Category Archives: Aviation

Worldwide air cargo demand in January so far remains significantly up compared with this time last year, according to the latest figures from WorldACD Market Data, with tonnages from all the main global regions ahead of last year’s figures with the exception of ex-North America traffic. Freight forwarders continue to report anecdotally that certain cargo owners are switching some Asia-Europe cargo from sea to air or to sea-air because of longer ocean voyages caused by the disruptions in the Red Sea, although from a data perspective it is difficult to separate this traffic from the normal seasonal mid-January uplift following the New Year slowdown, and from the effects of Lunar New Year (LNY), with LNY in 2024 coming later (10 February) than last year (22 January). Reflecting the serious disruptions to international container shipping, ocean freight spot rates from Asia to Europe are now around three times their level prior to the Red Sea disruptions, although air cargo rates remain relatively stable globally, and ex-Asia Pacific, compared with before the Red Sea crisis – although ex-Asia Pacific air cargo rates had already risen in the final quarter of last year due to seasonal and product-related demand factors. Some forwarders say that in anticipation of ocean to air conversions, they are blocking additional air capacity on core trade lanes to help customers keep their freight moving. Others note that the window for booking air freight ahead of Lunar New Year (10 February) is closing and the next two to three weeks could be challenging, with the expectation of “bunched” container ships arriving en masse at the main European ports, potentially triggering port delays, driver shortages and cargo build-ups at warehouses, driving …

A non-binding MoU was signed between Container Corporation of India (CONCOR) and Indian Oil Corporation (IOCL) at to facilitate discussions and cooperation between Indian Oil and CONCOR in various areas such as for using LNG as a fuel and addressing petrochemical and other container logistics requirements. Additionally, the agreement aims to establish competitive and stable pricing for contracts at existing and upcoming LNG Auto stations across India. Furthermore, the MOU entails potential collaborations such as creating virtual storage units in CONCOR’s warehouses to store Indian Oil’s petrochemical products at different CONCOR terminals. Indian Oil and CONCOR will also explore new business prospects like supplying LNG through ISO containers via Railways and Multi-Modal Logistics. Moreover, the agreement includes utilizing CONCOR’s Multi-Modal Logistics Park (MMLP) at Paradip for Indian Oil’s Pet-chem rail dispatches and potential logistics handling by CONCOR for a centralized Pet-Chem warehouse of Indian Oil, expected to be established in the near future.

CSafe has partnered with WFS in Bengaluru to provide active temperature-controlled containers locally for pharmaceutical shipments at the WFS Coolport. CSafe, the largest active and passive temperature-controlled shipping solutions provider for the biopharmaceutical industry, has opened a new station in Bangaluru to provide active temperature-controlled containers locally. This latest CSafe station in India follows the opening the company’s Hyderabad location in late 2022. With a second CSafe station operational in India, customers have more options for shipping temperature-controlled pharmaceuticals into and out of the country. CSafe partnered with WFS in Bangaluru to make active air cargo units available at their Kempegowda International Airport facility. WFS, a member of the SATS Group, operates two cargo terminals at Bengaluru including the WFS Coolport which is the exclusive gateway for all temperature-controlled cargo moving via Bengaluru Airport. The CSafe station at Bengaluru Airport is located inside the WFS Coolport premises, allowing containers to move in and out of the country much faster. CSafe RKN and RAP containers will be available for pick-up and return through the new facility.

Vikram Mansukhani, National Operations Head, Blue Dart says, “In the upcoming union budget, a sustained commitment to enhancing rail infrastructure, especially for cargo, bulk, and express shipments, is strongly encouraged. Modernizing regional railway freight corridors and establishing advanced logistics hubs with cutting-edge technologies like AI and machine learning are essential for enhancing efficiency and global competitiveness. The government’s initiatives to cultivate skilled talent through logistics skill-building councils are commendable and should continue to ensure workforce readiness. Creating an environment conducive to innovation and collaboration is crucial for unlocking the full potential of the logistics sector. In FY 2024, the focus should be on building both physical and digital infrastructure, incentivizing multimodal logistics to reduce carbon emissions in the sector. With this targeted approach, India can propel its logistics sector towards resilience and sustainability, thereby driving economic prosperity in the process.”

Ravi Jakhar, Chief Strategy Officer, Allcargo Group shares his expectations from the budget 2024-25 in the logistics sector, “We expect the budget to support persistent efforts of the logistics industry to develop last-mile connectivity to facilitate the transformative growth of the SMEs through effective local and global value chain integrations, as they are the key growth drivers of the economy. As India is emerging as a viable alternative for the global multinational companies for diversifying their manufacturing base, the accelerated development of logistics infrastructure and favorable policy formulations will play an enabling role in helping the country garner a larger share in the global manufacturing value chain. Therefore, we expect the upcoming budget to propose a continued capex push for transportation, port and digital infrastructure development to boost logistics efficiency and competitiveness in line with the vision and goals of National Logistics Policy. In addition, we expect the budget to propose incentives to drive large-scale green or renewable energy adoption so that the industry can play a pivotal role in achieving the country’s net zero target.”

WebCargo by Freightos has partnered with Japan Airlines Cargo (JALCARGO)- cargo division of Japan Airlines to enable freight forwarders using WebCargo to have option to book air cargo capacity on Japan Airlines for shipments to Japan and other Asian Countries. “Digital transformation is key for JALCARGO’s growth. Offering capacity on WebCargo’s platform will help generate new business and enable us to provide all our clients with real-time rates on a platform that makes it easy to book and pay for cargo online,” says Yuichiro Kito, Executive Officer, of Cargo and Mail at Japan Airlines. Through this collaboration, forwarders can now utilise JALCARGO’s large fleet to book cargo on select routes among JAL’s 66 international destinations and 133 domestic destinations. “With a network that spans hundreds of airports, JALCARGO is a wonderful addition to the cadre of leading world carriers offering air cargo capacity on WebCargo’s platform,” says Manel Galindo, CRO of Freightos. “Asia has been and always will be an integral market for WebCargo and our customers. With JALCARGO onboard, WebCargo can provide European and Japanese forwarders with access to 60% of global air cargo capacity online, efficient booking and quoting in just minutes, and wider trade lane coverage to key Asian markets. This partnership helps us continue to build Freightos’ vision of creating a truly vendor-neutral global freight booking platform that makes international shipping faster, more cost-effective, and reliable, and one that expands trade between the people of the world.”

Retailers are turning to air freight to protect supply chains and keep their products on shelves amid the ongoing crisis in the Red Sea and Suez Canal, according to Oslo-based Xeneta. The latest data released by Xeneta today, January 18, 2024, shows air cargo volumes from Vietnam to Europe – a major trade route for apparel – spiked 62 percent in the week ending January 14. “This is also six percent higher than 2023’s peak week in October, and a 16 percent increase on the volumes recorded in the same week 12 months ago.” Niall van de Wouw, Chief Airfreight Officer, Xeneta says: “This is the first signal in Xeneta data that the Red Sea crisis is impacting air freight. This is typically a quieter time of year for air freight. To see increases of this magnitude with higher volumes than at any point in 2023 is significant. “Routes from Vietnam to Europe are used heavily for apparel, a sector we have been told is switching more goods from ocean to air due to the Red Sea crisis, so it is particularly noteworthy we are seeing volumes increase to such an extent on this trade. “We should also recognise that the upcoming Lunar New Year may also be contributing to the increase in volumes.” Air freight rates from Vietnam to Europe have increased by 10 percent compared to last week but with increasing volumes putting pressure on capacity and load factor, costs could be set to rise further, the update added. “When the Red Sea crisis escalated in December, we stated that once the impact starts to be felt in air freight, things could happen very quickly,” says Van de …

The International Air Transport Association(IATA) and the International Civil Aviation Organization (ICAO) have extended their long-standing cooperation on setting and implementing global standards for the safe carriage of dangerous goods by air. An agreement to this effect was concluded at the IATA executive offices in Geneva during a visit by Juan Carlos Salazar, Secretary General, ICAO, according to a release from IATA. A greater collaboration between the two organisations was also discussed during the visit, the release added. “The safe carriage of dangerous goods has become common practice, thanks to the strict adherence to global standards and guidelines. Today’s agreement ensures that dangerous goods will continue to be handled according to the highest globally applicable standards. To this effect, IATA will continue its advocacy work with key stakeholders to maintain a globally aligned, and practically focused approach to the regulated transport of dangerous goods. This will lead to more efficient and robust supply chains whilst upholding aviation’s number one priority of safety,” said Willie Walsh, Director General, IATA.

Etihad Cargo, Abu Dhabi Airports and Abu Dhabi Food Hub KEZAD have signed MoU to jointly establish an origin-to-destination perishable air corridor known as the ‘Fresh Corridor 2.0’ to serve global supply chains and meet consumers need globally. The initiative aims to support the diversification of food sources, development of new trade corridors and enhance the choice and variety of products available for regional consumers. The partnership aims to help position the UAE as a key node in global food supply chains. The partners seek to establish a robust process for food trading and investment, which includes advanced infrastructure, access to regional consumer markets, and reliable logistics and connectivity worldwide. The three parties have agreed to an exchange of knowledge and expertise in handling, storage and logistics, food safety, and hygiene. The partners also aim to address the evolving demands of the food trade by liaising with government stakeholders, relevant facilitators, and key contributors from the food ecosystem.

DHL Express and Singapore Airlines (SIA) have deployed the fifth and final freighter as part of a tie-up signed in 2022. The Boeing 777 freighter, which offers a payload capacity of 102 tons, will be based in Singapore and be used to expand capacity between Asia and the Americas. In total, the five 777Fs will operate 12 flights each per week with a total payload capacity of 1,224 tons per aircraft per week. Following the addition of the final aircraft, three of the five freighters will ply the Singapore-Bangkok/Taipei-Incheon/Nagoya-Cincinnatti-Honolulu-Sydney-Singapore route seven times a week. The other two will cover the Singapore-Nagoya-Los Angeles-Honolulu-Singapore route five times a week.