“South America is a very important market with a long tradition with Lufthansa Cargo,” says Achim Martinka, Vice President Cargo, the Americas.
     “Our roots in the region date back to the 1930s and we have been operating scheduled freighter services to/from Brazil for almost 50 years without interruption.
     “Lufthansa Cargo currently operates 15 weekly freighter services and market the capacities on 49 weekly passenger flights.
     “Serving 8 airports with freighters and 6 with passenger flights, we are currently the market leader in terms of revenues between Europe and Latin America,” Mr. Martinka reports.
     “We have been constantly expanding our presence throughout the region.
     For example just in the past two years, Lufthansa Cargo opened Manaus in Brazil, Aguadilla in Puerto Rico, and Montevideo in Uruguay as new freighter destinations.
     “The latest addition to our Latin America network has been Guadalajara in Mexico, where we launched freighter services a few weeks ago at the beginning of March.
     But to everyone the question is: what about the rest of 2013?
     “Looking beyond the current volatility and soft patches in some of the South American markets, most notably weak exports from Brazil, we see an uptick in activity in recent weeks and expect markets to resume moderate growth in the second half of the year, followed by a higher dynamic in the years to come.
     “Our aim is to participate profitably in that growth and offer additional capacities as needed.”


     “The Intermodal is by far the biggest and most important logistics event all year in South America. Our team has been here with a Lufthansa Cargo stand for the past eight years.
     “Even in the crisis years we have kept a presence at Intermodal São Paulo as it is an important tool in maintaining and building relationships with our customers.
     "Interestingly and historically the Intermodal was primarily a Brazilian event, but as of late we have also noticed more and more South American and even overseas customers attending.
     “The fair has definitely become more international over the years.”
Geoffrey

     “TAP-Cargo was present for the fifth consecutive year in Intermodal South America (this year the 19th edition) held in São Paulo,” reports José Anjos Cargo Director, TAP Air Portugal.
     “The main goal of this Intermodal presence is to develop and improve the relationship with our customers.
     “In fact the show is successful in attracting many important players, including importers and exporters from Brazil and European countries in the same place, at the same time, thus allowing exposure and access to many of the operational and commercial operators across the logistics chain.
     “For this reason, most of the TAP Cargo sales managers worldwide are invited to this event to facilitate these very important face-to-face meetings with our customers.
     “Also new business opportunities are explored, discussed and pursued during the exhibition with follow ups after that.”


     “Today some 50 different destinations in Europe (65 in the world) are easily connected through Lisbon and Oporto, via more than 70 long haul flights per week, to 10 different Brazilian cities with direct and mostly daily flights.
     “This means more than 2,000 kg of space available for cargo and mail in our commercial flights.
     “Brazil is a country that is developing at a good pace, leading to all sorts of air cargo flows around the world where TAP is a very strong player because of its network and service.”


     “At Intermodal 2013 TAP Cargo debuted new capabilities that greatly elevate our customer service.
     “TAP Cargo previewed our exciting application for smart-phones, available in Android and IOS platforms, which will be officially released in May this year.
     “With this application, not only can every TAP Cargo customer easily track and trace his own shipment status in our system with just his mobile phone, but also access other options and information available to make the shipping process totally transparent and customer focused.
     “The TAP Cargo Envirotainer cool-chain capabilities aboard TAP flights was also a very important topic discussed by our cargo team at Intermodal 2013.
     “Today TAP Cargo is recognized by all as a quality provider in the cool chain field.”
Geoffrey

   LATAM said system wide passenger traffic increased 7.7% as capacity rose 4.2% for March 2013 as compared to 2012.
Air cargo rose 0.4% as capacity increased 3.5% with load factors down 1.8 % to 60.1%.
   LATAM noted a “delay in certain seasonal demand,” but also flagged, “higher volumes in certain markets to and from South America”.

   Emirates goes daily Dubai to Stockholm, Sweden starting September 4, 2013.
   “Following our successful launch into Copenhagen, Denmark in 2011 we have been closely evaluating options for further expansion in Scandinavia. Sweden, with its stable and growing economy is the perfect location to extend our regional presence,” said Tim Clark, President Emirates Airline. The Boeing B777-300ER will lift 19 tons of cargo capacity each flight between the two cities.
   Emirates SkyCargo already operates a three times weekly service to Gothenburg in Sweden and the addition of Stockholm is expected to further boost the airline’s cargo operations in the region.

ast week Brazil was in the transportation spotlight with the big Intermodal South America in Sao Paulo.
Lots of people are thinking about Brazil in 2013.
     China is still a dicey deal, as imports and exports continue to yo-yo with no clearly discernable resurgence in any direction.
     India and Africa, which have held steady with modest growth, are both beset with infrastructure challenges; Africa looks like it is facing a long haul from the promise to delivery across the continent.
     So as hearts and minds decide just how much can be expended developing the two aforementioned locations, Brazil rises up into the spotlight.
     In 2013 Brazil is still the big enchilada in Latin America, with more than 50 percent of the total market there.
     So what is air cargo to make of the market?
     When it comes to Brazil, it’s best to go to an expert.

     Isaac Nijankin de-facto commanded the worldwide cargo business for Varig Cargo from JFK International Airport for well over 30 years before retiring, and then un-retiring to go to work at ELAL Cargo.
     But gone is not forgotten.
     Today Isaac possesses an unmatched wealth of knowledge about everything Brazil and South America when it comes to transportation.
     So on a relaxed Wednesday in early April, with the Passover Season moving into memory, we open the vault to look back (and ahead), asking Isaac:
     Why Brazil?
     “You said it!
     “Brazil is the largest and most vibrant economy in South America with a clear vision of what lies ahead.
     “One of the main reasons is that Brazil does not have to rely so heavily on outside factors, producing much of what they need in country, and that makes Brazil very self sufficient.”


     “I recall how this giant started to grow early in the late 60's and early 70's, with new and modern industrial parks that were primarily constructed to compete in the international arena.
     “During that time, the first great exports for air freight were the tremendous influx of shoes coming from the southern part of the country.
     “The peaceful and tranquil Brazilian town of Nova Hamburgo became the heart and strength of this industry.
     “Next came the automobile industry, with exports of parts all around the world.
     “In fact, Brazil is one of the pioneers in shipping automobiles and parts to China.
     “I remember being a part of accompanying the first shipment of cars from VW, and later GM, from Brazil to China.
     “Today Brazil exports are as varied as the market place will afford.”


     “As world economies have experienced significant change, some not for the better, Brazil is part of what is known as the Bric (acronym for the countries of Brazil, Russia, India, and China) countries.
     “Bric, as we have seen in varying degrees, are emerging economies that in one form or another compete in some cases quite well against the larger and stronger world powers.
     “Brazil also benefits as a member of the Mercosur trade agreement.
     “Mercosur is South America's leading trading bloc. Known as the Common Market of the South, it aims to bring about the free movement of goods, capital, services, and people among its member states.
     “It has been likened to the European Union but with an area of 12m sq. km. (4.6m sq. miles), it is four times as big.
     “The bloc's combined market encompasses more than 250 million people and accounts for more than three-quarters of the economic activity on the continent.
     “But most of all, Brazil's working force has adapted tremendously, with more educated people able to tackle the needs of today's technological world.
     “This puts Brazilians almost on equal footing and sometimes even ahead of the competition.
     “Brazil's economy is such that it has a tremendous influence on how others within the region perform, if they flourish so do the others and vice-versa.”


     “Today if we look in size of fleet and diversity of aircraft (pax/freighter), I'll have to say it’s the LAN Group due to their aggressive push and growth within LATAM. There are other respectable players operating in the market, namely Atlas Air and American Airlines, but I believe their strategies are different to those of LAN.”


     "GOOD HARD WORK.
     “Things have not changed too much from my time (technology aside); the name of the game for everybody is to have credible and fluid communication.
     “Latin America still has many bureaucratic barriers that make it difficult to export and import and this requires very dedicated attention to the customers.
     “Personal relationships are still very much a norm in the marketplace and one of the keys to success is in developing and nurturing those relationships.
     “The simple handshake over a ‘cafezinho’ still exists today.”


     “Transparency . . . As much as you can get, along with equally competitive rules and a diversification to other destinations.
     “Brazil has the people, the know-how, and the resources.
     “I believe it continues to serve in the best interest of Brazil with its stable government and strong economy to continue to encourage more growth and investment that make all areas of the country more conducive to do business.
     “For example, destinations such as Cabo Frio and Vitoria that offer tax incentives to businesses and show great developmental progress and opportunity in the years ahead.”
     Smart words from a commanding figure and yes, a man for all air cargo seasons.
     But it should never be overlooked that back in the early 1990s, Varig and Mr. Nijankin were among the first carriers to support bringing The International Air Cargo Association (TIACA) into business.
     From these words it’s easy to see that Isaac not only still has it, he is also air cargo, body and soul, and more than willing to share.
     That makes us all look good!
knijankin@aol.com
Geoffrey/Sabiha

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RE: FlyingTypers April 9, 2013 Lightbox

Dear Geoffrey,

      As always Flying Typers is a good mix and pleasant to read.
      One may want to add in regard to your "Lightbox" note about the opening of Kassel-Calden that the inauguration flight planned for last Friday did not take place because of... guess what, lack of passengers. Instead, for the handful of retirees showing up it was a taxi ride to a competitor airport, Paderborn-Lippstadt.
      As for your news regarding the cooperation of PAL with Cambodias RGC, that was interesting.
I have my doubts if anything will come from that - the list of defunct airlines in Cambodia is sheer endless, and the regulatory oversight both in Cambodia and the Philippines is not one you would call a model.
      The Philippines have a long history of failing ICAO and FAA standards although they seemingly have lately shown some improvement. Cambodia, Airlines, First Cambodia Airlines, Kampuchea AIrlines, Mekong Airlines, Royal Air Cambodge, Royal Khmer Airlines, Royal Phnom Penh Airlines, PMT Airlines, President Airlines, Angkor Air, Siem Reap Air, and - likely - Air Dream who abandoned their aircraft in Hanoi... which makes for a quite interesting story.
      And if you have ever flown with one of these you would indeed have to call that an experience, live chickens in the overhead baggage compartment was just a minor highlight.
      It should be noted that also the current Cambodian Flag carrier, Cambodia Angkor Air, is operating with key personnel and equipment leased from Vietnam Airlines, so probably any partnership with PAL just serves the purpose to underline that there are alternatives.
      It is not easy to perceive what Hun Sen* and his golf buddy and economical advisor, Thaksin Shinawatra**, are up to.
      Siem Reap Air was well run with good services, but since the main shareholder was Bangkok Air on whose behalf a lot of flights were undertaken, in the woes of Thai-Cambodian struggles over the Prasat Preah Vihear Temple and alleged illegal logging by Cambodians on Thai territory they lost their operating permit.
      I would assume that the Cambodian plans to build a new Airport to international standards in Siem Reap will either fail or become another lesson in graft and corruption... .
      But that's just a side note.
      Again, always enjoy reading your pieces.

Best Regards,
Jens

Jens-Thomas Rueckert
Manager Training & Projects
LOGAR Günther Hasel e.K.

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