e-Flash No. 196 - 25 March 2019

FIATA AND MEMBERS

FIATA says goodbye to one of its most influential figures and friend – Mr. Stephen Ngatunga

Last week, prominent FIATA Figure and RAME Chairman Mr. Stephen Elias Joseph Ngatunga passed away prompting an outpouring of grief and tributes within members of FIATA who had the pleasure of knowing, working and learning from Mr. Ngatunga. 

Mr. Ngatunga was a highly grounded practitioner, a trainer and leader in the freight logistics industry. Based in Dar es salaam, he was the Managing Director of Jerusalem Freight and Company Limited, the President of Tanzania freight forwarders Associations (TAFFA) since 2011, and the President of Federation of East African Freight Forwarders Associations (FEAFFA).

His contributions, personality and drive is a great loss to our world. FIATA wishes to extend its deepest condolences to his family and friends. His memory and teachings will continue to echo throughout FIATA’s meetings as we continue to progress towards his vision for the region Africa and the Middle East.  

2019 FIATA HQ Meeting – March 27-29th

2019 FIATA HQ Meeting will open this week, make sure that you don’t miss the highlights of this event:

  • 28thMarch, Advisory Body Legal Matters will release the Best Practice Guide on Prevention of Cybercrime.
  • 29thMarch, Airfreight Institute will celebrate its 50 years birthday.
  • 29thMarch, FIATA Logistics Academy will launch the first digital courses of FIATA “Introduction to Global Logistics Management Theory and Practice”, “Maritime Transport” as well as the digital Train-the-Trainer Course for FIATA Foundation Vocational Training.

Details of the programme can be found on the FIATA website: https://fiata.com/fileadmin/user_upload/documents/initiatives/Programme_FIATA_HQ_2019_1_01.pdf

We look forward to welcoming you to Zurich in March!

Paying Tribute to Francesco S. Parisi – FIATA Past President

Recently at a trade show a colleague came by to congratulate us on our having reached our 44th anniversary serving the global air cargo industry with our publications. We appreciate the kind gesture and accept with humility the good wishes of course, but as the first and only FIATA Fellow I have been given access and illumination of the greater world with all the wonderful people of FIATA, the global freight forwarder organization.

When Parisi went into business in 1807 Napoleon was alive and signed a peace treaty with Russia; Ludwig von Beethoven debuted his Symphony Number 4 and Robert Fulton launched his first steamboat on the Hudson River in New York. Today in 2019, the quiet and unassuming Francesco Parisi (third generation) is a constant force for good as former President of FIATA and active builder of global transportation

For more details, please visit: http://www.aircargonews.com/FTypers2019/FTypers0319/FT03.21.19.html

Reminder to NVOCCs to Ensure 24-hour Advance Filing Rules in Japan

A warning this week comes from Japan International Freight Forwarders Association Inc. regarding the 24-hour Security Rules for inbound ocean container shipments into Japan. Japan Customs has implemented these rules since March 2014.

JIFFA stated that an industrial newspaper has recently disclosed in remarks quoted from shipping line sources that SPD (suspended), notice for a no filing after the deadline, has been issued by Japan Customs to roughly 3 percent of all House B/L shipments.

Carriers would not be allowed to discharge these containers at destination ports in Japan without the permission from Japan Customs.

For more details of 24-hour rules, please visit: http://www.customs.go.jp/english/summary/advance5/index.htm

Leaflet - http://www.customs.go.jp/english/summary/advance5/leaflet_e.pdf

Freight Forwarders stay ahead of the curve despite Brexit uncertainty

Whilst the UK government keeps working, pushing and grinding on to try again to make the case for its Brexit compromise, and MPs carry on hunting, and arguing for alternatives that could take the place of that compromise if it ultimately fails, the British International Freight Association (BIFA) is advising its members to continue preparing for a no-deal departure on March 29th, until further clarity is obtained.

Robert Keen, BIFA’s Director General said that that this has been the advice of the trade association for freight forwarders’ for several weeks. Keen says: “Confusion reigns and with less than a fortnight to go before Brexit, no proposal is off the table and some suggest that a ‘no deal’ exit can happen because last week’s vote was advisory.

For more details, please visit: https://bifa.org/news/articles/2019/mar/freight-forwarders-remain-ahead-of-the-curve-despite-ongoing-brexit-uncertainty

 

WORLD ECONOMY

Time to modernise, not abandon, the WTO

As the old adage goes, any publicity is good publicity. But with the headlines of late, the World Trade Organization (WTO) may have had enough. Almost daily there are reports suggesting the end of days for the rules-based multilateral trading system that the 25-year old organisation is meant to manage.

In what could pass for a silver lining, all this attention at least indicates that the world now cares enough to mainstream the discussion on trade reform.

For more details, please visit: https://www.eastasiaforum.org/2019/03/05/time-to-modernise-not-abandon-the-wto/?utm_source=newsletter&utm_medium=email&utm_campaign=newsletter2019-03-10

 

SEA FREIGHT

IMO 2020 fuel rules set to change ocean freight landscape

Next year will be a pivotal year for the container shipping market, with the imminent the IMO 2020 low-sulphur fuel deadline set to trigger more slow steaming and transhipment - and be potentially disastrous for some container lines if they fail to recover enough of their cost increases from customers, according to industry analyst Drewry.

In its Container Insight Weekly briefing today, Drewry noted that failure to recover more of the fuel cost from customers than in the past, when it was estimated to be around 50%, “could be ruinous for some lines, many of which are still operating with highly distressed balance sheets”.

For more details, please visit: https://www.lloydsloadinglist.com/freight-directory/news/IMO-2020-fuel-rules-set-to-change-ocean-freight-landscape/73943.htm#.XJTCgCj0mF4

Asia-Europe transit times set to rise

Transit times from Asia to northern European ports have increased from an average of eight weeks in 2007 to more than 11 weeks now as carriers cut speeds to reduce the impact of rising bunker costs.

But the use of ever-larger vessels has also played a part in increasing total voyage times, as longer port calls were required en route to work the ships. Average vessel size on the trade lane had more than doubled to 15,000 teu now, compared with 2007 Alphaliner said.

For more details, please visit: https://www.lloydsloadinglist.com/freight-directory/news/Asia-Europe-transit-times-set-to-rise/73968.htm#.XJTApij0mF4

 

AIR FREIGHT

ICAO: Investment in aviation infrastructure key to unlocking aviation growth in Africa

At a workshop hosted by the Government of Nigeria today, ICAO Council President Dr. Olumuyiwa Benard Aliu delivered a stark caution: the realization of better air connectivity in Africa, and the crucial sustainable development it promises, will only be accomplished through the mobilization of sufficient and appropriate investment.

“It is especially urgent for Africa to address its aviation infrastructure gaps, given current and high levels of awareness of how air connectivity has become such a unique and indispensable catalyst for socio-economic growth on this continent,” Dr. Aliu remarked at the 2019 Aviation Infrastructure for Africa Gap Analysis Workshop.

For more details, please visit: https://www.icao.int/Newsroom/Pages/Investment-in-aviation-infrastructure-key-to-unlocking-aviation-growth-in-Africa.aspx

Air India Cargo lauds freight forwarding agents’ contribution, felicitates them during All India Agency Award Function

Air India Cargo recently awarded freight forwarding agents, who have aided Air India Cargo exceed its target, during the All India Agency Award Function 2019 in Delhi. The event was timed to coincide with the Holi season and was aptly themed 'Holi Milan'.

Freight forwarding agents, who had done exceedingly well over the network both domestic and international, travelled from all parts of the country to attend the event, held at the Four Points Hotel of the Sheraton Group.

For more details, please visit: https://www.stattimes.com/air-india-cargo-lauds-freight-forwarding-agents-contribution-felicitates-them-during-all-india-agency-award-function-2019-air-cargo

 

RAIL AND ROAD FREIGHT

IRU: A fifth of driver positions unfilled in the European road transport sector

The European road transport sector is facing the most acute professional driver shortage in decades, a new report by the International Road Transport Union (IRU) has found.The report is based on insight from stakeholders across the European transport industry and drawn from two surveys conducted by IRU.  

Polling of IRU members and associated organisations in Europe from October 2018 to January 2019 revealed a visible driver shortage of 21% in the freight transport sector and 19% in the bus and coach sector. The problem is accelerating, with the shortfall predicted to reach 40% in both sectors as demand grows in 2019.

For more details, please visit: https://www.iru.org/resources/newsroom/fifth-driver-positions-unfilled-european-road-transport-sector

INNOVATIONS

Amazon’s ocean freight quid pro quo not yet resonating with merchants, forwarding executive says

Amazon.com, Inc. (NASDAQ:AMZN) is offering to take near-complete control of customers’ ocean shipping from China to the U.S. in return for the merchants accepting lower selling prices for their goods, according to a leading freight forwarder that operates on the trade lane.

Amazon’s plan is to deliver goods “freight on board,” meaning it assumes the shipping costs from the time the products are loaded aboard a vessel in China to when they reach one of the Fulfillment by Amazon (FBA) facilities in the U.S.

For more details, please visit: https://www.freightwaves.com/news/maritime/amazon-ocean-service-not-yet-resonating

Cargo iQ Successfully Trials New SME Solution for Independent Freight Forwarders

Cargo iQ has successfully trialed a new Small and Medium Enterprise (SME) Solution to provide vastly improved planning and control options to small and medium sized forwarders who work with member airlines on a small-scale, or regional basis.

The SME Solution will enable a Route Map and status updates to be made available to the forwarder for individual consignments in line with the common business practices and milestones set out in Cargo iQ’s Master Operating Plan (MOP).

For more details, please visit: https://www.aviationpros.com/gse/baggage-cargo/cargo-handling-equipment-accessories/press-release/21071837/cargo-iq-cargo-iq-successfully-trials-new-sme-solution-for-independent-freight-forwarders

e Commerce Start Ups Can Look to Freight Forwarder for Complete Logistics Package

With the seemingly unstoppable growth in e-commerce no logistics agency can afford to ignore developments, and one well known forwarder, U-Freight, points out that this explosion of trade has had a side effect of significantly increasing the number of small start-up operations as the global market develops apace.

Noting that these smaller operations often have limited resources and are looking for cost effective behind-the-scenes assistance with order fulfilment, the U-Freight Group has launched e+ Solutions, a new product designed to assist with this, plus the associated logistics and administration operations.

For more details, please visit: https://handyshippingguide.com/shipping-news/e-commerce-start-ups-can-look-to-freight-forwarder-for-complete-logistics-package_10833

Uber Freight launching in Europe: 9 local startups which can give the tech giant a run for its money

Right after its food delivery service, Uber is planning to expand its lesser-known service called Uber Freight in Europe next month. This new business from Uber aims to helps truck drivers connect with shipping companies.

In the official blog, Uber Freight stated, “Europe’s freight market is one of the largest and most sophisticated in the world, yet carriers and shippers experience many of the same challenges as their counterparts in the U.S.”

For more details, please visit: https://siliconcanals.nl/news/startups/uber-freight-launching-in-europe-9-local-startups-which-can-give-the-tech-giant-a-run-for-its-money/

 

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