Tag: air cargo|transport

Bournemouth Airport’s goal of becoming a strategic air freight hub for the UK has taken a major step forward with news that European Cargo has received EASA (European Aviation Safety Agency) certification for its Airbus A340 wide-bodied freighter conversion programme.

Bournemouth-based European Cargo is converting a fleet of ex-passenger A340 aircraft into long-haul freighters. Two have already been completed and one more is in progress, with six targeted for completion in early 2023 and options on a further six as demand grows, especially for cross-border e-commerce.

The EASA certification paves the way for a similar assessment by the UK’s Civil Aviation Authority (CAA), with European Cargo hoping for the green light in the New Year. Satisfying the safety authorities has included the installation of a sophisticated fire detection and suppression system, including live testing at altitude.

European Cargo’s Managing Director Iain Edwards said: “EASA certification is a landmark moment in the development of our fleet. Our pod containment system has proven itself through a rigorous testing regime and means we are on track for full cabin utilisation, giving each aircraft a combined belly and cabin capacity of 77 tonnes or 450 cubic metres.

“With six freighters already at Bournemouth for conversion and a further six available to us, that catapults us into the No1 slot of UK-based wide-bodied carriers by some margin. And it makes Bournemouth Airport a huge contender in the UK air freight market.”

Transformative year for air cargo

Steve Gill, Managing Director at Bournemouth Airport, which has its own dedicated freight operation, Cargo First, said: “We’d like to congratulate Iain and his team on achieving EASA certification for their first A340 conversion. It’s a great achievement and pending further CAA approval paves the way for the introduction of hundreds of tonnes of global freight capacity from Bournemouth in the New Year. Combined with our location just 90 minutes from London, we think 2023 will be a transformative year for air cargo operations at Bournemouth Airport.”

The announcement has also been welcomed by BCP (Bournemouth, Christchurch and Poole) Council. Cllr Philip Broadhead, Deputy Leader and Portfolio Holder for Development, Growth and Regeneration, said: “This is a huge step forward in establishing a strategic air freight hub at Bournemouth Airport, which will attract further investment and create jobs. The combination of European Cargo’s freight capacity and Cargo First’s efficient handling operation means Bournemouth is well placed to attract more business from the congested hub airports around London.”

European Cargo’s fleet is made up of former Virgin Atlantic and Etihad Airbus A340 passenger aircraft. Its first conversion is an ex-Virgin A340-600, once the world’s longest airliner stretching to 75.4m (247ft) and capable of carrying up to 370 passengers.

Fire containment pods

The conversion process has involved the removal of all bulkheads, rear galley and toilets and replacing them with 39 pods in six different sizes. Each pod is covered by a fire containment bag tested to withstand a lithium battery fire for six and a half hours. It means that any fire can be contained to a single pod, safeguarding the rest of the cargo and aircraft, and enabling a safe diversion to a suitable landing location, even during long trans-oceanic flights.

European says it has a waiting list of freight customers and sees considerable growth opportunities with e-commerce, with global volumes predicted by the International Air Transport Association (IATA) to double from 131 billion parcels in 2021 to 260 billion in 2025.

 

IAG Cargo, the cargo division of IAG (International Airlines Group) has reported record financial results for 2021, with annual revenues of €1,673m for the period from 1st January to 31st December 2021. The results reflect the surging demand for air cargo capacity as global trade rebounds.

The 2021 revenues represent an increase of 30% at constant currency versus the same period last year. Overall yield for 2021 was up 11.3% at constant currency versus 2020. Sold tonnes were up 21.4%.

Throughout 2021, IAG Cargo reshaped its business to take advantage of the strong cargo market and actively repurposed Group capacity where appropriate. Demand for air cargo exceeded 2019 levels throughout 2021. The business continued to align its network to customer demand, supporting customers with cargo-led flying, increasing frequencies on important trade routes and implementing an active charter programme of 745 rotations.

In the second half of the year IAG Cargo saw momentum build with capacity starting to return as the economic recovery from the COVID-19 pandemic gained ground. IAG Cargo closed the year very strongly, achieving a Q4 quarterly record revenue of €499m up from €389m in Q4 of 2020.

In Q4, ecommerce and hi-tech flows from South East Asia into North America accounted for much of this success as did the movement of automotive parts from the UK and Europe. Hong Kong demand remained very buoyant and from mid-December the business directed volumes to flow via Bangkok as crew quarantine restrictions limited direct Hong Kong Flights. IAG Cargo also moved large volumes of what are typically seen as non-airfreight commodities as shippers favoured shorter delivery times and volumes shifted from sea to air against a background of supply chain disruption, port congestion and low inventories.

At the same time, cargo has been vital in supporting the return to widescale passenger flying, providing additional revenue to key passenger routes.

Commenting on the 2021 financial results, IAG Cargo Managing Director David Shepherd said: “Since joining the business in August 2021 I’ve been extremely impressed by the way in which the talented team at IAG Cargo have optimised the opportunities which the market has presented. In 2021 the role of air cargo remained very much in the spotlight. Our people went above and beyond to find solutions to the global capacity crunch and airfreight restrictions. These results are a reflection of their determination and creativity.

“I’m also proud of our work in the fight against Covid-19. In 2021 our cold chain, Constant Climate, service was responsible for shipping millions of doses of life-saving COVID-19 vaccines to almost every corner of the world.

“In 2021 we also invested in improving the functionality of our website and expanded our partnerships with third party platform providers. Both actions, supporting online channel shift and digital bookings whilst providing more flexibility to our customers. It was also great to see a massive expansion in our Forward Rewards loyalty programme last year with an additional 700 customers  signing-up to benefit from earning free flights, hotel stays and cargo credit.

“We enter 2022 with ambition and optimism for the year ahead.”