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The weekly newspaper for air cargo professionals No. 1,054

21 October 2019

Hava yükləri Bakıya qayıdır

DSV Panalpina to stay in Basel Up to 165 jobs could go as part of integration

SV Panalpina has confirmed that it will be keeping a presence at the former Panalpina headquarters in Basel, but up to 165 jobs could go. As part of the integration of the Danish and Swiss freight forwarders, overlapping corporate functions and

positions will be cut or relocated to Denmark, but the group says it plans to expand its logistics footprint in the Basel area. Around 50% of Panalpina’s head office workforce will remain following the restructuring by the end of the second quarter of 2020, with critical roles such as sales, operations, IT and

innovation staying. Jens Bjorn Andersen (pictured), CEO of DSV Panalpina says the group recognises duplications of corporate functions, saying: “We are also seeing considerable overlaps in the IT department, as IT systems that will no longer be used in the combined group are phased out. As a result, we

MARCEL de Nooijer will leave his role at Air France KLM Cargo to take up the role of CEO of Transavia. The 51-year-old will join Transavia on 1 January 2020, succeeding Mattijs ten Brink, who left on 30 September. De Nooijer, who joined KLM in 1995 has been executive vice president of Air France KLM Cargo since December 2016 and also managing director of

Martinair. Commenting on his new role, de Nooijer says: “I am looking forward to working at Transavia. Transavia is a fantastic company that has expanded its strong brand and services in recent years with great entrepreneurial spirit, courage and creativity. With a lot of energy I will start working with the entire Transavia team on 1 January.”

(Air cargo returns to Baku)

are considering several restructuring measures. According to our analysis, we will not be able to avoid job cuts and the relocation of positions to DSV Panalpina’s headquarters in Denmark.” DSV Panalpina has started consultations in line with Swiss labour laws, and will present a first draft of a social plan at the end of the consultation period. The plan aims to define measures to reduce jobs losses and mitigate their effects. Employees have been invited to vote on the election of an employee representation body in order to facilitate the negotiation process for the social plan. The group plans to retain a commercial and operational presence at its Basel office and expand its footprint in the area by consolidating suitable operational activities in Switzerland.

Pages 4-5

INSIDE DHL INVESTS IN INCHEON

DHL Express has signed an agreement with Incheon International Airport Corporation to invest €131m in expanding its Korean gateway ... PAGE 2

EL AL BOOKS WITH CARGO.ONE

EL Al Israel Airlines Cargo has joined booking platform cargo. one with the first booking made by Hellmann Worldwide Logistics ... PAGE 3 KEEPING UP WITH CHANGES

SOUTHWEST Airlines has experienced strong growth helped by international expansion and updating products on offer, says Wally Devereaux ... PAGE 9

De Nooijer to leave Air France KLM for Transavia Pieter Elbers, president and CEO of KLM says: “In recent years, Marcel has led the freight division of Air France-KLM, with a successful digital transformation and improvement of operational results at KLM Cargo. We are happy that we have a new Transavia CEO with Marcel, who can continue to build on Transavia in the coming years.”

ANIMALS ARE NOT DIGITAL

EVERY day, some 200 horses are being transported by air, this equates to some 73,000 a year. Many of these are loved, some are worth up to $10 million ... PAGE 10

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DHL Express to invest €131m at Incheon

HL Express has signed a concession agreement with Incheon International Airport Corporation to invest €131 million in expanding its South Korean gateway. The expansion of the gateway, next to Incheon International Airport brings commitments to the strategic hub to €161 million in total. Since opening in 2008, shipment volumes have grown 45%, and the multiyear investment is expected to further support demand up to 2032. The expanded facility will have a gross floor area of 58,700 sq m from 20,000 sq m, an increase of almost 200%. It will be equipped with the latest tech-

nology for faster, more secure and efficient delivery handling processes. Technical upgrades include fully-automated x-ray inspection machines, a four kilometre conveyor belt, automated sorters, magnetic speed controllers and full CCTV coverage. The technology will increase the gate-

way’s handling volume for parcels and documents by over 150%. Ken Lee, CEO of DHL Express Asia Pacific says: “With online retail sales in Asia Pacific expected to reach $2.5 trillion by 2023, our latest investments in the Incheon Gateway will align our infrastructure to what Asia’s e-commerce generation needs for now and tomorrow.” Byung Koo Han, country manager of DHL Express Korea says: “With one of the world’s highest rates of online shopping, and its trajectory to become the world’s third-largest e-commerce market after China and the United States by 2023, this Gateway expansion will create the foundation for e-commerce businesses to expand both locally and across the Asia Pacific region.”

Globe Air Cargo launches PetCare

GLOBE Air Cargo UK has launched PetCare by ECS Group to transport pets to and from the UK. Managing the whole transportation chain from arrival at the airport to collection at the reception centre, the service allows pets to travel on the same flight as their owners in a heat-controlled environment. GAC will advise customers of the documentation requirements under IATA Live Animal Regulations. The service helps passengers move their pets both in and out of the UK, but also

brings the pets of members of the UK armed forces back home when they are redeployed. GAC also brings in cats and dogs that are being adopted from charities, mainly from Cyprus on a daily basis. Michelle House, managing director of Globe Air Cargo UK says: “PetCare by ECS Group means that we look after the pet as though it were part of our family too – with care. We bring the reassurance of knowing that the pets will travel safely on board.”

VOLGA-DNEPR Group has assisted the Merieux Foundation’s efforts to control the Ebola virus outbreak by flying mobile bio-medical laboratories. An Antonov AN-124-100 was positioned at Lyon-Saint Exupery Airport, France on Tuesday 8 October for the foundation and its logistics partner Bioport Logistique. The three 40 foot “plug and play” mobile container laboratories built in the Rhone-Alpes region belonging to the Merieux Foundation as well as a mobile lab belonging to the Praesens Foundation of Belgium flew on the AN-124-100. The cargo was transported to Kigali, Rwanda

before travelling overland to Goma, Democratic Republic of Congo where the government National Institute for Biomedical research will operate the laboratories.

Volga-Dnepr helps contain Ebola outbreak

Quote of the week “I tell my children to spend, spend, spend then I realise it’s my credit card” E-commerce is good for air cargo but not Glyn Hughes’ bank balance Read part one of the Caspian Air Cargo Summit on pages 4-5

ACW 21 OCTOBER 2019

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El Al takes bookings with cargo.one

l Al Israel Airlines Cargo has joined booking platform cargo.one with the first booking made by Hellmann Worldwide Logistics. After 12 weeks of integration, the first booking was made on a flight from Frankfurt to Miami. All routings from Germany via Tel Aviv to international destinations are live and available for booking via cargo.one. Integrating with cargo.one allows El Al to introduce a new distribution channel, and it plans to extend its reach to forwarders and facilitate digital bookings with instant booking confirmation. Ronen Spira, head of cargo division at El Al says: “In cargo.one we found a well-equipped partner with cutting-edge technology to support our transformation process and who is able to work to meet our needs. Their customised integration methods made it possible to

build on our existing systems and go digital with a 100% customer-centric approach in a short amount of time.” The project was led by El Al’s commercial manager, Gal Amit, who adds: “Distributing our capacities on cargo.one now gives us the opportunity to strengthen our market position, unlock new markets and deliver a world-class booking experience to our customer base.” Robin Keilmann of Hellmann who made the first booking says: “Being able to see bookable offers of different airlines on cargo.one at a glance, makes it ten times easier for us to find and book the right offer. In this case, El Al offered us the best value, so I booked it at the click of a button.” Moritz Claussen, managing director of cargo.

Emirates delivers your online shopping

ACWBITES THE Boeing Company has split the roles of chairman and CEO, with Dennis Muilenburg continuing as CEO, president and director, while David Calhoun will be non-executive chairman. Boeing says splitting the roles will help Muilenburg focus on returning the 737 MAX to service. PRESIDENT and CEO of Walmart, Greg Foran will join Air New Zealand as chief executive officer in the first quarter of 2020. He has been in the Walmart job since 2014 and before joining the retailer worked Woolworths in Australia and New Zealand.

one says: “The case of El Al Cargo shows again, that cargo.one is a game-changer in the air cargo industry. We empower airlines to advance in their digital transformation process, no matter how “digitally ready” they are.”

EDOARDO Podesta has been named chief operations officer of Dachser Air & Sea Logistics, taking over from Jochen Mueller. Mueller has stopped working for Dachser with immediate effect after a mutual agreement not to extend his contract, which expired in 2020.

EMIRATES SkyCargo has launched Emirates Delivers, an e-commerce platform to allow customers shopping from US online retailers to consolidate purchases for delivery. Available to individual or small business customers in the UAE, Emirates Delivers supports Dubai’s vision to become a global hub for e-commerce as envisioned under the Dubai Silk Road Strategy. The service is targeted at individual customers as well as small businesses who regularly shop online for their personal and business needs. It is an open e-commerce fulfilment platform that can be used by other e-commerce business and logistics integrators. Nabil Sultan, divisional senior vice president for Emirates SkyCargo says: “Emirates Delivers enables consumers to purchase their favourite products from any US-based online retail store and have it delivered in the UAE. The launch of Emirates Delivers is in line with our strategy to roll out specialised and innovative air transportation products targeted at industry verticals and with our efforts to position Dubai as a global e-commerce fulfilment hub for customers based in the Middle East, Asia and Africa.” Customers can register with Emirates Delivers for free, and are allocated a mailing address in the USA where they can have their purchases delivered and stored for up to 30 days. They can create a shipping request anytime within these 30 days and have purchases consolidated into one parcel and have them delivered to their designated UAE address. Packages will be transported to Dubai on Emirates SkyCargo flights and delivered to the shopper’s doorstep within three to five days of the creation of the shipping request.

Avia completes Chapman Freeborn acquisition

AVIA Solutions Group has completed the acquisition of 100% of the shareholding charter company Chapman Freeborn Group. The acquisition bolsters Avia’s business portfolio, with expertise including delivery of time-critical shipments, heavy and outsized equipment, humanitarian goods and other types of freight. As part of the Avia Solutions Group, Chapman Freeborn will maintain its existing product portfolio and continue to operate under the group’s existing brands including Chapman Freeborn Airchartering, Chapman Freeborn OBC, Intradco Cargo Services, Logik Logistics, Magma Aviation and Wings 24.

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ACW 21 OCTOBER 2019

CASPIAN AIR CARGO SUMMIT

Hava yükləri Bakıya qayıdır

he 8th Caspian Air Cargo Summit welcomed 275 participants from 39 countries, who came to Baku for two days of discussion about the state of the industry. The conference was held on 8-9 October at the Fairmont Baku Flame Towers Hotel on Mehdi Huseyn Street, high up in the city and offering views of Azerbaijan’s capital and the Caspian Sea. Having recovered from the cocktail reception the previous night, which took place in the Gold Lounge on the 19th floor, and was hosted by Budapest Airport, the conference got underway on Tuesday 8 October. Lars-Gunnar Comen, director of Euroavia International was first to the stage, and delighted to say that this year’s event had the best turnout ever, with delegates from Iraq and Pakistan for the first time. It was also a special anniversary for Comen, because three days earlier was 20 years since organising his first air cargo conference in Stockholm, Sweden. He told the audience: “Back in 1999, from the very first conference we had links with Azerbaijan. Central Asia and Azerbaijan was one of the first waves of globalisation between eastern and western markets. This region will hopefully regain importance as a major link between Asia, Europe, the Middle East and even Africa.” Adding that more than 60 countries have signed up to the One Belt One Road initiative, Comen says it will be interesting to see how airfreight will gain from the opportunities on offer. Comen says: “Baku is perfectly located to be a super hub for air shipments but still our industry is being challenged in different ways such

as geopolitics and trade wars. In order to stay prosperous we need to overcome the legacy mentality of paper, the lack of collaboration and visibility. We need to find ways of overcoming the roadblocks of legacies.” Once Comen had finished his speech, it was the turn of local delegates with director of the State Civil Aviation Agency, Arif Mammadov and president of Silk Way Group, Zaur Akhundov making speeches. Commenting on the number of familiar faces, Akhundov says the Caspian summit has become an important meeting place, and after 13 years since the inaugural event, the door is opening even wider. Akhundov says: “Regular summits show stability, more partners show the positive effect of summits. Of particular interest are air trends; ideas discussed at summits become the new direction. It is very gratifying to discuss new trends.” He adds that the industry is in the middle of difficult times with geopolitical issues, trade wars, the demonstrations in Hong Kong and the drone attacks on Saudi Arabian oil refineries, and says that each summit has to keep up with emerging changes. “We need to find solutions and make contributions for the industry. Today in 2019 the summit will make a significant contribution to the development of the industry,” according to Akhundov. Once these speeches were done, conference chairman Glenn Wicks was up on stage to get the audience ready for the keynote speeches. Wicks is the founder and managing director of The Wicks Group, based in Washington DC and has chaired the summit many times.

Part two of the Caspian Air Cargo Summit will be published next, in our 28 October issue

ACW 21 OCTOBER 2019

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CASPIAN AIR CARGO SUMMIT

Fərqli düşünmək və hərəkət etmək vaxtıdır

(It is time to think and act differently) n these challenging times, the air cargo industry needs to think and act differently, says Glyn Hughes, global head of cargo at IATA. Starting off the session “Global Market Outlook – Challenges and Opportunities”, Hughes explained that while trade talks are continuing between the USA and China, if there is nothing concrete, tariffs could be further ramped up. This is all having an effect on business and consumer confidence, which is hitting air cargo. IATA predicts that revenue could be down 10% this year and this will impact the supply chain with fewer jobs and investment. Hughes insisted that despite the tough times, there are reasons to be happy, especially when you look at the progress that has been made. He says: “In the last 25 years connectivity has improved dramatically, connecting manufacturers with consumers. Costs have dramatically reduced as the industry has taken

out costs, which has been passed onto the ultimate users of air transport.”

İpək Yolu qızılla döşənibmi? (Is the Silk Road paved with gold?)

oods and ideas travelled along the Silk Road for centuries between Europe and Asia, and China’s plans for the Belt and Road Initiative has been the subject of many conversations. Vladimir Zubkov, secretary general of The International Air Cargo Association (TIACA) took to the stage for the presentation, “Unlocking the Potential of the Silk Road”. The audience heard that Azerbaijan’s president, Ilham Aliyev has made it clear that he is ready to co-operate with China under the initiative. Azerbaijan’s vision is to create a regional transit hub and is ideally located for this purpose. The Belt and Road Initiative was announced in 2013 by Chinese leader Xi Jinping, focusing on overland and maritime trade routes. So far 126 countries and 29 international organisations have signed up, with $6 trillion invested and 244,000 jobs created. Zubkov told the audience: “I was at the ICAO (International Civil Aviation Organization) assembly meeting and I asked people what they thought about the Belt and Road. They said it

was not really about aviation but more about irritating the USA and the personal ego of Xi Jinping. This is not the reality but there is a lack of involvement for aviation.” China has substantial aviation policies with projects worth $30 billion and plans to reform civil aviation and open up airspace. Zubkov says: “China is the world leader in infrastructure investment, more than 10 times the World Bank. The downsides of the Belt and Road is countries are vulnerable to debt prices but revenue in Belt and Road countries is higher.” Zubkov ended his presentation with an Azerbaijani proverb. “No matter how high is the mountain, the road passes through it.”

40 ildən çox qürurlu xidmət

ince being established in 1976, Hong Kong Air Cargo Terminals (Hactl) has been busy breaking records and improving efficiency, says chief executive Wilson Kwong. The cargo handling agent was established to better utilise space at the old Kai Tak airport, and the vision remains sustainable growth. Since then it has gained certifications including TAPA, GDP, CEIV and Cargo iQ. When the new Hong Kong airport, Chep Lap Kok was opened in 1998 shareholders invested $1 billion and continue to put in $10 million a year. Kwong says: “We are no longer a monopoly, in 1998 there were two terminals now there are three, some competition is good but not too much. There is a problem recruiting talent, whether the industry is sexy is your judgement but we need to attract people to the company.” The demonstrations in Hong Kong severely affected passenger traffic but cargo remained operational. Kwong acknowledges the regional challenges, greater competition and that rates are not where they should be but is confident about the future.

Bir çox hava limanı hava yüklərini başa düşmür (Many airports do not understand cargo)

lack of understanding of how air cargo works is a major reason why it is not important to a lot of airports, says Steven Polmans. The director of cargo and logistics for Brussels Airport Company gave his presentation, “Why Cargo Matters for Airports”, which he said should have had a title like “Why Cargo Should be Important to Most Airports”, where he explained that most airports needed a cargo strategy. Admitting that different types of ownership, whether public, private or a mix means different priorities, Polmans thinks cargo should remain important. He told the audience: “They don’t know who the customer is, they do not realise the whole logistics behind it. If you only focus on the airline then you will never understand what cargo is about. The etiquette has to change.” Airports exist for a reason including making a profit or providing jobs, with Polmans saying, “they are not there for fun, they have a reason to exist”. Calculating profits from passenger traffic is relatively easy, but for cargo it is more difficult. Polmans says: “Cargo is more complex, share-

holders have no idea how to calculate profits from cargo. It took time to convince the board why we were doing the things we were doing.” Polmans thinks airports need to make a choice whether or not to focus on cargo, not leave the door open. He says: “A lot of airports have no idea where to start. In the 80s and 90s cargo just happened. Airports were looking at airlines but now it is about the logistics, with the forwarders and shippers. Air cargo is important to airports and important to all clients. Airports need to facilitate and understand dynamics.”

Bir Kəmər Bir Yol çox həyəcanlıdır

(More than 40 years of proud service)

The boom in e-commerce has also been good news. Hughes joked: “I tell my children to spend, spend, spend, then I realise it’s my credit card so I then say spend little.” For the e-commerce service providers, Hughes says one size does not fit all but the air cargo industry must improve sharing of data. He told the audience: “One Record is about using data in a different way. It is a trusted network with pieces of information rather than the whole story.” Air cargo is predicted to double in the next 20 years, so this different way of thinking is necessary to cope with the demand. Hughes says the industry is very analogue and reliant on paper while only dabbling in technology. He says: “Global trade is stalling but e-commerce is growing at double digit rates, and the special cargo market is growing. We have enhanced connectivity and growing middle classes but there are infrastructure challenges and we need to digitalise operations.”

(One Belt One Road is very exciting)

He says: “We continue to invest, to invest is not an option, we must look to the future. If we do not invest then we will not be able to cope with growth.” There will be ups and downs but long term it will be up, with e-commerce and fresh cargo posing huge opportunities. Kwong is very proud that Hactl received IATA CEIV Fresh certification earlier this year and was the first company in Hong Kong to achieve CEIV Pharma and GDP. Subsidiary Hacis is driving e-commerce growth to and from mainland China. Hactl is also improving digital solutions to improve data sharing.

he Silk Road has great potential to transform air cargo, with huge opportunities on Europe - China trade lanes. In the One Belt - One Road session, Anson Fan of Frankfurt-Hahn Airport, Wolfgang Meier of Silk Way West Airlines and Vitaly Andreev of Atran Airlines gave their perspectives on how it could affect this route and the implications for airfreight. First to talk was Fan, the airport’s CEO who previously worked within parent company HNA Group’s airport division. Saying that the Silk Road was always part of Azerbaijan’s culture, Fan says that Frankfurt-Hahn’s volumes on the Zhengzhou-Baku-Hahn route have grown 67% to 69,295 tonnes since the arrival of Silk Way West Airlines. He told the audience: “For e-commerce a smart airport is necessary and a smart airport model needs to co-operate with the industry.” Andreev, commercial director of Atran Airlines was next to talk, telling the audience that e-commerce was a major driver, along with shorter product lifecycles and often requiring strict transport conditions such as temperature

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control. He says: “The growing middle classes are driving the economy and airfreight. We see huge demand for fast delivery and by 2020 there will be two billion e-commerce users. This year there was growth of 20% and each month 75% of consumers make at least one purchase, with 20% making at least one a week.” One Belt One Road is a favourite topic for Meier, president and CEO of Silk Way West Airlines since January 2018, something he describes as very exciting. He says: “Before One Belt One Road going west had a real impact that is still felt today. Domestic infrastructure brought manufacturing to the west and brought prosperity to western parts of China. Zhengzhou, Chengdu and Chongqing are still growing despite market weakness. Between 1997 and 2017 we saw a huge move to the west with a mixture of cargo and passenger traffic.”

ACW 21 OCTOBER 2019

IAG Cargo offers end-to-end monitoring service

AG Cargo has announced a partnership with Seattle-based Cargo Signal to offer customers a new tracking service for cargo. Cargo Signal is a sensor-based logistics platform that uses Internet of Things (IoT) technology to improve decision-making, tracking and efficiency of air cargo. The service provides customers with enhanced end-toend monitoring and notification features, using cellular networks to communicate with tracking devices on cargo. The devices transmit real time data when in cellular range on everything from location and light through to precise temperature and humidity readings. Three service levels, Security & Quality, Visibility and Quality, are available. All service levels include the use of a sensor-based tracking device, and visibility of the shipment through web and mobile applications. Live light and temperature data, 24/7 enhanced condition monitoring and notification from the Cargo Signal Command Centre, and data summaries post-shipment are available with Quality and Security & Quality products. The Security & Quality product also offers proactive noti-

fications in case of route deviation. Daniel Johnson, head of product, IAG Cargo, commented: “We are always looking at how we can use technology to improve our service and customer experience. We understand that our customers, especially those dealing with high-value or temperature-sensitive cargo, need access to important data throughout the shipment journey. This partnership with Cargo Signal complements our premium products such as Constant Climate, Critical and Secure to provide a comprehensive monitoring service with unrivalled visibility over shipments across each step of the supply chain.” Randy Gould, global director, Cargo Signal, commented: “The Internet of Things is transforming the global logistics and supply chain landscape. By bringing together IAG Cargo’s world-class products and global network with our innovative sensor-based logistics platform, we’re unlocking new value for our customers and giving them greater control over their supply chains. The accuracy of the data available enables our customers to act with more speed and confidence than ever before.”

NAM and Liege extend relations

NETWORK Airline Management (NAM) and Liege Airport are to extend their long-standing working relationship for a further three years, cementing the cargo operation in Liege for the foreseeable future. Since Network moved its freighter operation to Liege in 2014, cargo levels have increased with growth across all sectors. This is mainly down to the introduction of various new freighter routes and destinations served from Liege. “We have been able to grow our business over the last five years with the support of Liege Airport with their dedicated cargo infrastructure. “Liege is ideally located as NAM’s European hub and offers the advantage of ease of access with a large road feeder service.” says Malcolm Higginson, operations director of Network Airline Management.

ACW 21 OCTOBER 2019

Davies Turner’s prestigious league table

avies Turner, the long-established international freight and logistics company, has again been recognised as one of the UK’s leading independent private companies in the prestigious Sunday Times/Grant Thornton Top Track 250 league table, sponsored by Grant Thornton and Lloyds Banking Group. Compiled by Fast Track, the Oxford-based research and networking events company, the annual table ranks Britain’s top performing mid-market private firms and entrepreneurs

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by their latest sales figures and profitability. Says Davies Turner chairman, Philip Stephenson: “These companies are predominantly owned by entrepreneurs, private equity firms and family holdings. It’s a prestigious club to be in.”

UNITED STATES

he 15th Air Cargo Americas is being held from October 29 – 31, 2019 at the Miami Airport & Convention Center. Over 5,000 business executives from 50+ countries expected to attend. The show aims to increase cargo growth and international business in the Western Hemisphere. AAACESA, Almacenes Fiscalizados Booth: 510 ACL Airshop Booths: 815, 817 AEG FUELS Booth: 929 ATC Aviation Services AG Booths: 521,523 Abbey USA Inc. Booth: 735 Accuity Booth: 529 Acorn-East Booth: 614 Aerotransporte de Carga Union SA de CV dba AeroUnion Booths: 629, 631, 728, 730 Air Cargo Update Booth: 915 Air Cargo Week/Azura International The world’s only weekly newspaper for the global airfreight industry. Booth: 602 Air Charter Service: Booths: 720, 722 Air Logistics Group: Booth: 522 Airborne Global Solutions, Inc. Booths: 714, 716 Albion Inc. Booth: 831 Alpine Systems Associates: Booth: 811 Americas Alliance Booths: 434, 435, 436, 437, 438, 439 Amerijet International Airlines Booths: 610, 612 Ancra International Booth: 724 Antonov Airlines Booths: 801, 803 Atlas Air Worldwide Booths: 611, 613 Avalon Risk Management Booth: TBC Avianca Cargo Booths: 629, 631, 728, 730 Bringer Corporation Booths: 505, 507, 604, 606 Brussels Airport Booths: 535, 537, 634, 636 Bureau of Dangerous Goods Booth: 420 CHAMP Cargosystems Booth: 520 Cargo Care Services / CubiQ Booth: 805 Cargo Screening K9 (CSK9) Booth: 417 Cargo Sprint Booth: TBC Cargo Trends Booth: 622 Cargojet Inc. Booth: 906 Caribbean Airlines Booth: 524 Cerulean Aviation Booth: 813 Chapman Freeborn Airchartering Booth: 721 Chennault International Airport Authority Booth: 910 Copa Airlines Cargo Booth: 621 DGM Florida LLC Booth: 607 DHL Network Operations Booths: 701, 800, 901, 903, 905, 907 Double Ace Cargo Booth: 729 ELC Security Products Booth: 807 Enterprise Florida Booth: 912 FRACHT USA Booth: 925 Federal Aviation Administration (FAA) Booth: 410 Florida Customs Brokers & Forwarders Association Booth: 937 Florida Export Packers Booth: 731 Florida Air Cargo Booth: 623 Freight Week Booth: 512, 514 FreightSnap, LLC Booth: 737 GLT Logistics Booths: 605, 607, 704, 706 GSA Force Booth: 706 Girag Panamá S.A Booth: 625 Global Fair Play LLC Booth: 930 Globe Air Cargo Booths: 710, 712 Globelink China Logistics Ltd./ Dragon Logistics Booth: 820 Gru Airport / Aeroporto Internacional de Sao Paulo Booth: TBC IBC Airways, Inc. Booth: 822 International Bonded Couriers, Inc. Booth: 53 Iscar GSE Booth: 600 JFK Offce Supermarket, Inc. Booth: 913 Kelly Tractor Booths: 513, 515 LFS Booths: 821, 920 LOT Polish Cargo Booth: 511 Laparkan Airways Inc. Booth: 620 Lazaro Delivery Corporation Booth: 628 Liege Airport Booths: 828, 830 Lynden Air Cargo Booth: 637 M&G Packaging Corp./Dependable Packaging & Solutions Booths: 723, 725 Magaya Corporation Booths: 711, 713, 810, 812

Mexpress Transportation, Inc. Booth: 617 Miami International Airport Booths: 601, 603, 605, 700, 703, 705 Miami-Dade Beacon Council Booth: 411 Miami-Dade College/Eig-Watson School of Aviation Booth: 525 Network Cargo Booths: 634, 734 PZ Packaging Booth: 501 PayCargo LLC Booths: 837, 936 Port City Air Booth: 824 Port San Antonio Booth: 517 Port of Palm Beach Booth: 528 PortMiami Booth: 516 Prime Air and Ocean Cargo Booths: 823, 825, 922, 924 Quick Caller Cargo Directories Booth: 911 RW Solutions Ltd. Booths: 429, 431 Reverse Logistics Association Booth: TBC Rite-Hite Booth: 834 Rubb Building Systems Booth: 615

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PREVIEW Oct 29-31

Sabrewing Aircraft Company, Inc. San Antonio International Airport Silcorp Technologies Smiths Detection Southeastern Aerospace Services Stat Times Sterling Transportation StratAir, LLC Totalpack Inc. Transatlantic Airways Turkish Cargo U.S. Customs & Border Protection WCA World Trade Center Miami Worldwide Flight Services

Booths: 715, 717 Booth: 517 Booth: 931 Booth: 917 Booth: 814 Booth: 415 Booths: 616, 816 Booths: 829, 928 Booth: 624 Booths: 531, 630 Booth: 916 Booths: 412, 414, 416 Booth: 736 Booths: 901, 903 Booth: 503

Details correct at time of printing E&O excepted.

ACW 21 OCTOBER 2019

UNITED STATES

CONFERENCE PROGRAMME Tuesday October 29 7:30 am Americas Networking Breakfast Sponsored by GRU Airpor t 8:45 am Welcome remarks Rober to Muñoz, chairman, WTC , Miami Charlotte Gallogly, president, WTC Miami Lester Sola, director & CEO, Miami-Dade Aviation Depar tment

9:00 am Call to Order : Eric Andrews, programme chairman 9:00 am Trade Trends in the Americas (East Hall) Moderator : Richard Roffman, Coral Gables Magazine Speakers: Adalber to Febeliano, Modern Logistics Gustavo Figueiredo, GRU Airpor t, Sâo Paulo, Brazil Vicken Karjian, Amerijet International Kur t Schosinsky, Avianca Cargo 10:15 am Coffee and Refreshments 10:30 am Over view on special cargos handling programmes (East Hall) Moderator : Jimmy Nares, Miami-Dade Aviation Depar tment

PREVIEW Oct 29-31

Speakers: Dina M. Amato, US DHS, US CBP Timothy S. Nor ton, Smiths Detection Ted Poplawski, US FDA Filipe dos Reis, IATA Kemisha D. Sherrell, US CBP 12:00

Exhibit Hall opens

Wednesday October 30 8:00 am Americas Networking Breakfast 9:00 am Call to Order, Eric Andrews, programme chairman 9:00 am Is air cargo adjusting to the rapid growth of e-commerce? (East Hall) Moderator : Emir Pineda, Miami-Dade Aviation Depar tment Speakers: Olivier Bijaoui, International Airpor t Ser vices Mark Erickson, Sr. Reverse Logistics Association Mirja Nissen, WC A Jaime Silva, International Bonded Courier 10:15 am Coffee and Refreshments 10:30 am China – Latin America E-commerce (East Hall) Moderator : Emir Pineda, Miami-Dade Aviation Depar tment Speakers: Solomon Cai, Globelink China Investment Daniel Grimes, iTN Worldwide Ivan Pereira, Director, Modern Logistics Jesus David Rodrigues, Magaya 12:00 pm

Exhibit Hall opens

Thursday October 31 8:00 am Americas Networking Breakfast 9:00 am Call to Order, Eric Andrews, programme chairman 9:00 am Are cargo security programs keeping up with the ever changing security landscape? (East Hall) Moderator : Alber t Saphir, ABS Consulting Speakers: Brian Abbott, AVSEC Brandon Fried, Airforwarders Association Eric S. Hare , Global K9Protection Group, LLC David Loeser, Accuity Gar y E. Lupinacci, Worldwide Flight Ser vices 10:15 am Coffee and Refreshments 10:30 am Innovations and Technolog y Advancements in Air Cargo (East Hall) Moderator : Lionel van der Walt, PayCargo LLC Speakers: Edward de Reyes, Sabrewing Aircraft Company, Inc . Michael Eichenberg, FreightSnap LLC Brian Glick, Chain.io Matthieu Merchadou Melki, Florida Blockchain Foundation Jessica Tyler, American Airlines Cargo 12:00 pm

ACW 21 OCTOBER 2019

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Exhibit Hall opens

UNITED STATES

Southwest keeps up with changing demand

Devereaux

Devereaux says: “We’ve also been able to strengthen interline agreements with Hawaiian and WestJet to allow our cargo customers to reach more places, and are exploring additional interline partnerships to expand our reach.” Customers want and expect greater levels of visibility and information, which is what Southwest Airlines is providing through its website and status updates. Devereaux says: “This information will improve significantly next year as we launch plane side scanning capabilities of cargo in all US locations. Many customers also utilise GPS tracking solutions which adds an extra level of visibility beyond the point it enters our network.” The website has been updated to make it easier to navigate, and customer feedback has been good. There are improved tracking features and it is mobile enabled. Devereaux says: “The next part of this process will be the launch of a customer portal which will allow for a variety of self-service options for our customers. Plane side scanning of cargo is also an exciting enhancement on our technology roadmap coming next year.”

New products are also coming, with Devereaux saying: “We are focused on enhancing our product menu as evident by the recent launch of our redesigned perishables product, Fresh Fast, and we’ll continue our efforts to stand up new cargo service in existing Southwest Airlines international locations.” Devereaux says the main driver of the US economy is consumer spending, and this creates opportunities for logistics companies. There is also stiff competition with multiple carriers and modes available to shippers so companies must differentiate themselves in the marketplace. He says: “Southwest does this through a unique point to point flight schedule that offers over 4,000 flights per day and an extremely high level of schedule redundancy. We typically offer multiple options to get shipments from point A to point B which helps to ensure shipments arrive on time.” This is how Southwest differentiates itself, with Devereaux saying: “The point to point flight schedule is unique to Southwest Airlines and offers unparalleled capacity and redundancy to air cargo shippers in the US market.”

outhwest Airlines has experienced strong growth helped by international expansion, and updating products on offer, says Wally Devereaux. The managing director of cargo and charters tells Air Cargo Week that the airline has grown on international routes and is seeing healthy maturity in those markets. Product offerings has been updated to include new options for perishable shippers. Devereaux says the airline is adjusting to what customers are shipping. He says: “Miniaturisation and digitalisation of many commodities has changed the air cargo landscape significantly over the years. If you look back to the early 2000s, we were carrying things like newspapers and unprocessed rolls of film. Today, we’re moving a lot of e-commerce related commodities ranging from retail electronics to clothing.” Customers are benefitting from growth on international routes covering Mexico and the Caribbean. The routes cover Cabo San Lucas/Los Cabos, Puerto Vallarta and Cancun in Mexico, San Jose in Costa Rica, Montego Bay in Jamaica and Punta Cana in the Dominican Republic.

Hawaiian connects islands with the world

REPRESENTING the only US state located in the Pacific Ocean and composed entirely of islands, Hawaiian Airlines operates in a unique environment. The airline tells Air Cargo Week that Hawaii’s island economy relies heavily on imports such as perishables including dairy, meat, grains and produce. Other items coming into Honolulu’s Daniel K. Inouye International Airport include industrial machinery, electrical machinery, apparel and seafood. Agricultural products including tree nuts and tropical fruits are the largest export. Hawaiian Airlines says: “We import over 61,700 tonnes of cargo annually to Hawai‘i from both the US Mainland and internationally, with a total value of over $335.7 million. We export nearly 30,300 tonnes of cargo each year to US Mainland and international locations, with a value of about $151.2 million.” The islands are connected with ATR-72 turboprop freighter services, which continues to grow and streamline operations. This is a major focus area with daily flights from Honolulu to Lihu’e Airport and Hilo International Airport. The airline says: “In early 2020, we will add a third ATR-72 to our cargo fleet, allowing us to further broaden our existing statewide network.” The fleet of 20 Boeing 717s also supplement regional freight, while Boeing 787-9s will be entering service from 2021, providing long-haul capacity. The airline says: “This spacious aircraft will allow us to continue providing unmatched value to both new and existing customers by meeting their shipping needs between Hawai‘i, and our US mainland and international networks.”

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ACW 21 OCTOBER 2019

AIRPORT LOGISTICS PARKS

Cargo at the centre of America

anagers at Dallas-Fort Worth (DFW) admit they do not track how much of the cargo through the Texas gateway originates at the airport logistics parks or is destined from any of the occupants of the parks. However, given the airport has some 1,574 acres (640 ha) of commercial land over six individual sites, there is a good chance that some inbound or outbound cargo will have some connection with the many companies located at the airport. According to JJ Cawelti, assistant vice president, community engagement, DFW International Airport: “DFW Airport has two warehousing/logistics parks: International Commerce Park (ICP) and Passport Business Park. Since our logistics parks have individualised development criteria for landscaping, lighting, signage and common area maintenance, we generally only establish a park where there is at least 250 net leasable acres within the park area.” ICP is located in the DFW Foreign Trade Zone (FTZ), with imports and exports to facilitate the development of international trade and air freight logistics as well as expand world air cargo growth. Formal guidelines for construction, architectural design elements, environmental sustainability, and aesthetic landscaping programmes are enforced to preserve the premier

character, integrity, and quality of the development. Annual economic impacts from ICP in 2016 estimated 3,880 jobs and contributed $329 million to the DFW region. “DFW Airport will complete the land clearing and grubbing, mass grading, and road and utility extensions required for developments in the park. DFW leases the sites for 40 years to industrial development companies, which construct the buildings at their expense. There are currently no plans to develop additional industrial / logistics parks, since we don’t have any undeveloped tracts of land large enough to yield 250+ net leasable acres,” noted Cawelti. ICP has 19 buildings containing approximately 550,000 sq m on 364 net leasable acres. Estimated employment is slightly over 4,000. Several Passport Business Park buildings are still under construction. Passport Business Park will have 14 buildings containing approximately 574,000 sq m on 365 net leasable acres. Employment at full build-out is estimated to be slightly over 4,100.

e-Commerce effect

For many in the industry, it will come as no surprise that

ANIMAL TRANSPORTATION

Amazon is the single largest warehouse tenant at the airport. However, the identity of the second-largest warehouse tenant is not obvious, and may come as a surprise. Mars Candy occupies a 140,000 sq m climate-controlled facility. DFW Airport owns and runs the airport logistics parks. Managers are pleased that commercial tenant turnover in the parks is minimal, perhaps because of what the airport touts as its advantages. Near the geographic heart of the United States, equally accessible to both the East and West Coasts, DFW International Airport’s “premier location” is “uniquely positioned” at the centre of a major, growing transportation hub. Within the US, 79 markets can be reached overnight by truck or rail. Immediate access to miles of major road networks quickly connects business to the region and beyond. North Texas has one of the nation’s finest transportation networks along with innovative plans to increase access and accommodate future growth. Surrounded by five state highways and two commuter railway lines traversing will enhance economic developments at the airport and surrounding communities.

Digitisation has no presence in animal transport

very day, some 200 horses are being transported by air; this equates to some 73,000 a year. Many of these horses are loved, some are worth up to $10 million. Yet in terms of digitisation, they might as well be invisible. That is the thought of Arnaud Lambert, CEO, CHAMP Cargosystems, who considers that digitisation in live animal shipments is on a par with the wider airfreight industry: “Pretty basic,” he says. “What exists in digital form is off-line as soon as the animal is on the aircraft.” He contrasts that with what happens to pharma traffic where digital information is available in real-time to the nth degree throughout the supply chain.

High value goods

The two main reasons for moving animals by air are for work, such as racing horses, or breeding purposes. While there is an “emotional bond with animal owners” throughout the supply chain, there is a more pressing concern arising from the high value of many of these creatures. Health and safety is important but insurance costs are as important.

ACW 21 OCTOBER 2019

One aspect of animal transport that the Internet of Things (IoT) could improve if digitisation was to further penetrate animal transport could come on the land when the animal is taken off the aircraft. Lambert explains: “At the moment, all animals are checked by a vet on landing. However, without digitisation, the first thing the vet will know about the animal is when it is landed. If there was the IoT on the aircraft, they would be prepared for the animal.” An animal as large as a horse can also pose a danger if startled or panicked during the flight. Handlers must prevent damage to the fight stable, the cargo hold, the skin of the aircraft and damage and injury to the groom and aircraft crew. Digitisation would also assist the stakeholders in the animal supply chain in giving them greater knowledge of the conditions faced by the animals in transit. These include the animal’s owners, insurance provider, airline, animal handler and consignee. Driven by industry standards, the Center of Excellence for Independent Validators (CEIV) for Live Animals Logistics has establishes baseline standards to improve the level of competency, infrastructure and quality management in the handling and transportation of live animals throughout the supply chain. The recent inaugural Air Cargo Week (ACW) webinar in asso-

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ciation with IATA was on the topic of live animal transportation. Lambert considers that digitisation is a “perfect fit” with the intent of CEIV Live Animals. It will be an essential element in overseeing and recording journies to give a full transparency to animal movements in the air. Lambert talks with passion on the topic of live animal transportation as he has skin in the game. He is the owner of a Rhodesian Ridgeback named Mugi (below). If his companion was ever to be sent by airfreight, Lambert wishes that digitised coverage of the journey will make it safer for Mugi.

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