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   Vol. 16 No. 13
Tuesday February 7, 2017

Performance Not Promises

Hoon Over Moon

      Changi finally returned to significant growth in 2016 after a decade of negligible gains.
      Last year the Singapore hub, which Airports Council International rated the 10th largest globally in 2015, handled a record 1.97 million tons, a 6.3 percent increase compared to a year earlier. An 8.4 percent year-on-year surge in December surely aided the positive result.
      By comparison, between 2011 and 2015, the South East Asia hub saw zero growth, with volumes failing to escape from a very narrow 1.83-1.87 million-tons-per-annum range. Indeed, the airport was already handling 1.78 million tons all the way back in 2004.
      In 2016 Changi reached all-time highs for passenger movements (58.7 million, up 5.9 percent) and aircraft movements (360,490, up 4.1 percent), while Changi’s top five country markets for airfreight were China, Australia, Hong Kong, the United States, and India.


Hoon Over The Moon

      Changi Airport Group Assistant Vice President of Cargo & Logistics Development Division Ms. Phau Hui Hoon told FlyingTypers that the addition of two new freighter airlines aided the 2016: Neptune Air, with 4 times weekly services to Penang; and Silk Way West, with 2 times weekly services to Azerbaijan and stopovers in Kuala Lumpur and Dubai. K-Mile Air also resumed 5 times weekly services to Bangkok.
      “Over the years, we have also seen a diversification of our cargo base, with strong growth in niche segments such as pharmaceuticals, perishables, and express/e-commerce,” said Ms Phau. “These segments performed well, contributing to a significant portion of Changi’s total cargo throughput. Pharmaceuticals grew at a 5-year compounded annual growth rate of 13 percent from 2010 to 2015.
      “For the first eleven months in 2016, pharmaceutical grew 10 percent year-on-year. Transporting high-value temperature- and time-sensitive pharmaceutical cargo can be complex due to the multiple requirements, and airfreight is one of the fastest and most efficient options of transportation.”


Pharma Pilots Growth

      Global spending on pharma cold chain logistics is projected to grow at 8-9 percent per year, totaling US$16.7 billion by 2020, according to Pharmaceutical Commerce. Asia is expected to account for the largest regional share growth with more than US$1.2 billion of cold chain growth through 2019.
      To support this growing trend, Phau said Changi Airport Group and its partners were working to raise pharmaceuticals handling standards within the airport community. “This year, to raise the local community’s handling standards and capability for temperature-sensitive pharma cargo, Changi Airport is the first airport in Asia to embark on a community approach for the IATA CEIV Pharma certification,” she said.


CEIV Pioneers

      “The pioneer group of companies in the Changi CEIV Community consists of SIA Cargo, dnata Singapore, Global Airfreight International, Expeditors Singapore, CEVA Logistics Singapore, and Schenker Singapore. SATS, the other ground handler at Changi, had already obtained its CEIV Pharma certification in 2014 and was the first facility to receive the certification.
      “Changi Airport Group has also joined Pharma.Aero, an organization comprised of stakeholders of the air cargo supply chain from around the world, dedicated to achieving excellence in end-to-end air transportation for pharma cargo.”


DHL Express Support

      Next year she is cautiously optimistic about the airport continuing its renaissance. The October 2016 official opening of DHL Express South Asia Hub, a 24-hour express hub facility located within Changi Airfreight Centre, helps propel continued success. The new hub has tripled DHL Express’ cargo handling capacity in Singapore and allows shipments to be processed six times faster.


SATS Not Sitting On Lead

      SATS’ new eCommerce AirHub is also due to open later this year. “In 2017, we look forward to the opening of SATS e-commerce hub in the first quarter,” she said. “SATS will be the first ground handler in the world to own such an airside facility, with automated processes for single scanning and sorting to save cargo processing time and increase efficiency.”
      However, Ms. Phau told FlyingTypers the global trading environment remained tough. “Notwithstanding the healthy growth posted at Changi Airport in 2016, we are mindful of the ongoing sluggishness of global trade growth which in turn presents clear headwinds for the air freight market,” she said. “As such, we continue to remain cautiously optimistic for 2017.”


Looking For A Few Good Flights

      “As part of our ongoing efforts to enhance air cargo connectivity, we are constantly on the lookout for opportunities to work with our airline partners to expand their freighter operations or operate new flights to Singapore.”


Moving East

      In the longer term, to support growth of Singapore’s cargo and logistics sectors, dedicated facilities for airfreight and air express services will be developed as part of the Changi East development. Projected for the late-2020s, Changi East will see the development of a 1,080 ha site, including the building of a new mega terminal, Terminal 5, a three-runway system, as well as industrial facilities, related infrastructure, and transport links.
      “This development will secure the long-term growth of Singapore’s cargo and logistics sectors and strengthen Changi Airport’s position as a major air hub,” she added.
Sky King

chuckles For February 14, 2014

Qatar Goes Long Grows Pharma Flights

Uli Ogiermann   “We are extremely proud to be the only international air cargo carrier to offer dedicated A330-F Pharma Express flights to the world’s major pharmaceutical and healthcare industry hubs," said Qatar Airways Chief Cargo Officer Uli Oggiermann. The carrier added an additional weekly (Friday) frequency starting February 3, operating from Basel to Doha.
   Qatar will add the next two additional Airbus A330 freighter services from Brussels to Doha on Wednesdays and Saturdays beginning February 15.
   Today, Qatar Airways Cargo's pharma network covers 71 destinations across the world.
   “Pharma Express flights were launched in 2015 and currently operate from pharmaceutical hubs out of Brussels, Basel, Mumbai, Ahmedabad, and Hyderabad, transporting more than 30,000 tons of pharmaceuticals each year," Uli said.
   Elsewhere, it was Superbowl Sunday as QR went long and Akbar Al Baker (above), Group Chief Executive Officer of Qatar Airways, was handed anna.aero’s trophy for opening the world’s longest non-stop commercial air service between Doha and Auckland on Sunday, February 6.

Get Off Your Duff & See This Tuff

     It's been described as an international social salad network, which sounds like a fairly modern and anachronistic term for a company that first began in De Lier, southern Netherlands, in 1924.
      A family company, Rijk Zwaan develops vegetable varieties and produces seeds sold to farmers around the world. Today it holds an approximate 8 percent share of the global market.
      The company refines more than 25 kinds of vegetables, including lettuce, tomato, cucumber, peppers, and cabbage.
      So it follows that would also be looking for ways to increase vegetable consumption.
      The Zwaan initiative “lovemysalad.com” brings consumers and professionals together “to inspire each other by sharing their passion for vegetables,” Rijk Zwaan says.

Fruit Logistica Berlin This Week
      The Zwann team will be 'loving it up' inside Hall 1.2 A-14 at the 25th Annual Fruit Logistica all this week at the massive Messe Berlin in Germany, February 8-10, 2017.


Get Off Your Duff & See This Stuff

      Fruit Logistica is an excellent introduction the 2017 transportation event season, offering new opportunities as you uncover specialized sectors and ponder how to connect the fresh fruit and vegetable business with products across the entire value-added supply chain, from growing to the point-of-sale.
      The idea that you might discover some new markets and use your imagination to advance air cargo seems irresistible!
      Fruit Logistica is a veritable smorgasbord of action and opportunity, with more than 2,884 exhibitors and 70,000 visitors and covering every sector of the fresh produce business.
      It paints a complete picture of the latest innovations, products, and services.
      Fruit Logistica offers superb networking and contact opportunities to the key decision-makers in every sector of the industry.
      Products on show include fresh, unprocessed fruit and vegetables, dried fruit, nuts, herbs and spices, organic products, self-service flowers, and potted plants.
      Fruit Logistica is also laced with non-stop, concurrent sessions. Simply take your pick.


Basic Training

 Andy Connell     For example, at the Logistics Hub located in Hall B City Cube Booth D-08 on February 8 from 10:00-11:00am, Andy Connell, (left) Director, A-bar-c Services Capetown South Africa, conducts a session designed especially for this huge audience of shippers, which includes smaller producers and exporters seeking to develop overseas markets.
      It's all fairly basic stuff and highlights that logistics bears unfamiliar risks.
      But as thousands of producers—including small- and medium-sized companies—join the big international producers in Berlin, these types of offerings serve as an outreach providing necessary better understanding of delivering perishables to market. Issues that will be addressed include: What is the difference between transport and logistics? How does one negotiate transport/logistics costs?
      What are the differences between transport modi, carriers and freight forwarders, and more?


Ronald VeldmanSeabury Advances

      Another standout session is “Shipping: Matching Supply & Demand.”
      Held inside the same Logistics Hub (Hall B, City Cube, Booth D-08 ) on February 8 from 11:00-12:00 Hall B, the speaker is Seabury Cargo Advisory BV Ronald Veldman (right).
      “How important is fresh produce for the shipping industry today, and vice versa?
      “Global trends and outlook on fresh produce shipping by main trade lanes and commodities, with some smart thinking and better ideas to share,” are also on the discussion menu, Mr. Veldman told FlyingTypers.


Favorite Fruit Photo

Favorite Fruit      This one is just for fun, but will also allow you to assure family that you did indeed get in your daily serving of fruits and vegetables.
      Have your picture taken with your favorite fruit in the foyer of Hall 10.1/11.1 and Hall B, City Cube - Stand C-07 anytime between 9-6pm during the show.
      There is also an opportunity to join the Internet conversation by posting and commenting about your favorite fruits and vegetables.
      After some hours on the hoof moving about Fruit Logistica and harvesting the many offerings, talking about the experience on the global social network sounds like fun.


Get A Day Pass

      You can attend Fruit Logistica with a 43 Euro Day Pass. A better bet might be to go for a Permanent Pass for 58 Euros.
      Pro Tip: Buy your tickets online.

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