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Lufthansa Cargo makes it three records in a row

Lufthansa Cargo says it achieved a record result for the third time in a row in the 2022 financial year. Revenue rose by 22% to €4.6 billion (previous year: €3.8bn), while adjusted EBIT amounted to €1.6bn euros (previous year: €1.5bn euros). Sales of 7.2bn freight ton kilometers were similar compared to the previous year (7.2bn) but average capacity utilization decreased by 9.9 percentage points year-on-year to 61.1%, while the supply of capacity increased by 17% to 11.8bn freight ton-km.

Chairperson of the executive board and chief executive of Lufthansa Cargo, Dorothea von Boxberg, said: “We again had significantly more capacity in the market due to the growth in long-haul passenger traffic. We notice that our customers continue to serve their global supply chains. With more freighters and more bellies, we will continue to be a strong and reliable partner for our customers.”

The belly segment now accounts for around half of capacity, with cargo transported on more than 7,000 flights a week in summer operated by Lufthansa, Austrian Airlines, Brussels Airlines, Eurowings Discover and SunExpress.

To supplement its existing fleet of 16 Boeing 777Fs and two Airbus A321Fs. Lufthansa Cargo has ordered three current-technology B777Fs and seven B777-8Fs of the next Boeing freighter generation. One B777F has already been delivered in the past fiscal year, enabling Lufthansa Cargo to increase frequencies to high-demand intercontinental destinations such as in China and India and to open a new freighter station in Hanoi, Vietnam. Alongside North and South America, the Asia-Pacific region is one of Lufthansa Cargo’s strongest markets. With the additional entry into service of two Airbus freighters of the type A321F in 2022, Lufthansa Cargo was able for the first time to offer fast transport solutions on short and medium-haul routes for customers from the rapidly growing eCommerce segment

Lufthansa Cargo also expanded digital sales channels and making handling processes more efficient thanks. All shipments were transported with an electronic air waybill for the first time last year.

AN124 is the only option for turbine move

Ukraine’s Antonov Airlines and broker Air Charter Service have moved an oversized solar turbine from San Bernandino, US to Avalon, Australia on board an AN-124-100 aircraft. Due to the size of the cargo – 67 tons, 11.3 metres long and m length and 3.63m high – the AN-124-100 aircraft type was the only option for transporting the unit by air. For loading and unloading the turbine on the stand the special ramp system for tall cargoes was used designed by Antonov’s in-house engineers. The external cranes for cargoes up to 100 tons were provided by Air Charter Service at both airports. 

After successful delivery to the Avalon airport Air Charter Service took care of transporting the cargo to Winchelsea, Victoria where the solar turbine and additional equipment will be using at the gas compressor expansion plant. 

Cool Chain Association to draft best practice guide

The Cool Chain Association plans to draft a best practice handling procedure for perishables based on a series of trials tracking exports from farm to consumer by its partner, Perishable Products Export Control Board (PPECB) in South Africa.

A PPECB pilot trial that monitored cut flower exports from South Africa to Europe last month highlighted the impact of temperature excursions on vase life, said CCA board member and PPECB general manager, Vijan Chetty. (Pictured).

The trial was conducted in collaboration with Arnelia Farms, a South African wholesale flower nursery and exporter, and tracked Sunshine Conebush flower consignments packed on-farm near Hopefield in the Western Cape province of South Africa to destinations in the Netherlands and Germany.

“Trials over the past few years have focused primarily on the final mile of a specific trade lane,” said Chetty, speaking at the Air Cargo Africa Event in Johannesburg, South Africa in late February. “We will be looking at farm to table or vase across a trade lane, and not only focusing on monitoring the temperature of the product, but also aiming to identify all areas where shelf life could be influenced, including, for example, post-harvest practices, packaging and palletisation, and the functionality of cold storage.”

CCA, which recently signed a Memorandum of Understanding (MOU) with the PPECB, will review the research trials and identify possible risk areas, in order to draft the best practice procedure.

The PPECB pilot trial used air temperature loggers on two consignments sent two days apart to monitor variations in cold chain conditions. Results showed that mean temperatures reached up to 10.4°C, considerably higher than the 5°C recommended for cut flowers.

Although the flowers arrived in acceptable condition, vase life was affected by this temperature excursion.

PPECB will now run trials on other fast moving perishable items such as berries, and will move on to compare the cool chain, shelf life, and quality of commodities moved by air versus sea.

Fau to head up American Airlines in France

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American Airlines Cargo has appointed Clément Fau, as its new country sales manager for france.  Based at the airline’s French headquarters at Paris Charles de Gaulle airport (CDG), he will lead the carrier’s sales team activities across the country and report to Emma Oliver, Sales Director for EMEA & APAC.

Fau brings almost two decades of experience in the airline and cargo industry having previously worked for Air France KLM Martinair Cargo most recently as key accounts and pharma sales manager.

CDG is an important hub for American’s cargo activities in Europe, supporting both local and trucked freight from neighboring regions.

Dachser offers sustainable fuel option

German-owned global forwarder Dachser is offering its airfreight customers a Sustainable Fuel booking option. Dachser says it has secured a large consignment of SAF for the launch of the new service, and it will be available to customers on all routes worldwide at an affordable price.

Customers can receive an emissions report on request as well as, in the following year, a certificate indicating the emissions saved, the amount of SAF liters used, the year of consumption and the exact SAF raw material base.

Durban air cargo business stages strong recovery

Durban’s air cargo business has recovered by 55% with the return of international and domestic airlines and a 67% rebound in network traffic at King Shaka International Airport. 

Dube TradePort Cargo Terminal has processed 10,997 tonnes of cargo from April 2022 to date, an increase of 31% from the previous year.

Senior manager for cargo development and operations at Dube TradePort Cargo Terminal, Ricardo Isaac (pictured below), noted: “We have always maintained that once we have the airfreight capacity, freight forwarders and shippers will choose to fly cargo directly into Durban, this positive movement reaffirms our understanding of the KZN air cargo market.”

While local South African carrier Comair exited the market after entering voluntary business rescue proceedings (the equivalent of Chapter 11) the 38% capacity gap at King Shaka International Airport was filled by operators including FlySafair, Airlink, CemAir and Lift.

A new air freight force in South Africa

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A new South African cargo airline will begin non scheduled flights from its hub at OR Tambo International Airport in the second quarter of 2023. Suid Cargo Airlines will operate a leased Boeing 727-200F from Kenya’s Astral Aviation in addition to Astral’s Boeing 747-400F, Boeing 767 and Boeing 757F on a charter basis. The carrier plans to acquire additional narrow-body freighters in 2024. The new carrier will promote exports from South Africa in addition to transit shipments to over 20 African destinations, along with a sea-air service from the ports of Durban and Cape Town to land locked regions in Africa.

WFS to handle Saudia in US and Europe

Saudia Cargo has awarded a multi-station contract to Worldwide Flight Service (WFS), including key airports in the US and Europe.

The contract was formally signed by Teddy Zebitz, chief executive of the Middle East carrier and John Batten Executive vice president of EMEAA at WFS, at a ceremony held in Saudia Cargo’s Jeddah headquarters.

WFS will now be handling over 160,000 tonnes of cargo annually for Saudia Cargo, in addition to providing ramp handling services for air cargo shipments onboard over 5,000 passenger and freighter flights per year.

The contract covers stations including New York, Washington, London, Manchester, Amsterdam, Frankfurt, Paris and Brussels.

New screening plans must get air cargo industry on board, say Airforwarders

The Airforwarders Association (AfA) has called on the Transportation Security Administration (TSA) to involve US shippers in discussions about screening rules for export cargo on freighter aircraft

Panellists at AfA’s Annual General Meeting in Nashville, Tennessee, on 13 February called for the TSA to urgently address the impact of mandated freighter cargo screening for exports which come into force from November 2023.

The requirement that all such cargo must be screened has been in effect since June 2021, but up until now the sector has been working with a limited number of TSA alternative security measures.

However, the TSA has stated that these will expire at the end of October and won’t be renewed.

Panellists said that the Certified Cargo Standard Security Screening Program (CCSSSP) is the only viable way to meet new screening requirements, but much preparatory work and communication with shippers must be carried out by the TSA in order to make CCSSSP ready for the November 2023 deadline.

They are also concerned that the TSA’s proposed Secure Packing Facility (SPF) initiative is not a viable solution for shippers or air freight forwarders who tender cargo that is difficult to screen for freighter export.

“All security programs across the various segments of the air cargo supply chain need to be aligned,” said AfA executive director, Brandon Fried. “Industry needs TSA’s strong support in messaging the shippers that the CCSSSP – which would regulate shippers tendering cargo that is challenging to screen using existing approved security methods – is the only realistic available option to continue to move their cargo.”

The panellists agreed that the TSA needed to update and coordinate the CCSSSP acceptance and handling elements into the various freighter security programs, since the current CCSSSP has been in place only for passenger air carriers since its inception in 2009.

In addition, the TSA also needs to update the regulatory framework to include freighters.

The panel also pointed out that, with the changes in overall air cargo supply chain in the past 15 to 20 years, compounded by the rapid growth and volumes of e-commerce traffic, the current definition of ‘shipper’ does not align with the realities of today’s global air cargo business.

The panel included Doug Brittin, AfA Senior Adviser; Braden Core, Partner, Scopelitis Garvin Light Hanson & Feary (Moderator); John Beckius, Executive Director for the Air Cargo Division at the TSA; Tom Friedman, Industry Engagement Manager, Surface Air Cargo, Office of Security Policy and Industry Engagement, U.S. Department of Homeland Security Transportation Safety Administration (TSA); Alex Rodriguez, Director for Corporate Public Affairs, Americas, Deutsche Post DHL Group; Steve Alterman, President, Cargo Airline Association; and Dan Muscatello, Industry Consultant.

Digitisation can ease emission pain, says Raft

Forwarders should prepare for new sustainability reporting regulations by using digital solutions, said Lionel van der Walt, chief growth officer of intelligent freight operating system Raft.

He told delegates to the Airforwarders Association’s (AfA) AirCargo Conference in Nashville, on 13 February that they needed to focus on finding an emissions reporting method to suit their business and that of their customers as soon as possible.

“The rapidly changing legislation landscape, coupled with growing demands from shippers and consumers across the globe, means that companies of all sizes in the supply chain must focus on sustainability, and it is the responsible thing to do,” said van der Walt.

The European Commission, for example, started the Corporate Sustainability Reporting Directive (CSRD) initiative on the 21 April 2021. Companies that fall into scope have to apply the rules for the first time in the 2024 financial year, for reports published in 2025. This will be of a significant impact for shippers who will, in turn, require more detailed emissions data from their forwarders.

Raft can automate operational painpoints, including emissions reporting, said van der Walt.

Van der Walt was joined by Jennifer Frigger-Latham, AfA board member and vice-president sales and marketing, and owner, EMO Trans, which has partnered with Raft for its emissions reporting compliance, who said: “As this conversation becomes an endemic part of what it is to manage supply chains, I am equally excited on the private sector side to be partnering with Raft to offer our customers these essential calculations.”

At the same event, Sasha Goodman, chief administrative officer at entertainment logistics company Rock-it Global received the AfA Jim Foster Lifetime Achievement Award.

It recognizes her career in air cargo as well as her 12 years of service on the AfA board of directors, and her championing of women in air cargo.

She is an advocate for gender diversity in the air cargo industry and chaired a panel at the AirCargo event, focused on supporting the professional development of women in company structures.