Regional hub with a global vision

Regional hub with a global vision

In Denmark’s quiet heartland, Billund Airport is making noise in the European airfreight market. Known for its sharp focus on cargo operations, this regional hub has become a model of efficiency and specialisation. While many airports balance passenger and cargo operations, Billund has doubled down on its identity as a home for cargo operations, prioritising freighter activities, alongside serving almost four million passengers in 2024, to deliver a tailored approach and strong service level. 

“This strategy has paid off,” Kaspar Andreas Nissen, Senior Manager Air Cargo at Billund Airport, said. “This focused setup makes us uniquely attractive to both current and potential operators. What customers truly value is an efficient and tailored process that ensures their goods move swiftly and reliably from point A to point B. That’s where Billund Airport excels.”

As a smaller, more agile hub, Billund prides itself on the ability to adapt to the specific needs of freighter operators in ways that larger airports often cannot. 

Freight operations can be unpredictable—delays, special handling requirements, or last-minute trucking needs are all common challenges. Billund’s approach is to provide flexibility and responsiveness, utilising it’s size and positioning to ensure operations are handled with care and precision.

“If a task requires us to stay late, we do so. If an operator has unique requirements, we adjust our processes to meet them. This level of customisation and dedication is part of our DNA,” he added. “This customer-first philosophy has been integral to our growth over the past decade, and it’s something we are committed to preserving as we scale.”

Link in the chain 

Billund Airport sees its primary role as acting as a connector—bringing together the different dots in the logistics chain, aligning the needs of freight forwarders with the capacity provided by airlines, as well as ensuring coordination with partner airports. 

Awareness of market demands is key here. While launching a route is fairly easy, ensuring it becomes successful and sustainable is far more challenging. That’s where hubs can be critical facilitators within the supply chain.

For example, if a company which operates a warehouse near the airport indicates a need for increased capacity, they’ll inform Billund. At that point, the airport then bring that knowledge into discussions with airlines or partner airports—whether in the US, Asia, or elsewhere—to explore the potential for new route development. 

“It’s about balancing supply and demand while fostering collaboration between all stakeholders,” Nissen expressed. “It’s one thing to showcase data,  such as cargo trends, but it’s another to secure commitments from freight forwarders and airlines. 

“Cargo logistics differs significantly from passenger operations because a single route can involve multiple legs before returning to its origin. Therefore, it’s critical to facilitate open dialogue between airlines, freight forwarders, and partner airports. In a way, we act as a catalyst, ensuring that these conversations happen and lead to actionable outcomes.”

This communication extends beyond just supporting the establishment and enabling the success of routes but also enables the development of specific infrastructure and handling capabilities globally, as different types of cargo require specialised handling at both Billund and the hub importing/exporting the cargo. 

“Take seafood, for example—it needs temperature-controlled facilities and careful handling throughout the journey. When we send such cargo to another hub, it’s vital that the partner airport has the necessary capabilities to meet our customers’ requirements,” Nissen continued.

“Information sharing and lessons learned from our own operations can and should play a big role in this process. Building stronger supply chain connectivity requires active engagement with our partners, and we aim to focus more on this in the future.”

Shared approach 

Strategic partnerships are crucial for the strength of a hub, with Billund having built relationships with Turkish Cargo, AirExplore, DHL, FedEx, UPS and, most recently, Maersk, with a goal of positioning itself as the next major freighter hub.

Leveraging its strategic location, logistical infrastructure and real estate potential to meet the evolving needs of its partners and the industry, it’s all interconnected with the vision to offer “unmatched value to carriers and their operations.”

For example, from the very beginning of the most recent collaboration with Maersk, both sides have operated as true partners. Although the first official flight under this arrangement took place in March 2023, the groundwork began as early as 2022, with both parties investing in the organisational setup and preparing for a smooth start.

Billund provided the operational flexibility and reliability they needed to build Maersk’s airfreight capabilities from the ground up, while they brought a vision for global connectivity that aligned with the airport’s strengths as a hub.

As the partnership grew over the last two years, Maersk learnt from Billund’s expertise in airfreight operations, while the airport benefited from their extensive experience in global logistics. This mutual reliance was core to the successful launch of the partnership.

“Logistics is not a cookie-cutter process. Each customer, and indeed each shipment, has unique needs, requiring a strategy designed to suit their specific circumstances,” Nissen highlighted. “Maersk made it clear that flexibility and customisation are key, and we fully align with that philosophy.”

“Entering the airfreight market with own metal was a big shift for the Maersk air cargo organisation. While they had previously operated a fleet of Boeing 767s through partnerships with UPS and DHL, the decision to partly insource their air operations marked a sharpened focus on air capabilities within Maersk,” Nissen explained. “It was a complex transition, and we were proud of our role as a partner in supporting in any way we could.”

But it’s not just about Maersk. Other operators have taken advantage of Billund’s growing network. One example is Air Explore, which operates a Boeing 737 freighter between Keflavik, Billund, and Cologne. The inbound flights from Keflavik are typically loaded with fresh Atlantic salmon and other seafood, which then feeds into our network. From here, the cargo can be seamlessly routed to destinations in Asia, the Middle East, and other parts of Europe.

“Ultimately, our focus is on building a hub where each operator can tap into the strengths of the network. Whether it’s Turkish Cargo, Maersk, Air Explore, or any other partner, our goal is to facilitate success by creating an ecosystem that supports diverse logistics needs. As this network continues to grow, so does our ability to serve as a critical link in the global supply chain.”

Strong connections 

With intermodality having become a critical factor in modern supply chain efficiency, the seamless integration of airfreight, road feeder services and other forms of cargo transportation has become key to operational success.

At Billund, the hub is uniquely positioned right next to Denmark’s largest harbour, Aarhus, and in close proximity to other significant ports. Beyond maritime connections, its location is strategically situated at the crossroads of major highways, making it an ideal hub for road feeder services.

As Nissen said, “If cargo lands in Billund, it will often reach European cities like Frankfurt or Amsterdam faster than if it arrived at the airports in those cities due to a combination of our efficient ground handling and close proximity to major highways. 

“Our operations are now evenly split—50 percent of cargo is transported by pure freighter capacity and 50 percent by road feeder services,” Nissen outlined. “Our connectivity cements our role as a critical hub for the northern part of Europe.

“It’s a key reason why partnerships like the one with Maersk keep being successful. While we are deeply rooted in our region, our impact extends far beyond, thanks to the global route network we are building, connecting Europe and Asia swiftly and efficiently as a major benefit to all operations.

“We’ve conducted an analysis that highlights a significant competitive advantage: if express carriers like DHL, FedEx or UPS establish sorting facilities or head offices at our airport, they can reach most consumers within a 90-minute drive compared to where they are located in our region now.

“This interconnectedness creates a virtuous cycle: the more routes we establish, the more attractive we become as a hub for operators and freight forwarders. As our network grows, so does the value we provide to our partners. 

“For example, Maersk has expanded their routes to include destinations like Birmingham, East Midlands, and Liege, leveraging our hub to optimise their logistics operations. This growth benefits the entire freight forwarding community, as it enhances connectivity and provides access to a broader range
of destinations.”

Sustainable strategy 

As the aviator sector moves towards a green transition, with a goal of being net zero by 2050, steps are already being taken in the industry. While some solutions will take years to become widespread, such as the adoption of sustainable aviation fuel, others are available now to help the industry progress, like electrifying vehicles at airports and utilising solar energy.

“Sustainability is a core part of our strategy,” Nissen stated. “For example, whenever we need to replace equipment, we always try to fix it first to extend its lifespan. This is more environmentally sustainable than just discarding it and buying a new one. 

“When replacement is necessary, we replace vehicles with electric models, such as electric pushback tugs and other ground support equipment.

“Alongside that, one of the unique aspects of our airport is our ability to provide Sustainable Aviation Fuel (SAF). We’re already delivering SAF to privately owned airlines with smaller fleets.”

Beyond these tools, the industry is seeing how the future lies in developing other technologies to provide a truly sustainable, long-term solution for aviation, with Billund heavily investing in technologies that they believe will be key to achieving a greener future for the industry, such as the airports involvement into Power-to-X solutions.

From a hub to a city 

To meet increased demand, hubs need both airfreight capacity and modern facilities—this includes building new facilities and upgrading existing ones. Billund is currently transitioning from a small airport to a small-to-medium-sized airport, which is reflected in recent development. 

For example, with increased activity, as well as road feeder services, and the growing attention from major freight forwarders, Billund is investing in its handling capabilities, especially those designed for temperature-sensitive cargo such as food and pharmaceuticals.

“We’re particularly focused on expanding our pharma facilities to meet the required SOPs, such as those outlined by GDP and CEIV certifications,” Nissen highlighted.

“We’re investing a lot in these upgrades, and most of them are expected to be completed during 2025. This is all part of evolving from a small airport that handles cargo to a fully professional and modern cargo hub.”

In parallel, Billund is focused on establishing an airport city concept. While it already has significant land available for ground handling agents, freight forwarders, and warehouse operators, the airport is working with the biggest Danish pension fund,  PensionDanmark to heavily increase airport facilities in the
coming years.

“As we expand into e-commerce and bring in more operators, there’s also the need to focus on export logistics. A key objective for us is to become a regional hub for Norwegian salmon exports,” Nissen expressed. 

“We have several major transport routes coming in from Norway, and our airport is just three to four hours away from the big harbour in the northern part of Denmark, Hirtshals.  Up to four direct ferry lines from Norway dock here, essentially making Billund Airport a closer option to some Norwegian salmon farms than Oslo Airport.

“This gives us a significant advantage, alongside our ongoing investments in facilities, particularly in the pharma sector, with companies like Novo Nordisk being prominent in the area.

“At the same time, we’re proactively marketing our position to forwarders, e-commerce handlers, and express carriers, encouraging them to establish their operations here, even if they’re only looking for limited facilities. This is the place to be for future growth.”

Picture of Edward Hardy

Edward Hardy

Having become a journalist after university, Edward Hardy has been a reporter and editor at some of the world's leading publications and news sites. In 2022, he became Air Cargo Week's Editor. Got news to share? Contact me on Edward.Hardy@AirCargoWeek.com

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