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The weekly newspaper for air cargo professionals No. 1,060

2 December 2019

Flying cargo home for Christmas

Air cargo is committed to Hong Kong

espite the ongoing protests in Hong Kong, air cargo representatives do not see the Special Administrative Region losing its status as the world’s largest hub any time soon. The first protests started in April when a controversial extradition bill was introduced, which has since been withdrawn. Protests have continued since then, and Hong Kong International Airport experienced severe disruption in August when it was stormed by protestors, resulting in hundreds of flight cancellations. Air Cargo Week has spoken to air cargo representatives in Hong Kong

to ask how the protests have impacted operations and whether its status as the world’s top air cargo airport could be at risk. Hong Kong International Airport’s operator, Airport Authority Hong Kong has seen air cargo volumes falling, as has been the global story of 2019, but October had a smaller yearon-year fall than previous months. In October, throughput was down 5.5% to 428,000 tonnes, and between January and October, by 7% to 3.9 million tonnes. The Airport Authority tells Air Cargo Week: “The Airport Authority is monitoring the momentum in

November as well as the overall operating environment at HKIA in order to formulate appropriate response measures.” Cargo handling agent Hong Kong Air Cargo Terminals (Hactl) has continued to operate smoothly. Chief executive Wilson Kwong (pictured) admits the protests caused temporary disruption to passenger flights, but most cargo was quickly re-booked and backlogs were dealt with promptly. Kwong tells Air Cargo Week: “There

have been some frequency adjustments on certain passenger routes, but our freighter customers’ services have not been affected. SuperTerminal 1 remained fully operational throughout, and continues to do so.” Customers have remained committed to Hong Kong, sending Hactl sympathetic messages and wishing the staff well. Kwong says: “Our services have continued with virtually no disruption, and traffic levels have been holding up well – despite continuing trade tensions between China and the USA, and concerns over global economies – issues that have affected, and are affecting, other major hubs and tradelanes as well.” The images and videos seen around the world have negatively impacted tourism so passenger services have been reduced, but this has had little impact on Hactl, which primarily handles freighters. Kwong says: “The cargo will continue to move through Hong Kong because of its unmatched global connections, modern Customs, reputation for efficiency, and professional and bi-lingual workforce. We also have considerable freighter capacity to offer as a temporary alternative.” Kwong adds: “We all hope things will settle down soon, and we are confident that Hong Kong will remain the world’s top cargo hub, and the gateway for this region.”

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INSIDE SAS PARTNERS WITH WEBCARGO

SAS Cargo will provide freight forwarders with a 21st century customer experience by partnering with WebCargo by Freightos... PAGE 2

BUD CARGO CITY OPENS UP

BUDAPEST Airport has opened BUD Cargo City, a €50 million facility dedicated to airfreight with all warehouse and office space leased out to tenants ... PAGE 5 TURKISH PHARMA CORRIDOR

TURKISH Cargo has created a pharma corridor between over 400 stations by carrying pharmaceuticals in certified destinations such as ... PAGE 8

FORMULA E COMES TO KINGDOM

THE first round of the 2019/2020 ABB FIA Formula E Championship got underway in Diriyah, Saudi Arabia with DHL acting as the official logistics partner ... PAGE 10

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Swissport lays foundations SAS partners with WebCargo at Frankfurt Airport

raport and Swissport Cargo Services Deutschland have laid the foundation stone for the cargo handler’s new facility at Frankfurt Airport. The new building in CargoCity South will expand Swissport’s handling capacity by almost 50% and meet requirements for stateof-the-art airfreight handling. The warehouse includes a material handling system allowing containers and pallets to be automatically stored in and removed from the facility. The cargo centre will be fitted out in accordance with strict IATA criteria and will be CEIV Pharma certified after going into operation. The roof will have the first large-scale photo-

voltaic system at Frankfurt Airport, generating 1.5 million kilowatt hours of electricity a year. Felix Kreutel, senior vice president of real estate and properties at Fraport says: “Fraport operates Europe’s largest cargo hub at Frankfurt Airport. We intend to write another chapter in this success story together with our long-standing customer Swissport. To achieve this, we are continuously optimising our service and product range and offering intelligent infrastructure solutions for our customers.” The building will handle up to 200,000 tonnes of airfreight a year, with Willy Ruf, Swissport’s senior vice president Central and Eastern Europe commenting: “We are looking forward to offering our customers individual air cargo services at one of Europe’s most modern and sustainable airfreight facilities starting in the autumn of 2020. Frankfurt Airport thus remains one of the most important airfreight locations in our global Swissport network.” Handover is scheduled for the third quarter of 2020, and the facility was designed by M&P Architekten, with Goldbeck acting as general contractor.

Beaujolais Nouveau is big in Japan

ECS Group subsidiary Aero Cargo France joined forces with DHL Aviation and Nippon Express to fly 225 tonnes of Beaujolais Nouveau to Japan. The partners started working together on the project earlier in the year with a contract signed in July and the first development in September. To move the wine from Paris Charles de Gaulle airport to Tokyo Narita, two full charters arrived in Japan on 5 and 12 November, and

another shipment was also required. Kim Van Assche, vice president sales Europe at DHL Aviation says: “During the 2019 Beaujolais Nouveau season, DHL & Aero Cargo not only used DHL’s five weekly Narita flights to promote our network to Beaujolais customers in France, we also ensured a full end-to-end customer service delivery through a flight arrival event at Narita Airport to mark the arrival of the first 90 tons of this year’s Beaujolais season.” Jean Ceccaldi, managing director of Aero Cargo France says: “We are regularly involved in shipping Beaujolais Nouveau. Thanks to good relationships with Nippon Express and the trust that DHL Aviation has in us and in our ability to optimise the way in which Beaujolais is marketed, this operation was a great success.” He adds that nature is the main difficulty, but adds: “The availability of the wine with sufficient time for all the logistics required before the air shipment is the crucial point. But this year, nature was on our side and all worked well.”

AS Cargo will provide freight forwarders with a 21st century customer experience by partnering with WebCargo by Freightos. They will launch a fully digital eBooking platform offering dynamic rates and specific capacity, with WebCargo by Freightos becoming the first user of SAS Cargo’s digital APIs. Via WebCargo by Freightos, dynamic rates, capacity and eBooking will be instantly available to over 1,500 freight forwarders and more than 26,000 unique users. Leif Rasmussen, president and CEO of SAS Cargo says the airline wants to make airfreight easier, and customers expect a quick and fully digitised customer experience. He says: “We believe that the combination of our continuous focus on quality in all our operations and the additional digital connectivity to our already existing online booking platform, will provide extraordinary benefits to our customers.” WebCargo by Freightos enables direct API connectivity, meaning eBooking processes happen online. When a forwarder selects a rate, the booking is transmitted to the cargo carrier instantly, dig-

CSafe comes to Zurich and Stockholm

CSAFE Global has expanded its coverage in Europe with technical service centres in Zurich, Switzerland and Stockholm, Sweden. The Zurich Airport and Stockholm Arlanda Airport service centres will strengthen the existing European service centre network, serving RKN and RAP active temperature-controlled containers. Tom Weir, vice president of global operations at CSafe says: “As part of our continuing commitment to deliver value, effective, and

ACW 2 DECEMBER 2019

quality temperature-sensitive shipping solutions to our customers across Europe, we opened the Zurich and Arlanda service centres to support the increasing demand for CSafe containers.” He adds: “We have more than enough capacity with our active fleet to continue with our accelerated growth strategy to expand geographically and serve our global customers with the most innovative temperature-controlled containers available.”

Virgin breaks records with A350-1000 VIRGIN Atlantic Cargo has been carrying record volumes using new Airbus A350-1000s on key trans-Atlantic routes. The airline has taken delivery of three A3501000s as part of a $4.4 billion order for 12 aircraft. A fourth A350-1000 will join the fleet in this month. On London Heathrow – New York JFK routes,

FLYING BACK TO THE PAST

itally and without manual processes. Martin Dellepiane Larsen, head of network and revenue management at SAS Cargo says the partnership is an exciting addition to the airline’s booking site. He says: “This expands our visibility worldwide and perfectly builds upon our established digital products and services, like instant booking confirmation, dynamic pricing and a fully automated and digitised document manager, making them available for a broader audience.” Zvi Schreiber, founder of Freightos Group says: “Together we’re improving air cargo for all stakeholders through automatic communication between airlines, GSAs, forwarders and shippers making air cargo more competitive and predictable, helping to expand the world air cargo market.”

AMERICAN Airlines celebrated the 75th anniversary of its first cargo flight in October. In the last of our looks back at the last 75 years of AA Cargo, we show the leap from single-seat propeller aircarft to an operation supported by road vehicles in some of America’s largest cities. In a ‘last mile’ shot from the 1980s, this driver is completing a transit that may have started hundreds or thousands of miles away.

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the A350 has increased average cargo capacity to 27 tonnes but broke this figure with 36.7 tonnes then 41.1 tonnes a few days later. Dominic Kennedy, managing director of Virgin Atlantic Cargo says: “It is already more than living up to this expectation and is going to be a fantastic asset for us and our customers on our busiest trans-Atlantic route.”

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Court rules in Atlas Air’s favour

tlas Air Worldwide Holdings has succeeded in its legal dispute with the pilot union, ordering them to negotiate a new deal. The decision by the US Court of Appeals for the Second Circuit upholds a 13 March 2018 decision by the Southern District Court of New York compelling the union, the International Brotherhood of Teamsters to arbitrate whether the merger provisions in Atlas Air and Southern Air’s collective bargaining agreement apply to the bargaining process. The decision on Thursday 21 November, and two binding decisions by arbitrators in favour of the airlines in the summer, say the union must engage in the collective bargaining agreements expedited and defined process to achieve a deal. A separate labour-related ruling in July 2019 by the US Court of Appeals for the District of Columbia unanimously affirmed a federal district court ruling in November 2017 ordering the union to stop the work slowdown in violation of the Railway Labor Act. The three-judge panel ruled the union must stop “improper activities” such as excessive sick calls on short notice or refusing to volunteer for open time.

Bears on a plane

AMERICAN Airlines Cargo has flown 10 brown bears from Argentina to the USA, on their way to their new home in Colorado. The bears travelled from Ezeiza International Airport in Buenos Aires to Dallas Fort Worth International Airport. They originated from the Mendoza Zoological Park, about 1,200 kilometres from Buenos Aires, and will end their journey in Colorado at a wild animal sanctuary. David Vance, vice president operations for American Airlines Cargo says: “All team members involved worked together to ensure a successful, safe, and seamless experience for the bears and our customers. It’s always an honour to play such an important role in animal transport, and we are thankful to have been selected for this incredible opportunity.”

LEADING UK independent freight forwarder, Davies Turner, is undertaking a complete renewal of its domestic distribution vehicle fleet, operating from its main regional distribution hubs in the UK.

William Flynn, chairman and chief executive officer of Atlas Air Worldwide says it is time for the union to honour obligations under the collective bargaining agreements and binding decisions. He says: “The union has an obligation to produce an integrated seniority list and engage in direct bargaining for a defined and limited period of time. In ongoing negotiations, the union has yet to provide us with a comprehensive economic proposal covering pay and benefits for evaluation. We remain committed to working collaboratively with union leaders to efficiently negotiate and complete the contract.”

Bei Bei takes Panda Express

BEI Bei the panda has arrived in Chengdu, China on the specially chartered “FedEx Panda Express” Boeing 777 Freighter. The four-year-old male was born at the Smithsonian’s National Zoo, and is the son of Mei Xiang and Tian Tian, who reside at the National Zoo in Washington DC. Accompanied by a panda keeper and a vet, Bei Bei was placed in a special crate and travelled in a custom-decaled 777F from Washington Dulles airport to Chengdu with a supply of treats including bamboo, apples and pears, leafeater biscuits, cooked sweet potatoes and water. Karen Reddington, president of FedEx Express Asia Pacific says: “We are proud to have once again served as the trusted carrier, which is a testament to our operational strength and ability to handle highly sophisticated shipments that need special attention and requirements. We are looking forward to seeing Bei Bei adapt well to his new environment.” Prior to the flight, Bei Bei spent a month getting used to the crate, and upon arrival in Chengdu, new keepers from the China Conservation and Research Center for the Giant Panda drove him to Bifengxia Panda Base where he will stay in quarantine for 30 days.

Airway Bill’s Page 3

ACB gives thanks and helps food banks FOR the seventeenth year, an Atlanta Airport Thanksgiving tradition was enacted last week as Atlanta Customs Brokers & Freight Forwarders (ACB) threw open its doors for a free, old-fashioned turkey dinner for airport staff. Held a few days before the traditional Thursday staging of the Pilgrim Fathers’ 1620 ceremony, ACB hosted a homemade turkey dinner for around 476 people within three hours, with all the trimmings. For many years in Atlanta, Georgia, ACB founder and military veteran Harold Hagans held this annual holiday party for his friends and colleagues at the airport. In 2019, Hagan’s daughter Deborah Torma, current ACB president, took over the tradition. The turkey is cooked in a unique and imaginative deep-frying operation.

ACWBITES

Left over food was donated to local food banks to feed the homeless the next

day. Tins of food had been requested to donate as well to the food banks.

IN October, NATS handled 228,355 flights in UK airspace, 0.5% less air traffic when compared to October 2018. However, traffic for the year has increased by 1.2% overall. Both of NATS’ air traffic control (ATC) centres, Swanwick and Prestwick handled 0.5% less traffic than in October last year, although growth continued in some areas of the operation compared to the same month last year, for example transatlantic overflights were up by 10%. BUSINESS France North America is to collaborate with FedEx tin mutual support of French small and medium sized enterprises (SMEs) doing business in North America. “We welcome this opportunity to collaborate with FedEx in helping French companies succeed with their export strategy” said Arnaud Leretour, managing director, Business France North America. SCANDINAVIAN Logistics Partners AB (Scanlog) has joined the Universal Freight Organisation (UFO). With offices in Malmo, Stockholm, Gothenburg, and Oxelosund, the company are IATA members as well as holding AEO, security approval and ISO 9001 and 14001 certification. ELEMENT International Forwarding & Logistics has opened new offices in Gaziantep and at the new airport in Istanbul. Melih Can Sayar at Element International says: “Our new office in Gaziantep will strengthen our company in the South-East of Turkey as there are few local and global players with offices in the city. Our new office at the new airport in Istanbul allows us to offer much faster and better services in pharma, perishable, time-critical and ship spare parts.” CRAIG Richmond has advised the board of directors at Vancouver Airport Authority that he plans to retire on 30 June 2020 after seven years in charge. He joined the airport in 1995 and held various operational roles including manager, airside operations and vice president operations. He worked as CEO of seven global airports for Vantage Airport Group before returning to Vancouver as president and CEO in July 2013. The board of director has formed a task force to look for a new president and CEO. DR Stephane Graber has been appointed director general of the International Federation of Freight Forwarder Associations (FIATA), taking up the role on 1 January 2020. The news follows the members decision at FIATA’s general meeting on 5 October to move its headquarters to Geneva, Switzerland. The director general will head up the initiative to more closely align FIATA with international governmental and non-governmental organisations linked to international trade and trade logistics. THE 36-member governing body of the International Civil Aviation Organization (ICAO) has Salvatore Sciacchitano as its president for a three-year term beginning 1 January 2020. He succeeds Dr Olumuyiwa Benard Aliu, who has held the position for two consecutive terms since 2014. His candidacy was endorsed by the 44 General Directors of the European Civil Aviation Conference. LEIPZIG/HALLE Airport continues to break records with 6.5% growth in October. The airport handled 112,587 tonnes of cargo in October, marking an absolute record for the month. From January to October, cargo volumes rose by 1.3% to 1.02 million tonnes, the 13th year of growth, and above the national trend of -3.6%.

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ACW 2 DECEMBER 2019

Andrew Herdman to step down from AAPA after 16 years

ndrew Herdman will step down from the role of director general at the Association of Asia Pacific Airlines (AAPA) after 16 years of service. He will be succeeded by Subhas Menon on 1 March 2020, who has over 35 years of aviation experience with the Singapore Airlines Group, serving in roles including marketing, logistics and most recently regional vice president Europe. Reporting through the executive committee to the AAPA Assembly of Presidents, Menon will represent the interests of AAPA and its member airlines on a wide range of aviation policy issues. Welcoming Menon to the role, Herdman says it has been an honour and privilege to serve as AAPA director general, calling the association widely respected not only in the region but

globally. He says: “The Asia Pacific region is already the largest aviation market globally, with further great opportunities ahead of us. Subhas Menon, with his breadth of international and commercial experience, is very well qualified to lead AAPA in its next phase of development.” Thanking Herdman for his work, AAPA chairman 2019 and chief executive officer of Cathay Pacific Airways, Augustus Tang says: “Under his guidance, AAPA has strengthened its profile both internationally and within the Asia Pacific region.” Menon says he is honoured to take on the role, saying: “I am committed to promoting the sustainable development of Asia Pacific aviation, and increasing AAPA’s reach and influence across the region, addressing future challenges and opportunities for aviation in promoting

economic and social development.” AAPA has also put out its October results, revealing demand for air cargo across Asia Pacific remained weak in October due to the slowdown in exports. Air cargo demand measured in freight tonne kilometres declined 5.9% in October 6.2 billion, while capacity in available freight tonne kilometres was up 0.1% to 10.1 billion. The freight load factor was down 3.9 percentage points to 61.9%. Between January and October, demand was down 5.6% to 58.6 billion, with capacity up 1.5% to 99.5 billion, with load factors down 4.4 percentage points to 59%. Herdman says: “Air cargo volumes fell by 5.6%, with trade tensions and geopolitical risks dampening business sentiment and export orders.”

Logistics matter for Bosch

BOSCH has awarded time:matters the status of being its Preferred Supplier in the area of “Logistics Services for Global Courier Services”. Preferred Supplier status is awarded annually for 12 months as part of its supplier manage-

ment programme. The programme aims to establish long-term business relationships and promote shared global growth. The two companies have worked together since 2014, providing competitive services for the company’s global production sites and divisions. Alexander Kohnen, CEO of time:matters says: “Being awarded Preferred Supplier status is fantastic confirmation of our successful co-operation over many years. This recognition underscores the success of our long-term service excellence and quality strategy.”

737 MAX 10 makes debut THOUSANDS of Boeing employees gathered in Renton, Washington for the debut of the 737 MAX 10 on Friday 22 November. During a ceremony, Boeing leaders highlighted the team’s accomplishments and recognised their efforts in completing production of the newest member of the MAX family. The MAX 10 will undergo system checks and engine runs prior to the first flight next year. Jennifer Henderson, chief 737 pilot says: “I’m honoured to take this airplane on its first flight and show the world what you’ve put your heart

ACW 2 DECEMBER 2019

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and soul into.” The 737 MAX 10 has more than 550 orders and commitments from more than 20 customers.

BUD Cargo City is open for business

ACW WEEK IN NUMBERS

5.9%

udapest Airport has opened BUD Cargo City, a €50 million facility dedicated to airfreight with all warehouse and office space leased out to tenants. The terminal includes a 11,200 sq m forwarder building and 21,600 sq m of warehouse space, with a 32,000 sq m cargo apron, allowing two Boeing 747s to be serviced simultaneously. Celebi Aviation Holding and Menzies Aviation are two of the handling companies moving into the facility, which is part of BUD’s Development Programme. Rene Droese, chief property and cargo officer for Budapest Airport says the Cargo City is a significant milestone to establish the airport as the air cargo hub for Central and Eastern Europe. He says: “BUD Cargo City provides a state of the art, efficient, linear and rapid logistics environment for our air cargo community and opens up a world of potential for our partners with high quality increased capacity to build new connections to all continents, especially Asia and North America.” Phase 1 is complete, boosting capacity to 250,000 tonnes a year, and phase 2, the forwarder building will be handed over in January 2020 to clients including Kuehne + Nagel and cargo-partner, among others. Celebi Ground Handling Hungary handles 90,000 tonnes per year in Budapest, and has invested in a two-phase infrastructure development plan in anticipation of air cargo growth. Atilla Korgmazoglu, president ground handling and cargo EMEA for Celebi Aviation Holding says: “We have implemented a two-phase construction plan in order to meet growing air cargo volumes at Budapest, and phase one is already underway with a 22,000 sq m area that includes 12,000 sq m warehouse space, 1,600 sq m office and social areas, and 8,000 sq m manoeuvring and equipment parking areas, we will install a

brand new ETV to increase the capacity for phase 2.” In line with the Airport Plan, Celebi has upgraded capacity with a new 35-tonne high loader for access to dedicated areas for special cargo handling. Korgmazoglu says: “We are confident that the new Cargo City will enable us to meet the expectations of our employees and customers on a higher level via the better work environment and increased service level.” The opening ceremony was attended by government officials, including Levente Magyar, deputy minister of the ministry of foreign affairs and trade, who commented: “The traffic data and the market have long required the increasing of capacities and we expect Budapest Airport to continue investing at the airport. The government and its official bodies will provide every assistance for this.”

Wings for Aid has won the first TIACA Sustainability Award for its self-landing cardboard box to bridge the last mile in humanitarian crises. The award, sponsored by CHAMP Cargosystems was announced during the Gala Evening of the TIACA Executive Summit 2019 in Budapest, Hungary. The three finalists, M&G Packaging, Nallian and Wings for Aid Foundation presented their projects earlier in the day, with the winner being

selected by a jury and conference attendees, each with a 50% weight. Wings for Aid was awarded $15,000 of funding and the two runners up each received $3,500. Steven Polmans, chairman of TIACA says: “We had 3 winners on stage. This first award was a real success and supports the vision of sustainability and the three pillars (planet, people, prosperity). The finalist’s presentations were the concrete demonstration of it. Including the vote of the attendees in the final mark show exactly the way we, as TIACA, want to work on sustainability and on other topics: in collaboration and together with the industry.” From Wings for Aid, general manager Barry Koperberg and lead engineer Alexis Roseiller say: “We were very honoured to participate in this nomination and we feel really excited to be part of the air cargo family. This award will help us to take another step and thanks to the network of TIACA we found very strong support.” Arnaud Lambert, CEO of CHAMP Cargosystems and co-creator of the award congratulated the finalists. He says: “I think Wings for Aid won because we all have been touched by the apparent simplicity of the concept, the hard work to make it possible and the humanitarian goal. I’d do the parallel with the idea we had together with Steven when we created this Sustainability Award: what can we do together that we cannot do individually?”

fall in demand for air cargo across Asia Pacific in October due to the slowdown in exports, says the Association of Asia Pacific Airlines (AAPA).

Wings for Aid wins TIACA Sustainability Award

ACI: The outlook is not good

Pearson to lead B&H Americas

THE outlook for airfreight remains negative, with volumes declining by 4.2% in September, according to Airports Council International (ACI). Year-to-date airfreight was down 3.1% and with three months left, ACI says it is unlikely global trade will grow. International volumes were down 4.2% in September and domestic airfreight dropped by 4%. International airfreight was also the biggest loser on a year-to-date basis, down 4.7% while the domestic market was still up 0.4%. Angela Gittens, director general of ACI World says: “The freight market continued to struggle with the international and domestic volumes posting comparable declines. The domestic freight market, which has held up well in the face of global uncertainty in 2019, could end the year with an overall decline with the North American market, which has been the main driver of the domestic segment, having finally buckled under a slowing global economy.” Europe fell the least in September, down only 2.4%. North America was down 4.8% and with Chinese trade discussions still underway and diplomatic relations with several international partners under strain, the chances of a full recovery remain small. Asia Pacific fell 3.9% with the region suffering the brunt of trade wars, and the ongoing political crisis in Hong Kong. Elsewhere, Latin America-Caribbean was down 5.5%, Africa by 6.4% and the Middle East by 6.7%.

B&H Worldwide has appointed Michael Pearson to the newly created role of general manager – Americas to drive growth plans in the region. Pearson has gained knowledge and skills in time-critical logistics and leadership by holding executive positions in both operations and sales. In his role at the Los Angeles office, he will provide additional support across the B&H Worldwide US operation and will work closely with the Miami office, whose team will report directly to him. Pearson will report to group managing director Gary Wilson, who says: “We are delighted to welcome such an experienced individual as Michael on board. His extensive experience of this highly specialised industry will be invaluable as we look to expand our presence and grow our business across the Americas.”

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years of service undertaken by Andrew Herdman as director general at the Association of Asia Pacific Airlines (AAPA) before he steps down next April.

Formula-E cars departed from Milan, Italy and Doncaster, United Kingdom, to King Khalid International Airport, Riyadh by Saudia Cargo.

100%

growth in numbers of CSafe containers in numbers over the past 24 months.

200+

number of participants in the TIACA executive summit last month meeting in Budapest to take the association forward towards the air cargo industry of the future.

$357.50

Boeing share price during Q3 2019, down from 1 March 2019’s record high share price of $440.60.

$15,000

prize awarded to Wings for Aid project at the TIACA executive summit in Budapest last month to help develop a carboard drop box able to deliver pharma and other aid items to remote locations when dropped from light aircraft.

112,587

tonnes of cargo in October, up 6.5%, and marking an absolute record for the month for Leipzig/Halle Airport as it breaks cargo records.

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Air Cargo Week again brings you a year of focused features that allow you to reach readers and customers in all parts of the global airfreight industry JANUARY 2020 January 13 Pharma GSAs

January 20 Food logistics Preview Report (Bonus Distribution at event) Africa January 27 New Technology - ULDs European Cargo FEBRUARY 2020 February 3 Pharma Live Animals

February 10 Air Cargo India Preview Report (Bonus distribution at event) Asia February 17 Air Charter Brokers Food Logistics Review Report

February 24 New Technology (Drones & Pilotless Aircraft) GSAs MARCH 2020

March 2 Cool Chain IATA WCS Preview Report (Bonus distribution at event) March 9 Middle East Informational Technology March 16 IATA WCS Review Report Dangerous Goods March 23 Cargo Handling North America

March 30 New Technology (Warehouse automation) 6

ACW 2 DECEMBER 2019

Security

APRIL 2020 April 6 Logipharma Preview Report (Bonus distribution at event) ULDs

April 13 World Airports European Cargo (Incl Nordic Air Cargo Symposium Preview Report) April 20 Perishables (Seafood) USA Cargo

April 27 New Technology (RFID) Air Charter

OCTOBER 2020

July 6 Cool Chain Farnborough Air Show cargo village Preview Report (Bonus distribution at event)

October 5 Cool Chain Asia Pacific

July 13 GSAs Asia

July 20 Freighter Conversions Australasia

July 27 New Technology (Anti-theft & Seals Cargo Handling AUGUST 2020

MAY 2020

May 4 Temperature Sensitive (Flowers) LogiPharma Review Report May 11 Middle East Specialist Food Transportation May 18 Animal Transportation Cargo Security (Canine)

August 3 Pharma Farnborough Air Show cargo village Review report August 10 Latin America Freight Forwarders ($10m+) August 17 Middle East Automotive

August 24 Dangerous Goods Animal Transportation (Pets)

May 27 New Technology (Green Technology) UK & Ireland JUNE 2020

June 1 CEIV (Pharma) Air Cargo China Preview Report

June 8 E-Commerce Africa (Includes African Air Cargo Summit Preview report, Addis Ababa Bonus distribution at event) June 15 Freight forwarders (SME) North America June 22 Oversize Cargo Associations

JULY 2020

June 29 New Technology (Staff Inspection Drugs, Alcohol etc) Air Cargo China 2020 Review Report

August 31 New Technology (Ground Handling) European cargo SEPTEMBER 2020 September 7 Pharma World Airports September 14 UK & Ireland ULDs

September 21 Asia Road Feeder Services

September 28 New Technology (Track and Trace) E-Commerce

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October 12 Luxury Valuables Air Charter October 19 The Americas Perishables

October 26 New Technology (Drones & Pilotless Aircraft) Air Cargo Forum 2020 Preview report NOVEMBER 2020

November 2 Pharma Logitrans 2020 Preview Report November 9 Middle East Security

November 16 Heavy Lift Russia & CIS

November 23 Air Cargo Forum 2020 Review Report European Cargo November 30 New Technology (Pallets) Insurance Services DECEMBER 2020 December 7 Pharma Africa

December 14 Cargo Market Focus 2021 South America December 21 New Technology (Future Technologies) E-Commerce

For full details on advert rates and availablility, contact : sales@azurainternational.com For editorial contributions, contact the editor: james.graham@azurainternational.com

A NEW STEP TOWARDS THE AIR CARGO INDUSTRY OF THE FUTURE

he TIACA (The International Air Cargo Association) Executive Summit 2019 held in Budapest last month marked a turning point for the association. Some 200 participants from across the industry made this event “more dynamic than ever, based on the common desire to build together” says the association. Focused on partnership, modernisation and sustainability, there was a clear positive and constructive energy during the sessions and between all stakeholders. TIACA also shared its ambition to strengthen the role of members as ambassadors of their association, and made a commitment to pursue collaboration efforts with the whole industry.

TIACA ambassadors

TIACA’s members are key to strengthening the association and to uniting the air cargo industry. But they are also key to attracting new members with the aim of going further. “Who can be better ambassadors for TIACA than the members themselves? This is our role if we want to reach our common goal, developing our industry,” said Steven Polmans. “We are not going to revolutionise everything at once. We need to work step by step. We want to involve our members more and to do that we need to ensure that they and the industry as a whole are better informed,” he added. “As one of its key objectives, TIACA constantly strives to build and nurture partnership, and we are committed to developing these partnerships at the global and regional level,” said Vladimir Zubkov, secretary general of TIACA. “We are not just saying that – we act. In fact, during the executive summit, we’ve signed two main agreements with Pharma.aero and Routes,” he added.

Polmans also said: “As a very fragmented industry with a lot of different professional organisations and associations, co-operation is – and remains – of the utmost importance.” Being the meeting point of the air cargo industry is also about sharing knowledge and best practices, through training programmes, for instance, and offering a platform for networking. There were many opportunities to emphasis these roles during the three days: “One of the real sources of added value that TIACA brings is its ability to facilitate exchanges, discussions and partnership,” said Zubkov. “This conference was incredibly rich in terms of content but also in the way in which it created chemistry between the stakeholders,” said Polmans.

AN elegant evening on the Danube River cruise had two highlights: the celebration of the life and career of Issa Baluch and selection of the winner of TIACA’s first Sustainability Award. Baluch’s daughter, Sarah Baluch accepted the Hall of Fame award on his behalf and delivered an eloquent speech that shared key insights on how much her father has undertaken and continues to do for the betterment of the industry as well as the world. The jury and attendees of the executive summit selected Wings for Aid as the winner of the $15,000 award with M&G Packaging and Nallian receiving $3,500 each.

Sustainability

Sustainability was a key focus at the event, with the official launch of the Sustainability Programme, the first Working Group and the first Sustainability Award. “Sustainability is not just being green; it is much more than that. “Of course, it’s about Planet but it also includes the People and Prosperity dimensions. And after those three days, I am sure all the attendees got back home convinced and inspired,” said Polmans. The conference also focused on a number of other hot topics for the air cargo industry: modern practices that will make air cargo more efficient, the digital future of air cargo, the impacts of e-commerce, the importance of quality in ground operations, and the volatility of global trade, to name the main areas. Inspiring for the audience as well as for TIACA to design its new strategy and priorities for the year to come.

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ACW 2 DECEMBER 2019

PHARMACEUTICALS Turkish creates pharma corridor

ACW 2 DECEMBER 2019

urkish Cargo has created a pharma corridor between over 400 stations by carrying pharmaceuticals in certified destinations such as Mumbai, Brussels, Istanbul, Singapore, Dubai, Basel, London and Amsterdam. Turhan Ozen, chief cargo officer of Turkish Airlines, said: “As Turkish Cargo, we carry out the pharmaceutical transports from Ataturk and Istanbul Airports that have been certified by the global air cargo authorities and thus hold the IATA CEIV certificate within the cold chain integrity. “While maintaining our successful dual hub operations, we carry out the land transports between two airports by using active temperature-controlled vehicles that hold all the necessary international certificates to preserve the cold chain integrity. Besides, the natural hub Istanbul, which is at the centre of gravity of the air cargo trade, provides the appropriate climate conditions for the time and temperature-sensitive cargo transportation throughout the year.” Operating in 15 stations that hold the International Air Transport Association (IATA) Center of Excellence for Independent Validators (CEIV) certificate, Turkish Cargo also has completed the IATA CEIV Pharma certificate renewal process for Ataturk Airport and is qualified for the same certificate for Istanbul Airport now as well. Turkish Cargo continues to offer active and passive solutions for medicine consignments through its storage areas within the temperature range of -20/25oC that meets high-quality

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standards along with temperature-controlled wide-body and cargo aircraft. ULD users will be able to count on these capabilities when they need them the most.

PHARMACEUTICALS WCA Pharma Academy RIOgaleão wins IATA’s CEIV Pharma recertification starts GDP training A

IOgaleão Cargo has won IATA (International Air Transport Association) CEIV Pharma recertification, which recognises logistics terminals that offer quality and reliability in services to the pharmaceutical industry. With its first certification in 2016, RIOgaleão became the only airport in the Americas to possess the CEIV Pharma. The recertification recognises the maintaining of good practices adopted in the pharmaceutical terminal, infrastructure and storage processes, including those requiring controlled temperature, as well as the continual training of professionals involved. The certification process must be repeated every three years. To achieve recertification, RIOgaleão Cargo teams passed through a series of IATA trainings that cover the latest trends to ensure high quality operations related to process and competence and specialisation of the staff. The training addressed topics such as risk management, internal audit, nonconformity analysis, change management, operational controls and SLAs. All content has been revised based on Quality Management System requirements, and with full focus on meeting air cargo industry best practices for the storage, acceptance and handling of pharmaceuticals. “The pursuit of excellence must be a permanent endeavor. The achievement of CEIV Pharma Recertification shows that we are keeping our

focus on going the extra mile, always providing the best services to our customers, adopting the best practices in moving products in the pharmaceutical sector,” said Patrick Fehring, director of RIOgaleão Cargo. IATA Validator Carmen Martínez, responsible for conducting the workshops “Temperature Controlled Cargo Operations” and “Audit, Quality and Risk Management for Temperature Control Cargo”, noted the commitment of the RIOgaleão Cargo team in the recertification process. The two workshops together totalled more than 64 hours of training, including theoretical content, group dynamics and technical visits to the temperature-controlled facilities of the terminals. “It was a pleasure to share eight days of hard and enthusiastic work with the RIOgaleão airport staff. The team is committed to excellence and fully aware of the needs of pharmaceutical products and related services. Top management is also involved with the need for continuous improvement, and this course has demonstrated the interest in expanding and improving knowledge and experience sharing at all staff levels, which is extremely important to consistently meet pharmaceutical requirements,” said Martinez. The pharmaceutical segment ranks second among the top five RIOgaleão Cargo imports, representing 17% of cargo terminal handling. Located close to the main pharmaceutical centres in Latin America, RIOgaleão receives 20% of the sector’s total cargo in Brazil, by weight.

GOOD Distribution Practice (GDP) Compliance is a quality assurance that pharmaceutical products are stored, transported, and handled correctly. WCA Pharma Academy has launched a GDP Compliance training programme for freight forwarders in the pharmaceutical logistics industry. The first course took place in Amsterdam, the Netherlands, with 18 participants achieving full GDP Compliance accreditation from the WCA Pharma Academy, the training branch of WCA Pharma, a specialty network of WCA. WCA Pharma members are required to be GDP compliant to maintain their group membership, which is a quality assurance that pharmaceutical products are stored, transported, and handled under suitable conditions. “GDP courses are part of WCA’s Academy program, which was launched to help promote continued learning for those who want to sharpen their professional skills and logistics operations,” said Leah McKenna, manager, WCA Academy. The course involves all participants being test-

ed on GDP Compliance prior to the training and sitting an exam at the end of the program, with GDP knowledge improving by up to 30% following the course. Out of the 18 participants on the course, nine received a score of 95% or higher. “WCA would like to thank Henry Moran at ASC Associates for leading and executing such a successful course,” said McKenna. The next GDP Compliance training will be held on 16 June 2020 at the World Specialty Logistics Fair in Dallas, Texas, USA.

TwinMed selects Rickenbacker

ONE of the largest distributors of full-line medical supplies in the US, TwinMed, has leased 10,000 sq m near Rickenbacker International Airport. The building is part of a 9-ha warehouse and distribution park north of Rickenbacker that offers 10m-clear heights, LED lighting and a five-year, 100% tax abatement.

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ACW 2 DECEMBER 2019

MIDDLE EAST

Formula E comes to Saudi Arabia

he first round of the 2019/2020 ABB FIA Formula E Championship got underway in Diriyah, Saudi Arabia with DHL acting as the official logistics partner for the all-electric race series. The sixth season, which welcomed teams from Mer-

cedes and Porsche, started on 22 and 23 November and will go to 12 cities, finishing in Jakarta, Indonesia on 26 July 2020. Jakarta and Seoul are joining the calendar and London is back as a venue following a three-year hiatus. Arjan Sissing, head of corporate brand marketing at Deutsche Post DHL Group says: “We are delighted that this means we’re responsible for Formula E logistics for the sixth year in a row. We have more than 35 years’ experience in motorsport logistics as well as the necessary know-how to ensure that logistics operations run smoothly despite the demands of the racing calendar.” The logistics required the shipment of 24 racing cars, batteries,

charging stations, broadcasting equipment and other infrastructure and equipment. With 14 races being held in 12 cities on five continents, 2019/2020 will be the busiest Formula E calendar. For the second year in a row, Saudia Cargo transported Formula E cars to Diriyah, carrying 67 cars in four shipments. The Formula E cars departed from Milan, Italy and Doncaster, UK for King Khalid International Airport in Riyadh. Abdulrahman Al-Mubarak, chief commercial officer of Saudia Cargo says: “All Formula-E cars have successfully been transported, Saudia Cargo team exercised extreme care in the ground-handling operations, and co-ordinated the entire process with the organisers of the Championship.” He adds: “Saudia Cargo is a major supporter of all global events taking place across the Kingdom and always mobilises its logistics capabilities to ensure the success of these events. We have transported all types of equipment and spare parts for major events around the country related to sports, entertainment, cultural and social.”

Abu Dhabi to be centre of excellence

ABU Dhabi Airports and Etihad Cargo will enhance Abu Dhabi International Airport, making it a state-of-the-art global air cargo centre of excellence. The airport and airline will implement a multi-phased cargo infrastructure development strategy, starting with the imminent upgrade of Etihad’s existing air cargo terminal facilities on the Southside airport perimeters. The programme will culminate with the inauguration of Etihad Cargo’s future home, an air cargo terminal in the East Midfield section of the airport, an area designed by Abu Dhabi Airports for future integrated cargo, logistics and integrator activities. In the first phase, the Southside will be upgraded and completed in phases between the end of 2019 and the third quarter of 2020. The scope includes enhancing road feeder service loading docks with levellers, insulation and floor works for faster and more efficient loading. The phase will enhance Etihad’s pharmaceutical logistics through a dedicated Southside Pharma Terminal, adding 3,500 sq m of space for temperature-controlled handling and storage. Mid to long-term, Abu Dhabi Airport and Etihad Cargo have agreed to designate a plot of land at the East Midfield site. The team will invite expressions of interest to bid for the design and construction of Etihad Cargo’s next generation facility to create one of the world’s most advanced and automated air cargo terminals. Bryan Thompson, chief executive officer of Abu Dhabi Airport says: “Today we are putting in place the right foundations and frameworks for our future cargo activity, which in a few years will re-shape this industry for the Emirate of Abu Dhabi. Abu Dhabi is the future’s cargo hub for the region and the world.” Tony Douglas, group chief executive officer of Etihad Aviation Group says: “The immediate investment in the Southside terminal will deliver a step change in the efficiency and capability of our existing facilities while the announcement of the development of a new facility reinforces Etihad’s commitment to develop Abu Dhabi as a world class hub for the logistics of the future.” Abu Dhabi Airports is also setting the groundworks for the first phase of a bonded, non-bonded and free zone area adjoining the airport designated as Al Falah Free Zone to develop e-commerce fulfilment and logistics warehousing.

ACW 2 DECEMBER 2019

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ACW 2 December 2019

11 21/11/2019 15:16

THE MAN WHO KNOWS WHAT HE WANTS UNDER THE TREE

Ho! Ho! Ho!

How millions of presents will be safely delivered by an old man and his reindeers

odern digital platform Eurosender that allows companies to create their own digital logistics department has put its mind to the largest seasonal logistics challenge that would make any traffic manager quake with fear. Every December for centuries, Santa Claus has had a mission to see smiles on children’s faces in every front room around the globe. However, delivering presents to everyone in one night puts the ruddy face old man under a lot of stress as time and time again he must defeat the odds of successfully and safely delivering all the presents to the right children. Eurosender wanted to help Santa relieve some of the stress, not to mention the burden, of carrying his big heavy sack filled with toys. By finding a solution to deliver gifts faster and more efficiently from his logistics centre in Lapland, they tried to give Santa more time and take this burden of carrying his heavy bag off his shoulders.

Preparation

It is mid-December and Eurosender has everything prepared: the routes are calculated, elves have put their green suits on, the courier service providers have made the final checks of their logistics fleet and everything is all set for the most important mission of the year If Santa Claus was to commission courier companies to deliver Christmas gifts to children instead of transporting them using the magic sleigh pulled by eight reindeers, he would have to hire an army of couriers equal to the popu-

ages stored in Santa’s lation of Catania in logistics centre in Italy. Lapland would reach Many Scrooge-like 500,000 tonnes. For mathematicians have further simplicity, tried to dispel the let’s suppose that in magic of Christmas, each of the 24 time deeming it imposzones on Earth, the sible for Santa to number of children deliver presents to waiting for a gift is all the children on 20.8 million. time. Considering a sinTo achieve that, gle time zone, Santa’s he would have to He knows if you've been bad or good. So be express fleet would travel several thougood for goodness sake! have to simultaneously sand times faster than the speed of sound. In comparison, the aver- deliver a load of 20,833 tonnes on 186 Boeing age speed of a reindeer is 60-80 km/hour; not 777-200 Freighters with capacity of 102 tonnes accounting for pulling a heavy sleigh full of toys or 148 Boeing 747-8 Freighters with capacity of 140 tonnes would have to be loaded and then and Santa himself. There are approximately 1.9 billion children depart at the same time. In total, the number of planes needed to in the world under the age of 14. About 400-500 million children are being raised in the Christian deliver the gifts is 4,464, almost equal to the religion so they would expect Santa to pay them fleets of the ten largest airlines in the world. a visit. In Europe, there are more than 5.6 million Transport hubs children. Eurosender assumes that all the children in the world are on Santa’s “nice” list and In terms of courier hubs where almost 21 milwill receive a present rather than a lump of coal. lion packages would be sorted in a single time This translates into roughly half a billion pack- zone – the centre would have to accommodate ages to be delivered in one night. the sorting of 30-40 thousand shipments per Different time zones would help Santa gain hour. some time if he would travel from East to West. After the sorting, the gifts would be put in Also, some countries celebrate Christmas on vans. A medium sized van takes 1.5 tonnes of 6 January (Russia, Ukraine and Serbia) which cargo which mean that Santa would need 13,888 would give him some more time to deliver. vehicles and just as many drivers. A total numAssuming that the weight of one present is 1 ber of cars would be as big as 333,312 vehicles. kg, this means that the total weight of all packTo drop the packages through the chimney

would require 250,000,000 Parcelcopter drones (as used by DHL), each with a carrying capacity of 2 kg.

Bottom line

The largest fleet of road transport is currently operated by UPS, with a total of almost 105,000 vehicles ranging from motorcycles and smaller vans to lorries. If UPS were to take on Santa’s gift delivery, it would take 27 days to deliver all the Christmas gifts. Every year there is a constant increase in the number of packages that courier companies have to deliver for Christmas. Logistics operators try to do as Santa does, to deliver on the promise. However, as calculations prove, it is impossible to do it in one night.

Santa’s magic

There is indeed something magic in Santa’s precision, finesse, imagination and emotions. The question is: can a courier company have all these characteristics and keep the magical touch as they turn into Santa’s most helpful elves and work as the foundation for Santa’s express logistics services. “We know very well that every gift will result in grinning faces of both kids and adults. We believe that with our extended network of courier companies we can make it work just as Santa would,” says the Luxembourg-based company. “But enough with stories, it’s late and we need to get things started. There are plenty of presents to be shipped around.”

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