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The weekly newspaper for air cargo professionals Volume: 21

Issue: 5

5 February 2018

SAATM welcomed, but implementation will be key

he International Air Transport Association (IATA) has welcomed the launch in Addis Ababa of the Single African Air Transport Market (SAATM) initiative by the African Union (AU) to open up Africa’s skies and improve intra-African air connectivity. Enhanced connectivity will stimulate demand, improve the competitiveness of the African airline industry, and make air travel more accessible. In turn, this will enable higher volumes of trade, expanded tourism and growing commerce between African nations and with the rest of the world. The Single African Air Transport Market (SAATM) is a flagship project of the African Union Agenda 2063, an initiative of the African Union to create a single unified air transport market in Africa, the liberalisation of civil aviation in Africa and as an impetus to the Continent’s economic integration agenda. IATA vice president for Africa, Raphael Kuuchi says SAATM has the potential to transform Africa, saying: “Every open air service arrangement has boosted traffic, lifted economies and created jobs. And we expect no less in Africa on the back of the SAATM agreement. An

VIRGIN GIVES CSAFE RAP THE THUMBS UP

IN MY OPINION WITH ... NEEL SHAH JONES FAR EAST DEMAND HELPS SCHIPHOL BREAK RECORDS IATA survey suggest that if just 12 key African countries opened their markets and increased connectivity an extra 155,000 jobs and $1.3 billion in annual GDP would be created in those countries.” One of the main obstacles to the implementation of previous open skies pledges – 1988 Yamoussoukro Declaration and 1999 Yamoussoukro Decision – has been the absence of an underpinning regulatory text. IATA welcomes the AU’s adoption of the regulatory text of the

Yamoussoukro Decision (YD) – also the framework for SAATM – which covers competition and consumer protection and dispute settlement as these safeguard the efficient operation of the market. “Now it’s time to get down to the work of implementation. Greater connectivity will lead to greater prosperity. Governments must act on their commitments, and allow their economies to fly high on the wings of aviation,” Kuuchi says.

UK economy, creating 14,550 jobs, and that an additional flight could generate an additional £16 million per week to GDP. It says the £16 million would come from increased business travel and stimulation for increased trade and investment between the UK and China whether it is on an existing route or a new one. Heathrow Airport chief executive officer,

John Holland-Kaye says this further reinforces the need for a third runway, saying: “Expansion of Heathrow is a chance to deepen relations between China and the UK; as the report highlights, just one extra route could contribute hundreds of jobs and millions to the UK’s GDP. As the country prepares to leave the EU and China’s economy continues to grow exponentially, this is an opportunity the UK cannot afford to miss.” There are more than 100 direct flights between the UK and China every week, with 55 going to Hong Kong, 22 to Shanghai, 20 to Beijing, 10 to Guangzhou and two to Qingdao. The report highlights that European Union (EU) rivals have links to 14 other Chinese destinations. The 14 cities the report highlights that are served by EU rivals but not Heathrow are: Changsha, Chengdu, Chongqing, Hangzhou, Kunming, Nanjing, Sanya, Shenyang, Shenzhen, Tianjin, Urumqi, Wuhan, Xiamen and Xi’an.

Lack of Chinese connections costing UK £510 million per year

DIRECT flights from Heathrow Airport to China are worth £510 million per year but the UK is missing out due to a lack of connections, a report claims. The report from New Frontier Economics was released as prime minister Theresa May flew to China, and it says direct flights contribute £510 million per year to GDP to the

BINKS TO RETIRE AS FEDEX EUROPE PRESIDENT

Asia booming after years of tepid growth

FOLLOWING years of tepid performance, air cargo demand across Asia Pacific registered its strongest growth in years, the Association of Asia Pacific Airlines (AAPA) says. Freight tonne kilometres (FTK) grew by 9.8 per cent to 70.8 billion, the fastest growth rate since the post financial crisis rebound in 2010, and up considerably on 2016, when FTKs grew 1.8 per cent. Growth in demand outpaced capacity, which grew 4.4 per cent to 108.6 billion freight available tonne kilometres (FATK), with load factors improving 3.2 percentage points to 65.2 per cent. AAPA director general, Andrew Herdman says: “Asian airlines enjoyed solid increases in air cargo volumes through the year, with continued improvements in business conditions boosting trade activity as demand was transmitted through regional supply chains.” In December, FTKs were up 7.5 per cent to 6.4 billion, FATKs increased 5.6 per cent to 9.6 billion and load factors rose 1.2 percentage points to 66.4 per cent. Looking ahead, Herdman says: “The outlook for the year ahead is broadly positive, as the increase in new orders and recent pick-up in business investments are expected to enhance the sustainability of the global economic upswing.”

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NEWSWEEK Venue chosen for World Air Cargo Awards

rganisers of the annual Air Cargo Week World Air Cargo Awards 2018 have revealed the location of the venue that will host the gala dinner. The Jumeirah Himalayas Hotel (pictured) will host the star-studded evening on Thursday 17 May 2018. Azura International director of operations Kim Smith says: “This superb evening features a Champagne Reception, Chinese banquet with wines, music, live entertainment and awards presentation.” The hotel, described as a landmark five-star luxury establishment, is inspired by Chinese cultural elements and traditional feng shui principles and is located in the Himalayas Centre in Pudong, Shanghai, next to Shanghai’s largest exhibitions venue. There are 401 contemporary Chinese-style guestrooms, suites and residences. Smith says: “Early support from our sponsors has been fantastic. I would really like to pay tribute to those companies that have stepped forward and committed to helping us make these the awards that everyone in the industry wants to win. “I pay particular thanks to the first sponsors – Air Asia, Dimerco, ECS Group, Etihad Cargo, Navitrans and PACTL. I would say there are still opportunities for further sponsors to step forward and I

urge anyone interested to contact me on kim.smith@azurainternational.com.” Voting is now open for all ten categories and Smith urges readers to visit www.worldaircargoawards.com/voting.cfm to cast their votes. Smith says: “I would also like to remind readers that are thinking of coming to the gala dinner not to be slow in making a booking. In 2016 it was a sell-out and it is looking like it will be a sell-out again this year. You can book tickets at www.worldaircargoawards.com/tables.cfm.”

Bollore goes for Global Solutions

BOLLORE Logistics has expanded its presence in the Scandinavian market by acquiring a majority stake in Danish freight forwarder, Global Solutions. The Danish company, which has offices in Vejle and Copenhagen Airport, started operations in 2006 and offers airfreight, ocean freight and road/distribution/courier services, particularly on the Europe-Asia axis. Bollore says the transaction will expand its network in Europe and the company’s global end-to-end offering in the Scandinavian market. Bollore Logistics chief executive officer for Europe, Henri Le Gouis says: “This new location will enable us to better serve our key account customers in Denmark and more generally in Scandinavia.” Pictured above, Global Solutions managing director and founder, Thomas Toubro (pictured left) shakes hands with Bollore Logistics chairman and Bollore Transport & Logistics deputy chief executive officer, Thierry Ehrenbogen.

ACW REWIND

IN THIS fifth trip down memory lane, we remember some stormy politics from 1998 and its effect on air freight activity.

Burma throws out integrators Vol 1, Issue 1 1 May 1998 THE DECISION by the government of Myanmar (formerly known as Burma) to order almost all integrators operating in the country to cease operations has not troubled the companies involved. Eleven courier companies have been excluded by a government diktat, with the notable exception of DHL, which has been involved in a joint-venture with the Myanmar Posts and Telecommunications (MPT) since September 1996. This has left the company with a monopoly in the country. Among those left out in the cold are TNT Express Worldwide, FedEx, UPS and Overseas Courier Service. A spokeswoman for TNT said: “There may be short-term implications for TNT’s business in the region but in the longer-term we believe business will return to normal.” DHL declined to comment, as did UPS.

ACW 5 FEBRUARY 2018

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Binks to retire as FedEx Europe president

avid Binks is to retire from his role as FedEx Express Europe president and chief executive officer (CEO) of TNT, he will be succeeded by Bert Nappier when he goes in June. Binks (pictured left) started with FedEx in 1983 as part of an acquisition in the UK, rose through the ranks, leading FedEx Express teams in Europe, the Middle East and Canada. The 55-year-old British national has been president of FedEx Express Europe since January 2014, and was instrumental in the acquisition of TNT. He also became TNT CEO in May 2016. FedEx Express president and chief executive officer, David Cunningham says: “Throughout David’s remarkable 35-year-career at FedEx, he has contributed to the growth of our company around the globe. We wish him the best in his retirement, and look forward to continued success in Europe as Bert takes on this critical role.” Nappier (pictured centre), who is FedEx Express’ senior vice president of finance – international, will succeed Binks on 1 June 2018. He joined FedEx in 2005 and has served in a variety of leadership roles, and also serves as co-chair of the FedEx Integration Leadership Council, where he plays a key role leading the TNT inte-

gration efforts around the world. Nappier, who has a Bachelor of Accountancy degree and a Master of Taxation qualification from the University of Mississippi, is a Certified Public Accountant who has previously worked at Arthur Andersen, Ernst & Young and Wright Medical Technology before joining FedEx. Helena Jansson (pictured right), a Swedish national who has worked for FedEx for over 20 years, will succeed Nappier as FedEx Express senior vice president of finance – international.

NEWS WEEK WORLDNEWS ERIC Mauroux, director verticals and global head of perishable at Air France KLM Martinair Cargo has been appointed as the treasurer of the Cool Chain Association and a member of its board. Mauroux takes over Renate de Walle, who has moved into another role at AF/KLM. In his current role as director verticals, he has P&L responsibility for the Perishables Business Unit of Air France-KLM. EGYPTAIR has extended its cargo partnership with Worldwide Flight Services (WFS) by renewing its cargo and mail handling contracts at Amsterdam Airport Schiphol and Brussels Airport. The three-year contract, which starts in March 2018, will see WFS handling the airline’s daily B737-800 flight from Amsterdam to Cairo and its five times a week 737-800 services from Brussels to Cairo. In 2017, WFS was also chosen to provide trucking services connecting Amsterdam and Brussels with Ostend by Egyptair.

AA Cargo adds new routes for the summer

AMERICAN Airlines Cargo will add new routes for the summer, flying to Budapest, Prague and Reykjavik for the first time. The airline will launch flights from Philadelphia to Budapest and Prague on 4 May, Chicago O’Hare to Venice on the same day, with Reykjavik gaining a link to Dallas Fort Worth on 7 June. The Budapest market, which will be served with a Boeing 767-300, presents opportunities for customers with automotive, engineering and lighting products, alongside pharmaceuticals for the US Northeast. Forwarders in Prague and across the Czech Republic are likely to ship similar products along with vinyl records on the service that will also use a 767-300. Venice, which will be served by a Boeing 787-8, will offer additional opportunities to shippers and agents moving goods that require American’s ExpediteTC service, as well as traditional fashion goods and sunglasses. A Boeing 757 will be used on flights to Reykjavik, which is expected to transport scientific equipment and fish products, which are common Icelandic exports.

YTO picks Hactl for HK flights YTO Cargo Airlines, the aircraft operating arm of courier firm YTO Express, has picked Hong Kong Air Cargo Terminals (Hactl) as its handling agent for Hong Kong. Airline operations commenced in September 2015, and the newest route operates four times a week from Wuxi to Hong Kong, started on 29 January using a newly acquired Boeing 757-200 Freighter with 30 tonnes of capacity. Hactl is providing a one-stop-shop ramp and terminal handling service for all flights through Hong Kong. Hong Kong is YTO’s first international destination, and it plans scheduled flights to the Philippines, Russia, Japan, South Korea and Macau in due course. YTO Express chairman and president, Weijiao Yu says: “Hactl’s considerable experience in handling express operators and e-commerce shipments makes it our ideal service partner.”

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NEWSWEEK

Virgin Atlantic gives CSafe RAP containers the thumbs up

irgin Atlantic Cargo has become the first UK airline to approve the use of CSafe’s RAP container for temperature-sensitive life-enhancing healthcare products. Under the terms of its Master Lease Agreement with CSafe, Virgin is now accepting bookings for the RAP containers, which have received approval from both the US Federal Aviation Administration and the European Aviation Safety Agency (EASA). The airline already offers customers the opportunity to lease the CSafe RKN container as well as Envirotainer’s RKN t2, RAP t2, RKN e1 and RAP e2 units. Virgin Atlantic Cargo manager for products and partnerships, Darren Sherlock (pictured) says: “We are delighted to be the first UK airline to be able to offer the CSafe RAP to customers, extending the choice of temperature-controlled active and heating and cooling containers Virgin can supply. “With our pharma volumes growing by more than 20 per cent in 2017 and

coming just weeks after the opening of our new Pharma Zone at London Heathrow, this latest enhancement to our service offering underlines our commitment to be a leading provider of pharma transportation by offering our customers the widest choice of solutions, supported by the highest levels of customer service.” The CSafe RAP has a temperature range that is user selectable from +4C to 25C with operational capabilities achieving desired set points even at extreme temperatures from -30C up to +54C.

The RAP uses CSafe’s active Temperature Management System, which utilises compressor driven cooling technology and a radiant heating system, in conjunction with CSafe’s ThermoCor vacuum installation panel technology. It has a maximum payload of 4.8 tonnes and is designed to accept up to four US wooden pallets or five Euro pallets, and has an extended battery run time of up to 100 hours for typical shipments. CSafe Global vice president of global marketing and partnership management, Brad Jennings says: “CSafe is very excited to add Virgin Atlantic to the roster of airlines that have gained flight approval for our newly developed CSafe RAP active container. “The combination of Virgin Atlantic’s expansive network and the superior quality and performance of the CSafe RAP offers a powerful solution for the transportation of temperature-sensitive products around the world.” The growth of the airline’s pharma volumes is supported by its global network to major pharma markets in the UK, Europe, the US, India and China. With its joint venture partner, Delta Cargo, Virgin offers a quarter of all transatlantic cargo, the world’s biggest pharma trade lane.

Lufthansa flies to Osaka

LUFTHANSA Cargo is increasing its presence in the Japanese market by adding two weekly freighter flights to Osaka. The Osaka services complement the existing daily freighter flights to and from Tokyo Narita as well as passenger flights to Osaka-Kansai, Tokyo Haneda and Nagoya. The new route is operated from Frankfurt via Novosibirsk to Osaka on Wednesdays and Fridays, adding to a total of 80 weekly flights into and out of the country, including the belly capacity on Lufthansa passenger aircraft and the carrier’s cooperation with ANA Cargo. The first flight from Osaka took from on 18 January at 23.36h local time with 90 tons of cargo on board. Lufthansa Cargo vice president of Asia-Pacific, Frank Naeve says: “These new flights to Osaka are strengthening our position in Japan. It is a further investment into the very important Japanese airfreight market.” Lufthansa Cargo chief commercial officer, Alexis von Hoensbroech adds: “We are proud to have long-standing connections with customers in the Japanese air cargo industry since 1969. Our aim is to build on this and expand in the future.”

Ethiopian flower flights

ETHIOPIAN Cargo has launched freighter flights from Bahir Dar in north west Ethiopia to Liege, carrying 45 tons of flowers on the inaugural service on 24 January. The airline’s group chief executive officer, Tewolde Gebremariam says the route is an important milestone in Ethiopian Cargo and Logistics Services’ history, offering direct freighter services dedicated to flowers with the aim of delivering produce in a fresh and timely manner. With daily freighters to Liege and Brussels, Ethiopian transports a total of 130 tons of flowers a week. He says: “Today’s milestone is a showcase that Ethiopian will also launch similar services from other flower producing regional states. “Ethiopia being rich with abundant fertile land, it can reach to the global market with its fresh and quality flowers among other agricultural produces. “We shall continue to support the export sector and the national economy with our convenient global cargo and passenger services.”

ACW 5 FEBRUARY 2018

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IN VIEWSWEEK

change is coming to the airfreight industry. Airlines are on the brink of taking back control of their freight. How? By riding the wave of the technological revolution and dramatically changing the way they price their capacity.

my opinion with... NEEL SHAH JONES

San Francisco-based Flexport describes itself a freight forwarder for the Internet age. It wants to take the telephone, spread sheet and fax machine out of freight forwarding by providing a webbased app that offers real-time visibility of shipments. Flexport’s senior vice president and global head airfreight, Neel Shah Jones gives his views on what the future holds.

This is good news for airlines. But not so much for traditional freight forwarding which relies heavily on the arbitrage on airfreight rates to generate profitability. As airlines gain more power over their pricing and begin to change it on a dynamic basis, traditional freight forwarders will need to adapt by refocusing their efforts

NEEL SHAH JONES

on managing the complexity of the supply chain and relying less on arbitrage.

Technological overhaul

The airfreight industry has for decades been the preserve of freight forwarder middlemen who buy space from airlines and mark it up to shippers. They improve margins by consolidating multiple customers’ cargo in a single shipment and determine prices through weight or size. By working with these third-parties, airlines may outsource risk - but they also outsource their margins. Change is in the air. Technology has brought the option of real-time dynamic pricing for airfreight within our grasp. This means that airlines use algorithms to raise and lower prices to reach the ideal consolidation for every flight. Airlines can take whatever freight is offered, then instantly lower the prices for freight that fits and raise them for freight that does not. And being able to plan ahead with web-based software gives airlines visibility into cargo that is weeks away from reaching the consolidation point. What’s more, the structured data connection made available through APIs and web interfaces will eliminate costly phone calls, emails and paperwork, meaning that airlines can massively reduce transaction costs for both the forwarders and the shippers they work with.

Who profits most?

The air cargo market profit pool can be split across its three major players: airlines, forwarders and shippers. As the fourth industrial revolution takes hold, the size and share of the profit pool is going to change. Airlines will reclaim much of the margin traditionally captured by forwarders. These new systems will lead to a more open and transparent marketplace where prices are clearly visible rather than discovered through hearsay, so it will be more difficult for forwarders to play competing airlines off against each other. Shippers will also benefit. But let’s be clear: there will always be a very clear need for freight forwarders, because they are the ones positioned to manage the complexity of the supply chain from end to end.

ACW 5 FEBRUARY 2018

Freight forwarders need to understand that their P&L is going to be determined on value creation as opposed to price arbitrage. Airlines and shippers will begin to have a direct relationship and the opacity of rates will disappear over time. Shippers will have more visibility and control over inventory in transit, cutting transit times and improving working capital needs.

A showdown

Significantly, as this transition takes place, we can expect a showdown between traditional freight forwarders and their 21st-century equivalents. The latter, like Flexport, who are building the technology required to connect airlines and shippers, are able to take advantage of the growth of real time dynamic pricing. These new forwarders structure every piece of data that comes into their business, underlying a much better understanding of customers’ freight demand and their own freight purchasing needs. They are at the forefront of the disruption that’s transforming the industry for the better. On the other hand, in this new environment, legacy forwarders which refuse to or just simply can’t transition to the new ecosystem will face serious challenges. Just like the phone-based stock market-traders of the last century, they’ll be displaced by technology at both the low-end and high-end of the scale. In order to adapt, incumbents will need to extricate themselves from the mentality that arbitrage is the way to make money and come round to the belief that freight forwarders should get paid for the value they provide, not just by buying low and selling high. The revolution is coming. And for the first time in recent memory, airlines are making enormous profits and reinvesting to bring their technology into the 21st century. There’s no escape: everyone in the supply chain will need to adapt to this new world or face the consequences. Do you share Neel’s views? Do you have an opinion to share? Let the editor know: james. graham@azurainternational.com or Editor, Air Cargo Week, Azura International, Robert Denholm House, Bletchingley Road, Nutfield, Surrey, RH1 4HW, United Kingdom

PHARMACEUTICALS Qatar Airways achieves QEP certificate in five locations

atar Airways Cargo has received Qualified Envirotainer Provider Training and Quality Programme (QEP) accreditation at Amsterdam, Basel, Paris, Chicago and its hub in Doha, Qatar. The programme recognises air cargo carriers that operate Envirotainer containers in compliance with Good Distribution Practice (GDP), and the achievement proves Qatar Airways Cargo it credible in providing global customers with first-rate air transportation of pharmaceutical products. Qatar Airways acting chief officer for cargo, Guillaume Halleux says: “We are proud to receive the QEP accreditation that acknowledges our high standards in handling Active pharma containers throughout our network, thereby maintaining the efficacy of pharmaceutical products. “As one of the leading international cargo carriers, we remain committed to offering a seamless cool chain to our customers through constant innovation and enhancement of our service quality.” Envirotainer global head of partner management, Bourji Mourad adds: “Our longstanding relationship with Qatar Airways Cargo continues to evolve and grow. This much-deserved QEP Accreditation is another positive step forward, ensuring that key industry standards are met regarding the correct and safe handling of all types of containers and technologies offered by Envirotainer. “The ultimate goal is safer transportation of healthcare products by air around the globe. Without a doubt, much was invested to achieve this milestone. Well done to all those involved in making this happen.” More stations throughout the network will be included in the accreditation in the coming year as Qatar Airways Cargo continues to improve cool chain services. The airline launched QR Pharma in 2014 and has invested in quality handling, infrastructure, facilities, people and procedures at each of its pharma destinations.

Its pharma network spans 75 destinations and ensures a complete quality audit and training modules at each of its pharma stations and its customers can choose from a range of active containers such as Envirotainer, CSafe, DoKaSch and va-Qtec to transport their pharmaceuticals. This year, Qatar Airways Cargo opened its state-of-the-art airside Climate Control Centre, a 2,470 square metre airside

transit facility for temperature-sensitive cargo featuring two zones operating at both 2-8 and 15-25 degrees Celsius with a capacity to hold a total of 156 unit load devices at a time. The facility is equipped with six truck docks, each with inflated curtains and an anteroom as a staging area, while segregated sections enable storage of pharmaceutical products in compliance with GDP guidelines.

GEFCO opens Heathrow healthcare warehouse

GEFCO Group has opened its first dedicated temperature-controlled warehouse for the Life Sciences and Healthcare sector in the UK near London Heathrow. The 15,000 square foot facility reinforces and expands GEFCO’s freight forwarding business line offering in the Life Science and Healthcare sector. It has been designed to meet the highest standards in the forwarding of pharmaceutical goods and features different temperature areas, in addition to high security levels such on-site x-ray screening for air cargo. The facility is based in close proximity to London Heathrow Airport, and complements GEFCO Forwarding warehouses’ in Frankfurt, Germany and Amsterdam, Netherlands. The facility was designed to meet the highest standards in the forwarding of pharmaceutical goods and features different temperature areas: from ambient (15ºC to 25ºC), and cool (2ºC to 8ºC) to frozen (-15°C to -25°C). “We are able to differentiate our service by holding a Wholesale Dealer Authorisation, which demonstrates to our customers that we operate under the same compliant standards that they do,” says GEFCO forwarding quality and compliance director Josette Wells. “The Wholesale Dealer Authorisation allows the facility to store human and veterinary medicines as well as medical devices as part of its logistics and transportation services.” The facility also provides high security levels including on-site x-ray screening for air cargo and constant 24/7 monitoring. The new centre is GDP compliant and ISO 9001:2015 certified.

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EUROPEAN CARGO

Far East demand helps Schiphol break records

argo volumes at Amsterdam Airport Schiphol have grown 5.4 per cent in 2017 with strong demand from the Far East boosting figures. The Dutch airport handled 1.75 million tonnes of cargo in 2017, with imports from the Far East increasing 3.1 per cent to 299,386 tonnes and exports growing 8.8 per cent to 316,097 tonnes. European exports grew 19.1 per cent to 123,950 tonnes in 2017 while imports increased 18.2 per cent to 124,992 tonnes. Amsterdam Airport Schiphol head of cargo, Jonas van

Stekelenburg (pictured) says: “We have continued to build on initiatives in 2016 and 2017 with the aim of enhancing the experience of our pharmaceutical, e-commerce, and perishables customers, and our continued commitment to quality is having positive results.” A maximum number of 500,000 air traffic movements until 2020 have been agreed between the Schiphol Group, the local community, airlines and the Dutch Government. Van Stekelenburg comments: “It is very positive that in this current 2017 / 2018 winter season, all requested, full freighter slots were granted, and many freighters were able to continue their business at Schiphol with ad-hoc slots.” He admits: “The slot scarcity has been a chal-

lenge for us as a cargo community, and in some cases, cargo stakeholders were under-represented in the various sections of the airport community.” Collaboration remains the focus for 2018,

with van Stekelenburg saying: “Together we will continue to pursue our ambitions of better digital information exchange, and further quality improvements in the supply chain, particularly for pharma, e-commerce, and perishables.”

German hubs fly to new heights

GERMANY is retaining its position as Europe’s economic powerhouse with record volumes at Munich Airport and Leipzig/Halle Airport. Freight volumes at Leipzig/Halle Airport have grown for the 13th consecutive year passing 1.1 million tonnes and setting a monthly record in December. Europe’s fifth largest cargo hub and the second busiest in Germany handled 1,138,477 tonnes in 2017, an increase of 8.2 per cent, and a monthly record was broken in December when Leipzig handled 105,768 tonnes. Leipzig/Halle Airport managing director and Mitteldeutsche Flughafen board spokesman, Johannes Jahn says: “Air freight volumes at Leipzig/Halle Airport grew by more than eight per cent and reached a figure of more than 1.1 million tonnes; this was the strongest growth at any of Germany’s cargo airports. “The growth is being particularly spurred on by the express freight business – but freight and special charter services are also developing in an above-average manner.”

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Mitteldeutsche Airport Holding is the parent company of Mitteldeutsche Flughafen, which has three subsidiaries: Leipzig/Halle Airport, Dresden International Airport and PortGround. Munich Airport ended 2017 on a high note with record breaking airfreight turnover to go with growth in aircraft movements and passenger numbers. The hub handled 378,803 tonnes in 2017, up from the 353,650 tonnes that passed through in 2016. As well as strong cargo growth, passenger numbers were up 5.5 per cent to an all time high of 44.6 million, while aircraft movements increased 2.6 per cent to 404,505, and would have been higher had it not been for Air Berlin going bankrupt. Munich Airport president and chief executive officer, Dr Michael Kerkloh says: “These are outstanding traffic figures, especially when we consider the turbulence the aviation industry is currently experiencing. The massive increases once again underscore our airport’s importance as one of the leading air transportation hubs in Europe.”

EUROPEAN CARGO

UK airports showing no signs of slowing down

irports in the UK show no sign of slowing down, with Heathrow Airport, Gatwick Airport and hubs operated by Manchester Airports Group (MAG) all growing at high rates. Heathrow Airport ended 2017 as the fastest growing major cargo airport in Europe with volumes almost reaching 1.7 million tonnes. The London airport handled 1,698,455 tonnes of cargo in 2017, up 10.2 per cent compared to 2016, which it says is the equivalent of 134,000 London buses. The key markets for growth were the US, East Asia and Europe, and December was also strong with volumes increasing 7.3 per cent to 143,353 tonnes, helped by the US, Japanese and Hong Kong markets all performing particularly well. Heathrow Airport chief executive officer, John Holland-Kaye says: “Heathrow had its best year ever in 2017 helping to strengthen the British economy as the country seeks to redefine its role in the world. “Our colleagues welcomed 78 million passengers and supported the delivery of record volumes of British trade to markets around the world. We’re looking forward to continuing to deliver for Britain in 2018 as we progress our expansion plans.” Gatwick Airport’s cargo volumes increased 24.4 per cent in 2017 helped by a rapidly expanding long-haul network, with new routes including Singapore, Kigali in Rwanda, and Seattle and Denver in the US. The airport located 30 miles south of central London handled 97,045 tonnes in 2017 compared to 77,995 tonnes in 2016, with

volumes in December rising 33.6 per cent to 9,849 tonnes. Asia was also another growth area, with Hong Kong and Tianjin proving popular routes, and China Airlines launched services to Taipei at the start of December. Gatwick Airport chief executive officer, Stewart Wingate says:

“Gatwick’s soaring long-haul and cargo growth in December is an impressive conclusion to 2017 and we’ll be strengthening the airport’s global connectivity even further this year, with new services to Buenos Aires, Austin and Chicago already confirmed to begin in the first quarter alone.” MAG’s three airports, East Midlands, Stansted and Manchester all saw substantial growth in 2017. Of its three airports, East Midlands Airport saw the strongest growth, rising 8.6 per cent to 353,017 tonnes, which was also the highest figure in the group. London Stansted had the second highest figure, handling 261,243 tonnes, a year-on-year increase of 2.8 per cent, the lowest of the group. Manchester Airport grew by eight per cent, handling 122,358 tonnes. In December, East Midlands handled 31,535 tonnes, Stansted processed 21,467 tonnes and Manchester was at 10,087 tonnes. Manchester has been helped by its expanding long-haul network with new routes to Beijing, Singapore, Hong Kong, San Francisco and Houston, while Stansted has a new service to Dubai, operated by Emirates to look forward to when it launches in June 2018.

Positive year for Vienna

VIENNA Airport has had a positive year with total cargo volumes growing 1.9 per cent to 287,962 tonnes. Operating company, Flughafen Wien Group says air cargo alone was up 1.9 per cent to 206,918 tonnes and trucking volumes by 1.7 per cent to 81,044 tonnes, helping push up total volumes by 1.9 per cent to 287,962 tonnes. Net profits are expected to pass €132 million despite the developments at airberlin and NIKI in 2018, with revenue is likely to be more than €755 million. Flughafen Wien member of the management board, Gunther Ofner says: “In spite of turbulences in the airline sector, we will report a higher net profit for both 2017 and 2018. The net profit guidance for the year 2018 is in excess of €132 million. The signs point to growth. “Thanks to the establishment of new business locations and expansion projects, more than 1,000 new jobs will be created at Vienna Airport in 2018. DHL and cargo partner are opening their logistics facilities in the Vienna Airport Region.”

Budapest grows 13.4% BUDAPEST Airport has handled record cargo volumes with 127,145 tons passing through in 2017, and is expecting more in the future as it extends and upgrades facilities. Cargo volumes were up 13.4 per cent compared to the 112,142 tons processed in 2016, when it soared past the important 100,000 ton mark with 22.7 per cent annual growth. November was the busiest month for cargo, handling 12,149 tons. Budapest Airport chief executive officer, Jost Lammers says: “We are very proud of Budapest belonging to the top league of European airports with regards to growth rate of traffic” and that the hub will continue to improve services in 2018. The airport serving Hungary’s capital managed a number of development projects in 2017 under the €160 million BUD 2020 programme, with two new logistics centres handed over to TNT and DHL Express during the year.

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LIVE ANIMALS

All creatures great and small go in the cargo hold

russels Airport-based specialist animal freight forwarder Skyfast has an un-nerving answer when asked which is the most widely shipped animal. Skyfast’s Lotte Custers says: “The most widely shipped animals are probably one day-old chicks. As far as the highest absolute number of animals being shipped is concerned, the winner would be insects used as biological control in agriculture. They are shipped by the millions.” The forwarder has moved animals from cats and dogs, reptiles and birds to rhinos, giraffes and zebras. Occasionally, even the best prepared animal can suffer during a flight with fatal repercussions. Custers says: “It happens very rarely that an animal needs to be euthanised during a jour-

ney. In case of any problems with paperwork, vaccinations or blood tests that are not compliant for example, every attempt is made to find alternative solutions, even sending the animal back to the country of origin if needed to avoid euthanasia. “It is only used as a very last resort if all other attempts to resolve certain issues fail. In these cases, the final decision always comes from an official state veterinary service and never from forwarders, shippers or airlines. In case of any incidents during a flight, say a horse going wild and breaking out of its stable for instance, it is the captain that can make the decision to put down an animal, but only if the safety of the crew or passengers is at direct risk such as if the actions of the animal could cause the aircraft to crash.” Increasing numbers of airlines no longer

accept laboratory animals on flights and airlines that still do have very strict guidelines and policies before accepting to ship these kind of animals. It can be very hard to tell for certain if an animal is affected by jet lag it seems. Custers says: “In our experience, just like it does with humans, it very much depends on the animal concerned. Some animals may not be affected at all while others can suffer more from jet lag and the whole moving experience in general.” Provided that a move is “well prepared and carried out by professional pet shippers such as

ourselves, I would be very comfortable in sending my pet by air freight,” she says. There is still some improvement that can be made in terms of the acceptance of live animals by the handling agents of airlines, she adds: “In a lot of cases, live animals need to pass by the same warehouse as the rest of the cargo and there are no special facilities to keep animals before departure or after arrival. The transport to and from the aircrafts can also still be improved with the use of dedicated ventilated/ heated vehicles instead of having to use the same trolleys than those used for general cargo freight as is still often the case now.”

Pyry and Lumi create Panda-monium

PYRY and Lumi the Chinese pandas arrived in Helsinki on 18 January on their way to their new home Ahtari Zoo where they will make their public debut on 17 February. The pandas arrived at a snowy Helsinki-Vantaa Airport on a chartered Ilyushin IL-76 and were handled by Swissport Finland. They were greeted by caretakers, vets, representatives of the Ahtari wildlife park and the government, and Swissport ground agents, where the ground service provider coordinated the movements of the boxes to the truck, and monitored all processes near the aircraft. Dozens of Swissport employees were on site to ensure smooth handling for the new residents of Ahtari wildlife park. A DHL truck took Pyry and Lumi on their

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300 kilometre journey from Helsinki to Ahtari in central Finland, where a “panda carnival” was arranged to welcome the new guests. Swissport Finland chief executive officer, Tomi Viitanen says: “The Swissport Finland team is proud to be a part of this happening. We were delighted to meet Pyry and Lumi and I am sure that thousands of visitors to Ähtäri wildlife park will enjoy the two Pandas as well. “It was an honour to contribute to their smooth arrival despite the harsh weather conditions. This was only possible due to the great performance of our dedicated staff.” Caretakers and vets travelled to China to spend a week with the pandas in their home country, which was important to familiarise the animals to their transportation boxes and to win their trust for the long trip from Dujiangyan Panda Centre to Helsinki via Chengdu Airport. Ahtari Zoo’s panda keeper, Anna Palmroth says: “The flight was peaceful, as the presence of familiar people keeps pandas calm. During the trip, the pandas also got food and drink, naturally. Their packed lunch included their favourite foods: bamboo, carrot, apple and panda cakes.”

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