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Monarch Air Group: How Private Aviation has Increased Demand During the Pandemic

private aviation

Monarch Air Group: How Private Aviation has Increased Demand During the Pandemic

Fort Lauderdale private jet provider Monarch Air Group provides some insights on why the industry is flying high while commercial aviation is still grounded.

While the aviation industry is recovering slowly from the pandemic, it is safe to say that a vast number of commercial planes are still grounded. This is not the case with private aviation, which has registered a steady increase in demand.

Offering a reliable point-to-point service

Constant changes in travel restrictions since the beginning of the pandemic meant a hard time for travel planning, thus passengers turned to private aviation for a reliable option for their flights. Many gaps in the scheduled networks appeared overnight, and only private air companies had the operational capacity to step in and provide a solution.

Although worldwide passenger traffic dropped 66% last year through November, according to the International Air Transport Association, private jet operations fell only 11% in December, the best monthly performance since the pandemic started, as data from WingX indicates. Furthermore, the same data shows that traffic to and from Florida improved by 12% in December from 2019, with the Caribbean serving as another recurring destination.

Safety as the main driver for bookings

While health concerns and hefty travel restrictions have kept commercial aviation grounded, those who can afford to travel by private jet, thus avoiding crowded airports and getting exposed to the virus, are doing so at a similar pace to pre-Covid travel levels.

Private jets reduce chances of contamination thanks to a safer and swifter overall process that consists of arriving at the parking area of a private jet terminal and then going directly to a private lounge just steps away from the thoroughly sanitized private aircraft that will take you to your destination.

Furthermore, online pricing tools with live quotes like the one provided by Monarch Air Group have played a key role in the increased demand thanks to a user-centered booking experience.

New passengers are playing a major role

Once you try private there is no going back. With the headaches of commercial travel, many new passengers have been keen to experiencing private aviation. This is a huge win for the industry worldwide, because this increase in demand has helped reduce the gap left by the lack of business-related operations as previously mentioned.

Furthermore, companies will start sending their executives worldwide again, which means that private aviation might be in a better shape than before coronavirus, when considering the passengers that have jumped onboard and have no intentions to going back to commercial, in addition to the regular leisure and business operations in the market.

Overall, it is the reliability and safety provided by private aviation which has helped to maintain and, even in some cases, increase the demand of operations. While commercial travel disruption has no visible ending point, executive charter companies are ready to deliver a flexible travel solution to any corner in the world, offering passengers a truly unique customer-centric experience.

air

SUSTAINABILITY LOVES COMPANY AND THE AIR CARGO INDUSTRY LOVES SUSTAINABILITY, BASED ON RECENT DEVELOPMENTS

On Dec. 10, the final day of its Digital Air Cargo Forum, The International Air Cargo Association (TIACA) presented the 2020 Air Cargo Sustainability Award to Pelican BioThermal. 

The Plymouth, Minnesota-based temperature-controlled packaging company was singled out for its work to improve sustainability through the manufacturing and use of Crēdo, a durable and reusable temperature-controlled shipping container, and similar packaging.

“Our efforts to improve sustainability in manufacturing and our products are far-reaching—helping us and the companies we work with to achieve sustainability goals,” says Pelican BioThermal President David Williams. “We are honored that an independent panel of judges recognized the work we are doing to protect our natural resources and the environment, as well as advance sustainability within air cargo.”

Runners-up to Pelican BioThermal in the corporate category were skypooling and VRR, which also presented solutions in the area of sustainable shipping containers.

Nepal Flying Labs won in the Start-up category for its Drone Optimized Therapy System, which flies humanitarian and medical cargo drones to remote and hard-to-reach locations in Nepal. 

A total of 23 companies applied to receive Air Cargo Sustainability Awards, which recognize those making positive change by supporting social welfare, economic development and environmental protection through innovation and partnerships, according to TIACA. 

Judges who evaluated all the entries are: Chris McDermott, CEO, CHAMP Cargosystems, one of the leading industry IT solutions providers and a partner with TIACA in the Digital Air Cargo Forum; Deniz Kargaci, manager of Corporate Sustainability Management, Turkish Airlines; Eng Naif Al-Abri, CEO of TRANSOM; Steven Polmans, director of Cargo and Logistics, Brussels Airport; and Susy Schoneberg, head of Flexport. They looked at business solutions in carbon and waste reduction, drones, humanitarian aid, packaging, ULDs, process efficiencies, people focus and COVID-19 relief.

“Sustainability4Cargo” was among the topics of discussion during the first week of the forum, where it was concluded that sustainability does matter to the air cargo industry, having become a real strategic priority for cargo companies, many of which have concrete actions in place.

“Our industry remains committed to reducing its environmental footprint and many companies have implemented digital transformation, operational improvements and addressed reliability and quality of service issues putting us on track to being more sustainable,” states a TIACA follow-up report on Sustainability4Cargo. “The COVID crisis has added a new dimension to sustainability which our industry has rapidly adapted to–resiliency.”

Carriers Get in on the Sustainability Action

Among the Digital Air Cargo Forum sponsors was Polar Air Cargo Worldwide, which aims to be the world’s most sustainable cargo airline, according to Abilash Kurien, the company’s vice president of Marketing, Revenue Management & Network Planning.

“To achieve this goal, we are focused on digitizing our operations, fostering a culture of learning that makes our team best prepared for the future, and driving toward environmentally sustainable practices,” Kurien says. “These activities are critical for long-term success, not just for Polar but for the air cargo industry as a whole.”

Digitization will be key in achieving Polar’s sustainability ambitions, he adds. “Digitization will help drive sustainability by eliminating unnecessary steps and decreasing time, effort and materials used. E-air waybills, for example, will reduce paper. AI deployment will result in more efficient planning and reduced fuel consumption.”

Polar also encourages and incentivizes its employees “to raise ideas for more sustainable business practices so that we can minimize our impact on the world around us, and ultimately contribute to repairing environmental damage,” Kurien says.

“We are on the cusp of evolution in the air cargo industry; the key is embracing the change, and working with and listening to the employees who keep the business moving and deliver service for our customers that exceeds expectations. Industry participants that focus on digitization, culture and training, and environmental sustainability will be at the forefront of the future state of air cargo. With the right vision, and an openness to new ideas, the possibilities are limitless.”

The vision thing is also at play at United Airlines, which in December made a commitment to reduce its greenhouse emissions by 100 percent by 2050. How? Partly by continuing some of its existing initiatives—such as buying carbon offsets; using more Sustainable Aviation Fuel (SAF) than any airline globally; and investing in the development of SAF and other decarbonization technology—and partly by funding revolutionary “carbon-capture” technology that is expected to capture and store millions of metric tonnes of CO2 per year.

Chicago-based United is the world’s first airline to commit to investing in Direct Air Capture technology. Specifically, the carrier helping 1PointFive build the first industrial-sized Direct Air Capture plant in the country. A single plant is expected to capture and permanently remove 1 million tons of CO2 each year–the equivalent of the work of 40 million trees, but covering a land area about 3,000 times smaller.

“As the leader of one of the world’s largest airlines, I recognize our responsibility in contributing to fight climate change, as well as our responsibility to solve it,” says Scott Kirby, United’s CEO. “These game-changing technologies will significantly reduce our emissions, and measurably reduce the speed of climate change–because buying carbon offsets alone is just not enough.

“Perhaps most importantly, we’re not just doing it to meet our own sustainability goal; we’re doing it to drive the positive change our entire industry requires so that every airline can eventually join us and do the same.”

“We welcome United’s positive announcement to support the reduction of greenhouse gases,” says Patrick R. Gruber, CEO of Gevo, an Englewood, Colorado-based SAF company. “We wholeheartedly agree SAF is the fastest and most effective way United can reduce its emissions.” 

logistics

Logistics Challenges and Opportunities In the Post Covid-19 World

The world had a good business run in 2019. March 2020 happened – when Corona ravaged globally erasing all the gains the economy had achieved. Lockdowns were affected in many countries, which significantly impacted businesses ability to carry out operations effectively, China – the world’s largest outsourcing hub, got locked down, crippling the majority of industries that relied on China’s cheap workforce to produce goods.

Ports and airlines were closed, effectively halting major transport of cargo, which impacted businesses negatively. People panicked and hid away in their homes, resulting in the closure of many businesses such as restaurants, entertainment joints, and theme parks that relied on people going out. Most businesses retrenched a lot of workers resulting in the economy performing poorly since most people had nothing to spend.

Governments all around the world started by limiting air and sea travel to avoid carriers of the disease entering and spreading further infections in their territories. This proved detrimental to airports and seaports since the majority of their revenue depended on ferrying people. Further, packages from China were suspected to carry the virus so sea freight was strictly halted. This led to air cargo taking on the mantle of transporting goods all over the world. Airports are now using this channel to recuperate profits lost during the Covid-19 onslaught. However, even as air freight becomes popular, the demand is too high the airplanes are having trouble fulfilling demand.

The biggest problem business faced when Covid-19 hit was supply chain disruption. This affected large businesses whose supply chain might run through different regions or countries. Most affected were companies that used China’s manufacturers to make their products. Most businesses lost suppliers due to various reasons caused by Coronavirus leading to them starting the search for new suppliers which obviously disrupted business operations. Suppliers resorted to collaboration with the few available other suppliers to satisfy the demand to mitigate this disruption.

Most businesses have now realized how vulnerable their supply chains are and are already looking to diversify, move from China, and find new suppliers close to home. Also, logistics companies have seen the unprecedented business from these companies who want greater visibility of their supply chain to avoid future disruptions.

Technology has been a major savior for companies during this period. Warehousing companies are now using robots to help them package and move packages in place of workers that are not available due to Covid-19. Embracing IoT to help monitor machines and packages remotely, robotics to provide labor around the factories, and AI to help in forecasting, analysis, and management of different processes in business has helped companies survive the pandemic. Logistics companies will have to know how to assist companies leverage technology to achieve an edge in the industry.

Another big transformation globally is the shift in focus to selling directly to customers. Businesses are finding it easier and more advantageous to sell directly to customers rather than using the normal distribution chains traditionally once relied upon. Modern technology; robotics, Saas software, ERP systems, and AI have made manufacturing simpler, easier, and more efficient. This shift is beneficial for both customers and manufacturers. Customers can now get new goods straight from factories very cheaply due to the elimination of the distribution chain bottleneck that added fees on products. Also, these businesses will enjoy more profits while having more control over their brand. They can now manage their brand visibility and have relationships with customers which will allow them to get feedback.

Online shopping practically exploded during the first months after Corona hit – March, June, and July. This is due to a major shift in consumer habits precipitated by a necessity to stay indoors for health security and a need to shop easily. Online demand was so high that most businesses could not fulfill this demand. Now every company worth its salt is working on its online presence and on how to effectively sell online including doing online marketing and having online content to attract shoppers.

Due to massive changes in every area of business operations, businesses will now need to optimize their operations. This is to ensure they are efficient in performing business activities. An example is the growth of online shopping which means a lot of deliveries are going to be made. However, delivery drivers are in short supply which means a business needs to optimize that operation to make sure there are enough drivers to fulfill customers’ demands.

Efficiency conscious companies are relying on sensors to make sure their operations run smoothly. Packages are now getting trackers so that they can be monitored from factory/warehouse to customer’s drop point. This is to ensure the package arrives safe and did not get tampered with along the way. Data from these sensors are being used to make delivery better and analyze package delivery times.

Effective business operations in many businesses now are due to Saas platforms that offer businesses of all kinds, large and small access to logistics that are agile, flexible, and can be used remotely in the same organization by multiple workers. Also, AI is helping by providing forecasts and analyses of markets to provide businesses with insights that can help them tweak or adjust operations in case of a market shift. For example, Amazon now knows demand will peak during black Friday and adjust operations in anticipation of these events.

The best thing that has happened during this pandemic is the adoption of last-mile contactless delivery. Businesses are making sure that packages reach their customers safely, without any contact so as to mitigate the spread of the virus and make sure packages arrive in perfect condition. Logistics companies will have to ensure most packages are delivered safely for the customer.

Also, logistics companies will now have to offer companies with digital solutions to manage customers and customer relationships.

Most companies now realize that in order to reduce shocks in business operations, supply and distribution chains will have to change. The best solution is to shorten supply chains, bring them closer to home and shorten delivery times.

Covid-19 presents a lot of opportunities in helping businesses recover from the pandemic and streamline operations to recoup losses made.

holiday

Holiday Shipping Deadlines – Ensuring Your Goods Reach the Buyer in Time

The four weeks between Thanksgiving and Christmas represent the busiest retail days of the year. Online shopping experiences an even sharper increase in traffic during the holiday period and provides an important source of revenue for most eCommerce businesses. However, despite the enthusiasm for online retail, many customers are concerned about whether their goods will arrive in time to place under the Christmas tree.

Failure to deliver products on time and in perfect condition can harm brand trust, resulting in lost customers. To ensure a positive customer experience and maintain their customer base, online sellers need to prepare a solid shipping plan to put products in their customers’ hands by holiday deadlines.

For a smooth holiday season, you need to streamline order fulfillment, invest in protective shipping materials, including air pillow packaging, and develop positive relationships with your carriers. Here are a few tips for ensuring your goods reach your buyers in time for the holidays.

Develop a Shipping Plan

Developing a shipping plan is essential to a smooth holiday season. Customers have higher expectations about when and in what condition they receive their goods during the holidays. Supply chain scheduling with deadlines may seem challenging, but taking all factors into account can make your shipping process more efficient.

-Contact all the major carriers you use to determine their last-date shipping deadlines.

-Make sure you are familiar with your supplier chains’ shipping times and obtain estimated landed shipping costs for easier budgeting.

-Plan for delivery delays and communicate estimated shipping times to your customers to help you meet their expectations. This could include marketing emails or pop-ups on your site, indicating a countdown until the cut-off date. Effectively communicating the cut-off date can also create a sense of urgency for customers, prompting them to buy more products.

-Assess the 4 KPIs for packaging and label issues; this can help you evaluate your business strategies to keep your shipping operation running smoothly.

-Consider outsourcing to a third-party logistics (3PL) company to manage warehousing, picking and fulfillment and liaising with carriers. Outsourcing these logistical aspects to your business frees up resources to divert into customer service.

Planning helps you gain insight into projected shipping delays and estimated deadlines, enabling you to notify your customers about the final day to order goods so they can receive them by Christmas.

Offer Expedited Shipping Options

You also need to consider the shipping times you offer to your customers. Online retail giants like Amazon and eBay offer expedited and same-day shipping, changing the expectations of online shoppers worldwide. Major companies who ship billions of dollars of merchandise annually have much greater flexibility of funds when it comes to waiving consumers’ shipping, so consumers have become accustomed to free shipping.

Large companies that offer fast shipping options force small businesses to do the same to remain competitive and ensure their customers receive their goods promptly and in good condition. But, during the holiday rush, small businesses may feel like offering fast shipping is cost-prohibitive. Here are a few ways you can offer expedited shipping without breaking your budget.

Be Selective with Your Shipping Providers

The most effective shipping method for your goods depends on the types of products you sell. For small packages, parcels and gift cards, UPS, FedEx, and the United States Postal Service are the best choices, as they can provide the fastest shipping times at a more affordable rate. However, for large shipments, fragile items, artwork, furniture, appliances, and bulky or oddly shaped items, the right option is consolidated freight or white glove carriers.

Set a Minimum Purchase Threshold

One way to meet this demand is by having a set order amount that meets your free shipping threshold. This also works to your advantage—the consumer who wants to buy your product may purchase more items to meet your free shipping threshold.

Consider Free Shipping

A recent study by global tech company Pitney Bowes showed that up to 75 percent of online consumers preferred free shipping with a slightly longer delivery time.

To make this a viable option for your business, consider incorporating some freight cost into the product’s price and adjusting your estimated purchase cut-off deadlines to allow for additional delivery time.

Assess Your Inventory

Determine how many products you currently have, how long it typically takes for products to get to customers and your company’s past sales history, especially around the holidays. These factors will tell you what your inventory should look like for the current holiday season and, ultimately, determine the number of supplies you will need to ship your packages.

Stock Up on Essential Shipping Supplies

The shipping supplies you need will depend on the sizes, weights and fragility of your products. Be sure to get a good selection of boxes for the types of products being shipped. Determine the sizes and amount of boxes you’ll use, depending on your inventory and your sales forecast.

Consider the types of products you’re shipping to determine what kind of packaging material to use. If you are shipping fragile products, you’ll need a large supply of protective packaging, such as air pillows, to safeguard the products during shipping. Customers prefer environmentally conscious business practices, so finding air pillow packaging that is compostable or biodegradable is an appealing bonus to many consumers.

The tape to seal the packages is essential for sealing your packaging to prevent spillage, tampering, or theft. Brown shipping tape is activated with water, and it is company logo-printable and tamper-evident. It’s a little more expensive than the more commonly used heavy-duty plastic tape, but anything imprinted with your company’s name can make an impression on consumers and build your brand.

The Takeaway

Christmas is the busiest time of the year, and customers expect their products to be delivered in time to put under the tree. Small businesses can stand out from the competition by ensuring they meet holiday shipping deadlines, but in order to do so, they need a strong fulfillment and shipping plan to help streamline their operation through the festive season.

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Cory Levins is the Director of Business Development for Air Sea Containers

cargo

Logistics Experts Take to the Skies for Air-Cargo Solutions

A major U.S. air carrier sought to fill the void caused by leading same-day delivery services implementing their own fleets in the sky. A Midwest zoo needed to fly in from the West Coast its newest tenants. And a growing air cargo company required logistical expertise to take itself to the next level.  

Whether it’s managing airborne cargo networks, moving animals across the country or breaking air carriers into the delivery business, seasoned logistics professionals proved they were on it. Witness the following air cargo solutions.

Delta Cargo and Roadie

With UPS, FedEx and Amazon having acquired their own planes in recent years to cut down on costs associated with booking flights on major air carriers, Delta Cargo recently turned the tables by getting into the ground transportation business. Based in Atlanta, Delta partnered with Roadie, a local same-day delivery service, to recently launch DASH Door-to-Door and mark an industry-first for a U.S. passenger airline.

The 24/7 pick-up and delivery service, from your business or home, is available from Atlanta to around 60 U.S. cities with more being added all the time. Pairing TSA-approved drivers with air cargo, Delta Cargo and Roadie boast that DASH is the fastest cross-country door-to-door service in the country—and that it’s competitively priced. 

Matt Weisenburg, Delta’s director of Cargo Strategy and Alliances, referred to DASH Door-to-Door as “a game-changer” for Delta, as Roadie has more than 150,000 verified drivers and the largest local same-day delivery footprint nationwide, reaching 89 percent of all U.S. households. DASH includes handling of time-critical shipments in industries including medical, manufacturing, automotive, industrial parts and more. 

 “Customers want what they want when they want it,” said Marc Gorlin, Roadie’s founder and CEO. “This partnership means we can deliver—whether it’s across town or across the country.”

Brookfield Zoo and FedEx

A female sea lion, about age 2, was found in May 2018 at Westward Beach in Malibu, California, where she was unable to care for herself after being weaned from her mother. When staff from the Marine Mammal Care Center in San Pedro rescued her, the sea lion was severely underweight, extremely malnourished and suffering from multiple puncture wounds and fishhooks in her body and one of her eyes, which led to a ruptured cornea. Vision in her good eye was limited.

Six months later and about 90 miles away in Dana Point, California, a second female sea lion, also about 2, was found dehydrated, malnourished and obviously unable to fend for herself. Rescuers from Pacific Marine Mammal Center in Laguna Beach discovered she had lacerations on one of her flippers and chest from a possible boat propeller or predator bite. X-rays later revealed she had 30 to 40 stones in her stomach and, once those passed, she started eating again and was released back to the wild in January 2019. But a month later she was found again at Dana Point Harbor looking emaciated, and a new exam revealed she had a cataract in her right eye.

Experts agreed neither sea lion could survive in the wild, so the respective mammal care centers began looking for permanent homes for them. The National Marine Fisheries Service reached out to Chicago Zoological Society, which agreed that Brookfield Zoo could take in the sea lions. They were introduced to each other at the Laguna Beach mammal center, and animal care specialists from the Chicago zoo flew to California to meet both sea lions, get familiar with their distinct personalities and make arrangements to take them back to Illinois. 

FedEx generously supplied the plane with the precious cargo aboard that arrived at Chicago O’Hare International Airport on Sept. 18, 2019. The zoo named one sea lion Carolyn after Carolyn Frisch, the FedEx employee who made the travel arrangements. The second sea lion was named Sabiena (pronounced Sa-bean-ah) after Sabiena Foster, FedEx’s Chicago regional communications manager and the company’s No. 1 community volunteer.

Frisch and Dan Englund, who together manage the FedEx Live Animal Desk, have a combined 60 years+ experience in moving animals around the world. “I’ve gone to the Brookfield Zoo as a child, have visited with my own children and now I have a namesake there!” said an excited Frisch. “In my 30 years of shipping animals, I’ve never been so honored. There could be no greater acknowledgement of the long-standing relationship I’ve had with the Brookfield Zoo.”

Menzies Aviation and Hermes Logistics Technologies

Operating cargo handling facilities in nearly 40 airports across six continents and handling more than 1.6 million tons of cargo in 2018, Menzies Aviation needed a Cargo Management System (CMS) for its global network. The London Heathrow-based company recently selected the flagship CMS from Hermes Logistics Technologies, the UK’s leading consumer delivery specialist. 

Hermes 5 (H5), the latest version of the CMS, was scheduled to be rolled out at Menzies cargo facilities during the current first quarter. The standardization and open connectivity of the H5 platform allows for complete compatibility and data-sharing across all Menzies’ logistics facilities and services, which cater to customers small, medium and large.

“After benchmarking the industry, we selected H5 as our cargo management system because it was clear Hermes offers the most advanced solutions in the market,” said Robert Fordree, EVP Cargo, Menzies Aviation. “Hermes is in our DNA, we have a shared history and working with them means that we are uniquely positioned to take full advantage of the depth of functionality H5 has to offer.”

Fordree adds that “H5 will be integral to our toolset for achieving our growth trajectory.” Yuval Baruch, CEO of Bracknell, UK-based Hermes, agrees with that sentiment, although he notes Menzies Aviation will be building up “from an already strong foundation.”

Hermes 5 has been adopted by airports, airlines and ground handlers across the globe, including Hanoi Airport, RSA National, LuxairCARGO and CHS Trade in Slovakia since its 2018 launch. “Hermes 5,” Baruch says, “represents the future of cargo management solutions, its open architecture allows for full integration into cargo ecosystems, from warehouses to airports.”

Currently, the CEO and his team are gearing up for the Feb. 14 Hermes Tech Hub in Leeds, where the theme will be, “For the Love of Innovation: How Tech is Driving Personalization in the Retail and Logistics Sector.”

Countdown Begins for RACCA 2019 Spring Conference

Mark your calendars for the 2019 Regional Air Cargo Carriers Association’s (RACCA) Spring Conference taking place at the beautiful Hilton Scottsdale Resort April 23-25 in Scottsdale, Arizona.

Regional Air Cargo Carrier Association members get in-depth coverage of the core issues affecting the industry and workshops for developing business.

The conference will kick off with the Regional Air Cargo Carrier Association’s golf event at the We-Ko-Pa Golf Golf Club at 8:30 a.m.

Registration is now open and includes the opportunity for RACCA members to participate in a special trip to the Frank Lloyd Wright Museum which includes a lunch and wine tasting vineyard.

For more information about the exciting event, visit: Regional Air Cargo Carriers Association Online

 

SOURCING THE BEST CARRIER/AIRPORT CONNECTIONS

Sourcing the best airport connection can be tough when big-name companies such as Amazon Air continue to announce expansions to create and delegate more space for operations. As a prime example, Amazon Air is aggressively taking over regions in the Midwest and South through increased fulfillment centers and expanding air cargo capabilities.

Back in December, Amazon Air confirmed the expansion investment of the Chicago Rockford Airport region by 120,000 square feet to make room for an additional eight-plus planes. The quickly growing logistics network Amazon prides itself in is provided with all the tools needed to continue leveraging growth momentum. Additionally, the company is not afraid to call out the need for the potential threat the expansion poses to competitors UPS and FedEx by adding that such competitive disruption is necessary.

Additionally, Amazon announced plans to expand its network in the Lone Star State at the Lonestar Dallas Air Hub, projecting “to handle multiple flights daily” that “will be tailored specifically to Amazon Air’s larger-scale regional needs.” A Morgan Stanley report estimates that “Amazon’s volumes moving onto Amazon Air are costing UPS/FDX Air roughly 200-300 bps of volume growth.”

Consider the substantial air-cargo growth reported for Budapest Airport. Most recently, the Central European hub confirmed record rates of double-digit growth for three years straight. It seems every time Budapest Airport makes the news, it’s to report on higher growth rates from before.

“These latest figures are exciting as they represent three years of uninterrupted double-digit growth at the airport,” says René Droese, Budapest Airport’s director of Property and Cargo. “We are focusing all our efforts to make good use of the ideal conditions in Budapest and turn Liszt Ferenc International Airport into a major cargo logistics hub for the Central-Eastern European region. For this, we are establishing appropriate technical, security and traffic conditions; the relevant projects entered the phase of implementation last year, and we can successfully complete them this year. As a first step we handed over a 16,000 m2 new cargo warehouse and office capacity for our integrator partners in 2017; their traffic has been constantly developing for years.”

To continue these significant growth rates for 2019, the airport is preparing a new cargo apron to house and simultaneously operate two Boeing B-747-8F freighters.

“The combined value of this development effort in 2019 reaches EUR46 million and is financed by Budapest Airport itself,” Droese notes. “Our goal is to deliver, by the end of this year, an ideal cargo infrastructure for all segments of our well-balanced customer portfolio, for full freighters, belly cargo, integrators and roader feeder trucking, too.”

The common denominator is proactive efforts to leverage and increase the momentum before it’s too late. Key considerations include regional advantages, current and potential partnerships, operational efficiencies and even integrating technology solutions that streamline communications and transports.

“Rising demand is illustrated by the fact that last year a number of widebody and jumbo freighters were being loaded at the airport each day, including Boeing B-747s operated by Cargolux, AirBridgeCargo and Silk Way West, and Airbus A300s, A310s, A330s used by Turkish Cargo and Qatar Airways Cargo,” Droese says.

Many might recall the June 2018 Air Cargo Advance Screening Program mandating foreign shipments to be subject to providing a laundry list of pre-arrival cargo data when the U.S. is the final destination, per measures from the Department of Homeland Security. Strict screenings such as these have been implemented globally, as recently reported for Dubai Customs, which prides itself on significant progress in performance due to the advanced infrastructure as well as supportive government policies assisting in facilitating global trade efforts. The success is also paired with a proactive approach involving careful evaluation and research of trade trends.

Director of Dubai Customs, Ahmed Mahboob Musabih, explains: “We have an integrated strategy in place to develop the external trade performance further following the vision of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, vice president, prime minister and ruler of Dubai, and along with the guidelines of Dubai Plan 2021 and the UAE Centennial 2071. We are watching closely the changes taking place in the international trade and we will turn challenges into opportunities by entering new markets and expanding our existing ones.”

More recently, however, Dubai Customs reported several cases where significant smuggling attempts were stopped because of the diligence and seamless communication strategies in place. One report identified 922 successfully prevented smuggling attempts, of which 38.5 percent were drug contrabands. Even more interesting is the time-frame the attempts occurred: between January and September of 2018.

“Thanks to our inspectors’ vigilance, we are closely in full control of all checkpoints,” explains Ibrahim Al Kamali, Dubai Customs’ director of Passenger Operations. “Our inspection officers receive the best training on body language and different types of drugs, and how to distinguish fake brands from genuine ones.”

“There are challenges facing customs authorities in countries that have strategic locations,” Musabih points out. “Dubai is not an exception. It’s strategically located between East and West, and it has spent billions of dirhams to develop its infrastructure, ports and airports.

“The Emirate has also provided an unprecedented host of services and products, including the iDeclare application which significantly reduces passengers’ time needed to declare different belongings. These advanced services will facilitate passengers’ entry into the country.”

From security and trust to reliability and competition, sourcing the best carrier and airport connection needs to align with customer needs, the types of products being transported, and compliance efforts for the region. Just because an airline is associated with a big brand does not guarantee a seamless transport of goods.

Conduct necessary research and review updated reports to learn and identify an airline’s strengths and areas of improvement. No two carriers are the same, and the options available depend on the amount of knowledge you have going in and what fits your long-term and short-term needs. Consider the partnerships involved with the airline of your choice and how these partnerships create competitive advantage. If you can’t identify what makes a carrier or airline significant, it might be time to reconsider market options.

Descartes Air Cargo Advance Screening Solutions Provides Compliance Technology

Nippon Cargo Airlines confirmed this week the implementation of the Descartes Air Cargo Advance Screening Program to support efforts towards compliance for air cargo imports to the U.S. The announcement confirmed with the mandatory advanced security filings taking place, the company will rely heavily on the required ACAS to meet compliance requirements.

“Compliance with regulations, such as ACAS, is essential to ensuring safe and secure operations for our customers and NCA,” said Keita Sataka, Senior Vice President at NCA. “Descartes has a strong history of providing NCA and the air cargo industry with customs and security filing technology, and their ACAS solution provides a proven, reliable, cost effective way to meet data collection and submission requirements.”

The functionality of the ACAS requires pre-loading data to be submitted, following mandatory data requirements for air forwarders and carriers. The Descartes Global Logistics Network streamlines  the validation process by managing the flow of master and house bill information with automation.

“We’re pleased to help NCA comply with ACAS requirements,” said Scott Sangster, VP Global Logistics Network at Descartes. “Air cargo transportation is a vital part of the growing international logistics market, and Descartes’ solutions help carriers, like NCA, and other stakeholders in the air cargo community accelerate the movement of freight while meeting important security initiatives worldwide.”

Source: Descartes

New Interjet Service Links Houston and Monterrey, Mexico

Houston, TX – Interjet has officially began flight operations linking George Bush Intercontinental Airport in Houston, Texas with Monterrey International Airport in Monterrey, Mexico.

The airline will now offer passengers a choice between two daily flights Monday through Friday and one daily flight on Saturdays and Sundays.

Depending upon demand, the airline will feature service aboard its 150-seat A-320 and its 93-seat Superjet 100 aircraft, with passengers departing from Terminal D at the airport’s Mickey Leland International Terminal.

Interjet’s daily service will include service twice a day Monday through Friday, and once a day on Saturday and Sunday.

The arrival of Interjet is the latest example of an unprecedented level of growth for international air travel in Houston.

George Bush Intercontinental Airport is currently on pace to see more than 10 million international passengers in 2014, a number never  reached in the facility’s 45 year history.

10/23/2014

Global Air Cargo Volume to Double by 2033

Chicago, IL – Boeing has released a report projecting air cargo traffic to grow at an annual rate of 4.7 percent over the next 20 years, with global air freight traffic expected to more than double by 2033.

Major air cargo carriers were severely hit by the global financial crisis in 2008 and, despite a rebound in 2010, worldwide air cargo traffic has remained flat in recent years, the World Air Cargo Forecast said.

The market began to see growth again in second quarter of 2013 reaching 4.4 percent for the first seven months of 2014 compared to the same period a year earlier.

If this trend continues, 2014 will be the highest growth year for the air freight industry since 2010, according to the Boeing report.

“We see strong signs of a recovery as air freight traffic levels continue to strengthen after several years of stagnation,” said Randy Tinseth, Boeing’s Commercial Airplanes’ vice president of marketing.

The global air cargo market “is now growing at nearly the long-term rates,” he said in a statement.

The new forecast shows Asia-North America and Europe-Asia will continue to be the dominant world air cargo markets with the most traffic volume. Intra-Asia, domestic China and Asia-North America markets are expected to have the fastest growth rates over the next 20 years.

With increased air cargo traffic, the world freighter fleet is also expected to grow with deliveries of 840 new factory-built airplanes and 1,330 passenger-to-freighter conversion airplanes.

More than 52 percent of those deliveries are expected to replace retiring airplanes and the remainder used for fleet expansion.

10/17/2014