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Budapest Airport faces new ownership structure

Heiner Siegmund
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Budapest Airport faces new ownership structure

The airport investor, AviAlliance, has been managing Budapest Airport (BUD) since 2007. Now, after a long tug-of-war, a change of ownership is imminent. The Hungarian state-run investor, Corvinus International, is to take over 51% of the shares, 29% go to a Qatari state investor, and the French Vinci Group will own the remaining 20%. According to the Hungarian government, the transaction is expected to be completed by 29FEB24, at the latest.

However, it is currently unclear whether this schedule will be adhered to. During Q4 of 2023, the Hungarian Minister of Economy, Márton Nagy, announced that the change of ownership would be completed by the end of DEC23. Obviously then as now, unresolved financing issues were the reason for the delay. This was indirectly confirmed by Mr. Nagy who spoke of “very complex negotiations,” since his government intends to achieve “a competitive, market-based price.”  

According to local sources, the Hungarian government’s offer to the potential buyers is said to be around 4 billion euros. The Orban administration and its financial arm, Corvinus International, will have to shoulder slightly more than half of this sum for the intended acquisition of the majority share of 51%.

Financial gap needs to be closed
Two state-owned insurance companies were sold so as to raise the necessary funds despite empty government coffers. However, according to insiders, this deal could raise a maximum of 480 million euros. In order to close the financial gap, the Hungarian government intends to issue Eurobonds. In addition, it has applied for a French loan, local sources report. Hence, despite growing budget deficits, the Orban cabinet seems to have decided to nationalize the airport, regardless of the cost.

Brussels finally consented the change in shareholder structure
Following lengthy discussions, the EU Commission gave the green light for the intended change of ownership in DEC23. The Brussels policy makers argue that the deal would not infringe the block’s competition rules. It mainly concerns the airport management, not traffic issues.

Orban has long been trying to bring the airport back under national control. Now he is apparently very close to achieving this goal. Why this is so important to him can probably only be explained by reasons of prestige. Despite it being profitable, calling the airport a cash cow would be an exaggeration because the ongoing modernization and expansion require a high level of funds.

BUD’s Cargo City is the airport’s flagship
Under the management of the Avi Alliance and thanks to high investments, BUD has developed into a thriving hub for freight and passenger traffic, located right at the crossroads of Eastern and Western Europe. In particular, the 32,000 m² BUD Cargo City and adjacent apron, inaugurated in 2020, have proved to be a driver of cargo throughput. Since then, the expansion of the ground infrastructure continues unabated.

Since its opening in 2019, BUD Cargo City has developed into a magnet for air freight in Central Europe – photos: courtesy BUD Cargo.

It remains to be seen whether BUD will continue on its successful path once the government steers its fate, or if strategical and organizational changes will be implemented. 

State coffers are empty
The question is based on concerns, because local sources suspect that the Orban government is likely to channel the surpluses generated by the airport primarily into projects that promise political advantages. This is all the more likely since the state coffers are yawningly empty. At the end of 2022, Hungary had accumulated a deficit or 121.4 billion euros. This corresponds to 76% of gross domestic product. Per capita, this means that every Hungarian is statistically 31,200 euros in debt. However, it might comfort the Magyars that Greeks, Italians, and Spaniards are having to shoulder higher debts.

Passenger traffic recovers, cargo sets a new record
2023 was one of the most successful years in the history of Budapest Airport. Passenger traffic exceeded expectations, reaching 14.7 million travelers – a 91% recovery from pre-pandemic levels. And cargo volumes went through the roof, surpassing 200,000 tons.

These figures raise the question as to why the Avi Alliance has apparently agreed to sell the airport, as it is losing a cash-generating investment. The alleged price of around 4 billion euros is certainly an argument. On the other hand, Budapest promises long-term profits. This is an aspect that is of particular interest to the Canadian Avi Alliance shareholder, Public Sector Pension Investment Board (PSP Investments). Its policy is to provide long-term financial security for the pension entitlements of its members by investing in potentially profitable enterprises.

When asked by CargoForwarder Global to comment on these issues, the Dusseldorf-based management of AviAlliance did not respond.

In addition to Budapest, the airport manager also holds stakes in the airports of Athens, Dusseldorf, Hamburg, and San Juan, Puerto Rico. Except for Budapest Ferenc Liszt International, it is not known if any ownership changes are imminent at any of these other airports.

Çelebi grows its handling capacity
Ground handling agent Çelebi Aviation has just added 3,500 square meters to its existing 12.300 m2 of warehouse space in BUD’s Cargo City. “This strategic infrastructure development not only strengthens our cargo handling capacities, but also demonstrates our commitment to excellence in the aviation logistics industry,” reads a press release.

“Together we are strong!” – Çelebi and BUD Cargo managers celebrate the enlargement of the agent’s existing warehouse.

Çelebi, together with Budapest Airport, share a vision of aligning infrastructure with the market demands. Given the recent boost in air cargo volumes, which indicates the sector’s dynamic expansion, the agent speaks of a changing landscape enabling opportunities to capture additional business and redefine its capabilities. The Hungarian subsidiary of Turkey-headquartered Çelebi Aviation regards BUD as a vital logistics hub in the geographical interface between Western and Eastern Europe, nurturing further growth in the air freight business.

Spotlight on… Sadiya Khan, Owner & Founder of SK Solutions

Brigitte Gledhill
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Spotlight on… Sadiya Khan, Owner & Founder of SK Solutions

This week’s contribution to CargoForwarder Global’s ‘Spotlight On…’ series which highlights the many different roles involved in ensuring that cargo flies from A to B safely, efficiently, and on time, centers on an important, ancillary function: bringing out the best performance in air cargo teams and individual employees. Sadiya Khan (SK) shares her insights to her job, how she came to the industry, and what advice she has for anyone considering a career in air cargo.

Passionate about unlocking the power of human and business performance. Image: Sadiya Khan

CFG: What is your current function? And what are your responsibilities?

SK: I am the owner and founder of SK Solutions – a business whose aim is to take the Air Cargo and Logistics industry to the next level when it comes to people and business performance. SK Solutions is all about unlocking individual, team, and organizational potential through 1:1 and group coaching, business consulting and targeted training. Backed by 20 years of industry and senior leadership experience, as well as professional coaching qualifications, my responsibilities include partnering with companies to fully uncover what’s holding their people back from achieving their goals. I get very excited about designing and delivering effective solutions to boost performance. I feel very privileged and grateful to help individuals to amplify their performance and unlock their talent as well as collaborating with businesses to create a culture where people can develop and flourish.

CFG: What does a normal day look like for you? Or is there such a thing?

SK: There’s no such thing as a normal day really. I speak to businesses and heads of companies about their current challenges and think creatively about how we can solve them together. For me, it’s not just a tick-box exercise. I am keen to always be effective in what we do. I coach individuals through personal and work challenges to empower and enable them to take charge, take responsibility and move forward. I create and design programs and games to boost team performance. I deliver workshops online, in person and abroad. I chat with fellow coaches and partners to exchange knowledge, bring ideas to life, and see how we can make the world better through what we do together. I read, write, and research. I log on to complete the modules for the course I’m usually doing for personal and professional growth. I complete admin. I eat (too many cashew nuts), go for a walk, and do some fitness training. I do the laundry, pick up the kids from school and empty the dishwasher!

CFG: How long have you been in the air cargo industry, and what brought you to it?

SK: I’ve been in air cargo for nearly 20 years, having first fallen into it by chance. After my postgraduate degree in International Management, I landed a job with Virgin Atlantic and spent a year in passenger marketing. A commercial analyst role then came up within the cargo department. I applied and there it all began! I was very lucky to be part of a growing team and extremely fortunate to work with some awesome minds. I feel very fortunate for the opportunities and the people I met along the way. We worked through the rough and the smooth together and cemented our friendships over the years with good memories. It was in these early years of my career that I learned the value of great teams and the power of coaching, active listening, and empathetic leadership.

CFG: What do you enjoy most about your job?

SK: My job allows me to meet and have conversations with lots of incredibly interesting people. Through open and thought-provoking discussions, I get to access new ideas, collaborate on challenges and propose solutions that can really make a difference to how people feel about their work, and also in their lives. I am fascinated by human behavior. What makes us tick and how we can get the best out of ourselves is the theme for the research I do throughout my week. I really believe that we all have gifts and talents, and with greater self-awareness through reflective practice, we can define these with clarity and feel the benefit of the confidence that ensues. When people know who they are, what they want and why they are doing it, they can show up at full power and consequently businesses become unstoppable. I feel incredibly privileged because my work enables me to spend time doing something I am passionate about – unlocking the power of human and business performance.

CFG: Where do you see the greatest challenges in our industry?

SK: I have no doubt that if digitalization is done right, it will bring efficiency gains and better customer experience to our industry. However, given the nature of the business, there will always be a place for conversation and discussion. Ensuring that the people in our organizations are top priority through the challenging and changing environment is what will give a business the edge. When people feel supported, are given the knowledge they need and feel safe to contribute, then rock solid teams are formed. As an industry, we can sometimes suffer from short-termism – looking at the next flight, the next 3 months, the next season. The challenge for our industry is to refocus on the long term and to think about building great places to work through recognizing that people are the spine of it all. Companies that invest in their people early will be the unshakeable organizations for the future.

CFG: What advice would you give to people looking to get into the air cargo industry? Any particular training they should aim for? 

SK: For people curious about air cargo, I would say just get involved, do some research and see what happens. Gravitate towards what interests you and connect with people in those roles. The best way to learn is to try. Ask questions…lots of them! Be curious. You just never know… you might be the first one to ever ask it… and it might just change the business for the better. Thinking about when I first entered the industry and what would have helped me, I decided to create a 2.5-hour training course to give a birds-eye view of how air cargo works. Having delivered this for a few years now, participants often say that seeing things from an end-to-end perspective can be a great first look as an overview to then choose where to dive deeper. Fear prevents change and stifles action, so the best thing you can do is take a deep breath and apply for something that piques your interest. There are so many options in air cargo that I’m sure you’ll find something to light your inner spark as you go along your career journey… and don’t stop until you do.

CFG: If the air cargo industry were a film/book, what would its title be?

SK: The title would be ‘The Greatest Secret’. I fell into the air cargo industry, and then fell in love with it. If I hadn’t stumbled into it by chance, who knows where I would be now! It seems like our industry is a very well-kept secret as I hadn’t even realized that it was available as a career option. If we want our industry to advance, we need to attract even brighter minds into it, so we can do even greater things. It’s time to share the secret and let everyone know that air cargo is available for business and is an exciting career option where you can most definitely find something that you will be GREAT at!

Wonderful! Thank you, Sadiya!

If you would like to share your personal air cargo story with our CargoForwarder Global readers, feel free to send your answers to the above questions to cargoforwarderglobal@kopfpilot.at We look forward to shining a spotlight on your job area, views, and experiences.

Youri Busaan manages Groupe ADP’s global cargo assets

Marcel Schoeters
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Youri Busaan manages Groupe ADP’s global cargo assets

Youri Busaan (YB) was appointed Director Cargo and Asset Management Global Operations at Groupe ADP in DEC23. An established aviation and air cargo veteran, he oversees the group’s cargo assets at over 25 gateways all over the world, he told CargoForwarder Global (CFG).

Youri Busaan has had management functions at many airports. Paris is his last professional stop to date – courtesy: ADP

Mr Busaan, who holds Dutch nationality but considers himself European, can boast over 30 years of experience in the industry. His starting position as an air cargo broker in Belgium, soon took him to Rwanda. Sub-Saharan Africa, where he also worked on a humanitarian mission in Djibouti and Somalia, has been a recurring location in his career ever since.

Back in Europe in 1994, he joined KLM Cargo Belgium as Commercial Manager and later became CEO of Paris-Vatry Airport. For airport operator Egis, he also served as CEO of AERCO – Airports of Congo, managing the airports of Brazzaville, Pointe-Noire & Ollombo. In 2021, he joined Group ADP as CEO of Cotonou Airport in Benin.

CFG: You have been at Groupe ADP for 2 years and 6 months, first as project director cargo for the entire group (so not exclusively for Paris CDG)?

YB: Yes, I have had the pleasure of working for Groupe ADP for the last 2.5 years. Until March of last year, I was the CEO of Cotonou Airport, Benin, for which the group was executing a TSA (transitional service agreement) contract.

Groupe ADP is a global, integrated, and multilocal group, present in all aspects of the airport value chain, which manages and operates more than 25 airports on all continents – either directly or via TAV Airports and GMR Airports. [Groupe ADP has a 46.12% share in TAV, Türkiye’s largest airport operator, and owns 49% of Indian GMR. ms]

CFG: What do your new responsibilities involve?

YB: Since April 2023, I have integrated our Global Operations Division with a mandate to assist our different airport assets worldwide with cargo expertise and to start working on developing best practices and insights.

I’m equally responsible for coordinating the industrial partnerships between Groupe ADP, GMR Airports, and TAV Airports. These cover a broad set of projects aimed at leveraging our expertise and skills to welcome passengers and continuously enhance our operations.

CFG: Are there any specific projects you will be working on – also for the Paris Olympics?

YB: I am assisting and working together with a broad scope of extremely motivated professionals at Groupe ADP and in our various international assets. We want to improve the cargo experience using digitalization as a key driver, build future cargo concepts and develop a common vision.

Of equal importance for this year, is that quite a few employees within Groupe ADP and I will contribute to guaranteeing the best welcome ever during the upcoming Olympic and Para-Olympic games here in Paris! Groupe ADP is an official sponsor of the Paris Games and the primary gateway to this prestigious event!

Attending Fruit Logistica paid off for Condor Cargo…

Heiner Siegmund
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Attending Fruit Logistica paid off for Condor Cargo…

…states Thilo Schäfer, Cargo Chief of Leisure carrier Condor. He oversees the airline’s cargo business since 01NOV23. From day one, the air freight activities have gained a new dynamic at Condor. This is illustrated by the carrier’s participation in the Fruit Logistica fare, the first ever, which he considers to be an essential decision. Exporters, traders, freight forwarders and experts from the perishables sector meet there, coming from just about every continent. This concentration of industry representatives saves a lot of one-on-one meetings and time-consuming trips to their company headquarters, holds Schäfer.

Condor intends to serve MIA come next spring. A key destination for leisure travelers but also a main hub for perishables, states Thilo Schäfer – photo: CFG/hs

Showing its face to the customer is the main reason why Condor has decided to actively participate in the Fruit Logistica trade show and run its own stand in the Logistics Hall of the fairground. As a traditional leisure airline, perishables are a by-product that complements the transportation of passengers well, holds Mr. Schäfer. While travelers sit in the cabins of a Condor aircraft, freight shipments accompany them in the lower decks of the jetliner.

Colorful product mix
As classic vacation airline, Condor mainly serves blue water destinations with a corresponding mix of cargo products, consisting of fruits, vegetables, flowers, to name but a few. These are supplemented by standard dry cargo, sometimes electronics and spare parts.

South Africa is a key destination, so is the Dominican Republic. There, local carriers fed Condor’s return flights with freight shipments coming from the Caribbean Isles and even South America. In Mexico, where flights intersect, Condor operates a small hub. Come next spring, the airline will add Miami to its network with three rotations per week. Miami serves as central hub for the perishables business in The Americas and offers excellent connections to business destinations such as ATL.

More capacity ups sales figures
By then, the B767 era at Condor will be history. This Boeing variant will be replaced by a uniform Airbus A330-900neo fleet. Each of these aircraft can carry between 10 and 14 tons of freight per flight, depending on the route, the number of passengers and their luggage. “I know of cases where our colleagues were able to accommodate up to 20 tons in the lower deck compartments of our A330 fleet,” reports Schäfer. “The standard load are six pallets, but sometimes we can fit in more.”

Condor’s immanent fleet rollover leads to additional capacity which translates into higher loads and sales figures.Hence, volumes are expected to go up this year. It is expected that total volumes in 2024 will double compared to just 2 years ago. But Condor’s Cargo Chief wants more than just figures: “Our goal is to clearly position Condor as market leader to leisure destinations and exellent alternative to the business centers that we serve as well.”

It can be expected, that the leisure airline’s new focus on air freight should be helpful to achieve this aim.

Reinventing cargo is the name of the game
This is complemented by new initiatives. For instance, improving customer service and upping sales by cooperating with electronic real time booking platforms such as Cargo Ai, WebCargo or cargo.one, says Schäfer – known for his drive towards digitization. Further initiatives to improve quality of processes will follow as well. Simultaneously, Condor continues to strengthen its business relationship with ECS Group and its subsidiary Total Cargo Expertise (TCE), providing sales and handling services globally.

Hence, in view of this program, the Condor freight manager will be pretty busy in weeks and months ahead.

Fruit Logistica 2024 – Summary

Heiner Siegmund
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Fruit Logistica 2024 – Summary

It was a three-day mega event, praised by many and statistically proven by impressive figures. More than 66,000 visitors alongside a further 24,000+ exhibitor staff and 450 media representatives took part in the trade show. 2,770 exhibitors presented their products and tabled innovations. A new record despite the many crises and supply chain distortions around the globe. It was also a trade fair characterized by new marketing approaches highlighted by leading experts at various forums.

Fruit Logistica 2024 attracted exhibitors from 94 countries, and trade visitors from 145+ states – courtesy: Messe Berlin

Noteworthy was also that Fruit Logistica is increasingly becoming a magnet for cargo airlines. Robertino Francisco Veltman, VP Europe, Qatar Airways Cargo, explains why this is the case, speaking on behalf of other carriers: “Perishables are a large part of our global business. The entire industry is here in Berlin. So are we, because we want to show our face to the customers and establish new contacts for growing our business. After all, we serve 164 destinations worldwide. And fresh products are a stable part of our air transports, all year round.”

Many positive ratings
Preliminary findings of an exhibitor and trade visitor survey indicate that around one in two exhibitors concluded business deals during the event. And more might come based on contacts established between exhibiting firms, traders, logistics companies and freight carriers. This is also indicated by the survey because around 90% of the exhibitors rate the chances of follow-up business to be ‘satisfactory’ or even ‘very good’. More than 9 out of 10 would travel to Berlin again for Fruit Logistica 2025, the organizers’ survey revealed.

AI and digitalization are increasingly part of fresh food logistics
One reason for these encouraging ratings might have been triggered by new technologies like AI and digitalization that are tending to play an increasing role in the fruit and vegetables business. The statement by Simone Kejizer, CEO of Netherlands-based Gearbox Innovations B.V., points out: “For us, Fruit Logistica is an excellent opportunity to talk to decision-makers who want to take a further step towards digitalization. They can learn about quality control with the help of AI and understand how easily this technology can be integrated into their existing processes.”

The industry is not free of concerns
One of the critical aspects that stood on the agenda of the trade fair, was the disruption of supply chains. For example, the threat to merchant ships from the Iran-backed Houthi militias in the Red Sea area. In response, many shipping companies ordered their vessels to circumvent Africa instead of risking using the Suez Canal. The detour costs around 10 days, leads to higher greenhouse gas emissions, and does not really improve the quality of the fresh produce, even if they are stowed in reefer containers. Other countries are cut off from their traditional supply chains by the Russian war against Ukraine, and are forced to test alternative trade routes, such as the Republic of Moldova: “The Russian war on Ukraine has made logistics very complicated. Our products must travel longer distances as we cannot risk using Ukrainian harbors,” complained Vladimir Bolea, Minister of Agriculture and Food Industry, Republic of Moldova.

The rate of spoiled goods is alarmingly high
The contemplating voices reflected an increased self-confidence of an industry that does not shy away from self-criticism, which was expressed louder and more pronounced at the Berlin trade show than in previous years. This became obvious at presentations and discussions where experts pointed out that, according to studies, 28% of all agricultural products spoil between field and shelf.

A scandal in view of the malnutrition of many people in poor or war-torn regions, several speakers noted indignantly. What is needed, are more effective packaging and transportation methods from the field to the nearest port or airport, lower water consumption to stop the progressive drying up of fertile agricultural land happening in many regions caused by global warming and, if possible, even a reversal of the trend. “Because we only have this one earth that gives us products and feeds us,” stated an exhibitor from Argentina.

Shift of mindset is needed
Concurrently, the wastage of food must be stopped, whether on cruise ships, in hotels and tourist resorts, but also in private consumption. In other words, what is urgently needed, is a shift of mindset combined with greater ecological awareness. “There must be an end to the current throwaway society,” demanded an expert at a panel discussion.

The next Fruit Logistica will take place from 05-07FEB25, in Berlin.

Neutral Air Partner and Cargo iQ are taking on quality

Brigitte Gledhill
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Neutral Air Partner and Cargo iQ are taking on quality

Over 350 air cargo specialists based in more than 150 countries are now, at once, placing a dedicated emphasis on quality and efficiency in air cargo. They all belong to Neutral Air Partner, which recently partnered IATA quality interest group, Cargo iQ, with the intention of enhancing air cargo service standards. Among Cargo iQ’s measurement and steering tools, is its advanced visibility function. This shows a shipment’s progress in real-time, comparing its actual movements against the ‘route map’ established at booking. Both the airline and the respective freight forwarder have access to the data, and can step in in the case of any deviations. “Cargo iQ’s visibility function is also available to Small and Medium Enterprises (SME), a program tailored to meet the unique needs of smaller businesses. This program provides access to Cargo iQ’s route map at a tailored price for their scale and with simplified onboarding,” the release explains, pointing out relevance for improved reliability and efficiency through this milestone partnership.

Aiming for quality and efficiency in air cargo, together. Image: NAP

Lothar Moehle, Executive Director of Cargo iQ, commented: “Because of this new cooperation between Neutral Air Partner and Cargo iQ, we have jointly brought even more air cargo industry stakeholders, regardless of size and volume handled, to work in a true partnership towards improved process and data quality. Enhancing quality, visibility and reliability is one of the key requirements, voiced by the shippers and their associations.”

Laura Rodríguez, Manager Implementation for Cargo iQ, said: “At Cargo iQ, we see huge potential to provide Neutral Air Partner members with shipment planning visibility throughout the cargo journey. Our standards allow companies to know exactly how and when their shipment in planned to go through each step of the journey, from Freight on Hand (FOH) to Delivery (DLV).”

Christos Spyrou, CEO of Neutral Air Partner, stated: “We are excited to partner with Cargo iQ, aligning with our shared commitment to elevate standards in the air cargo sector. This collaboration enhances our services, providing essential visibility and efficiency for our members. Together, we set a precedent for future collaborations prioritizing transparency and reliability in air cargo.”

Puerto Rico sees USD 4.6 million investment in cargo road

Brigitte Gledhill
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Puerto Rico sees USD 4.6 million investment in cargo road

That is a great deal of money that is being pumped into Luis Muñoz Marín Airport (SJU), but it is the busiest hub on the island, after all. The new road will connect the airport’s cargo facilities. It is Aerostar, a Board member of the Puerto Rico Life Sciences Air Cargo Community, that is investing this money, and the road project is just one element in a larger project looking to improve the quality of service – particularly with a view to supporting the region’s vast pharma production. To this end, Aerostar became a member of the Board of the PR Life Sciences Air Cargo Community. The community of more than 40 pharma supply chain companies together discuss how to improve cargo operations, and to act as the voice of the industry with legislators. Solar-panel powered LED lights will improve visibility and efficiency, and the new road now connects “Puerto Rico’s main Baldorioty Highway with SJU’s cargo district, replacing access, initially envisaged as temporary, with a state-of-the-art road system, including speed awareness measurements, which will not only make the road safer, but also reduce damage and wear and tear to vehicles,” the release said.

Varlín Vissepó, Executive of Cargo Operations at Aerostar. Image: Aerostar

Aerostar also plans to installing new ULD Racks at SJU, and is in discussion with a major freight operator with a view to developing new cold storage facilities in the cargo district, with work planned for later this year.

Varlín Vissepó, Executive of Cargo Operations at Aerostar, explained: “The road improvements mark a crucial milestone in our ongoing commitment to elevate cargo operations at SJU. We are dedicated to providing a safer and more efficient environment for our cargo operators. Our investment ensures immediate benefits in terms of safety and efficiency, and also lays the foundation for additional improvements for the cargo community.”

Adrián Dominicci, Executive Assistant of Strategic Sectors, Department of Economic Development and Commerce, said: “Puerto Rico is the number one bioscience manufacturing hub in the U.S. by export volume, and the industry is looking to further expand. As a world-leading pharma hub, Puerto Rico is focused on providing world-class supply chain solutions. Aerostar’s investment, combined with the commitment of PR Life Science Air Cargo Community members, will ensure just that.”

WestJet Cargo is represented by Aerocharter in the U.S.

Brigitte Gledhill
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WestJet Cargo is represented by Aerocharter in the U.S.

WestJet Cargo announced this week that it has, with immediate effect, appointed Awesome Cargo LLC as its US GSA. Awesome Cargo LLC is Aerocharter de Mexico’s USA GSA arm. It now takes on the responsibility of selling WestJet’s cargo space on board of its passenger and freighter aircraft for all flights operating out of the US to Canada and Mexico. It is a logical step for WestJet Cargo, since the airline launched a collaboration with Aerocharter’s freighter subsidiary just last NOV23. The focus, now, for this year, is on building a strong foundation for its cargo business. WestJet Cargo anticipates mainly perishables, general cargo and high value products being carried from the US on its daily passenger flights out of Los Angeles (LAX) to Calgary (YYC) and Vancouver (YVR), for example. It also operates almost daily services to Edmonton (YEG), and Toronto (YYZ), and serves Winnipeg (YWG) two to four times per week. All passenger flights can take up to 2 tons of cargo, whilst its freighters offer space for up to 20 tons of cargo. The freighter fleet currently connects Los Angeles with Mexico’s Guadalajara (GDL) on days 1, 2, and 6, and Los Angeles with Calgary on days 2, 3, and 5.

WestJet Cargo’s U.S. GSA is simply awesome. Image: WestJet Cargo

Kirsten de Bruijn, Executive Vice-President, Cargo at WestJet, said: “The perfect combination for success, when it comes to a focused and fast-growing freighter newcomer such as WestJet Cargo, is innovation, drive, and a foundation of solid industry experience.”

Luis Ramos, CEO and President of Aerocharter group, explained: “Our mission is to provide the ultimate in customer satisfaction through premium service quality – something we have spent decades honing and which we continue to fine-tune every day. We are delighted to support WestJet Cargo in establishing firm and profitable commercial operations as its GSA in the US. This latest milestone further cements our professional cooperation that began in November 2023 with the strategic Awesome Cargo/WestJet Cargo operations connecting our NLU hub with North America, and I am convinced that this is just the start of a truly ‘awesome’ journey together.”

Virgin Atlantic Cargo is the latest WebCargo partner

Brigitte Gledhill
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Virgin Atlantic Cargo is the latest WebCargo partner
Join forces to mutual benefit: Virgin Atlantic Cargo and WebCargo, courtesy: WebCargo

Freightos announced this week, that Virgin Atlantic Cargo would soon be joining its WebCargo platform. “This collaboration combines Virgin Atlantic Cargo’s extensive network with WebCargo’s digital reach, providing more options for forwarders globally,” the release stated, going on to point out that the airline operates the largest off-site cargo handling unit at the UK’s largest commercial aviation hub in London. Flying to 30 destinations across four continents, and operating to key destinations in the United States, India, China, Nigeria, South Africa, and the Caribbean, means that WebCargo’s cargo capacity on these routes has been massively increased. Virgin Atlantic Cargo also operates a state-of-the-art cargo center “dnata City East”. It is equipped with the newest technology and facilities available to handle cargo efficiently and enable smooth connections to its onward network. “The airline’s facilities and the processes implemented worldwide are designed to keep all types of products from general cargo to perishables and pharma safe during their transportation,” the release explains.

Virgin Atlantic Cargo Managing Director, Phil Wardlaw, announced: “We are delighted to have partnered with WebCargo as we continue to provide intuitive experiences for our customers, so they can move cargo their way. As customer requirements and digital experiences evolve, it’s important for us to work with a platform that has an optimized digital booking process and provides access to the largest number of forwarders with seamless access to our global network. Customers are at the heart of everything we do, and we strive to make air cargo easier for everyone, offering more ways to book and access our capacity.”

Manel Galindo, Chief Revenue Officer at Freightos, said: “The addition of Virgin Atlantic Cargo’s capacity to WebCargo means that freight forwarders in over 10,000 offices worldwide gain instant, digital access to Virgin’s vast network, including key destinations, such as New York, Los Angeles, and New Delhi. Global reach is crucial in our current era of supply chain disruptions and Red Sea workarounds. We are proud to partner with Virgin Atlantic Cargo to expand trade between the people of the world.”

Challenge Group bags another nose door freighter

Brigitte Gledhill
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Challenge Group bags another nose door freighter
When it comes to Big and Heavy, the B747F is your bird. Image: Challenge Group

Challenge Group deals with all the tricky cargo that falls out of the norm when it comes to handling and loading – oftentimes very large and unusual pieces: cargo that is best loaded through the front of the aircraft. It comes as no surprise then, to learn that the group recently acquired another Boeing 747-400F. Its latest fleet addition will be deployed on key routes Europe and the Far East, offering its usual uplift capacity of 120 tons. Yet, in an aviation world that increasingly against 4-engine aircraft and where there are very few alternatives when it comes to front-loading, it is the freighter’s nose-door that is the true USP. The group’s focus is on complex verticals and “providing top-tier services to clients globally,” as the release states. This strategic purchase runs alongside Challenge Group’s fleet diversification into B767-300BDSF aircraft. The first was delivered in AUG23, another two are currently being converted, and its full fleet of four B767 converted freighters should be fully operational by the third quarter of this year.

Or Zak, Chief Commercial Officer of Challenge Group, underlined: “The new 747-400F is a testament to Challenge Group’s commitment to staying ahead of the curve despite industry discussions about overcapacity. It is an ideal choice for transporting commodities such as heavy & oversize, horses, pharma, aircraft engines, dangerous goods, cars and other complex verticals and will enhance our capacity and flexibility, allowing us to tap into new markets as well.”

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