Tag: Forwarders/Agents

Blue Dart to replace Boeing 737 with 757

Move will help the company increase its carrying capacity without increasing fleet size.

The Chennai-based air cargo company, Blue Dart Aviation, has decided to replace all its four ageing Boeing 737 cargo aircrafts with the Boeing 757. The move is primarily aimed at augmenting carrying capacity without increasing the current fleet size of seven.

Last year, the company inducted a 757 freight carrier, which was its seventh from DHL Expresses’ European Air Transport. DHL Express holds 81 per cent stake in Blue Dart.

Tushar Jani, chairman, Blue Dart Aviation, said, “We cannot increase our fleet size because of lack of parking space at airports and hence will replace the Boeing 737 with Boeing 757.”

The company intends to have a mix of leased and owned 757-200 SF (special freighters). At present, the cost of a Boeing 757-200 SF (special freighters) is about USD 80-85 million.
The replacement of aircrafts will help the company increase its carrying capacity by 32 per cent from 148 tonnes to 196 tonnes by the end of 2011.
The replacement initiative comes at a time when the company is optimistic about starting scheduled overseas operations, perhaps this year.

Company executives said the move would help improving aircraft utilisation due to increased flying hours. The company currently is evaluating commercial viability of flying to overseas destinations.

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Itella and Kauko Group acquisition confirmed

Itella and Kauko Group have confirmed the acquisition of Kauko Group by Itella Corporation on Friday, March 14. Kauko Group is specialised in international freight. The acquisition was approved last week by Finnish Competition Authority.

The acquisition strengthens Itella’s position as one of the leading service logistics operators in Northern Europe. – In future we have even better chances to provide global delivery solutions to our clients, says Katri Sahlman, the Development Director of Itella Logistics.

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Over USD 17 million wasted on FedEx planes

U.S. Postal Service facilities in California and three other Western states incurred USD 17.8 million (U.S.) in unnecessary costs by using FedEx Corp. aircraft to ship mail that could have been moved by truck, rail or passenger plane, auditors found.

The post offices, which account for 14 per cent of all U.S. mail volume, also paid FedEx to sort mail when they could have done so themselves or prepared the mail properly before giving it to FedEx.

Facilities in these states, including Arizona, Nevada and Hawaii, could save the Postal Service about USD 45 million over the next 10 years by minimizing use of FedEx planes and services, said the Feb. 19 report displayed this week on the agency’s website.

The report’s findings come as the Postal Service, a government agency required by law to set rates to cover costs, tries to cope with a possible USD 2 billion loss this year after a USD 5.1 billion deficit last year.

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Hui takes over DHL’s South China operation

DHL has appointed Edward Hui as Country Manager Hong Kong, Macau and South China for DHL Global Forwarding.

In the new role, Hui is responsible for developing and executing the company’s corporate strategies and operations in Hong Kong, Macau and South China in collaboration with the global network.

He will also play a key role in exploring market opportunities and enhancing customer satisfaction for the complete range of freight logistics services that DHL offers to its customers.

“Edward has a proven track record, both in DHL and in the logistics industry, as well as excellent knowledge of Hong Kong and mainland China markets,” said Victor Mok, senior vice-president, Greater China, DHL Global Forwarding.

“I am confident that under Edward’s leadership, DHL will continue to attain and maintain the number one position in the region.”

Hui joined DHL Global Forwarding in 2004 as head of airfreight operations for Exel, and subsequently led the successful integration of the equally-sized freight operations of heritage Exel and DHL Danzas Air and Ocean.

Hui has a distinguished career in the transportation industry. Prior to joining DHL, he was with Cathay Pacific Airways for over 13 years where he began his career as a management trainee. He held management positions in various departments of the carrier including Corporate Planning and International Affairs in Hong Kong, and overseas stations in Malaysia and Indonesia.

In the latter part of his career with Cathay Pacific, Hui concentrated in leading strategic projects in China, including joint venture and alliance development.

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Japan Post and Sankyu to form Joint Venture

Japan Post has announced that it will establish an international air cargo joint venture with Sankyu Inc.

The as yet unnamed joint venture, which will be owned by Japan Post Service (60%) and by Sankyu (40%), is expected to begin operations in July.

Sankyu will transfer its international air cargo operations to the joint venture.

The JV partners also plan to set up subsidiaries overseas.

Japan Post and Sankyu have co-operated on parcel services between Japan and the rest of Asia since 2004, with Sankyu collecting parcels overseas and Japan Post delivering in Japan.

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