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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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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DHL launches shipment tracking app

DHL Global Forwarding, the air and ocean freight specialist within Deutsche Post DHL,  has launched a

mobile app for customers to track their shipments.

The ‘DGF Cargo Mobile Tracking’ shows users their shipping history and the status of their current shipments. The app also provides global access and is available free of charge in the respective app stores for iPhone and iPad, android and Blackberry smartphones.  

“The “DGF Cargo Mobile Tracking” application provides increased visibility to customers, as to the current status of their cargo movements, in real time, no matter where they are,” said Michael Young, global head of Marketing and Sales.

“Supply chain managers are often away from their desks and benefit from mobile solutions, which enable them to track time sensitive shipments and adapt their planning, where necessary,” Young added.

The app offers four functions to the user: seeking shipments, saving search queries, a detailed shipping history of the past six months, and a “location finder” that shows the nearest DHL Global Forwarding office and its contact details.  

The search function also allows customers to track further details of the shipment process, such as the shipment’s starting time, current location and estimated time of arrival. The “Save Search” function saves pre-defined search queries, such as multi-digit consignment numbers that can be called up again.

Source: http://www.tradearabia.com/news/IND_240309.html

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Georgia ports set multiple freight records

Georgia’s ports set records during the last fiscal year for tonnage, bulk cargo, auto and machinery units, and freight moved by intermodal rail, the Georgia Ports Authority(GPA) announced Monday.

In the year ending June 30, the ports moved 27.23 million tons of cargo, a 2.4 percent increase over fiscal 2012.

“Our overall tonnage increase has been fueled by the strength of U.S. exports and the GPA’s varied cargo spectrum,” authority Executive Director Curtis Foltzsaid.

For the second year in a row, the GPA achieved a record for auto and machinery units with an 11.7 percent increase over fiscal 2012. The Port of Brunswick is the third busiest port in the U.S. for total roll-on/roll-off cargo and the second busiest for imports of such cargo.

Bulk cargo movement soared by 61.8 percent, while the authority moved a record 314,623 containers by rail, up 4,600 containers over fiscal 2012.

Source: http://www.bizjournals.com/atlanta/news/2013/07/29/georgia-ports-set-multiple-freight.html

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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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Airlines Braced for New EU Cargo Regulations

Russian carriers could be banned from transporting cargo from Russia to Europe if they fail to comply with new EU regulations that come into effect on July 1, 2014, Kommersant reported Monday.

Airlines who want to avoid the ban will need a third country to authorize their carrier status, but to achieve this they have to carry out audits on airport infrastructure.

The International Air Traffic Association said that the airlines themselves will have to pay for the audits — which could cost 18-60 million euros for each airport — and has offered to provide practical seminars to assist companies affected by the regulations.

Last Thursday Yevgeny Chibirev, head of the Association of Air Traffic Users, asked Transportation Minister Maxim Sokolov to provide recommendations to airlines on how to meet the requirements.

Chibirev said that Russian carriers will have to coordinate their flight safety programs with EU authorities and provide them with detailed information on the infrastructure of the airport from which the flight departed.

Cargo carriers argue, however, that airports are not obliged to provide them with the necessary information about customs points and security systems.

In 2010, the EU authorities decided to make cargo checks more rigorous after explosives were found in packages being shipped from Yemen to the United States.

A representative of Volga-Dniepr, the largest Russian cargo carrier, said he does not consider additional audits necessary because "all airlines and airports regularly have their safety standards checked."

The head of Novosibirsk's Tolmachevo airport called the initiative "an attempt to infringe on the rights of Russian airlines and create barriers in Russia on the cargo transportation market." He said the issue should be resolved on the government level.

Source: http://www.themoscowtimes.com/business/article/airlines-braced-for-new-eu-cargo-regulations/483796.html

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Nippon Express launches consolidated service to Guanajuato International Airport in central Mexico

Nippon Express Co., Ltd. (Kenji Watanabe, President), began to offer a consolidated air cargo transport service for urgent small-quantity shipments to Guanajuato International Airport on July 16.

The cities around Guanajuato Airport to be served as new destinations (Leon, Irapuato, Salamanca, Celeya, etc.) have seen remarkable inroads by the automobile industry in recent years and are expected to enjoy further development.

Our delivery network of Guanajuato Logistics Center opened on April 1 of this year by Nippon Express de Mexico S.A. de C.V., a subsidiary of Nippon Express Co.,Ltd, made it possible for us to carry out prompt and flexible deliveries.. This new service will allow customers to shorten total lead time by 12 to 24 hours compared with consolidated air cargo transport routes via Mexico City and Guadalajara.

To meet the various and sophisticated demands of customers in this developing region , Nippon Express will continue to enhance its service lineup.

Source: http://www.nipponexpress.com/news/global/2013/16-Jul-13.html

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Freighters and belly cargo conference 2013

This year's Freighters and belly cargo Conference will be held at the Park Hyatt Hotel on Sadiyaat Island, Abu Dhabi from 29 September to 1 October 2013.

This is the 13th consecutive year we have held the Freighters World Conference – and this year we have included topics on belly cargo.

This two-day conference presents fantastic opportunities to network and socialise. Attended by delegates and speakers who can make things happen, make a difference and make change, you will not be disappointed.

Park Hyatt Abu Dhabi Hotel in the United Arab Emirates is an exclusive sanctuary for the discerning business and leisure traveller, located on a nine-kilometre stretch of environmentally protected beach on Saadiyat Island. The resort is adjacent to the famous Saadiyat Beach Golf Club, minutes from the city’s prime business district, the Abu Dhabi Corniche, and 25 minutes from Abu Dhabi International Airport. The island is only a 40 minute taxi journey from the business district of Dubai.

Source: http://www.aircargonews.net/events/book-event-form.html

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Cargo Airline of the Year 2014

The 31st anniversary of Air Cargo News awards evening, Cargo Airline of the Year, will take place at the Lancaster London Hotel on Saturday, 26th April 2014. If you need any further information about this Air Cargo News event, known throughout the airfreight world as the ‘Oscars’ of the air cargo industry, then please contact Patricia Cooper, General Manager of the Events Division on p.cooper(at)aircargonews.net or telephone +44 (0) 1784 255000

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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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Three new container freight stations mooted

VISAKHAPATNAM: Three new Container Freight Stations (CFS) are expected to be set up in the Port City around the end of the year. Currently, the Container Corporation of India (Concor), Sravan Shipping Services Private Limited, Gateway East India Private Limited and CWC-SICAL have one CFS each in Visakhapatnam.

According to sources, Concor and Sravan Shipping Services plan to set up one more CFS each in the near future. The central government too plans to set up one CFS in Vizag to cater to the increasing demand for container services. "The Balmer Laurie CFS is being undertaken as a joint venture between the central government and Visakhapatnam Port Trust (VPT). "We are finalising the joint venture," said the senior port official. The proposal was made three years ago but could not be implemented because of land related issues. "The handling capacity details will be released once the formalities are completed," said the official.

Phase 1 and 2 of the Concor CFS is expected to come up across 80 acres and is likely to handle around half-a-million TEUs (Twenty-foot Equivalent Units), according to a senior port official."The new (phase 1) Concor facility will be built with a terminal built across 55 acres adjacent the Aiyappa temple. We have transferred the land and it will be operational by October," said the official.

Sravan Shipping chief executive G Sambasiva Rao said the firm aims to handle 10,000 TEUs per month with a CFC built across 30 acres from December. "Container cargo is the future. More than 70% of the commodities in the developed world are switching to container cargo. In some places, even iron ore and coal are being transported through containers. Though container cargo in vizag is just 5% of total cargo handled, it is expected to increase provided there is improved infrastructure in place," he said.

"People are looking at better viability. Earlier, lorries used to be used to transport marble slabs from Rajasthan which was expensive. However, now with domestic and exim (export import) facility available at the ports, businesses are looking at container traffic," said a source.

VPT handled 45.54 lakh tonnes of container traffic in terms of tonnage and 2.48 lakh tonnes in terms of TEUs in 2012-13 as compared to 42.14 lakh tonnes and 2.34 lakh tonnes respectively in 2011-12.

source: http://timesofindia.indiatimes.com/city/visakhapatnam/Three-new-container-freight-stations-mooted/articleshow/21436552.cms

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