air freight asia update

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BUSINESSACP worldwide wins Kingfisher cargobusiness in both UK and Ireland marketsACP Worldwide has been appointedGSSA for Bangalore-headquarteredKingfisher Airlines cargo servicesin both the United Kingdom andIreland.ACP is now responsible for sellingthe carrier’s cargo services, not onlybetween London and Dublin and thesouthern Indian city, but also onwardsto destinations across India.Services commenced fromLondon in September, using an AirbusA330-200 aircraft offering up to 12tonnes cargo capacity per flight.Onward flights will offer multiple dailyfrequencies, depending on destination,on the airline’s narrow-bodied domesticnetwork, and include cities such asHyderabad, Chennai, Goa, Cochin andTrivandrum.“The Indian air cargo market isextremely buoyant and sustainable doubledigit growth is predicted for the foreseeablefuture,” says Kingfisher’s UK and IrelandCargo Manager, Stephen James.Steve James (left) and Rod Entwistle: Market supportsambitious plans for further Kingfisher flights.The carrier already has plans to expandits direct ex-UK services this winter withthe addition of Mumbai to its internationalnetwork and other destinations to SouthEast Asia are expected to follow soonafter.Says ACP Worldwide’s Director, RodEntwistle. “We have already planned anexciting range of tariffs and service supportinformation and are looking forward to theexpansion of the service portfolio later thiswinter following a successful launch.”DHL doubles Central Asia Hub capacityDHL’s US$110 million Central Asia Hub(CAH) expansion has been completed fiveyears ahead of schedule.With a total investment of US$210million, the facility, which is located atHong Kong International Airport, is thefirst large-scale automated Express hubin Asia Pacific and significantly boostsDHL’s operational capability in Asia, saidthe company.The Central Asia Hub has doubledin size to 35,000 m2, and is expected tohandle 40 million shipments this year. Theautomated facility has a throughput of75,000 pieces per hour, 114% more thanthe pre-expansion capacity.According to Dan McHugh, CEO ofDHL Express Asia Pacific, the expansionof the CAH is testament to the continuedgrowth of intra-Asia trade and the Asia-Europe trade lane. Currently, more than60% of express cargo processed by theCentral Asia Hub is intra-Asia Pacificshipments, a figure DHL expects willcontinue to grow alongside rising intraregionaltrade.Hong Kong SAR’s Transport &Housing secretary, Eva Cheng, said thatthe government will support furtherdevelopment of the express cargo industryby improving the airport’s links to nearbymarkets, and plans to increase the runwaycapacity gradually, reaching 58 movementsper hour next year and 68 movements perhour by 2015.Cheng added that runway capacitycould be substantially increased to morethan 100 movements per hour with theaddition of a third runway.With more than 40% market shareand US$2.2 billion already invested inthe region, DHL will boost its networkcapability with its North Asia Hub atPudong, International Airport in Shanghai,which is scheduled for completion in2010.Middle East cargo screen contractAmerican Science and Engineering, Inc.,has been awarded a multi-year $12.5million contract from an unidentifiedMiddle East government to provideservice, maintenance, training, and spareparts for multiple cargo screening systems,including the OmniView GantryInspection System, the Z® Portalscreening system, and the Z® BackscatterVan (ZBV).Virgin Atlanticselects SkychainVirgin Atlantic has selected Mercator’sSkyChain IT cargo management system asits next generation cargo solution.Mercator, the Dubai-based EmiratesGroup subsidiary, plans to completeimplementation by the end of April 2009.The solution will be implemented inVirgin Atlantic Cargo headquarters inCrawley, England. Duncan Alexander,vice president, Mercator, said: “The teamat Virgin Atlantic put our team and oursolution through an extremely rigorousselection process.”The British carrier becomes the fifthairline customer for Mercator’s SkyChainsolution, joining Emirates Airline,Swiss WorldCargo, Midex Airlines, andSriLankan.Mercator said its centralised cargoreservation and business managementsolution, offers a number of advantages overexisting systems, including compatibilitywith a wide host of customer systems,capacity to accommodate upgrades andchanges through Java architecture, andreal-time access and updates, all designedto address the current needs of today’scargo customer.From its launch in April 2004, SkyChainwas built in less than two-and-a-half yearsand was implemented successfully inAugust 2006.SriLankan alsosigns up for systemSriLankan Airlines has signed up forMercator’s SkyChain cargo IT system.Patrick Naef, Head of Mercator said:“The timing of this partnership is significant– coming as it does when skyrocketing fuelprices are having a tremendous economicimpact on the airline industry. Thispartnership clearly demonstrates that majorplayers have confidence in our IT solutionsto reduce costs and increase revenue.”Mercator plans to completeimplementation by the second quarter of2009. The solution will be hosted out ofMercator’s data centres in Dubai and usedby authorised SriLankan cargo users out ofColombo and other outstation cargo officesglobally.Johann Wijesinghe, head of WorldwideCargo, SriLankan Airlines, said: “SriLankanCargo is recognised today as one of themost energetic, technologically-advancedand cost efficient freight operators in SouthAsia.”10AIR FREIGHT ASIA UPDATE NOVEMBER-DECEMBER 2008
BUSINESSAgility continues aggressive Chinaexpansion with new acquisitionAgility has agreed to acquire Baisui UnitedLogistics (Shanghai) Co., Ltd (Baisui),a Shanghai-based domestic logisticscompany that focuses on providing arange of logistics services, including intracity,regional and long-haul transport andwarehousing, mainly to the chemicals,automotive, and fast moving consumergoods (FMCG) sectors.With over 15 years of experience, thecompany has more than 300 employees in15 locations throughout China, includingShanghai, Shenzhen, Tianjin, Wuhan,Nanjing and Chongqing, and manageseight logistics centres with more than130,000 sq. m of warehouse floor space.In addition the company has its ownfleet of trucks and works with over 75trucking companies on a regular basis forits regional distribution needs.“The company has an excellentreputation in providing a range of specialistservices in the chemicals, automotive, andFMCG sectors, which are growing stronglyin China. The company also strengthensDescartes delivers more channel optionsDescartes Systems Group, a global ondemandsoftware-as-a-service (SaaS)logistics solutions provider, announcedthat its long-time customer, SAS Cargo,has joined Descartes’ GF-X Exchange.“Descartes has been our preferredprovider for air messaging for almost 20years so joining Descartes’ Global GF-XAgility’s domestic transportationcapabilities both in eastern coastal Chinaand inland China along the Yangtze River,”said Wolfgang Hollermann, Agility, chiefexecutive officer, Asia Pacific.“Baisui Logistics complements ourgrowing service offering in China, bothvertically in specialist sectors and byproviding improved connectivity throughthe company’s extensive domestic transportnetwork.“We will continue to grow organicallyand through acquisition in order to provideour customers with an integrated logisticssolution throughout China,” said JamesGagne, chief executive officer, GreaterChina Area, Agility.“We are very excited to be joiningAgility at this stage of its expansion. Wesee Baisui’s provision of value-addedservices and road transportation as anexcellent fit to Agility’s supply chain andforwarding capabilities, commented YanShiping, general manager & president ofthe board, Baisui.IBS Software Services joins Cargo 2000IBS Software Services of Indiahas joined Cargo 2000, theindustry quality managementinitiative.Over the past 11 years IBShas grown into a multinationalorganisation with 2,000 staffbased at 14 locations aroundthe world, as well as sevensoftware development centresin Atlanta, Boston, Bangalore,Cochin, London, Trivandrum,and Washington DC.The company providessoftware solutions for anumber of airline customers, includingEmirates, Cathay Pacific, South AfricanAirways, Air New Zealand, Oman Air,Iberia, KLM, Kingfisher Airlines, ChinaSouthern Airlines, Copa Airlines andAkshay Shrivastava:Imperative to join theindustry initiative.Qantas Airways.Akshay Shrivastava,global head, Cargo Lineof Business, IBS SoftwareServices, said: “Cargo 2000is designed to improveservice levels while reducingthe time spent and resourcesburnt to handle irregularitiesin the management of thecargo lifecycle.IBS’ suite of newgenerationcargo managementsolutions are being used bysome of the best air cargocarriers in the world who are very qualityconscious, making it imperative for us tojoin Cargo 2000 and to underscore ourcommitment to provide the best to theindustry. “Exchange is a natural progression in oursuccessful relationship and complementsour use of existing Descartes services,” saidNils Pries Knudsen, vice president, GlobalSales at SAS Cargo. “We are responding tothe interest from freight forwarders in beingable to book cargo shipments electronicallythrough this channel as well.”CEVA chooses HacisPictured at the signing are, from left: WarrenBishop, MD Hacis; Anthony Wong, chairmanHacis; Chris Pollard, MD South China,CEVA; and Michael Yuen, country managerfreight management South China, CEVA.Hong Kong Air Cargo Industry ServicesLimited (Hacis) confirmed CEVA Logistics(Hong Kong) Limited is a new customerfor its airport direct export service.The service includes physical cargohandling, warehousing of export cargoand tendering of export cargo to cargoterminals.* CEVA Group Plc has reported revenueof €1.7bn for the quarter, helped by a strongperformance in its Contract Logistics andFreight Forwarding business.First airport dealfor Cargo 2000From left: Dr. Wilhelm Bender, Fraport AG,Executive Board Chairman; Lothar Möhle,Cargo 2000 Managing Director; Karl-HeinzKöpfle, Lufthansa Cargo AG, Executive BoardMember Operations; Peter Schmitz, FraportAG, Fraport Ground Services division, SeniorExecutive Vice President.Fraport AG is the first airport operator tojoin the IATA Cargo 2000 quality system.“This initiative opens up possibilitiesfor Fraport as an airport operator andground-handling provider to apply itsextensive know-how actively and to helpdefine standards within the frameworkof the Cargo 2000 quality managementsystem,” said Fraport executive boardchairman Dr. Wilhelm Bender.AIR FREIGHT ASIA UPDATE NOVEMBER-DECEMBER 2008 11
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