Category Archives: Aviation

Air cargo volumes were boosted by seasonal e-commerce demand from Asia in November, but Xeneta is doubtful the industry will see sustained stronger demand. November was the first month this year that saw demand outstrip supply, but, echoing IATA’s concerns, the rate analytics platform said global airfreight capacity will likely continue to outpace market demand next year. “This is due to anticipated weak consumer spending at least in H1 2024 and a continuing recovery in belly capacity for certain markets next year, boosted by improving passenger travel,” said the company. E-commerce demand from Asia to Europe and the US has seen air cargo volumes rise, but this shouldn’t be relied on to see air cargo demand, in what is already a subdued market, sustained into next year, explained Xeneta. Increased e-commerce volumes from Hong Kong and China to the US and Europe inflated global air cargo demand by 5% year over year in November. Retail brands Shein and Temu accounted for most of the rise in air cargo volumes and rates out of Hong Kong and China last month. China to the US spot rates outpaced their October growth of +10%, climbing +11% month-over-month to $4.46 per kg. Air cargo spot rates from China to Europe followed a similar upward trend, rising to $3.96 per kg, up 9% from a month ago. These increases contributed to an overall 7% month-on-month improvement in the global air cargo spot rate, which averaged $2.45 per kg in November, compared to +2% in October. Demand slightly outpacing supply helped to push the global dynamic load factor to 60%, based on both volume and weight perspectives of cargo flown and capacity available.

Airbus has secured another major A350 freighter customer with an order from Turkish Airlines for five of the new cargo aircraft. The order follows Cathay Cargo’s recently announced decision to order six A350Fs with the right to order 20 more. The A350F can carry a payload of up to 111 tonnes and can fly up to 8,700 kms. Its cargo door will have a width of 4.4 m. The deal is another blow for Boeing, whose 777-8F freighter programme has also slowed down this year. The 777-8F offers a maximum structural payload of 118 tonnes (revenue payload 112.3tonnes) and a range of 8,167 km, while its cargo door has a width of 3.72 m. Orders placed for the Boeing aircraft include: Silkway West (2), Cargolux (10), Lufthansa (7), ANA (2) and Qatar (34).

Cargo Service Center (CSC) announced significant expansion of its operations in Kerala. On June 1st, 2023, CSC commenced its security functions as an BCAS Authorized Regulated Agent (RA), reinforcing its commitment to cargo safety. Building on this momentum, on August 22nd, 2023, CSC launched international operations at Cochin International Airport (CIAL). A year earlier, in 2022, CSC had initiated services at the Cochin Domestic Cargo Terminal, solidifying its presence in the vibrant state of Kerala. CSC Group Chairman Shri Tushar Jani said, “Cochin International Airport serves as a pivotal hub for international air cargo activities in the southern region of India. CSC’s expansion in Kerala holds immense significance, as it is the second airport in the state, alongside Kannur, where the company efficiently operates and manages the entire cargo terminal, encompassing both domestic and international cargo operations, with an unwavering commitment to enhancing air cargo services nationwide.”

Pharma.Aero, a cross-industry collaboration platform for life science logistics, has signed a memorandum of understanding (MoU) with the Cool Chain Association (CCA), an industry association specialising in temperature-controlled logistics, to harmonise pharmaceutical and perishable cold chain processes. The MoU outlines the associations’ shared commitment to foster collaboration and enhance transparency between the life science and perishable supply chain, says an official release. “Our partnership with Pharma.Aero is born out of a shared goal to improve the quality and safety of the cool supply chain,” says Stavros Evangelakakis, Chairman of the Board, CCA and Head of Global Healthcare, Cargolux. “We believe that we can achieve so much more through cross-industry collaboration than we ever could working independently in silos.”

Jupiter Wagons has bagged a significant contract for the manufacturing and supply of 4000 BOXNS wagons from the Ministry of Railways. The esteemed contract, valued at a staggering Rs. 1,617 Crores, underscores Jupiter Wagons’ commitment to delivering top-notch railway solutions to meet the evolving needs of the Indian Railways. The order specifically entails the production of 4000 BOXNS wagons, classified as BG Bogie Open Wagon type. These wagons boast axle load capacity of 25 tons, ensuring robust performance under varying freight conditions. The wagons exhibit a maximum speed of 86 kmph when empty and 45 kmph when loaded, ensuring efficiency and safety in transit.

Peter Musola, Head – Cargo Commercial, Kenya Airways shares, “We are all set to launch our freighter Boeing 737-800 in Mumbai on January 25 to cater to Pharma market. We also have plans to expand our network and destinations, in India, but we are starting operations with Mumbai. India is a Pharma hub and we see lot of potential in Indian market. India is a great trade destination and lot of Pharma is being moved to and from Africa, with our hub in Nairobi. Kenya Airways is looking at enhancing regional connectivity and capacity but due to global economic slowdown and crises in Africa, things are not in our favour at the moment as there are lots of complexities. But we are very focused and we look at India as a major market and have growth prospects for our main Nairobi Hub so we will definitely expand here.

Pramod K Agrawal, Principal Chief Commissioner of Customs, Mumbai said, “We are facilitators of trade. Transparency, cost-efficiency, connectivity and process-integration plays key role in today’s logistics business scenario, and we are working hard in this direction. Recently, we had invited the industry stakeholders to apply for Authorised Economic Operators (AEO) certification, but we didn’t get a good response. I urge the traders to cooperate and collaborate with us to make trade seamless and efficient.” Agrawal, while speaking at the India International Cargo Show as Guest of Honour also mentioned that technology is set to bring a revolution in the Indian logistics business scenario. There’s lot of progress happening in terms of investments and implementation. As part of National Logistics Policy, govt introduced ULIP to improve operation efficiency cut costs and improves agility. Also, there’s need to cut costs but without compromising on the time, quality and security of shipments.”

Oman Air launched its maiden freighter services from GMR Hyderabad International Airport, operating its first Boeing B737-800BCF connecting Hyderabad and Muscat. The freighter service will operate two weekly flights, on Tuesday and Saturday. The flight will depart from Hyderabad at 14:00 hours. With a one-way capacity of 22 metric tons, the freighter will add an additional weekly capacity of 88 metric tons from Hyderabad Airport. This service is poised to boost the export of pharmaceuticals and hatching eggs shipments from the city. Pradeep Panicker, CEO, GMR Hyderabad International Airport Ltd, said, “The Oman Air freighter services from Hyderabad Airport will not only link our diverse industries and the thriving market within the city but will also provide opportunities for the businesses in the surrounding regions access to the global market. As global cargo demand continues to grow, we have emphasized and developed infrastructure and innovative capabilities, digital solutions, and added multiple value additions. We look forward to adding more cargo routes in the coming years.”

The India International Cargo Show (IICS) kickstarted in Mumbai on 13th December with focus on Digitalisation, sustainability and collaboration. Experts discussed, “E-commerce is growing exponentially and driving air cargo business and capacities. Air freight market is evolving, the industry will be dynamic in 2024. There will be huge focus on cost without compromising on the time and quality. India as a Pharma hub will also grow exponentially in next 10 years. Platforms like ULIP will also take industry forward.”

The India International Cargo Show (IICS), country’s biggest cargo & logistics exhibition opens today in Mumbai. The three day exhibition will continue till 15th Dec at Jio World Convention Center. The eveny will have insightful panel discussions on multimodal logistics enabling supply chain efficiency, pharma logistics, airports infrastructure, tech driven growth, embracing next-gen air cargo operations and lot more. The inaugural session will host distinguished ministers and leaders from the logistics industry, sharing their visionary perspectives and insights to pave the way for a future of innovation and collaboration in the dynamic world of logistics. IICS will be the only platform in the country to bring the entire cargo and logistics fraternity including air, ocean, road, logistics, warehousing, ground handling, supply chain, technology, etc. under one roof. With over 200 brands showcasing their products and services, the IICS Show is the perfect platform for logisticians to network with key players in the industry.