Prathama Line

Air Cargo Demand Strengthens Despite Challenges in July

 Geneva – The International Air Transport Association (IATA) released data for July 2023 global air cargo markets, showing a continuing trend of recovering growth rates since February. July air cargo demand was tracking just 0.8% below the previous year’s levels. Although demand is now basically flat compared to 2022, this is an improvement on recent months’ performance that is particularly significant given declines in global trade volumes and rising concerns over China’s economy.

•             Global demand, measured in cargo tonne-kilometers (CTKs*), tracked at 0.8% below July 2022 levels (-0.4% for international operations). This was a significant improvement over the previous month’s performance (-3.4%).

•             Capacity, measured in available cargo tonne-kilometers (ACTKs), was up 11.2% compared to July 2022 (8% for international operations). The strong uptick in ACTKs reflects the growth in belly capacity (29.3% year-on-year) due to the summer season.

•             Several factors in the operating environment should be noted:

o             In July, both the manufacturing output Purchasing Managers Index or PMI (49.0) and new export orders PMI (46.4) were below the critical threshold represented by the 50 mark, indicating a decline in global manufacturing production and exports.

o             Global cross-border trade contracted for the third month in a row in June, decreasing 2.5% year-over-year, reflecting the cooling demand environment and challenging macroeconomic conditions. The difference between the annual growth rates of air cargo and the global goods trade narrowed to -0.8 percentage points in June. While air cargo growth is still lagging world trade, the gap is the narrowest since January 2022.

o             In July, the global supplier delivery time PMI was 51.9, signaling fewer supply chain delays. All major economies, except China, had PMIs above 50. The U.S., Europe, and Japan recorded PMIs of 54.2, 57.7, and 50.4, respectively.

o             Inflation saw a mixed picture in July, with the increase in US consumer prices picking up pace for the first time in 13 months. Meanwhile, in China, both consumer and producer prices fell, pointing to a possible deflationary economy.

“Compared to July 2022, demand for air cargo was basically flat. Considering we were 3.4% below 2022 levels in June, that’s a significant improvement. And it continues a trend of strengthening demand that began in February. How this trend will evolve in the coming months will be something to watch carefully. Many fundamental drivers of air cargo demand, such as trade volumes and export orders, remain weak or are deteriorating. And there are growing concerns over how China’s economy is developing. At the same time, we are seeing shorter delivery times, which is normally a sign of increasing economic activity. Amid these mixed signals, strengthening demand gives us good reason to be cautiously optimistic,” said Willie Walsh, IATA’s Director General.

July 2023 (% year-on-year)          World share1     CTK        ACTK     CLF (%-pt)2         CLF (level)3

Total Market      100.0%  -0.8%     11.2%    -5.1%     42.1%

Africa    2.0%      2.9%      11.0%    -3.3%     41.7%

Asia Pacific          32.4%    2.7%      26.0%    -10.4%  45.7%

Europe 21.8%    -1.5%     5.3%      -3.3%     47.2%

Latin America     2.7%      0.4%      10.0%    -3.1%     32.2%

Middle East        13.0%    1.5%      17.1%    -6.3%     41.1%

North America  28.1%    -5.2%     0.5%      -2.2%     37.0%

1 % of industry CTKs in 2022  2 Change in load factor  3 Load factor level

July Regional Performance

•             Asia-Pacific airlines saw their air cargo volumes increase by 2.7% in July 2023 compared to the same month in 2022. This was a significant improvement in performance compared to June (-3.3%).  Carriers in the region benefited from growth on three major trade lanes: Europe-Asia (3.2% year-on-year growth), Middle East-Asia (up from 1.8% in June to 6.6% in July), and Africa-Asia (returning to double-digit growth of 10.3% year-on-year from -4.8% in June). Additionally, the within-Asia trade lane also performed considerably better in July, with an annual decline of international CTKs at 7.5% compared with the double-digit decreases observed since September 2022. Available capacity in the region increased by 26.0% compared to July 2022 as more belly capacity came online from the passenger side of the business.

•             North American carriers posted the weakest performance of all regions, with a 5.2% decrease in cargo volumes in July 2023 compared to the same month in 2022, marking the fifth consecutive month in which the region had the weakest performance. It was, however, a slight improvement compared to June (-5.9%).  The transatlantic route between North America and Europe saw traffic declining by 4.3% in July, 1.2 percentage points worse than the previous month. Capacity increased 0.5% compared to July 2022.

•             European carriers saw their air cargo volumes decline by 1.5% in July compared to the same month in 2022.  This was, however, an improvement in performance versus June (-3.2%). Volumes were affected due to the aforementioned Europe–North America performance and contractions in the Middle East-Europe (-1.2%) and the within-Europe (-5.1%) markets. Capacity increased 5.3% in July 2023 compared to July 2022.

•             Middle Eastern carriers experienced a 1.5% year-on-year increase in cargo volumes in July 2023. This was also an improvement to the previous month’s performance (0.6%). The demand on Middle East–Asia routes has been trending upward in the past two months. Capacity increased 17.1% compared to July 2022.

•             Latin American carriers posted a 0.4% increase in cargo volumes compared to July 2022. This was a drop in performance compared to the previous month (2.2%). Capacity in July was up 10.0% compared to the same month in 2022.

•             African airlines had the strongest performance in July 2023, with a 2.9% increase in cargo volumes compared to July 2022. Notably, Africa–Asia routes experienced significant cargo demand growth (10.3%). Capacity was 11.0% above July 2022 levels.

Controversial Schiphol Flight Cuts Must Not Be Pushed Through by a Caretaker Government

 Geneva – The International Air Transport Association (IATA), European Business Aviation Association (EBAA), and European Regions Airline Association (ERA) warned that the proposed cuts to flight numbers at Schiphol airport must not proceed under the leadership of a caretaker government. This matter remains before the courts and the proposed process is strongly opposed by the airline industry; therefore, in no way can this be considered “uncontroversial.” In a few months’ time, this government will not be accountable for the severe consequences that may follow from the Schiphol decision, particularly with respect to relations with the Netherlands’ trading partners, and lost jobs and prosperity at home.

Such a consequential and controversial move requires proper democratic scrutiny and political accountability. The government’s desire for a forced cut to Schiphol’s annual flight numbers to 460,000 under an ‘Experimental Regulation’ was initially blocked by the Dutch court, which found it to be contrary to Dutch obligations under EU law and bilateral air services agreements connected with the Balanced Approach to noise.

The Balanced Approach is a longstanding internationally agreed process to manage noise at airport communities that carries the weight of law in national jurisdictions, including in the EU and many of its trading partners. A core tenet of the Balanced Approach is that operational restrictions and flight cuts are the last resort, to be considered only when a number of other steps have been taken to achieve noise mitigation targets. The Balanced Approach is used specifically to ensure local community needs are respected, the wider benefits of air connectivity to the nation are protected, and the actions are respected internationally.

The government successfully appealed and overturned the initial decision, with the Court of Appeal deciding that the Balanced Approach does not apply to the Experimental Regulation. The international airline community represented by IATA, other airline associations and individual carriers, deeply concerned by the implications of this highly controversial decision. The coalition of airlines and associations has commenced Supreme Court cassation proceedings challenging this. 

Flight cuts of this magnitude at Schiphol will mean reductions in slot holdings that will negatively impact passenger and freight services. No mechanism, domestic or international, exists for agreeing such cuts. Rushing this process through could result in retaliatory international action and further legal challenges, including from governments defending their rights under international agreements and bilateral treaties.

In such circumstances, any attempt by Minister Harbers and a failed government in caretaker mode to rush through the flight cuts at Schiphol would be irresponsible on several levels.

•    It will demonstrate a contempt of the necessary democratic and legal scrutiny required of such a highly irregular and economically damaging proposal.

•    It will place the Netherlands squarely in conflict with its trading partners defending their rights under international agreements and bilateral treaties,

•    It should provoke the EU to defend its own laws which require rigorous application of the Balanced Approach, and

•    It will cause significant harm to the economy and jobs.

“Airlines are fully committed to addressing noise issues at airports under a proper Balanced Approach process. It is essential that any decision be postponed until a fully functioning and accountable government with a fresh mandate is in place. This unprecedented and complex proposal can then be considered carefully, with the legal questions settled and the full facts and implications understood and in the public domain, and with sufficient time for the air transport industry to adapt if necessary, when a final decision is known,” said Willie Walsh, IATA’s Director General.

Controversial Schiphol Flight Cuts Must Not Be Pushed Through by a Caretaker Government

Geneva – The International Air Transport Association (IATA), European Business Aviation Association (EBAA), and European Regions Airline Association (ERA) warned that the proposed cuts to flight numbers at Schiphol airport must not proceed under the leadership of a caretaker government. This matter remains before the courts and the proposed process is strongly opposed by the airline industry; therefore, in no way can this be considered “uncontroversial.” In a few months’ time, this government will not be accountable for the severe consequences that may follow from the Schiphol decision, particularly with respect to relations with the Netherlands’ trading partners, and lost jobs and prosperity at home.

Such a consequential and controversial move requires proper democratic scrutiny and political accountability. The government’s desire for a forced cut to Schiphol’s annual flight numbers to 460,000 under an ‘Experimental Regulation’ was initially blocked by the Dutch court, which found it to be contrary to Dutch obligations under EU law and bilateral air services agreements connected with the Balanced Approach to noise.

The Balanced Approach is a longstanding internationally agreed process to manage noise at airport communities that carries the weight of law in national jurisdictions, including in the EU and many of its trading partners. A core tenet of the Balanced Approach is that operational restrictions and flight cuts are the last resort, to be considered only when a number of other steps have been taken to achieve noise mitigation targets. The Balanced Approach is used specifically to ensure local community needs are respected, the wider benefits of air connectivity to the nation are protected, and the actions are respected internationally.

The government successfully appealed and overturned the initial decision, with the Court of Appeal deciding that the Balanced Approach does not apply to the Experimental Regulation. The international airline community represented by IATA, other airline associations and individual carriers, deeply concerned by the implications of this highly controversial decision. The coalition of airlines and associations has commenced Supreme Court cassation proceedings challenging this. 

Flight cuts of this magnitude at Schiphol will mean reductions in slot holdings that will negatively impact passenger and freight services. No mechanism, domestic or international, exists for agreeing such cuts. Rushing this process through could result in retaliatory international action and further legal challenges, including from governments defending their rights under international agreements and bilateral treaties.

In such circumstances, any attempt by Minister Harbers and a failed government in caretaker mode to rush through the flight cuts at Schiphol would be irresponsible on several levels.

•    It will demonstrate a contempt of the necessary democratic and legal scrutiny required of such a highly irregular and economically damaging proposal.

•    It will place the Netherlands squarely in conflict with its trading partners defending their rights under international agreements and bilateral treaties,

•    It should provoke the EU to defend its own laws which require rigorous application of the Balanced Approach, and

•    It will cause significant harm to the economy and jobs.

“Airlines are fully committed to addressing noise issues at airports under a proper Balanced Approach process. It is essential that any decision be postponed until a fully functioning and accountable government with a fresh mandate is in place. This unprecedented and complex proposal can then be considered carefully, with the legal questions settled and the full facts and implications understood and in the public domain, and with sufficient time for the air transport industry to adapt if necessary, when a final decision is known,” said Willie Walsh, IATA’s Director General.

Hainan Airlines celebrates Berlin anniversary

The Chinese airline has been serving the Beijing-Berlin route since SEP2008, with a short interruption caused by the Corona pandemic. Now it has increased the frequency from 3/7 to 4/7. On the route, the carrier operates an A330-200, which can carry 20+ tons per flight, depending on passenger luggage.

Welcomed the new flight (l > r): Johannes Mohrmann, BER  /  Shupeng Hu, Hainan Airlines  /  Thomas Kohr, BER  /  Min Zhang, Hainan Airlines – courtesy: BER

Welcomed the new flight (l > r): Johannes Mohrmann, BER / Shupeng Hu, Hainan Airlines / Thomas Kohr, BER / Min Zhang, Hainan Airlines – courtesy: BER

Aletta von Massenbach, CEO of airport operator, Flughafen Berlin Brandenburg GmbH (BER), congratulated customer, Hainan Airlines (IATA: HU), after the new flight had just landed at BER Airport, marking the 15th anniversary of the air services linking both capital cities. Literally, the executive said, “The long-term success shows, the demand for tourism and business travel on long-haul routes between the two cities is very stable. Hainan Airlines’ decision to upscale the flights allows the city partnership of Berlin and Beijing to be filled even better with life through personal encounters.”

Appreciated news

The airline’s frequency increase between the two national capitals is welcome news not only for travelers, but also for the air cargo industry. This is confirmed by Nouri Neller, MD Germany of general sales agent, Kales, which markets the aircraft’s cargo compartments. “The Berlin-Beijing sector is highly attractive for the industry, especially since Hainan offers numerous feeder flights ex Beijing to domestic Chinese destinations,” says the manager. These include, for instance, scheduled air traffic to Harbin (HRB) in the northeast of China, Shenzhen (SZX) and Guangzhou (CAN) at the Pacific rim, or Kunming Changshui (KMG) in the southwest of the country. “This means we can offer local exporters air transportation to virtually every major destination in China,” enthuses Mr. Neller.

Close to 2019 levels

This network aspect is also emphasized by Min Zhang, General Manager of Hainan Airlines’ Berlin office. “Hainan Airlines is the bridge between the two capitals and also conveniently connects Berlin via Beijing with many destinations in China and in Asia, such as Tokyo or Bangkok. We are pleased to once again offer the market a range of flights between our countries that is close to the level of the pre-Corona year 2019.”

Northern Summer Travel Season off to a Strong Start

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08 August 2023  No: 50

Geneva – The International Air Transport Association (IATA) announced that the post-COVID recovery momentum continued in June for passenger markets.

•             Total traffic in June 2023 (measured in revenue passenger kilometers or RPKs) rose 31.0% compared to June 2022. Globally, traffic is now at 94.2% of pre-COVID levels. For the first half of 2023, total traffic was up 47.2% compared to the year-ago period.

•             Domestic traffic for June rose 27.2% compared to the same month a year ago and was 5.1% above the June 2019 results. Domestic demand was up 33.3% in the 2023 first half compared to a year ago.

•             International traffic climbed 33.7% versus June 2022 with all markets showing robust growth. International RPKs reached 88.2% of June 2019 levels. First half 2023 international traffic was up 58.6% over the first half of 2022.

“The northern summer travel season got off to a strong start in June with double-digit demand growth and average load factors topping 84%. Planes are full which is good news for airlines, local economies, and travel and tourism dependent jobs. All benefit from the industry’s ongoing recovery,” said Willie Walsh, IATA’s Director General.

June 2023 (% year-on-year)        World share1     RPK        ASK        PLF (%-pt)2         PLF (level)3

Total Market      100.0%  31.0%    28.8%    1.4%      84.2%

Africa    2.1%      31.8%    40.5%    -4.6%     68.9%

Asia Pacific          22.1%    90.1%    73.3%    7.1%      80.4%

Europe 30.8%    13.0%    11.5%    1.2%      87.7%

Latin America     6.4%      18.7%    17.1%    1.1%      82.5%

Middle East        9.8%      28.3%    24.5%    2.4%      79.4%

North America  28.8%    12.9%    13.8%    -0.7%     88.7%

1% of industry RPKs in 2022   2year-on-year change in load factor   3Load Factor Level

 International Passenger Markets

•             Asia-Pacific airlines had a 128.1% increase in June 2023 traffic compared to June 2022, easily the largest percentage gain among the regions. Capacity climbed 115.6% and the load factor increased by 4.6 percentage points to 82.9%.

•             European carriers posted a 14.0% traffic rise versus June 2022. Capacity rose 12.6%, and load factor climbed 1.1 percentage points to 87.8%, which was the second highest among the regions.

•             Middle Eastern airlines’ June traffic climbed 29.2% compared to June last year. Capacity rose 25.9% and load factor improved 2.0 percentage points to 79.8%.

•             North American carriers saw traffic climb 23.3% in June 2023 versus the 2022 period. Capacity increased 19.5%, and load factor rose 2.7 percentage points to 90.2%, which was the highest among the regions.

•             Latin American airlines had a 25.8% traffic increase compared to the same month in 2022. June capacity climbed 25.0% and load factor rose 0.6 percentage points to 84.8%.

•             African airlines’ traffic rose 34.7% in June 2023 versus a year ago, the second highest percentage gain among the regions. June capacity was up 44.8% and load factor fell 5.1 percentage points to 68.1%, lowest among the regions. Africa was the only region to see a decline in the monthly international load factor compared to the year ago period.

Domestic Passenger Markets

June 2023 (% year-on-year)        World share1  

RPK        ASK        PLF (%-pt)2         PLF (Level)3

Domestic             42.0%    27.2%    24.7%    1.6%      82.9%

Australia              1.0%      -1.7%     1.7%      -2.8%     79.4%

Brazil     1.5%      13.3%    8.2%      3.5%      78.9%

China P.R.            6.4%      129.6%  95.7%    11.4%    77.2%

India      2.0%      14.8%    0.8%      10.9%    89.9%

Japan    1.2%      33.8%    6.3%      15.1%    73.4%

US          19.2%    8.0%      11.2%    -2.6%     87.8%

1% of industry RPKs in 2022   2year-on-year change in load factor 3Load Factor Level

•             Australia’s domestic traffic slipped 1.7% in June compared to a year ago. It was the only domestic market to see a year-over-year traffic decline in June, although traffic remained 3.9% above pre-pandemic levels.                                                                                                                                                                                 

•             Indian airlines’ domestic demand climbed 14.8% in June and was 1.3% above the June 2019 level.                                                         

June 2023 (% ch vs the same month in 2019)       World share1     RPK        ASK        PLF (%-pt)2         PLF (level)3

Total Market      100.0%  -5.8%     -5.5%     -0.2%     84.2%

International      58.0%    -11.8%  -13.2%  1.4%      85.0%

Domestic             42.0%    5.1%      8.7%      -2.8%     82.9%

The Bottom Line

“As strong as travel demand has been, arguably it could be even stronger. Demand is outrunning capacity growth. Well documented problems in the aviation supply chain mean that many airlines have not taken delivery of all the new, more environmentally friendly aircraft they had expected, while numerous aircraft are parked awaiting critical spare parts. And, for the fleet that is in service, some air navigation service providers (ANSPs) are failing to deliver the requisite capacity and resilience to meet travel demand. Delays and trimmed schedules are frustrating for both passengers and their airlines. Governments cannot continue to ignore the accountability of ANSPs in places where passenger rights regimes place the brunt of accountability on airlines,” said Walsh.

Air Cargo Contraction Eases in June

7 August 2023    No: 49

 (Geneva) – The International Air Transport Association (IATA) released data for June 2023 global air cargo markets showing the smallest year-over-year contraction in demand since February 2022.

•             Global demand, measured in cargo tonne-kilometers (CTKs), fell 3.4% in June compared to June 2022 (-3.7% for international operations). For the half year, demand slid 8.1% compared to the January-June period of 2022 (-8.7% for international operations). However, demand in June was only 2.4% below June 2019 levels (pre-pandemic).

•             Capacity, as measured by available cargo tonne-kilometers (ACTKs), rose 9.7% compared to June 2022, which was a slower rate compared to the double-digit growth recorded between March and May. This reflects strategic capacity adjustments airlines are making amid a weakened demand environment. Capacity for the first half of 2023 was up 9.9% compared to a year ago. Capacity is now 3.7% above June 2019 (pre-pandemic) levels.

•             Key factors influencing air cargo demand include:

o             Global cross-border trade decreased by 2.4% year-over-year in May, reflecting the cooling demand environment and challenging macroeconomic conditions. The difference between the annual growth rates of air cargo and the global goods trade narrowed to -2.6 percentage points in May, representing the smallest gap since January 2022. However, the gap still suggests that air cargo continues to suffer more than container cargo from the slowdown in global trade.

o             In June, both manufacturing output Purchasing Managers Index or PMI (49.2) and new export orders PMI (47.1) were below the critical threshold represented by the 50 mark, indicating a decline in global manufacturing production and exports.

“We remain hopeful that the difficult trading conditions for air cargo will moderate as inflation eases in major economies. This, in turn, could encourage the central banks to loosen the money supply, which could stimulate greater economic activity,” said Willie Walsh, IATA’s Director General.

 Air cargo market in detail – June 2023                                                                     

                World                    June 2023 (% year-on-year)

                share1                 CTK        ACTK     CLF (%-pt)2         CLF (level)3

TOTAL MARKET 100.0%                 -3.4%     9.7%      -5.8%     43.2%

   Africa 2.0%                     -2.8%     -3.7%     0.4%      44.6%

   Asia Pacific       32.4%                   -3.6%     24.4%    -13.6%  46.8%

   Europe              21.8%                   -2.8%     4.4%      -3.5%     47.6%

   Latin America  2.7%                     7.3%      15.4%    -2.5%     33.7%

   Middle East     13.0%                   0.5%      11.1%    -4.7%     44.6%

   North America               28.1%                   -6.5%     0.7%      -2.9%     37.4%

1% of industry CTKs in 2022                                        2Year-on-year change in load factor        3Load factor level

June Regional Performance

Asia-Pacific airlines saw their air cargo volumes decrease by 3.6% in June 2023 compared to the same month in 2022. This was also a decline compared to May (-2.5%), mainly owing to weak demand on within-Asia markets, although the Asia-North America trade lane saw improved performance. Available capacity in the region increased by 24.4% compared to June 2022. Looking at the first half of 2023, cargo demand was down 6.5% versus the year-ago period against a 27.0% rise in capacity.

North American carriers had a 6.5% decrease in total cargo volumes in June 2023 compared to the same month in 2022, marking the fourth consecutive month in which the region had the weakest performance. This was, however, an improvement compared to May (-8.6%). Europe-North America CTKs shrank by only 2.7% in June, following three months of double-digit contractions. Capacity increased 0.7% compared to June 2022. For the 2023 first half, cargo demand was down 10.5% compared to the 2022 first half, while capacity dipped 0.7%.

European carriers experienced a 2.8% decrease in cargo volumes in June 2023, compared to the same month in 2022. This was an improvement in performance compared to May (-6.6%), in part due to the aforementioned Europe-North America performance. Capacity increased 4.4% compared to June 2022. Cargo demand was down 10.2% for the first six months of 2023 compared to last year, as the half-year capacity rose 2.5%.

Middle Eastern carriers posted a 0.5% increase in cargo volumes in June 2023 versus a year ago. This was a strong turnaround from the 2.9% year-over-year decline registered in May. Capacity rose 11.1% for the month. Both Middle East-Asia and Middle East-Europe route areas saw annual growth. For the first half of the year, cargo demand was down 5.6% compared to a year ago, with an 11.2% hike in capacity.

Latin American carriers had strongest performance in June 2023, with a 7.3% increase in cargo volumes compared to June 2022. This was an improvement compared to May (+3.8%). Capacity in June was up 15.4% over the same month in 2022. For the 2023 first half, cargo demand was up 0.9% versus a year ago, while capacity climbed 18.0%.

African airlines posted a 2.8% decrease in demand compared to June 2022. This was a decline in performance compared to the previous month (-1.9%). Capacity in June was down 3.7% compared to the same month in 2022. For the first half of the year, cargo demand slowed by 4.4% while capacity climbed 1.6%.

Blueprint Needed to Support Sri Lanka’s Aviation Industry

Colombo – The International Air Transport Association (IATA) urged Sri Lanka to develop an aviation blueprint so as to generate greater economic growth and prosperity through having a stronger aviation industry.

“Aviation connectivity can play a much bigger role in Sri Lanka’s economic development and social advancement. But this will not happen by chance. Government support will be critical to growing a strong airline sector and developing Colombo as an aviation hub. We urge the government and all industry stakeholders to collaborate on developing an aviation blueprint to strengthen the aviation industry’s competitiveness and bring greater prosperity to Sri Lanka. And IATA stands ready to support through our expertise and sharing of industry best practices,” said Philip Goh, IATA’s Regional Vice President for Asia Pacific.

Aviation has a role to play in 15 of the 17 UN Sustainable Development Goals. Trade and tourism rely on aviation, and this helps to create jobs, alleviate poverty and generate prosperity. In a 2018 IATA study, Sri Lanka’s aviation sector supported some 700,000 jobs and contributed $8 billion to the GDP. This has the potential to increase to over 1 million jobs contributing nearly $30 billion to the GDP by 2038.

In his keynote remarks at Aviation Day Sri Lanka, organized by IATA and the Civil Aviation Authority of Sri Lanka (CAASL), Goh suggested three areas to consider in the aviation blueprint: facilitating sustainable growth, safety, and sustainability.

Facilitating Sustainable Growth: “Sri Lanka’s aviation blueprint needs to facilitate the sustainable growth of the industry and having an updated airport masterplan is the first step. I urge the government to engage in a consultative approach involving airlines to ensure that industry input is factored in,” said Goh,

Goh urged Sri Lanka to digitize processes for passenger and cargo facilitation. “Many of the country’s passenger and cargo processes continue to be paper based. As traffic grows, digitization will be key to address capacity constraints, increase efficiency and improve the travel experience. IATA’s One ID and One Record initiatives can help support this,” said Goh.

Goh also highlighted the need to keep costs low, in particular jet fuel. Airlines pay more for jet fuel in Sri Lanka than at other major airports in Asia. He recognized much has been done in recent months to lower the cost of jet fuel, and encouraged the government to review and consider placing limits or capping the amount that CEYPETCO can mark up for supplying fuel at the airport.

Safety: “It is important for Sri Lanka’s aviation sector to grow sustainably in a safe manner, and IATA is doing our part to support the country’s efforts. Utilizing the International Airlines Training Fund, IATA will support the aviation industry in Sri Lanka by conducting safety related training in August for CAASL and Sri Lankan Airlines,” said Goh.

Goh encouraged the government to explore how the IATA Operational Safety Audit (IOSA) and IATA Safety Audit for Ground Operations (ISAGO) can be used to contribute to greater aviation safety in Sri Lanka.

Sustainability: “I am delighted that net zero carbon from aviation by 2050 is one of the stated policy goals of Sri Lanka’s sustainable aviation environment policy, including the need to ensure the availability of sustainable aviation fuels (SAF) in the country,” said Goh. SAF is expected to abate more than 60% of aviation carbon emissions by 2050.

Goh called on the government to adopt a comprehensive consultation process involving airlines and other aviation stakeholders as the government develops sustainability policies.

Etihad Cargo widens road feeder services in Europe

July 7, 2023 by Payload Asia

A new partnership is expected to enhance Etihad Cargo’s capabilities in Europe as the airline tapped Wallenborg Transports and its road feeder service network of 90 airports in 27 countries.

The move is expected to facilitate the transport of cargo between Etihad Cargo’s main freighter gateways in Europe, including Amsterdam, Paris and Frankfurt, as well as offline stations.

The airline has entered into strategic partnerships with RFS providers around the globe to strengthen its value proposition through fast, efficient and reliable end-to-end cargo transport from arrival in-airport onto final destination.

Wallenborg said highlights of the partnership include dedicated capacity, 24/7 customer support and handling services in 27 countries. It will also offer specialised logistics solutions, such as GDP-validated transport for temperature-sensitive healthcare products.

Other Topics: Air Cargo Network, Air Express, Air Freight Services, Air Logistics, Asia Pacific Air Cargo, Asia Pacific Air Freight, Asia Pacific Air Logistics, Asia Pacific Shipments, Cargo Flights, E-Commerce Logistics, Etihad Cargo, Express Delivery, Express Logistics, International Air Shipments, International Express Delivery, Transpacific Air Cargo, Transpacific Air Freight.

IATA Partners with Aviation Impact Accelerator to Assess the Financial Implications of Net Zero Transitions

Geneva – The International Air Transport Association (IATA) and the Aviation Impact Accelerator (AIA), an international industry-academia partnership based at the University of Cambridge, announced a collaboration to accelerate the aviation sector’s transition to net-zero CO2 emissions by 2050.

The two organizations will assess the financial implications of reaching aviation’s 2050 net-zero CO2 goal. Building upon existing work, this collaboration will support the development of scenario-based tools to help airlines analyze and evaluate different decarbonization pathways.

The purpose of this collaboration is to support better-informed decisions by airlines and policy-makers in the transition to net zero. The collaboration will set a solid foundation for IATA and AIA to develop a wider, long-term partnership.

AIA is an international group of experts drawing on a broad range of expertise convened by the University of Cambridge. Its aim is to accelerate the journey to sustainable aviation by developing evidence-based tools that allow people to understand, map, and embark on the pathways towards sustainable flight. Over the last three years a world class network of experts has been assembled and the underlying system modelling capability developed.

“We are excited to launch this new collaboration between AIA and IATA, investigating realistic pathways for aviation’s transition to net zero emissions by 2050. IATA has a strong track record of fostering cooperation between airlines and other stakeholders and driving change in the sector. We believe that by bringing this together with AIA’s unique modelling capability we have an opportunity to unlock change,” said Prof. Rob Miller, Director of the Whittle Laboratory, University of Cambridge, and AIA lead.

“We are delighted to join forces with the Aviation Impact Accelerator with a view to enhance our understanding of the many potential pathways to achieve air transport’s sustainable future. The development of different technological pathways will have an influence on the long-term outlook of our industry, and our collaboration will notably explore this intersection,” said Marie Owens Thomsen, IATA’s Senior Vice President Sustainability and Chief Economist.

As part of the future collaboration, AIA and IATA also aim to collaborate on the future development of IATA’s Recommended Practice Per-Passenger CO2 Calculation Methodology, amongst other areas of work. Used in combination with verified airline operational data, the methodology provides the most accurate calculation results and transparency to everyone interested in understanding the carbon footprint from flying activity.

New express ‘super hub’ opens in Chennai

Indian express logistics company DTDC Express unveiled its new ‘super hub’ at Geethanjali Industrial Park, Velappanchavadi in Chennai on 28 June.

The new facility spans over 175,000 square feet and has 38 docks to help optimize cross-docking efficiency. The hub is equipped with infrastructure to handle and process over 350 tonnes of shipments daily.

The facility is equipped with a state-of-the-art sortation system that can process up to 9,000 parcels per hour. Located along the Chennai-Poonamallee-Bangalore highway, the new hub will offer seamless connectivity to urban centers in South India. It will also serve as a link to Ahmedabad, Delhi, Mumbai, and Kolkata.

“Chennai is a crucial logistics hub in Southern India, and we recognize its immense potential. By opening our super hub at Velappanchavadi, we are poised to streamline and strengthen our operations in the region and provide even more efficient and reliable logistics solutions to our valued customers across our express parcels, international and e-commerce verticals, further solidifying DTDC’s position as a leading player in the industry,” said Subhashish Chakraborty, chairman and managing director of DTDC Express.

Other Topics: Air Cargo Network, Air Express, Air Freight Services, Air Logistics, Asia Pacific Air Cargo, Asia Pacific Air Freight, Asia Pacific Air Logistics, Asia Pacific Shipments, Cargo Flights, E-Commerce Logistics, Express Delivery, Express Logistics, International Air Shipments, International Express Delivery, Transpacific Air Cargo, Transpacific Air Freight