“Construction of several highways and expressways have facilitated a seamless movement of cargo from towns to the airports thereby trimming total time consumed in road transportation, says Sunil Kohli, MD, Rahat Cargo. He adds, “Upgradation of domestic airports and having them equipped with essential infra apart from in-house functional process needs to be considered to achieve the desired results. The government’s initiatives have initiated several moves to ensure improvisation of multimodal transportation and connectivity. India launched PMGS to herald a new chapter in governance. PMGS brings 16 ministries, including Railways and Roadways, together for integrated planning and coordinated implementation of infrastructure connectivity. It will incorporate the infrastructure schemes of various ministries and state governments such as Bharatmala, Sagarmala, inland waterways, dry/land ports, UDAN. Economic zones such as textile and pharma clusters, defence corridors, electronic parks, industrial corridors, fishing clusters, and agri zones will also be covered to improve connectivity and make Indian businesses competitive.”

Menzies Aviation has extended its deal with Kuala Lumpur-based Malaysia Airlines covering cargo, passenger and ramp handling for the carrier in the Australia/New Zealand region. The deal has been extended for a further five years and covers the Menzies stations at Sydney Airport (SYD), Melbourne Airport (MEL), Adelaide Airport (ADL), Perth Airport (PER) and Auckland Airport (AKL). London, UK-headquartered Menzies has supported Malaysia Airlines with a range of services at these locations since 2016. The handler has said that it expects to handle a total of 3,200 flights across the five locations each year until 2029, when the extended contract is due to expire. Menzies executive vice president – Oceania & South East Asia, Darren Masters, commented: “The renewal of this agreement is a reflection on the strong strategic partnership that has developed between Menzies and Malaysia Airlines over the course of eight years.” Aslina Ahmad Asiri, global head of operations at Malaysia Airlines, added: “The contract extension is a testament of a great partnership and the trust that MAB [Malaysia Airlines Berhad] has forged with Menzies over the last eight years. “Menzies has always been supportive of MAB operations throughout [the] ANZ [Australia and New Zealand] region despite the challenges post Covid-19. “Menzies has continuously engaged MAB to address these challenges and enforce their utmost commitment to support MAB’s plan to grow the ANZ operations. “It is comforting to work with a highly professional entity that understand the business needs and ever willing to listen to feedback from their customers.”

Global air freight rates were slightly changed in the week to April 22, according to the latest data from TAC Index, the leading price reporting agency on air freight markets. The overall Baltic Air Freight Index calculated by TAC was up a tad (+0.1 percent), leaving it at -8.2 percent over 12 months – a second successive week of little change after a series of rises over the previous six weeks. There was little evidence of any immediate impact on prices caused by severe rain in the Middle East and disruption in major hubs like Dubai, the update added. “Rates on the big lanes out of China continued to edge upwards, buoyed by the continuing rise of e-commerce. The index of outbound routes from Hong Kong gained another 1.4 percent WoW to put it ahead by 11.8 percent YoY. Outbound Shanghai gained 2.4 percent WoW to put it up 12 percent YoY. Rates out of Vietnam fell back a bit after recent strong gains, and rates out of India were fairly flat overall after an even stronger surge in recent months.” Out of Europe, the market continued to be weak, and the index of outbound routes from Frankfurt declined 3.7 percent WoW with declining rates on most major lanes pulling it down to -38.3 percent YoY. Outbound London dropped 7.9 percent WoW. From the Americas, rates from outbound Chicago were also softer, down 2.5 percent WoW to leave the index at -31.3 percent YoY. Overall rates from the U.S. were falling again to China but rising both to Europe and to South America, the update added.

Nikhil Agarwal, President, CJ Darcl Logistics says, “The Indian logistics sector is poised for significant growth, with the market expected to see a major transformation. Government initiatives like PM Gati Shakti and NLP are driving this progress by focusing on infrastructure development and reducing logistics costs. This includes projects like Bharatmala (roads), Sagarmala (shipping), Udan (airports), and Dedicated Freight Corridors (rail). India’s logistics journey is still maneuvering its way through infrastructure gaps, limited digitalization requiring increased investment in roads, rails, and supply chain visibility. But, by embracing sustainable practices such as prioritising electric vehicles and green infrastructure development, the government can create a logistics network that’s both efficient and environmentally responsible. We, at CJ DARCL, are committed to devising strategic initiatives and are actively exploring and monitoring our carbon emissions by implementing sustainable practices by deploying electric vehicles as a pilot for short haul intracity/short haul movement and strategically placed warehouses with advanced WMS (warehouse management system) for better allocation and enhanced route optimization. While achieving net zero emissions by 2070 presents an ambitious challenge, India’s booming logistics sector can be a powerful engine for sustainable growth.”

“India’s logistics sector plays a crucial role in its economic framework and is currently undergoing a transformative shift towards multimodal transportation. In 2024, the government’s strategic interventions aim to enhance efficiency and reduce logistical costs, historically at 14% of GDP, above the global average,” shares Xerrxes Master, President, AMTOI. “Key infrastructure projects like the Dedicated Freight Corridors (DFCs) have made strides yet face challenges in integration and digital upgrades. The focus on rural road quality under Bharatmala and growth in air cargo volumes signify progress, albeit with challenges such as regulatory complexities and uneven technology adoption. Looking ahead, addressing operational inefficiencies, embracing digital transformation, and prioritizing sustainability is imperative. Collaborative efforts and innovation will propel India towards global logistics leadership, ensuring a seamless, efficient, and sustainable network. This evolution is characterized by significant government initiatives and infrastructure development, offering both challenges and promises.”

DHL Group has taken a proactive step by expanding its GoHelp programme to the continent. The programme will utilise DHL’s logistical expertise and global network to aid disaster-affected communities. DHL has partnered with the United Nations since 2005 to volunteer its logistics proficiency and international network for global relief efforts. DHL is conducting its first training session for the Disaster Response Teams (DRTs) in Europe at Istanbul International Airport from April 19-21. Attended by 50 employees, this training marks a pivotal step in enhancing regional disaster preparedness and response efforts. “Europe has been facing an increasing number of climate-related crises, like the floods in Germany and Belgium in 2021. On top of this, we witnessed terrible earthquakes in Turkey and Morocco last year,” noted Christoph Selig, Vice President, Sustainability Communications and Programmes at DHL Group. “Recognising this, we’re extending GoHelp’s reach and impact to Europe after a successful implementation over the past 15 years in Latin America, Asia Pacific, Middle East, and Africa region,” added Selig.

Air cargo software firm Nallian has integrated payment platform PayCargo into its cargo slot management system to help speed up the process of picking up cargo from airports. The partnership means that freight forwarders and trucking firms can book a pick-up slot from handlers using the Nallian Truck Visit Management System and the PayCargo system will manage all payments and transactions related to the import cargo. The companies said this means that upon arrival, drivers no longer have to wait to make payments and can immediately proceed to the dock door assigned to them. “This integrated approach enhances operational efficiency, enables faster cargo release, and reduces paperwork and administration,” the companies claimed. Eduardo Del Riego, chief executive of PayCargo, said: “We are thrilled to partner with Nallian to offer an integrated solution that addresses the evolving needs of the air cargo industry. By combining our expertise, we enable our customers to streamline truck visits, accelerate payments, and achieve greater success.” Nallian chief executive Jean Verheyen added: “We are committed to driving innovation and delivering value to our customers. Our collaboration with PayCargo represents a strategic alignment of our shared vision to raise the bar for efficient, paperless freight management. “It will allow our customers to better coordinate activities so they increase efficiency and reduce their environmental impact.” The use of slot booking systems has been on the rise in recent years as companies look to reduce waiting times by spreading cargo pick-ups more evenly throughout the week and by giving the handler more information to prepare cargo.

Container Corporation of India (CONCOR) and PSA MESA Supply Chain (PSA MESA) signed a Memorandum of Understanding (MoU) on April 18, 2024, in New Delhi to collaborate on providing seamless and cost-effective end-to-end logistics services to customers. CONCOR, a leading logistics service provider in India, operates more than 60 container terminals across the country. PSA MESA is a wholly-owned subsidiary of PSA International, a global port operator, offering integrated and port-centric supply chain, transportation, and logistics solutions through its supply chain business arm, PSA BDP. The MoU signifies the partnership between CONCOR and PSA MESA to deliver comprehensive logistics solutions to meet customer needs. The stock of CONCOR experienced a decline of 0.29%, closing at ₹926 on the NSE at the time of writing. Container Corporation of India Limited (CONCOR) is a public sector undertaking established in March 1988 under the Companies Act. It is engaged in the transportation and handling of containers, having commenced operations in November 1989 by taking over an existing network of seven inland container depots (ICDs) from Indian Railways.

Maersk announced an upgrade to its ME2 ocean service to include port calls in North Europe, namely Rotterdam, Felixstowe and Bremerhaven. The future port rotation of the ME2 service will be Port Tangier – Algeciras – Rotterdam – Felixstowe – Bremerhaven – Port Tangier – Salalah – Jebel Ali – Mundra – Nhava Sheva – Port Tangier, says an official release. This extension of the ME2 service to key destinations in North Europe will benefit North India’s exporters, particularly those in the lifestyle and retail sectors. With upgraded service, manufacturers and exporters will get expedited access to important consumer markets in North Europe. The transit times for ocean transports between Mumbai ports and North Europe will be shortened by five to seven days. In the same way, on the backhaul from North Europe to India, the importers for the automotive sector will benefit from quicker transit times for automotive components coming into India.” Morten Juul, Head, Regional Ocean Management for Indian Subcontinent, Middle East & Africa, Maersk says: “Maersk is committed to delivering faster and more reliable ocean services. With the enhancements made to the ME2 service, we are emphasising our commitment towards one of the most important trade routes. By adding port calls to key destinations in North Europe, we are empowering our customers with faster access to the vital market, thereby enabling them to capitalise on business opportunities and increase their competitiveness.” Despite the expansion, the nominal capacity of the weekly ME2 service will remain unchanged. Maersk will add two additional vessels to the rotation to accommodate the extended coverage in North Europe, the release added.

Average global air cargo rates held steady in the second week of April, equaling their level in the equivalent week the previous year for the first time since mid-2022 despite a drop in tonnages partly linked to Eid. Average global rates remained flat in week 15 (April 8-14) at $2.52 per kilo, following consecutive weekly WoW rises of between two-three percent in the previous six weeks, according to the latest weekly figures and analysis from WorldACD Market Data. “Total worldwide tonnages fell by three percent in week 15 with particularly big WoW declines from Pakistan, Bangladesh and the UAE.” Eid effects on tonnagesAir export tonnages from South Asian countries including India, Pakistan and Bangladesh remain high compared with their normal levels for this time of year, especially to European destinations, linked to strong demand developments combined with supply issues caused by disruptions to ocean shipping. “A drop in bookings during the Eid holidays at the end of Ramadan led to some steep WoW falls in tonnages in week 15 ex-Pakistan (-41 percent), Bangladesh (-14 percent) and the UAE (-29 percent) to worldwide destinations along with other countries such as India (-18 percent worldwide, and -16 percent to Europe destinations).” Tonnages from the Middle East & South Asia (MESA) region overall to Europe also dropped by 18 percent WoW, although they remain up by 17 percent compared with the same week last year. Despite the WoW drop, India-Europe tonnages remain up nine percent YoY. Despite a 21 percent WoW drop, Dubai-Europe tonnages remained at more than twice their level this time last year, up 153 percent, in the week prior to flooding there, impacting the emirate’s air operations, the update added.