Global air freight prices edged a little higher again, according to the latest data from TAC Index. The overall Baltic Air Freight Index calculated by TAC was up 2.1 percent for the week to May 6, leaving it now close to flat at -2.2 percent over the last 12 months. “The ongoing strength of the market follows recent predictions of an uptick in global trade from the OECD, IMF and World Trade Organization – and some sources anticipating tight capacity for peak season later this year,” says the update. Rates on the big lanes out of China mostly maintained the positive momentum of recent weeks and months. The index of outbound routes from Hong Kong was up 0.6 percent WoW to leave it ahead by 11.2 percent YoY. Outbound Shanghai was up 1.6 percent WoW to put it ahead by 29.9 percent YoY. Other major lanes out of Asia were mixed after recent big gains with rates from both Vietnam and India higher again to the U.S. but lower on routes to Europe, the update added.

The International Air Transport Association (IATA) aims to accelerate the introduction of enhanced ground support equipment (GSE) technologies into daily operations with a new programme. Presented at IATA’s Ground Handling Conference (IGHC) this week, the IATA Enhanced GSE Recognition Program recognises Ground Handling Service Providers (GHSPs) that are modernising their vehicle fleets. The programme encourages the installation of anti-collision systems on new and existing ground support equipment (GSE), to prevent expensive potential damage to aircraft on the ramp. The first ground handlers to obtain this recognition at various stations are HACTL and Menzies Aviation. GHSPs participating in the programme will have the opportunity for their fleets to be assessed. Those achieving a ratio of Enhanced GSE to non-Enhanced GSE that exceeds a predetermined threshold will receive a recognition stamp valid for two years. Participation in the programme will be voluntary and free of charge, as part of IATA’s commitment to achieving industry-wide safety improvements without imposing financial burdens on GHSPs.

The Uttar Pradesh (UP) government has earmarked nearly Rs 45,000 crore for investments in highways and tertiary roads in the current financial year 2024-25 (FY25). This move would expedite passenger and cargo movement in the state. These projects encompass bridges and over-bridges across the 75 districts of the state. Of the proposed Rs 45,000 crore, the public works department (PWD) will spend nearly Rs 34,000 crore, or 75 per cent. The remaining Rs 11,000 crore will be incurred on projects in the villages, tehsils, block headquarters, international/interstate border roads, roads in sugar mill and industrial areas, as well as roads under ‘Dharmarth’ (religious tourist circuit) project.

The U.K. is leveraging a logistics support agreement signed with India to expand military to military engagements, especially in the maritime domain, as it also looks to augment its capability and deployments in the Indo-Pacific. A U.K. warship underwent essential maintenance for the first time in April at Larsen & Toubro’s (L&T) shipyard at Kattupalli as a Royal Navy Littoral Response Group-South (LRG-S) visited India. The logistics-sharing agreement allows for the provision of logistic support, supplies and services between the UK and Indian armed forces, for joint training, joint exercises, authorised port visits and Humanitarian Assistance and Disaster Relief (HADR) operations,” Brigadier Nick Sawyer, Defence Advisor in the U.K. High Commission in India, said on social media platform X. “This agreement has been a real game changer. It has led to increased engagements between our armed forces. The vital logistics partnership supports longer deployments of our capabilities in the region and is clear evidence of the UK Indo-Pacific tilt in action, in sync with India.”

American Airlines Cargo is announcing its summer widebody schedule with new routes and increases for the 2024 season. Out of Europe, the carrier is operating new flights from Barcelona-El Prat Airport (BCN) to Dallas/Fort Worth International Airport (DFW), from Copenhagen Airport (CPH) and Nice Côte d’Azur Airport (NCE) to Philadelphia International Airport (PHL), and from Venice Marco Polo Airport (VCE) to Chicago O’Hare International Airport (ORD). Some of these seasonal routes started as early as April while others will extend as far as October. Though some of these trans-Atlantic routes are new, American is already a trusted name in those European markets thanks to its extensive trucking network. Some origins are known for producing significant shipment traffic, such as pharmaceuticals and fish from CPH and fragrance products from the Grasse area near NCE. In addition to new routes, several seasonal summer routes are now year-round including BCN to PHL, Lisbon Airport (LIS) to PHL and Madrid-Barajas Airport (MAD) to CLT are now year-round instead of seasonal. In the trans-Pacific region, American is offering new service from Haneda Airport (HND) to John F. Kennedy International Airport (JFK), as well as an increase to daily flights from Shanghai Pudong International Airport (PVG) to DFW. Domestically, the carrier is also operating a significant widebody network. With service between its largest hub at DFW and key U.S. hubs like MIA, ORD and PHL, the carrier offers more ways for large freight to connect within the U.S this summer season. “We are excited to offer our customers more opportunities to move their goods across our global network this summer season,” says Roger Samways, Vice President of Commercial for American Airlines Cargo. “Offering new and increased …

KSH Logistics announced the expansion of its multi-client warehousing facility in Chennai, setting a new standard in warehousing excellence. The newly expanded warehouse spans 25,000 square feet and features ground storage capabilities. With strong tech support, the facility caters to various needs, including co-packing, distribution, e-commerce, and omnichannel services, meeting evolving customer demands. The facility ensures cost efficiency, warehouse space optimization, safety, capacity flexibility, and sustainability. With this expansion, KSH Logistics has extended its presence into key markets, boasting a total capacity exceeding 1 million square feet across India. Additionally, leveraging advanced Hydra and Farana, the facility ensures precise handling of specialized products like OTR (Off-the-Road) tyres, with a capacity to manage tyres with a diameter of up to 10 feet, further enhancing efficiency and productivity. Moreover, the facility operates on a cutting-edge Warehouse Management System (WMS), enabling seamless and streamlined operations from end to end. KSH will also be doing transportation of OTR tyres across India. “The new A-Grade MCF warehouse in Chennai adds yet another pivotal step forward. In the upcoming months, our focus is on aggressively expanding our MCF network into multiple cities. Through this strategic initiative, we aim to increase our total warehousing area to 2 million square feet. As a result, solidifying KSH Logistics’ position as a leader in the logistics industry”, said Mr Vinay Patil, Vice President – Business Development of KSH Logistics. KSH Logistics is set to transform warehousing in the Chennai market and is on the path of expanding its footprint across multiple cities in Chennai. Moreover, the new facility is fully compliant with fire safety regulations and is equipped with hydrants, sprinklers, and extinguishers. It meets local regulations as well as …

Indian Railways in April recorded 1.45 per cent growth rate in its freight volumes, dragged down by weak numbers in coal transportation. It transported 128.29 million tonnes (mt) of goods, witnessing a fall of nearly 6 mt in its coal traffic, according to reports. “Freight revenue of Rs 14,075.14 crore was achieved in April 2024 against Rs 13,893.27 crore in April 2023, thereby showing an improvement of about 1.30 per cent over the last year,” the official said. While the railways increased its cargo in other segments, its coal traffic fell nearly 9 per cent in April to 57.64 mt year-on-year. The volumes were also slightly lower than in 2022, when the railways had to cancel more than 1,000 train trips to meet increasing coal demand, indicating supply-chain readjustment on account of changing weather patterns. Coal is the mainstay of railways’ freight earnings and accounts for 50 per cent of the transporter’s cargo volumes and revenue. A cooler start to the summer has been held to be the reason for coal volumes being subdued in April. The northern and western parts of India, which are the core demand drivers for thermal coal, witnessed cooler than expected temperatures. Northern and western states form the largest chunk of India’s power demand. The eastern part of the country has been sweltering and also pushing power demand but it remains lower than the two other big regions, adds reports.

Horizon Industrial Parks, a portfolio of Grade A logistics parks in India owned by Blackstone Real Estate funds, has announced opening of its second logistics park in Pune, Chakan V. “The 100-acre park is located in Chakan, one of the key industrial hubs of the country with well-developed social and economic infrastructure. Chakan’s proximity to Mumbai and Pune via the Mumbai-Pune Expressway and JNPT Seaport makes it an ideal base for industrial and logistics operations,” reads the release. Horizon Industrial Parks recently completed the development of the 52-acre Chakan II park. The park is home to several high-profile companies from diverse sectors including auto components, engineering, and third-party logistics service providers. Urvish Rambhia, principal at Blackstone, said, “We are thrilled to break ground on Chakan V, which will be built as the state-of-the-art facility, as part of our commitment to providing high-quality logistics assets in strategic locations. We continue to see strong demand for modern warehouses in India, driven by increasing e-commerce adoption and strong industrial growth.”

“Continued investments in infra development, including modern warehouses, cold storage facilities, and transportation networks, will be crucial,” shares Arif A Siddiqui, Founder & Director, Coign Consulting, Vice President, Warehousing Association of India (WAI). “This will involve both public and private sector participation to enhance efficiency and connectivity across the country. The integration of advanced technologies like IoT, AI, automation, and data analytics will optimize warehouse operations, improve inventory management, and enhance overall supply chain visibility and efficiency,” He adds With the increasing demand for faster and more reliable delivery services, there will be a focus on developing last-mile delivery solutions, including alternative delivery methods like drones and autonomous vehicles, especially in urban areas. Environmental concerns and sustainability will become more prominent in the warehousing and logistics sector. Adoption of eco-friendly practices such as green buildings, electric vehicles, and efficient energy management will be encouraged. Continued efforts in regulatory reforms, including simplification of tax structures, state logistics policies, faster clearance, and approval procedures, and streamlining of transportation regulations, will further boost the growth of the sector and attract more investment. Strengthening ties with global markets and integrating into global supply chains will open up new opportunities for Indian warehousing and logistics companies, driving further growth and competitiveness. Overall, the Indian warehousing and logistics sector is poised for continued growth in the coming years, driven by factors such as increasing consumer demand, technological advancements, infrastructure development, and favourable government policies. However, addressing challenges such as infrastructure bottlenecks, regulatory hurdles, and skill shortages will be crucial to realizing the full potential of the sector.

Focusing on the issues pertaining to DGR training for Pharma and dangerous good transportation, the Managing Committee of The Air Cargo Agents Association of India (ACAAI) held a meet in Chennai on 3 and 4 May. “Institutions across India have not been getting the necessary approvals from the authorities to conduct DGR training which is causing lot of issues in the export of pharmaceutical items and dangerous goods. The logistics service providers need to be aware of the policies and guidelines to carry out dangerous goods transportation lack of which might lead to serious accidents,” shares CK Govil, President, ACAAI. Possible venues for the upcoming ACAAI convention were also discussed. The team at Southern Region needs to be complemented and thanked for organising the same successfully.