Air Belgium all set to enter the cargo market

The airline said that it will “soon introduce” four cargo aircraft to its fleet, with the ambition of expanding to six units by the end of the year.

The first two aircraft should be operational as of March 2021. The first aircraft will be based at Liege Airport.

Air Belgium chief executive Niky Terzakis said: “In such an uncertain period, this is good news for the airline. We are delighted to be able to begin this diversification into the commercial and cargo sector, which my team and I know well. This will complement our existing passenger business which has been severely impacted by the current travel restrictions.

“This demonstrates once again the resilience and flexibility of our airline’s development potential. As well as the ever-growing attractiveness of Liege Airport.”

The airline declined to comment on which aircraft it would operate, but Belgian website Aviation 24 suggests they are four A330-200Fs previously operated by Qatar Airways.

Qatar Airways has previously stated it would like to exit its A330Fs and earlier this year took delivery of three Boeing B777 freighters so the timing would make sense.

Meanwhile, the decision to start all-cargo operations at Liege Airport shouldn’t come as too much of a surprise.

The Belgian airport has been expanding its cargo operations rapidly over recent years and also Terzakis has experience of freighters at the Belgian hub: until 2014 he was managing director/chief executive of express carrier TNT Airways based at the facility.

IATA: COVID-19 impact deepens in the Middle East

AMMAN: The International Air Transport Association (IATA) says the COVID-19 pandemic’s impact on the Middle East’s aviation industry and economies is deepening based on recent data gathered.

IATA said Job losses in aviation and related industries could grow to 1.5 million. That is more than half of the region’s 2.4 million aviation-related employment and 300,000 more than the previous estimate.

Full-year 2020 traffic is expected to plummet by 56% compared to 2019. Previous estimate was a fall of 51%. And GDP supported by aviation in the region could fall by up to $85 billion from previous estimate of $66 billion, IATA added.

“Middle East economies have been brought to their knees by COVID-19. And without air connectivity being re-established, the socio-economic impact is getting worse. Businesses which contribute substantially to the region’s GDP and provide thousands of jobs are at risk without these vital connections. For the region’s economic recovery, it is imperative that the industry restart safely as soon as possible,” said Muhammad Al Bakri, IATA’s Regional Vice President for Africa and the Middle East.

 To minimize the impact on jobs and the broader Middle East economy, an accelerated recovery of air transport across the region is paramount. This can be achieved through government action in two priority areas:

  1. Harmonizing the restart of air transport across the region

Some countries in the Middle East are opening their borders to regional and international air travel but inconsistent application of biosafety measures along with unnecessary entry requirements are deterring passengers and suppressing the resumption of air travel. Harmonizing the restart of aviation across the region is critical for economic recovery. Governments need to implement the common global set of air transport biosecurity measures, contained in the International Civil Aviation Organization’s CART Take-off Guidelines.

  1. Continued financial and regulatory supportIn particular, direct financial aid such as wage subsidies and loans, an extension of the waiver to the 80-20 slot rule, and relief from taxes and charges.

“We are grateful to governments which have provided relief to aviation. However, the situation is not getting better, governments need to continue applying relief measures—financial and regulatory. A regional priority is securing support in the form of wage subsidies and loans as well as an extension of the waiver for the 80-20 use-it-or-lose-it slot rule,” said Albakri.

“This is needed to provide critical relief to airlines in planning schedules amid unpredictable demand patterns. Saudi Arabia has confirmed a waiver for its slot coordinated airports and we hope the UAE, Morocco and Tunisia will do so soon. Airlines need to focus on meeting demand and not meeting slot rules that were never meant to accommodate the sharp fluctuations of such a crisis,” he added.

The latest assessment from IATA Economics shows that the outlook at the national level has worsened for major aviation markets in the Middle East since June. The passenger numbers, jobs at risk and GDP impacts for the five biggest Middle East markets all have declined.

Country June Pax Estimate

(millions)

August Pax Estimate (millions) June Jobs at risk August Jobs at risk April
GDP (US$ billions)
August GDP

(US$ billions)

Egypt -13.7 -14 297,200 298,300 -3.3 -3.5
Jordan -3.8 -4 36,660 39,600 -0.8 -1.2
Morocco -11.6 -12.3 534,200 569,100 -4.9 -5.6
Qatar -5.0 -5.3 72,700 78,400 -2.8 -3.1
Saudi Arabia -36.4 -39.2 299,200 322,500 -17.9 -20.1
United Arab Emirates -32.3 -34.8 392,900 421,200 -23.2 -25.9

 

ATRAN Airlines expands Chinese coverage amid growing e-commerce volumes

MOSCOW: Volga-Dnepr Group’s express air cargo carrier, Atran Airlines, has expanded its network in China by bringing Shijiazhuang into the loop amid a growing demand for e-Commerce.

The carrier said it intends to operate the flights on a weekly basis to Vnukovo International Airport in Moscow (Russia) where it is based. Shijiazhuang is the capital and largest city of North China’s Hebei Province.

The maiden flight, which was operated on the 8th of August, lifted almost 15 tons of e-commerce-related consolidated cargo. ATRAN is planning to deploy both types of its freighters – Boeing 737-400SF and Boeing 737-800BCF – to guarantee high-quality services for its customers and final consignees who expect on-time delivery of their online purchases.

With Shijiazhuang being the capital of Hebei Province and neighbouring Beijing and Tianjin to the north, the city covers the catchment area of North China. After booming growth of e-commerce and its penetration across first-tier cities of China, second-tier cities, likes of Xi’an and Shijiazhuang, are becoming active game-players and accumulate stable traffic to Russia.

“Amid lockdowns across various countries of the world with closing of the most shops and movement restrictions within the cities, e-commerce came as a breath of fresh air when people were not lacking essentials and other items of their life. With the demand for cargo operations being high, we experienced a considerable increase in e-commerce volumes for the first 6 months of this year,” said Vilatiy Andreev, General Director of ATRAN Airlines.

“Not only do we attribute it to the strict measurements and decrease of passenger belly capacities, but rather to our stable development of long and middle terms contracts with our customers, being flexible and agile in terms of network development and enhancing our service quality,” he added.

Shijiazhuang is the latest addition to ATRAN’s network which complements existing Xi’an, Nanjing, Hangzhou, Urumqi and Zhengzhou most effectively and will provide greater delivery options for ATRAN’s customers.

Emirates dedicates over 50 flights to deliver much needed emergency relief support to Lebanon

DUBAI: As Lebanon reels from the impact of the recent devastating explosions at the Port of Beirut that rolled out through a significant part of its capital Beirut, Emirates SkyCargo took a stand to provide it with critical emergency relief and aid, dedicating over 50 flights to deliver much needed airlift to the country.

Emirates said it is also providing people around the world the opportunity to donate cash or pledge their Skywards Miles, through a dedicated, secure and convenient portal via the Emirates Airline Foundation.

For the next three months of donations, the Emirates Airline Foundation will in turn directly coordinate shipments of urgent food, medical supplies and other much needed items with a range of NGO partners to ensure donations directly help those affected on the ground in a swift and transparent manner. Work is underway to mobilize recognized humanitarian partners.

For every donation, cargo capacity will be provided for humanitarian organizations to transport critical medical equipment and supplies, food and other emergency relief goods directly to Beirut through Emirates SkyCargo. Additionally, Emirates SkyCargo will further contribute by providing a 20% reduction on air freight transportation charges for approved shipments, underscoring its commitment to expedite emergency relief efforts to Beirut.

“Today, the world is banding together to stand in solidarity with Lebanon, providing urgent relief and immediate recovery support to those affected by this tragic disaster. Emirates supports the UAE’s ongoing humanitarian efforts to support Lebanon and is committed to bolster its global emergency response to ensure that it can support organizations which provide urgent care, shelter, food and medical support to the Lebanese people,” said HH Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive of Emirates Airline & Group.

“People from all corners of the globe have been sending their support to Lebanon and we are proud to facilitate a means for them to tangibly and proactively assist the Lebanese people with relief and recovery efforts on the ground during this difficult time.”

Emirates has already been supporting disaster relief efforts in Lebanon through the dispatch of several charter flights carrying food, clothing and medical supplies donated by various grassroots organizations in the UAE.

Emirates said it is committed to being a strong partner by making a difference and giving back to the communities it serves. Through the Emirates Airline Foundation, the airline supports over 30 humanitarian and philanthropic projects in 16 countries.

Over the years, Emirates has supported humanitarian flights in partnership with the Airbus Foundation, and since 2013, Emirates A380 ferry flights have transported over 120 tons of food and vital emergency equipment to those in need.

Emirates has been serving Lebanese skies and communities since 1991. The airline started its operations between Dubai and Beirut with a thrice weekly service utilizing a Boeing 727. Today, Emirates operates two daily flights to Beirut utilizing the Boeing 777, with plans to add further frequencies.

Lufthansa Cargo now has 14 weekly cargo flights between Shenzhen and Frankfurt

FRANKFURT: Lufthansa Cargo has begun offering an additional 14 cargo flights per week between Shenzhen in China to Germany’s Frankfurt City with millions of medical supplies still in high demand to fight the Coronavirus pandemic.

The first flight, an Airbus A330-300 from Lufthansa, took off from Shenzhen on May 18 as scheduled with about 3 million respiratory masks and other medical protective equipment on board on behalf of logistics company Fiege.

“Lufthansa Cargo is doing its utmost to strengthen security of supplies by air and maintain supply chains. We are continuing to expand our services to ensure the fast transport of large quantities of urgently needed goods,” explains Dorothea von Boxberg, Chief Commercial Officer Lufthansa Cargo.

Currently, all 17 Lufthansa Cargo freighters are in continuous operation to fly medical supplies, among other things, all over the world. From and to mainland China alone, 16 flights a week are currently operated with Boeing 777F wide-body freighters with a standard load capacity of around 103 tons.

With the newly opened route to Shenzhen, a total of up to 49 additional weekly flights with Lufthansa passenger aircraft for the transportation of goods are offered in China.

“As a reliable partner, Lufthansa Cargo has played an important role in the stable supply chain from Asia to Germany in recent weeks. The new cargo flights from Shenzhen ensure that we can make this supply chain even more flexible, so that urgently needed goods arrive quickly in Germany,” said Michael Völlnagel, CEO Fiege International Freight Forwarding.

Achim Plücker, Managing Director International Cargo Center Shenzhen, underscored the importance of the flights between the two countries.

“For Shenzhen Airport and the International Cargo Center Shenzhen, the launch of the Lufthansa connection is a further step in the internationalization of Shenzhen Bao’an Airport. We are very pleased to be able to participate in supplying Germany with urgently needed medical goods such as masks. It was an energetic effort on the part of everyone involved, especially the airport, to launch this new connection in just fourteen days,” he said.

IATA says relief critical for Middle East airlines recovery with 1.2 million people expected to lose jobs

AMMAN: The International Air Transport Association (IATA) renewed its call for government relief measures as COVID-19 crisis in the Middle East and North Africa region deepens with more than 1.2 million people projected to lose their jobs and billions in aviation revenue losses.

IATA said the region’s airlines could lose $24 billion of passenger revenue compared to 2019. That is $5 billion more than was expected at the beginning of the month. With full Full-year 2020 traffic expected to plummet by 51% compared to 2019.

Job losses in aviation and related industries could grow to 1.2 million. That is half of the region’s 2.4 million aviation-related employment.  Previous estimate was 0.9 million. GDP supported by aviation in the region could fall by $66 billion from $130 billion. Previous estimate was $51 billion.

These estimates are based on a scenario of severe travel restrictions lasting for three months, with a gradual lifting of restrictions in domestic markets, followed by regional and intercontinental.

“Airlines in the Middle East continue to be battered by the impact of COVID-19. Passenger traffic has all but ground to a halt and revenue streams have evaporated. No amount of cost cutting will save airlines from a liquidity crisis. The collapse of air transport will have devastating effects on countries’ economies and jobs. And in a region where aviation is a key pillar of many nations’ economies the effect will be much worse. Direct financial support is essential to maintain jobs and ensure airlines can remain viable businesses,” said Muhammad Al Bakri, IATA’s Regional Vice President for Africa and the Middle East.

To minimize the broad damage that these losses would have across the Middle East economies, it is vital that governments step up their efforts to aid the industry. IATA is calling for a combination of: direct financial support, loans, loan guarantees and support for the corporate bond market and tax relief.

In addition to vital financial relief, the industry will also need careful planning and coordination to ensure that airlines are ready when the pandemic is contained.

IATA is scoping a comprehensive approach to re-starting the industry when governments and public health authorities allow. A series of virtual regional summits, bringing together governments and industry stakeholders are taking place this week. The main objectives will be:

“As governments struggle to contain the COVID-19 pandemic, an economic catastrophe has unfolded. Re-starting aviation and opening borders will be critical to the eventual economic recovery. Airlines are eager to get back to business when and in a way that it is safe. But starting up will be complicated. We need to make sure that the system is ready, have a clear vision of what is needed for a safe travel experience, establish passenger confidence and find ways to restore demand. Cooperation and harmonization across borders will be essential to restart aviation,” said Al Bakri.

Some of the impacts at national level include:

Saudi signs SR7 billion BOT with Singapore for a mega-port in Dammam

RIYADH/DAMMAM: The Saudi Ports Authority (MAWANI) and Saudi Global Ports (SGP) have signed a SR7 billion (about USD1.865 billion) new Build, Operate and Transfer (BOT) agreement to develop the King Abdulaziz Port in Dammam into a mega-container and port hub.

Under the patronage of H.R.H. Prince Saud bin Nayef bin Abdulaziz, Governor of the Eastern Region, (MAWANI), the agreement, the largest 30-year BOT deal in the Kingdom, was signed remotely in April by the parties concerned as countries observe the global travel ban to prevent the spread of the Coronavirus pandemic.

H.E. Eng. Saleh Al-Jasser, Minister of Transport and Chairman of the Saudi Ports Authority; Mr Khaw Boon Wan, Coordinating Minister for Infrastructure and Minister for Transport of Singapore; H.E. Eng. Saad bin Alkhalb, President of Saudi Ports Authority; and Eng. Abdullah Al-Zamil, Chairman of Saudi Global Ports, participated in the remote agreement signing.

The BOT agreement calls for SGP to transform the King Abdulaziz Port into a mega container hub and increase its capacity to 7.5 million Twenty-foot Equivalent Units. The project is seen to create over 4,000 jobs in the country’s port and logistics industry which the Saudi government wants to develop under its Saudi Vision 2030 initiative.

SGP also agreed to invest and develop key infrastructure such as berths and container handling equipment, focusing on environmentally friendly and technologically sophisticated systems, including the adoption of automation to develop a modern Saudi workforce.

The King Abdulaziz Port is the largest Saudi port on the Arabian Gulf coast covering 19 km². It is an integrated trade gateway linking the Kingdom to the world with 43 berths and capacity for 105 million tons. It is linked with Riyadh Dry Port by railway, enabling goods from all over the world enter the eastern and central regions of the Kingdom.

The port provides comprehensive operational services enabling it to handle various types of cargo. It has two advanced container terminals, one refrigerated cargo terminal, two general cargo terminals, two cement plants: one for exporting black cement and clinker and one for white cement, bulk grain terminal, Iron ore handling terminal, naval vessel manufacture area and gas and oil platform. It also has a ship repair facility that includes two floating ship docks to accommodate ships up to 215 meters long.