ACW 14 January 19 by Azura International

GLOBAL A

MANAGEMENT

WORLD ACW Digital is sponsored by AIRPORTS.COM FREIGHTERS.COM

FREIGH

FRE

Tabloid page bled.indd 1

04/01/2019 09:58

The weekly newspaper for air cargo professionals No. 1,014

14 January 2019

ACW World Air Cargo Awards 2019 open

air cargo Europe expands

Page 3

INSIDE DISAPPOINTMENT IN NOVEMBER

AIRFREIGHT demand was flat in November, the slowest rate of growth since March 2016, following 31 consecutive months of increases ... PAGE 4

SAA SUPPORT DAKAR RALLY

air cargo Europe 2017 pictured

Gerritzen: Hall B2 will be just as successful as Hall B1 at ACE 2019

major expansion of one of the industry’s premier trade show and exhibitions has seen the well-established air cargo Europe event this year expand into a second major hall at its Messe München venue. The move to bring Hall B2 into use to accommodate overflow participation from Hall B1 for the popular biennial air cargo Europe event, organised by Messe München, has followed growing interest from the airfreight industry in participating in this leading global event. According to Gerhard Gerritzen, a member of the management board of Messe München, the move follows two years of planning. Gerritzen says: “transport logistic 2019, including air cargo Europe continues to grow, mainly thanks to participation from abroad. The second hall provides new exhibitors from the airfreight sector as well as logistics service providers with additional space. We had started to think about this during transport logistic 2017, because we had reached the limit of our capacity with our previous area. “The trend has been fully confirmed this year in the

registration phase of the main exhibitors – and consequently our intention to use the new hall too.”

Dynamic development The opening of the new hall shows that the global air cargo area is developing dynamically, believes Gerritzen, who says: “air cargo Europe is a leading industry fair that reflects this momentum. We also see potential beyond the leading trade fair in Munich and have bought air cargo Africa and air cargo India to strengthen our network further.“ In his view, air cargo Europe is firmly embedded in transport logistics. Each trade fair enhances all the other ones. “It is the overall package that convinces. We will see a new record year in 2019,” he considers. Exhibitors new to the show will be located in the new Hall B2. They can also make direct contact with customers from the areas of rail, road and sea. “We expect that Hall B2 will be just as successful as Hall B1,” Gerritzen predicts. Messe München has taken on extra staff to deal with

the expansion into Hall B2. William Carr, chairman of AZura International, Messe München’s UK-based exclusive media partner, said he felt the expansion of air cargo Europe 2019 into a second hall represented the positive role the event plays in the global airfreight industry. Carr would like to wish all management and staff at

Gerritzen: The new hall provides exhibitors from the airfreight and maritime sector as well as logistics service providers with additional space. Messe München the best of luck with the expanded show, which he believes will cement the event even more firmly on the industry’s radar.

SOUTH African Airways Cargo has acted as official airfreight partner of the Toyota Gazoo Racing South Africa Team at the 2019 Dakar Rally ... PAGE 5 MENZIES EXPANDS DOWN UNDER

MENZIES Aviation has expanded its Australian cargo operations with the opening of facilities at Cairns Airport and Melbourne Avalon Airport .... PAGE 7

PHARMA CORRIDOR OPENED

HKIA and Brussels Airport have opened an airport-to-airport pharma corridor to cater for the specific needs of pharmaceutical shipments .... PAGE 8

aircargoweek.com

HAV ready for production with POA audit

ybrid Air Vehicles ended 2018 with Production Organisation Approval (POA) being awarded by the UK’s Civil Aviation Authority, putting it in a strong position to launch production this year. The POA considers the manufacture and assembly aspects of aircraft production including supply chain management, processes relating to manufacture and assembly, and the production facility itself. Both Design Organisation Approval (DOA), which covers design activities and flight test, and the POA covering manufacture and assembly, are required to move forward into a type certification programme with the production Airlander 10. HAV says being awarded POA was a remarkable achievement, as it usually takes over a year to prepare a facility for the audit. The company moved into the Airlander Technology Centre in June and were able to be audit-ready in under six months thanks to the efforts of the production team, led by Ivor Pope. David Lindley, head of aviation safety and quality assurance at HAV says: “The POA approval is a significant milestone for HAV. It is the culmination of months of hard work and focused effort. It demonstrates that the safety, quality assurance, and supply chain

management processes are in place, along with the production facility.” Executive director Nick Allman says: “The POA is the regulator’s stamp of approval for us to move ahead with the production of Airlander 10 on the path to type certification. This puts us in a great position going into 2019.”

Interest high in new Malaysian cargo airport

! e g a P t n o r F e h t Hold This week, we look back to 2015. Vol 18: Issue 30 3 August 2015

his week, Air Cargo Week led with a story about IAG Cargo and Finnair Cargo entering a block space agreement for a London-Helsinki route using a leased A300-600 Freighter from DHL Aviation to start the following month. It would fly twice a week. The block space agreement comes after Finnair joined IAG Cargo’s Partner Plus partnership, a type of interline agreement. Operating between London Luton and Helsinki airports, the freighter has a capacity of 172 tonnes giving an annual capacity of more than 8,000 tonnes on the lane. In 2018, IAG Cargo welcomed MASkargo as the ninth carrier in its Partner Plus programme to interline on each other’s airlines on a commercially booked basis. The other members are American Airlines Cargo, the Avianca Group, China Southern Airlines, Finnair, Japan Airlines, LATAM Airlines and Qatar Airways. The second story related to the US government’s Customs and Border (CBP) protection agency’s Air Cargo Advance Screening (ACAS) pilot programme asking for new participants as it had again been extended. This had the effect of pushing back the date by which its implementation became m a n d a t o r y. The ACAS programme would eventually come into effect almost three years later on June 12, 2018 The third story this week is about UK manufacturer Amsafe Bridport which claimed to have successfully conducted a fire containment cover (FCC) system test, withstanding a sixhours lithium-ion battery fire.

ACW 14 JANUARY 2019

KEDAH state government in Malaysia is considering building a cargo airport in Kulim, the national news agency Bernama reports. Kulim is in the south of the state and borders the business hub of Penang. The state is considering proposals from several companies from Europe and China for collaboration, the report added. Officials in Kedah did not immediately return phone calls or e-mails. “That’s why we are continuing with this proposal. We have received several pro-

posals from foreign private entities,” the state’s chief minister Mukhriz Mahathir told reporters. Malaysia’s federal government supports the decision to proceed with the airport project but had had asked the state government to seek financing from other sources pushing Kedah to consider a Private Financing Initiative (PFI). Two viability studies done some years ago, one by Malaysia’s transport ministry, support the Kedah government.

NAX Express portal opened

AS part of its New Year strategy, global air cargo network Neutral Air Partners has launched its NAX express and courier e-booking portal. It is designed to combine the best possible price comparison, availability and convenience for B2B and B2C courier and express shipments. The system, powered by member company Parcel International, offers the members strong buying power and tools and the opportunity to develop the group’s own global e-solution for the future. The system books the shipment on the chosen carrier, prints AWB and label, tracks shipments and issues one invoice per month and allows access to multiple carriers with a single log-in. Christos Spyrou, (pictured) CEO and founder of NAP states: “Our group is constantly researching new ways to help our members be more competitive and hold their own against the mega sized operators. This new tool will allow our members to work on level ground in the rapidly expanding small package market. The network’s 250 plus members are located in 90 countries.

aircargoweek.com

“Both studies show the proposal is very viable and in fact could boost the economy of Kedah and Malaysia in general,” Mahathir said. He also expressed hope the project could be implemented within its earlier estimated cost of RM1.6 billion or $360 million. “We only need warehousing, a parking apron and a container area to control these costs. What is important is the good response from exporters and importers, who are looking forward to this new airport.” He said the airport would be located close to the Kulim High Technology Park and Penang, ensuring high demand for air freight. Penang is Malaysia’s second export centre, after the capital Kuala Lumpur, with an emphasis on E+E. or electronics and engineering. Some 200 multinationals have operations there. One other market the new airport could tap is perishables trucked in from across the border Southern Thailand. Growers of soft fruits and seafood products are thwarted by the distance and lack of connectivity to the Thai capital, Bangkok.

$3.2million for cargo.one

CARGO.ONE has successfully raised financing, with $3.2 million in a round led by Creandum and Point Nine Capital with the participation of Lufthansa Cargo. The Berlin-based company was founded less than a year ago by Moritz Claussen, Oliver Neumann and Mike Rotgers. The round allows the company to further develop its technology for the digital distribution and booking of airfreight and to meet the high demand from airlines and forwarders. Claussen says: “With Creandum and Point Nine, two internationally prominent investors are believing in our innovative distribution technology. With Lufthansa Cargo, one of our first customers, we are also proving that even a prime industry player is convinced of the pertinence to build an industry-wide transactional platform.” Simon Schmincke, partner Creandum says: “We believe that any industry can be fundamentally changed by the right entrepreneurs, and cargo.one, with its state-of-the-art technology and an experienced and knowledgeable founding team, promises to become the leading technology provider in this market.” Peter Gerber, CEO of Lufthansa Cargo adds: “We are delighted to be one of the first airlines to recognise the potential of this multi-airline platform for our customers and to have made ourselves compatible.”

Voting for ACW World Air Cargo Awards 2019 opens

he awards are in two stages – a nomination stage and a voting stage. Nominations for any air cargo sector organisation around the world have been made by any person or organisation and have only been accepted using the official nomination form on the ACW website. Companies could also nominate themselves; however, they will not be able to vote for themselves. Nominations closed on Friday 14 December 2018. A shortlist in each category was drawn up and published online at www.aircargoweek.com Voting opened on Monday 7 January 2019 and will close on Tuesday 30 April. The winning company from each category will be announced during the Gala Dinner on Wednesday 5 June 2019. No winners will be advised of the results in advance of the event.

ECS Group Turkish Cargo

DHL Global Forwarding Dimerco Expeditors Kerry Logistics Panalpina

Air Charter Service Air France/KLM/Martinair ECS Group Ethiopian Cargo Saudia Cargo

Airfreight Forwarder of the Year 2019

Air Cargo Handling Agent of the Year 2019 Alha Group Asia Airfreight Terminal (AAT) dnata Hong Kong Air Cargo Terminal (HACTL) Shanghai Pudong International Airport Cargo Terminal (PACTL)

Air Cargo Charter Broker of the Year 2019 Air Charter Service Air Partner Global Airlift Solutions Hunt & Palmer

Airport of the Year 2019 Amsterdam Airport Schiphol

Changi Airport Singapore London Heathrow Airport Miami International Airport Milan Malpensa Airport

Air Cargo General Sales Agent of the Year 2019 Air Logistics Group ATC Aviation ECS Group Global GSA Group Kales Airline Services

Information Technology for the Air Cargo Industry Award 2019 Accenture BRUcloud Cargoguide Kale Logistics Webcargo

Air Cargo Industry Marketing & Promotional Campaign Award 2019

Cargo Airline of the Year 2019

Air Cargo Industry Customer Care Award 2019 Air Asia Cargolux ECS Group Swiss WorldCargo Webcargo

Air Cargo Industry Achievement Award 2019 Air Asia Air Charter Service Air France/KLM/Martinair

Air France/KLM/Martinair AirBridgeCargo American Airlines Cargo Avianca Cargo Emirates SkyCargo Etihad Cargo Qatar Airways Cargo Saudia Cargo Swiss WorldCargo Turkish Cargo The Air Cargo Week World Air Cargo Awards will take place on Wednesday 5 June 2019 at The Westin Grand Hotel, Munich, Germany. Reserve your seat online at www.aircargoweek.com/table-reservations

Air Atlanta Icelandic shakes up management

Hermannsson AIR Atlanta Icelandic has made a number of management changes, with new roles for Hannes Hilmarsson, Baldvin Hermannsson and Unndor Jonsson. The Icelandic ACMI and charter airline says the main objective of changing the corporate structure is to increase the focus on Air Atlanta’s fleet growth and renewal, to strengthen business development and strategic planning, and to further enhance aircraft investment. Hilmarsson, who has been CEO since 2006 assumes the role of executive chair-

man of Air Atlanta Icelandic and managing director of sister company Northern Lights Leasing. Hermannsson has taken over as CEO, having been senior vice president sales and marketing since 2008 and a member of the executive committee. Jonsson takes the role of vice president sales and marketing, having previously worked at Air Atlanta from 1996 to 2007 various flight operations roles and re-joining in 2018 as director travel. Hilmarsson says the company has come a long way since he took over as CEO in 2006, and has built up an efficient fleet of Boeing 747-400s while retiring older and inefficient aircraft. He says: “I am personally convinced that these management changes will make a good company even better, and at the same time strengthen the airline for the next chapter in Air Atlanta‘s successful history.” Hermannsson says he takes the role “with

SAUDIA Cargo inaugurated its sales office at Cairo Cargo City inside Cairo International Airport on 20 December after 8 weeks of renovation works. Saudia Cargo says Cairo is one of its most important sales offices due to the number of flights between Egypt and Saudi Arabia. PAUL Sainthouse has been named president of the Chartered Institute of Logistics and Transport in the UK. He will take up the one-year presidency with immediate effect, taking over from Robin Proctor. THE Swain Group has appointed David Emslie as its strategic development director. He joins from Canute Group where he has served as sales director for the past 11 years. In his new role, Emslie will be responsible for the further development of the company’s range of services. Emslie will be based at the Swain Group headquarters in Rochester, Kent. He will work alongside commercial director Matthew Sweet. JAMES Klingelhoefer has joined Peli BioThermal as director of sales in America. He comes to Peli BioThermal with more than 12 years of experience in various leadership, sales and customer support roles at FedEx and World Courier. His most recent position was North American sales director for World Courier, where he was responsible for revenue generation and retention and led a team of regional sales directors. HERBERT Kellehr, founder and chairman emeritus of Southwest Airlines died on 3 January at the age of 87. He founded the airline with Rollin King in 1966 and after legal battles, scheduled services started in 1971 flying from Dallas Love Field. DUBAI International Airport handled 237,059 tonnes of airfreight in November, up 0.6% year-on-year. On a year-to-date basis, the airport has handled 2.4 million tonnes, down 0.8% on 2017. UNITED Airlines’ first Boeing 787-10 Dreamliner started regular services as UA2418 departing from Los Angeles International Airport to Newark Liberty International Airport on 7 January. The second Dreamliner expects to enter services between San Francisco and Newark in February and begin international services in March. HELSINKI Airport will gain a new link to China when Tibet Airlines says flights to Jinan on 8 April. The route will operate on Mondays and Thursdays using an Airbus A330 to the capital of Shandong province, located along the Yellow River. Tibet Airlines is also the first Chinese airline to commence flights to Finland.

Hilmarsson pride and great enthusiasm” after 10 years in charge of sales and marketing. He says: “Air Atlanta Icelandic has a great history, dedicated and hard-working employees and has accumulated a wealth of experience and competencies that are hard matched in the industry. It is on these foundations that the management team intents to move Air Atlanta Icelandic further into twin-engine operations in coming years, whilst at the same time retaining our flexibility and reputation as a quality, reliable operator.”

Record year as orders go with Boeing in 2018 BOEING delivered 69 737s in December and set an annual record of 806 deliveries in 2018, surpassing the previous best in 2017 of 763. Deliveries of various 777s, 767s and 747s rounded out the total of 806 aircraft for the year. The 777 family received 51 orders

ACWBITES

driven by freighter sales from DHL Express, FedEx Express, ANA Cargo, Qatar Airways and other operators. The 737 has a seven year order backlog with production increasing to 52 a month. Nearly half the orders were for the MAX family, including the first MAX 9s.

aircargoweek.com

OPERATIONS at Heathrow Airport were temporarily suspended on 8 January while the Metropolitan Police investigated a drone sighting. Operations had been suspended at Gatwick Airport before Christmas due to drone sightings. The runway at Gatwick was first closed on the night of 19 December with the full schedule not resuming until 22 December. ATLAS Air has expanded its strategic agreement with Nippon Cargo Airlines to add three NCA-owned Boeing 747-400 Freighters to the existing operation. The incremental aircraft will be operated on key routes across the transpacific market, and are scheduled to enter service in April, July and September 2019, bringing the total number of 747-400Fs operated on behalf of NCA to five. DELTA Air Lines has ordered 15 additional A220s, bringing the total number of orders to 90. The additional orders are the airline’s first for the -300 model. Delta has also converted earlier A220 orders to the larger -300, bringing to 50 the number of A220-300s on order. Airbus will produce the A220-300s at a new assembly facility in Mobile, Alabama.

ACW 14 JANUARY 2019

Flat demand in November is a “disappointment”

not barricading their borders through punitive tariffs.” Around the world, Asia Pacific, Europe and Africa all contracted while North America, the Middle East and Latin America all reported year-on-year growth. Asia Pacific was down 2.3%, the first decline since May 2016 due to weaker manufacturing conditions for exporters and shorter supplier delivery times. Europe dipped 0.2% with weaker manufacturing conditions for exporters and shorter supplier delivery times particularly in Germany. African demand was down 7.8%, the eighth time in nine months demand has contracted due to weakness to and from all key markets. North America had the fastest growth for the second consecutive month with demand increasing 3.1% due to the strength of the US economy and high consumer spending. The Middle East was up 1.7% due to stronger trade with Europe and Asia, though capacity increased 7.8%. Latin American demand increased 3.1% but key markets were showing signs of weakness, particularly on routes to and from Europe.

irfreight demand was flat in November, the slowest rate of growth since March 2016, following 31 consecutive months of increases, the International Air Transport Association (IATA) reports. Demand in freight tonne kilometres was static in November and while e-commerce continues to grow, IATA says there are signs of weakness in global economic activity, a contract in export order books, shorter supplier delivery times in Asia and Europe, and weakened consumer confidence compared to the start of 2018. Capacity in available freight tonne kilometres outstripped demand for the ninth month in a row, growing by 4.3% in November, with global load factors down 2.2 percentage points to 51.5%. Alexandre de Juniac, director general and CEO of IATA says: “Normally the fourth quarter is a peak season for air cargo. So essentially flat growth in November is a big disappointment. While our outlook is for 3.7% demand growth in 2019, downside risks are mounting. Trade tensions are cause for great concern. We need governments to focus on enabling growth through trade,

AirAsia extends contract with Unilode AIRASIA X has extended its ULD management agreement with Unilode Aviation Solutions until 2023. Powered by AirAsia’s subsidiary, Red Cargo Logistics, the partnership will help to reduce costs as well as maximise revenue generating belly space across AirAsia and AirAsia X services. Pete Chareonwongsak, CEO of RedCargo Logistics says AirAsia X has been a loyal customer since 2009, and has relied on Unilode’s expertise to supply containers and pallets to meet passenger and cargo growth. He says: “Unilode’s commitment to invest in a mutually beneficial partnership has convinced AirAsia X that the renewed ULD management agreement will further drive efficiencies, load capacity and the digitalisation of its cargo business powered by RedCargo. AirAsia X

and RedCargo look forward to continuing this partnership.” Benoit Dumont, CEO of Unilode says: “Unilode continuously enhances its ULD management service by taking its customers’ input, expectations and business objectives into account and is committed to support AirAsia X’s ambitious growth plans with customer-focused and innovative ULD solutions.”

dnata renews ISAGO in the Philippines DNATA has renewed IATA Safety Audit for Ground Operations (ISAGO) across the Philippines with accreditation at Manila Ninoy Aquino International Airport, Cebu Mactan International Airport and Clark Diosdado Macapagal International Airport. ISAGO is the industry global standard for the oversight and audit of ground service providers, and is complementary to the internationally recognised and accepted IATA Operational Safety Audit designed to assess operational management and control systems of an air operator. ISAGO is conducted in a standardised and consistent manner using internationally recognised standards and requires conformance with the applicable ISAGO Standards and Recommended Practices at both the corporate and

ACW 14 JANUARY 2019

aircargoweek.com

station levels. dnata Philippines chief executive officer, Margaret Yu says: “The achievement of the prestigious ISAGO certification at all of our Philippine airports is an important milestone, which once again underscores our uncompromised focus on safety and service excellence.”

Tabloid page bled.indd 1

23/11/2018 11:13

Tabloid page bled.indd 1

04/01/2019 14:41

SAA Cargo supports Gazoo Racing at Dakar Rally

outh African Airways Cargo has acted as official airfreight partner of the Toyota Gazoo Racing South Africa Team at the 2019 Dakar Rally. The race started in Lima, Peru on 6 January and is seen as the pinnacle in off-road racing and the ultimate test of vehicle durability. The partnership, which has been in place since 2012 involves transporting the racing vehicles to Sao Paulo, Brazil en route to Lima for the start. The shipment consisted of two vehicles, which each weigh two tonnes, and spares, with a total payload of around 8.5 tonnes.

Glyn Hall, team principal of Toyota Gazoo Racing says: “Transporting our race cars to South America could take months if we sent them via sea freight. But thanks to our partnership with SAA Cargo, the transport time is vastly reduced, giving us extra time to develop and prepare the cars for the race.” Justice Luthuli, acting general manager of SAA Cargo says: “The long-standing partnership is a demonstration of trust placed on us by Toyota Gazoo Racing SA Team to handle their most valuable shipment. Through this partnership, we can showcase SAA Cargo’s capability as the provider of air freight solutions.

Hermes 5 comes to Luxembourg

Liege Airport breaks records CARGO volumes at Liege Airport broke records in 2018 with 21.5% growth to 870,644 tonnes despite global issues. The 2018 growth follows on from 2017, which had been a record year with 717,000 tonnes of cargo. The airport says this comes in spite of the commercial tensions between the USA and China, increasing oil prices and uncertainty surrounding Brexit. Luc Partoune, CEO of Liege Airport says the figures confirm that the airport is on the right track, saying: “The arrival of new companies and the performance and exceptional growth achieved by all our operators have contributed to positioning us among the best cargo

“It takes about two months to prepare for the journey, in order to ensure seamless transportation. At the centre of this, is our commitment to deliver consistently on customer expectations. We rely on our capable team to make it possible.” The 41st edition of the Dakar Rally starts and ends in Lima, taking place over 11 days with 450 cars, trucks, motorcycles and quads covering a distance of 6,500 kilometres. The Gazoo team is represented by Giniel de Villiers and navigator Dirk von Zitzewtiz; Nasser Al Attiyah and navigator Mathieu Baumel; and Bernhard ten Brinke and navigator Xavier Panseri.

airports worldwide. I congratulate the entire cargo community.” To sustain growth of companies and handling agents, Liege Airport is accelerating its investment programme with more than 30,000 sq m of warehousing being made available to cargo handlers in 2019 and 2020. Partoune says: “In the next few months, AirBridgeCargo will start using its first warehouse. The contract about to be signed with Cainiao (Alibaba group) is going to provide a medium-term boost for our activities and several hundred jobs will be necessary to sustain the growth in companies established at Liege Airport.”

THE first phase of the implementation of Hermes 5 Cargo Management System has been successfully completed at Luxembourg Airport. The H5 system was customised for ground handler LuxairCARGO, which processes about one million tonnes of airfreight a year. Luxembourg’s location means it plays a vital role in trucking routes across the continent, and the custom version of H5 provides advanced trucking functionality. The upgraded version of H5 also includes features such as a new Customs interface, designed to speed up cross-border Customs clearance, as well as real-time tracking functionality and data analysis to reduce delays and backlogs. The new version of H5 will be fully implemented by mid-2019 and consolidates Customs documents for one inbound shipment, increasing administrative and cargo processing efficiency. Laurent Jossart, executive vice president of LuxairCARGO says: “For one inbound flight to Luxembourg Airport, there can be as many as 20 different trucks which transport its payload onto the next leg of its journey. This tailored version of H5 will help LuxairCARGO to handle one million tonnes of airfreight cargo a year and save significantly on time and costs.”

aircargoweek.com

The H5 CMS provides flexibility in key areas in both management and operations, improving service management, revenue accounting, automation of processes and avoiding service level agreement failures. Jossart says LuxairCARGO migrated to Hermes 5 Cargo System in October 2018, saying: “Hermes 5 not only provides the level of automation we require, but also guarantees the possibility to interface with all our other existing operational systems.”

ACW 14 JANUARY 2019

NEWS A

Cargolux to have a whale of a time with beluga flight

argolux Airlines International will join forces with the Sea Life Trust to relocate Little Grey and Little White the beluga whales 6,000 miles from China to Iceland. The journey will see the belugas move from Changfeng Ocean World in Shanghai via land, air and sea to the large sanctuary in a natural bay at Heimaey, one of the Westman Islands off the southern coast of Iceland. The secluded bay will be the world’s first open water sanctuary for beluga whales, measuring 32,000 sq m with a depth of up to 10 metres being chosen to provide a more natural sub-Arctic environment and wild habitat. Andy Bool, head of Sea Life Trust says: “Cargolux has years of

experience working on many of the most logistically intricate projects and their teams have been working with our animal care team, veterinarians and marine experts to ensure we provide the very best journey for Little Grey and Little White.” Richard Forson, president and CEO of Cargolux says: “Cargolux is honoured to have been entrusted with two such incredible whales. This is a ground-breaking project and one which our animal transport experts are proud to be part of. We are meticulously preparing for the move this spring to ensure a seamless journey for Little Grey and Little White.” The 6,000 mile journey will take about 24 hours to complete, starting at Changfeng Ocean World where each beluga will be

lifted onto specially designed stretchers and carefully placed into speciality build transportation boxes to be lifted out of the aquarium by crane and loaded onto lorries. They will then travel by road to Shanghai Pudong airport, where a chartered cargo aircraft will fly them to Keflavik Airport in Iceland. Following the flight, Little Grey and Little White will be transferred on to two lorries on a two hour drive to the ferry port to Heimaey. Once the ferry docks on Heimaey Island, the lorries will drive a short distance to Vestmannaeyjar where Little Grey and Little White will be transferred to the beluga sanctuary landside facility and placed into a special care pool so they can be assessed following their journey.

SEKO Logistics starts ‘transformative year’ with acquisition of GoodShip SEKO Logistics has started a ‘transformative year’ by making its first full acquisition, with the purchase of Chicago-based GoodShip International. Goodship provides customs brokerage, compliance, and air and ocean freight services to clients with an emphasis on Eastbound Trans-Pacific routes. Clients vary from recognisable brands to start-ups spanning industries including aerospace, automotive, electronics, FMCG, healthcare, pharma and retail. James Gagne (pictured), president and CEO of SEKO says after 42 years of organic growth, it was time to work with strategic partners and undertake acquisitions to enhance its technology, network and capabilities. He says: “GoodShip is a perfect example of the type of company we had in mind when we announced our expansion strategy earlier this year.” Gagne adds: “GoodShip’s customs brokerage and compliance expertise has earned the respect and trust of the company’s customers in Chicago and the Midwest and this will add more depth to what we offer today.” The acquisition of GoodShip will build the capabilities of SEKO’s Chicago Gateway, which offers support to international shippers by adding a new level of customs brokerage and compliance services. Ryan Villiard, president of GoodShip says:

ACW 14 JANUARY 2019

aircargoweek.com

“GoodShip’s clients will now have access to the resources and expertise of a single logistics company that possesses a worldwide footprint, key technology differentiators, and award-winning forwarding, omni-channel, cross-border eCommerce, and White Glove services. This is a great move for our company, our employees and customers.” The transaction was initiated by Republic Partners, who also served as advisor to SEKO on the transaction. 2018 was a busy year for SEKO; it expanded into Mexico with the opening of locations in Laredo/Nuevo Laredo, McAllen/Reynosa, Mexico City, Monterrey, Toluca and Queretaro. In August, SEKO announced a strategic partnership with Hermes Germany and in September, SEKO acquired a majority shareholding in Omni-Channel Logistics to grow its e-commerce and technology services for retailers, pureplay e-tailers, m a rke t p l a c e s and platforms.

Menzies opens cargo facilities at Cairns and Melbourne Avalon

enzies Aviation has expanded its Australian cargo operations with the opening of facilities at Cairns Airport and Melbourne Avalon Airport. Menzies Aviation Cairns is a joint venture between Menzies Aviation and local provider AT Group, with the facility in Queensland’s Far North due to be ready for international cargo in the first quarter of 2019. Virgin Australia is the inaugural customer for Menzies Aviation Cairns with 8 scheduled flights per day and four freighters a week. The contract further expands the relationship between Virgin Australia and Menzies Aviation, which handles domestic cargo for the airline in major Australian cities. The second facility to open in Australia in 2018 is at Melbourne Avalon, where Menzies is the cargo terminal’s sole operator. Menzies will service Air Asia X’s twice daily flight to Kuala Lumpur, following the relocation of the route from Melbourne Tullamarine. Forsyth Black, CEO of Menzies Aviation says launching services in Cairns and Melbourne represents a “significant step” in strengthening air cargo operations in the Oceania region. He says: “Leveraging relationships with key airline partners to

build scale across our network is central to our cargo strategy, and we are delighted that Virgin Australia and Air Asia X have

chosen us as their trusted cargo partner in such a crucial location for the airlines.”

Softbox strengthens team in Europe and India

Valentine

Patki

SOFTBOX has changed its leadership team to enhance growth in Europe and India, with a new general manager and sales director in Europe, and a new general manager in India. Kevin Valentine has taken up the role of general manager for Softbox Europe to lead production, commercial, technical design, product innovation and quality assurance teams across Softbox and TP3 Global. Valentine, who joins the provider of temperature control packaging for the life science and logistics industry, has over 25 years leadership in the science and production of advanced temperature control packaging solutions and thermal covers for the pharmaceutical industry. He will report to global president Wayne Langlois. Dharmesh Chauhan has been appointed the sales director for Softbox Europe, reporting to Valentine. He will lead the combined Softbox and TP3 sales teams in Europe to further expand and support growth of temperature control packaging and thermal covers. Dinesh Patki has been promoted to general manager of Softbox India. He has several years of industry leadership experience and extensive customer relationships in the Indian market. Langlois says: “Kevin, Dharmesh and Dinesh are very experienced industry leaders and I’m delighted to welcome them in their new roles within the Softbox leadership team. By leveraging the best possible talent from within our organisation, it enables us to integrate and grow Softbox to further growth success.”

Chauhan

aircargoweek.com

ACW 14 JANUARY 2019

SOUTH EAST ASIA

Hong Kong and Brussels open pharma corridor Asia Pacific is responsible for more than 30% of air cargo volumes but is being affected by weaker manufacturing and political tension between China and the US.

ong Kong International Airport (HKIA) and Brussels Airport have opened an airport-to-airport (A2A) pharma corridor to cater for the specific needs of pharmaceutical shipments. The pharma corridor connects the two airports, with shipments being handled in strict compliance with the IATA CEIV (Center of Excellence for Independent Validators in Pharmaceutical Logistics) and carried by CEIV certified airlines. Shippers will receive seamless temperature-controlled handling and provided with handling information. In collaboration with Pharma.Aero and the participation of pharma shippers, key performance indicators will be defined, targeting to set pharma handling standards. Alaina Shum, general manager of aviation logistics at Airport Authority Hong Kong says the collaboration marks a milestone to make Hong Kong “a preferred pharmaceutical transhipment hub”. Shum says: “To ensure airport-wide seamless temperature-controlled handling, we are taking delivery of 19 additional cool dollies for common-use by the airlines, meaning that all

ACW 14 JANUARY 2019

airlines will always have the option to deploy cool dollies for their temperature-sensitive shipments. We are also building apron shelters to protect the pharmaceutical shipments from direct weather elements.” Steven Polmans, head of cargo and logistics at Brussels Airport says: “From the beginning, we have reached out to shippers and manufacturers to understand their requirements and work with them and the rest of our cargo community.

We have been focusing on improving processes, finding innovative solutions and effectively implementing various projects.” He adds: “This cooperation with HKIA for a dedicated pharma lane is a first but important step in creating specialised, dedicated pharma corridors. Our pharma volumes between Brussels and Hong Kong as well as the rest of Asia and Australia are significant, so this improved solution for our customers is being welcomed

aircargoweek.com

by the market very much.” Frank Van Gelder, secretary general of Pharma. Aero says: “We have received great support from our members including pharmaceuticals companies MSD and Pfizer to participate in this pharma corridor project. Their participation will help to validate the services and key performance indices of the A2A pharma corridor, making sure it provides all pharmaceuticals shippers the genuine value and peace of mind.”

SOUTH EAST ASIA

AAPA: Volumes remain high put growth stalls

ir cargo volumes remained high but growth was flat in November, according to figures released by the Association of Asia Pacific Airlines (AAPA). Freight tonne kilometres (FTK) were up 0.1% to 6.47 billion while capacity in available FTKs were up 5.9% to 9.9 billion, pushing load factors down 3.8 percentage points to 65.2%. For the year between January and November, FTKs were up 4.3% to 66.8 billion, AFTK by 6.7% to 105.5 billion and load factors fell by 1.5 percentage points to 63.4%. Andrew Herdman, director general of AAPA says: “The moderation in export activity with slowing business orders, contributed to the slowdown in air cargo growth for the month, although this was miti-

gated by higher volumes of e-commerce shipments going into the end-year festive season.” Herdman says the 4.3% growth is a “reasonably solid growth rate” following the increase of 9.6% annual increase in 2017. Looking ahead, Herdman says: “Continued moderate growth in

the global economy and lowered oil prices should support further expansion in air travel demand and air cargo markets in the coming year, although the recent deterioration in trade sentiment and uncertainties over the potential impact on consumer confidence levels present some downside risks.”

50th freighter joins SF Airlines fleet

SF Airlines ended 2018 with the 50th freighter joining its fleet and the launch of flights between Lanzhou and Bangkok. The Lanzhou-Bangkok route was launched on 24 December, with general cargo and fresh products being loaded on the Boeing 757-200 Freighter. SF Airlines says the flights will facilitate trade between China and Thailand, and will allow the airline to improve its aviation network. In the space of 24 hours, SF Airlines took de-

livery of its 49th and 50th freighter, with the latter being put into service on 21 December. The 49th freighter was a Boeing 757-200, registration B207Y, which entered the fleet on 15 December. 2018 was an important year for SF Airlines, ending the year with 50 aircraft, including the first Boeing 747-400 entering operations. The fleet’s main model remains the 757, with 737s, 747s and 767s also providing capacity.

PACTL uses IATA DG AutoCheck SHANGHAI Pudong International Airport Cargo Terminal (PACTL) has introduced the IATA DG AutoCheck to handle dangerous goods more efficiently. PACTL says using the DG AutoCheck will allow for more efficient and accurate DGD checking and DG acceptance on PC and mobile devices. The DG AutoCheck supports functions of DGD online upload, checking the compliance of shipper’s DGD, consignment package against the latest IATA DGR.

PACTL says: “PACTL as a pioneer for the DG AutoCheck, will also contribute our experience to IATA for future system upgrading and advancement of whole air cargo industry.”

aircargoweek.com

ACW 14 JANUARY 2019

E-COMMERCE

East Midlands is the Lapland of air cargo Growth in air cargo demand has slowed in recent months but e-commerce continues to grow as consumers demand more and more products, and want them now.

PS will expand freight operations at East Midlands Airport with the completion of its £114 million facility, doubling capacity and employing 1,000 people. The expansion follows the news that cargo volumes were up 2% in the first half of December and 4.4% during the past 12 months, driven by e-commerce as the number of people shopping online. East Midlands is home to major express operators including DHL, UPS, TNT/FedEx and Royal Mail. In the run up to Christmas, over one million packages were flown in and out of the airport each night. Goods travelling through the airport varied from clothes to supercars, which the airport says reflects the different budgets for Christmas shopping. Karen Smart, managing director of East Midlands Airport says: “As people’s shopping habits change and the demand for next-day deliveries increase, so too will the cargo operation here. We’re a four-hour truck drive from 90% of the urban population of England and Wales which makes us perfectly positioned to facilitate the delivery of goods to a huge number of people and businesses. A key part of my focus is managing this growth sustainably. By this we mean supporting operators to use quieter, larger and more efficient aircraft so that the number of flights doesn’t necessarily have to increase. This is particularly important to minimise the impact on local communities at night time, as we are a 24/7 airport.”

East Midlands is the second busiest cargo airport in the UK after London Heathrow, with projects helping volumes grow further including the SEGRO East Midlands Gateway Logistics Park next to the airport. Earlier in 2018, East Midlands passed a significant milestone

Pearson succeeds Allen as CEO of DHL Express

JOHN Pearson has taken over as CEO of DHL Express, succeeding Ken Allen who has become CEO of the newly established DHL eCommerce Solutions division. He took up the new role on 1 January and has been instrumental for DHL Express’ decade long success story and expects growth figures to continue in 2019. Frank Appel, CEO of Deutsche Post DHL Group says: “He has a proven track record and a deep understanding of the Express business. John’s extensive operational knowledge and business experience within the division will ensure a continuation of the successful growth path of DHL Express in the years to come.” DHL Express says it aims to capitalise on developments in global trade with its network in 220 countries and territories. The company says e-commerce, markets in Europe, the US and Asia are registering continuous economic growth and represent significant potential for

ACW 14 JANUARY 2019

cross-border express shipping. Pearson says DHL Express has been a “tremendous success story” over the past 10 years, making substantial contributions for the group and he is “proud to take Express to the new level”. He praised the staff for their work, saying: “This development was very much driven by our dedication to quality, the uncompromising engagement of our 100,000 employees worldwide and the insane customer centric culture.” He says: “We will use all existing channels to transform every opportunity into top line growth. We are modernising our regional and intercontinental air fleet, we will continue to invest in our international infrastructure and innovative technologies, while making sure to further align our delivery processes with the needs of our customers in order to maintain our excellent level of customer experience and satisfaction.”

when the value of goods shipped to and from non-EU countries in the 12 months leading to July exceeded £10 billion, of which £5.3 billion was exports. Through connects with Europe and America, the airport provides British exporters with access to global markets.

Reed manages UPS Vietnam, Hung takes over in Taiwan UPS has appointed Russell Reed (pictured) as managing director of UPS Thailand and UPS Vietnam, where he will be responsible for overall management of the express business and identifying opportunities for growth. Reed joined UPS in 1993 as an international account executive in the Oregon district. His expertise includes strategic planning, supply chain management, new product development and launches, international marketing, sales enablement, strategic partnerships and operations management. Before assuming responsibility for Thailand earlier this year and now Vietnam, Reed was director of marketing for UPS South Asia District. In his new role, Reed will report to Jim O’Gara, president for UPS South Asia District. Reed says the Vietnam’s ratification of free trade agreements with the European Union and Canada, and participation in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership will bring opportunities for small and medium-sized businesses. He says: “The past few years have seen a transformative shift in global and regional value chains; I expect that we’ll continue to see increased participation of ASEAN businesses moving forward. The new responsibilities for Vietnam, in addition to Thailand, will enable UPS to deliver synergistic solutions for customers in either of these two markets.” O’Gara says that both countries are strengthening bilateral relationships and UPS intends to help local businesses contribute to the twoway trade goal of $20 billion by 2021. He says: “Russell has more than a decade of experience working in Asia, and the insights he’s gained while in the region will benefit Vietnamese businesses looking to increase their engagement in intra-Asia value chains.” On 1 January, Sam Hung took over as managing director of UPS Taiwan, having worked as

aircargoweek.com

director of sales for UPS North Asia. The Hong Kong native began his career in 2006 as an enterprise account manager in regional business development. He was promoted to director of the enterprise account group in 2015, and assumed responsibilities as director of sales for UPS North Asia in 2016. Hung says that UPS is seeing a shift in supply chains for businesses in North Asia to incorporate more value chain partners in South East Asia. He says: “UPS’s global and Asia presence and cross-border experience, simplify the complexities of trade for Taiwanese exporters looking to do more business in these new markets. In July, we announced enhancements in Thailand’s Eastern Economic Corridor, where many high-tech and industrial manufacturers are located.” KK Leung, president of North Asia District, UPS Asia Pacific Region says: “Sam is an asset to the UPS Taiwan team and his extensive experience with solving cross-border challenges for Asian customers makes him the ideal candidate to lead the business. With this appointment, UPS remains committed to helping Taiwanese SMEs as they look to diversify their business towards new avenues of growth.”

TRADEFINDER Airlines

Freight Forwarders

Charters

Turkey

India

United Kingdom

GSSAs United Arab Emirates

Freight Forwarders

Hong Kong

Industry Event

USA

azfreight.com : Featured Company Listings

aircargoweek.com 11_14 Jan 2019.indd 1

ACW 14 january 2019

11 07/01/2019 12:34

Tabloid page bled.indd 1

08/01/2019 12:59