ACW 27th March 23

The weekly newspaper for air cargo professionals

No. 1,223 27 March 2023

Globalisation resilient even as US-China decoupling advances ...

AZFREIGHT TO OFFER CARGOWALLET AND MORE TO ALL ITS USERS

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INSIDE

IAG CARGO ADDS ARUBA AND...

IAG Cargo, the cargo division of International Airlines Group (IAG), has announced the opening of two new routes to Aruba (Oranjestad) via ...

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ATC AVIATION SERVICES APPOINTED ... ATC, a leading global cargo General Sales and Service Agent (GSSA), has announced that it has been appointed effective 1st March 2023

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AZFreight, the world’s leading cargo information portal and directory, has announced that it will be providing its users with access to the latest product from CargoAi, airfreight’s fastest growing digital enabler - CargoWALLET.

From April 2023, AZFreight users will get access to the full CargoMART booking experience, using a white-label solution from CargoAi. CargoMART is a digital marketplace that allows freight forwarders to search, quote, book, track and, now, pay for shipments within one interface, as well as monitor carbon emissions per shipment via Cargo2ZERO.

“We are excited to offer our users the latest in airfreight technology, significantly growing our user experience beyond a directory and information site. We have chosen to partner with CargoAi now, after the release of CargoWALLET, which will make a huge difference in the experience we offer to our users. We are also pleased with Cargo2ZERO

features as part of the booking flow, aligning with our commitment to promote sustainable practices in the industry,” Tim Brocklehurst, Digital Transformation Lead of AZFreight, said. CargoWALLET is CargoAi’s payment solution for air cargo with supply chain financing capabilities, allowing freight forwarders to pay for shipments instantly, without the need for IATA Cass Number, AWB stock, or bank guarantees. Additionally, CargoWALLET enables bookings to be made from any origin and provides the lowest exchange rates in over 30 currencies, increasing the global reach and business potential for AZFreight members.

Integrated in the CargoMART booking flow, Cargo2ZERO provides CO2 visibility emission data on all CargoAi’s airline schedules, Routes and AWBs, calculated as per IATA recommended practice 1678 standard. With data provided from Cargo2ZERO, forwarders can report on their Scope 3 emissions and be fully aligned for environmental, social and governance (ESG) reporting requirements.

AZFreight forwarders can also purchase Sustainable Aviation Fuel (SAF) with Neste, the leading producer of SAF, as an ‘add-on’ to each booking to scale climate action rapidly from an individual level.

“We’re excited to partner with AZFreight, bringing their users our latest solutions, CargoWALLET and CargoMART. This partnership provides members with a superior experience, combining sustainable carbon-efficient route options and instant payment solutions, into an all-in-one booking experience,” Matt Petot, CEO of CargoAi, said.

CargoAi is on a mission to bring the best available technologies to airfreight. Led by airfreight industry experts, the company offers a complete ecosystem of digital solutions. AZfreight.com is the longest-running online freight network. It empowers all suppliers to the global freight industry with a targeted marketing portal. It has forged countless partnerships across the world to overcome the most complex logistical shipping challenges.

BLUEBIRD NORDIC PLANS ... BLUEBIRD Nordic, Icelandic ACMI leasing and cargo airline, is planning to obtain an Air Operator Certificate (AOC) in Slovakia, expanding its ...

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AMI ANNOUNCES THREE

AIR Menzies International (AMI), a leading global wholesale freight forwarder, has made three key senior sales appointments covering ...

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AGI Newcastle supports Turkish and Syrian aid transport

FOLLOWING the recent earthquake that hit Turkey and Syria, the AGI Newcastle office teamed up with Dave Shepherd, the Director of Procurement & Services at SecuriCorp to provide logistics support for the aid collected.

As you can imagine, all manner of items were collected and packed ready to be transported, and Carl Thompson and David Welsh from the Newcastle office not only assisted with the Customs documentation, but the whole team were on-site helping to pack and wrap boxes and pallets.

“From the moment Dave reached out to us, we knew we had to help in any way we could. We used our extensive knowledge of customs to ensure safe passage for this vital cargo, and we’re proud to have helped play our part,” Thompson said.

“I would also like to extend my gratitude to our Global Link partner Anka Trans. Veysel Bayam and the team did an excellent job on the shipment too,” Shepherd added.

“AGI Global Logistics have played a massive part in this journey and put a lot of hard work in and subsidised some of the costs to help us succeed. A massive massive thank you to AGI Global Logistics, David Welsh and Carl Thompson on this epic journey. We couldn’t have done it without these guys,” Dave commented. “Dave deserves an immense amount of credit for arranging the campaign so quickly, and looking at the amount of donations, he’s done a fantastic job,” Thompson concluded.

IAG Cargo adds Aruba and Guyana to its network

IAG Cargo, the cargo division of International Airlines Group (IAG), has announced the opening of two new routes to Aruba (Oranjestad) via Antigua and Guyana (Georgetown) via St Lucia.

Both services will operate twice a week on a British Airways Boeing 777-200 widebody aircraft. Perishables, local produce and oil equipment are some of the exports that this capacity will serve.

“The movement of cargo between Europe and Americas represents an important trade

route, and with our specialist products such as Critical and Constant Climate we’re able to offer a speedy service and ensure that goods stay in perfect condition every step of the journey,” Rodrigo Casal, Regional Commercial Manager for Latin America at IAG Cargo, said.

IAG Cargo continues to expand its Americas capacity with over 250 weekly services between European and Latin American, with IAG Cargo now offering a direct three-times-weekly service between London and Trinidad.

ATC Aviation Services appointed as GSSA in Germany and Switzerland for AVIANCA Cargo

ATC, a leading global cargo General Sales and Service Agent (GSSA), has announced that it has been appointed effective 1st March 2023 as the exclusive GSSA for Avianca Cargo in Germany and Switzerland.

The partnership will strengthen Avianca Cargo’s presence in the region and enhance its cargo sales and services. ATC’s vast network of experienced professionals and innovative technological solutions will enable Avianca Cargo to provide superior service to its customers in Switzerland and Germany.

“We are thrilled to partner again with Avianca Cargo and support their growth in Germany and Switzerland,” Ingo Zimmer, CEO of ATC Aviation, said.

“As a GSSA, our focus is to provide customised solutions to meet the unique needs of our clients. We are committed to delivering exceptional customer service and support to Avianca Cargo and its customers”. “We are excited about our partnership with ATC and the value they bring to our cargo operations”, Ignasi Vera, Cargo Sales Manager EU – Asia, Avianca Cargo added.

“Their expertise in cargo sales and marketing, combined with our extensive network, will enable us to provide unparalleled service to our customers.”

Avianca Cargo is the cargo division of Avianca Holdings S. A. With a fleet of modern aircraft and a network of destinations that spans the Americas, Europe, and Asia, Avianca Cargo provides reliable air cargo transportation services worldwide. It serves more than 50 destinations with a fleet of Airbus A330 freighters.

Global tonnages flatten as average rates further soften

GLOBAL air cargo tonnages appear to have stabilised following their post-Lunar New Year bounce-back in recent weeks and their steady decline throughout most of last year, while average rates continue their gradual softening trend, the latest preliminary figures from WorldACD Market Data indicate.

Figures for week 10 (6 to 12 March) show a small decrease (-1%) in worldwide tonnages compared with the previous week, which had seen a modest (+1%) tonnage rise. On the pricing side, global average rates remained stable compared with the previous week.

Comparing weeks 9 and 10 with the preceding two weeks (2Wo2W), tonnages are up by +2% above their combined total in weeks 7 and 8, accompanied by a +2% increase in capacity, whereas average worldwide rates slightly declined by -2% –based on the more than 400,000 weekly transactions covered by WorldACD’s data.

At a regional level, on a 2Wo2W basis, the post-Lunar New Year recovery in air cargo tonnages was still notable on exAsia Pacific flows to North America (+11%), Middle East & South Asia (+12%), and Europe (+6%), respectively. The most-notable decreases were recorded ex-Middle East & South Asia to Asia Pacific (-8%), and ex-Africa to Europe (-6%).

Despite volumes rebounding in recent weeks, on the pricing side the average rates have continued to show a negative trend from all regions except Asia Pacific, particularly ex-Europe (-4%), ex-North America (-3%), ex- Central & South America (-3%) and ex-Middle East & South Asia (-3%).

Comparing the overall global market with this time last year, chargeable weight in weeks 9 and 10 was down -8% compared with the equivalent period last year.

Bluebird Nordic plans expansion in Europe

BLUEBIRD Nordic, Icelandic ACMI leasing and cargo airline, is planning to obtain an Air Operator Certificate (AOC) in Slovakia, expanding its operations. The company’s decision comes as a strategic move to enter new and prominent markets. “Slovakia is ideally positioned in the middle of Europe, which offers great opportunities for a wider geographical coverage.

The new AOC in the country will aid in expanding our airline routes and destinations, and strengthen the airline’s name in the region,” Audrone Keinyte, CEO of Bluebird Nordic, said.

Currently, Bluebird Nordic operates a fleet of one B737-300, six B737-400 and five B737-800 full freighter aircraft. Bluebird Nordic plans to grow the fleet to 25 aircraft in the next couple of years and strengthen their position in the cargo market, especially in the Boeing Next Generation (NG) segment.

Bluebird Nordic is a family member of Avia Solutions Group, the leading aviation business group and the largest global ACMI (aircraft, crew, maintenance, and insurance) provider, with a fleet of 165 aircraft. The Group is a parent company of SmartLynx Airlines, Avion Express, BBN Airlines, KlasJet, Magma Aviation and more, operating on all continents in the world. Avia Solutions Group holds eight AOC in Europe, and in May the group is planning to get AOC in Indonesia, expanding its current presence in more than 70 countries worldwide.

Europa Air & Sea takes off in Delhi

EUROPA Air & Sea has announced its latest growth plans, the launch of a new office in Delhi, India.

This brand-new location follows the success of Europa’s latest sites in Shanghai and Dubai, that both opened in 2022.

Europa Air & Sea is part of the Europa Worldwide Group and is setting the pace in the market, leading the sector at a time of immense change. Last year, the Group reported a record turnover of £316 million, as well as investment in six new offices across the UK and Europe (as well as the global sites in Shanghai and Dubai).

This is Europa’s first step into the Indian Subcontinent, which forms part of its ambition to grow its geographical footprint, bringing services closer to customers, and supporting local supply chain requirements.

“This is another significant step for Europa Air & Sea as we enter into Q2 of 2023. India has been a core market for our business for some time. We already handle a considerable volume of business both in an out of India within our existing network, and we have seen an increased demand for services within the region, so this is a natural progression,” Angus Hind, Europa Air & Sea Director, said. Delhi has been named as one of the UN’s

Cainiao partners with CJ Logistics to accelerate cross-border deliveries between China and South Korea

fastest-growing cities, creating significant opportunity for trade imports and exports due to its international airport.

“Our office will initially open with a team of ten, all of which have expertise in the logistics sector as well as a solid understanding of the local market,” he continued. “We have sustained success across the air and sea freight market and I am very much looking forward to this continuing across extended international markets, as we focus on promoting our global forwarding solutions.”

In September 2022, the launch of the National Logistics Policy provided a roadmap, where the Indian Government and industry stakeholders highlighted the development needed to grow the country’s logistics sector.

The National Logistics Policy aims to cut India’s cost of logistics operations from 13-14 per cent of gross domestic product to a single digit by 2030 and elevate the country into the top 25 nations ranking in the World Bank’s Logistics Performance Index.

Europa is one of the largest privately owned transport and logistics companies in the UK, with a growing footprint across the globe. The firm continues to invest heavily in both its corporate and operational capabilities that impact right across the business.

CAINIAO Network has announced that it has partnered with South Korea’s CJ Logistics, a subsidiary of CJ Group whose business spans across four major industries, namely food and beverage, biotechnology, logistics, and entertainment and media, to streamline and optimise cross-border logistics services between China and South Korea. In addition, both parties are in the midst of discussions with AliExpress to establish fulfilment centres in South Korea to further safeguard logistics services for local consumers.

This partnership aims to enhance customer experience and quality of services by accelerating deliveries between China and South Korea to as fast as three days, with deliveries even on Sundays. This will be achieved by combining CJ Logistics’ expertise and range of logistics offerings in South Korea with Cainiao’s cross-border logistics capabilities in areas such as domestic warehousing, line haul transportation and first mile network.

CJ Logistics has an extensive infrastructure with strong logistics capabilities in South Korea, of which it owns and operates a mega logistics hub in Gonjiam since 2018, with a total area of over 300,000 square metres and daily parcel handling capacity up to 1.7 million.

“Establishing partnerships with global leading e-commerce partners such as AliExpress and Cainiao create opportunities for us to deliver greater value and better customer experience. In the future, we will continue to optimise cross-border fulfilment services and partnership framework to achieve mutual growth and to offer new overseas shopping services for consumers.”

Shin Young Soo, CEO of Parcel e-commerce Business Unit at CJ Logistics, said at AliExpress’ South Korea press conference in March.

“Cainiao will be able to further optimise the logistics efficiency of the entire supply chain, especially when it comes to safeguarding delivery timeliness during major shopping festivals. This will enable us to deliver a customer experience and shipping guarantee that is on par with local e-commerce,” Wang Ke, Asia Pacific regional manager of Cainiao International Express, commented.

Last year, China launched various initiatives to strengthen cross-border logistics between the two countries, such as the launch of a distribution centre and trucking line haul service in South Korea to expedite AliExpress deliveries from China. These helped to reduce operating costs by 10 percent and save more than 12 hours in processing and handling time for South Korean-bound deliveries.

Former Virgin senior partner joins Altitude Angel’s board

ALTITUDE Angel, the world’s most trusted UTM (Unified Traffic Management) technology provider, has announced Patrick McCall is to join the company’s board as a non-executive director.

McCall is a former chairman of Virgin Galactic and Virgin Orbit, prior to which he held the role of partner at Virgin Group where he was pivotal in developing several brands in the Virgin stable including Virgin Active and Virgin Trains. McCall also held the position of nonexecutive director at OneWeb.

On McCall joining Altitude Angel, Richard Parker, CEO and founder, said: “Patrick brings with him a wealth of experience in growing and developing businesses whose focus is emerging technologies. I’m excited to welcome him to the board at this exciting time as we further scale our operations across Europe and beyond.”

On joining the board of Altitude Angel, McCall said: “I’ve been very impressed with the team at Altitude Angel, from both management and technology perspectives. They are very clearly the ones driving the UTM industry, and in turn the use of drones and

Why are we a WACA Sponsor

The Air Cargo Week World Air Cargo Awards evening is one of the most anticipated events of 2023,even more so now after four years and at the end of the pandemic age. Finally, the stakeholders involved in the cargo family return to Munich to conduct business, meet, talk, spend time, and enjoy the show.

Save Group represents the North East Airport System with the airports of Venice, Treviso, Verona and Brescia and it is proud to be part of the show, and to promote the group and the cargo-dedicated Brescia Airport.

Due to its skills, infrastructure characteristics and high specialisation, BRESCIA VBS can support the customers with tailormade solutions.

Perfectly equipped, flexible and efficient cargo-only flights, VBS can manage any operation. Cargo charter flights can often be unique and our clients consider VBS a preferred infrastructure to operate from.

As a sponsor of the Air Cargo Charter Broker of the Year category, we are looking forward to celebrating the companies who have demonstrated excellence and innovation in this challenging sector.

Charter brokers play a vital role in connecting cargo owners with the right aircraft operators, and providing solutions for complex or urgent shipments.

We invite you all to join us at the Air Cargo Week World Air Cargo Awards ceremony on Wednesday 10th May 2023 at 6pm in Hall B2 at air cargo Europe, where we will announce the winner of this category.

It will be a night full of surprises, entertainment, and networking opportunities for everyone involved in this dynamic industry.

We look forward to seeing you soon in Munich!

UAM (urban air mobility), forward. I’m very much looking forward to helping the business continue its growth and to realise its world-changing potential.”

The news of McCall joining the board follows the announcement earlier this year that BT Group incubation hub Etc. invested £5 million in Altitude Angel.

Parker added: “Our recent investment from BT Group and now Patrick joining our board is a clear demonstration to the market, industry, and regulators of our intent to enable automated drone flights, at scale, to all. Through 2023 we will roll out our ARROW technology, the foundation behind the world’s longest drone superhighway and in doing so unlock the potential of these new and innovative technologies, revolutionising business operations in countless industries.”

As well as Seraphim Investment Trust and BT Group, Altitude Angel is also backed by one of Europe’s leading VC groups, Octopus.

AMI announces three strategic sales appointments

AIR Menzies International (AMI), a leading global wholesale freight forwarder, has made three key senior sales appointments covering the Americas, Europe and Asia Pacific (APAC) regions to support its growth ambitions.

Raffaella Olah joined AMI as the Head of Sales for APAC in December 2022. She has over 20 years’ experience of working in logistics and supply chain, with 11 of those in senior sales roles across multiple sectors including e-commerce, logistics, technology, consumer services and retail.

After a successful period as AMI’s Branch Manager at Los Angeles Airport, Michelle Bellefeuille has been promoted to Head of Sales for the Americas. Michelle has significant experience in the air freight industry, having spent 13 years at DHL prior to joining AMI in 2021.

The second internal appointment sees Claire Bristow taking up the role of Head of Sales for Europe. Claire joined AMI in 2006 and has been leading the UK sales team for the past seven years. She was also a key member of the AMI UK team which won the Air Freight Operator of the Year award at the 2021 Multimodal Awards.

“At AMI, we are committed to creating and maintaining an inclusive environment which reflects the diversity of our customers and the communities we operate in, so I’m pleased to announce the appointment of three senior women to strategic regional sales roles,” Jonathan Clark, CEO, AMI, said.

VPorts to establish first Vertiport at UAE airport

VPORTS, the world leader in the design, construction and operation of Advanced Air Mobility (AAM) infrastructure, has announced the signing of a Memorandum of Understanding (MOU) with Ras Al Khaimah (RAK) Airport to build and operate a first vertiport in RAK designed to establish the UAE as a world-class global AAM hub.

‘‘With the support of the Department of Civil Aviation of Ras Al-Khaimah, we are excited to build and operate the first vertiport at Ras Al Khaimah Airport. This project will enable all AAM partners to accelerate the adoption and deployment of advanced air mobility in RAK and throughout the UAE,” said Dr Fethi Chebil, President and Founder of VPorts.

“This project is aligned with RAK’s Energy Efficiency and Renewable Energy Strategy 2040 and with the vision of His Highness

Sheikh Saud bin Saqr Al Qasimi, Ruler of the Emirate of Ras Al Khaimah, to achieve at least a 30% savings in electricity consumption and a 20% contribution from renewable energy by 2040,” said His Highness Eng. Salem bin Sultan Al Qasimi, Chairman, Department of Civil Aviation, Ras Al-Khaimah.

VPorts’ initial growth strategy is based on the regional transportation of goods, tourism and the efficient movement of patients, organs for transplants and medical equipment. The RAK vertiport, which will be established on

a 10,000 sq m site, will be designed for all types of electric vertical take-off and landing (eVTOL) aircraft. The VPorts vertiport will be opened for all eVTOLs manufacturers.

Ralf Schustereder, CEO, Ras Al-Khaimah Airport stated that “Ras Al Khaimah Airport is pleased to sign this agreement with VPorts to set up a vertiport in our airport. RAK Airport is aiming to be a leading enabler of RAK’s economic and tourism growth. This project will position RAK Airport as part of a development plan and key player in advanced air mobility in RAK. We will provide VPorts with our full support to ensure its success and prosperity.”

The first vertiport in RAK is aligned with VPorts’ strategy. By 2030, VPorts plans to extend its vertiport network to all major industrial areas across the UAE, providing a sustainable transportation solution via eVTOL aircraft. The network will focus on locations that optimize multimodal transportation connectivity, including Ras Al-Khaimah, Dubai South, Jebel Ali, Abu Dhabi and Sharjah.

“We look forward to collaborating with each and every emirate to define the location of dedicated vertiports as well as safety and security regulations, flight corridors, urban integration and business community engagement for this important undertaking,’’ Dr Chebil said.

WestJet Cargo receives approval on behalf of Transport Canada certifying its 737-800 Boeing Converted Freighters

WESTJET Cargo has announced that it has received Transport Canada’s approval and official certification of its four 737-800 Boeing Converted Freighters (BCF).

Following certification, WestJet Cargo and the GTA Group will expeditiously implement three freighters into service, as dedicated aircraft that will fulfill the large-scale needs of businesses, freight forwarders, shippers and individual customers across North America. The fourth of WestJet Cargo’s dedicated freighters is expected to join the accompanying fleet later this year, following the completion of its conversion.

“Today is a long-awaited milestone for WestJet Cargo and the GTA Group, that will now enable us to disrupt the air cargo industry in Canada by providing our customers with more choice, competitive prices and the exemplary customer service synonymous with the WestJet brand, but unique to the air cargo industry,” Kirsten de Bruijn, WestJet Executive Vice-President, Cargo, said. “We thank Transport Canada for its dedication to certifying these aircraft, which will serve to better support Canada’s national transportation supply chain through increased competition and capacity within Canada’s air cargo market.”

Seamlessly integrating into WestJet Cargo’s existing operations and operated by WestJet’s highly skilled 737 pilots, the

dedicated freighters will initially focus service within North America, serving Calgary, Halifax, Toronto, Vancouver, Los Angeles and Miami. Leveraging its quick to load and fly narrow-body aircraft, the 737-800 will enable WestJet Cargo to offer greater fuel efficiency, flexibility and frequency for its customers, beginning 22nd April 2023.

WestJet Cargo’s dedicated freighter routes will further connect to the bellies of WestJet’s fleet, serving to accommodate the diverse needs of cargo customers in leveraging the airline’s expansive network.

“Today’s announcement was made possible by our incredibly talented team of cargo experts and the GTA Group, our valued partner, who have worked diligently towards this achievement that brings WestJet Cargo one step closer to fulfilling our mission to bring competitive cost advantages and reliable on-time performance to Canada’s underserved cargo landscape,” de Bruijn continued.

“Today is an exciting day for the GTA Group as we celebrate this highly anticipated moment that will bring our partnership with WestJet Cargo to new heights,” Mario (Mauro) D’Urso, Chairman of the GTA Group of Companies, said. “Through the capacity of these four dedicated freighters, we are now in an excellent position to meet the needs of the rapidly growing Canadian cargo market.”

Dutch airfreight wholesaler uses videos to plug information void

NETHERLANDS-BASED trade-only airfreight consolidator Wholesale By Vels has launched a series of helpful video guides covering basic airfreight processes. The videos can be viewed free of charge on the company’s new YouTube channel, and via all other mainstream social media.

In the first two programmes to be published, founder Rinaldo Vels uses simple language to explain the basic steps in making an airfreight booking, and arranging a pick-up of freight. More subjects will be covered over the coming months, with a new topic added every two weeks - eventually creating a library of over 25 different videos.

The 90-second programmes are backed up by explanatory notes which can be downloaded from the Wholesale By Vels website. The content of the videos is deliberately not country-specific.

Vels, who has worked in airfreight for over 20 years in a variety of roles, including as a trainer, explains: “In our daily work, my team and I often encounter surprising gaps in basic knowledge that can cause

LATAM Cargo announces the addition of a new Boeing 767 BCF

LATAM Cargo Group starts the year with the addition of a new Boeing 767 BCF to its homogeneous fleet, which now totals 17 cargo aircraft, allowing for a 6% increase in the capacity offered to its customers.

With this arrival, the company is moving forward with its announced growth plan. This would see it reach a total of up to 20 Boeing 767 Cargo aircraft by 2024, coming close to doubling its pre-pandemic capacity offering, and thus reaffirming its position as one of the leading cargo airlines groups in the region.

“We welcome this new freighter during another challenging period for the airfreight industry. When we designed our capacity plan in 2019 we had these periods in mind. Therefore we seeked to build a freighter fleet that could sustain high levels of service while continuing to add value to our shareholders during a downturn like this one. Complementing our broad belly network with an efficient, mid-size aircraft like the Boeing 763F does that. Moreover, we can do so better as we continue capitalising on the productivity gains of recent years. As a consequence we are confident this new addition will further contribute to strengthening our value proposition and expand our network.” says Andrés Bianchi, CEO of LATAM Cargo Group.

The new aircraft, converted in Singapore, will focus on one hand on increasing the capacity currently offered from Europe, generating greater connectivity to Central and South America, via New York and Miami, with two new weekly frequencies, which had been communicated by the end of 2022. It will also provide support on new routes, such as the recently announced one operating on the Quito (Ecuador) – Los Angeles (United States) – Houston (United States) – Manaus (Brazil) – Viracopos, Sao Paulo (Brazil) routes.

The new addition is also part of the cargo group’s efforts to have a rejuvenated fleet, since at 11 years of age it represents one of the youngest converted cargo aircraft in the LATAM Group, compared to the 17 years average of the rest of the fleet.

problems and misunderstandings. Digitisation is great for our industry, but in simplifying and automating processes, it is also depriving many younger airfreight staff of a real understanding of how airfreight actually works.

“We decided that we needed to fill this information void, and that videos would deliver the necessary information in a way that is both easily digested and memorable. We are already receiving very positive feedback on our first published programmes, and are therefore planning to use this format to cover many aspects of export and import processes.”

“This is all about helping airfreight users to get the best out of our industry, while preventing errors and saving time and money. Some companies offer support to their existing customers, but we believe this kind of information and guidance should be freely and openly shared for the benefit of all – so that’s exactly what we are doing,” he concluded.

GUIDING THE ULD MARKET THROUGH

In an increasingly competitive ULD market, Unilode has positioned itself as a main player with its fleet of 160,000 ULDs and the world’s largest maintenance and repair network for ULDs and galley carts. Continuously striving for improvement and growing through investment in its people, technology, assets and infrastructure, the company has strengthened its foothold in key markets.

“We place a high value on customer centricity, flexibility, partnership and being close to our customers. We understand their needs beyond ULD management and offer opportunities to enable them to improve their efficiencies and increase revenues. We pride ourselves on being the market leader in ULD digitalisation, and that opens new opportunities in the aviation logistics value chain,” Ross Marino, CEO of Unilode, said.

This focus on increasing the company’s presence in thriving regions was evident in 2022, as Unilode announced it was expanding its ULD leasing network in Europe and Asia. Having always had “great coverage” in Asia, Europe and the United States, the company’s customers have been provided with strong connectivity.

“We see the need to be more concentrated in emerging markets, such as South America, Africa, the Middle East and South Asia. Additional network locations can help not only our full ULD management capability but also provide greater opportunity for our short term ULD rental business,” Marino added.

Combating global imbalance

One of the biggest challenges for companies in the sector has been the global imbalance in the distribution of ULDs. This is created by flights originating from certain locations being filled with containers, while return flights have the opposite approach, leading to an overstock at one site and an understock at others.

As a ULD provider, Unilode accepts that these imbalances will continue to persist due to airlines’ different traffic requirements. However, Unilode’s ULD management customers enjoy the benefits of having access to the world’s largest ULD fleet, helping prevent these problems impacting operations.

“We are able to mitigate, and in most cases, overcome global ULD imbalances thanks to our collaborative partnership approach, proactive planning and the synergy benefits of Unilode’s unique ULD pooling business model,” Marino explained.

Unilode’s Customer Success Managers, supported by its 24/7 Operations Control Centre and Ground Support staff, work closely with its airline customers, and take ULD and aircraft utilisation, freight forwarder and ground handling activities into account to jointly agree on the ULD stocks required for hassle-free operations.

Additionally, Unilode’s maintenance and repair network,

extended logistics solutions via road and sea transportation and short-term leasing capability has helped enhance the value proposition of Unilode’s ULD management solution and overcome imbalances.

Collaborating on digitalisation

Digitalisation has been sweeping through the airfreight industry. As with other sectors, it has a massive impact on ULD management capabilities because it creates tangible business value for Unilode and its customers.

“The airfreight industry should look to the future together in a partnership model and collaboratively work on digitalisation throughout the supply chain including ULDs, track and trace, end customer visibility, and recognise the mission-critical aspects of ULDs for airlines’ operations,” Marino stated.

From Unilode’s perspective, digitalisation is key to achieve real-time visibility across the supply chain. First, the IoT network data helps to get real-time data on ULD movements including information around the conditions of those movements. The IoT data helps Unilode to register shocks accurately that can be related to damage, and temperatures to show which cargo was exposed to too high (or low) temperatures during transportation. But this only works in combination with readers and a digital app that enable employees throughout the value chain to request information and register logistical activities (such as onloan registration) across the supply chain which significantly reduces paperwork and enables Unilode to improve the endto-end supply chain by reducing waste.

“In many ways the aviation supply chain is still in its infancy. To know where we could develop we should compare the aviation industry with the fast-moving consumer goods sector, where every unit has an EAN code, and is automatically registered through the whole supply chain. We should bring these learnings and improvements one-to-one over to our air cargo supply chain to ensure we create maximum value for customers,” Marino added.

Through the integration of its Bluetooth tags, covering 90% of its fleet, Unilode is able to secure data that provides location, shock, movement detection and temperature information. “We integrate our Bluetooth tags on the pallets through a small carve-out in the edge rail where we fasten the tag with screws so that it cannot become detached from the pallet even under harsh operating conditions,” Marino said.

The next step for the ULD sector

In January, Unilode announced that it has extended its partnership with Gulf Air for another 10-year term. This followed a November renewal of the ULD provider’s

“The airfreight industry should look to the future together in a partnership model and collaboratively work on digitalisation”

partnership with Cathay Pacific until 2027. These partnerships don’t just boost Unilode’s success, they allow it to improve operations in the sector, looking into enhancing efficiency.

As the airfreight industry returns to pre-pandemic levels, Unilode wants to enable airlines to concentrate on their core business whilst allowing its expertise to drive optimisation opportunities and efficiencies in a new world. The ULD provider sees the rebounding airfreight market as an opportunity to collaboratively work with its customers to

determine new best practices and new approaches.

“We have a very positive outlook and an ambitious strategy for the next five years. We will continue strengthening our core business of ULD management and ULD and galley cart MRO services, focus on enhancing our customer centricity, sustainability and technology, and invest in our growth plans as we are confident these measures will further increase the value we provide to our customers and our people,” Marino concluded.

GLOBALISATION RESILIENT EVEN AS US-CHINA DECOUPLING ADVANCES

DHL and New York University’s Stern School of Business has released the new DHL Global Connectedness Index 2022, an in-depth report on the state of globalisation and its prospects. Analysing data from 171 countries and territories, it reveals how flows of trade, people, capital, and information move around the world.

The report shows that international flows have been remarkably resilient in the face of recent shocks such as the Covid-19 pandemic and the war in Ukraine. After a slight decline in 2020, the composite DHL Global Connectedness Index rose back to above pre-pandemic levels in 2021. The currently available data points to a further increase in 2022, despite slower growth in some flows. International trade in goods was 10 percent above pre-pandemic levels in mid2022. International travel remained 37 percent below 2019 levels in 2022, but doubled compared to 2021.

“The latest DHL Global Connectedness Index data clearly debunks the perception of globalisation going into reverse gear,” John Pearson, CEO of DHL Express, concludes. “Globalisation is not just a buzzword, it’s a powerful force that has transformed our world for the better. By breaking down barriers, opening up markets and creating

opportunities, it has enabled individuals, businesses and entire nations to flourish and thrive like never before. As we continue to embrace globalisation, we can build a brighter future that benefits us all, creating a world that is more interconnected, more prosperous and more peaceful than ever before.”

US and China: Geopolitical rivalry frays connection

The DHL Global Connectedness Index provides evidence that the US and China are decoupling in many fields. Looking at 11 types of trade, capital, information, and people flows (such as merchandise exports, M&A transactions, and scientific research collaboration), the share of US flows with China declined for 8 out of 11 types since 2016. In the same period, the share of China’s flows with the US decreased for 7 out of 10 types with data available for China. Several of these were large declines. Nonetheless, the US and China are still linked by far greater flows than any other two countries that do not share a border. Further, the data shows that, so far, the decoupling between these two countries has not led to a broader fragmentation of global flows between

rival blocs of countries.

No evidence of trend towards regionalisation – average distance of international flows increased.

Analyses in the DHL Global Connectedness Index also show that predictions of a shift from globalisation to regionalisation have not – at least yet – come to fruition. The average distance traversed by trade, capital, information, and people flows has increased over the past two decades, and trade flows even stretched out over longer distances during the Covid-19 pandemic.

“It remains an open question whether trade patterns will become significantly more regionalised in the future,” says Steven Altman, Senior Research Scholar and Director of the DHL Initiative on Globalisation at NYU Stern’s Center for the Future of Management. “Many companies and governments are focused on nearshoring to regionalise supply chains, and there are substantial business benefits that can come from regionalisation. On the other hand, more than half of all trade already happens within regions, and the benefits of long-distance trade are still important, especially as inflation remains high, economic growth has slowed, and container shipping rates have come back down.”