AirBridgeCargo looks west in China
AirBridgeCargo Airlines has substantially expanded its route network, connecting destinations in Europe and Asia through its new air cargo hub operations at MoscowÃ¢â‚¬™s Sheremetyevo Airport last year, and the hubÃ¢â‚¬™s contributions are substantial, a senior executive says. By Wong Joon San.
July 1, 2010
Ã¢â‚¬Å“Best industry practices are being studied and introduced, new jobs created and new transit traffic flows attracted,Ã¢â‚¬Â he told delegates attending the recent Transport Logistic China 2010 conference in Shanghai.
Song says that as investment in China was going West, logistics services providers had to follow suit. Pointing out that higher incomes in the coastal provinces was making it expensive for export-oriented manufacturers who were also being squeezed by global cost pressures.
Minimal wages were also being increased in order to attract the work force back to coastal areas, but he warned that these higher wages will boomerang back into cost of production.
Song says that congestion in and around airports will not ease but would rather worsen in the coming years as more passenger flights will be introducedto cater to the needs of the travelling public with higher disposable income.Ã¢â‚¬Å“Favourable policies of Central and localgovernments will encourage factories(therefore freighter operators) to exploreWestern China as the next base of exportproduction and logisticsÃ¢â‚¬™ development,Ã¢â‚¬Âhe says.
Turning to Moscow, Song says that the Russian capital had an advantageous geographical location between Europe and Asia, as well as the largest and growing consumption market in that country. He points out that the airport there is free from congestion and is open for development and expansion.