September 2014

From the Editor

  • The pain of restructuring

    In this issue we have stories on two very interesting developments – one that comes as little surprise and the other quite unexpected.... Read More

Airports & Ground Handling

  • Hacis doubles business with Expeditors

    Hong Kong Air Cargo Industry Services Limited (Hacis) – the addedvalue- logistics subsidiary of Hactl – has more than doubled its business with Expeditors Hong Kong, with the provision of its Airport Direct Export service to the major logistics company.... Read More
  • Munich’s AeroGround signs Adria for full-handling

    AeroGround Flughafen Mùnchen, the ground handling subsidiary of the Munich Airport operating company (FMG), has reached agreement with the Slovenian airline Adria Airways on a longterm full-handling contract at Munich Airport. The contract covers aircraft and baggage handling, to be performed by AeroGround, as well as cargo handling through Cargogate.... Read More
  • Integrator offsets maindeck plummet at Brussels

    Cargo volumes carried from Brussels Airport stabilised in the month of July, down slightly by 0.8 per cent year-onyear to 36,883 tonnes with belly cargo seeing a 7.4 per cent increases to 11,882 tonnes, confirming what the airport said was the positive trend started at the end of last year.... Read More
  • AAT is awarded GDP pharma certification

    Asia Airfreight Terminal (AAT) has successfully attained the ‘Good Distribution Practices (GDP) for Pharmaceutical Products’ certification by SGS Hong Kong (SGS) on 30 July 2014. AAT is in strict compliance with the GDP requirements set out by the World Health Organisation (WHO) to handle pharmaceutical products. SGS has conducted a comprehensive onsite GDP assessment at AAT’s terminal in Hong Kong International Airport, and AAT has been successfully certified for its satisfactory and full compliance with GDP standards and requirements.... Read More
  • Global air freight grows at 2.2% in June

    Global air freight markets achieved moderate growth of 2.2 per cent for the month of June, according to statistics from the Airports Council International (ACI).... Read More
  • Hactl pioneers pharma GDP cert in HK

    Hong Kong Air Cargo Terminals (Hactl) – Hong Kong’s largest cargo handler – is the first handling facility at the airport to achieve Good Distribution Practices (GDP) accreditation, bringing it in line with the World Health Organisation’s (WHO) quality assurance guidelines for the handling of pharmaceuticals.... Read More
  • Rickenbacker exports to Asia and Europe

    Rickenbacker International Airport will begin seeing exports directly through New York (US) on to Hong Kong (China) and Luxembourg from September.... Read More
  • Foreign ground handler sought for Dhaka gateway

    Biman Bangladesh Airl i n e s has announced plans to modernise ground handling services at Dhaka’s Hahjalal International Airport by inviting foreign ground handling companies to submit proposals for jointly modernising handling at the country’s main gateway airport.... Read More
  • China’s airports see 4.9% cargo growth

    China’s overall air cargo volume grew4.9 per cent in 2013 to about 11.4 milliontonnes, with airports in Beijing, Shanghaiand Guangzhou handling 51.8 per cent ofthe total throughput.... Read More
  • Da Nang Int’l Airport opens new cargo terminal

    Vietnam’s Da Nang International Airport has welcomed the addition of a new cargo terminal due to open in August, that is expected to handle up to 16,000 tonnes of cargo annually.... Read More
  • Pune Int’l Airport to get cargo terminal

    The announcement of a new international cargo terminal at the Pune airport has been welcomed by farmers in the region, who will soon be able to save both time and money shipping their produce out from Pune.... Read More
  • Heathrow airfreight up 7.8 per cent

    Cargo traffic grew 7.8 per cent to 128,206 tonnes at Heathrow Airport in July with Mexico, Russia and China contributing to the increase during the summer month, according to a company statement.... Read More
  • Abu Dhabi Airport’s H1 cargo traffic jumps 16%

    Cargo volume through Abu DhabiInternational Airport climbed 16 percent to 377,885 tonnes in the first half ofthis year over 2013. Like neighbouring Dubai, Abu Dhabi is rapidly expandingits aviation sector; the emirate’s stateownedflagship carrier Etihad Airwayshas become an important tool for AbuDhabi to diversify its economy beyond oil.... Read More
  • Dnata receives RA3 certification in Philippines

    Dnata’s ground handling operations in Manila has secured RA3 certification for its ramp services at Ninoy Aquino International Airport. RA3, or ‘Third Country EU Aviation Security Validated Regulated Agents’, is a supply-chain security initiative of the European Union.... Read More
  • O’Hare Int’l Airport sees 8.5% cargo growth in H1

    Chicago’s O’Hare International Airport expects cargo volume handled at the airport to touch 1.36 million tonnes in the current year. In the first half of this year, the airport recorded an increase of 8.5 per cent to 669,956 tonnes over the same period in 2013.... Read More

IT & Equipment

  • Accenture releases new version of ACO

    Accenture is offering a new version of its Air Cargo Operations software, part of the Accenture Freight and Logistics Software portfolio, intended to help air cargo carriers run more efficient and flexible cargo operations from acceptance of cargo at origin through delivery of cargo at destination.... Read More
  • Air Astana goes to SITA for ops/ATC messaging

    Air Astana has selected air transport communications and IT specialist, SITA, to provide messaging for operations, communications with partners and advanced datalink for air traffic control.... Read More
  • Air China cuts fuel bill with SITA solution

    One of the world’s largest airlines, Air China, is set to save around US$8 million a year in fuel costs, thanks to payload and live weather update technology from air transport IT specialist, SITA.... Read More

Cover Story

  • Releasing United Cargo’s untapped potential

    It is a transformational time at United Cargo – with the merger process in full swing and a new cargo boss injecting fresh perspective – and with this process comes the unparalleled opportunity to unleash what the new president of United’s cargo division, Jan Krems, sees as the vast untapped potential of ‘volcanic’ proportions. By Donald Urquhart.... Read More


  • Agility sees 1H profit up 11% in sluggish markets

    Agility has announced its financial results for the second quarter of 2014, reporting a net profit of KD 12.9 million (US$45.5 million), an increase of 12 per cent compared to the second quarter of 2013. Revenues for the second quarter stand at KD 341.7 million, a four per cent decrease compared to the same period last year. EBITDA stands at KD 25.1 million, a six per cent increase compared to Q2 of 2013.... Read More
  • DB Schenker’s Vietnam JV now fully owned

    DB Schenker has strengthened its foothold in Vietnam’s logistics arena with the recent acquisition of the outstanding 49 per cent of the shares in its joint venture with Gemadept Logistics.... Read More
  • CEVA confident on future as 2Q results down

    Saying he was pleased with the progress made in rebuilding the leadership team at CEVA, the group’s CEO, Xavier Urbain, said: “Our performance improvement coupled with the strong increase in our new business pipeline points to the company being on the right track for growth... The numbers show we are gaining traction and are positioned well to make further progress in the future.”... Read More
  • DHL wins contract with Lufthansa Technik Logistik

    DHL Global Forwarding, the air and ocean freight specialist within Deutsche Post DHL, has announced a new threeyear contract to handle the transatlantic transport of spare parts and tools for the Lufthansa subsidiary Lufthansa Technik Logistik Services GmbH.... Read More


  • Key exec changes at HK Airport Authority

    While the issue of Hong Kong International Airport’s third runway is coming to a boil, the Airport Authority Hong Kong (AAHK) has undergone a major restructuring.... Read More
  • Big interest in HK’s third runway enviro study

    Submissions from companies and the general public have steadily flowed in following the Hong Kong government’s publication of the Environmental Impact Assessment (EIA) report for the Hong Kong International Airport’s (HKIA) proposed three runway system. Wong Joon San reports.... Read More

Express & Mail Supplement

  • E-commerce fuelling China express demand

    As China moves further up the ladder to improve the quality of its manufactured products through greater value-added services and enhancing the reliability of delivery, the increase in the need for express delivery providers in the country, both domestically and internationally, is growing day-by-day. Wong Joon San reports.... Read More
  • E-commerce: Certain impact, uncertain direction

    That e-commerce is impacting the express and mail segments of air cargo is beyond dispute, but opinions vary greatly as to by how much and what the end result will be, with most agreeing it would be most unwise to underestimate its impact. Michael Mackey reports.... Read More


Belly Ache


  • Air China, Lufthansa sign strategic partnership

    Air China and the Lufthansa Group have signed a memorandum of understanding to expand the scope of the strategic partnership between their companies.... Read More
  • Atlas Air reports 48% rise in Q2 net profit

    Atlas Air Worldwide Holdings posted second-quarter net income of US$29.6 million, up 47.5 per cent from the $20 million net profit reported in the yearago quarter.... Read More
  • US cargo start-up Western Global secures AOC

    Western Global Airlines (WGA) has secured its Air Operators Certificate (AOC) with plans to commence both local and international cargo flights shortly.... Read More
  • IATA members carried 48m tonnes in 2013

    Globally, the 240 International Air Transport Association (IATA) member airlines – representing 84 per cent of global air traffic - carried nearly 48 million tonnes of cargo in 2013 of the cargo with freight tonne kilometres up only 1.8 per cent compared to 2012, but never-the-less an important reversal of the 1.1 per cent contraction that 2012 saw over 2011.... Read More
  • Virgin Atlantic appoints Globe Air Cargo in Dubai

    Virgin Atlantic Cargo has appointed Globe Air Cargo as its general sales and service agent in Dubai in a move to simplify its freight and courier express sales for customers in the UAE and take advantage of the Dubai market’s strong growth forecast. Virgin Atlantic has served Dubai for over eight years with its daily A330-300 flights each offering some 20 tonnes of cargo capacity.... Read More
  • IAG Cargo sees 12% rev drop on freighter exit

    IAG Cargo announced its Q2 results from 1 April to 30 June, reporting a 12 per cent drop in commercial revenue (flown revenue plus fuel surcharges) of €238 million versus €271 million for the same period last year, as a result of depressed yields and a significant drop in capacity after the carrier’s move to cease operating its own dedicated freighters in April.... Read More
  • Virgin takes delivery of 802 lightweight ULDs

    Virgin Atlantic Cargo has taken delivery of its first 802 lightweight air cargo containers and will add a further 250 new units in the coming weeks as part of its sustainability programme to save fuel and reduce its carbon footprint.... Read More
  • IAG Cargo to Operate B787 on London-Chennai Route

    IAG Cargo has announced that businesses operating between London and the burgeoning Indian city of Chennai are to benefit from the introduction of the B787 to the route.... Read More
  • Air cargo volume growth slows in June: IATA

    The International Air Transport Association (IATA) released data for July’s global air freight markets showing 2.3 per cent growth in demand (measured in freight tonne kilometers) over June 2013, a growth rate that is slower than the 4.9 per cent growth reported for May.... Read More
  • Intradco arranges horse charter for Cavalia tour

    Intradco Cargo Services, a whollyowned subsidiary of charter specialist Chapman Freeborn, has successfully orchestrated an operation to fly 37 horses from Brussels to Singapore Changi Airport last week.... Read More
  • Etihad-Alitalia deal is sealed, cargo is on

    Etihad Airways and Alitalia have finally sealed their partnership, making the financially troubled Italian legacy carrier the eighth airline in Etihad’s Equity Alliance.... Read More
  • Russian retaliation over spiraling sanctions

    Russia’s import ban on most food products from the EU and US, along with several other countries including Australia, Canada and Norway in retaliation against the latest round of sanctions over the Ukrainian crisis has seen two neighbouring countries thrust into the role of food transshipment centres.... Read More
  • PIA optimistic of resuming cargo ops to EU

    Pakistan International Airlines (PIA) is hoping to receive its ACC3 (Air Cargo or Mail Carrier operating into the Union from a Third Country) validation that will allow it to resume cargo service to Europe, which was suspended on 28 July.... Read More
  • Northern Iraq conflict scatters carriers

    International airlines are steering clear of Iraq since fighting intensified during the first week of August which prompted US air strikes on Islamist fighters in northern Iraq.... Read More
  • Oman Air Appoints New CEO

    Government-owned Oman Air has appointed Paul Gregorowitsch as its new chief executive officer replacing Wayne Pearce, who left the company after serving more than two years as the CEO.... Read More
  • Oman Air Appoints New CEO

    Government-owned Oman Air has appointed Paul Gregorowitsch as its new chief executive officer replacing Wayne Pearce, who left the company after serving more than two years as the CEO.... Read More
  • Etihad launches Moscow maindeck service

    Libya’s state-owned airlines, Afriqiyah AiEtihad Cargo has launched, from today, twice weekly freighter rotations linking Abu Dhabi (AUH) and Moscow Domodedovo (DME) airports.... Read More
  • Qatar ups Delhi maindeck to twice weekly

    Qatar Airways Cargo started operating its second freighter service to Delhi, India from 22 July.... Read More
  • Qatar’s African network expands to include Eritrea

    Qatar Airways has announced a furtherexpansion of its African operations withplans to launch scheduled twice-weeklyflights to Eritrea’s capital city Asmara,effective 4 December.... Read More
  • Emirates adds second daily Nigeria service

    Emirates has now connected Abuja, the Nigerian capital, to its worldwide network making it the carrier’s 26th destination in Africa and its 144th worldwide.... Read More
  • Emirates boosts Chicago cargo capacity

    Emirates SkyCargo, the freight division of Emirates, has boosted its capacity to America’s third largest city, Chicago, with the start of daily non-stop flights.... Read More
  • Royal Jordanian cuts three more routes

    Royal Jordanian has announced it will stop services to Delhi and Mumbai in India and Lagos, Nigeria in light of the airline’s restructuring plan, including its route network.... Read More
  • SkyCargo’s perishables traffic continues to bloom

    Emirates SkyCargo said in mid- August that it had carried 55,246 tonnes of temperature sensitive goods since it moved operations to Al Maktoum International at Dubai World Central (DWC) on 1 May.... Read More
  • Etihad launches specialty equine service

    Etihad Cargo has launched a new equine service, called SkyStables, which is being rolled-out across Etihad’s network of 44 freighter destinations, with personalised charter services to other cities also available.... Read More
  • Fail: India derails WTO talks

    Negotiations for the first major global accord in the World Trade Organisation’s 19-year history which would have standardised customs rules, collapsed today over food-subsidy objections raised by India.... Read More
  • India’s Air Pegasus to take flight mid-Sept

    Bangalore International Airport is set to see its third start-up airline take flight, after Air Deccan and Kingfisher, which blazed the Indian skies before going off the radar for differing reasons in a notoriously difficult business environment.... Read More
  • Tata, SIA unveil ‘luxury airline’ Vistara

    India’s newest airline was unveiled last month marking a distinct break from the trend within the Indian market to promote low cost carriers. Aimed at the ‘luxury’ market the new Vistara airline should fly by October, according to its backers the Tata Sons Group (51 per cent) and Singapore Airlines (49 per cent).... Read More
  • 24 airports to get dedicated domestic cargo terminals

    The Airports Authority of India (AAI) has identified 24 airports in the country for the development of dedicated air cargo terminals, like those at Coimbatore, Thrissur and Mangalore in order to establish a national logistics network for faster movement of goods.... Read More
  • Garuda delays aircraft deliveries amid losses

    Amid ongoing financial losses, Garuda Indonesia is delaying delivery of aircraft that are scheduled to arrive this year in a move that will likely postpone the airline’s expansion.... Read More
  • Royal Brunei sees 20% rise in cargo volumes

    Royal Brunei Airlines (RB) reported a 20 per cent growth in its cargo business over the past 12 months following an outsourcing agreement with Air Logistics, according to a report from Centre for Aviation (CAPA).... Read More
  • ANA backs out of Asian Wings stake

    Japan’s All Nippon Airways (ANA) has dropped its plan to buy a 49 per cent stake in Myanmar airline, Asian Wings Airways, blaming “intensified’’ competition in the country as it quickly emerges from years of economic isolation.... Read More
  • Two Philippine carriers seek ASEAN designation

    Cebu Pacific and Philippine Airlines are seeking approval from the CAB to be the country’s official carriers under two of the Association of Southeast Asian Nations (ASEAN) multilateral agreements on air services - the ASEAN Multilateral Agreement on Air Services and ASEAN Multilateral Agreement on the Full Liberalisation of Air Freight Services.... Read More
  • Cebu Pacific seeking more Thai, Taiwan flights

    Budget carrier Cebu Pacific Air is seeking additional flights to Thailand and Taiwan as part of broader plans to ramp up its presence in the region, separate filings with the Philippine’s Civil Aeronautics Board showed recently.... Read More
  • PAL turns a profit, tycoons tangle for control

    The battle for control of Philippine Airlines (PAL) – Asia’s oldest airline – continues between two of the country’s richest tycoons as the Lucio Tan Group presented a buyout proposal to Raymond Ang’s San Miguel Corporation (SMC) for its 49 per cent stake in Philippine Airlines.... Read More
  • China’s Urumqi Airlines granted AOC

    China’s Urumqi Airlines – 70/30 joint venture between Hainan Airlines and the Urumqi Urban Construction Investment Co. – has been granted its Air Operator’s Certificate (AOC) by the Civil Aviation Administration of China (CAAC).... Read More
  • Cathay Pacific invests in US biofuel developer

    Cathay Pacific Airways announced today that it is the first airline investor in Fulcrum BioEnergy, Inc., a US-based sustainable biofuel developer, as part of the airline’s biofuel strategy and to help it achieve a target of carbon-neutral growth from 2020.... Read More
  • Boeing Shanghai redelivers 3rd B737-400F conversion

    Boeing Shanghai Aviation Services Co., Ltd., (Boeing Shanghai) has redelivered the third of three B737- 400 passenger-to-freighter conversions to Hainan Airlines and Yangtze River Express, both subsidiaries of the HNA Group.... Read More
  • China Southern anticipating better H2

    China Southern Airlines, Asia’s largest carrier by passengers, forecasts a better second half after a loss in the first six months of 2014 as economic growth picks up and China’s currency volatility eases, chairman Si Xianmin said.... Read More
  • SIA Cargo revenue down despite yield gain

    The Singapore Airlines Group earned an operating profit of SG$39 million (US$31.2 million) in the first quarter of the 2014-15 financial year, $43 million (-52.4 per cent) lower than last year.... Read More
  • China Airlines offers new cargo opportunities for NZ

    China Airlines is to operate three flights a week between Taipei and New Zealand’s Christchurch during the country’s summer season from December 2014 to March 2015.... Read More
  • AirAsiaX to offer KL-Chongqing in Feb

    AirAsia X is expanding further into China with the introduction of its latest direct flights from Kuala Lumpur to Chongqing as its sixth destination to China after Hangzhou, Chengdu, Beijing, Shanghai & Xi’An.... Read More
  • Malaysia Airlines to delist for “complete overhaul”

    Malaysia’s state investment company said it plans to make Malaysia Airlines fully government owned by delisting it from the country’s stock exchange in order to undertake a major overhaul of the beleaguered carrier.... Read More
  • THAI Cargo joins carriers banning shark fin cargo

    Thai Airways International Public Company Limited (THAI) has announced that the carrier has implemented a strict cargo policy prohibiting the shipment of shark fins on THAI Cargo, effective from 15 July 2014.... Read More
  • Thai eyes return to profits with significant restructuring

    Thai Airways International said it expects to return to profit earlier than expected in the fourth quarter and will cut 1,500 jobs this year as part of a restructuring plan at the troubled national carrier.... Read More
  • ECS Group member Globe Air wins AirAsia biz

    Globe Air Cargo India, part of the ECS Group, has been appointed Cargo General Sales & Services agent (GSSA) for AirAsia India.... Read More
  • Cathay, Dragonair see 15% June cargo jump

    Cathay Pacific Airways has released combined Cathay Pacific and Dragonair traffic figures for June 2014 showing the two airlines carried 140,444 tonnes of cargo and mail in June, an increase of 15 per cent compared to the same month last year.... Read More