The Daily Telegraph has reported that UK-based CargoLogicAir, would not be subject to sanctions as its owner, Alexey Isaikin, is a Cypriot citizen. This is in spite of his earlier involvement with Russian all-cargo carrier Volga-Dnepr Group, operator of the AirBridgeCargo fleet now banned from Europe and the US. CargoLogicAir operates two 747-400F freighters.
Ex-Soviet colonel can keep flying his jumbo jets to Britain (msn.com)
The global air cargo market continued to catch up with pre-pandemic levels in February as freight volumes, capacity and load factors stabilised close to 2019’s performance, with rates also slowly trending downwards, according to the latest data from CLIVE Data Services.
Chargeable weight in February was at -0.7% to the pre-Covid level in 2019, and +2.6% compared to February 2021, with capacity in the market standing at -5.4% and +6.9% to the respective 2019 and 2021 figures.
CLIVE’s ‘dynamic load factor’ of 65% was 4.5% pts lower than in 2021 and close to 2% pts higher than in 2019.
But it warns that the war in Ukraine means that the market is heading into another period of significant uncertainty.
Managing director Niall van de Wouw, said: “Airfreight market conditions feel insignificant when you see what is happening in Ukraine and the suffering of the Ukrainian people since Russia’s invasion.”
“The war in Ukraine is another example of an external event of which the air cargo industry has no control over, but which is having a profound impact, as happened with Covid. When we consider the recovery of the aviation industry from the pandemic, the return of passengers is still a big question mark. The war in Ukraine presents another big question mark, particularly over Europe-Asia trade flows. It is difficult to overestimate what this could mean down the line.”
The sudden drop in capacity on Europe-Asia routes and overflight issues were already having an effect into North East Asia routes in the closing days of February, he said. Rising oil prices are also expected to significantly impact global airfreight rates.
Niall van de Wouw added: “Whilst we were seeing some clear signs of normality returning, there is still so little slack in the global air cargo system. It is quite unlikely that the trend of slowly declining rates will continue in March. The war in Ukraine causes immediate capacity issues to North East Asia and, therefore, will likely cause push up rates even more for these particular markets.
“Air cargo trucking services might also be affected as numerous Ukrainian drivers – which form an important share of the truck drivers in Europe – have decided to go back to their home country. A fragile global air cargo supply chain is already sensitive to minor shocks. War in Europe and its resulting sanctions could turn the industry upside down once again, just at the time when the covid impact was looking more under control. We remain in volatile and uncertain times.”
UK-based charter company Air Charter Service (ACS) has arranged its first cargo relief flights in aid of refugees from the war in Ukraine. The first, a 737 freighter from the UK to Rzeszów – about 30 miles from the Ukraine border – took place on 2 March and ACS says it has at least six more flights planned for various organisations at time of writing. It has put its emergency response procedures in place to help deal with what could be a significant airlift.
ACS cargo personnel will be shortly arriving in Poland, to coordinate future flights into Warsaw, Rzeszów and Chișinău and further flights are being planned into multiple countries bordering Ukraine.
During previous large scale humanitarian relief operations, a large amount of air cargo capacity has been provided by specialist operators of large freighters such as the An124 and the now destroyed An225 (pictured, during happier times). However, says ACS, the industry must now mobilise with a smaller pool of aircraft available than would normally be the case due to many of these specialist cargo airlines being either Russian, which will obviously not be used, or Ukrainian who in many cases have had their operations disrupted or aircraft destroyed.
ACS director for humanitarian services Ben Dinsdale said: “The cargo so far has been medicines and tents being sent from airports in the UK, Switzerland and the Middle East. It is an evolving situation but there is the potential for a significant number more flights if the number of potential refugees being reported is accurate.
“The cargo industry is going to have to move into yet another gear to help deal with increased demand and the smaller pool of aircraft now available. In a market already struggling for available aircraft due to the well-publicised supply chain issues gripping the world, we have mobilised our cargo team and emergency response procedures to ensure we can find solutions for all relief flights heading to the region.”
Group cargo director, Dan Morgan-Evans added: “This is a heart-breaking situation. Having spoken to some of our colleagues who work for our Ukrainian airline partners, the stories are terrifying, and we plan to pull out all the stops to make sure we do our part in the operation and get as many humanitarian flights into surrounding countries where refugees have been arriving.
“The fact that a number Ukrainian aircraft that would normally be used in such humanitarian operations have been destroyed during this invasion just compounds the challenge the industry now faces. I am confident however that, as an industry, we will all rise to this challenge as we have so many times before.”
He concluded: “The fact that so many of our cargo aviation colleagues in Ukraine, who have contributed so much to so many refugee crises around the world are now refugees themselves is devastating, and we would ask any of them needing help to reach out to us and we, or our people on the ground in Poland, will do all we can to help.
“Beyond focussing on the charters, we are also looking today at what more we can do to help as a company and hope to have a plan in place this week.”
Well known industry figure Steve Polmans is to become vice president of business development and regulatory affairs at Abu Dhabi Airports Free Zone (ADAFZ).
In his new role, Polmans will establish an integrated long-term strategic plan for ADAFZ, oversee regulatory affairs and compliance matters and be responsible for new projects.
He brings a wealth of cargo experience previous roles as chief customer officer at Nallian, chairman of The International Air Cargo Association (TIACA) and founder and chairman of Air Cargo Belgium.
Abu Dhabi Airports chief commercial officer, Francois Bourienne, commented:
“We are confident his experience in (will) help drive further expansion at Abu Dhabi Airports Free Zone that is an increasingly attractive option for businesses that wish to set up in Abu Dhabi and leverage our strategic location, excellent connectivity through three international airports and a wide range of landside and airside facilities.”
The sole operating example of the world’s largest aircraft – the Antonov An-225 – has been destroyed in fighting for the Antonov Airlines base at Hostomel airport, Kyiv, the BBC reports, quoting Ukraine’s Foreign Minister Dmytro Kuleba. Originally built to transport the Soviet Space Shuttle, the six-engined An-225 was used by Ukraine-based Antonov Airlines mainly to carry outsize loads, including many related to the Covid pandemic.
In a tweet, Kueba said: “This was the world’s largest aircraft, AN-225 ‘Mriya’ (‘Dream’ in Ukrainian). Russia may have destroyed our ‘Mriya’. But they will never be able to destroy our dream of a strong, free and democratic European state. We shall prevail!”
Avia Solutions’ UK-based aircraft charter specialist Chapman Freeborn has appointed NAQEL Express as its exclusive partner in Saudi Arabia. Michael Harradine, NAQEL Express director for the global freight forwarding division Michael Harradine, said the partnership would give clients direct access to the cargo air charter and on-board courier capabilities of Chapman Freeborn with direct control and transparency for the fulfilment of air charter needs of global and local firms in Saudi Arabia. He said that NAQEL is the largest overland express carrier in the Kingdom and one of a select group of firms operating as Authorized Economic Operator (AEO) for Saudi Customs.
(Picture: Wolfgang Inderwies)
IAG Cargo, the cargo division of International Airlines Group, comprising British Airways, Iberia, Aer Lingus, Vueling and bmi, reported record financial results in 2021, with annual revenues up 30% over 2020 of €1,673 million for the year to 31 December. The carrier said it reflected surging demand for air cargo capacity as global trade rebounds. Overall yield for 2021 was up 11.3% at constant currency versus 2020 and sold tonnes were up 21.4%.
Demand for air cargo exceeded 2019 levels throughout 2021 and the business continued to align its network to customer demand with cargo-led flying, increased frequencies on important trade routes and implementing an active charter programme of 745 rotations.
The year ended very strongly with quarterly record revenue of €499 million in the fourth quarter, up from €389 million in Q4 of 2020 thanks to ecommerce and hi-tech flows from South East Asia into North America and automotive parts from the UK and Europe. Hong Kong demand remained very buoyant and from mid-December the business directed volumes to flow via Bangkok as crew quarantine restrictions limited direct flights. IAG Cargo also moved large volumes of what are typically seen as non-airfreight commodities as shippers favoured shorter delivery times and volumes shifted from sea to air against a background of supply chain disruption, port congestion and low inventories.
IAG Cargo managing director David Shepherd said: “Since joining the business in August 2021 I’ve been extremely impressed by the way in which the talented team at IAG Cargo have optimised the opportunities which the market has presented. In 2021 the role of air cargo remained very much in the spotlight. Our people went above and beyond to find solutions to the global capacity crunch and airfreight restrictions. These results are a reflection of their determination and creativity.
“I’m also proud of our work in the fight against Covid-19. In 2021 our cold chain, Constant Climate, service was responsible for shipping millions of doses of life-saving COVID-19 vaccines to almost every corner of the world.
He added that IAG also improved its website and expanded partnerships with third party platform providers.
It says 200 Russian helicopters and a landing force were used to seize it.
On 24 February, a battle was reported to be raging for control of the base, known as Antonov International Airport, 10km north-west of Kyiv. The Russians were understood to have taken control earlier in the day but later, official Ukraine news sources reported that the country’s forces had retaken it.
The BBC said that the fighting there was understood to be the closest that Russian forces have managed to get to the Ukrainian capital on the first day of their invasion. A spokesperson for Antonov Airlines said yesterday (24 February) that all staff had been evacuated from the base and were safe, as far as was known.It is not known which aircraft, if any, were at the base at the time of the attack. However, earlier reports of the destruction of the unique AN225, the world’s largest aircraft now appear to have been discounted. One unconfirmed report suggests that the AN225 is currently in Georgia.
DHL’s Global Forwarding arm says it is now giving its customers the ability to neutralize their CO2 emissions for air freight as well as ocean on all trade lanes under its GoGreen Plus service.
Under the scheme, emissions are reduced by replacing the amount of conventional fossil fuel needed with sustainable fuel and customers can pick and choose which parts of their supply chain they want to truly decarbonize.
GoGreen Plus Service can be added while booking online and the appropriate amount of biofuel is purchased for the respective shipment is used in partners’ aircraft or ships.
Lufthansa Cargo is to launch an A321-operated medium-haul freighter network from 15 March, including. The network will be centred on Frankfurt and will also cover Manchester, Dublin, Istanbul, Tel Aviv, Malta and Tunis, with Cairo joining the network on 29 March.
The A321F will make its first commercial flight from Frankfurt to Dublin on 15 March.
The German carrier said it was responding to the continuing growth in demand from the eCommerce industry.
The carrier’s chief commercial officer, Ashwin Bhat, said: “With the added medium-haul freighters, we are opening up a whole new strategic business segment. In the future, the A321F will offer attractive same-day and eCommerce solutions within Europe and to selected medium-haul destinations, and the new network represents a major step towards the fast-growing eCommerce segment.
“On one hand, available capacity in the global airfreight market continues to be scarce and, at the same time, end consumers expect short delivery times. With the medium-haul freighter, we can close this gap and continue to reliably and quickly provide our customers with the capacity they need with the same quality and expertise for which Lufthansa Cargo is known.”
The converted aircraft has been fitted with a reinforced floor, a roller system and a large cargo door and offers 24 pallet and container positions in the main and lower decks.
A second freighter is expected to enter service in late summer. Both will be operated under a wet lease agreement by Lufthansa CityLine, each under Lufthansa Cargo flight numbers. Lufthansa describes the twin-engine Airbus A321 as one of the most versatile aircraft in its class. Able to carry containers in the main deck, it offers fast loading and unloading and therefore enables very efficient flight operations.
