Asia Pacific Airlines see 2014 revival in cargo demand

 


Association of Asia Pacific Airlines (AAPA) preliminary figures for 2014 show an “encouraging revival” in cargo demand after three consecutive years of decline.
An upsurge in exports from manufacturing hubs in the region led to a rebound in international air cargo markets in 2014, with demand in freight tonne km (FTK) growing by a "solid" 5.4 per cent compared to the previous year.
Available freight capacity grew at a relatively modest pace of 4.1 per cent, resulting in a 0.8 percentage point increase in the average international freight load factor to 64.9 per cent.
Andrew Herdman, AAPA director general said: "Despite challenges, Asia Pacific airlines enjoyed a year of good growth in international passenger traffic in 2014.
“Air cargo markets experienced a welcome upswing in 2014, with the second half of the year registering 6.0 per cent growth compared to the same period in 2013, following several years of stagnant demand."
Herdman added: "The dramatic fall in oil prices since the end of the year has been welcomed by many airlines, although the resultant benefit in terms of improved profitability will vary depending on individual airline hedging policies and their degree of exposure to external debt, given the weaker Asian currencies."
Looking ahead, Herdman concluded: "Overall, the outlook for the coming year remains broadly positive, with sustained growth in the global economy continuing to drive air travel demand, whilst lower oil prices will also help to keep air travel affordable.
“However, airlines will need to closely monitor market movements, and align future capacity increases with the actual increase in demand, whilst seeking further operating efficiencies to restore margins to more sustainable levels."

Source : http://www.aircargonews.net/news/single-view/news/asia-pacific-airlines-see-2014-revival-in-cargo-demand.html 

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TNT's express trucking link to Istanbul

TNT has launched a daily scheduled road service to Istanbul, linking the Turkish capital city to Sofia, Bulgaria, and on to all countries in Europe via the express company’s trucking network.
The Amsterdam-based parcels company says that it is currently the only express operator to run a scheduled road connection between all of Europe and Istanbul, “offering an economical and reliable alternative for less urgent shipments”.
Transit times from Istanbul to key European business centres vary from four to seven days, depending on distance to destination.
In Turkey, TNT operates a network comprising 26 hubs and depots, as well as a fleet of 328 vehicles, which connect Istanbul with other large cities, such as Ankara, Izmir, Adana and Bursa.
The new daily road service is an addition to TNT’s existing overnight air express service to Istanbul.

Source : http://www.aircargonews.net/news/single-view/news/tnts-express-trucking-link-to-istanbul.html

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LOT Cargo starts flights to US and Canada

LOT Cargo has launched a New York – Warsaw – New York freight route with a special all cargo Boeing 767-300 aircraft operated by a Canadian company Cargojet Airways.
This year, flights are scheduled for January-April and October-December.
For January and March, the company has planned weekly flights departing from New York (JFK) on Saturdays and from Warsaw on Sundays.
For February, two flights per week have been scheduled with an additional flight from Warsaw on Thursdays.
The offer is designed for clients and agencies from not only Poland, but also neighbouring countries, such as the Czech Republic, Slovakia, Hungary, Austria, Germany, Belarus and Lithuania, as well as Switzerland, Denmark, Romania and Italy - a frequent source of streams of goods.
Together with its partners, LOT Cargo offers also further connections to all US and Canadian airports.
LOT decided to use a freight aircraft due to a limited number of passenger flights in the winter season, especially in February, resulting in limited air cargo and mail possibilities.
Each flight with a dedicated aircraft can take additional 48 tons of goods. Another advantage of air cargo transport is the possibility to accept larger parcels with height up to 240 cm (94.5 in), whereas passenger aircraft can only take crates with height up to 160 cm (63 in).
LOT Cargo also offers flights on customer's order providing exclusive solutions. In previous years, LOT chartered such cargo as bulls or money.
LOT is the leading cargo transporter from Poland to Chicago, New York and Toronto. First all cargo aircraft flights commenced in 2009.

Source : http://air.logistics-business-review.com/news/lot-cargo-start-flights-to-us-and-canada-4495566

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Dreamliner ticket for lionesses Maggie and Sonja

 


Lioness sisters Maggie and Sonja made an epic journey home to Africa on the inaugural Kenya Airways Dreamliner flight from London Heathrow via Nairobi to Johannesburg.
The two rescued circus cats were waved goodbye at the start of their 6,000 mile journey by singer celebrity and Born Free Patron, Peter Andre.
Maggie and Sonj will begin their new life at the Born Free Big Cat Rescue and Education Centre at  Shamwari Game Reserve in South Africa. The pair had endured terrible conditions in captivity until rescued by the German authorities.
Andre said “It really is a dream ticket for them. After being told how cruelly these beautiful animals had been treated whilst living with the circus, I am really delighted to get the chance to join the Born Free team at Heathrow.
“I was shocked to learn that circuses which use wild animals as part of their acts are still legal in many parts of Europe, including here in the UK, and I hope to be able to raise awareness of this issue and what organisations such as Born Free are doing to try and change things.”
Katrina Hanson, cargo manager Kenya Airways, said: “We are delighted to have our new Dreamliner operating out of London Heathrow but to have such special passengers on board makes this is a truly memorable flight.” 
“We are thrilled to offer our services to carry this amazing, unique cargo. With the expertise of our support teams and our African network it is great we can logistically make this happen for Maggie and Sonja.”

Source : http://www.aircargonews.net/news/single-view/news/dreamliner-ticket-for-lionesses-maggie-and-sonja.html

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BIFA awards: winners step forward

The British International Freight Association (BIFA) has revealed the winners of its Freight Service Awards 2014 at a ceremony in London.
Robert Keen, BIFA’s director general, commented: “In a neat twist to celebrate the 26th staging of the awards, it was fitting that 26 different BIFA Member companies were in contention, plus our young freight forwarder finalists.”
The air freight award – sponsored by IAG Cargo – went to DSV Air & Sea. The judges thought this company stood out from the shortlist by demonstrating “remarkable growth” in a very competitive sector. Utilising its chilled facilities, the judging panel felt it had developed a specialist service that was of huge benefit to its customers.
The other finalists in this category were Brunel Air Cargo, MOL Logistics (UK) and Uniserve Group.
BIFA Freight Services 2014 winners (pictured L to R): James Circus of Estuary Logistics (Ocean Freight); Amanda Brennan of Samskip (Environment); John Fludder of Panalpina World Transport (Project Forwarding); Dan Smith-Cox of Freightex (European Logistics); Jenifer Taylor of Santova Logistics (Young Freight Forwarder); Helgi Ingolfsson of Schenker (Special Services); Michael Hansen of DSV Air & Sea (Air Freight); Phil Sugden of Allport Cargo Services (Supply Chain Management); Charles Hogg of Unsworth Global Logistics (Staff Development).

Source : http://www.aircargonews.net/news/single-view/news/bifa-awards-winners-step-forward.html

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Ethiopian Cargo adds Brussels B777F quartet

Ethiopian Cargo has returned to Brussels airport with four B777 freighters per week to Addis Ababa.
The freighters will provide onward connections out of Africa, direct to Dubai, Shanghai  and Hong Kong.
The flights will carry mainly flowers, while exports will be general freight. Kuehne & Nagel and DHL Starbroker have actively contributed to bringing the Ethiopian carrier to the European hub, said the Brussels airport authority.
It said: “This is an illustration of the importance of logistics service providers and forwarders for the development of freight activities.”

Source :http://www.aircargonews.net/news/single-view/news/ethiopian-cargo-adds-brussels-b777f-quartet.html

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Panalpina goes into Africa again

Freight forwarder Panalpina has opened new bases in Morocco and Kenya as part of a drive to expand its presence in Africa, a continent in which it was once a dominant player in the oil and gas project sector.
Offices in Casablanca in Morocco and Nairobi, Kenya, and will spearhead a drive for energy and infrastructure business.
Regional chief executive for the Middle East, Africa (MEAC) and CIS, Peter Triebel, said: “Expanding our global presence is part of Panalpina’s overall strategy, especially in growth economies such as Morocco and Kenya. With strong prospects in the two countries, especially in the energy and infrastructure sectors, establishing a formal presence is an important part of our long-term market growth and customer satisfaction objectives.”
However, a Panalpina spokesman ruled out an early return to the important Nigerian market, although there could well be expansion elsewhere. The global forwarder was once a major operator in the country’s oil and gas industry, before it was forced out after becoming enmeshed in a corruption scandal.
He said: “We do not plan a return to Nigeria, but we are indeed looking into opening more offices in countries where we have no own presence so far, especially in the MEAC and APAC regions.”
The new locations will give local customers direct access to Panalpina’s air, ocean and logistics services. Global customers, especially those operating in the energy sector, often require a local presence to achieve integrated, end-to-end solutions.
In Morocco, Panalpina sees opportunities in industries such as energy, automotive, aerospace and healthcare. The country is a local leader in wind power generation and is also investing heavily in solar power, as well as hydro and coal fired power plants. Industrial free trade and logistics zones have brought foreign investment and employment to the north of the country, particularly car manufacturers and their suppliers.
Panalpina’s new managing director in Morocco, Maxime van Geenberghe, also sees Morocco as a springboard for the wider region: “In future the country will serve as a gateway to Mauretania on the West African coast, and to the inland African countries of Mali, Burkina Faso and Niger.”
Meanwhile, the discovery of major oil resources in northern Kenya has brought leading energy companies to the region - Panalpina holds service agreements with many of them - and the new Nairobi office will cater to their growing local requirements.
Managing director for Kenya, Juergen Paliko, says: “Kenya is East Africa’s largest economy and a gateway to the region, especially Uganda and Rwanda. With the Nairobi office in place, Panalpina is now able to take a more focused approach to cultivating local business and also trade lanes from the Middle East and Asia into Kenya.”

Source : http://www.aircargonews.net/news/single-view/news/panalpina-goes-into-africa-again.html

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FIATA welcomes all-in freight rates

FIATA has joined the air cargo industry chorus calling for the elimination of fuel and security surcharges in airline freight rates.
The International Federation of Freight Forwarders Associations said: “The simplification of rate structures will be a significant benefit to forwarders and shippers alike.
"Forwarders have for a very long time desired these surcharges be removed as they are opaque and complex and thereby making it difficult to quote a definite price for air cargo transportation, which the shippers are able to understand.
“The fuel surcharge has come under significant criticism in recent months as fuel prices continue to fall.”
Rodolfo Sagel, FIATA’s airfreight institute chairman believes this is a “long-awaited move” in the right direction that may be supportive of transparency.
He said: “Transparency in the entire supply chain is generally applauded by FIATA, its members and by the International Freight Forwarders client. FIATA believes that this may be the precursor to many other airlines”

Source :  http://www.aircargonews.net/news/single-view/news/fiata-welcomes-all-in-freight-rates.html

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Vietnam and Cambodia lead air cargo surge for emerging markets

Asia’s Vietnam and Cambodia provided the fastest-growing airfreight trade lanes between emerging and developed markets.
US-Vietnam volumes surged 42.7 per cent by volume, and Cambodia-European Union airfreight increased by 41.9 per cent.
That was one finding from the comprehensive 2015 Agility Emerging Markets Logistics Index, now in its sixth year, a data-driven ranking of 45 emerging economies accompanied by a separate survey of nearly 1,000 global logistics and supply chain executives.
According to the survey, Russia’s growing economic isolation has damaged its appeal to logistics and supply chain professionals, with more than 75 per cent of survey respondents said they were pessimistic about Russia’s prospects.
Large BRICS nations: Brazil, Russia, India, China and South Africa have accounted for much of the growth and investment in emerging markets and have dominated the Index. But Saudi Arabia climbed to second place in the 2015 Index, ranking behind only China, which has 47 times the population and 12.5 times the economic output.
“A year ago, there was talk of an emerging markets meltdown and of a new ‘fragile five’ based on concerns about weakness in South Africa, Brazil, India, Turkey and Indonesia,” said Essa Al-Saleh, president and chief executive of Agility Global Integrated Logistics.
“Emerging markets as a group turned out to be far more resilient – even vibrant – than expected despite continued sluggishness in the global economy,” he added.
Transport Intelligence (Ti), an analysis and research firm for the logistics industry, compiled the Index.
John Manners-Bell, chief executive of Ti, said: “Five years after the global recession, prospects for all economies, developed and emerging, are still unclear. Economic fragility, a falling oil price and increasing security concerns in Africa and the Middle East have created uncertainty.
"Despite the challenges, interest remains high in these volatile markets as indicated by increased infrastructure investment, expanding international trade and increased domestic demand. Global manufacturers, retailers and their logistics service providers need to remain cognizant of the shifting dynamics if they are to exploit the significant opportunities which exist.”
The report states that the world’s busiest air trade lanes, as measured by cargo tonnage, are those linking China with the US and EU. EU-China airfreight was up 9.1 per cent while US-China airfreight rose 7.1 per cent.
Outbound traffic also posted big gains as China-US volume grew 14.3 per cent and China-EU airfreight increased 9.6 per cent. Those were the “sharpest gains” among top trade lanes that link the US and EU to emerging markets.
The report also found that EU air shipments fell sharply to India (-5.3 per cent), Brazil (-5.7 per cent) and South Africa (-7.2 per cent, while India’s air volume to the EU rose 4.5 per cent and increased by 6.5 per cent to the US.
Chilean airfreight to the US fell 6.6 per cent, but Peru increased air shipments to the US by 5.7 per cent. Mexico-EU air shipments increased 8.1 per cent.
States the report: “Although many of the world’s fastest-growing trade lanes show large volume increases from relatively low bases, the gains are significant for emerging economies.
"The fastest-growing air trade lanes linking emerging markets with the US/EU are: US-Vietnam up 42.7 per cent, EU-Vietnam up 17.0 per cent, US-UAE up 15.9 per cent, EU-Qatar up 14.1 per cent, Cambodia-EU up 41.9 per cent, Peru-EU up 28.0 per cent, Philippines-US up 22.3 per cent and Philippines-EU up 20.6 per cent.”

Source : http://www.aircargonews.net/news/single-view/news/vietnam-and-cambodia-lead-air-cargo-surge-for-emerging-markets.html

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IAG’s Cargo Connector is going to San Francisco

 
IAG Cargo has extended its Cargo Connector service to San Francisco, the tenth city for the local pick-up service.
It offers freight forwarders at or near the airport a free collection for consignments up to 300 kilos and IAG Cargo estimates that 95 per cent of its customers are based within a five-mile radius of the airport. This means that the Connector vans are never far away when a pickup request is received.
Regional commercial manager for North America, Joe Le Beau, says Cargo Connector was “more cost efficient for smaller freight forwarders that would normally pay a third party to deliver their freight, but also with our GKAs (global key account customers) who really appreciate the peace of mind this service offers."
Cargo Connector is already available in seven US cities - New York, Los Angeles, Chicago, Dallas, Atlanta, Seattle and Houston - and at London Heathrow and Frankfurt.
Drivers use IAG Cargo-branded vans and collect freight and process new cargo bookings on-the-spot for IAG Cargo's network of 350 destinations.
Le Beau said that vans arrive at agents’ premises 15 minutes after IAG has their booking details.

Source : http://www.aircargonews.net/news/single-view/news/iags-cargo-connector-is-going-to-san-francisco.html

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TNT helps customers cut the carbon

TNT is offering CO2-neutral delivery of all express domestic consignments in Germany at no additional charge.
The carrier measures how much CO2 is produced in transporting consignments and then ‘neutralises’ them with an equivalent amount of CO2 credits.
TNT uses CO2 credits only from renewable energy projects that meet Gold Standard requirements. External auditor SGS verifies the process and the CO2 calculation fully complies with the European Norm EN16258.
Customers can also opt for CO2 Neutral for their international consignments, receiving a yearly certificate specifying the amount of CO2 that TNT has neutralised on their behalf.
Other TNT CO2 services include tools to measure historic emissions and model future ones. TNT plans to roll out its upgraded CO2 services to other large European countries over the next few months.

Source : http://www.aircargonews.net/news/single-view/news/tnt-helps-customers-cut-the-carbon.html

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Shanghai sets freight record

Shanghai Pudong International Airport has set a new cargo record, handling a total of 1.5m tonnes of freight in 2014, with growth of 16.15 per cent year-on-year.
Shanghai Pudong International Airport Cargo Terminal Co Ltd. (PACTL) - a joint venture handling operation between Shanghai Airport, Lufthansa Cargo and JHJ Logistics Management – says its domestic cargo volume grew by 6.25 per cent year-on-year to 97,336 tonnes in 2014.
International cargo rose by 16.9 per cent to 1.4m tonnes. Imports increased by 16.85 per cent to almost 598,000 tonnes, while exports grew 15.7 per cent to over 904,100 tonnes.
PACTL vice-president, Lutz Grzegorz said: “We were not only able to meet, but even exceed our positive expectations at the end of the year. We particularly welcome the significant growth rates for imports, as they indicate an increasing balance in the flows of commodities and will therefore help our customers to make their transport cycles more efficient.”

Source : http://www.aircargonews.net/news/single-view/news/shanghai-sets-freight-record.html

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China lifts price controls on 24 commodities, services

China will lift controls on prices of 24 commodities and services, said the National Development and Reform Commission on Sunday.

Market will decide the price of tobacco leaves, the last agricultural product to be freed from government price control, but a minimum price will be set to protect farmers, said a statement on the commission website.

Prices of railway bulk cargo, parcels and privately funded cargo and passenger transport will also be allowed to float. Railway passenger and cargo prices have been decided by the government, but lag far behind changes of road and water transportation prices, which has impeded the development of the railway sector, said Sun Zhang, a professor with Tongji University.

Prices of domestic air cargo will be freed, as well as prices of passenger transport of some airlines.

Wu Tongshui, deputy director of China Air Transport Association, said the move will help activate the market, attract more private investment and enhance the competitive edges of carriers.

Limits will be removed on port service fees, including fees on container loading, ship rubbish treatment and water supply.

Limits will be removed on factory prices of explosives for civil use.

Source: http://www.globalpost.com/dispatch/news/xinhua-news-agency/150104/china-lifts-price-controls-24-commodities-services

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French forwarders slam fuel surcharges

French freight forwarders have called on airlines to end separate fuel surcharges, which they argue are no longer relevant.

TLF Overseas, the French freight forwarders organisation representing 95 per cent of general air cargo transactions, expressed its “incomprehension” of a situation that requires “more transparency and real positive economic signals from the carriers”.

The strongly worded statement comes after Middle East airline Emirates SkyCargo last week confirmed that it is moving towards an all-inclusive freight rate which effectively eliminates separate security and fuel surcharges.

TLF Overseas welcomed the Emirates move and encouraged other airlines “to follow suit”.

The Paris-based forwarders lobby, a member of forwarders groups CLECAT in Europe and international association FIATA, says that fuel surcharges were “primarily temporary,” but became “permanent and uncorrelated to the variation of the oil prices, apart from when they have been taking a bullish direction”.

It added: “Air carriers were indeed more likely over the past 13 years to increase their fuel surcharge as soon as the oil price rose rather than granting cuts when it decreased.”

Noting that the oil price has now fallen below $50 a barrel, - a 50% drop in the past five months and the lowest rate for a decade - TLF Overseas observes: “It is now clear that air carriers are not allowing their customers to benefit from the savings achieved.”

The forwarders association added: “Beginning in 2002, the airfreight supply chain experienced a significant increase in its operating costs due to the huge increase in fuel prices. Air carriers had at this time implemented a ‘temporary’ fuel surcharge whose objective was to pass the rising fuel costs onto freight customers.

“Airfreight forwarders and air cargo agents have always accepted the real impact of oil prices on the operating costs of the airlines, and the profession even took the responsibility to collect this surcharge, on behalf of the carriers, from their exporter/importer customers.”

TLF Overseas argues that it is “clear that the significant and steady decline of the oil price implies the questioning of this [fuel] surcharge, particularly in a difficult economic situation in Europe for a majority of freight companies and industrial players since 2008”.

It says that the current situation offers “a real opportunity for air carriers to simplify their rate structure. This would meet a major demand from shippers, as they recently expressed it in their White Paper on airfreight, published by the European Shippers Council.”

The French association agrees that air carriers must be profitable to ensure their economic sustainability.

“TLF Overseas does not dispute this economic basis but warns that this should be the result of the pricing policy of each air carrier involved in the market, and not the consequence of a continuous amount of surcharges and fees - the continuation in France of paper air waybill taxation at the time of e-freight and digitalization.”

TLF Overseas states that it is in favour of a dialogue with cargo airline representatives, and calls for “a realistic solution” in order to resolve the ten-year-old issue of fuel surcharges.

Source : http://www.aircargonews.net/news/single-view/news/french-forwarders-slam-fuel-surcharges.html

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Customs tips for the unwary shipper

Customs regulations can be a minefield for the unwary shipper, be it edible insects in Europe, chewing gum in Singapore and rubber gloves in the US.
So parcels giant FedEx has come up with eight “surprising” Customs rules for small businesses setting out to conquer the world of exports.
It was compiled by Harald Schoenfelder, managing director global trade services for FedEx Express Europe, Middle East, Indian Subcontinent and Africa.
Says Schoenfelder: “We decided to compile some of the most unusual and surprising rules and scenarios that exist across the shipping market. These go to show just how varied – and sometimes unexpected – countries’ customs regulations can be.”
Customs procedures are in constant flux, says Schoenfelder, and each product has different rules associated with it, adding that the European Commission’s market access database is a good starting point.
“We appreciate that it can be tricky to get to grips with each and every export rule, so you’ll need to plan on a country-by-country basis, and source a trusted resource. Our selection of unexpected regulations will give you a flavour of the kind of rules that are out there.”
Edible insects are trending – but imports of such insects are not yet allowed in all European Union countries due to variations in food safety rules. Belgium approved 10 insects for human consumption in 2014, and in November the first insect meat offers were available in supermarkets and restaurants. 
Amateur sports in France are becoming increasingly regulated compared to other European countries. France no longer allows the import of creatine, a product which helps with the building up of muscles.
As the sixth biggest wine-consuming country in the world, you might be forgiven for thinking that it would be easy to export wine from other European Union member states to the UK. But that’s not the case. When shipping alcohol from an EU member state to a private individual in the UK, there are strict rules that apply.
There’s no use crying over spilt milk, if you’re exporting to China. While you can ship baby formula to private individuals, the quantity is limited to six cans for personal use.
You must register as an exporter with the Chinese authorities. Other parties, such as the manufacturer, have to be registered and obtain approval from the Chinese government as well.
Adds Schoenfelder: “Rules and regulations change all of the time. So even if you’ve exported to a country once, do not assume the rules will remain the same six months later.
“Not all products are what they seem. For instance, one of our customers wanted to ship rubber fingers from France to the US. But as they were to be used as part of poultry feather removal machinery, they were not classified as glove parts.
“The correct customs classification was “machinery for the preparation of meat or poultry”.
Shipping chewing gum into Singapore is prohibited, although exceptions are made for dental hygiene and medicinal purposes under licence.
And, if you’re looking to send zip fasteners to India, you’ll be required to state the length, teeth material and colour of the zips.

Source : http://www.aircargonews.net/news/single-view/news/customs-tips-for-the-unwary-shipper.html

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