ISTANBUL, Türkiye—Turkish Cargo’s worldwide airfreight market share rose to 4.8% pushing its rank to climb up to the 4th place among global air cargo carriers, according to market intelligence research firm World Air Cargo Data (WACD).
“This success achieved by Turkish Cargo demonstrates our commitment to make Türkiye the heart of the air cargo industry in the world. Turkish Cargo’s geopolitical position and infrastructure capabilities will also lead our country to become an even more important player in the air cargo industry. Thus, we will realize our goal of ensuring Turkish Cargo’s place as one of the top 3 air cargo brands in 2025 in accordance with our plans,” said Turkish Airlines Chairman of the Board and the Executive Committee, Prof. Dr. Ahmet Bolat.
Rising to the first place in the Eastern European market and surpassing top brands in America, Europe and the Far East, Turkish Cargo managed to carry one cargo out of 5 in the world as well. It ranked 2nd in the United Arab Emirates market, where it grew by 18 percent on the basis of sale-tonnage on year-on-year basis and ranked 3rd in India.
Turkish Cargo, which entered a period of rapid growth after 2010 with the strategies implemented, continued its rise with a positive differentiation during the pandemic period when the global air cargo industry was going through a difficult period.
As recorded by IATA data in 2010, the carrier ranked 33rd in the world. Then, according to WorldACD data, Turkish Cargo ranked 10th with a market share of 3.2 percent in 2017, and 4th with a market share of 4.8 in June 2022.
Flying to more international destinations than any other airline in the world in terms of passenger and cargo flights, Turkish Cargo was servicing 73 direct destinations in 2017, and now tops 100, up by 36.98 percent.
Turkish Cargo aims to further widen the routes it serves to 120 by 2025. The cargo carrier transported 1.8 million tons of various goods in 2021, pushing its global revenue to $3.5 billion.
Turkish Airlines Chairman of the Board and the Executive Committee, Prof. Dr. Ahmet Bolat
“Amerijet has been providing transportation services for almost half a century because of our customer-focused culture. Our emphasis is on adapting technology to our customer-focused culture with investments and better processes to reimagine the customer experience for the air cargo industry.” Eric Wilson, Amerijet CCO
For nearly half a century, Amerijet International Airlines has dedicated its services throughout the Caribbean, Mexico, Central America, South America and Europe, from its main hub at the Miami International Airport, supporting their economies, small businesses and people by safely transporting all kinds of goods on all occasions and seasons.
In recent years, the company has been widely recognized for its long-term and short-term ACMI and CMI charter services thanks to its seamless and transparent transportation solutions for customers shipping time-sensitive, valuable, hazardous material, temperature-controlled and other commodity types.
Indeed, Amerijet has successfully connected small businesses, particularly those located in the Caribbean, Mexico and Latin America to the world, providing seamless trade lanes and access to uninterrupted global supplies.
“The customer ACMI and CMI benefits depend on the customer’s type of business and their business needs for a dedicated aircraft operating a specific route. Or, in the case of CMI, their business need requires Amerijet to operate their aircraft for them,” Amerijet Chief Commercial Officer Eric Wilson explains.
With its own fleet of modern aircraft and highly skilled staff, Amerijet operates long and short-term charters for customers from all types of industries.
The Miami-based cargo carrier welcomed six B757 freighters to its fleet in March 2022, part of its comprehensive expansion and modernization strategy launched in 2020. Amerijet operates a total of 20 freighters consisting of 14 Boeing 767s and six Boeing 757s that offer its customers versatility, range, and payload capability, ideally suited for destinations throughout its Caribbean, Mexico, Central and South American and European network.
“This industry is difficult to predict, but we expect to see continued strong global demand for air cargo similar to 2021 and overall, continued pressure on the global supply chain across modes. We also anticipate fuel prices to remain high. We also expect to continue to grow across the business and offer our customers reliable capacity when and where it’s needed.”
When disaster strikes in Latin America, count on Amerijet to be the first to bring emergency relief aid. “Emergency response is different; our charter division handles that. We always strive to be the first carrier providing medical and emergency aid in our service region (Caribbean, Mexico, Central/South America),” said Wilson.
Pulling all resources
This pandemic, Amerijet triumphantly rose to the challenges of the time, pulling together all its resources to deliver vital medical supplies, including COVID-19 vaccines, and other necessities to communities and businesses relying on its services to survive tough times.
“The pandemic enabled Amerijet to showcase what we do best, and have done, for nearly 50 years- transport critical shipments across our network for our customers, partners and friends, including life-saving Covid-19 vaccines. Our entire company has pulled together in unimaginable ways throughout the pandemic to deliver for our customers,” shared Wilson, a prolific and globe-trotting aviation expert who joined the company in February 2021.
Amerijet continues to innovate and introduce cost-effective solutions as the global economic recovery efforts roll on.
“We have learned to expect the unexpected during the past three years. Our customers are telling us they expect the industry will continue to be pressured, with continued strong demand for air cargo capacity. We expect fuel prices to continue to remain high in the near term and we are watching this very closely. Geopolitical events around the world will impact our business,” said Wilson.
“We are still living under a global pandemic. How will sub-variants impact our lives and how will countries respond? While these questions get addressed, we are going to stay flexible, continue to invest in our businesses including enhancing our scheduled and non-scheduled services, stay focused on our customers and learn to live with and grow under uncertainty,” he added.
1st US carrier recertified with IATA CEIV program
Amerijet’s cold chain pharma standards and processes have been certified by IATA since 2017 and in August 2020, it became the first U.S. airline to be recertified with the IATA CEIV program, enabling it to safely transport COVID-19 vaccines where they were needed when they rolled out later that year.
“It was an amazing feeling of accomplishment to see photos and videos of the first shipments reaching airports and the happiness and relief seen on the faces of those citizens who would be able to get their first shots thanks to the work of literally hundreds of logistics professionals around the world who simply did what they do best every day. I am incredibly proud of what we did and will cherish those memories the rest of my career,” shared Wilson.
Equally important to the delicate mission of transporting the temperature-sensitive COVID-19 vaccines is Amerijet’s 360,000 square-foot import/export facility in Miami, Florida. This includes 40,000 square feet of temperature-controlled receiving and cooler space. The temperature in the cooler is monitored 24/7. Alerts and alarms are sent via email and SMS notification to staff members to intercede as needed to mitigate any risk to the temperature integrity.
Known for its exceptional handling service expertise to all types of pharmaceutical cargo such as vaccines, clinical trials, plasma, raw materials for testing, biomedical products and laboratory reagents, among many other pharma and life-sciences products, Amerijet takes pride in providing world-class standards when it comes to these things.
“We are very proud about our CEIV recertification completed two years ago. Recertification can often be more difficult to achieve than the initial approval and we are so proud of what our operations colleagues did to make this happen. Our team across the board understands what is involved in the correct handling of temperature-controlled products. Our team is aided by a wonderful, purpose-built facility here at our home base in Miami with a state-of-the-art industrial ammonia-powered cooler that is the largest on the U.S. East Coast and located literally steps away from where we load the aircraft,” said Wilson.
“The timing of recertification enabled us to be ready to assist in the transport of the first covid vaccines and we worked with a number of parties, both governmental and non-governmental in early 2021 to ship these vaccines produced in Europe, the U.S. and elsewhere across our network into the Caribbean, Mexico, Central and South America,” he added.
SmartKargo and Amerijet
Apart from investing in aircraft, infrastructure and people, Amerijet has partnered with SmartKargo to provide scalability and greater efficiency as well as a streamlined user experience.
“SmartKargo was selected as our cargo management system in 2020 to replace a legacy system that was first built in 1979s. In many ways, the Amerijet Cargo Management System (ACMS) was ahead of its time and supported the growth of our airline for over 40 years. Like all technology, we had simply come to a place where its sustainability was no longer viable and a replacement system was needed,” said Wilson.
“We looked around the marketplace and the SmartKargo cloud-based system offered the flexibility, scalability and importantly the simplicity we needed. We are incredibly proud of our partnership with SmartKargo. Their team has been incredibly supportive and have proven to be adept listeners and observers as we walked them through our business and how we do things. Overall, we are very happy with how the system is performing since we implemented on March 1 of this year,” he added.
“Change is never easy, especially when it comes at the expense of a system all of us knew so well, but with SmartKargo, we all proved we can learn something new that will be ready to support us as we grow.”
Innovative air cargo technology
Expounding further on SmartKargo’s many benefits to Amerijet’s strategic global growth plans, Wilson said it is an essential tool to provide their customers worldwide access to real-time price quotes, bookings and ability to track shipments across their network.
“Ultimately, air cargo is all about speed across the entire shipment lifecycle, and SmartKargo is the tool empowering that speed,” he said. “Digitization is infinitely scalable and as we grow, the right technology will be able to scale with us to support our employees and customers.”
The pandemic has accelerated digitalization across many industries. The air cargo industry, tasked to transport COVID-19 vaccines, was forced to quickly adapt and adjust to the tech world.
The once cost-prohibitive technology solutions became more accessible and affordable giving the air cargo industry more incentive to embrace digitalization.
“The air cargo industry does not lack for challenges and attracts professionals who are good at solving problems. I think in the past, where the industry lacked a strong tech solution, or a tech solution was available but cost prohibitive, the industry simply put people in place to solve a problem. We are now seeing an emergence of strong technology solutions that are more affordable than ever before available to the industry. This is driven by agile companies that see opportunities in the industry and have clever and innovative solutions to fix nagging problems,” said Wilson.
“Amerijet is a forwarding-leaning, pro-technology company and we believe we are just the right size to implement any number of solutions that will make it easier for our employees to do their jobs and enable our customers to have the products, tools and information they need to easily do business with us. Companies need to offer their employees the best, cutting-edge technology. When the best employees are matching with innovative, leading technology, sustainable growth follows,” he noted.
E-commerce continues to be the preferred shopping method of many consumers — and will continue to be popular. People have become accustomed to having supplies delivered to their doorstep, the air cargo industry must continue to provide innovative technological solutions that will facilitate safe and quick transportation of various goods.
“We are shopping as much as we ever did before the pandemic but doing it from the comfort of our living rooms. It’s imperative that customers have a positive experience and the companies that get it right are going to be successful and survive for the long run,” the Amerijet CCO stressed.
“Amerijet has been around for almost half a century because of our customer-focused culture. What we intend to do is adapt technology to our customer-focused culture with investments and better processes to reimagine the customer experience for the air cargo industry.”
BRUSSELS—From 1 March 2023, all freight forwarders, air carriers, express couriers, and postal operators transporting goods to or through the European Union (including Norway and Switzerland) will be required to submit advance cargo information in the form of a complete entry summary declaration (ENS), under the second phase of the EU’s new customs pre-arrival security and safety programme – Import Control System 2 (ICS2) Release 2, the European Commission announced.
Economic operators’ responsibility to comply with ICS2 Release 2 requirements
From 1 March 2023, economic operators involved in handling, sending, shipping and transporting cargo, express or postal consignments to or via the EU by air have to comply with new advance data reporting requirements for pre-loading and pre-arrival customs risk assessments.
By collecting data about all goods entering the EU prior to their loading and arrival, ICS2 supports effective risk-based customs controls while facilitating free flow of legitimate trade across the EU’s external borders. ICS2 will simplify the movement of goods between customs offices at the first point of entry and final destination in the EU. For economic operators, ICS2 will streamline requests for additional information and pre-departure risk screening by customs authorities.
In addition to air carriers’ ENS filing responsibilities under the multiple filing regime of Release 2, freight forwarders, express couriers, and postal operators will also be legally responsible for providing data. They either have to share it with the air carriers, who will then complete the ENS filing requirements, or submit the data directly to ICS2.
Postal operators and express couriers, who have previously been declaring partial information regarding inbound shipments (under ICS2 Phase 1), will now also be required to coordinate with their air carrier to submit all required data.
Those in the air transport sector who are currently filing advance cargo information into Import Control System (ICS) will have to gradually start filing this data into ICS2 during the operational roll-out of Release 2.
Preparing for ICS2 Release 2: Conformance Testing
Economic operators are strongly advised to prepare in advance for Release 2, in order to avoid the risk of delays and non-compliance.
To help prepare for the introduction of ICS2 Release 2, the European Commission will make available a conformance testing environment from July 2022 until February 2023, to be able to verify the economic operator’s ability to access and exchange messages with
customs authorities through the intended ICS2 trader interface. This conformance testing is mandatory for all economic operators concerned. Economic operators responsible for filing ENS data to ICS2 should determine whether they have an existing Economic Operators Registration and Identification (EORI) number. If not, they should contact the EU customs authority of their choice to get this number and to receive support in preparing for ICS2 Release 2.
They should also evaluate their trade operations for the handling of imports into the EU and contact their selected customs authority to connect and take part in the upcoming Release 2 conformance testing.
What is ICS2 Release 2?
The EU Import Control System 2 (ICS2) is a large-scale initiative to enhance customs oversight of the movement of goods prior to their arrival at the EU external borders (air, maritime, land and inland waterways). ICS2 enables customs authorities to identify high-risk consignments that necessitate early intervention, while facilitating legitimate trade into the customs territory of the EU, Norway, and Switzerland.
The system is being implemented in three releases. Having successfully completed Release 1 covering the pre-loading process for postal and express consignments by air on 15 March 2021, Release 2 is the next step in the system’s implementation, and it will go live on 1 March 2023. Release 3 will be implemented from 1 March 2024, requiring operators carrying goods on maritime and inland waterways, roads and railways to comply with the new regulations.
The European Commission is leading the operational delivery of ICS2 in close collaboration with customs authorities in Member States, Norway and Switzerland and industry stakeholders. For more information about ICS2 and Release 2, please see the European Commission’s webpage.
“I do not think I have stopped learning from this pandemic or indeed in life in general, but a major lesson learned for me recently, was how quickly people band together to find solutions and the speed at which creativity and relentless work ethic comes rushing forward in times of need.”
Q&A with Matthieu Casey Air Canada Managing Director Commercial – Cargo
Air Canada has shown incredible resilience and innovation during the pandemic, serving Canadaʼs people across its vast terrain that occupies much of North Americaʼs continent, stretching from the Atlantic Ocean in the east to the Pacific Ocean in the west, and the Arctic Ocean in the north.
The airline reaches out even to the farthest corners of the country helping people and businesses survive the freezing cold months with temperatures as low as -5°C and -15 °C or sometimes below -30°C in Winnipeg, Manitoba.
Beyond the Canadian borders, Air Canada also transports different types of cargo. Its good business standing in the industry has resulted to a 42% increase on its revenue in Q1 2022 to $398 million.
The Quebec-based Matthieu Casey, Air Canada’s Managing Director for Commercial Cargo, shares his insights in this Q&A about the company’s journey amid the air cargo industry’s growing influence and role in facilitating global economic and healthcare recovery efforts following the pandemic.
Casey, a communications graduate at University of Ottawa, who also studied at The Wharton School, has spent over 25 years in the aviation industry, the last 12 at Air Canada Cargo.
Prior to his promotion, he was Air Canada Cargo’s Senior Director, Cargo Global Sales & Revenue Optimization. In his new role, he oversees global sales, revenue management, and cargo analytics with responsibility for the airline’s digital and direct
customer experience.
How is business doing so far for Air Canada Cargo since the pandemic struck in March of 2020? Please elaborate and share some figures if possible?
The entire team at Air Canada Cargo and indeed Air Canada as a whole was tremendously quick to pivot and ensure capacity was put back into the market on key trade lanes, with a particular focus on sustained and regular scheduled capacity to ensure market stability for the air cargo community. This approach provided much needed stability in an otherwise very unstable time and was testament to our dedication to serving our customers and long-standing partnerships.
Our growth, both on volumes and revenue, has been very positive, and is in fact outpacing many of our market peers. The growth was also sustained and sure-footed, with a steady upward trend and our 2021 revenue numbers being more than double our 2019 numbers.
What are your plans for 2022 to keep up with the growing demand for air cargo services?
As announced last year, we are tremendously excited to be commencing our freighter operations, with the first of our eight converted Boeing 767-300ER freighters having entered service late last year. Our second will enter service this month and a subsequent six more will enter into service by 2023 at a cadence of about one every four months. This growth, coupled with the resumption of our passenger network, will
provide an increase in cargo capacity in 2022 above pre-pandemic levels.
How many employees do you currently have? How many more will you likely hire as you widen your services?
Our team has always been a lean yet effective one, but with the growth we have seen and are continuing to plan for, we have been actively recruiting more talent to support our strategy and continue to deliver on our promise on customer service excellence.
What would you say are your biggest challenges in serving your markets globally?
We are much more focused on looking at challenges as opportunities and one such example is what we have witnessed around the world with warehouse congestion. As a result, we are accelerating our infrastructure improvement programs with targeted investments into many of our
strategically positioned self-handled global cargo hubs in Montreal, Toronto, Vancouver, Frankfurt, London, and Chicago.
We have recently increased our warehouse space in Frankfurt and just last month, inaugurated the first phase of our 30,000 sq ft temperature-controlled facility in Toronto.
Do you think automation in cargo handling is the way to move forward? Does the investment justify the benefits or returns?
Automation is certainly a key component of our infrastructure improvements and only increases the productivity of our teams, which leads to improved service to our customers. The added benefit of this is an AirCargo Update improved work environment for our colleagues.
What sort of tech investments have you made to enhance your operations or services?
We are continuing to invest in many digitalization projects tied to improving the customer journey and enhancing the user experience. We have developed and released multiple API s providing streamlined connectivity with our customers and partners, and we have invested in modernizing our contact centres to improve service levels and support our teams and customers.
Our ongoing artificial intelligence labs are improving efficiencies and supporting initiatives aimed at improving decision making, and providing better and more robust capacity outlooks. Another goal is to simplify acceptance processes in our warehouses, which will reduce potential service deviations.
Please update us with the services and products that you currently offer worldwide.
We are CEIV certified both for Live Animals and Pharmaceutical, and provide services across most commodities. Please share a brief
background about yourself and some lessons we could all learn from this pandemic.
I have over 25 years in the airline industry, the last 12 at Air Canada Cargo and have held various roles ranging from Commercial positions in Canada and Global Sales as well as heading up Revenue Management, Interline partnerships, Marketing and Business Intelligence.
What have I learned from the pandemic? I do not think I have stopped learning from this pandemic or indeed in life in general, but a major lesson learned for me recently, was how quickly people band together to find solutions and the speed at which creativity and relentless work ethic comes rushing forward in times of need.
DOHA, Qatar – With India’s pharmaceuticals sector considered as the world’s third largest producer in terms of volume and supplies about 60% of the global vaccine demand, the air cargo industry plays a central role in safely delivering these products worldwide.
When Qatar Airways Cargo launched its pharma product in January 2014, India was one of the first markets to offer it. The airline has since grown to become one of the ISC’s leading cargo carriers, and today, with a pharmaceuticals market share of almost 18% in India, practically every fifth pharma shipment leaves the country on board a Qatar Airways Cargo plane.
“The Indian pharma market is very important for Qatar Airways Cargo,” Ehab Matta, Senior Manager Regional Cargo Indian subcontinent, Middle East & Pakistan – Qatar Airways, explains. “We work closely with major vaccine manufacturers in India through our global partnerships with international as well as leading local freight forwarders.”
It is this close collaboration with customers that led to Hyderabad (HYD) becoming the first station in the Qatar Airways Cargo network, to deploy Envirotainer’s new Releye® RLP containers as soon as they had been approved for carriage on Qatar Airways aircraft. Hyderabad also holds the national record for the most active pharma containers on one flight, having once moved 11 ULDs in one flight.
The city is home to over 2,500 of the country’s 3,000 pharma companies and 10,500 manufacturing units, and is India’s main pharma export station, though Mumbai, Ahmedabad, Delhi, Bengaluru, and Chennai also play important roles given the widespread pharma production facilities across India.
“India produces and exports both conventional vaccines as well as COVID-19 vaccines,” Matta continues. “Ten COVID-19 vaccines are approved for use in India, whilst Indian manufactured vaccines are approved in over 138 countries globally. We have moved close to 30 million COVID-19 vaccines to date to several destinations across our network including Africa, Middle East, Americas, Europe and Asia. We expect to move more since the COVID-19 vaccine export restriction was lifted by the Indian Government late last year. Our participation in the UNHCR vaccine programme, through Kuehne and Nagel, is a good testimony to our commitment.”
The increasing involvement of both India and Qatar Airways Cargo in supporting healthcare by means of charters and transporting not just pharmaceuticals, but all kinds of aid and relief material, and vaccines, has led to the airline sourcing a suitable candidate to act as Regional Cargo Sales Manager – Products.
Sunita Sanghvi, who joined the airline in Mumbai on 14 March 2022, is responsible for its pharma product development across India and the rest of the ISC region; and will work closely with the regional sales teams, customers, and partners, to provide dedicated focus, enhanced and tailor-made solutions in the face of increasing pharma demand across India and rest of ISC. “Having said that, most of our teams across all Indian stations are trained in our pharma product and are well versed with commercial and operational requirements as well as specific customer needs. It could be said that our largest pool of pharma experts is based in India,” Matta emphasises, pointing out, too, that the Indian teams are supported by the Central product management team based at the Doha head office.
“If you are interested in learning more about what we do, you can meet up with members of our pharma team in person at this year’s air cargo India event from 31 May 2022 to 02 June 2022. We will be at booth C101. We look forward to seeing you there,” Ehab Matta concludes.
Manufacturing pharmaceutical products and transporting them have always been a noble and big business but it became even bigger when the pandemic struck.
Countless tons of vital medical supplies like masks, gloves, sanitizers, personal protective equipment, among others, are needed on a daily basis for healthcare and frontline workers and the public. There’s also the need to distribute billions of doses of COVID-19 vaccines to nearly 8 billion people across the planet in need of protection against the virus.
The vaccine distribution is a monumental task for the air cargo industry which described it as the “mission of the century.” But more than two years on since the pandemic began, only a small fraction of the world got access to COVID-19 vaccines, mostly affluent countries that can afford to buy and ship them immediately.
COVAX, the global initiative aimed at equitable access to COVID-19 vaccines directed by the GAVI vaccine alliance, the Coalition for Epidemic Preparedness Innovations, and the World Health Organization, alongside key delivery partner UNICEF, said over 1 billion COVID-19 vaccines have been shipped to 144 countries.
But global leaders have called for urgent additional funding of at least $5.2 billion to establish a Pandemic Vaccine Pool of at least 600 million additional doses to address uncertainties and risks in the virus’ evolution.
They are convinced that the best way to protect and build on the progress made so far is to help as many people as possible around the world receive their primary vaccination while ensuring an ability to act quickly in response to any future developments of the pandemic. This would be critical not only to protect the health and economies of lower income countries, but also to protect the entire world against continuing waves of virus variants.
The global vaccines market size in 2019 was estimated to be valued at $46.88 billion. By 2027, it would reach $104.87 billion at 10.7% growth during the forecast period.
The global pharmaceuticals market size, meanwhile, is expected to gain momentum by reaching $2,151.1 billion by 2027 while exhibiting a CAGR of 7.0% between 2020 and 2027. This was largely attributed to growth on chronic diseases worldwide and the lingering pandemic that requires continued distribution of medicines and vaccines, according to Fortune Business Insights.
Etihad Cargo, the national airfreight carrier of the United Arab Emirates, is among those on the frontline to help address the world’s increasing need for the safe distribution of COVID-19 vaccines as well as pharmaceuticals and other life-science products.
A proud member of Hope Consortium, the Abu Dhabi-led public and private initiative on a mission to safely deliver large quantities of COVID-19 vaccines globally, Etihad Cargo takes pride on its bespoke solution in handling pharmaceutical products, which include vaccines.
The company said PharmaLife uses specially designed, temperature-controlled equipment and specific processes to ship pharmaceuticals around the world in the quickest and safest way possible.
It is hallmarked by Active and Hybrid full-portfolio containers with PharmaLife Active solutions in the case of premium and highly sensitive products. PharmaLife Passive Solutions, with three specific temperature ranges, namely +2° to + 8°, +15° to + 25°, and +2° to +25°, ensuring the right process and storage conditions.
Martin Drew, Senior Vice President Sales & Cargo, Etihad Aviation Group, explains to Air Cargo Update how Pharmalife transports sensitive temperature-controlled pharmaceuticals in quickest way possible.
“Pharmaceutical shipment handling and loading are always prioritized, with an average of just 60 minutes between aircraft and cooling facility. All shipments pass through the Etihad Cargo hub in Abu Dhabi and connect to more than 70 global destinations,” Drew said in an email interview.
“Each shipment journey is also managed and monitored by a dedicated team of experts. From the Cargo Control Center in Abu Dhabi to the on-ground specialists, by using real-time data from temperature-controlled storage and cargo hold temperature devices located in the aircraft, the team is entrusted and able to deliver end-to-end product integrity,” he added.
Etihad Cargo adheres to the highest compliance guidelines and was the first carrier in the Middle East to gain IATA’s Center of Excellence for Independent Validators (CEIV) certification for pharmaceutical logistics.
Currently operating across more than 1,100 IATA CEIV Pharma/GDP certified trade lanes, the carrier’s expertise in this sector – augmented courtesy of PharmaLife – has resulted in a 45 percent year-on-year rise in volume and an 85 percent increase in revenue of pharma shipments in 2021, according to Drew.
Through PharmaLife, Etihad Cargo handles all temperature-control requirements from -80°C through to +25°C.
Vaccines are typically transported at between +2°C to +8°C, however, to respond to customer requirements, Etihad Cargo said it expanded its Boeing Dreamliner and Boeing 777 fleet dry ice carrying capabilities as the Pfizer, Moderna and Sputnik COVID-19 vaccines all need to be maintained between -70°C and -18°C.
At the beginning of this year, Etihad Cargo moved more than 2 million doses of the Pfizer-BioNTech vaccines to Cambodia on behalf of UNICEF, the world’s largest vaccine supplier. It also made a record shipment of 109 tons of fashion and electronics from Vietnam and shipped 39 horses from Chicago to Riyadh. Its product verticals are diverse: from pharma to fresh food, flowers and everything in between.
“Naturally, shipping pharmaceuticals is complex and subject to myriad technical factors. Each manufacturer issues specific temperature-control requirements that must be applied to individual pharmaceutical products and adhered to throughout the journey to maintain product integrity. For example, some vaccines require -80°C, so last year Etihad Cargo secured UAE GCAA approval to expand its dry ice carrying capabilities across its Boeing Dreamliner and Boeing 777 fleet. The carrier can now carry up to five times more dry ice per flight, enabling it to provide customers with enhanced frozen and deep-frozen conditions, a necessity for some types of vaccine,” said Drew.
“In addition to its certification, Etihad Cargo actively participates in associations such as Pharma.aero, the Cool Chain Association, and IATA. Through that involvement, the carrier is working closely with all stakeholders to share experience and explore innovations as a collective, further elevating the whole industry’s capabilities.”
Etihad Cargo provides tailored solutions to handle all temperature-control requirements from -80°C through to +25°C. It has also worked with a number of ULD and specialized pharma container manufacturers to develop options that maintain temperature parameters.
Envirotainer, Csafe Global, Dokaschand, Skycell and Va-Q-Tecto all offer premium leasing options for pharmaceutical and life science shipments. The carrier’s active and hybrid solutions mean shipments are always stored and transported safely and securely at the correct and steady temperature, while providing both the carrier and the customer real-time monitoring and tracking.
“To ensure passive cargo maintains the correct temperature, a pre-cooled thermal blanket is applied before loading and offloading. This blanket stabilizes the environment of the shipment shielding it from extreme weather conditions and protecting the product integrity,” Drew explained.
“Etihad Cargo has partnered directly with the architects of the ULDs who came up with an innovative deep-frozen solution to house drugs at -70°C and it advises on the types of coolant used in the containers of each aircraft type. This enables the carrier to better anticipate and prepare to implement the specific types of packaging within their supply chain, thus minimizing risk.
“Through the partnership with Envirotainer, for instance, Etihad Cargo can closely monitor pharma shipments and provide its customers real-time data, including temperature and locations. It also operates a state-of-the-art, dedicated Cargo Control Center 24/7. This center is the digital heartbeat of the carrier’s cargo operation, tracking, monitoring, and controlling all shipments to minimize any potential delays, while simultaneously addressing and resolving issues in real-time to reduce any cold-chain disruption and ensure product integrity.”
Etihad’s Cargo Control Center uses digital technology and data-driven insights to effectively monitor all these things as well as controlling all shipments from start to finish.
The cargo airline said it has always been committed to the transportation of pharmaceuticals, but the pandemic has emphasized the need for its ability to effectively and securely ship vaccines, essential medicines, medical devices and other critical supplies that have enabled the roll-out of vaccine programs across the globe.
In March 2020, Etihad Cargo launched its passenger freighter operations to provide additional capacity to transport essential medical cargo. It has also set-up a COVID-19 workforce that worked with partners on prioritizing key shipments and embarked on an aggressive program with the UAE government for food security and aid distribution. November 2020 witnessed the establishment of the Abu Dhabi Hope Consortium which was committed to the distribution of the COVID 19 vaccines around the world.
In addition, in February 2021, the carrier joined the United Nations Children’s Emergency Fund (UNICEF) to support its Humanitarian Airfreight Initiative, distributing humanitarian supplies to children in underdeveloped countries.
“For shipments transported through the Hope Consortium, Etihad Cargo partner Maqta Gateway – Abu Dhabi Ports’ digital technologies subsidiary – has developed mUnity, which is a proprietary custom-built digital system that employs blockchain technology to track and trace COVID-19 vaccine sourcing, storage, shipment, and all related data in real-time. The system features robust end-to-end visibility of every vaccine, starting from the manufacturing facility right up to when it arrives at vaccination centers both in the UAE and abroad. Based on the availability of data, the system has the capability to track individual vaccine doses up until the time of the administration of the actual dose,” Drew shared.
“Etihad Cargo also uses a combination of smart ULDs for passive shipments, including Envirotainer RLP track and trace, which provides temperature-controlled air cargo containers with up to 170 hours of autonomy maintaining the temperature and protecting the cargo, as well as CSafe Global, which offers live monitoring and shipment visibility insights.
“Lastly, Etihad Cargo customers are able to monitor their shipments on the carrier’s CIQ system; a monitoring tool that enables them to track the journey in real time, providing full transparency and an enhanced experience.”
Etihad Cargo has also played a critical role in the global humanitarian aid program, transporting more than 400 tons of aid to more than 40 countries around the world.
“The carrier took a proactive approach to the anticipated challenges that came with COVID-19. From the outset of the pandemic, demand for premium pharmaceutical solutions increased, Etihad Cargo focused on its partners and enhanced its product specifications. It also established a COVID-19 Workforce and Steering Committee to drive the pandemic response and to continue to support the shipment of vaccines around the world,” said Drew.
Geneva, Switzerland—The International Air Transport Association (IATA) released March 2022 data for global air cargo markets showing a drop in demand. The effects of Omicron in Asia, the Russia – Ukraine war and a challenging operating backdrop contributed to the decline.
Global demand, measured in cargo tonne-kilometers (CTKs*), fell 5.2% compared to March 2021 (-5.4% for international operations).
“Air cargo markets mirror global economic developments. In March, the trading environment took a turn for the worse. The combination of war in Ukraine and the spread of the Omicron variant in Asia have led to rising energy costs, exacerbated supply chain disruptions, and fed inflationary pressure. As a result, compared to a year ago, there are fewer goods being shipped—including by air. Peace in Ukraine and a shift in China’s COVID-19 policy would do much to ease the industry’s headwinds. As neither appears likely in the short-term, we can expect growing challenges for air cargo just as passenger markets are accelerating their recovery,” said Willie Walsh, IATA’s Director General.
March Regional Performance
Project Logistics refers to the planning, organizing, managing, processing and controlling the complete flow of goods, materials and information associated with the successful completion of a project. Larger cargo requires a completely different set of equipment, infrastructure and experienced personnel. It is always a challenge for a transporter to handle cargo of unusual dimensions.
Yet, as oversized and heavyweight shipments become more sophisticated, shippers and service providers become more sophisticated. In addition, manufacturing complexity increases the challenge.
In remote parts of the world, parts and modular packages are being produced, then shipped to their final destinations. Packages are more critical; therefore, detailed planning is required. In the past five years, transportation providers have increasingly been involved in early stages of planning.
The global Project Logistics market size is projected to reach $40770 million by 2028, from $33530 million in 2021, at a CAGR of 2.8% during 2022-2028 (Market Watch). According to industry sources, Asia-Pacific leads the market studied and will also have the highest growth rate. Infrastructure investment has been a key contributor to economic development in Asia-Pacific over the past few years.
Thorsten Pook, Managing Director, Middle East, CEVA Logistics explains to Air Cargo Update project logistics has turned into a broader approach in the logistics industry.
Project logistics is a part of supply chain management that refers to the logistics services that pertain to equipment and materials that are procured for a specific project, such as the construction of a central processing facility or an offshore wind farm.
“Customers today are spread globally and usually interdependent, and their project sites are often positioned in complex locations that need to be efficiently managed to ensure any required “on-site” dates are met. All of this requires proper planning and experience to execute the operation well.
“In addition, project logistics does not necessarily refer solely to out-of-gauge cargo. However, many in the industry do refer to OOG cargo as ‘project cargo’,” says Pook.
Oil & Gas, Renewables and Infrastructure (Power Generation, Water Treatment etc.) are among the kind of projects handled under project logistics, according to CEVA Logistics.
Moreover, project logistics is a comprehensive approach to managing the logistics of a building or construction project across complex supply chains. The process includes getting items ready to move, arranging transportation through sea, air, or land, storing, and then traveling to the destination and unloading.
It is possible to need a wide range of equipment, including aircraft, container vessels, conventional vessels, barges, trailers of all sizes, etc., depending on the project.
With so much at stake on large-scale projects, getting everything to where it needs to be, safely and on time is paramount – and that’s where Project Logistics experts come in.
A firm understanding of all facets of basic freight forwarding with key attention to details that comes from experience in managing more complex project cargo movement is evolved. Furthermore, learning and developing oneself as a project logistics expert does not involve merely around learning theories or concepts from books or classroom.
It is largely on-the-job training and gaining experience over time, so proper mentoring and team management are important factors. In addition, formal training programs, such as PMP, are also useful tools for an effective project logistics expert.
As a project logistics professional, your goal is to dot the i’s and cross the t’s, to create a steady course from “you want what?” to signed, sealed and delivered. Often, they are even expected to build bridges between internal units, external partners and across chasms.
“Our team of project professionals have adequate experience in handling all types of cargo. The group operates within the broader CEVA network in key locations where project expertise is required. For a specific project, the team manages the safe transport of everything, ranging from massive modules to small air freight shipments,” explains Pook.
Where particularly heavy loads are concerned, project logistics bring in the biggest and most specialist equipment, whether that involves chartering ships or aircraft, break-bulk shipments, wide load road movements, barges or rail.
The use of technology is an ever-expanding ‘sector’ of people’s lives, for both personal and business uses. If a person, business or group was not to keep up with this technology, then they would likely get left behind in the grand scheme of things. Incorporating technology further into day-to-day logistics operations assists in the streamlining of processes, while it also grants greater access to logistical information and resources; both critical elements in contributing to the positive growth and development of individuals and logistics businesses.
“We have leveraged our automation expertise and technology capabilities to provide customers a seamless experience. It is part of what we call ‘responsive logistics’. Responsive is not reactive. At CEVA, responsive means that we are attentive to our customers’ needs, anticipating trends and developing solutions to help them succeed. For example, simple developments over the years in technology and systems have allowed us to provide line-item level visibility for Purchase Orders (PO) from the time the client issues the PO to their vendor right through to delivery on site,” says Pook.
The increase in demand for smart technology means that project logistics professionals can now benefit from real-time information on the status of their supply chain and resources. This is beneficial to systems that want to make sure that goods are delivered on time and customers are happy with the end product.
With the emergence of blockchain and internet of things (IoT) technologies, the project logistics industry is becoming increasingly transparent. Consumer goods companies are using IoT to add real-time visibility and make their supply chain operations more efficient, resulting in increased customer satisfaction.
Broader logistics approach
A cross trade is a shipment that takes place between two countries – none of which the seller is located in. In addition, they’re known as third-party shipments or – more commonly – as triangle shipments.
“In many cases, project logistics is controlled from a regional hub location that may be separate from the project site. As a result, the majority of shipments handled would be considered cross-trade, which requires close coordination between the hub, origin, and the team managing customs and last-mile at the given destination,” said Pook.
As logistical companies expand into the global market, cross-border trade has become increasingly popular. This is a particularly good example in the USA, where US buyers are increasingly requesting DDP terms so as to reduce their exposure to security implications and import costs.
Project logistics will always have a place in a broader logistics market. Although the projects themselves may change, such as the rapid increase in renewable energy projects in the world today, the skillset required to properly manage a project will continue to differ from general freight forwarding, according to Pook.
“Throughout the pandemic, there were many changes in the way we all worked. As a result of travel restrictions, we were unable to mobilize specific talent to certain locations for specific operations. This made it clear that local talent cannot be substituted for. Our global network proved to be an advantage with CEVA’s ‘think global, act local’ approach,” Pook concludes in our email interview.
Dubai, UAE—Emirates SkyCargo has transported more than 1 billion doses of COVID-19 vaccines, a historic milestone within a span of 18 months since the vaccines were first rolled out in October 2022 following the World Health Organization’s approval of its use against the Coronavirus.
More than 4,200 tons of COVID-19 vaccines, equivalent to over 1 billion doses, have been moved to over 80 destinations on over 2,000 Emirates flights. Close to two-thirds of the 1 billion doses were transported to developing countries.
Nabil Sultan, Emirates Divisional Senior Vice President, Cargo, said: “From the start of the COVID-19 pandemic, Emirates SkyCargo has been focused on supporting global communities in their recovery from the devastating effects of the virus and we have prioritized assistance to developing countries. The strategic location of our Dubai hub combined with the strengths of our modern fleet of widebody aircraft, our purpose-built facilities and capabilities in moving temperature sensitive pharmaceuticals allowed us to transport COVID-19 vaccines securely, reliably and rapidly from one corner of the globe to another. Ahead of World Health Day, we’re incredibly proud of our global Emirates SkyCargo team who have pulled out all stops during the pandemic to keep supply chains for essential goods like vaccines up and running. ”
As early as August 2020, Emirates SkyCargo was one of the first global air cargo carriers to begin mapping out the global logistics for the movement of potential vaccines for COVID-19 transport.
In October 2020, Emirates announced that it would be setting aside a dedicated GDP certified airside hub for transport of COVID-19 vaccines. During the same month, working with its logistics partners, the cargo division of Emirates transported trial shipments of COVID-19 vaccines through Dubai.
In January 2021, Emirates SkyCargo teamed up with leading Dubai-based companies to form the Dubai Vaccine Logistics Alliance to speed up distribution of vaccines through Dubai to developing countries.
In February 2021, the carrier signed an MoU with UNICEF to prioritize transport and delivery of COVID-19 vaccines in support of the COVAX initiative. By early April 2021, Emirates SkyCargo had already transported more than 50 million doses of vaccines.
In June 2021, Emirates SkyCargo expanded its pharma cool chain infrastructure at Dubai International Airport, allowing it to store an additional estimated 60-90 million doses of COVID-19 vaccines at any one point of time. With the global scaling up of vaccine distribution and administration, Emirates SkyCargo facilitated transport of larger volumes of COVID-19 vaccines from manufacturing origins to destinations, reaching 250 million doses by September 2021 and 600 million doses by December 2021.
Emirates SkyCargo is one of the leading global air cargo carriers for the transport of temperature sensitive pharmaceutical cargo. In addition to COVID-19 vaccines, the carrier transports other critical life-saving medicines and treatments on its flights to more than 140 destinations across six continents. An estimated 200 tons of pharmaceutical cargo are flown every day on Emirates’ aircraft.
Faced with increasing cargo volumes, Frankfurt Airport has turned to digitalization to make better use of its existing infrastructure and resources while facilitating seamless operations.
The pandemic has accelerated the digitalization of air cargo processes and paved the way for the emergence of tech-ridden and innovative trends to create a seamless movement of goods throughout the supply-chain.
The International Air Transport Association (IATA) pointed out in its 2021 report for global air cargo markets that the demand for digitalization in the industry is on upward trajectory as the world transitions to a more fast-paced digital transactions.
To cope with the rising demand for global e-commerce industry, the distribution of COVID-19 vaccines and other medical supplies, compounded by its main mission of facilitating global trade through the safe transportation of general and special cargo, the airfreight industry is forecast to steadily grow in the foreseeable future.
Against this backdraft and the congestion of shipments at various international ports, digitalization is proving invaluable to speed up the flow of the movement goods.
According to a report published by Allied Market Research, the global digital freight forwarding market generated $2.92 billion in 2020. It is anticipated to reach $22.92 billion in 2030, manifesting a CAGR of 23.1%.
Frankfurt Airport, Europe’s largest and one of the busiest
In 2021, about 261,927 aircraft took off and landed at Frankfurt Airport, up by 23.4 percent year-on-year compared to 2020 but still below the pre-pandemic level in 2019.
While these aircraft movements account for both passengers and cargo, there’s no denying that a significant portion of the volumes account for various goods.
Fraport AG, the operator of Frankfurt Airport, said cargo throughput at the airport in 2021, comprised of both airfreight and airmail, grew by 18.7 percent year-on-year to about 2.32 million metric tons—the highest annual volume ever achieved in the history of Frankfurt Airport.
A breakdown by the two cargo subcategories reveals that airfreight was the main driver behind this growth, while airmail continued to be affected by the lack of belly capacity on passenger aircraft.
Introducing FAIR@Link
Amid increasing volumes of cargo, Fraport introduced in 2015 a neutral data platform known as FAIR@Link, then considered an important milestone of digitalizing the process at Frankfurt Airport.
Today, FAIR@Link already enables more than 700 companies and authorities—handling agents, forwarders, truckers and airlines—to optimize and accelerate their transport and freight processes on the import and export side. The platform has also been running at Hamburg Airport since 2019.
Dirk Gladiator, Director Cargo Communications – DAKOSY AG and Max Philipp Conrady, VP Cargo Development at Fraport AG explains to Air Cargo Update how FAIR@link is further enhanced to support the digitalization growth in their ecosystem.
FAIR@Link is a neutral and cross-industry platform. There are open interfaces for any company that needs/wants to exchange data with FAIR@Link. With the help of the interfaces, the processes can be easily integrated into the company’s own IT.
FAIR@Link has a modular structure and is adapted to the special requirements of the respective airport and its logistics customers. Depending on requirements, customs, security, dangerous goods and SCM processes are also supported – often even automatically.
Software company DAKOSY’s Director for Cargo Communications Dirk Gladiator explains: “FAIR@Link, is used to digitalize air cargo processes and connect the various process partners along the supply chain in order to speed up and foster robust and transparent air freight handling in export and import. It is in general terms, a data exchange platform that brings together all shipment information data exchanged with the relevant process partners. This is not a trivial task, but a basic requirement for future cargo processes and it can be transferred and installed at various airports, On top of that data layer various applications for the various connected stakeholder, like handling agents, freight forwarders but also truckers are already available. These applications have local configuration settings and may underlay certain local limitations or particularities.”
According to Gladiator, a local layer, so-called FRA-OS, was introduced with the implementation of the newest import application at Frankfurt Airport.
1 – FAIR@Link is currently operated in FRA and HAM
2 – FAIR@Link was developed by DAKOSY in close cooperation with the Air Cargo Community Frankfurt e.V. and is distributed and operated by DAKOSY only.
“With the launch of FAIR@Link in Frankfurt we laid the foundation for smooth handling processes and data exchange across the supply chain partners. The basic community platform has been expanded since its launch 2015 for several times and further applications are being developed continuously,” Gladiator continues.
Other milestones With continuously growing volumes, cargo operations at Frankfurt Airport are reaching capacity restraints. Digitalization is one major enabler to make better use of existing resources and increase capacity not only for more cargo growth but also for better performance.
Conrady of Fraport AG said, “The introduction and further development of FAIR@Link has enabled various milestones to be reached in the digitization of cargo processes at Frankfurt Airport. The introduction of FRA-OS/ Import last year deserves special mention. FRA-OS stands for Frankfurt Airport Operational System and is powered by the FAIR@Link data layer”
FRA-OS/ Import, as the first module of FRA-OS, is an important corner stone for EU compliant import processes and essential to preserve the handling of consolidated shipments at Frankfurt
“Another important milestone was the introduction of the ramp control system. This system helps to avoid waiting times in CargoCity South and thus contributes to a smooth flow of traffic. More than 700 truck companies are already regularly using FAIR@Link to book slots with the large handling agents on site. With the upcoming integration of our largest handling agent in the CCS, FCS Frankfurt Cargo Services GmbH, nearly 100% of delivery vehicles will be using the slot booking system. Just a few days ago, we have reached another milestone, connecting FAIR@link and specifically the ramp control system with Fraport’s Click-2-drive automatic license plate detection system.
“As a result, the entry barriers at Gates 31 and 32 of Frankfurt Airport’s CargoCity South will automatically open for vehicles that have a confirmed time slot in the FAIR@Link system for loading or unloading at one of the warehouses operating there. The new interface delivers major time savings for forwarders and truckers who take advantage of the FAIR@Link slot booking system. When booking a slot, they provide all the information needed for Click-2-drive. By connecting both systems, we have succeeded in implementing a faster, leaner process for managing all delivery and pick-up traffic,” Conrady explains further.
Digitization has proved to be important during the pandemic, enabling many contactless processes. Slot booking or registration for entering Frankfurt Airport’s CargoCity South is now possible without personal contact with the help of digital solution. Nevertheless, airfreight is a hands-on industry.
“You will always need highly trained staff to successfully ship goods via airfreight. This became especially visible during the pandemic when high sickness rates challenged the whole industry. Digitalization can compensate at least for some of these absences. But we are still witnessing that digitalization has not progressed so far to fully substitute manual work – it probably never will, and this is important. Digital solutions can only work if you have people using it properly,” said Conrady.
“With Fair@Link we have a solid cornerstone of valuable information, that we would like all local process partners to make use of in order to provide more fluent and more robust cargo operations at Frankfurt airport,” he added.
FAIR@Link cargo community platform is now digitally linked with the Click-2-drive automatic license plate detection system.
The result: starting immediately, barriers at Gates 21 and 32 at Frankfurt Airport’s CargoCity South will automatically open for vehicles with confirmed time slot in the FAIR@Link system for loading or unloading at one of the forwarders operating there.
The Intelligent networking of automatic license plate detection with FAIR@Link cargo community platform is a major time saving for forwarders and truckers who take advantage of its slot booking system.
When booking a slot, they provide all of the information needed for Click-2-drive. Fraport installed the Click-2-drive automatic license plate detection system at gates 31 and 32 last year. Now, when a registered vehicle drives up to the entrance barrier the system not only scans its license plate but also queries FAIR@Link to see if there is a corresponding slot booking.
If so, the barrier opens to let the vehicle through. In case the license plate number isn’t recognized or the driver isn’t using the vehicle specified when booking the slot, they can scan the QR code received when registering to gain admission.
“FAIR@Link has a modular structure and is adapted to the special requirements of the respective airports and their logistics customers. Depending on individual needs, it can also support Customs, security, dangerous goods and SCM processes – and in many cases can even be automated,” said Gladiator.
According to Conrady, at the moment, too many processes in airfreight handling are fractured – they are neither data-driven nor integrated. The air cargo industry will benefit from digital solutions more and more. Here, collaboration and data sharing will be the success factor. With this kind of network, all authorized persons along the supply chain will get access to the information needed so that things will be more predictable and at the same time as flexible as now.
To achieve this, a trustworthy cooperation is essential. On the other hand, digitalization on its own would not work. To achieve the right balance between digital and physical infrastructure, high skilled talents will always be needed to interfere in special processes and support a smooth cargo handling.
Conrady noted, “The cargo community platform was already introduced in 2015. Already back then, we recognized the need to network the supply chain partners on site and pushed ahead with the development of FAIR@Link together with leading freight forwarders, freight handlers and DAKOSY. Since then, FAIR@Link allows the exchange of shipment data across companies and thus helping to guarantee smooth and reliable processes in the air freight process chain. It therefore is the basis for further digitalization.
“In an ideal world, airports will develop to digital transfer hubs with worldwide standardized messages and interfaces, so that everyone speaks the same language. Industry representatives accept and trust in data sharing so that everyone understands the benefits from sharing information. In this world, technical solutions will improve fast, and we will work in a global digital ecosystem for efficient and secure data exchange.
“Following there would be almost no unpredictable disruption of operations, but rather well-prepared processes, pre-planned what-if scenarios, new collaboration models and automation at its best. The industry has already reached a lot of these goals, but we all have a long way to go to fully adopt digitalization.
Technology has made the world smaller and faster.Real time communication with people from all over the world at different time zones through phones and gadgets
