Vol. 11 No. 28                            #INTHEAIREVERYWHERE                              Monday March 25, 2013


air cargo news March 18, 2013

lying in the face of economic downturn by delivering global leadership and expansion, fast rising GSSA ATC Aviation will quickly become better known in the USA due to its recent acquisition of Platinum Air Cargo. With much more on its plate than ever before, company CEO Ingo Zimmer is upbeat.
     “We are extremely pleased that Platinum is on a positive track integrating into the ATC brand while delivering positive results 2012 into early 2013.
     “Platinum may be the ‘new kid’ in the ATC block but we’re doing extremely well, adding two bi-weekly B 747-F freighter connections including Etihad out of Houston, and NCA from Dallas.
     “EY will launch daily passenger operations from Washington on March 31st having opened a new office there recently,” Mr. Zimmer told FlyingTypers.
     “In terms of growing new business, I think the upcoming areas of accelerated interest for us are South America and Africa.
     “Both offer expansive growth potential, while lately it seems that China and India are slower than expected.
     “There is still a lot of potential to grow in Asia, to be sure, but while Europe has reached a certain predictable level of business that precludes rapid growth in the future, we can also in 2013 look to the Middle East and also Turkey as hubs fuelling the global air cargo market,” Ingo Zimmer added.
     “Taking an industry view, I think the first priority should be to work on paperless transportation and link all parties involved in the shipping process.
     “To make paperless cargo work everybody needs to be onboard, including shippers, agents, handling-agents, GSSAs, airlines, and customs.
     “But needless to say, when we speak of growing ATC there is plenty of competition in our industry!
     “The spirit and goal is to become maybe not the biggest, but the best GSSA in the world.
     “To be the best we are trying to figure out if a normal clerk or a top manager is always the best for every job in our company.
     “Also, if you look at our new partners like Platinum, you have to say that Don (Cochran) and Timothy (Pfeil) with their team in the U.S. are outstanding.
     “Proof for our quality is our portfolio. Some of the leading and best airlines in the world are among our 60+ international airline partners.
     “ATC is a global GSSA with very strong financial investors that guarantees every client a trustworthy partner.
     “Also, as a true GSSA, we play it right down the middle, serving everyone in a fair and balanced manner.
     “Top priority for ATC, with the Platinum deal done and business growing, are new offices in South America and also some further expansion into Asia.
     “My view of the future is that now is indeed an exciting time to be in this business.
     “I have two boys. They are six and thirteen and if you ask them what the want to become, they will tell you they want to do what their father is doing.
     “I tell the boys that in our industry we have the chance to meet people from all over the world as we serve and interact daily with different countries, different religions, different styles of living and all of this widens our horizon and understanding.
     “We expand our lives and this industry of global transportation with business partners from all over the world that, in many cases, also become our personal friends.
     “Secondly our job is very interesting.
     “Our industry is growing and has much to offer.
     “I look forward to every single day,” Ingo Zimmer said.
Geoffrey/Flossie

     “We are excited about opening a new set of books for the year,” David Kerr, VP Cargo Etihad, tells FlyingTypers.
     “Etihad has investments coming on-stream and a great team re-energized for the challenges and opportunities ahead.
     “Three new Etihad Cargo freighters will give us the ability to grow our network, taking advantage of opportunities throughout the region.
     “Most exciting is the growing depth and breadth within specific segments of both multinational and independent forwarding channels.
     “We continue to grow our market share with load factors outperforming global and regional trends.
     “A new Valuables product ‘Safeguard’ was launched along with a new brand (Etihad Cargo), and a fresh website comes on stream shortly.
     “These developments reflect our hard work during the last year.
     “Best of all, Etihad Cargo exceeded its objectives for 2012 by recording a 19 percent increase in uplift to 368 thousand tonnes.
     “Key markets such as China remain solid and India is returning to a stronger position.
     “The web-driven consumer business has also continued to outperform the market.
     “The main beneficiaries and integrators still rely on commercial lift and we hope to continue to provide solutions.
     “There is still a need for new, non-traditional trade lane development and due to our geographic location and some smart choices, these areas have been successful for us in the past and we want to remain ahead of the curve.
     “As 2013 unfolds we will take even more care to stay engaged with our customers, ensuring that scale and the pace of our growth continues to provide even more advantages in terms of freighting goods to all corners of the globe.
     “We’ll also continue to develop cargo platforms with partners through wider alliances, and we look forward to unveiling more details over the coming months.
     “But air cargo as an industry can change for the better by being more joined-up in terms of thinking, execution, technology, investment, and risk sharing.
     “For example, if support continues to grow and develop for the Global Air Cargo Advisory Group (GACAG), its position will definitely strengthen.
     “IATA will also continue to provide an important framework for the investment that carriers make in airfreight platforms.
     “As a board member of C2K, I’d like to see the focus on refreshing the current model and this would benefit all players in the cargo sector.”
Geoffrey





     Recapping The International Boston Seafood Show (IBSS) 2013 held recently in Boston, Massachusetts, the old cargo pro John Ryan (R) now at Hawaiian Cargo, is pictured with (L) Austin Parker (Hawaiian HON).
     Hawaiian Airlines Cargo launched services to New York from HON last June.
     Today the carrier continues to build business with daily flights.
     “We felt it was extremely important to be at this show to showcase our direct service moving perishables not just from JFK,” John said, “but also via our quick connections that can easily service and extend the shell fish/fish industry business from Boston to the Hawaiian Islands.
     “Since commencing service, Hawaiian has steadily increased its tonnage, shipping lobsters in particular to Honolulu and the other Hawaiian Islands.
     “We are also moving frozen meats and confectionary items for the local markets/restaurants distributors in Hawaii from our JFK gateway.
     “One of the big advantages we can offer is same day into the restaurants or product into retail outlets in Hawaii on a same day/afternoon of arrival.
     “We got a great response from the local shippers in Boston, and greater visibility in the perishables market at IBSS,” John Ryan said.
Geoffrey


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he Russian government, together with the country’s leading air freight companies, is considering unloading the Moscow hub, Russia’s largest air cargo hub (which is formed by Sheremetyevo, Domodedovo, and Vnukovo airports and accounts for up to 83 percent of air cargo traffic to Russia), because of its inability to deal with the ever growing cargo traffic.
     A significant increase in air cargo traffic in Russia in recent years has led to serious problems for the Moscow airports due to the limited resource of runways, as well as insufficient cargo capacity.
     According to Russian Ministry of Transport analysts’ estimates, by 2020, airports of the Moscow hub will not be able to serve at least 60,000 tons of cargo.
     Sergey Shkvarko, a co-owner of Aerokargo + company, one of Russia’s leading air cargo operators, comments:
     “Because of the current congestion of the Moscow air cargo hub, many carriers found it difficult to obtain slots to charter cargo flights. Besides the lack of runways, there is also a lack of places on the platforms for cargo aircrafts.”
     In this regard, the Russian government, in cooperation with local air freight companies, is considering taking a package of measures aimed at solving the problem.
     As the Moscow airports are not yet able to heavily invest in building new runways and new large cargo terminals in the short-term, the unloading of Moscow air cargo hub could be among the potential measures through the redirection of freight flows to the airport’s neighboring cities of Moscow, as well as integration of a number of adjacent airports into the Moscow aviation hub.
     According to state plans, in the latter case, part of Moscow air cargo traffic could soon be redirected to Ermolino airport, which is located in the Kaluga region and, on the base of which a new multi-modal cargo complex—Freight Village Kaluga—is expected to be established.
     Ermolino airport could be suitable for this, being located 80 kilometers away from the Moscow Ring Road and 61 km from the Moscow Vnukovo airport, which is expected to enable easy integration into the Moscow aviation hub.
     The volume of investments in the project is estimated at 30 billion rubles (USD$1 billion). It involves building up to 400,000 sq. m. of warehouse space and will have an area of 500 hectares.
     At the same time, in additon to Ermolino, there is a possibility that part of Moscow cargo traffic may be also redirected to Efremovo Airport, a former military airport, which is located in the Tula region, not too far from Moscow airports.
     Vladimir Gruzdev, (right) Governor of the Tula region and one of the initiators of Efremovo Airport transformation project into the air cargo hub, comments:
     "We can accommodate part of the Moscow airports' cargo traffic. Efremovo Airport can serve as an additional reserve airport for Moscow, as it is only two hours away by car from the capital. In addition, it is located close to the Druzhba oil pipeline, where a large oil refinery could be built which will meet the fuel needs of aircraft.”
     Both projects are expected to be implemented by state funds, which in total could reach USD$15 billion.
The excessive loading of Moscow air cargo hub has also sparked serious concerns from leading private air cargo operators, which are also considering some alternative options for redirection of their traffic from Moscow.
     For example, as part of these plans, Kratos Group, one of Russia's largest air cargo operators, has recently started construction of a cargo complex in Yaroslavl Tunoshna airport.
     According to Alexander Zubov, head of Kratos, the new complex will have an area of 3,000 square meters, while the quality of its services will be similar to those provided by Moscow airports.
     At the same time, some Russian analysts believe that redirection of cargo traffic from the Moscow hub may cause some problems. According to Rano Dzhuraeva, (right) President of Russia’s Center of Civil Aviation, currently 30 percent of cargo handled in Moscow is further shipped to the regions by road and rail transport which is well-developed in Moscow in contrast to the other regions, which currently have a lack of necessary rail and road infrastructure.
     According to Dzhuraeva, the Vladimir, Kaluga, and Tula airports are good airports that will be able to partially unload Moscow airports in the near future; however, there is also a need to develop the adjacent rail and road infrastructure. Despite the ever growing need for alternative gateways, some of Russia’s leading air cargo carriers are not ready to redirect their air cargo traffic from Moscow.
     According to Sergey Shklyanik, (left) Senior Vice President of Volga-Dnepr, Russia’s largest air cargo carrier, the airline has no plans to move from Moscow airports in the next two to three years. According to him, customers choose metropolitan airports not only because of the convenience of delivery, but also, for example, because of the existence of customs terminals. However, Shklyannik recognizes that in the event of further deterioration of the situation, the company may consider alternative options, and partially redirect traffic to other airports.
Eugene Gerden


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