Clearing and Forwarding Agent

Wacky Water Park, Jeffreys Bay.

Ina Clearing and Forwarding Agent January 6, 2018

Thank you Shaun Aucamp and your team at Wacky Water Park , Jeffreys Bay for entrusting Daigon Intl. to assist with the Forwarding into South Africa and Customs clearance. We wish you great success. We are sure the Kids gonna Read more…

QCS: FRA Cargo Train Is Being Derailed This is today’s vicious circle in air freight: poor profits induce investment weakness, leading to downgraded services. In this initial report we present the view of a forwarding agent. The tonnage throughput at major European hubs, frequently documented in this online platform, is going through the roof. But the flip-side of the coin is that complaints about massive delays and problems with imports and exports caused by poor handling performance are rapidly increasing. For instance in Frankfurt, prompting the German Freight Forwarding and Logistics Association (DSLV) to speak of a continuous “handling disaster,” harming the entire economy. Among the critics claiming that the handling situation at FRA’s Cargo City South runs the risk of getting out of control is Stephan Haltmayer, CEO of Frankfurt-based agent Quick Cargo Service (QCS) with whom we spoke. In pressing cases QCS CEO Stephan Haltmayer jumps in as on-board courier to deliver urgent shipments in time – photo: hs In pressing cases QCS CEO Stephan Haltmayer jumps in as on-board courier to deliver urgent shipments in time – photo: hs Stephan, are the allegations tabled by the industry association in accord with many members of FRA’s local cargo community really justified? Yes, the airport was ill prepared to handle the huge volume increase we have experienced lately. Difficult to understand since the tonnage upswing started as early as September 2016. The basic problem is that the ground handling companies are understaffed, resulting for our trucks in loading or unloading times taking between 16 to 20 hours, a regrettable situation that unfortunately has meanwhile become standard. So air freight has moved into the standstill mode. The excessive waiting times reduce road feeder capacity and raise costs which somebody has to pay for. Actually, airlines should insist that their ground handlers perform according to their contractual obligations, loading or unloading trucks within a time frame of one to two hours. However, this is not the case, causing the handling drama we are witnessing, severely damaging the reputation of FRA as main European cargo gateway. When looking at the situation in depth, which are your main points of criticism and what should be done to get air freight flows on track at Rhine-Main airport once again? The main shortcoming is that Frankfurt is still missing an IT-based tool allocating fixed loading and unloading slots for trucks when delivering or picking up shipments at any of the local ground handlers’ freight terminals. Instead, all happens in an uncoordinated manner, leading to jams, long waiting periods at peak times, severely aggravating the already existing problems caused by the fast rising tonnage. Meanwhile, things have developed so awkwardly that Frankfurt’s reputation as fast and efficient cargo gateway is harmed. We feel that the airlines are clearly in the lead to take action, because it’s them and not the forwarders who have a contractual relationship with the ground handlers. In my view, things have got out of control because in the past, carriers have not taken the problem seriously enough, evidenced by the fact that they never advocated long-term solutions nor did they try to get into serious talks with forwarding associations. Now however, the wind seems to change slightly. This, because it’s the carriers that are increasingly suffering under the worsening conditions. They slowly seem to realize that they should step down from their pedestal, start negotiations with forwarders and ground handlers to ease the situation and get things back to normal step by step. Some trucking companies speak of waiting times exceeding 20 hours which their drivers and vehicles are facing in Frankfurt. Can you confirm or are such claims horror stories without substance? As said, the ground handling companies are understaffed and therefore we all are currently experiencing intolerable loading and unloading times. As a reaction to the FRA mess, we at QCS started trucking some of our shipments from Frankfurt to Amsterdam and Paris CDG because in both cases our goods are faster in the air there compared to FRA. But again, due to vehicle shortage the availability of road feeder capacity in the market is severely limited. Waiting at airports costs time and money. Which brings up the question who pays for the trucker’s unproductive waiting time at the end of the day, the ground handlers, airports or forwarders? In my opinion these extra costs have to be paid by the airlines. We carry our shipments within a certain time-frame from their collection points to Frankfurt’s Cargo City South. If there are any traffic jams or personnel shortages at the handlers’ terminals we feel not responsible for having caused these hiccups. Again, above all it’s the airlines that should take action. In a nutshell, are the current problems FRA is facing homemade and therefore unique or do they reflect alike shortcomings at other European freight hubs as well? London Heathrow recently sent a message to their customers apologizing for – I quote: “repeated congestions and severe delays, including freight that has missed booked flights due to massive backlogs.” I also heard of severe problems at Liege and major backlogs at Italian airports reported by forwarding agents. In contrast, AMS seems to perform somehow better, providing perhaps some comfort for the slot fiasco they just went through. Schiphol’s big advantage, compared to Frankfurt, is their automated delivery system which informs truck drivers via their cell phones about the availability of gate slots at warehouses, enabling timely off-loading of goods or pick-ups. Further to this, Schiphol offers haulers dedicated parking facilities where drivers can wait until a ramp gate is free. But the bottom line is that airlines have squeezed their handlers over years like a lemon, demanding constantly lower charges. This impacted the agents’ margins negatively, leaving no room for investments in infrastructure or qualified personnel. Now, the carriers are paying the price for their selfish policy. Are there any remedies on hand to sustainably improve the situation on the long run, for instance, paying ground handlers more money for their services enabling them to hire better qualified personnel? You are hitting on the basic problem, because in my eyes the carriers are trying to save money at the wrong end. Awarding a contract to the cheapest bidder can seldom result in high handling quality. It might work in off-peak seasons but not in times where volumes are going through the roof. On the other hand, ground handlers must ask themselves as well if they have done everything right to cope with the challenge of high rising volumes, labor shortage and low wages leading to work overload and warehouse congestions, particularly during peak seasons and Christmas time. I doubt that they have! Interview: Heiner Siegmund

Ina Clearing and Forwarding Agent January 4, 2018

Cargo Train Is Being Derailed This is today’s vicious circle in air freight: poor profits induce investment weakness, leading to downgraded services. In this initial report we present the view of a forwarding agent. The tonnage throughput at major European Read more…

Wacky Water Park [Jeffreys Bay]

Ina Clearing and Forwarding Agent January 4, 2018

Thank you Shaun and your team at Wacky Water Park , Jeffreys Bay for entrusting Daigon Intl. to assist with the Forwarding into South Africa and Customs clearance.

Express parcels pose high risk of DG mishap

Ina Clearing and Forwarding Agent November 1, 2017

s [By FTW Online] The more innovative and ‘convenient’ the courier/express parcel delivery industry becomes – with the advent of 24-hour drop boxes and increased e-commerce platforms – the higher the risk of hidden dangerous goods and the greater the Read more…

Mega-ships set to sabotage shipping industry’s recovery?

Ina Clearing and Forwarding Agent October 28, 2017

2017 is continuing to shape up to be a bumper year in the container shipping sector with a recovery well under way, according to market intelligence platform Xeneta. This after a year that saw the collapse of Hanjin and the Read more…

Shippers not capitalising on EU Export quotas.

Ina Clearing and Forwarding Agent October 28, 2017

IMPORTS AND EXPORTS / INTERNATIONAL / AFRICA FTW Pick: ‘Shippers not capitalising on EU export quotas’ 26 October 2017 Source:FTW On-line Minister of Trade and Industry, Dr Rob Davies, has vowed to tackle the challenges preventing local agricultural producers from Read more…

‘Close collaboration key to maximising SADC-EU trade agreement’

Ina Clearing and Forwarding Agent October 17, 2017

‘Close collaboration key to maximising SADC-EU trade agreement’ Today 15:00 by FTW Online EU Trade Commissioner, Cecilia Malmström. To promote trade that supports development and promotes inclusive growth, South Africa and the European Union (EU) need to work together to Read more…

Major African air carrier upgrades airports for night flights

Ina Clearing and Forwarding Agent October 16, 2017

Major African air carrier upgrades airports for night flights By FTW Online 12 Oct 2017 – by Staff reporter Ethiopian Airlines CEO, Tewolde GebreMariam. Ethiopian Airlines has announced plans to upgrade the facilities at Gondar and Axum airports in order to Read more…

Ina Clearing and Forwarding Agent October 4, 2017

One-stop border post at Beitbridge a step closer 10 October 2017 [By FTW Online] Beitbridge is the busiest land-based border on the continent. A joint technical committee will be established with officials from SA and Zimbabwe to set up the Read more…

SAA TO REDUCE FLIGHTS.

Ina Clearing and Forwarding Agent September 28, 2017

South African Airways (SAA) has announced that it will be reducing flights to specific locations on both its regional and domestic networks as part of its turnaround plan. By FTW ONLINE on 28 September 2017 According to SAA spokesperson Tlali Read more…