The Santiago, Chile-headquartered freight carrier has successfully been recertified by IATA’s Center of Excellence for Independent Validators in Pharmaceutical Logistics (CEIV Pharma) at its Miami hub. Back in 2017, LATAM Cargo was the first carrier in the Americas to ever achieve this certification. With its renewal, the airline reaffirms its commitment to maintaining high operational and ground handling standards when transporting this sensitive, often lifesaving, time critical product.
LATAM aircraft pictured at MIA Airport, the carrier’s largest hub for U.S. and transatlantic flights – company courtesy
The renewed CEIV certification of LATAM Cargo doubly benefits the carrier’s team: Firstly, it means that staff have succeeded to meet the program’s high requirements based on demanding IATA specifications – from 2017 to date. Secondly, it sends a strong signal to the outside world, i.e. to the market, indirectly reflecting core achievements such as: consistency, product quality, and professionalism. These aspects were proudly pronounced by Diego Garcia, COO LATAM Cargo Chile, while announcing the recognition: “This recertification is not just about our achievements, but it underscores the spirit of collaboration that defines LATAM Cargo, solidifying our position as trusted leaders in pharmaceutical transportation in the Latin American region. This reaffirmed commitment aims to satisfy our clients better, ensuring that their needs are met with the highest standards of safety and reliability.”
Outstanding assessment results The executive went on to say that the assessment was concluded with 100% compliance and zero findings. It validated the carrier’s approach to effectiveness of its quality management systems.
The freight division of the airline has made significant investments in quality control and continuous improvement by closely monitoring the product’s cold chain processes using its own monitoring devices. By harnessing this data, the carrier has been able to identify weak points in the cold chain and implement corrective actions and best practices to ensure the integrity and safety of pharmaceutical shipments. This has allowed LATAM Group to also expand its pharma network by 45% and to more than triple the transportation of pharmaceuticals that require a cold chain versus shipments flown in pre Covid times.
Vital role In general terms, air cargo plays a vital role for both exports and imports for many industries in Latin America, especially since other modes of transport often are not viable alternatives, reminded Peter Cerda, IATA’s Regional Vice President The Americas. Pharmaceuticals in particular “rely on air transport for speed, consistency, and efficiency in ensuring that these high-value, time-sensitive, temperature-controlled products reach their destination safe and sound. It is wonderful to see LATAM Cargo’s CEIV Pharma’s recertification as it demonstrates the industry’s commitment to offering safe and secure air cargo transportation.”
IATA’s CEIV Pharma Certification addresses the industry’s need for more safety, security, compliance, and efficiency, through a globally consistent and recognized pharmaceutical-product handling certification.
An IATA success model The CEIV program was initiated by IATA to eliminate costly sources of error, to introduce and ensure comparable quality standards in both handling and physical transport of pharmaceuticals, and to raise awareness among airline staff, freight forwarders and ground handling agents to pay utmost care to this temperature sensitive product family. Meanwhile, dozens of airlines have obtained CEIV certification along with forwarding agents and warehouse operators. It has developed into an IATA-initiated industrial success model.
Qatar Airways Cargo, the Animal Care and Inspection Center (ACIC), Nippon Express, and United Airlines Cargo each took home a Brussels Airport Award 2023 at the 17th edition of the event, for their contribution to the cargo business. The cargo zone will also more than double its share of green power generation.
ACIC Team: Pictured are Geert Aerts, Director Cargo BRU Airport, Ann Goovaerts, Supervisor Animal Care & Inspection, Stefanie De Man, Head of HR – all photos: CFG/ms
Qatar Airways Cargo beat Air Belgium, Ethiopian Airlines Cargo, Sichuan Airlines and Singapore Airlines Cargo in the category Cargo Airline Performance Award. The motivation behind this decision was that the airline is deeply committed to Brussels Airport, thanks to its worldwide network.
ACIC was given the BRUcargo Award, honoring stakeholders and partners in the cargo sector, and recognizing innovation, growth and partnership. “This is a recognition of the work we have done over the past three years,” said Supervisor Animal Care & Inspection Center, Ann Goovaerts. ACIC’s competitors were Aviapartner Cargo, Belgian Customs, and Hazgo.
Transition pays off for Nippon Express Nippon Express came out as the winner of the Logistic Service Provider Award. The other hopefuls were Deny Cargo, Expeditors International, as well as Herfurth and Kuehne+Nagel. Nippon Express won for its ongoing cooperation and shared vision of future Japanese connectivity, as well as for its active participation in pharma.aero and Air Cargo Belgium.
According to Managing Director, Michael Kamm, Nippon Express has gone through an enormous transition these past five years. “In Belgium, we increased our staff from 70 to 240, especially in healthcare. This is the result of a change in strategy, from a Japan-steered to a more local approach. This has led to a better focus on growth.”
Overall joy as well at United Airlines Cargo, which got the Cargo Airline Award, recognizing airlines that started new routes or achieved significant growth in volumes. Also in the running were Air Belgium, Qatar Airways Cargo, Sichuan Airlines and Singapore Airlines Cargo.
BRU CEO Arnaud Feist (far left) and UA Cargo Team (l > r): Alex Vanrijckeghem, Eliane Swinnen, Manu Jacobs, Jan Wyns, Ira Temmerman and Nancy Coolen.
United was said to have been instrumental in establishing a gateway for pharma products in the U.S. by promoting Brussels Airport among pharma shippers at every opportunity on the strength of its three daily passenger flights.
Manu Jacobs, Global Director Specialty Products commented: “Ever since Covid, we have indeed set up an airbridge between Europe and America for valuable products, notably supporting the Brussels pharma gateway. These efforts have now paid off.”
Additional solar panels The Brussels cargo zone not only brings a major contribution to the airport’s business strategy, it also plays a role in its 2030 CO²-elimination goal. Currently, the newest buildings erected at the Brucargo zone, are being fitted with some 65,000 m² in solar panels, accounting for a total of 7,300 megawatt/hours in green power.
The additional panels will increase their current 4% share of power production at the airport to 9%.Half of what is generated will be used by Brussels Airport, the other half will be made available to the operator’s cargo partners.
Air freight capacity between 70,000 airport pairs across more than 90 countries can now be sourced and booked on Maersk.com. The company’s new digital solution offers instant pricing as well as a pallet of value-added services that can be added to the booking. Maersk Customs Services are also part of the parcel, should customers opt for this, and once booked, shipments can be tracked around the clock, around the globe. The online solution is part of Maersk’s integrated logistics strategy and is designed with simplicity in mind, so that customers can quickly and easily complete all the required steps digitally, from anywhere in the world. “With the launch of this new solution, Maersk takes further steps towards connecting and truly simplifying its customers’ supply chains,” the release states, going on to add: “Maersk’s air freight solutions offer cargo movement from most of India’s international airports. Combined with Maersk’s integrated logistics solutions that include a robust hinterland coverage of distribution network, Maersk allows such cargo movement to and from 80% of India’s postal/ZIP codes with end-to-end pick-up and deliveries.”
Maersk.com offers air cargo booking, customs and tracking. Image: Maersk
Darryl Judd, Regional Head of Air Freight for Maersk in the Indian Subcontinent, Middle East and Africa, commented: “In today’s age, where volatility and uncertainty have become perpetual potential threats to the global supply chains, our customers are looking for agility and resilience that allows them to make quick decisions around the movement of their cargo across borders. By booking with us on Maersk.com, our customers get instant prices, and the transparency allows them to make informed decisions. Today, manufacturing has truly diversified with global value chains. We are noticing that customers sitting in one part of the world need to move raw material from origin to destination without being at either of the locations. Our digital air freight solution allows them to make such bookings seamlessly.”
PCS stands for Port Community System and is the tech platform that connects all cargo players at the airport, whether they are internally, directly involved with the shipment transport, or external functions needing receive and send information, such as Customs, for example. It has taken four years of collaborative development by Amsterdam Airport Schiphol together with Cargonaut, its fully owned cargo information platform since 01NOV20, to come up with the PCS upgrade. The system now offers faster data processing, greater transparency, is fully compliant the latest IATA standards and guidelines, and has been adapted to ensure that it can integrate further technological modules or functions once developed. One such upcoming development is the Secure Import System, scheduled for later this year. “The system informs forwarders when an import shipment is ready for collection by an air cargo handler, at the same time cross referencing data to improve security,” the release illustrates. Its Truck Visited Management System is also being enhanced in order to significantly reduce waiting times for cargo delivery or collection.
Joost van Doesburg, Head of Cargo, Schiphol. Image: Schiphol
Joost van Doesburg, Head of Cargo, Schiphol, stated: “By upgrading specific parts of the PCS, the system is more robust and future-proof. This means we can continue to safely ensure the smooth import and export of a large amount of cargo.”
Marco van Katwijk, Head of Cargonaut, explained: “The upgraded system facilitates the use of new technologies, including API Connections (software), XML (data migration) and the ONE Record data model. This model allows air cargo partners within this digital ecosystem to exchange data easily and transparently. We are currently carrying out a migration of the first clients to the updated PCS.”
SriLankan Cargo and cargo.one announced their partnership on 14FEB24. cargo.one thus gains its first South Asian carrier, whilst SriLankan Cargo customers can look forward to a user-friendly, quick and easy digital booking channel, and all freight forwarders active on cargo.one will be able to access the carrier’s cargo capacity all over the world. This translates into a global network of 37 destinations in 21 countries across Europe, the Middle East, South Asia, Southeast Asia, the Far East and Australia, and includes direct flight connections to key hubs in Europe, alongside good capacity solutions to India and the Gulf region. SriLankan Cargo’s air network is further complemented by road and interline services that, combined, serve more than 200 destinations worldwide.
The partnership was signed on Valentine’s Day. Image: cargo.one
Through cargo.one’s digital platform, SriLankan Cargo will benefit from much greater visibility of how and who books with the airline, how they perform and update their data, and thus the airline will gain useful information that can be used in marketing of its network and adapting its routing or pricing offers. cargo.one meanwhile works with more than 50 airline partners across the globe. “From Summer 2024, freight forwarders using cargo.one can book SriLankan Cargo capacity, for both general cargo and perishables, across its entire network including important destinations such as London, Frankfurt, Paris, Chennai, Delhi, Singapore, Shanghai, Canton, Tokyo, Melbourne, and Sydney,” the release reveals.
Chaminda Perera, Head of Cargo at SriLankan Cargo, said: “Our digital sales progression is now a key driver of our growth, and cargo.one is a logical expert to expedite our transition. We can have total confidence that every SriLankan Cargo customer will enjoy a top-class digital experience. It is excellent to see that our teams are already kick-starting smart initiatives to maximize our market opportunities.”
Moritz Claussen, Founder and Co-CEO of cargo.one, announced: “We are proud to play an important role in fueling the exciting growth of SriLankan Cargo, our first South Asian carrier. By entering the digital market strongly with a world class, customer centric sales channel, SriLankan Cargo is best placed to leverage its valuable strengths and deliver for many more forwarders globally.”
From 01MAR24, customers choosing Etihad Cargo to carry their consumer electronics, will be able to select its SecureTech product. The ninth in the cargo carrier’s product pallet, SecureTech has been designed with commodities such as mobile phones, laptops, tablets and other lithium battery-powered devices, in mind. It consolidates the airline’s long expertise in the transport of consumer electronics and offers safe and secure transport. Demand has rapidly increased in recent years in this area, and Etihad has acted on customer feedback for a dedicated solution. It already holds IATA CEIV Li-batt certification, which demonstrates the carrier’s professional handling of electronics in accordance with the highest safety and efficiency standards. Other SecureTech features include: a monitored build-up/break-down of palettes in secure and controlled storage areas at all points of the air cargo supply chain, and continuous surveillance through security personnel or CCTV systems. The carrier also ensures strict training programs for its staff.
Keeping consumer electronics safe during transportation. Image: Etihad
Leonard Rodrigues, Acting Managing Director at Etihad Cargo, said: “Etihad Cargo has launched SecureTech based on feedback from the carrier’s partners and customers and the growing demand for a dedicated product to make the transportation of consumer electronics safer and more secure. Over the years, Etihad Cargo has developed expertise in handling specialized products, and moving lithium battery-powered devices comes with unique challenges. Etihad Cargo is well-equipped to overcome these challenges thanks to its experience in transporting high-value, fragile, time- and temperature-sensitive, and dangerous goods. The latest market data suggests India’s electronic exports exceeded $20 billion in 2023, with mobile phones making up 52% of all electronic exports. Other top exporters of electronic devices included China and Vietnam. The launch of SecureTech, in combination with the introduction of new routes and increased frequencies for these key markets, will enable Etihad Cargo to fully meet the growing capacity demand for electronic shipments while giving customers and partners confidence that their products will arrive safely at their final destination on time and as promised.”
Latvian airline airBaltic and Riga Airport already signed the land reservation agreement for the construction of a new Baltic Cargo Hub at the airport, back in 2021. Now, the airline has finally announced the construction kick-off for what is planned open as the Baltics’ largest dedicated air cargo handling center in 12 months’ from now, cementing Riga Airport’s position as a leading air cargo hub. Alongside sustainable, BREEAM certified construction and state-of-the-art facilities such as semi-automatic cargo handling equipment (Material Handling System), a mail sorter, full special cargo handling capabilities including temperature-controlled rooms for pharmaceuticals and perishables, and dedicated dangerous goods, live animals and valuable shipment areas, the building will also have direct access to the apron for fast and efficient cargo import, export, and transit processes. Food and Veterinary Services and a Customs checkpoint will also be nearby. Measuring 6 895 m² in total, the hub is split into 5 000 m² of cargo handling facilities, and roughly 2 000 m² for office spaces.
The best things come to those who wait. Image: Riga Airport
Kaspars Briškens, Minister of Transport of the Republic of Latvia, proclaimed: “The Baltic Cargo Hub marks an important milestone for Latvia’s aviation sector, strengthening our position on the regional airfreight and logistics map. This state-of-the-art facility not only exemplifies our commitment to enhancing Latvia’s logistics capabilities but also reinforces our strategic vision of leveraging aviation as a catalyst for economic growth and international trade.”
Martin Gauss, President and CEO of airBaltic, detailed: “In 2023, airBaltic delivered over 9 400 tons of cargo and mail, maintaining its status as the largest air cargo and mail carrier at RIX Riga Airport to date. However, our existing cargo hangar, fundamental for our operations, will soon be replaced by the Rail Baltica railway track. The upcoming Baltic Cargo Hub will significantly increase our handling capacity at Riga hub, allowing to handle up to 45 000 tons of cargo annually.”
Laila Odiņa, Chairperson of the Board of RIX Riga Airport, pointed out: “Our national airline, airBaltic, is currently the largest aviation cargo and mail carrier at Riga Airport. We are confident that the new cargo handling center will optimize and enhance cargo service processes, providing additional benefits to both the airline and its customers.”
It was at the Air Cargo India Conference in Mumbai last week, attended by over 600 participants, that Kale’s Amar More underlined the benefits and need for air cargo community systems. Speaking during a panel on digitalization which included Ashok Rajan from IBS Software, Moritz Claussen from cargo.one, Prithviraj Chug from Group Concorde, Ashwin Bhat from Lufthansa Cargo, Leonard Rodrigues from Etihad Cargo and Michel Pozas Lucic from AP Moller Maersk, he referred to a ‘game changer’ given that air cargo communities drive profitability and sustainability. By working together at airports, stakeholders can vastly improve their processes, collaboration, transparency, as well as reduce waste, costs, and resources. In a similar way, experts and thought-leaders working together and sharing best demonstrated practices in digitalization, can bring about faster digitalization in the industry. To that end, Kale is hosting an invitation-only CLEAR VIEW event on 17-18MAY24 in Istanbul, Türkiye.
Inviting the air cargo industry to Kale’s CLEAR VIEW event in MAY24. Image: Kale
During the panel discussion on digitalization are a core component for air cargo operations, Amar More, CEO of Kale Logistics Solutions, emphasized: “Air Cargo Community systems act as an ‘Air Cargo Single Window’, that facilitates ease of business and global trade by eliminating duplication of data entry, reducing unnecessary paperwork, tackling airport congestion issues, and bringing shipment visibility to all stakeholders. Delivering end-to-end collaboration through a single platform is imperative to ensuring our industry fully embraces digitalization, as it is essential for facilitating better coordination, resource optimization, and rapid information exchange between all parties involved. The true benefits of digitalization emerge only when an entire ecosystem embraces it – partial adoption falls short. Operational efficiency driven by faster processing and the ability to provide real-time visibility and accurate tracking are all perks now expected by customers, making adopting digital solutions a necessity to compete in our industry.”
Where to, DB Schenker? The intended sale of the logistics giant, DB Schenker, has reached a decisive stage as demonstrated by roughly 20 potential buyers that have expressed their interest. The registration deadline for this step was 10FEB24. Among the interested parties are the usual suspects such as DSV, Kuehne+Nagel, DHL Group, shipping lines MSC and Maersk, as well as various private equity funds, according to the German newspaper, Handelsblatt.
How long will the logistics company’s flags continue to display its name? courtesy – DB Schenker
So far, so predictable. However, the entire exercise is extremely complicated because of conflicting interests. Hence, it cannot be ruled out that the project might go to ashes. In a nutshell, this is the current situation:
Chief sales lobbyist is the Minister of Transport, Volker Wissing – a member of the German Liberal Party (FDP). The FDP is the smallest of the three parliamentary groups in the Berlin government, trailing the Social Democrats (SPD), and the Green party. Its basic political conviction is that the market should be given priority over state decisions, combined with strict budgetary discipline.
Conflicting parties In this specific case, the Liberals want to separate DB Schenker and its subsidiary, DB Cargo, from the state-owned Deutsche Bahn, and sell them at best price. Preference will be given to a German or European bidder, or a consortium based in the EU. Firms from China or the Gulf States are unlikely to be considered, Wissing indicated. The proceeds from the deal, estimated at between 10 and 15 billion euros, are to be used entirely for the restructuring of Schenker parent, Deutsche Bahn, and not channeled into any other projects. The railway company is 32 billion in debt.
On the other side of the government table sit the Social Democrats and the Green party. Both are rather cautious or even skeptical concerning the intended sale of DB Schenker. This is due to two basic convictions: for strategic reasons and military supply chain considerations. Critical infrastructure belongs in national hands or at least in European hands, they hold. This includes a transnational rail network and its main user – Deutsche Bahn together with its forwarding arm of the industry deliver vital goods to the county’s citizens.
Strategically important carrier This argument is solidified by the fact that Schenker’s rail freight division, DB Cargo, constantly transports military equipment on behalf of the German Army and some other NATO members to Ukraine, constituting a lifeline for the eastern European country under constant attack by the Russians.
Despite DB Cargo’s strategic importance, the rail company is heavily in debt. According to a Reuters report, the loss in 2023 is expected to be almost half a billion euros. Final figures are still pending.
DB is €32 billion in debt The trade unions also have a say concerning Schenker’s future fate. They fear job losses and refer to the takeover of Panalpina by the Danish logistics giant, DSV. Since the fusion, the number of former Panalpina employees at DSV can practically be counted on one hand, a leading official of the German railroad workers’ union, EVG, told CargoForwarder Global.
Therefore, the Transport Ministry’s intended sale of DB Schenker resembles a Gordian knot: Many conflicting interests, ideological differences, employment issues, and military security aspects still need to be discussed before a decision emerges. An attractive sales price is therefore an important aspect, but only one of several. This said, only the head of State, Olaf Scholz, has the constitutional right to take a final decision. The problem is that he is a good moderator but a lousy decision maker. So, the question ‘quo vadis, Schenker?’ will probably remain open for some time yet to come.
Well, the past week was likely spent wining and dining either in romantic pairs or welcoming in the Year of the Dragon – all depending on where you are in the world and where your personal or cultural interests lie. Certainly, a busy time in air cargo in the run-up to these events. Whilst Valentine’s Day is now over, Chinese New Year celebrations are still in full swing. Will this be an auspicious year for air cargo?
Wood Dragons and sweet-smelling roses.
Valentine’s Day is its very own recurring Peak Season. It is the time of year where LinkedIn is full of images of pallets of roses in cool warehouses or awaiting loading at the aircraft, and logistics companies and airlines churn out press releases with incredible statistics of tonnages shifted, extra flights being planned, and the increase in ULDs needed in the run-up to the actual day. All along with flowery texts such as Air France KLM Martinair Cargo’s post stating “Just as Cupid prepares his arrows, we too have aimed to spread love across the miles, ensuring that these flowers from the heart of Kenya find their way to brighten many a romantic gesture.” The group deployed three additional freighters to fly part of the 9000 tons of Kenyan flowers exported in 2024, straight to the heart of Europe’s flower capital: Amsterdam.
Swissport’s Flower Corridor While the Kenyan domestic market almost suffered a flower shortage because of the increase in exports for Valentine’s Day, Swissport, as the main player in air cargo flower logistics out of Kenya via its “Flower Corridor” [commodity-specific cold-chain handling for major airline carriers] to Europe, Middle East and Far East, reported a slight dip in figures. Edwin Musungu, Head of Cargo Services at Swissport Nairobi, explained: “Every year Swissport successfully handles millions of fresh-cut flowers between January and February, aligning with peak demand during the Valentine’s Day season, which begins in late January. For the current year, we anticipate[d] to handle approximately 9,000 tons of flowers, a slight decrease from previous years attributed to aircraft capacity constraints, with carriers prioritizing the lucrative Chinese market due to the overlap with the Lunar New Year in 2024.”
A brief window with a big impact “Valentine’s Day is the first notable date in the year where American sees flower volumes peak across its cargo network,” American Airlines Cargo’s PR pointed out, revealing that between 01FEB-10FEB24, the carrier had transported over 500 tons of flowers – mostly out of Amsterdam in Europe, plus Latin America. And Latin America is where it is all at, too. “In the United States, 80% of flowers imported are from Colombia,” said Atlas Air’s release reporting that the carrier had expanded its flower business by adding 5-weekly Medellín flights to its network alongside its existing Bogotá connection which is served with a B747: “This year, there’s more love in the air, when it comes to Atlas’ operation. On 17JAN24, Atlas began operating a B767 filled with flowers out of José María Córdova International Airport (MDE) and into Miami International Airport (MIA).”
Flowers on the inside and outside of the plane Avianca Cargo as the leading cargo airline for flower transports from Colombia to North America, published that it had operated around 300 flights between 16JAN24 and 08FEB24 (doubling its normal capacity) and carried in the region of 18,000 tons of mainly “roses and carnations from Bogota; pompons, hydrangeas and chrysanthemums from Medellin; and roses, carnations and gypsophila from Quito.” As a tribute to its flower business, one of its aircraft now bears an exclusive flower livery. Investments in its Miami infrastructure, personnel, and process improvements led to new records in processing and delivery times, and consistently high service levels.
Offset to Conserve Over at LATAM Group, the emphasis was also on sustainable flower transport. Together with María Flowers, the first flower client to participate in LATAM Group’s ‘1+1: Offset to Conserve’ program, the group offset over 1,290 tons of CO2 – a figure equivalent to all flowers transported in 2023. The initiative supports the conservation of strategic ecosystems in South America. Customers cover 50% of their compensation costs, and LATAM Cargo covers the remaining 50%.
Not just any Dragon – 2024 is the year of the Wood Dragon The Chinese Lunar New Year began four days prior to Valentine’s Day, on 10FEB24, and lasts 15 days. Given that everything shuts down in China, the pressure to get cargo shifted prior to the celebrations, pushes a natural surge in tonnage. One that this year was exacerbated by ongoing problems in shipping through the Red Sea. Details on air cargo tonnage figures will be clearer once factories open again, so instead, let us look at the Chinese Horoscope prediction for this new Year of the Dragon, which is actually a Wood Dragon in 2024. “The Year of the Wood Dragon is believed to be able to foster growth, progress and abundance, and this year will be good to build a solid foundation for something new with long-term potential. The last Year of the Wood Dragon was 60 years ago, in 1964,” writes Lily Zi in South China Morning Post. Sounds good. What did the last Year of the Wood Dragon look like for cargo?
The last Year of the Wood Dragon in air cargo 60 years ago was a glory period for air cargo, judging by reports from the Air Transport Association of America (ATA). Whilst researching air cargo in 1964, I found this excerpt from The New York Times, 27FEB64. Bearing the title ‘Air Cargo Traffic Rising’, it stated that “domestic air cargo traffic last month was 14% greater than in JAN63, the Air Transport Association said today. The 11 trunk airlines and three all‐cargo airlines carried 73.5 million-ton miles of air freight, mail and express in the first month of 1964. A ton mile is a ton of cargo carried one mile.” Just half a year previously, airlines had begun adding ‘all-cargo jet freighters’ to their fleets, and ATA wrote in its Facts & Figures paper (published 1965) that “The total [American] jet freighter fleet now stands at 32, with 38 more on order for delivery during 1965 and beyond. This represents an investment of about USD 475 million.”
Air cargo managers are experts in distribution… 1964 was the year that saw United become the first US airline to offer a nonstop transcontinental all-cargo service (MAR64). By the end of that year, ATA reported that “Cargo traffic (freight, mail and express) continued to show strong growth. The industry preformed a total of 1.8-billion-ton miles, up 20.5% from 1963. Freight registered the strongest gain in this category. The airlines performed 1.3-billion-ton miles, a gain of 27% over the previous year. 1964 was the best year in a ten-year upward trend in demand for freight service. The average annual rate of increase for freight has been 16%.” It also stated that “Air cargo is growing at a much faster rate than passenger service and seems likely one day to overtake the passenger business. Air cargo managers are experts in the total cost of distributing commodities and must therefore understand and help modify the distribution patterns of the nation’s industries.” To that end, it was also the year that “airlines are building a totally new mechanical jet-age loading system on the ground”. They were channelling investments into new cargo terminal facilities at airports, and discovered the magic of moving live cattle (100,000 heads of calves were transported over a 4-month period from New York to Milan that year), and fresh fruit and vegetables – at the time, the fastest-growing segment [20% increase to previous year] of the air cargo industry, while machine parts maintained the number one position in volume ranking.
1964 was solid oak – will 2024 be more matchstick or roof beam? An auspicious year for air cargo then. 2024 has its own battles to fight and can only dream of the growth figures from 60 years ago. After a mostly soggy 2023, with recovery only happening towards the Christmas peak at the end, 2024 may have seen a stronger start, but looks set to weaken again after this Valentine’s Day/Chinese New Year peak as various economies struggle and geopolitical issues continue to dominate. Air cargo needs to push its way into the limelight again, to fully benefit from investments into ongoing innovation and positive change – i.e. bring about the “growth, progress and abundance” associated with the Year of the Dragon.
