Thursday, July 18, 2024
2017 turning into a stellar year for Air Logistics

2017 turning into a stellar year for Air Logistics

Air Logistics Group’s director in the UK, Chris O’Donnell (pictured below) says in 2017 it has seen a surge in business like many others in the cargo field and it has been an “exceptional” year to date.

He feels this is partly due to the confirmation of Brexit and the appointment of Donald Trump as the new US President.

O’Donnell notes pressure on the euro and pound against the US dollar has boosted exports and many companies are taking the opportunity to increase their business with the UK.

Air Logistics sells cargo on more than 45 daily departures from the UK and had added new contracts in 2017.

It was appointed by Croatia Airlines (pictures above) in February 2017 to provide GSSA services for their direct flights from London to Zagreb and onward connections across Croatia and Eastern Europe and on 1 April it was appointed by Finnair as its exclusive GSSA in seven key European territories including the UK.

O’Donnell says additionally a number of its current airlines have extended existing contracts this year.

He explains it has increased volumes across airlines and respective markets, with particular growth in the key markets of the Middle East, Southeast Asia and Australia whilst Latin America has begun to show signs of recovery.

“There is very strong demand for e-commerce, perishable and pharma business. We also continue to move a substantial amount of cargo requiring freighter services, including specialised shipments of artwork and cars through to out-of-gauge cargo,” O’Donnell says.

He is positive about the impact of Brexit, as feels the UK will need to negotiate and increase trade agreements globally.

“The air cargo business evolves and adapts to market situations, as do GSSAs, therefore we don’t see that Brexit will have a major effect on whether it is harder or easier for a GSSA in the UK,” O’Donnell adds.

He expects as global trade agreements are established it hopes to see the opening of new routes and additional airlines serving the UK.

As for the UK market in say 10 years times, he believes there will be continued consolidation and continued requirements from airline customers to provide additional services be it fiscal, sales, or operationally from professional GSSA companies.

O’Donnell adds: “As e-commerce continues to boom, airlines and their suppliers will need to continue to evolve to deliver on the demands of the large e-commerce companies that bring huge influence into the airline cargo industry.

“The airlines that have invested into e-commerce will be the ones that are the market leaders for the next 10 years.”

Picture of James Graham

James Graham

James Graham is an award-winning transport media journalist with a long background in the commercial freight sector, including commercial aviation and the aviation supply chain. He was the initial Air Cargo Week journalist and retuned later for a stint as editor. He continues his association as editor of the monthly supplements. He has reported for the newspaper from global locations as well as the UK.

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