throughout Asia and the Pacific as regional carriers' business volume in June contracted 1.8 per cent year on year, according to the International Air Transport Association (IATA).

In the first half, volume dropped 2.3 per cent.

To the organisation representing some 240 airlines comprising 84 per cent of global air traffic, this is the weakest performance among the regions and reflects the broad impact of the slowing growth of Chinese gross domestic product.

There are now fears that China will not achieve its 7.5-per-cent growth target this year, which may disrupt the global economic recovery. The Thai National Shippers Council forecasts only a 2-per-cent increase in the country's shipments to China this year. 

Elsewhere in the world, only airlines in North America suffered from contraction - 1.2 per cent in June and 1.6 per cent in the first half.

European carriers grew freight volumes by 2.6 per cent in June. Though in recession, the euro zone showed some signs of stability. For example, manufacturing activity contracted at its slowest pace in 16 months, easing pressure on key economies such as Italy, Spain and France. An improvement in consumer confidence is also likely to support demand for the sale of lightweight, high-value goods that are typically shipped by air.

While African airlines recorded relatively slower growth in June, up 2.4 per cent, Latin American airlines experienced a 7-per-cent increase. Middle Eastern airlines saw the biggest growth of demand, with freight volumes up by 12.7 per cent. The consistent high growth of airlines based in the Middle East in recent years is the result of their ability to take advantage of their geographical position.

In June, global air-freight demand expanded 1.2 per cent, higher than the 0.9-per-cent increase in May and the 0.1-per-cent growth in the first half.

While the global economic trend had 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. Neverthe-less, overall business confidence, which is a key indicator for air freight, continues to be weak.

"It's too early to tell if June was a positive turning point after 18 months of stagnation," Tony Tyler, director-general and chief executive of IATA, said yesterday. "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." 

Last 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. Despite this, 72.2 per cent expect no change in weak cargo yields despite their expected increase in demand over the same period. 

Source: http://www.nationmultimedia.com/business/Slow-growth-in-China-hits-Asia-Pacific-air-freight-30211599.html

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