Category Archives: Aviation

In the fifth edition of the Logistics Trend Radar, DHL has revealed 29 key trends that will impact the logistics industry over the next years. The fifth-edition of Logistics Trend Radar indicates that we are experiencing an overall stabilisation of trends from the past four years. However, with the logistics industry weathering the current global pandemic, transformation processes have been accelerated. COVID-19 has driven changes regarding recent logistics innovation, automation, and digital work more rapidly and has accelerated industry digitalisation by years. Conversely, many trends initially perceived as disruptive game-changers for the logistics industry have yet to deliver on their disruptive potential. Self-driving vehicles and drones continue to be held back by legislative and technical challenges as well as limited social acceptance. Logistics marketplaces are stabilising on a few leading platforms and established forwarders are entering the game with their own digital offerings, backed with robust global logistics networks. From cloud computing to collaborative robotics, big data analytics, artificial intelligence, and the Internet of Things, logistics professionals have to make sense of a vast market of novel technology. Modernising all touch points of supply chains, from an elegant digital or customer journey, through fulfillment transport and final mile delivery is the new imperative for long-term success. Those who adopt and scale new technology and up-skill workforces fastest will have a competitive advantage on the market.

Sharing how air cargo has become a priority over the other modes of transport amidst the pandemic, B Raghavendran, General Manager – Airfreight / India, Teamglobal Logistics, says, “Air cargo is an integral part of the supply chain and is an irremovable link in the whole process. Airfreight forwarders play a crucial role in the value chain. They ensure ‘ready for carriage’ of cargo and offer various solutions and also comply with customs and various rules & regulations of different countries. Currently, global airfreight is having a downfall in terms of the volumes. A key to recovery is the global implementation of re-start measures agreed as per ICAO to keep passengers and crew safe. This will open up the belly capacities which have disappeared in the last few months. It has been a great relief offered by airline operators through converting passenger flights into cargo freighters for time being to overcome the situation, and to have a business continuity process.”

Kempegowda International Airport, Bengaluru (KIAB/ BLR Airport) processed 180,745 kgs of pomegranates from April to August 2020, to emerge as the leading airport for pomegranate exports from India. According to the data available from the Agricultural and Processed Food Products Export Development Authority (APEDA) and the Directorate General of Commercial Intelligence and Statistics (DGCIS), BLR Airport also accounted for 99 per cent of the total pomegranate exports from Karnataka. The fruit was exported to 12 international destinations, by nine global freight carriers – Air France, British Airways, Cathay Pacific, Emirates Airlines, Etihad Airways, KLM Royal Dutch Airlines, Qatar Airways, Singapore Airlines and Turkish Airlines. Powered by superior logistics and backed by two reputed cargo terminal operators – Air India SATS and Menzies Aviation Bobba Bangalore, BLR Airport plays a key role in ensuring that products reach their destinations in good condition. To retain their freshness, perishables are stored, cleared and moved to the aircraft on priority, with the required temperature controls in place, therefore reducing dwell time at terminals. The cargo infrastructure has been built to ensure the rapid distribution of perishable cargo, making KIAB the preferred cargo airport in South India. BLR Airport has a dedicated cold zone – AISATS CoolPort – with the capacity to handle 40,000 MT per annum and temperature zones ranging from -25 to +25 degrees Centigrade, under the same roof and Menzies Aviation Bobba Bangalore, with the capacity to handle 20,000 MT per annum.

Transporting total of 9963 kilograms of cargo which includes medical supplies and other general commodities, IndiGo operated its maiden flight to Chittagong, Bangladesh on September 21, 2020. The flight was operated while adhering to all the precautionary measures. Ronojoy Dutta, Chief Executive Officer, IndiGo said, “We are pleased to operate our maiden CarGo flight to Chittagong , Bangladesh, using our A-320 passenger aircraft in a ‘freighter mode’. We are proud to play a part in maintaining and supporting supply chains in and out of the country at this critical time. Cargo flights have gained significant momentum and we are pleased with the growth of this revenue stream over the last six months. IndiGo will continue to contribute and adapt its business to the needs of the hour.” Owing to the first flight, Chittagong was the 23rd destination covered by IndiGo for its cargo charter network. IndiGo has operated to multiple new destinations including Bishkek in Kyrgyzstan, Cairo in Egypt, Almaty in Kazakhstan, Tashkent in Uzbekistan and Kathmandu in its cargo network. Within the last 5 months, IndiGo has also transported cargo equivalent to the loads carried in the last financial year, despite limited capacity.

As per the AIC issued and approved by Ministry of Civil Aviation (MoCA) vide letter no. AV.14027/07/2020-A-MoCA dated 15.09.2020), the open sky policy for foreign cargo carriers promulgated with AIC 18/1992 has been reviewed by the government and some changes have been made with a view to ensure fair and equal opportunity in the air cargo capacity offered by Indian registered airlines and airlines registered elsewhere. The operations of foreign ad hoc and pure non-schedule freighter charter service flights shall be restricted to 6 airports namely Bengaluru, Chennai, Delhi, Kolkata, Hyderabad and Mumbai. Foreign carriers may submit application/proposal to the Director General of Civil Aviation for getting clearances for such flights as per procedure specified for the purpose. However, DGCA reserves the right to deny permission for operating cargo flight. Notwithstanding the aforesaid provisions, the all-cargo flights operated under humanitarian and emergency needs through the UN and other multilateral bodies of which India is a member, and also all-cargo flights hired by or carrying cargo belonging to any Ministry/Department of Government of India or a State/UT Government may be permitted to operate with requisite priority to/from any airport in India where customs/immigration facilities are available. Operators are required to meet the operational and safety requirements while operating such ad hoc/non-scheduled cargo flights. According to the AIC, Indian operators facing any systematic and non-systematic discriminate tree and restrictive practices and/or regulatory impediments in operating international cargo flights in any of the foreign countries may bring such issues to the knowledge of DGCA for further suitable actions in this regard.

The International Air Cargo Association (TIACA) has announced the launch of the Safe Supply Chain class in collaboration with the International Civil Aviation Organization (ICAO). The first class is scheduled for October 20-23, 2020. The development of course is aimed at providing necessary knowledge and skills to ensure that cargo is handled appropriately in a safe and efficient manner within the ICAO’s regulatory framework. This course will provide the entities in the air and mail cargo supply chain with the necessary knowledge and skills to work together effectively to ensure that cargo is handled appropriately in a safe & efficient manner within the ICAO’s regulatory framework. The course also addresses the ‘what causes’ and ‘why it could impact’ the safety of the supply chain through an understanding of the global market and supply chain trends. The course is in a classroom format and will be offered in the English language.

Stressing on air cargo has been strong on the pillars with the help of strong infrastructure, equanimity, robust versatility business model and innovation during the times of pandemic Vandana Aggarwal, IES, Sr. Economic Advisor, Ministry of Civil Aviation, says, “We have mega challenges and opportunities in the air cargo industry. With the initiatives are undertaken by Indian enterprises, we can say that Indian enterprises are beginning to look towards the future and find ways forward that transform their business in these changing times.” Talking about the initiatives undertaken by the Government of India, she mentioned that despite the challenging times, we ensured the swift movement of carriage on passenger aircraft by increasing dedicated freighters and ensuring the shift movement of cargo at airports. She highlighted that we grew hugely in the export of agriculture produce. Aggarwal expressed her views in a virtual conference organised by the PHD Chamber of Commerce and Industry on “Air Cargo Sector Transformation-Way Forward”.

With the gradual increase in the movement of general cargo, Chhatrapati Shivaji Maharaj International Airport (CSMIA) is witnessing a shift in the import and export of goods transported through the airport. Between April – August 2020, CSMIA catered to a total of 72000 tonnes of general cargo, thus witnessing a growth of 278% by the end of August 2020 as compared to April 2020 on the total volumes of general products. These include products such as Engineering goods and Machinery, Electricals and Electronics, Chemicals, Dangerous Goods, and Garments & Textiles. Overall, Mumbai Air Cargo has catered to a total of over 1,69,000 tonnes of cargo during April–August 2020, consisting of approximately 1,35,000 of international and 34,000 tonnes of domestic cargo. The airport registered a total of 18,820 cargo ATM’s during the same period and witnessed an air freight growth of a whopping 166% in August 2020 as compared to April 2020. Airlines like Qatar Airways, Cathay Pacific, Emirates & Turkish Airlines catered to the highest tonnage of general freight. At the same time, Germany, United States of America and China emerged as the most frequent destinations in terms of cargo interactions with CSMIA. Furthermore, domestic e-commerce volumes in August 2020 have picked up by 1236% as over the volumes in June 2020 due to festive season. The import of flowers has also seen a growth of 6000% in the month of August 2020 in comparison to June 2020.

DHL Express has announced that an annual price increase in India will be 6.9% for 2021 compared to 2020 and will take effect on January 1, 2021. The surcharge for Overweight Pieces and Non-Stackable Pallets will be adjusted to Rs7,250 per piece and Rs15,000 per pallet. “At DHL Express, it is our endeavour to deliver unparalleled quality to our customers. This needs us to make significant and continuous investments in infrastructure and technology,” said R.S. Subramanian, Country Manager, DHL Express India, in adding, “The annual price adjustment allows us to build our aviation and ground network, improve hubs & facilities and drive digitalisation initiatives; all to support the needs of our customers efficiently. Amidst the pandemic situation, we continue to invest to comply with the increasingly complex regulatory and security environment globally. These advances provide our customers with peace of mind while maintaining our market-leading transit times.” Prices are adjusted on an annual basis by DHL Express, taking into consideration inflation and currency dynamics such as administrative costs related to regulatory and security measures. These measures are updated by national and international authorities on a regular basis in each of the more than 220 countries and territories that DHL Express serves. Depending on local conditions, price adjustments will vary from country to country, and will apply to all customers where contracts allow.

Kempegowda International Airport, Bengaluru (KIAB/ BLR Airport) processed 99,154 MT of cargo in the first five months between April and August 2020, recording a 92% growth in cargo air traffic movements. It offers the largest air cargo terminal in South India, with a handling capacity of 570,000 MT and an average travel time of nine hours from major manufacturing clusters across South India. BLR Airport is emerging as the preferred cargo gateway for industries from the region, making it the third busiest Cargo Airport in the Country and the busiest in South India. To bring further efficiencies into Cargo operations, BIAL recently announced the implementation of the Air Cargo Community System (ACS) to streamline the air logistics supply chain. This digital platform will enable seamless collaboration between all stakeholders in the supply chain to deliver superior and efficient cargo operations at BLR Airport.