Unrest Stalls Nepal Cargo
       

In Nepal where discovery and the beauty of the Himalayas can be stunning, a nationwide strike called by seven political parties of the country against the king's direct rule (and autocratic rules) continues for the past 18 days, “impacting all export and import cargo,” according to Sundar Dahal, CEO Starlight Express P. Ltd.
     “We do 25 tons of air cargo export and about 40 tons import every day with more than 30 tons by ocean freight export and 50 tons of ocean freight import.
     “Most international carriers are thinking embargo for all Nepal-bound cargo.
     “The Nepal strikes have generated widespread support amongst almost all transportation professionals here.
     “Even government custom employee and civil servants have supported the action, so there is no custom clearing for any kind of cargo.”
     Over the weekend, domestic airlines halted flights supporting the protest on Saturday April 21, 2006 amidst growing violence and continued widespread unrest.
     In Kathmandu Civil Aviation Authority of Nepal (CAAN) said airline operations had returned to normal from Tribhuvan International Airport “in a smooth manner,” by Sunday.
     Starlight Express is Nepal’s first ISO9001-2000 certified international freight forwarding company.
     The outfit also serves the GSA for Best Aviation Bangladesh and exclusive Cargo Sales Agent for Air Nepal International, and is a non-exclusive agent for Leisure Cargo (Asia) representing 15 European airlines.
     “Last year Nepal export dipped by 15% due to Maoist problem and the governments unfriendly policy for export,” Sundar Dahal said.
     “But recently the USA withdrew quota for Nepalese garments import, and business rebounded.
     “Big garment buyers like Wal-Mart, Gap, TCP, Oxford, Leo, Cliff Hanger, Lactose etc., have placed large orders for goods from Nepal.
     “But due to this strike delivery time is uncertain.
     Ever hopeful, Sundar added:
     “We are hoping for the early settlement and for the situation to settle down soon.”
      www.starlightexp.com


   Just when it appeared that there was some easing of the financial pressures on the airlines that lost more than US$40 billion in the last five years and were expected to cut their losses to US$2 billion this year, oil prices now running close to US$70 per barrel cast these projections in doubt.
   On the plus side is the fact that airlines and Southwest Airlines in particular, have been able to keep pace with fuel by raising fares without much resistance from passengers, especially in the USA.
   Last week major USA carriers added $50 on their unrestricted coach fares in most markets and generated barely a hiccup.
   U.S. consumers noting prices at the gas pumps seem ready for fare increases and have not been postponing air travel.
   Big change after almost five years of cutbacks and layoffs amidst ever continuing losses is tighter management in controlling seat capacity in 2006.
   Oversupply of seats had depressed airfares immediately after 9/11, and up to 2004.
   Last year U.S. carriers cut the number of domestic flights by 2.3 percent and domestic seat capacity went up by only one percent.
  This summer, U.S. capacity should drop by perhaps another 2.6 percent compared with the same period in 2005.
   In the first three months of 2006, the biggest U.S. airlines filled 77 percent of their seats, as against 73.7 percent during the same time last year.
   During March, load factors reached 80 percentage.