logistics industry set for a smooth lift post gst - acaai news · game changer. 4 2017 ... by 2020,...
TRANSCRIPT
Voice of Indian Air Cargo Industry
Vol 8 - Issue 2 | APRIL - JUNE 2017
ww
wa
caai
new
sco
m
CIAL AIms to be new CArgo hubPaul J Kocheril Cochin International Airport
Page 10
IndIA to surPAss ChInA In CArgo voLumesTadesse Tilahun Ethiopian AirlinesPage 8
Logistics industry set for a
smooth lift post GST
August 10 2017 Bengaluru
wwwitlninhtls2017
Organised byFor participation and sponsorship contactVikas Khadtale 104859910485991048599104859910485991048599104859910485991048599104859910485991048599104859910485991048599104859910485991048599104859910485991048599 10485991048599104859910485991048599104859910485991048599104859910485991048599
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Cover StoryAir cArgo industry set for A smooth lift post gstWhile the entire dynamics of transportation and logistics will undergo a sea change once GST is introduced it will lead to a leaner and fitter logistics industry which in turn will lead to greater efficiencies
reviewphArmA Accounts for lArgest pie of indiAn exports
THE OFFICIAL MAGAZINE OFAIr CArgo Agents AssoCIAtIon oF IndIA
(ACAAI)
ACAAI OFFICE BEARERS
PRESIDENTHemant Bhatia
VICE PRESIDENTT A Varghese
SECRETARy gENERAlSunil Arora
TREASURERM Afzal Malbarwala
EDITORReji John
editoracaainewscom
ASSISTANT EDITORSSurya Kannoth
suryaacaainewscom
Rashmi Pradhan rashmiacaainewscom
CORRESPONDENTSTwinkle Sahita
twinkleacaainewscom
Shreya Bhattacharya shreyaacaainewscom
MARKETINgVikas Khadtale
vikasacaainewscom Mobile +91 9820397514
SENIOR gRAPHIC DESIgNERPrasad Mohite
gRAPHIC DESIgNERRajesh Mhapralkar
DISCLAIMERViews expressed in the magazine
are not of ACAAI
Editorial amp Admin office710 Vindhya Commercial Complex
Sector 11 CBD Belapur Navi Mumbai - 400 614 INDIA
Email editorial acaainewscom editoracaainewscom
wwwacaainewscomPrinted by lingam Fine Arts
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Editor REJI JOHN
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ContentsVOL 8 - ISSUE 2 bull APRIL - JUNE 2017
interviewindiA to surpAss chinA in cArgo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading carrier in the region Tadesse Tilahun Regional Director India Sub-Continent for Ethiopian Airlines speaks of optimism in Indian market and the carrierrsquos strategy for India
A round up of the first edition of Pharma Logistics Summit organised by Indian Transport and Logistics News (ITLN) held in Mumbai in February this year The event gathered logistics managers of Indiarsquos top pharma companies and logistics services providers from both India and outside
14
18the perfect tAke offHerersquos the story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Profile 12
Bigger Better strongerAir Cargo Africa 2017 gathered a record number of exhibitors global aviation industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
rePort
23 civil AviAtion minister inAugurAtes first integrAted heliport in delhi
26 Brussels Airlines Adds mumBAi to its internAtionAl network
28 emirAtes skycArgo lAunches skyfresh for perishABles
newS
ciAl the new cArgo huBCochin International Airport Limited (CIAL) Indiarsquos first green-field airport built under the public-private partnership registered 156 percent growth in cargo volume handled in 2016 Paul J Kocheril CIALrsquos Deputy General Manager for Cargo speaks about the phenomenal growth in cargo volume over the years and the plans CIAL has for making it a new cargo hub
interview
APR - JUN 2017 | wwwacaainewscom2
From the Presidents desk
We have entered the new financial
year with a difference from the
past years For the first time since
independence the presentation
of the Union Budget in Parliament
was advanced to the first day of February in 2017 as
compared to the earlier practice of presenting this
budget at the end of February each year As a result the
due process of approvals by the concerned authorities
could be completed by the end of March 2017 for
implementation of the budget provisions from April
1 2017 This is yet another instance of the numerous
reforms that the Union Government has been unveiling
since it assumed office almost three years ago with
the objective of doing away with legacy laws and
procedures which may have outlived their utility and
are therefore inadequate to meet the requirements of
the 21st century for a growing economy
The Goods and Services Tax (GST) legislation is making
rapid progress and it is expected to become law by July
1 2017 This path-breaking legislation will be a game
changer as it will unify the entire country into a single
market GST will subsume the various Indirect Taxes
which are levied by the Central and State Governments
such as Excise duty Service Tax Value Added Tax (VAT)
etc As in the case of any new legislation there are
bound to be teething problems which will be resolved
as and when the need arises The Union Government
has constituted a number of working groups for various
sectors and industries including the logistics and freight
forwarding industries to address their concerns about
GST The relevant issues have been jointly taken up by
ACAAI and several other associations with JM Kennedy
Hemant Bhatia President
Air Cargo Agents Association of India
(ACAAI)
who is in charge of the Working Group for GST for
Transport and Logistics
The dwell time of export and import cargo at airports in
India is amongst the highest in the world In the recent
past ACAAI has submitted its inputs to the concerned
authorities for streamlining the rules regulations and
procedures pertaining to the clearance of import and
export goods with the objective of reducing the dwell
time to global standards
In December 2016 Ministry of Civil Aviation issued
an order whereby the free period for import cargo
was reduced from 72 hours to 48 hours with effect
from April 1 2017 The order stated that the time of
reckoning of the free period would commence from
the segregation time which is reflected in ICEGATE
ACAAI submitted its representation to the Ministry
about the changes that are required in ICEGATE for the
efficient implementation of this Order As a result the
Ministry has issued a new order dated March 31 2017
whereby the segregation date and time indicated in
the segregation report should be jointly signed by the
airport operators airlines and customs These details
are to be reflected in the respective Airport Community
Systems for the purpose of the calculation of the
reduced free period of 48 hours This procedure will
continue until customs modify the ICEGATE system to
reflect the segregation date and time
In the recent past a few airlines have desired that
forwarders should furnish bank guarantees for utilising
their services ACAAI has taken up this issue with the
concerned airlines and expressed the inability of the
trade to provide such guarantees due to valid and
justifiable reasons Bank guarantees will substantially
increase the cost of business of the trade and many
agents will find it difficult to sustain their existing
business We are optimistic that the airlines will
understand the perspective and concerns of the trade
and that they will explore viable alternate solutions to
cover their business exposure
The planning for ACAAIrsquos Annual Convention for 2017
has commenced The dates and venue of this event
will be announced in due course
APR - JUN 2017| wwwacaainewscom 3
GST thegamechanger
APR - JUN 2017 | wwwacaainewscom4
Logistics industry set for a
smooth lift post GST
While the entire dynamics of transportation and logistics will undergo a sea change once GST is introduced it will lead to a leaner and fitter logistics industry which in turn will lead to greater efficiencies
Cover story | GST
SuryA KAnnotH amp rejI joHn
APR - JUN 2017| wwwacaainewscom 5
Goods amp Services
Tax (GST) for sure
remains one of
the two bold-play
initiatives taken by the reigning
government so far After years
of being entangled in political
knots debating a transparent
and efficient unified tax system
India is soon on its way to
become a clutter-free tax
highway
It (GST) looks on track
Subject to Parliament approval
it looks like the possible date of
implementation of GST is July
1 Finance Minister Arun Jaitley
said after the 11th GST Council
meet concluded
The three enabling GST bills
ndash Central GST Integrated GST
and Compensation to states
top the governmentrsquos agenda
during the second part of the
Budget session of Parliament
which will conclude on April 12
Indiarsquos logistics performance
at its key international
gateways has scaled up
significantly in the last two
years and that was evident
in the World Bankrsquos biennial
measure of international supply
chain efficiency report namely
the Logistics Performance
Index where Indiarsquos ranking
catapulted from 54 in 2014 to
35 in 2016
The introduction of GST
will further give impetus to the
transport and logistics industry
in India While the entire
dynamics of transportation
and logistics will undergo
a sea change once GST is
implemented it will lead to
a leaner and fitter logistics
industry which in turn will
lead to greater efficiencies
Both transport as well as
manufacturing companies
will be able to take better
advantage of the economies
of scale
Lauding the governmentrsquos
move Pirojshaw Sarkari CEO
Mahindra Logistics said ldquoThe
announcement of GST Council
finalising its recommendations
on almost all issues and timely
preparation of IT system
needs to be welcomed In an
endeavour to create awareness
about the new GST led taxation
system we support the
governmentrsquos move to reach-
out to trade and industryrdquo
Budget 2017-18 PuSHeS for InfrAStruCtureReadying the stage for GST
Jaitleyrsquos Budget proposal for
2017-18 laid special focus on
road and infrastructure sector
The Budget allocation for
highways was increased from
Rs 57976 crore in FY2016-17
to Rs 64900 crore in FY2017-
18 while 2000 km of coastal
connectivity roads have been
identified for construction and
development This will ensure
better connectivity with ports
and remote villages The total
length of roads including those
under the Pradhan Mantri Gram
Sadak Yojana (PMGSY) built
from 2014-15 till the current
year is about 140000 km
which is significantly higher
than previous three years
With an eye on improved
logistics across the country
in the future the finance
minister said ldquoAn effective
multi-modal logistics and
transport sector will make our
economy more competitive
A specific programme for
development of multi-modal
logistics parks together
with multi-modal transport
facilities will be drawn up and
implementedrdquo
APR - JUN 2017 | wwwacaainewscom6
AdvAntAge for 3PL ProvIderSImplementation of GST will
ensure that the nascent 3PL
further embeds itself in the
logistics space Market research
agency Novonous in its
recent report estimates that
3PL logistics market in India is
expected to be worth $30189
billion by 2020 By 2020 Indian
logistics market is expected to
grow at a CAGR of 1217 percent
primarily driven by the growth in
the manufacturing retail FMCG
and e-commerce sectors This
growth rate is also based on
the expectation of GST being
implemented and the logistics
companies can optimise their
operations to reduce cost and
increase their margins
Further it is the
implementation of the GST that
would increase productivity
and raise efficiency levels in
the logistics sector and the
economy as a whole According
to various industry estimates
freight times will come down
by 30-40 percent and logistics
costs are expected to reduce by
20-30 percent
Once GST is implemented
instead of maintaining smaller
warehouses in each and
every state the companies
will be setting up lesser and
bigger warehouses and can
follow hub and scope model
for freight movement from
warehouses to manufacturing
plants distributors and retailers
ldquoWith GST in place there
will be consolidation of
warehouses thus reducing the
time lost between transporting
from one warehouse to
another Shorter supply chain
cycles will entail lesser time
spent on unnecessary activities
like paperwork material
scrutiny at checkpoints
compliance with multiple
regulations etc This will make
it smoother for transport
companies as they will be
able to transport goods with
lesser stoppages and breaks in
Pho
to G
reyO
ran
ge
Model of Indian Logistics Industry post gSt India becomes one big market there will be fewer
and larger warehouses
GST will result in larger trucks on road while the overall number of vehicles will go down The new tax will result in greater adoption of a hub-and-spoke model in segments such as warehousing cold chain container freight stations and inland container depots
GST will also bring in scale to logistics companies as there will be a lot of savings stoppage of wastage and lower delays
These above changes will lead to greater economies of scale for transport operators and lead to more companies outsourcing their logistics operations
journey Consequently it will
reduce the need for extensive
documentation in inter-state
sales making it a lot easier
to transport goods than it is
currentlyrdquo Allcargo Logistics
posted on its blog
Therefore there lies a bigger
opportunity for the 3PL service
providers who can manage
these bigger routes and deliver
accurately and efficiently
The Indian logistics industry
constitutes around 14 percent
of the GDP which is greater
than the other developing
nations The 3PL logistics firms
are evolving from traditional
service delivery systems
to highly integrated and
technically equipped service
providers striving to meet the
service demands GST provides
them with ample opportunity
to invest and expand the 3PL
base in India
According to a report
by CARE Ratings post GST
Cover story | GST
implementation the 3PLs would
have to restructure its assets
and realign its operations in line
with changes in the operations
of its customers in the new
scenario Currently 3PLs have
warehouses located near major
distribution centers of its key
clients (different industries)
irrespective of its geographic
disadvantage mainly to avoid
interstate taxes However
post GST implementation
3PLs are expected to build
integrated warehouses at
logistic suitable locations
So accordingly their assets
would need to be restructured
to accommodate the long
distance consignments which
will occur with this scenario of
free movement of goods across
the country The consumer
durables sector is expected to
witness maximum drop in the
logistics costs as percentage of
total sales as their warehouses
are built at different states to
avoid interstate tax
The central taxes which will
be subsumed into the GST are
Central Excise duty Additional
Excise duty Service tax
Countervailing duty and Special
Additional duty of Customs
Also the state taxes which will
be subsumed by GST are Sales
tax Entertainment tax Central
APR - JUN 2017| wwwacaainewscom 7
Salex tax Octroi and Entry tax
Purchase tax Luxury tax and
Taxes on lottery betting and
gambling GST will be collected
at every stage of sale or
purchase of goods or services
based on input tax credit
method This simplification of
the taxation system would make
the inter-state transportation of
goods more efficient
IMPACt on SuPPLy CHAIn MAnAgeMentThe structure of the supply
chain is influenced by
differential taxes based on
geographical location By
eliminating multiple state taxes
the logistics companies are
encouraged to consolidate
their warehouses instead of
maintaining one in each state
to avoid central tax
This in effect brings the
overall cost of the product
down as the inventory cost
and inventory carrying cost is
down This directly affects the
final cost of the product bring
the selling price down The
cost saved by the companies
as a result of GST can be used
to invest further to improve
serviceability
One important highlight
that GSTrsquos implementation
will do is to reduce the time
taken at various check posts
while transporting goods
This in turn will reduce costs
for customers and logistics
companies making the latter
more efficient and profitable
Presently trucks are idle for
about 40 per cent of the total
travel time due to Central Sales
TaxOctroi payment
GST has the potential to
accelerate growth in the logistics
industry While industry pundits
still feel that many contentious
issues remain such as the clear
definition of supply supply
chain management through
warehouse engineering credit
allowance during the transition
phase etc there is general
consensus to welcome this new
tax regime
With GSTrsquos imminent
implementation the logistics
industry should start exploring
different supply chain models
with their clients and at the same
time develop a completely
synchronised ERP accounting
system to support inventory
supply management as required
under the GST regime
Nevertheless GST is still the
change the logistics industry is
eagerly awaiting as overall the
positive impact of GST far
outweighs the disadvantages for
this industry
Benefits for logistics industry post gSt implementation
Pre gSt PoSt gSt
Interstate tax burden
Currently each of Indiarsquos 29 states taxes goods that move across their borders at different rates apart from that Corporate state tax of 2 is levied for inter-state goods transfer
Not applicable Uniform taxation and no varying tax structures would be allowed across states
Nature of the industry
Current interstate taxation has resulted in a large number of unorganized players in this industry Resulting in fragmented industry
With the introduction of GST there is likely to be major consoli-dation in the industry It could see the emergence of major large players who can span the entire logistics chain
Logistic time Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Cost The existing interstate taxation system has forced the companies to create and maintain warehouses in each state Currently there are around 20-30 warehouses per company one in every state in addition to this 20-30 Carry amp Forwarding agents per state making the supply chain longer and inef-ficient
GST tax will be levied on transportation of goods and full credit will be available on interstate transactions Logistic costs are expected to be decreased by 15-200 of sales on account of optimization of warehouses leading to lower inventory costs which are set up across states to avoid paying 2 corporate sales tax and phasing out of interstate sales tax There is immense scope for optimization of costs
Sou
rce
Car
e Ra
ting
s
Critical business implications post gSt implementationSupply Chain reengineeringMany service providers have to revamp their supply chains realign their warehouses and logistics networks This gives tremendous opportunity to 3PL and 4PL logistics providers
transportationRe-organised manufacturing plants and warehouses would reduce the primary freight charges as they are located close to each other irrespective of which state they are in However secondary freight may increase because of the fewer warehouses
Consolidation and outsourcingWith the increase in the availability of organized and efficient players there is a possibility of consolidation Also this leads to the outsourcing of their logistics operations to logistics service providers
Skill set upgradation and service levelsThe need for optimally skilled and technically qualified workforce is likely to become a challenge Hence to cater to this need supply of skillful workforce should improve which in turn improves the service level of the company in its operations and meet the customer demands
AutomationBecause of the fewer warehouses the warehouses can be ramped up and equipped with state of the art technology to facilitate long term benefits Latest warehouse management systems (WMS) and modern robotics can be used for the effective and efficient warehouse management
APR - JUN 2017 | wwwacaainewscom8
India to surpass China incargo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading aviation company in the region It has also added a feather to its cap by completing 45 years of service to Indiarsquos business capital Mumbai The milestone was celebrated by adding the fifth cargo destination - Ahmedabad to its cargo network tadesse tilahun Regional Director India Sub Continent Ethiopian Airlines expressed optimism about Indian market On a tecircte-agrave-tecircte with rashmi Pradhan he vividly painted the strategy for India
interview | TadeSSe Tilahun
elaborate on the vision 2025 of
ethiopian Airlines
According to Ethiopiarsquos 15-year strategic
plan named Vision 2025 we aim to
become a leading and competitive
aviation group in Africa with seven
business centers Ethiopian Domestic and
Regional Airline Ethiopian International
Passenger Airline Ethiopian Cargo
Ethiopian MRO Ethiopian Aviation
Academy Ethiopian In-flight Catering
Services and Ethiopian Ground Service
Ethiopian is a multi-award winning airline
registering an average growth of 25
percent in the past seven years In fact
we have achieved most of the targets set
in Vision 2025 much in advance
tell us about the journey so far
between India and ethiopia
India is a growing aviation market and
very strategic for an airline like Ethiopian
Airlines The carrier started operations
from Delhi way back in 1960s However
we decided to terminate that service
and later in 1971 Ethiopian Airlines made
its debut flight to Mumbai one of its
oldest destinations in Asia Since then
we increased our airlift to 28 scheduled
weekly flights to both Mumbai and
New Delhi The 45 years of uninterrupted
service to Mumbai was a successful
journey but not a smooth ride There
were many challenges (like operational
cost political unrest in Africa etc) From
Mumbai we started with three flights a
day and then increased the frequency
to five flights Earlier it was a turnaround
flight at Bangkok As we witnessed
increase in passenger flow we started a
dedicated flight to Mumbai
How was the performance of
ethiopian Airlines last year
In the past three years we have made a
significant expansion in India Now we
have double daily flights from Mumbai and
New Delhi In terms of passenger traffic
we have registered double digit growth
We witnessed 15 percent year-on-year
growth from Mumbai and 10 percent
growth from New Delhi We have plans
APR - JUN 2017 | wwwacaainewscom8
EXCELLENCE IN MUMBAI
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
August 10 2017 Bengaluru
wwwitlninhtls2017
Organised byFor participation and sponsorship contactVikas Khadtale 104859910485991048599104859910485991048599104859910485991048599104859910485991048599104859910485991048599104859910485991048599104859910485991048599 10485991048599104859910485991048599104859910485991048599104859910485991048599
LIMITED SEATS
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Cover StoryAir cArgo industry set for A smooth lift post gstWhile the entire dynamics of transportation and logistics will undergo a sea change once GST is introduced it will lead to a leaner and fitter logistics industry which in turn will lead to greater efficiencies
reviewphArmA Accounts for lArgest pie of indiAn exports
THE OFFICIAL MAGAZINE OFAIr CArgo Agents AssoCIAtIon oF IndIA
(ACAAI)
ACAAI OFFICE BEARERS
PRESIDENTHemant Bhatia
VICE PRESIDENTT A Varghese
SECRETARy gENERAlSunil Arora
TREASURERM Afzal Malbarwala
EDITORReji John
editoracaainewscom
ASSISTANT EDITORSSurya Kannoth
suryaacaainewscom
Rashmi Pradhan rashmiacaainewscom
CORRESPONDENTSTwinkle Sahita
twinkleacaainewscom
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MARKETINgVikas Khadtale
vikasacaainewscom Mobile +91 9820397514
SENIOR gRAPHIC DESIgNERPrasad Mohite
gRAPHIC DESIgNERRajesh Mhapralkar
DISCLAIMERViews expressed in the magazine
are not of ACAAI
Editorial amp Admin office710 Vindhya Commercial Complex
Sector 11 CBD Belapur Navi Mumbai - 400 614 INDIA
Email editorial acaainewscom editoracaainewscom
wwwacaainewscomPrinted by lingam Fine Arts
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Mumbai ndash 400086 ndash INDIA Published by Priyo Patra
on behalf of STAT MEDIA gROUP from 710 Vindya Commercial Complex
Sector ndash 11 CBD Belapur Navi Mumbai ndash 400614 ndash India
Ph No 022 27578891 022 27570550
Editor REJI JOHN
a STAT MEDIA GROUP venture
ContentsVOL 8 - ISSUE 2 bull APRIL - JUNE 2017
interviewindiA to surpAss chinA in cArgo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading carrier in the region Tadesse Tilahun Regional Director India Sub-Continent for Ethiopian Airlines speaks of optimism in Indian market and the carrierrsquos strategy for India
A round up of the first edition of Pharma Logistics Summit organised by Indian Transport and Logistics News (ITLN) held in Mumbai in February this year The event gathered logistics managers of Indiarsquos top pharma companies and logistics services providers from both India and outside
14
18the perfect tAke offHerersquos the story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Profile 12
Bigger Better strongerAir Cargo Africa 2017 gathered a record number of exhibitors global aviation industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
rePort
23 civil AviAtion minister inAugurAtes first integrAted heliport in delhi
26 Brussels Airlines Adds mumBAi to its internAtionAl network
28 emirAtes skycArgo lAunches skyfresh for perishABles
newS
ciAl the new cArgo huBCochin International Airport Limited (CIAL) Indiarsquos first green-field airport built under the public-private partnership registered 156 percent growth in cargo volume handled in 2016 Paul J Kocheril CIALrsquos Deputy General Manager for Cargo speaks about the phenomenal growth in cargo volume over the years and the plans CIAL has for making it a new cargo hub
interview
APR - JUN 2017 | wwwacaainewscom2
From the Presidents desk
We have entered the new financial
year with a difference from the
past years For the first time since
independence the presentation
of the Union Budget in Parliament
was advanced to the first day of February in 2017 as
compared to the earlier practice of presenting this
budget at the end of February each year As a result the
due process of approvals by the concerned authorities
could be completed by the end of March 2017 for
implementation of the budget provisions from April
1 2017 This is yet another instance of the numerous
reforms that the Union Government has been unveiling
since it assumed office almost three years ago with
the objective of doing away with legacy laws and
procedures which may have outlived their utility and
are therefore inadequate to meet the requirements of
the 21st century for a growing economy
The Goods and Services Tax (GST) legislation is making
rapid progress and it is expected to become law by July
1 2017 This path-breaking legislation will be a game
changer as it will unify the entire country into a single
market GST will subsume the various Indirect Taxes
which are levied by the Central and State Governments
such as Excise duty Service Tax Value Added Tax (VAT)
etc As in the case of any new legislation there are
bound to be teething problems which will be resolved
as and when the need arises The Union Government
has constituted a number of working groups for various
sectors and industries including the logistics and freight
forwarding industries to address their concerns about
GST The relevant issues have been jointly taken up by
ACAAI and several other associations with JM Kennedy
Hemant Bhatia President
Air Cargo Agents Association of India
(ACAAI)
who is in charge of the Working Group for GST for
Transport and Logistics
The dwell time of export and import cargo at airports in
India is amongst the highest in the world In the recent
past ACAAI has submitted its inputs to the concerned
authorities for streamlining the rules regulations and
procedures pertaining to the clearance of import and
export goods with the objective of reducing the dwell
time to global standards
In December 2016 Ministry of Civil Aviation issued
an order whereby the free period for import cargo
was reduced from 72 hours to 48 hours with effect
from April 1 2017 The order stated that the time of
reckoning of the free period would commence from
the segregation time which is reflected in ICEGATE
ACAAI submitted its representation to the Ministry
about the changes that are required in ICEGATE for the
efficient implementation of this Order As a result the
Ministry has issued a new order dated March 31 2017
whereby the segregation date and time indicated in
the segregation report should be jointly signed by the
airport operators airlines and customs These details
are to be reflected in the respective Airport Community
Systems for the purpose of the calculation of the
reduced free period of 48 hours This procedure will
continue until customs modify the ICEGATE system to
reflect the segregation date and time
In the recent past a few airlines have desired that
forwarders should furnish bank guarantees for utilising
their services ACAAI has taken up this issue with the
concerned airlines and expressed the inability of the
trade to provide such guarantees due to valid and
justifiable reasons Bank guarantees will substantially
increase the cost of business of the trade and many
agents will find it difficult to sustain their existing
business We are optimistic that the airlines will
understand the perspective and concerns of the trade
and that they will explore viable alternate solutions to
cover their business exposure
The planning for ACAAIrsquos Annual Convention for 2017
has commenced The dates and venue of this event
will be announced in due course
APR - JUN 2017| wwwacaainewscom 3
GST thegamechanger
APR - JUN 2017 | wwwacaainewscom4
Logistics industry set for a
smooth lift post GST
While the entire dynamics of transportation and logistics will undergo a sea change once GST is introduced it will lead to a leaner and fitter logistics industry which in turn will lead to greater efficiencies
Cover story | GST
SuryA KAnnotH amp rejI joHn
APR - JUN 2017| wwwacaainewscom 5
Goods amp Services
Tax (GST) for sure
remains one of
the two bold-play
initiatives taken by the reigning
government so far After years
of being entangled in political
knots debating a transparent
and efficient unified tax system
India is soon on its way to
become a clutter-free tax
highway
It (GST) looks on track
Subject to Parliament approval
it looks like the possible date of
implementation of GST is July
1 Finance Minister Arun Jaitley
said after the 11th GST Council
meet concluded
The three enabling GST bills
ndash Central GST Integrated GST
and Compensation to states
top the governmentrsquos agenda
during the second part of the
Budget session of Parliament
which will conclude on April 12
Indiarsquos logistics performance
at its key international
gateways has scaled up
significantly in the last two
years and that was evident
in the World Bankrsquos biennial
measure of international supply
chain efficiency report namely
the Logistics Performance
Index where Indiarsquos ranking
catapulted from 54 in 2014 to
35 in 2016
The introduction of GST
will further give impetus to the
transport and logistics industry
in India While the entire
dynamics of transportation
and logistics will undergo
a sea change once GST is
implemented it will lead to
a leaner and fitter logistics
industry which in turn will
lead to greater efficiencies
Both transport as well as
manufacturing companies
will be able to take better
advantage of the economies
of scale
Lauding the governmentrsquos
move Pirojshaw Sarkari CEO
Mahindra Logistics said ldquoThe
announcement of GST Council
finalising its recommendations
on almost all issues and timely
preparation of IT system
needs to be welcomed In an
endeavour to create awareness
about the new GST led taxation
system we support the
governmentrsquos move to reach-
out to trade and industryrdquo
Budget 2017-18 PuSHeS for InfrAStruCtureReadying the stage for GST
Jaitleyrsquos Budget proposal for
2017-18 laid special focus on
road and infrastructure sector
The Budget allocation for
highways was increased from
Rs 57976 crore in FY2016-17
to Rs 64900 crore in FY2017-
18 while 2000 km of coastal
connectivity roads have been
identified for construction and
development This will ensure
better connectivity with ports
and remote villages The total
length of roads including those
under the Pradhan Mantri Gram
Sadak Yojana (PMGSY) built
from 2014-15 till the current
year is about 140000 km
which is significantly higher
than previous three years
With an eye on improved
logistics across the country
in the future the finance
minister said ldquoAn effective
multi-modal logistics and
transport sector will make our
economy more competitive
A specific programme for
development of multi-modal
logistics parks together
with multi-modal transport
facilities will be drawn up and
implementedrdquo
APR - JUN 2017 | wwwacaainewscom6
AdvAntAge for 3PL ProvIderSImplementation of GST will
ensure that the nascent 3PL
further embeds itself in the
logistics space Market research
agency Novonous in its
recent report estimates that
3PL logistics market in India is
expected to be worth $30189
billion by 2020 By 2020 Indian
logistics market is expected to
grow at a CAGR of 1217 percent
primarily driven by the growth in
the manufacturing retail FMCG
and e-commerce sectors This
growth rate is also based on
the expectation of GST being
implemented and the logistics
companies can optimise their
operations to reduce cost and
increase their margins
Further it is the
implementation of the GST that
would increase productivity
and raise efficiency levels in
the logistics sector and the
economy as a whole According
to various industry estimates
freight times will come down
by 30-40 percent and logistics
costs are expected to reduce by
20-30 percent
Once GST is implemented
instead of maintaining smaller
warehouses in each and
every state the companies
will be setting up lesser and
bigger warehouses and can
follow hub and scope model
for freight movement from
warehouses to manufacturing
plants distributors and retailers
ldquoWith GST in place there
will be consolidation of
warehouses thus reducing the
time lost between transporting
from one warehouse to
another Shorter supply chain
cycles will entail lesser time
spent on unnecessary activities
like paperwork material
scrutiny at checkpoints
compliance with multiple
regulations etc This will make
it smoother for transport
companies as they will be
able to transport goods with
lesser stoppages and breaks in
Pho
to G
reyO
ran
ge
Model of Indian Logistics Industry post gSt India becomes one big market there will be fewer
and larger warehouses
GST will result in larger trucks on road while the overall number of vehicles will go down The new tax will result in greater adoption of a hub-and-spoke model in segments such as warehousing cold chain container freight stations and inland container depots
GST will also bring in scale to logistics companies as there will be a lot of savings stoppage of wastage and lower delays
These above changes will lead to greater economies of scale for transport operators and lead to more companies outsourcing their logistics operations
journey Consequently it will
reduce the need for extensive
documentation in inter-state
sales making it a lot easier
to transport goods than it is
currentlyrdquo Allcargo Logistics
posted on its blog
Therefore there lies a bigger
opportunity for the 3PL service
providers who can manage
these bigger routes and deliver
accurately and efficiently
The Indian logistics industry
constitutes around 14 percent
of the GDP which is greater
than the other developing
nations The 3PL logistics firms
are evolving from traditional
service delivery systems
to highly integrated and
technically equipped service
providers striving to meet the
service demands GST provides
them with ample opportunity
to invest and expand the 3PL
base in India
According to a report
by CARE Ratings post GST
Cover story | GST
implementation the 3PLs would
have to restructure its assets
and realign its operations in line
with changes in the operations
of its customers in the new
scenario Currently 3PLs have
warehouses located near major
distribution centers of its key
clients (different industries)
irrespective of its geographic
disadvantage mainly to avoid
interstate taxes However
post GST implementation
3PLs are expected to build
integrated warehouses at
logistic suitable locations
So accordingly their assets
would need to be restructured
to accommodate the long
distance consignments which
will occur with this scenario of
free movement of goods across
the country The consumer
durables sector is expected to
witness maximum drop in the
logistics costs as percentage of
total sales as their warehouses
are built at different states to
avoid interstate tax
The central taxes which will
be subsumed into the GST are
Central Excise duty Additional
Excise duty Service tax
Countervailing duty and Special
Additional duty of Customs
Also the state taxes which will
be subsumed by GST are Sales
tax Entertainment tax Central
APR - JUN 2017| wwwacaainewscom 7
Salex tax Octroi and Entry tax
Purchase tax Luxury tax and
Taxes on lottery betting and
gambling GST will be collected
at every stage of sale or
purchase of goods or services
based on input tax credit
method This simplification of
the taxation system would make
the inter-state transportation of
goods more efficient
IMPACt on SuPPLy CHAIn MAnAgeMentThe structure of the supply
chain is influenced by
differential taxes based on
geographical location By
eliminating multiple state taxes
the logistics companies are
encouraged to consolidate
their warehouses instead of
maintaining one in each state
to avoid central tax
This in effect brings the
overall cost of the product
down as the inventory cost
and inventory carrying cost is
down This directly affects the
final cost of the product bring
the selling price down The
cost saved by the companies
as a result of GST can be used
to invest further to improve
serviceability
One important highlight
that GSTrsquos implementation
will do is to reduce the time
taken at various check posts
while transporting goods
This in turn will reduce costs
for customers and logistics
companies making the latter
more efficient and profitable
Presently trucks are idle for
about 40 per cent of the total
travel time due to Central Sales
TaxOctroi payment
GST has the potential to
accelerate growth in the logistics
industry While industry pundits
still feel that many contentious
issues remain such as the clear
definition of supply supply
chain management through
warehouse engineering credit
allowance during the transition
phase etc there is general
consensus to welcome this new
tax regime
With GSTrsquos imminent
implementation the logistics
industry should start exploring
different supply chain models
with their clients and at the same
time develop a completely
synchronised ERP accounting
system to support inventory
supply management as required
under the GST regime
Nevertheless GST is still the
change the logistics industry is
eagerly awaiting as overall the
positive impact of GST far
outweighs the disadvantages for
this industry
Benefits for logistics industry post gSt implementation
Pre gSt PoSt gSt
Interstate tax burden
Currently each of Indiarsquos 29 states taxes goods that move across their borders at different rates apart from that Corporate state tax of 2 is levied for inter-state goods transfer
Not applicable Uniform taxation and no varying tax structures would be allowed across states
Nature of the industry
Current interstate taxation has resulted in a large number of unorganized players in this industry Resulting in fragmented industry
With the introduction of GST there is likely to be major consoli-dation in the industry It could see the emergence of major large players who can span the entire logistics chain
Logistic time Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Cost The existing interstate taxation system has forced the companies to create and maintain warehouses in each state Currently there are around 20-30 warehouses per company one in every state in addition to this 20-30 Carry amp Forwarding agents per state making the supply chain longer and inef-ficient
GST tax will be levied on transportation of goods and full credit will be available on interstate transactions Logistic costs are expected to be decreased by 15-200 of sales on account of optimization of warehouses leading to lower inventory costs which are set up across states to avoid paying 2 corporate sales tax and phasing out of interstate sales tax There is immense scope for optimization of costs
Sou
rce
Car
e Ra
ting
s
Critical business implications post gSt implementationSupply Chain reengineeringMany service providers have to revamp their supply chains realign their warehouses and logistics networks This gives tremendous opportunity to 3PL and 4PL logistics providers
transportationRe-organised manufacturing plants and warehouses would reduce the primary freight charges as they are located close to each other irrespective of which state they are in However secondary freight may increase because of the fewer warehouses
Consolidation and outsourcingWith the increase in the availability of organized and efficient players there is a possibility of consolidation Also this leads to the outsourcing of their logistics operations to logistics service providers
Skill set upgradation and service levelsThe need for optimally skilled and technically qualified workforce is likely to become a challenge Hence to cater to this need supply of skillful workforce should improve which in turn improves the service level of the company in its operations and meet the customer demands
AutomationBecause of the fewer warehouses the warehouses can be ramped up and equipped with state of the art technology to facilitate long term benefits Latest warehouse management systems (WMS) and modern robotics can be used for the effective and efficient warehouse management
APR - JUN 2017 | wwwacaainewscom8
India to surpass China incargo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading aviation company in the region It has also added a feather to its cap by completing 45 years of service to Indiarsquos business capital Mumbai The milestone was celebrated by adding the fifth cargo destination - Ahmedabad to its cargo network tadesse tilahun Regional Director India Sub Continent Ethiopian Airlines expressed optimism about Indian market On a tecircte-agrave-tecircte with rashmi Pradhan he vividly painted the strategy for India
interview | TadeSSe Tilahun
elaborate on the vision 2025 of
ethiopian Airlines
According to Ethiopiarsquos 15-year strategic
plan named Vision 2025 we aim to
become a leading and competitive
aviation group in Africa with seven
business centers Ethiopian Domestic and
Regional Airline Ethiopian International
Passenger Airline Ethiopian Cargo
Ethiopian MRO Ethiopian Aviation
Academy Ethiopian In-flight Catering
Services and Ethiopian Ground Service
Ethiopian is a multi-award winning airline
registering an average growth of 25
percent in the past seven years In fact
we have achieved most of the targets set
in Vision 2025 much in advance
tell us about the journey so far
between India and ethiopia
India is a growing aviation market and
very strategic for an airline like Ethiopian
Airlines The carrier started operations
from Delhi way back in 1960s However
we decided to terminate that service
and later in 1971 Ethiopian Airlines made
its debut flight to Mumbai one of its
oldest destinations in Asia Since then
we increased our airlift to 28 scheduled
weekly flights to both Mumbai and
New Delhi The 45 years of uninterrupted
service to Mumbai was a successful
journey but not a smooth ride There
were many challenges (like operational
cost political unrest in Africa etc) From
Mumbai we started with three flights a
day and then increased the frequency
to five flights Earlier it was a turnaround
flight at Bangkok As we witnessed
increase in passenger flow we started a
dedicated flight to Mumbai
How was the performance of
ethiopian Airlines last year
In the past three years we have made a
significant expansion in India Now we
have double daily flights from Mumbai and
New Delhi In terms of passenger traffic
we have registered double digit growth
We witnessed 15 percent year-on-year
growth from Mumbai and 10 percent
growth from New Delhi We have plans
APR - JUN 2017 | wwwacaainewscom8
EXCELLENCE IN MUMBAI
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
Cover StoryAir cArgo industry set for A smooth lift post gstWhile the entire dynamics of transportation and logistics will undergo a sea change once GST is introduced it will lead to a leaner and fitter logistics industry which in turn will lead to greater efficiencies
reviewphArmA Accounts for lArgest pie of indiAn exports
THE OFFICIAL MAGAZINE OFAIr CArgo Agents AssoCIAtIon oF IndIA
(ACAAI)
ACAAI OFFICE BEARERS
PRESIDENTHemant Bhatia
VICE PRESIDENTT A Varghese
SECRETARy gENERAlSunil Arora
TREASURERM Afzal Malbarwala
EDITORReji John
editoracaainewscom
ASSISTANT EDITORSSurya Kannoth
suryaacaainewscom
Rashmi Pradhan rashmiacaainewscom
CORRESPONDENTSTwinkle Sahita
twinkleacaainewscom
Shreya Bhattacharya shreyaacaainewscom
MARKETINgVikas Khadtale
vikasacaainewscom Mobile +91 9820397514
SENIOR gRAPHIC DESIgNERPrasad Mohite
gRAPHIC DESIgNERRajesh Mhapralkar
DISCLAIMERViews expressed in the magazine
are not of ACAAI
Editorial amp Admin office710 Vindhya Commercial Complex
Sector 11 CBD Belapur Navi Mumbai - 400 614 INDIA
Email editorial acaainewscom editoracaainewscom
wwwacaainewscomPrinted by lingam Fine Arts
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Mumbai ndash 400086 ndash INDIA Published by Priyo Patra
on behalf of STAT MEDIA gROUP from 710 Vindya Commercial Complex
Sector ndash 11 CBD Belapur Navi Mumbai ndash 400614 ndash India
Ph No 022 27578891 022 27570550
Editor REJI JOHN
a STAT MEDIA GROUP venture
ContentsVOL 8 - ISSUE 2 bull APRIL - JUNE 2017
interviewindiA to surpAss chinA in cArgo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading carrier in the region Tadesse Tilahun Regional Director India Sub-Continent for Ethiopian Airlines speaks of optimism in Indian market and the carrierrsquos strategy for India
A round up of the first edition of Pharma Logistics Summit organised by Indian Transport and Logistics News (ITLN) held in Mumbai in February this year The event gathered logistics managers of Indiarsquos top pharma companies and logistics services providers from both India and outside
14
18the perfect tAke offHerersquos the story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Profile 12
Bigger Better strongerAir Cargo Africa 2017 gathered a record number of exhibitors global aviation industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
rePort
23 civil AviAtion minister inAugurAtes first integrAted heliport in delhi
26 Brussels Airlines Adds mumBAi to its internAtionAl network
28 emirAtes skycArgo lAunches skyfresh for perishABles
newS
ciAl the new cArgo huBCochin International Airport Limited (CIAL) Indiarsquos first green-field airport built under the public-private partnership registered 156 percent growth in cargo volume handled in 2016 Paul J Kocheril CIALrsquos Deputy General Manager for Cargo speaks about the phenomenal growth in cargo volume over the years and the plans CIAL has for making it a new cargo hub
interview
APR - JUN 2017 | wwwacaainewscom2
From the Presidents desk
We have entered the new financial
year with a difference from the
past years For the first time since
independence the presentation
of the Union Budget in Parliament
was advanced to the first day of February in 2017 as
compared to the earlier practice of presenting this
budget at the end of February each year As a result the
due process of approvals by the concerned authorities
could be completed by the end of March 2017 for
implementation of the budget provisions from April
1 2017 This is yet another instance of the numerous
reforms that the Union Government has been unveiling
since it assumed office almost three years ago with
the objective of doing away with legacy laws and
procedures which may have outlived their utility and
are therefore inadequate to meet the requirements of
the 21st century for a growing economy
The Goods and Services Tax (GST) legislation is making
rapid progress and it is expected to become law by July
1 2017 This path-breaking legislation will be a game
changer as it will unify the entire country into a single
market GST will subsume the various Indirect Taxes
which are levied by the Central and State Governments
such as Excise duty Service Tax Value Added Tax (VAT)
etc As in the case of any new legislation there are
bound to be teething problems which will be resolved
as and when the need arises The Union Government
has constituted a number of working groups for various
sectors and industries including the logistics and freight
forwarding industries to address their concerns about
GST The relevant issues have been jointly taken up by
ACAAI and several other associations with JM Kennedy
Hemant Bhatia President
Air Cargo Agents Association of India
(ACAAI)
who is in charge of the Working Group for GST for
Transport and Logistics
The dwell time of export and import cargo at airports in
India is amongst the highest in the world In the recent
past ACAAI has submitted its inputs to the concerned
authorities for streamlining the rules regulations and
procedures pertaining to the clearance of import and
export goods with the objective of reducing the dwell
time to global standards
In December 2016 Ministry of Civil Aviation issued
an order whereby the free period for import cargo
was reduced from 72 hours to 48 hours with effect
from April 1 2017 The order stated that the time of
reckoning of the free period would commence from
the segregation time which is reflected in ICEGATE
ACAAI submitted its representation to the Ministry
about the changes that are required in ICEGATE for the
efficient implementation of this Order As a result the
Ministry has issued a new order dated March 31 2017
whereby the segregation date and time indicated in
the segregation report should be jointly signed by the
airport operators airlines and customs These details
are to be reflected in the respective Airport Community
Systems for the purpose of the calculation of the
reduced free period of 48 hours This procedure will
continue until customs modify the ICEGATE system to
reflect the segregation date and time
In the recent past a few airlines have desired that
forwarders should furnish bank guarantees for utilising
their services ACAAI has taken up this issue with the
concerned airlines and expressed the inability of the
trade to provide such guarantees due to valid and
justifiable reasons Bank guarantees will substantially
increase the cost of business of the trade and many
agents will find it difficult to sustain their existing
business We are optimistic that the airlines will
understand the perspective and concerns of the trade
and that they will explore viable alternate solutions to
cover their business exposure
The planning for ACAAIrsquos Annual Convention for 2017
has commenced The dates and venue of this event
will be announced in due course
APR - JUN 2017| wwwacaainewscom 3
GST thegamechanger
APR - JUN 2017 | wwwacaainewscom4
Logistics industry set for a
smooth lift post GST
While the entire dynamics of transportation and logistics will undergo a sea change once GST is introduced it will lead to a leaner and fitter logistics industry which in turn will lead to greater efficiencies
Cover story | GST
SuryA KAnnotH amp rejI joHn
APR - JUN 2017| wwwacaainewscom 5
Goods amp Services
Tax (GST) for sure
remains one of
the two bold-play
initiatives taken by the reigning
government so far After years
of being entangled in political
knots debating a transparent
and efficient unified tax system
India is soon on its way to
become a clutter-free tax
highway
It (GST) looks on track
Subject to Parliament approval
it looks like the possible date of
implementation of GST is July
1 Finance Minister Arun Jaitley
said after the 11th GST Council
meet concluded
The three enabling GST bills
ndash Central GST Integrated GST
and Compensation to states
top the governmentrsquos agenda
during the second part of the
Budget session of Parliament
which will conclude on April 12
Indiarsquos logistics performance
at its key international
gateways has scaled up
significantly in the last two
years and that was evident
in the World Bankrsquos biennial
measure of international supply
chain efficiency report namely
the Logistics Performance
Index where Indiarsquos ranking
catapulted from 54 in 2014 to
35 in 2016
The introduction of GST
will further give impetus to the
transport and logistics industry
in India While the entire
dynamics of transportation
and logistics will undergo
a sea change once GST is
implemented it will lead to
a leaner and fitter logistics
industry which in turn will
lead to greater efficiencies
Both transport as well as
manufacturing companies
will be able to take better
advantage of the economies
of scale
Lauding the governmentrsquos
move Pirojshaw Sarkari CEO
Mahindra Logistics said ldquoThe
announcement of GST Council
finalising its recommendations
on almost all issues and timely
preparation of IT system
needs to be welcomed In an
endeavour to create awareness
about the new GST led taxation
system we support the
governmentrsquos move to reach-
out to trade and industryrdquo
Budget 2017-18 PuSHeS for InfrAStruCtureReadying the stage for GST
Jaitleyrsquos Budget proposal for
2017-18 laid special focus on
road and infrastructure sector
The Budget allocation for
highways was increased from
Rs 57976 crore in FY2016-17
to Rs 64900 crore in FY2017-
18 while 2000 km of coastal
connectivity roads have been
identified for construction and
development This will ensure
better connectivity with ports
and remote villages The total
length of roads including those
under the Pradhan Mantri Gram
Sadak Yojana (PMGSY) built
from 2014-15 till the current
year is about 140000 km
which is significantly higher
than previous three years
With an eye on improved
logistics across the country
in the future the finance
minister said ldquoAn effective
multi-modal logistics and
transport sector will make our
economy more competitive
A specific programme for
development of multi-modal
logistics parks together
with multi-modal transport
facilities will be drawn up and
implementedrdquo
APR - JUN 2017 | wwwacaainewscom6
AdvAntAge for 3PL ProvIderSImplementation of GST will
ensure that the nascent 3PL
further embeds itself in the
logistics space Market research
agency Novonous in its
recent report estimates that
3PL logistics market in India is
expected to be worth $30189
billion by 2020 By 2020 Indian
logistics market is expected to
grow at a CAGR of 1217 percent
primarily driven by the growth in
the manufacturing retail FMCG
and e-commerce sectors This
growth rate is also based on
the expectation of GST being
implemented and the logistics
companies can optimise their
operations to reduce cost and
increase their margins
Further it is the
implementation of the GST that
would increase productivity
and raise efficiency levels in
the logistics sector and the
economy as a whole According
to various industry estimates
freight times will come down
by 30-40 percent and logistics
costs are expected to reduce by
20-30 percent
Once GST is implemented
instead of maintaining smaller
warehouses in each and
every state the companies
will be setting up lesser and
bigger warehouses and can
follow hub and scope model
for freight movement from
warehouses to manufacturing
plants distributors and retailers
ldquoWith GST in place there
will be consolidation of
warehouses thus reducing the
time lost between transporting
from one warehouse to
another Shorter supply chain
cycles will entail lesser time
spent on unnecessary activities
like paperwork material
scrutiny at checkpoints
compliance with multiple
regulations etc This will make
it smoother for transport
companies as they will be
able to transport goods with
lesser stoppages and breaks in
Pho
to G
reyO
ran
ge
Model of Indian Logistics Industry post gSt India becomes one big market there will be fewer
and larger warehouses
GST will result in larger trucks on road while the overall number of vehicles will go down The new tax will result in greater adoption of a hub-and-spoke model in segments such as warehousing cold chain container freight stations and inland container depots
GST will also bring in scale to logistics companies as there will be a lot of savings stoppage of wastage and lower delays
These above changes will lead to greater economies of scale for transport operators and lead to more companies outsourcing their logistics operations
journey Consequently it will
reduce the need for extensive
documentation in inter-state
sales making it a lot easier
to transport goods than it is
currentlyrdquo Allcargo Logistics
posted on its blog
Therefore there lies a bigger
opportunity for the 3PL service
providers who can manage
these bigger routes and deliver
accurately and efficiently
The Indian logistics industry
constitutes around 14 percent
of the GDP which is greater
than the other developing
nations The 3PL logistics firms
are evolving from traditional
service delivery systems
to highly integrated and
technically equipped service
providers striving to meet the
service demands GST provides
them with ample opportunity
to invest and expand the 3PL
base in India
According to a report
by CARE Ratings post GST
Cover story | GST
implementation the 3PLs would
have to restructure its assets
and realign its operations in line
with changes in the operations
of its customers in the new
scenario Currently 3PLs have
warehouses located near major
distribution centers of its key
clients (different industries)
irrespective of its geographic
disadvantage mainly to avoid
interstate taxes However
post GST implementation
3PLs are expected to build
integrated warehouses at
logistic suitable locations
So accordingly their assets
would need to be restructured
to accommodate the long
distance consignments which
will occur with this scenario of
free movement of goods across
the country The consumer
durables sector is expected to
witness maximum drop in the
logistics costs as percentage of
total sales as their warehouses
are built at different states to
avoid interstate tax
The central taxes which will
be subsumed into the GST are
Central Excise duty Additional
Excise duty Service tax
Countervailing duty and Special
Additional duty of Customs
Also the state taxes which will
be subsumed by GST are Sales
tax Entertainment tax Central
APR - JUN 2017| wwwacaainewscom 7
Salex tax Octroi and Entry tax
Purchase tax Luxury tax and
Taxes on lottery betting and
gambling GST will be collected
at every stage of sale or
purchase of goods or services
based on input tax credit
method This simplification of
the taxation system would make
the inter-state transportation of
goods more efficient
IMPACt on SuPPLy CHAIn MAnAgeMentThe structure of the supply
chain is influenced by
differential taxes based on
geographical location By
eliminating multiple state taxes
the logistics companies are
encouraged to consolidate
their warehouses instead of
maintaining one in each state
to avoid central tax
This in effect brings the
overall cost of the product
down as the inventory cost
and inventory carrying cost is
down This directly affects the
final cost of the product bring
the selling price down The
cost saved by the companies
as a result of GST can be used
to invest further to improve
serviceability
One important highlight
that GSTrsquos implementation
will do is to reduce the time
taken at various check posts
while transporting goods
This in turn will reduce costs
for customers and logistics
companies making the latter
more efficient and profitable
Presently trucks are idle for
about 40 per cent of the total
travel time due to Central Sales
TaxOctroi payment
GST has the potential to
accelerate growth in the logistics
industry While industry pundits
still feel that many contentious
issues remain such as the clear
definition of supply supply
chain management through
warehouse engineering credit
allowance during the transition
phase etc there is general
consensus to welcome this new
tax regime
With GSTrsquos imminent
implementation the logistics
industry should start exploring
different supply chain models
with their clients and at the same
time develop a completely
synchronised ERP accounting
system to support inventory
supply management as required
under the GST regime
Nevertheless GST is still the
change the logistics industry is
eagerly awaiting as overall the
positive impact of GST far
outweighs the disadvantages for
this industry
Benefits for logistics industry post gSt implementation
Pre gSt PoSt gSt
Interstate tax burden
Currently each of Indiarsquos 29 states taxes goods that move across their borders at different rates apart from that Corporate state tax of 2 is levied for inter-state goods transfer
Not applicable Uniform taxation and no varying tax structures would be allowed across states
Nature of the industry
Current interstate taxation has resulted in a large number of unorganized players in this industry Resulting in fragmented industry
With the introduction of GST there is likely to be major consoli-dation in the industry It could see the emergence of major large players who can span the entire logistics chain
Logistic time Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Cost The existing interstate taxation system has forced the companies to create and maintain warehouses in each state Currently there are around 20-30 warehouses per company one in every state in addition to this 20-30 Carry amp Forwarding agents per state making the supply chain longer and inef-ficient
GST tax will be levied on transportation of goods and full credit will be available on interstate transactions Logistic costs are expected to be decreased by 15-200 of sales on account of optimization of warehouses leading to lower inventory costs which are set up across states to avoid paying 2 corporate sales tax and phasing out of interstate sales tax There is immense scope for optimization of costs
Sou
rce
Car
e Ra
ting
s
Critical business implications post gSt implementationSupply Chain reengineeringMany service providers have to revamp their supply chains realign their warehouses and logistics networks This gives tremendous opportunity to 3PL and 4PL logistics providers
transportationRe-organised manufacturing plants and warehouses would reduce the primary freight charges as they are located close to each other irrespective of which state they are in However secondary freight may increase because of the fewer warehouses
Consolidation and outsourcingWith the increase in the availability of organized and efficient players there is a possibility of consolidation Also this leads to the outsourcing of their logistics operations to logistics service providers
Skill set upgradation and service levelsThe need for optimally skilled and technically qualified workforce is likely to become a challenge Hence to cater to this need supply of skillful workforce should improve which in turn improves the service level of the company in its operations and meet the customer demands
AutomationBecause of the fewer warehouses the warehouses can be ramped up and equipped with state of the art technology to facilitate long term benefits Latest warehouse management systems (WMS) and modern robotics can be used for the effective and efficient warehouse management
APR - JUN 2017 | wwwacaainewscom8
India to surpass China incargo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading aviation company in the region It has also added a feather to its cap by completing 45 years of service to Indiarsquos business capital Mumbai The milestone was celebrated by adding the fifth cargo destination - Ahmedabad to its cargo network tadesse tilahun Regional Director India Sub Continent Ethiopian Airlines expressed optimism about Indian market On a tecircte-agrave-tecircte with rashmi Pradhan he vividly painted the strategy for India
interview | TadeSSe Tilahun
elaborate on the vision 2025 of
ethiopian Airlines
According to Ethiopiarsquos 15-year strategic
plan named Vision 2025 we aim to
become a leading and competitive
aviation group in Africa with seven
business centers Ethiopian Domestic and
Regional Airline Ethiopian International
Passenger Airline Ethiopian Cargo
Ethiopian MRO Ethiopian Aviation
Academy Ethiopian In-flight Catering
Services and Ethiopian Ground Service
Ethiopian is a multi-award winning airline
registering an average growth of 25
percent in the past seven years In fact
we have achieved most of the targets set
in Vision 2025 much in advance
tell us about the journey so far
between India and ethiopia
India is a growing aviation market and
very strategic for an airline like Ethiopian
Airlines The carrier started operations
from Delhi way back in 1960s However
we decided to terminate that service
and later in 1971 Ethiopian Airlines made
its debut flight to Mumbai one of its
oldest destinations in Asia Since then
we increased our airlift to 28 scheduled
weekly flights to both Mumbai and
New Delhi The 45 years of uninterrupted
service to Mumbai was a successful
journey but not a smooth ride There
were many challenges (like operational
cost political unrest in Africa etc) From
Mumbai we started with three flights a
day and then increased the frequency
to five flights Earlier it was a turnaround
flight at Bangkok As we witnessed
increase in passenger flow we started a
dedicated flight to Mumbai
How was the performance of
ethiopian Airlines last year
In the past three years we have made a
significant expansion in India Now we
have double daily flights from Mumbai and
New Delhi In terms of passenger traffic
we have registered double digit growth
We witnessed 15 percent year-on-year
growth from Mumbai and 10 percent
growth from New Delhi We have plans
APR - JUN 2017 | wwwacaainewscom8
EXCELLENCE IN MUMBAI
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom2
From the Presidents desk
We have entered the new financial
year with a difference from the
past years For the first time since
independence the presentation
of the Union Budget in Parliament
was advanced to the first day of February in 2017 as
compared to the earlier practice of presenting this
budget at the end of February each year As a result the
due process of approvals by the concerned authorities
could be completed by the end of March 2017 for
implementation of the budget provisions from April
1 2017 This is yet another instance of the numerous
reforms that the Union Government has been unveiling
since it assumed office almost three years ago with
the objective of doing away with legacy laws and
procedures which may have outlived their utility and
are therefore inadequate to meet the requirements of
the 21st century for a growing economy
The Goods and Services Tax (GST) legislation is making
rapid progress and it is expected to become law by July
1 2017 This path-breaking legislation will be a game
changer as it will unify the entire country into a single
market GST will subsume the various Indirect Taxes
which are levied by the Central and State Governments
such as Excise duty Service Tax Value Added Tax (VAT)
etc As in the case of any new legislation there are
bound to be teething problems which will be resolved
as and when the need arises The Union Government
has constituted a number of working groups for various
sectors and industries including the logistics and freight
forwarding industries to address their concerns about
GST The relevant issues have been jointly taken up by
ACAAI and several other associations with JM Kennedy
Hemant Bhatia President
Air Cargo Agents Association of India
(ACAAI)
who is in charge of the Working Group for GST for
Transport and Logistics
The dwell time of export and import cargo at airports in
India is amongst the highest in the world In the recent
past ACAAI has submitted its inputs to the concerned
authorities for streamlining the rules regulations and
procedures pertaining to the clearance of import and
export goods with the objective of reducing the dwell
time to global standards
In December 2016 Ministry of Civil Aviation issued
an order whereby the free period for import cargo
was reduced from 72 hours to 48 hours with effect
from April 1 2017 The order stated that the time of
reckoning of the free period would commence from
the segregation time which is reflected in ICEGATE
ACAAI submitted its representation to the Ministry
about the changes that are required in ICEGATE for the
efficient implementation of this Order As a result the
Ministry has issued a new order dated March 31 2017
whereby the segregation date and time indicated in
the segregation report should be jointly signed by the
airport operators airlines and customs These details
are to be reflected in the respective Airport Community
Systems for the purpose of the calculation of the
reduced free period of 48 hours This procedure will
continue until customs modify the ICEGATE system to
reflect the segregation date and time
In the recent past a few airlines have desired that
forwarders should furnish bank guarantees for utilising
their services ACAAI has taken up this issue with the
concerned airlines and expressed the inability of the
trade to provide such guarantees due to valid and
justifiable reasons Bank guarantees will substantially
increase the cost of business of the trade and many
agents will find it difficult to sustain their existing
business We are optimistic that the airlines will
understand the perspective and concerns of the trade
and that they will explore viable alternate solutions to
cover their business exposure
The planning for ACAAIrsquos Annual Convention for 2017
has commenced The dates and venue of this event
will be announced in due course
APR - JUN 2017| wwwacaainewscom 3
GST thegamechanger
APR - JUN 2017 | wwwacaainewscom4
Logistics industry set for a
smooth lift post GST
While the entire dynamics of transportation and logistics will undergo a sea change once GST is introduced it will lead to a leaner and fitter logistics industry which in turn will lead to greater efficiencies
Cover story | GST
SuryA KAnnotH amp rejI joHn
APR - JUN 2017| wwwacaainewscom 5
Goods amp Services
Tax (GST) for sure
remains one of
the two bold-play
initiatives taken by the reigning
government so far After years
of being entangled in political
knots debating a transparent
and efficient unified tax system
India is soon on its way to
become a clutter-free tax
highway
It (GST) looks on track
Subject to Parliament approval
it looks like the possible date of
implementation of GST is July
1 Finance Minister Arun Jaitley
said after the 11th GST Council
meet concluded
The three enabling GST bills
ndash Central GST Integrated GST
and Compensation to states
top the governmentrsquos agenda
during the second part of the
Budget session of Parliament
which will conclude on April 12
Indiarsquos logistics performance
at its key international
gateways has scaled up
significantly in the last two
years and that was evident
in the World Bankrsquos biennial
measure of international supply
chain efficiency report namely
the Logistics Performance
Index where Indiarsquos ranking
catapulted from 54 in 2014 to
35 in 2016
The introduction of GST
will further give impetus to the
transport and logistics industry
in India While the entire
dynamics of transportation
and logistics will undergo
a sea change once GST is
implemented it will lead to
a leaner and fitter logistics
industry which in turn will
lead to greater efficiencies
Both transport as well as
manufacturing companies
will be able to take better
advantage of the economies
of scale
Lauding the governmentrsquos
move Pirojshaw Sarkari CEO
Mahindra Logistics said ldquoThe
announcement of GST Council
finalising its recommendations
on almost all issues and timely
preparation of IT system
needs to be welcomed In an
endeavour to create awareness
about the new GST led taxation
system we support the
governmentrsquos move to reach-
out to trade and industryrdquo
Budget 2017-18 PuSHeS for InfrAStruCtureReadying the stage for GST
Jaitleyrsquos Budget proposal for
2017-18 laid special focus on
road and infrastructure sector
The Budget allocation for
highways was increased from
Rs 57976 crore in FY2016-17
to Rs 64900 crore in FY2017-
18 while 2000 km of coastal
connectivity roads have been
identified for construction and
development This will ensure
better connectivity with ports
and remote villages The total
length of roads including those
under the Pradhan Mantri Gram
Sadak Yojana (PMGSY) built
from 2014-15 till the current
year is about 140000 km
which is significantly higher
than previous three years
With an eye on improved
logistics across the country
in the future the finance
minister said ldquoAn effective
multi-modal logistics and
transport sector will make our
economy more competitive
A specific programme for
development of multi-modal
logistics parks together
with multi-modal transport
facilities will be drawn up and
implementedrdquo
APR - JUN 2017 | wwwacaainewscom6
AdvAntAge for 3PL ProvIderSImplementation of GST will
ensure that the nascent 3PL
further embeds itself in the
logistics space Market research
agency Novonous in its
recent report estimates that
3PL logistics market in India is
expected to be worth $30189
billion by 2020 By 2020 Indian
logistics market is expected to
grow at a CAGR of 1217 percent
primarily driven by the growth in
the manufacturing retail FMCG
and e-commerce sectors This
growth rate is also based on
the expectation of GST being
implemented and the logistics
companies can optimise their
operations to reduce cost and
increase their margins
Further it is the
implementation of the GST that
would increase productivity
and raise efficiency levels in
the logistics sector and the
economy as a whole According
to various industry estimates
freight times will come down
by 30-40 percent and logistics
costs are expected to reduce by
20-30 percent
Once GST is implemented
instead of maintaining smaller
warehouses in each and
every state the companies
will be setting up lesser and
bigger warehouses and can
follow hub and scope model
for freight movement from
warehouses to manufacturing
plants distributors and retailers
ldquoWith GST in place there
will be consolidation of
warehouses thus reducing the
time lost between transporting
from one warehouse to
another Shorter supply chain
cycles will entail lesser time
spent on unnecessary activities
like paperwork material
scrutiny at checkpoints
compliance with multiple
regulations etc This will make
it smoother for transport
companies as they will be
able to transport goods with
lesser stoppages and breaks in
Pho
to G
reyO
ran
ge
Model of Indian Logistics Industry post gSt India becomes one big market there will be fewer
and larger warehouses
GST will result in larger trucks on road while the overall number of vehicles will go down The new tax will result in greater adoption of a hub-and-spoke model in segments such as warehousing cold chain container freight stations and inland container depots
GST will also bring in scale to logistics companies as there will be a lot of savings stoppage of wastage and lower delays
These above changes will lead to greater economies of scale for transport operators and lead to more companies outsourcing their logistics operations
journey Consequently it will
reduce the need for extensive
documentation in inter-state
sales making it a lot easier
to transport goods than it is
currentlyrdquo Allcargo Logistics
posted on its blog
Therefore there lies a bigger
opportunity for the 3PL service
providers who can manage
these bigger routes and deliver
accurately and efficiently
The Indian logistics industry
constitutes around 14 percent
of the GDP which is greater
than the other developing
nations The 3PL logistics firms
are evolving from traditional
service delivery systems
to highly integrated and
technically equipped service
providers striving to meet the
service demands GST provides
them with ample opportunity
to invest and expand the 3PL
base in India
According to a report
by CARE Ratings post GST
Cover story | GST
implementation the 3PLs would
have to restructure its assets
and realign its operations in line
with changes in the operations
of its customers in the new
scenario Currently 3PLs have
warehouses located near major
distribution centers of its key
clients (different industries)
irrespective of its geographic
disadvantage mainly to avoid
interstate taxes However
post GST implementation
3PLs are expected to build
integrated warehouses at
logistic suitable locations
So accordingly their assets
would need to be restructured
to accommodate the long
distance consignments which
will occur with this scenario of
free movement of goods across
the country The consumer
durables sector is expected to
witness maximum drop in the
logistics costs as percentage of
total sales as their warehouses
are built at different states to
avoid interstate tax
The central taxes which will
be subsumed into the GST are
Central Excise duty Additional
Excise duty Service tax
Countervailing duty and Special
Additional duty of Customs
Also the state taxes which will
be subsumed by GST are Sales
tax Entertainment tax Central
APR - JUN 2017| wwwacaainewscom 7
Salex tax Octroi and Entry tax
Purchase tax Luxury tax and
Taxes on lottery betting and
gambling GST will be collected
at every stage of sale or
purchase of goods or services
based on input tax credit
method This simplification of
the taxation system would make
the inter-state transportation of
goods more efficient
IMPACt on SuPPLy CHAIn MAnAgeMentThe structure of the supply
chain is influenced by
differential taxes based on
geographical location By
eliminating multiple state taxes
the logistics companies are
encouraged to consolidate
their warehouses instead of
maintaining one in each state
to avoid central tax
This in effect brings the
overall cost of the product
down as the inventory cost
and inventory carrying cost is
down This directly affects the
final cost of the product bring
the selling price down The
cost saved by the companies
as a result of GST can be used
to invest further to improve
serviceability
One important highlight
that GSTrsquos implementation
will do is to reduce the time
taken at various check posts
while transporting goods
This in turn will reduce costs
for customers and logistics
companies making the latter
more efficient and profitable
Presently trucks are idle for
about 40 per cent of the total
travel time due to Central Sales
TaxOctroi payment
GST has the potential to
accelerate growth in the logistics
industry While industry pundits
still feel that many contentious
issues remain such as the clear
definition of supply supply
chain management through
warehouse engineering credit
allowance during the transition
phase etc there is general
consensus to welcome this new
tax regime
With GSTrsquos imminent
implementation the logistics
industry should start exploring
different supply chain models
with their clients and at the same
time develop a completely
synchronised ERP accounting
system to support inventory
supply management as required
under the GST regime
Nevertheless GST is still the
change the logistics industry is
eagerly awaiting as overall the
positive impact of GST far
outweighs the disadvantages for
this industry
Benefits for logistics industry post gSt implementation
Pre gSt PoSt gSt
Interstate tax burden
Currently each of Indiarsquos 29 states taxes goods that move across their borders at different rates apart from that Corporate state tax of 2 is levied for inter-state goods transfer
Not applicable Uniform taxation and no varying tax structures would be allowed across states
Nature of the industry
Current interstate taxation has resulted in a large number of unorganized players in this industry Resulting in fragmented industry
With the introduction of GST there is likely to be major consoli-dation in the industry It could see the emergence of major large players who can span the entire logistics chain
Logistic time Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Cost The existing interstate taxation system has forced the companies to create and maintain warehouses in each state Currently there are around 20-30 warehouses per company one in every state in addition to this 20-30 Carry amp Forwarding agents per state making the supply chain longer and inef-ficient
GST tax will be levied on transportation of goods and full credit will be available on interstate transactions Logistic costs are expected to be decreased by 15-200 of sales on account of optimization of warehouses leading to lower inventory costs which are set up across states to avoid paying 2 corporate sales tax and phasing out of interstate sales tax There is immense scope for optimization of costs
Sou
rce
Car
e Ra
ting
s
Critical business implications post gSt implementationSupply Chain reengineeringMany service providers have to revamp their supply chains realign their warehouses and logistics networks This gives tremendous opportunity to 3PL and 4PL logistics providers
transportationRe-organised manufacturing plants and warehouses would reduce the primary freight charges as they are located close to each other irrespective of which state they are in However secondary freight may increase because of the fewer warehouses
Consolidation and outsourcingWith the increase in the availability of organized and efficient players there is a possibility of consolidation Also this leads to the outsourcing of their logistics operations to logistics service providers
Skill set upgradation and service levelsThe need for optimally skilled and technically qualified workforce is likely to become a challenge Hence to cater to this need supply of skillful workforce should improve which in turn improves the service level of the company in its operations and meet the customer demands
AutomationBecause of the fewer warehouses the warehouses can be ramped up and equipped with state of the art technology to facilitate long term benefits Latest warehouse management systems (WMS) and modern robotics can be used for the effective and efficient warehouse management
APR - JUN 2017 | wwwacaainewscom8
India to surpass China incargo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading aviation company in the region It has also added a feather to its cap by completing 45 years of service to Indiarsquos business capital Mumbai The milestone was celebrated by adding the fifth cargo destination - Ahmedabad to its cargo network tadesse tilahun Regional Director India Sub Continent Ethiopian Airlines expressed optimism about Indian market On a tecircte-agrave-tecircte with rashmi Pradhan he vividly painted the strategy for India
interview | TadeSSe Tilahun
elaborate on the vision 2025 of
ethiopian Airlines
According to Ethiopiarsquos 15-year strategic
plan named Vision 2025 we aim to
become a leading and competitive
aviation group in Africa with seven
business centers Ethiopian Domestic and
Regional Airline Ethiopian International
Passenger Airline Ethiopian Cargo
Ethiopian MRO Ethiopian Aviation
Academy Ethiopian In-flight Catering
Services and Ethiopian Ground Service
Ethiopian is a multi-award winning airline
registering an average growth of 25
percent in the past seven years In fact
we have achieved most of the targets set
in Vision 2025 much in advance
tell us about the journey so far
between India and ethiopia
India is a growing aviation market and
very strategic for an airline like Ethiopian
Airlines The carrier started operations
from Delhi way back in 1960s However
we decided to terminate that service
and later in 1971 Ethiopian Airlines made
its debut flight to Mumbai one of its
oldest destinations in Asia Since then
we increased our airlift to 28 scheduled
weekly flights to both Mumbai and
New Delhi The 45 years of uninterrupted
service to Mumbai was a successful
journey but not a smooth ride There
were many challenges (like operational
cost political unrest in Africa etc) From
Mumbai we started with three flights a
day and then increased the frequency
to five flights Earlier it was a turnaround
flight at Bangkok As we witnessed
increase in passenger flow we started a
dedicated flight to Mumbai
How was the performance of
ethiopian Airlines last year
In the past three years we have made a
significant expansion in India Now we
have double daily flights from Mumbai and
New Delhi In terms of passenger traffic
we have registered double digit growth
We witnessed 15 percent year-on-year
growth from Mumbai and 10 percent
growth from New Delhi We have plans
APR - JUN 2017 | wwwacaainewscom8
EXCELLENCE IN MUMBAI
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
We have entered the new financial
year with a difference from the
past years For the first time since
independence the presentation
of the Union Budget in Parliament
was advanced to the first day of February in 2017 as
compared to the earlier practice of presenting this
budget at the end of February each year As a result the
due process of approvals by the concerned authorities
could be completed by the end of March 2017 for
implementation of the budget provisions from April
1 2017 This is yet another instance of the numerous
reforms that the Union Government has been unveiling
since it assumed office almost three years ago with
the objective of doing away with legacy laws and
procedures which may have outlived their utility and
are therefore inadequate to meet the requirements of
the 21st century for a growing economy
The Goods and Services Tax (GST) legislation is making
rapid progress and it is expected to become law by July
1 2017 This path-breaking legislation will be a game
changer as it will unify the entire country into a single
market GST will subsume the various Indirect Taxes
which are levied by the Central and State Governments
such as Excise duty Service Tax Value Added Tax (VAT)
etc As in the case of any new legislation there are
bound to be teething problems which will be resolved
as and when the need arises The Union Government
has constituted a number of working groups for various
sectors and industries including the logistics and freight
forwarding industries to address their concerns about
GST The relevant issues have been jointly taken up by
ACAAI and several other associations with JM Kennedy
Hemant Bhatia President
Air Cargo Agents Association of India
(ACAAI)
who is in charge of the Working Group for GST for
Transport and Logistics
The dwell time of export and import cargo at airports in
India is amongst the highest in the world In the recent
past ACAAI has submitted its inputs to the concerned
authorities for streamlining the rules regulations and
procedures pertaining to the clearance of import and
export goods with the objective of reducing the dwell
time to global standards
In December 2016 Ministry of Civil Aviation issued
an order whereby the free period for import cargo
was reduced from 72 hours to 48 hours with effect
from April 1 2017 The order stated that the time of
reckoning of the free period would commence from
the segregation time which is reflected in ICEGATE
ACAAI submitted its representation to the Ministry
about the changes that are required in ICEGATE for the
efficient implementation of this Order As a result the
Ministry has issued a new order dated March 31 2017
whereby the segregation date and time indicated in
the segregation report should be jointly signed by the
airport operators airlines and customs These details
are to be reflected in the respective Airport Community
Systems for the purpose of the calculation of the
reduced free period of 48 hours This procedure will
continue until customs modify the ICEGATE system to
reflect the segregation date and time
In the recent past a few airlines have desired that
forwarders should furnish bank guarantees for utilising
their services ACAAI has taken up this issue with the
concerned airlines and expressed the inability of the
trade to provide such guarantees due to valid and
justifiable reasons Bank guarantees will substantially
increase the cost of business of the trade and many
agents will find it difficult to sustain their existing
business We are optimistic that the airlines will
understand the perspective and concerns of the trade
and that they will explore viable alternate solutions to
cover their business exposure
The planning for ACAAIrsquos Annual Convention for 2017
has commenced The dates and venue of this event
will be announced in due course
APR - JUN 2017| wwwacaainewscom 3
GST thegamechanger
APR - JUN 2017 | wwwacaainewscom4
Logistics industry set for a
smooth lift post GST
While the entire dynamics of transportation and logistics will undergo a sea change once GST is introduced it will lead to a leaner and fitter logistics industry which in turn will lead to greater efficiencies
Cover story | GST
SuryA KAnnotH amp rejI joHn
APR - JUN 2017| wwwacaainewscom 5
Goods amp Services
Tax (GST) for sure
remains one of
the two bold-play
initiatives taken by the reigning
government so far After years
of being entangled in political
knots debating a transparent
and efficient unified tax system
India is soon on its way to
become a clutter-free tax
highway
It (GST) looks on track
Subject to Parliament approval
it looks like the possible date of
implementation of GST is July
1 Finance Minister Arun Jaitley
said after the 11th GST Council
meet concluded
The three enabling GST bills
ndash Central GST Integrated GST
and Compensation to states
top the governmentrsquos agenda
during the second part of the
Budget session of Parliament
which will conclude on April 12
Indiarsquos logistics performance
at its key international
gateways has scaled up
significantly in the last two
years and that was evident
in the World Bankrsquos biennial
measure of international supply
chain efficiency report namely
the Logistics Performance
Index where Indiarsquos ranking
catapulted from 54 in 2014 to
35 in 2016
The introduction of GST
will further give impetus to the
transport and logistics industry
in India While the entire
dynamics of transportation
and logistics will undergo
a sea change once GST is
implemented it will lead to
a leaner and fitter logistics
industry which in turn will
lead to greater efficiencies
Both transport as well as
manufacturing companies
will be able to take better
advantage of the economies
of scale
Lauding the governmentrsquos
move Pirojshaw Sarkari CEO
Mahindra Logistics said ldquoThe
announcement of GST Council
finalising its recommendations
on almost all issues and timely
preparation of IT system
needs to be welcomed In an
endeavour to create awareness
about the new GST led taxation
system we support the
governmentrsquos move to reach-
out to trade and industryrdquo
Budget 2017-18 PuSHeS for InfrAStruCtureReadying the stage for GST
Jaitleyrsquos Budget proposal for
2017-18 laid special focus on
road and infrastructure sector
The Budget allocation for
highways was increased from
Rs 57976 crore in FY2016-17
to Rs 64900 crore in FY2017-
18 while 2000 km of coastal
connectivity roads have been
identified for construction and
development This will ensure
better connectivity with ports
and remote villages The total
length of roads including those
under the Pradhan Mantri Gram
Sadak Yojana (PMGSY) built
from 2014-15 till the current
year is about 140000 km
which is significantly higher
than previous three years
With an eye on improved
logistics across the country
in the future the finance
minister said ldquoAn effective
multi-modal logistics and
transport sector will make our
economy more competitive
A specific programme for
development of multi-modal
logistics parks together
with multi-modal transport
facilities will be drawn up and
implementedrdquo
APR - JUN 2017 | wwwacaainewscom6
AdvAntAge for 3PL ProvIderSImplementation of GST will
ensure that the nascent 3PL
further embeds itself in the
logistics space Market research
agency Novonous in its
recent report estimates that
3PL logistics market in India is
expected to be worth $30189
billion by 2020 By 2020 Indian
logistics market is expected to
grow at a CAGR of 1217 percent
primarily driven by the growth in
the manufacturing retail FMCG
and e-commerce sectors This
growth rate is also based on
the expectation of GST being
implemented and the logistics
companies can optimise their
operations to reduce cost and
increase their margins
Further it is the
implementation of the GST that
would increase productivity
and raise efficiency levels in
the logistics sector and the
economy as a whole According
to various industry estimates
freight times will come down
by 30-40 percent and logistics
costs are expected to reduce by
20-30 percent
Once GST is implemented
instead of maintaining smaller
warehouses in each and
every state the companies
will be setting up lesser and
bigger warehouses and can
follow hub and scope model
for freight movement from
warehouses to manufacturing
plants distributors and retailers
ldquoWith GST in place there
will be consolidation of
warehouses thus reducing the
time lost between transporting
from one warehouse to
another Shorter supply chain
cycles will entail lesser time
spent on unnecessary activities
like paperwork material
scrutiny at checkpoints
compliance with multiple
regulations etc This will make
it smoother for transport
companies as they will be
able to transport goods with
lesser stoppages and breaks in
Pho
to G
reyO
ran
ge
Model of Indian Logistics Industry post gSt India becomes one big market there will be fewer
and larger warehouses
GST will result in larger trucks on road while the overall number of vehicles will go down The new tax will result in greater adoption of a hub-and-spoke model in segments such as warehousing cold chain container freight stations and inland container depots
GST will also bring in scale to logistics companies as there will be a lot of savings stoppage of wastage and lower delays
These above changes will lead to greater economies of scale for transport operators and lead to more companies outsourcing their logistics operations
journey Consequently it will
reduce the need for extensive
documentation in inter-state
sales making it a lot easier
to transport goods than it is
currentlyrdquo Allcargo Logistics
posted on its blog
Therefore there lies a bigger
opportunity for the 3PL service
providers who can manage
these bigger routes and deliver
accurately and efficiently
The Indian logistics industry
constitutes around 14 percent
of the GDP which is greater
than the other developing
nations The 3PL logistics firms
are evolving from traditional
service delivery systems
to highly integrated and
technically equipped service
providers striving to meet the
service demands GST provides
them with ample opportunity
to invest and expand the 3PL
base in India
According to a report
by CARE Ratings post GST
Cover story | GST
implementation the 3PLs would
have to restructure its assets
and realign its operations in line
with changes in the operations
of its customers in the new
scenario Currently 3PLs have
warehouses located near major
distribution centers of its key
clients (different industries)
irrespective of its geographic
disadvantage mainly to avoid
interstate taxes However
post GST implementation
3PLs are expected to build
integrated warehouses at
logistic suitable locations
So accordingly their assets
would need to be restructured
to accommodate the long
distance consignments which
will occur with this scenario of
free movement of goods across
the country The consumer
durables sector is expected to
witness maximum drop in the
logistics costs as percentage of
total sales as their warehouses
are built at different states to
avoid interstate tax
The central taxes which will
be subsumed into the GST are
Central Excise duty Additional
Excise duty Service tax
Countervailing duty and Special
Additional duty of Customs
Also the state taxes which will
be subsumed by GST are Sales
tax Entertainment tax Central
APR - JUN 2017| wwwacaainewscom 7
Salex tax Octroi and Entry tax
Purchase tax Luxury tax and
Taxes on lottery betting and
gambling GST will be collected
at every stage of sale or
purchase of goods or services
based on input tax credit
method This simplification of
the taxation system would make
the inter-state transportation of
goods more efficient
IMPACt on SuPPLy CHAIn MAnAgeMentThe structure of the supply
chain is influenced by
differential taxes based on
geographical location By
eliminating multiple state taxes
the logistics companies are
encouraged to consolidate
their warehouses instead of
maintaining one in each state
to avoid central tax
This in effect brings the
overall cost of the product
down as the inventory cost
and inventory carrying cost is
down This directly affects the
final cost of the product bring
the selling price down The
cost saved by the companies
as a result of GST can be used
to invest further to improve
serviceability
One important highlight
that GSTrsquos implementation
will do is to reduce the time
taken at various check posts
while transporting goods
This in turn will reduce costs
for customers and logistics
companies making the latter
more efficient and profitable
Presently trucks are idle for
about 40 per cent of the total
travel time due to Central Sales
TaxOctroi payment
GST has the potential to
accelerate growth in the logistics
industry While industry pundits
still feel that many contentious
issues remain such as the clear
definition of supply supply
chain management through
warehouse engineering credit
allowance during the transition
phase etc there is general
consensus to welcome this new
tax regime
With GSTrsquos imminent
implementation the logistics
industry should start exploring
different supply chain models
with their clients and at the same
time develop a completely
synchronised ERP accounting
system to support inventory
supply management as required
under the GST regime
Nevertheless GST is still the
change the logistics industry is
eagerly awaiting as overall the
positive impact of GST far
outweighs the disadvantages for
this industry
Benefits for logistics industry post gSt implementation
Pre gSt PoSt gSt
Interstate tax burden
Currently each of Indiarsquos 29 states taxes goods that move across their borders at different rates apart from that Corporate state tax of 2 is levied for inter-state goods transfer
Not applicable Uniform taxation and no varying tax structures would be allowed across states
Nature of the industry
Current interstate taxation has resulted in a large number of unorganized players in this industry Resulting in fragmented industry
With the introduction of GST there is likely to be major consoli-dation in the industry It could see the emergence of major large players who can span the entire logistics chain
Logistic time Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Cost The existing interstate taxation system has forced the companies to create and maintain warehouses in each state Currently there are around 20-30 warehouses per company one in every state in addition to this 20-30 Carry amp Forwarding agents per state making the supply chain longer and inef-ficient
GST tax will be levied on transportation of goods and full credit will be available on interstate transactions Logistic costs are expected to be decreased by 15-200 of sales on account of optimization of warehouses leading to lower inventory costs which are set up across states to avoid paying 2 corporate sales tax and phasing out of interstate sales tax There is immense scope for optimization of costs
Sou
rce
Car
e Ra
ting
s
Critical business implications post gSt implementationSupply Chain reengineeringMany service providers have to revamp their supply chains realign their warehouses and logistics networks This gives tremendous opportunity to 3PL and 4PL logistics providers
transportationRe-organised manufacturing plants and warehouses would reduce the primary freight charges as they are located close to each other irrespective of which state they are in However secondary freight may increase because of the fewer warehouses
Consolidation and outsourcingWith the increase in the availability of organized and efficient players there is a possibility of consolidation Also this leads to the outsourcing of their logistics operations to logistics service providers
Skill set upgradation and service levelsThe need for optimally skilled and technically qualified workforce is likely to become a challenge Hence to cater to this need supply of skillful workforce should improve which in turn improves the service level of the company in its operations and meet the customer demands
AutomationBecause of the fewer warehouses the warehouses can be ramped up and equipped with state of the art technology to facilitate long term benefits Latest warehouse management systems (WMS) and modern robotics can be used for the effective and efficient warehouse management
APR - JUN 2017 | wwwacaainewscom8
India to surpass China incargo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading aviation company in the region It has also added a feather to its cap by completing 45 years of service to Indiarsquos business capital Mumbai The milestone was celebrated by adding the fifth cargo destination - Ahmedabad to its cargo network tadesse tilahun Regional Director India Sub Continent Ethiopian Airlines expressed optimism about Indian market On a tecircte-agrave-tecircte with rashmi Pradhan he vividly painted the strategy for India
interview | TadeSSe Tilahun
elaborate on the vision 2025 of
ethiopian Airlines
According to Ethiopiarsquos 15-year strategic
plan named Vision 2025 we aim to
become a leading and competitive
aviation group in Africa with seven
business centers Ethiopian Domestic and
Regional Airline Ethiopian International
Passenger Airline Ethiopian Cargo
Ethiopian MRO Ethiopian Aviation
Academy Ethiopian In-flight Catering
Services and Ethiopian Ground Service
Ethiopian is a multi-award winning airline
registering an average growth of 25
percent in the past seven years In fact
we have achieved most of the targets set
in Vision 2025 much in advance
tell us about the journey so far
between India and ethiopia
India is a growing aviation market and
very strategic for an airline like Ethiopian
Airlines The carrier started operations
from Delhi way back in 1960s However
we decided to terminate that service
and later in 1971 Ethiopian Airlines made
its debut flight to Mumbai one of its
oldest destinations in Asia Since then
we increased our airlift to 28 scheduled
weekly flights to both Mumbai and
New Delhi The 45 years of uninterrupted
service to Mumbai was a successful
journey but not a smooth ride There
were many challenges (like operational
cost political unrest in Africa etc) From
Mumbai we started with three flights a
day and then increased the frequency
to five flights Earlier it was a turnaround
flight at Bangkok As we witnessed
increase in passenger flow we started a
dedicated flight to Mumbai
How was the performance of
ethiopian Airlines last year
In the past three years we have made a
significant expansion in India Now we
have double daily flights from Mumbai and
New Delhi In terms of passenger traffic
we have registered double digit growth
We witnessed 15 percent year-on-year
growth from Mumbai and 10 percent
growth from New Delhi We have plans
APR - JUN 2017 | wwwacaainewscom8
EXCELLENCE IN MUMBAI
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom4
Logistics industry set for a
smooth lift post GST
While the entire dynamics of transportation and logistics will undergo a sea change once GST is introduced it will lead to a leaner and fitter logistics industry which in turn will lead to greater efficiencies
Cover story | GST
SuryA KAnnotH amp rejI joHn
APR - JUN 2017| wwwacaainewscom 5
Goods amp Services
Tax (GST) for sure
remains one of
the two bold-play
initiatives taken by the reigning
government so far After years
of being entangled in political
knots debating a transparent
and efficient unified tax system
India is soon on its way to
become a clutter-free tax
highway
It (GST) looks on track
Subject to Parliament approval
it looks like the possible date of
implementation of GST is July
1 Finance Minister Arun Jaitley
said after the 11th GST Council
meet concluded
The three enabling GST bills
ndash Central GST Integrated GST
and Compensation to states
top the governmentrsquos agenda
during the second part of the
Budget session of Parliament
which will conclude on April 12
Indiarsquos logistics performance
at its key international
gateways has scaled up
significantly in the last two
years and that was evident
in the World Bankrsquos biennial
measure of international supply
chain efficiency report namely
the Logistics Performance
Index where Indiarsquos ranking
catapulted from 54 in 2014 to
35 in 2016
The introduction of GST
will further give impetus to the
transport and logistics industry
in India While the entire
dynamics of transportation
and logistics will undergo
a sea change once GST is
implemented it will lead to
a leaner and fitter logistics
industry which in turn will
lead to greater efficiencies
Both transport as well as
manufacturing companies
will be able to take better
advantage of the economies
of scale
Lauding the governmentrsquos
move Pirojshaw Sarkari CEO
Mahindra Logistics said ldquoThe
announcement of GST Council
finalising its recommendations
on almost all issues and timely
preparation of IT system
needs to be welcomed In an
endeavour to create awareness
about the new GST led taxation
system we support the
governmentrsquos move to reach-
out to trade and industryrdquo
Budget 2017-18 PuSHeS for InfrAStruCtureReadying the stage for GST
Jaitleyrsquos Budget proposal for
2017-18 laid special focus on
road and infrastructure sector
The Budget allocation for
highways was increased from
Rs 57976 crore in FY2016-17
to Rs 64900 crore in FY2017-
18 while 2000 km of coastal
connectivity roads have been
identified for construction and
development This will ensure
better connectivity with ports
and remote villages The total
length of roads including those
under the Pradhan Mantri Gram
Sadak Yojana (PMGSY) built
from 2014-15 till the current
year is about 140000 km
which is significantly higher
than previous three years
With an eye on improved
logistics across the country
in the future the finance
minister said ldquoAn effective
multi-modal logistics and
transport sector will make our
economy more competitive
A specific programme for
development of multi-modal
logistics parks together
with multi-modal transport
facilities will be drawn up and
implementedrdquo
APR - JUN 2017 | wwwacaainewscom6
AdvAntAge for 3PL ProvIderSImplementation of GST will
ensure that the nascent 3PL
further embeds itself in the
logistics space Market research
agency Novonous in its
recent report estimates that
3PL logistics market in India is
expected to be worth $30189
billion by 2020 By 2020 Indian
logistics market is expected to
grow at a CAGR of 1217 percent
primarily driven by the growth in
the manufacturing retail FMCG
and e-commerce sectors This
growth rate is also based on
the expectation of GST being
implemented and the logistics
companies can optimise their
operations to reduce cost and
increase their margins
Further it is the
implementation of the GST that
would increase productivity
and raise efficiency levels in
the logistics sector and the
economy as a whole According
to various industry estimates
freight times will come down
by 30-40 percent and logistics
costs are expected to reduce by
20-30 percent
Once GST is implemented
instead of maintaining smaller
warehouses in each and
every state the companies
will be setting up lesser and
bigger warehouses and can
follow hub and scope model
for freight movement from
warehouses to manufacturing
plants distributors and retailers
ldquoWith GST in place there
will be consolidation of
warehouses thus reducing the
time lost between transporting
from one warehouse to
another Shorter supply chain
cycles will entail lesser time
spent on unnecessary activities
like paperwork material
scrutiny at checkpoints
compliance with multiple
regulations etc This will make
it smoother for transport
companies as they will be
able to transport goods with
lesser stoppages and breaks in
Pho
to G
reyO
ran
ge
Model of Indian Logistics Industry post gSt India becomes one big market there will be fewer
and larger warehouses
GST will result in larger trucks on road while the overall number of vehicles will go down The new tax will result in greater adoption of a hub-and-spoke model in segments such as warehousing cold chain container freight stations and inland container depots
GST will also bring in scale to logistics companies as there will be a lot of savings stoppage of wastage and lower delays
These above changes will lead to greater economies of scale for transport operators and lead to more companies outsourcing their logistics operations
journey Consequently it will
reduce the need for extensive
documentation in inter-state
sales making it a lot easier
to transport goods than it is
currentlyrdquo Allcargo Logistics
posted on its blog
Therefore there lies a bigger
opportunity for the 3PL service
providers who can manage
these bigger routes and deliver
accurately and efficiently
The Indian logistics industry
constitutes around 14 percent
of the GDP which is greater
than the other developing
nations The 3PL logistics firms
are evolving from traditional
service delivery systems
to highly integrated and
technically equipped service
providers striving to meet the
service demands GST provides
them with ample opportunity
to invest and expand the 3PL
base in India
According to a report
by CARE Ratings post GST
Cover story | GST
implementation the 3PLs would
have to restructure its assets
and realign its operations in line
with changes in the operations
of its customers in the new
scenario Currently 3PLs have
warehouses located near major
distribution centers of its key
clients (different industries)
irrespective of its geographic
disadvantage mainly to avoid
interstate taxes However
post GST implementation
3PLs are expected to build
integrated warehouses at
logistic suitable locations
So accordingly their assets
would need to be restructured
to accommodate the long
distance consignments which
will occur with this scenario of
free movement of goods across
the country The consumer
durables sector is expected to
witness maximum drop in the
logistics costs as percentage of
total sales as their warehouses
are built at different states to
avoid interstate tax
The central taxes which will
be subsumed into the GST are
Central Excise duty Additional
Excise duty Service tax
Countervailing duty and Special
Additional duty of Customs
Also the state taxes which will
be subsumed by GST are Sales
tax Entertainment tax Central
APR - JUN 2017| wwwacaainewscom 7
Salex tax Octroi and Entry tax
Purchase tax Luxury tax and
Taxes on lottery betting and
gambling GST will be collected
at every stage of sale or
purchase of goods or services
based on input tax credit
method This simplification of
the taxation system would make
the inter-state transportation of
goods more efficient
IMPACt on SuPPLy CHAIn MAnAgeMentThe structure of the supply
chain is influenced by
differential taxes based on
geographical location By
eliminating multiple state taxes
the logistics companies are
encouraged to consolidate
their warehouses instead of
maintaining one in each state
to avoid central tax
This in effect brings the
overall cost of the product
down as the inventory cost
and inventory carrying cost is
down This directly affects the
final cost of the product bring
the selling price down The
cost saved by the companies
as a result of GST can be used
to invest further to improve
serviceability
One important highlight
that GSTrsquos implementation
will do is to reduce the time
taken at various check posts
while transporting goods
This in turn will reduce costs
for customers and logistics
companies making the latter
more efficient and profitable
Presently trucks are idle for
about 40 per cent of the total
travel time due to Central Sales
TaxOctroi payment
GST has the potential to
accelerate growth in the logistics
industry While industry pundits
still feel that many contentious
issues remain such as the clear
definition of supply supply
chain management through
warehouse engineering credit
allowance during the transition
phase etc there is general
consensus to welcome this new
tax regime
With GSTrsquos imminent
implementation the logistics
industry should start exploring
different supply chain models
with their clients and at the same
time develop a completely
synchronised ERP accounting
system to support inventory
supply management as required
under the GST regime
Nevertheless GST is still the
change the logistics industry is
eagerly awaiting as overall the
positive impact of GST far
outweighs the disadvantages for
this industry
Benefits for logistics industry post gSt implementation
Pre gSt PoSt gSt
Interstate tax burden
Currently each of Indiarsquos 29 states taxes goods that move across their borders at different rates apart from that Corporate state tax of 2 is levied for inter-state goods transfer
Not applicable Uniform taxation and no varying tax structures would be allowed across states
Nature of the industry
Current interstate taxation has resulted in a large number of unorganized players in this industry Resulting in fragmented industry
With the introduction of GST there is likely to be major consoli-dation in the industry It could see the emergence of major large players who can span the entire logistics chain
Logistic time Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Cost The existing interstate taxation system has forced the companies to create and maintain warehouses in each state Currently there are around 20-30 warehouses per company one in every state in addition to this 20-30 Carry amp Forwarding agents per state making the supply chain longer and inef-ficient
GST tax will be levied on transportation of goods and full credit will be available on interstate transactions Logistic costs are expected to be decreased by 15-200 of sales on account of optimization of warehouses leading to lower inventory costs which are set up across states to avoid paying 2 corporate sales tax and phasing out of interstate sales tax There is immense scope for optimization of costs
Sou
rce
Car
e Ra
ting
s
Critical business implications post gSt implementationSupply Chain reengineeringMany service providers have to revamp their supply chains realign their warehouses and logistics networks This gives tremendous opportunity to 3PL and 4PL logistics providers
transportationRe-organised manufacturing plants and warehouses would reduce the primary freight charges as they are located close to each other irrespective of which state they are in However secondary freight may increase because of the fewer warehouses
Consolidation and outsourcingWith the increase in the availability of organized and efficient players there is a possibility of consolidation Also this leads to the outsourcing of their logistics operations to logistics service providers
Skill set upgradation and service levelsThe need for optimally skilled and technically qualified workforce is likely to become a challenge Hence to cater to this need supply of skillful workforce should improve which in turn improves the service level of the company in its operations and meet the customer demands
AutomationBecause of the fewer warehouses the warehouses can be ramped up and equipped with state of the art technology to facilitate long term benefits Latest warehouse management systems (WMS) and modern robotics can be used for the effective and efficient warehouse management
APR - JUN 2017 | wwwacaainewscom8
India to surpass China incargo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading aviation company in the region It has also added a feather to its cap by completing 45 years of service to Indiarsquos business capital Mumbai The milestone was celebrated by adding the fifth cargo destination - Ahmedabad to its cargo network tadesse tilahun Regional Director India Sub Continent Ethiopian Airlines expressed optimism about Indian market On a tecircte-agrave-tecircte with rashmi Pradhan he vividly painted the strategy for India
interview | TadeSSe Tilahun
elaborate on the vision 2025 of
ethiopian Airlines
According to Ethiopiarsquos 15-year strategic
plan named Vision 2025 we aim to
become a leading and competitive
aviation group in Africa with seven
business centers Ethiopian Domestic and
Regional Airline Ethiopian International
Passenger Airline Ethiopian Cargo
Ethiopian MRO Ethiopian Aviation
Academy Ethiopian In-flight Catering
Services and Ethiopian Ground Service
Ethiopian is a multi-award winning airline
registering an average growth of 25
percent in the past seven years In fact
we have achieved most of the targets set
in Vision 2025 much in advance
tell us about the journey so far
between India and ethiopia
India is a growing aviation market and
very strategic for an airline like Ethiopian
Airlines The carrier started operations
from Delhi way back in 1960s However
we decided to terminate that service
and later in 1971 Ethiopian Airlines made
its debut flight to Mumbai one of its
oldest destinations in Asia Since then
we increased our airlift to 28 scheduled
weekly flights to both Mumbai and
New Delhi The 45 years of uninterrupted
service to Mumbai was a successful
journey but not a smooth ride There
were many challenges (like operational
cost political unrest in Africa etc) From
Mumbai we started with three flights a
day and then increased the frequency
to five flights Earlier it was a turnaround
flight at Bangkok As we witnessed
increase in passenger flow we started a
dedicated flight to Mumbai
How was the performance of
ethiopian Airlines last year
In the past three years we have made a
significant expansion in India Now we
have double daily flights from Mumbai and
New Delhi In terms of passenger traffic
we have registered double digit growth
We witnessed 15 percent year-on-year
growth from Mumbai and 10 percent
growth from New Delhi We have plans
APR - JUN 2017 | wwwacaainewscom8
EXCELLENCE IN MUMBAI
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017| wwwacaainewscom 5
Goods amp Services
Tax (GST) for sure
remains one of
the two bold-play
initiatives taken by the reigning
government so far After years
of being entangled in political
knots debating a transparent
and efficient unified tax system
India is soon on its way to
become a clutter-free tax
highway
It (GST) looks on track
Subject to Parliament approval
it looks like the possible date of
implementation of GST is July
1 Finance Minister Arun Jaitley
said after the 11th GST Council
meet concluded
The three enabling GST bills
ndash Central GST Integrated GST
and Compensation to states
top the governmentrsquos agenda
during the second part of the
Budget session of Parliament
which will conclude on April 12
Indiarsquos logistics performance
at its key international
gateways has scaled up
significantly in the last two
years and that was evident
in the World Bankrsquos biennial
measure of international supply
chain efficiency report namely
the Logistics Performance
Index where Indiarsquos ranking
catapulted from 54 in 2014 to
35 in 2016
The introduction of GST
will further give impetus to the
transport and logistics industry
in India While the entire
dynamics of transportation
and logistics will undergo
a sea change once GST is
implemented it will lead to
a leaner and fitter logistics
industry which in turn will
lead to greater efficiencies
Both transport as well as
manufacturing companies
will be able to take better
advantage of the economies
of scale
Lauding the governmentrsquos
move Pirojshaw Sarkari CEO
Mahindra Logistics said ldquoThe
announcement of GST Council
finalising its recommendations
on almost all issues and timely
preparation of IT system
needs to be welcomed In an
endeavour to create awareness
about the new GST led taxation
system we support the
governmentrsquos move to reach-
out to trade and industryrdquo
Budget 2017-18 PuSHeS for InfrAStruCtureReadying the stage for GST
Jaitleyrsquos Budget proposal for
2017-18 laid special focus on
road and infrastructure sector
The Budget allocation for
highways was increased from
Rs 57976 crore in FY2016-17
to Rs 64900 crore in FY2017-
18 while 2000 km of coastal
connectivity roads have been
identified for construction and
development This will ensure
better connectivity with ports
and remote villages The total
length of roads including those
under the Pradhan Mantri Gram
Sadak Yojana (PMGSY) built
from 2014-15 till the current
year is about 140000 km
which is significantly higher
than previous three years
With an eye on improved
logistics across the country
in the future the finance
minister said ldquoAn effective
multi-modal logistics and
transport sector will make our
economy more competitive
A specific programme for
development of multi-modal
logistics parks together
with multi-modal transport
facilities will be drawn up and
implementedrdquo
APR - JUN 2017 | wwwacaainewscom6
AdvAntAge for 3PL ProvIderSImplementation of GST will
ensure that the nascent 3PL
further embeds itself in the
logistics space Market research
agency Novonous in its
recent report estimates that
3PL logistics market in India is
expected to be worth $30189
billion by 2020 By 2020 Indian
logistics market is expected to
grow at a CAGR of 1217 percent
primarily driven by the growth in
the manufacturing retail FMCG
and e-commerce sectors This
growth rate is also based on
the expectation of GST being
implemented and the logistics
companies can optimise their
operations to reduce cost and
increase their margins
Further it is the
implementation of the GST that
would increase productivity
and raise efficiency levels in
the logistics sector and the
economy as a whole According
to various industry estimates
freight times will come down
by 30-40 percent and logistics
costs are expected to reduce by
20-30 percent
Once GST is implemented
instead of maintaining smaller
warehouses in each and
every state the companies
will be setting up lesser and
bigger warehouses and can
follow hub and scope model
for freight movement from
warehouses to manufacturing
plants distributors and retailers
ldquoWith GST in place there
will be consolidation of
warehouses thus reducing the
time lost between transporting
from one warehouse to
another Shorter supply chain
cycles will entail lesser time
spent on unnecessary activities
like paperwork material
scrutiny at checkpoints
compliance with multiple
regulations etc This will make
it smoother for transport
companies as they will be
able to transport goods with
lesser stoppages and breaks in
Pho
to G
reyO
ran
ge
Model of Indian Logistics Industry post gSt India becomes one big market there will be fewer
and larger warehouses
GST will result in larger trucks on road while the overall number of vehicles will go down The new tax will result in greater adoption of a hub-and-spoke model in segments such as warehousing cold chain container freight stations and inland container depots
GST will also bring in scale to logistics companies as there will be a lot of savings stoppage of wastage and lower delays
These above changes will lead to greater economies of scale for transport operators and lead to more companies outsourcing their logistics operations
journey Consequently it will
reduce the need for extensive
documentation in inter-state
sales making it a lot easier
to transport goods than it is
currentlyrdquo Allcargo Logistics
posted on its blog
Therefore there lies a bigger
opportunity for the 3PL service
providers who can manage
these bigger routes and deliver
accurately and efficiently
The Indian logistics industry
constitutes around 14 percent
of the GDP which is greater
than the other developing
nations The 3PL logistics firms
are evolving from traditional
service delivery systems
to highly integrated and
technically equipped service
providers striving to meet the
service demands GST provides
them with ample opportunity
to invest and expand the 3PL
base in India
According to a report
by CARE Ratings post GST
Cover story | GST
implementation the 3PLs would
have to restructure its assets
and realign its operations in line
with changes in the operations
of its customers in the new
scenario Currently 3PLs have
warehouses located near major
distribution centers of its key
clients (different industries)
irrespective of its geographic
disadvantage mainly to avoid
interstate taxes However
post GST implementation
3PLs are expected to build
integrated warehouses at
logistic suitable locations
So accordingly their assets
would need to be restructured
to accommodate the long
distance consignments which
will occur with this scenario of
free movement of goods across
the country The consumer
durables sector is expected to
witness maximum drop in the
logistics costs as percentage of
total sales as their warehouses
are built at different states to
avoid interstate tax
The central taxes which will
be subsumed into the GST are
Central Excise duty Additional
Excise duty Service tax
Countervailing duty and Special
Additional duty of Customs
Also the state taxes which will
be subsumed by GST are Sales
tax Entertainment tax Central
APR - JUN 2017| wwwacaainewscom 7
Salex tax Octroi and Entry tax
Purchase tax Luxury tax and
Taxes on lottery betting and
gambling GST will be collected
at every stage of sale or
purchase of goods or services
based on input tax credit
method This simplification of
the taxation system would make
the inter-state transportation of
goods more efficient
IMPACt on SuPPLy CHAIn MAnAgeMentThe structure of the supply
chain is influenced by
differential taxes based on
geographical location By
eliminating multiple state taxes
the logistics companies are
encouraged to consolidate
their warehouses instead of
maintaining one in each state
to avoid central tax
This in effect brings the
overall cost of the product
down as the inventory cost
and inventory carrying cost is
down This directly affects the
final cost of the product bring
the selling price down The
cost saved by the companies
as a result of GST can be used
to invest further to improve
serviceability
One important highlight
that GSTrsquos implementation
will do is to reduce the time
taken at various check posts
while transporting goods
This in turn will reduce costs
for customers and logistics
companies making the latter
more efficient and profitable
Presently trucks are idle for
about 40 per cent of the total
travel time due to Central Sales
TaxOctroi payment
GST has the potential to
accelerate growth in the logistics
industry While industry pundits
still feel that many contentious
issues remain such as the clear
definition of supply supply
chain management through
warehouse engineering credit
allowance during the transition
phase etc there is general
consensus to welcome this new
tax regime
With GSTrsquos imminent
implementation the logistics
industry should start exploring
different supply chain models
with their clients and at the same
time develop a completely
synchronised ERP accounting
system to support inventory
supply management as required
under the GST regime
Nevertheless GST is still the
change the logistics industry is
eagerly awaiting as overall the
positive impact of GST far
outweighs the disadvantages for
this industry
Benefits for logistics industry post gSt implementation
Pre gSt PoSt gSt
Interstate tax burden
Currently each of Indiarsquos 29 states taxes goods that move across their borders at different rates apart from that Corporate state tax of 2 is levied for inter-state goods transfer
Not applicable Uniform taxation and no varying tax structures would be allowed across states
Nature of the industry
Current interstate taxation has resulted in a large number of unorganized players in this industry Resulting in fragmented industry
With the introduction of GST there is likely to be major consoli-dation in the industry It could see the emergence of major large players who can span the entire logistics chain
Logistic time Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Cost The existing interstate taxation system has forced the companies to create and maintain warehouses in each state Currently there are around 20-30 warehouses per company one in every state in addition to this 20-30 Carry amp Forwarding agents per state making the supply chain longer and inef-ficient
GST tax will be levied on transportation of goods and full credit will be available on interstate transactions Logistic costs are expected to be decreased by 15-200 of sales on account of optimization of warehouses leading to lower inventory costs which are set up across states to avoid paying 2 corporate sales tax and phasing out of interstate sales tax There is immense scope for optimization of costs
Sou
rce
Car
e Ra
ting
s
Critical business implications post gSt implementationSupply Chain reengineeringMany service providers have to revamp their supply chains realign their warehouses and logistics networks This gives tremendous opportunity to 3PL and 4PL logistics providers
transportationRe-organised manufacturing plants and warehouses would reduce the primary freight charges as they are located close to each other irrespective of which state they are in However secondary freight may increase because of the fewer warehouses
Consolidation and outsourcingWith the increase in the availability of organized and efficient players there is a possibility of consolidation Also this leads to the outsourcing of their logistics operations to logistics service providers
Skill set upgradation and service levelsThe need for optimally skilled and technically qualified workforce is likely to become a challenge Hence to cater to this need supply of skillful workforce should improve which in turn improves the service level of the company in its operations and meet the customer demands
AutomationBecause of the fewer warehouses the warehouses can be ramped up and equipped with state of the art technology to facilitate long term benefits Latest warehouse management systems (WMS) and modern robotics can be used for the effective and efficient warehouse management
APR - JUN 2017 | wwwacaainewscom8
India to surpass China incargo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading aviation company in the region It has also added a feather to its cap by completing 45 years of service to Indiarsquos business capital Mumbai The milestone was celebrated by adding the fifth cargo destination - Ahmedabad to its cargo network tadesse tilahun Regional Director India Sub Continent Ethiopian Airlines expressed optimism about Indian market On a tecircte-agrave-tecircte with rashmi Pradhan he vividly painted the strategy for India
interview | TadeSSe Tilahun
elaborate on the vision 2025 of
ethiopian Airlines
According to Ethiopiarsquos 15-year strategic
plan named Vision 2025 we aim to
become a leading and competitive
aviation group in Africa with seven
business centers Ethiopian Domestic and
Regional Airline Ethiopian International
Passenger Airline Ethiopian Cargo
Ethiopian MRO Ethiopian Aviation
Academy Ethiopian In-flight Catering
Services and Ethiopian Ground Service
Ethiopian is a multi-award winning airline
registering an average growth of 25
percent in the past seven years In fact
we have achieved most of the targets set
in Vision 2025 much in advance
tell us about the journey so far
between India and ethiopia
India is a growing aviation market and
very strategic for an airline like Ethiopian
Airlines The carrier started operations
from Delhi way back in 1960s However
we decided to terminate that service
and later in 1971 Ethiopian Airlines made
its debut flight to Mumbai one of its
oldest destinations in Asia Since then
we increased our airlift to 28 scheduled
weekly flights to both Mumbai and
New Delhi The 45 years of uninterrupted
service to Mumbai was a successful
journey but not a smooth ride There
were many challenges (like operational
cost political unrest in Africa etc) From
Mumbai we started with three flights a
day and then increased the frequency
to five flights Earlier it was a turnaround
flight at Bangkok As we witnessed
increase in passenger flow we started a
dedicated flight to Mumbai
How was the performance of
ethiopian Airlines last year
In the past three years we have made a
significant expansion in India Now we
have double daily flights from Mumbai and
New Delhi In terms of passenger traffic
we have registered double digit growth
We witnessed 15 percent year-on-year
growth from Mumbai and 10 percent
growth from New Delhi We have plans
APR - JUN 2017 | wwwacaainewscom8
EXCELLENCE IN MUMBAI
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom6
AdvAntAge for 3PL ProvIderSImplementation of GST will
ensure that the nascent 3PL
further embeds itself in the
logistics space Market research
agency Novonous in its
recent report estimates that
3PL logistics market in India is
expected to be worth $30189
billion by 2020 By 2020 Indian
logistics market is expected to
grow at a CAGR of 1217 percent
primarily driven by the growth in
the manufacturing retail FMCG
and e-commerce sectors This
growth rate is also based on
the expectation of GST being
implemented and the logistics
companies can optimise their
operations to reduce cost and
increase their margins
Further it is the
implementation of the GST that
would increase productivity
and raise efficiency levels in
the logistics sector and the
economy as a whole According
to various industry estimates
freight times will come down
by 30-40 percent and logistics
costs are expected to reduce by
20-30 percent
Once GST is implemented
instead of maintaining smaller
warehouses in each and
every state the companies
will be setting up lesser and
bigger warehouses and can
follow hub and scope model
for freight movement from
warehouses to manufacturing
plants distributors and retailers
ldquoWith GST in place there
will be consolidation of
warehouses thus reducing the
time lost between transporting
from one warehouse to
another Shorter supply chain
cycles will entail lesser time
spent on unnecessary activities
like paperwork material
scrutiny at checkpoints
compliance with multiple
regulations etc This will make
it smoother for transport
companies as they will be
able to transport goods with
lesser stoppages and breaks in
Pho
to G
reyO
ran
ge
Model of Indian Logistics Industry post gSt India becomes one big market there will be fewer
and larger warehouses
GST will result in larger trucks on road while the overall number of vehicles will go down The new tax will result in greater adoption of a hub-and-spoke model in segments such as warehousing cold chain container freight stations and inland container depots
GST will also bring in scale to logistics companies as there will be a lot of savings stoppage of wastage and lower delays
These above changes will lead to greater economies of scale for transport operators and lead to more companies outsourcing their logistics operations
journey Consequently it will
reduce the need for extensive
documentation in inter-state
sales making it a lot easier
to transport goods than it is
currentlyrdquo Allcargo Logistics
posted on its blog
Therefore there lies a bigger
opportunity for the 3PL service
providers who can manage
these bigger routes and deliver
accurately and efficiently
The Indian logistics industry
constitutes around 14 percent
of the GDP which is greater
than the other developing
nations The 3PL logistics firms
are evolving from traditional
service delivery systems
to highly integrated and
technically equipped service
providers striving to meet the
service demands GST provides
them with ample opportunity
to invest and expand the 3PL
base in India
According to a report
by CARE Ratings post GST
Cover story | GST
implementation the 3PLs would
have to restructure its assets
and realign its operations in line
with changes in the operations
of its customers in the new
scenario Currently 3PLs have
warehouses located near major
distribution centers of its key
clients (different industries)
irrespective of its geographic
disadvantage mainly to avoid
interstate taxes However
post GST implementation
3PLs are expected to build
integrated warehouses at
logistic suitable locations
So accordingly their assets
would need to be restructured
to accommodate the long
distance consignments which
will occur with this scenario of
free movement of goods across
the country The consumer
durables sector is expected to
witness maximum drop in the
logistics costs as percentage of
total sales as their warehouses
are built at different states to
avoid interstate tax
The central taxes which will
be subsumed into the GST are
Central Excise duty Additional
Excise duty Service tax
Countervailing duty and Special
Additional duty of Customs
Also the state taxes which will
be subsumed by GST are Sales
tax Entertainment tax Central
APR - JUN 2017| wwwacaainewscom 7
Salex tax Octroi and Entry tax
Purchase tax Luxury tax and
Taxes on lottery betting and
gambling GST will be collected
at every stage of sale or
purchase of goods or services
based on input tax credit
method This simplification of
the taxation system would make
the inter-state transportation of
goods more efficient
IMPACt on SuPPLy CHAIn MAnAgeMentThe structure of the supply
chain is influenced by
differential taxes based on
geographical location By
eliminating multiple state taxes
the logistics companies are
encouraged to consolidate
their warehouses instead of
maintaining one in each state
to avoid central tax
This in effect brings the
overall cost of the product
down as the inventory cost
and inventory carrying cost is
down This directly affects the
final cost of the product bring
the selling price down The
cost saved by the companies
as a result of GST can be used
to invest further to improve
serviceability
One important highlight
that GSTrsquos implementation
will do is to reduce the time
taken at various check posts
while transporting goods
This in turn will reduce costs
for customers and logistics
companies making the latter
more efficient and profitable
Presently trucks are idle for
about 40 per cent of the total
travel time due to Central Sales
TaxOctroi payment
GST has the potential to
accelerate growth in the logistics
industry While industry pundits
still feel that many contentious
issues remain such as the clear
definition of supply supply
chain management through
warehouse engineering credit
allowance during the transition
phase etc there is general
consensus to welcome this new
tax regime
With GSTrsquos imminent
implementation the logistics
industry should start exploring
different supply chain models
with their clients and at the same
time develop a completely
synchronised ERP accounting
system to support inventory
supply management as required
under the GST regime
Nevertheless GST is still the
change the logistics industry is
eagerly awaiting as overall the
positive impact of GST far
outweighs the disadvantages for
this industry
Benefits for logistics industry post gSt implementation
Pre gSt PoSt gSt
Interstate tax burden
Currently each of Indiarsquos 29 states taxes goods that move across their borders at different rates apart from that Corporate state tax of 2 is levied for inter-state goods transfer
Not applicable Uniform taxation and no varying tax structures would be allowed across states
Nature of the industry
Current interstate taxation has resulted in a large number of unorganized players in this industry Resulting in fragmented industry
With the introduction of GST there is likely to be major consoli-dation in the industry It could see the emergence of major large players who can span the entire logistics chain
Logistic time Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Cost The existing interstate taxation system has forced the companies to create and maintain warehouses in each state Currently there are around 20-30 warehouses per company one in every state in addition to this 20-30 Carry amp Forwarding agents per state making the supply chain longer and inef-ficient
GST tax will be levied on transportation of goods and full credit will be available on interstate transactions Logistic costs are expected to be decreased by 15-200 of sales on account of optimization of warehouses leading to lower inventory costs which are set up across states to avoid paying 2 corporate sales tax and phasing out of interstate sales tax There is immense scope for optimization of costs
Sou
rce
Car
e Ra
ting
s
Critical business implications post gSt implementationSupply Chain reengineeringMany service providers have to revamp their supply chains realign their warehouses and logistics networks This gives tremendous opportunity to 3PL and 4PL logistics providers
transportationRe-organised manufacturing plants and warehouses would reduce the primary freight charges as they are located close to each other irrespective of which state they are in However secondary freight may increase because of the fewer warehouses
Consolidation and outsourcingWith the increase in the availability of organized and efficient players there is a possibility of consolidation Also this leads to the outsourcing of their logistics operations to logistics service providers
Skill set upgradation and service levelsThe need for optimally skilled and technically qualified workforce is likely to become a challenge Hence to cater to this need supply of skillful workforce should improve which in turn improves the service level of the company in its operations and meet the customer demands
AutomationBecause of the fewer warehouses the warehouses can be ramped up and equipped with state of the art technology to facilitate long term benefits Latest warehouse management systems (WMS) and modern robotics can be used for the effective and efficient warehouse management
APR - JUN 2017 | wwwacaainewscom8
India to surpass China incargo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading aviation company in the region It has also added a feather to its cap by completing 45 years of service to Indiarsquos business capital Mumbai The milestone was celebrated by adding the fifth cargo destination - Ahmedabad to its cargo network tadesse tilahun Regional Director India Sub Continent Ethiopian Airlines expressed optimism about Indian market On a tecircte-agrave-tecircte with rashmi Pradhan he vividly painted the strategy for India
interview | TadeSSe Tilahun
elaborate on the vision 2025 of
ethiopian Airlines
According to Ethiopiarsquos 15-year strategic
plan named Vision 2025 we aim to
become a leading and competitive
aviation group in Africa with seven
business centers Ethiopian Domestic and
Regional Airline Ethiopian International
Passenger Airline Ethiopian Cargo
Ethiopian MRO Ethiopian Aviation
Academy Ethiopian In-flight Catering
Services and Ethiopian Ground Service
Ethiopian is a multi-award winning airline
registering an average growth of 25
percent in the past seven years In fact
we have achieved most of the targets set
in Vision 2025 much in advance
tell us about the journey so far
between India and ethiopia
India is a growing aviation market and
very strategic for an airline like Ethiopian
Airlines The carrier started operations
from Delhi way back in 1960s However
we decided to terminate that service
and later in 1971 Ethiopian Airlines made
its debut flight to Mumbai one of its
oldest destinations in Asia Since then
we increased our airlift to 28 scheduled
weekly flights to both Mumbai and
New Delhi The 45 years of uninterrupted
service to Mumbai was a successful
journey but not a smooth ride There
were many challenges (like operational
cost political unrest in Africa etc) From
Mumbai we started with three flights a
day and then increased the frequency
to five flights Earlier it was a turnaround
flight at Bangkok As we witnessed
increase in passenger flow we started a
dedicated flight to Mumbai
How was the performance of
ethiopian Airlines last year
In the past three years we have made a
significant expansion in India Now we
have double daily flights from Mumbai and
New Delhi In terms of passenger traffic
we have registered double digit growth
We witnessed 15 percent year-on-year
growth from Mumbai and 10 percent
growth from New Delhi We have plans
APR - JUN 2017 | wwwacaainewscom8
EXCELLENCE IN MUMBAI
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017| wwwacaainewscom 7
Salex tax Octroi and Entry tax
Purchase tax Luxury tax and
Taxes on lottery betting and
gambling GST will be collected
at every stage of sale or
purchase of goods or services
based on input tax credit
method This simplification of
the taxation system would make
the inter-state transportation of
goods more efficient
IMPACt on SuPPLy CHAIn MAnAgeMentThe structure of the supply
chain is influenced by
differential taxes based on
geographical location By
eliminating multiple state taxes
the logistics companies are
encouraged to consolidate
their warehouses instead of
maintaining one in each state
to avoid central tax
This in effect brings the
overall cost of the product
down as the inventory cost
and inventory carrying cost is
down This directly affects the
final cost of the product bring
the selling price down The
cost saved by the companies
as a result of GST can be used
to invest further to improve
serviceability
One important highlight
that GSTrsquos implementation
will do is to reduce the time
taken at various check posts
while transporting goods
This in turn will reduce costs
for customers and logistics
companies making the latter
more efficient and profitable
Presently trucks are idle for
about 40 per cent of the total
travel time due to Central Sales
TaxOctroi payment
GST has the potential to
accelerate growth in the logistics
industry While industry pundits
still feel that many contentious
issues remain such as the clear
definition of supply supply
chain management through
warehouse engineering credit
allowance during the transition
phase etc there is general
consensus to welcome this new
tax regime
With GSTrsquos imminent
implementation the logistics
industry should start exploring
different supply chain models
with their clients and at the same
time develop a completely
synchronised ERP accounting
system to support inventory
supply management as required
under the GST regime
Nevertheless GST is still the
change the logistics industry is
eagerly awaiting as overall the
positive impact of GST far
outweighs the disadvantages for
this industry
Benefits for logistics industry post gSt implementation
Pre gSt PoSt gSt
Interstate tax burden
Currently each of Indiarsquos 29 states taxes goods that move across their borders at different rates apart from that Corporate state tax of 2 is levied for inter-state goods transfer
Not applicable Uniform taxation and no varying tax structures would be allowed across states
Nature of the industry
Current interstate taxation has resulted in a large number of unorganized players in this industry Resulting in fragmented industry
With the introduction of GST there is likely to be major consoli-dation in the industry It could see the emergence of major large players who can span the entire logistics chain
Logistic time Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Due to trade barriers such as entry taxes local body taxes OCTROI and other hurdles trucks lie idle for 30 to 40 as per industry estimates during their delivery schedule
Cost The existing interstate taxation system has forced the companies to create and maintain warehouses in each state Currently there are around 20-30 warehouses per company one in every state in addition to this 20-30 Carry amp Forwarding agents per state making the supply chain longer and inef-ficient
GST tax will be levied on transportation of goods and full credit will be available on interstate transactions Logistic costs are expected to be decreased by 15-200 of sales on account of optimization of warehouses leading to lower inventory costs which are set up across states to avoid paying 2 corporate sales tax and phasing out of interstate sales tax There is immense scope for optimization of costs
Sou
rce
Car
e Ra
ting
s
Critical business implications post gSt implementationSupply Chain reengineeringMany service providers have to revamp their supply chains realign their warehouses and logistics networks This gives tremendous opportunity to 3PL and 4PL logistics providers
transportationRe-organised manufacturing plants and warehouses would reduce the primary freight charges as they are located close to each other irrespective of which state they are in However secondary freight may increase because of the fewer warehouses
Consolidation and outsourcingWith the increase in the availability of organized and efficient players there is a possibility of consolidation Also this leads to the outsourcing of their logistics operations to logistics service providers
Skill set upgradation and service levelsThe need for optimally skilled and technically qualified workforce is likely to become a challenge Hence to cater to this need supply of skillful workforce should improve which in turn improves the service level of the company in its operations and meet the customer demands
AutomationBecause of the fewer warehouses the warehouses can be ramped up and equipped with state of the art technology to facilitate long term benefits Latest warehouse management systems (WMS) and modern robotics can be used for the effective and efficient warehouse management
APR - JUN 2017 | wwwacaainewscom8
India to surpass China incargo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading aviation company in the region It has also added a feather to its cap by completing 45 years of service to Indiarsquos business capital Mumbai The milestone was celebrated by adding the fifth cargo destination - Ahmedabad to its cargo network tadesse tilahun Regional Director India Sub Continent Ethiopian Airlines expressed optimism about Indian market On a tecircte-agrave-tecircte with rashmi Pradhan he vividly painted the strategy for India
interview | TadeSSe Tilahun
elaborate on the vision 2025 of
ethiopian Airlines
According to Ethiopiarsquos 15-year strategic
plan named Vision 2025 we aim to
become a leading and competitive
aviation group in Africa with seven
business centers Ethiopian Domestic and
Regional Airline Ethiopian International
Passenger Airline Ethiopian Cargo
Ethiopian MRO Ethiopian Aviation
Academy Ethiopian In-flight Catering
Services and Ethiopian Ground Service
Ethiopian is a multi-award winning airline
registering an average growth of 25
percent in the past seven years In fact
we have achieved most of the targets set
in Vision 2025 much in advance
tell us about the journey so far
between India and ethiopia
India is a growing aviation market and
very strategic for an airline like Ethiopian
Airlines The carrier started operations
from Delhi way back in 1960s However
we decided to terminate that service
and later in 1971 Ethiopian Airlines made
its debut flight to Mumbai one of its
oldest destinations in Asia Since then
we increased our airlift to 28 scheduled
weekly flights to both Mumbai and
New Delhi The 45 years of uninterrupted
service to Mumbai was a successful
journey but not a smooth ride There
were many challenges (like operational
cost political unrest in Africa etc) From
Mumbai we started with three flights a
day and then increased the frequency
to five flights Earlier it was a turnaround
flight at Bangkok As we witnessed
increase in passenger flow we started a
dedicated flight to Mumbai
How was the performance of
ethiopian Airlines last year
In the past three years we have made a
significant expansion in India Now we
have double daily flights from Mumbai and
New Delhi In terms of passenger traffic
we have registered double digit growth
We witnessed 15 percent year-on-year
growth from Mumbai and 10 percent
growth from New Delhi We have plans
APR - JUN 2017 | wwwacaainewscom8
EXCELLENCE IN MUMBAI
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom8
India to surpass China incargo volumesWith the implementation of Vision 2025 Ethiopian Airlines is aiming to be the leading aviation company in the region It has also added a feather to its cap by completing 45 years of service to Indiarsquos business capital Mumbai The milestone was celebrated by adding the fifth cargo destination - Ahmedabad to its cargo network tadesse tilahun Regional Director India Sub Continent Ethiopian Airlines expressed optimism about Indian market On a tecircte-agrave-tecircte with rashmi Pradhan he vividly painted the strategy for India
interview | TadeSSe Tilahun
elaborate on the vision 2025 of
ethiopian Airlines
According to Ethiopiarsquos 15-year strategic
plan named Vision 2025 we aim to
become a leading and competitive
aviation group in Africa with seven
business centers Ethiopian Domestic and
Regional Airline Ethiopian International
Passenger Airline Ethiopian Cargo
Ethiopian MRO Ethiopian Aviation
Academy Ethiopian In-flight Catering
Services and Ethiopian Ground Service
Ethiopian is a multi-award winning airline
registering an average growth of 25
percent in the past seven years In fact
we have achieved most of the targets set
in Vision 2025 much in advance
tell us about the journey so far
between India and ethiopia
India is a growing aviation market and
very strategic for an airline like Ethiopian
Airlines The carrier started operations
from Delhi way back in 1960s However
we decided to terminate that service
and later in 1971 Ethiopian Airlines made
its debut flight to Mumbai one of its
oldest destinations in Asia Since then
we increased our airlift to 28 scheduled
weekly flights to both Mumbai and
New Delhi The 45 years of uninterrupted
service to Mumbai was a successful
journey but not a smooth ride There
were many challenges (like operational
cost political unrest in Africa etc) From
Mumbai we started with three flights a
day and then increased the frequency
to five flights Earlier it was a turnaround
flight at Bangkok As we witnessed
increase in passenger flow we started a
dedicated flight to Mumbai
How was the performance of
ethiopian Airlines last year
In the past three years we have made a
significant expansion in India Now we
have double daily flights from Mumbai and
New Delhi In terms of passenger traffic
we have registered double digit growth
We witnessed 15 percent year-on-year
growth from Mumbai and 10 percent
growth from New Delhi We have plans
APR - JUN 2017 | wwwacaainewscom8
EXCELLENCE IN MUMBAI
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017| wwwacaainewscom 9
to expand our operations in India both in
passenger and cargo We are looking at
starting passenger service to a South India
destination (probably Chennai) this year
What prompted the company to
add the fifth cargo destination from
India
Ethiopian Airlines is the largest cargo
operator in Africa We already have
dedicated cargo operations from four
Indian cities namely Mumbai Delhi
Chennai and Bengaluru On March 28 we
added the fifth cargo gateway to India
Ahmedabad to our global cargo network
Ahmedabad Indiarsquos second oldest
stock exchange and largest producer of
cotton is a fast emerging industrial hub
Right now a good volume of shipment
is trucked from Ahmedabad to Mumbai
and then lifted through Mumbai airport
One more advantage we see is not many
carriers have dedicated freight service
from Ahmedabad
While operating in the major trade
lanes between Africa Europe Middle East
and Asia our cargo network is efficiently
linking the Indian sub-continent and
Africa farther with China and Hong
Kong providing the Indian market with
minimum weekly import capacity of
240 tonnes I believe our new services
to Ahmedabad will further strengthen
the existing trade and commercial ties
between the two fastest growing regions
of the world
Quantify the growth of cargo
volumes from India
Although the exports from India to Africa
have declined we have witnessed seven
percent year-on-year growth from India
in terms of cargo volumes Ethiopian
lifted an average of 1500 tonnes a
month from Mumbai Delhi was around
300 tonnes a month Chennai was 200-
250 tonnes a month whereas Bengaluru
was 100-150 tonnes a month We have
a dedicated freighter four times a week
from Mumbai twice a week each from
Chennai and Delhi and once a week from
Ahmedabad and Bengaluru
We are looking at increasing capacity
from Mumbai and upgrade from B787 to
B777 which will increase the capacity by 50
seats a day Also we plan to upgrade B767
to B787 that will further add 50 seats a day
As far Delhi is concerned we will upgrade
B737 to B767 which will give additional 160
seats per day
What is the target set for India
We would be looking at increasing the
number of destinations by adding more
Indian cities to our network Furthermore
we are looking at increasing the operational
frequency to all the existing airports
viz Chennai Mumbai New Delhi and
Bengaluru The wide range of experience in
operating in Africa Ethiopian would like to
capitalise on the same and widen our area
by more focus on lifting pharmaceuticals
and perishables
A state of the art warehouse is being built
at Addis Ababa airport with a capacity of
600 million tonnes per year in phase I and
will be ramped up to 600 million tonnes
in second phase Of the total capacity
40 percent will be dedicated to
perishables That means after the
completion of the said cargo
hub the capacity will touch
12 million tonnes We are
also looking at deploying
wide body aircraft in place of
narrow body wherever we
see an increase in demand
going forward what is
the expectation of Indian
cargo market
India is a major market for
Ethiopian network It is one of
the top five markets being US
at the top followed by China and
then India and UAE India is a
key market for us and
we have witnessed
continuous
passenger and
cargo growth
from India
Of the Brazil Russia India and China (BRIC)
nations India is the fastest growing country
Most of the African countries are importing
either from India or China It will not be
too far when India will overtake China in
capacity We expect the increase in export
volumes from India
Ethiopian is a Star Alliance member like
the national carrier of India Air India This
gives an advantage to both the airlines and
helps to exchange good volumes of
business We have a codeshare agreement
with Air India and this helps Air India to
reach out to more destinations in Africa
and Ethiopian to reach out to number of
destinations in India
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
interview | Paul J Kocheril
The first green-field airport in India built under the public-private partnership Cochin International Airport Ltd (CIAL) registered a 178 percent growth in passenger traffic and 156 percent in cargo volumes in 2016 As the volume handled by the airport was on the rise recently a new international terminal was put into operations Over the last two decades Cochin Airport has become the hub of Middle East traffic (both passenger and cargo)
A civil engineer by profession Paul j Kocheril he was one of the first recruits at CIAL in 1994 Kocheril was instrumental in the construction of CIAL For the past 16 years he has been associated with the air cargo complex As the Deputy General Manager - Cargo Cochin International Airport Kocheril speaks to rashmi Pradhan on the growth of traffic and performance of CIAL
APR - JUN 2017 | wwwacaainewscom10
CIALThe new cargo hub
What are the key features of Cochin International
Airport
This is the first airport in the country built under
public-private partnership model and perhaps the first
airport in the world fully operated on solar power
Since its nception in 1999 CIAL has been trying to
integrate local and international technologies to
enhance effective operations We donrsquot compromise
on standards and always adhere to the inclusive
business model which encompass habitat around
when implementing infrastructure expansion
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
CIAL cargo facility has nearly 200000
square feet area (office and warehouse)
Of which nearly 132000 is dedicated for
warehouse To offer superior cargo services
to airlines forwarding agents shippers and
consignees we stick to the concept of fine
tuning our procedures to meet the ever-
changing demands and challenges of the
constantly evolving air cargo industry
elaborate on the performance of CIAL
in 2016
The total passenger traffic through the
airport in 2016 stood at 8736061 Of which
3764640 were domestic and 4971421
were international passengers In the cargo
front last year was a good year for CIAL
The cargo movement grew in double digit
registering a growth of 156 percent The
volume grew to 8533910 tonnes in 2016 as
against 7384920 tonnes in 2015 Of the total
cargo moved through the airport perishable
cargo share was 58261 tonnes
CIAL can easily accommodate long-haul
direct and non-stop internationaldomestic
crafts The biggest advantage CIAL has is
that it is well connected by road and rail
and rail network The NH 47 is connected
to CIAL by a four-kilometre four-lane road
The railway line cuts across the CIAL land
What is in the pipeline on the cargo
front
There is a full-fledged expansion plan in
place for cargo infrastructure expansion
As part of our vision we are in the process
of setting up a separate fully automated
new import and export section This facility
will have all the modern material handling
equipment and facilities The new import
warehouse will have a separate area for
courier baggage and commercial cargo In
addition to this the administrative offices
for customs and other related agencies also
will be integrated into the new premises
give details of the upcoming cargo
village concept
50 Acres has been earmarked for the cargo
village Once completed the cargo village
will offer separate sections for marine
products couriers express cargo valuables
and vulnerable cargo The logistic centre
along with the multi-modular operation of
the sea to air and air to sea transhipment
will be another attraction focusing on the
movements in Vallarpadam International
Container Terminal at Cochin Port
Also there are separate areas dedicated
to the storage and handling of domestic
(inbound outbound cargo including
courier) and international cargo including
the transhipment cargo
The entire International air cargo centre is
designated as a Customs Bonded area
It is equipped with the state of the art
automation tools and computers that
control the cargo terminals
We are also planning a separate import
warehouse which will be having separate
facilities for handling courier passenger
baggage and commercial cargo It will
also include administrative offices for
government agencies like customs PQ
PHO and other agencies associated with
cargo clearance
How do you ensure the smooth
functioning of cargo movement at
the airport
CIAL is the sole cargo handling agency
for all carrier operating from Cochin
International Airport Right from the
acceptance of cargo to the warehouse
to customs examination security
clearance stuffing documentation
including manifestation are all handled
by CIAL Since we are following a single
shop concept in cargo handling there
is practically very less interference and
coordination issues
What according to you makes Cochin
Airport the first choice of cargo
carriers
The addition of airline services to Cochin
Airport every year has led to increase in
passenger and cargo capacity Since it
started its operations CIAL has grown as the
hub of Middle East cargo traffic in South
India The accessibility the flying time etc
are the factors that determine the cargo
growth (especially fruits and vegetables to
the Middle East) of CIAL As over 80 percent
of export cargo at CIAL are perishables The
facilities like the centre for perishable cargo
a temperature controlled warehouse
exclusively for handling perishable has
fuelled the growth The airport adheres to
low-cost model with no compromise on the
quality of infrastructure and service
APR - JUN 2017| wwwacaainewscom 11
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom12
Take offThe perfect
Heres a story of a boy who was fascinated by aeroplanes in his childhood in a remote Kenyan village and pursued his dream of becoming an aeronautical engineer Last month Geoffrey Nyaga made his first plane journey of his life to Abu Dhabi as one of the five finalists of the IATA Air Cargo Innovation Awards He returned home with $20000 prize money and assurances of a promising future in the aviation industry
Geoffrey Nyaga is 25 years old He
is from Likii a small village on
the slopes of Mount Kenya near
Nanyuki town which is about
200km from Nairobi the capital city He
lives with his parents and his younger sister
His father owns a small retail shop while his
mother assists in running the shop He says
it was ldquojust enough to provide for our daily
basic needsrdquo
ldquoFrom as early as I can remember I have
always been fascinated by technology
specifically aeroplanesrdquo Geoffrey tells me
as he gets himself wired for the first ever
media interview of his life inside the majestic
National Exhibition Centre in Abu Dhabi
ldquoI grew up watching military aircrafts fly
above our village from Nanyuki Airbase and
small aircrafts taking off and landing from
Nanyuki airstrip Despite having nobody
from my extended family attend college or
anyone in our village working in aviation
I was always determined to pursue my
dreamsrdquo he adds
It is the fascination for technology
combined with his determination that led
him to pursue his dream of completing his
studies in Aeronautical Engineering from
the Technical University of Kenya With a
first class honour Geoffrey graduated in
December 2016 and immediately after he
began his first job at Astral Aerial Solutions
(AES) a subsidiary of Astral Aviation a
dedicated cargo airline with a strong African
footprint His first project was to build a UTM
(UAV Traffic Management) concept that
will safely manage UAS (Unmanned Aerial
System) traffic and to operate Flyox the
indigenously made cargo drone
Flyox has a payload capability of up to
2000kg 1200 km range and flight time of up
to 26 hours It can land in unpaved airstrips
and on water It is designed to enable safe
civilian UAV operations by providing pilots
with information on altitude separation
restricted airspace and weather conditions
The project will lay the foundation for safe
secure and effective UAS operations and
integrate into existing airspace to ultimately
allow the expansion of air cargo in Africa It
can be deployed for aid and relief medical
supplies mining oil and gas agriculture and
e-commerce products
It is this project that made Geoffrey
win the top award at the IATA Air Cargo
Innovation Award for 2017
He received the award at the 11th World
Cargo Symposium (WCS) in Abu Dhabi
ldquoWe hope to be able to develop a
Geoffrey NyaGaAstrAl AeriAl solutions
I grew up watching military aircrafts fly above our village from Nanyuki Airbase and small aircrafts taking off and landing from Nanyuki airstrip Despite having nobody from my extended family attend college or anyone in our village working in aviation I was always determined to pursue my dreams
rejI joHn
Profile
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
Sanjeev Gadhia Astral Aviation
Drone technology has strong potential to boost the continentrsquos air connectivity and deliver goods and services to remote regions and more critical lifesaving products to those in need
pathway that will encourage regulators
operators and manufacturers to come
together and pave the way forward
for safe and efficient UAS use in the
continentrdquo says Geoffrey
Sanjeev Gadhia the founder and
CEO of Astral Aviation who presented
the project on behalf of Geoffrey was
delighted to have been recognized
for the project ldquoDrone technology has
strong potential to boost the continentrsquos
air connectivity and deliver goods and
services to remote regions and more
critical lifesaving products to those in
needrdquo says Gadhia
Astral Aerialrsquos project seeks to lay the
It is great to see a developing nation company helping to drive the innovation that is needed throughout the global air cargo industry
Glyn Hughes iAtA
foundation for safe secure and effective
UAS operations and integration into
existing airspace to ultimately allow the
expansion of air cargo in Africa
ldquoIt is great to see a developing nation
company helping to drive the innovation
that is needed throughout the global air
cargo industryrdquo says Glyn Hughes IATArsquos
Global Head of Cargo
Geoffrey is still overwhelmed by the
warm reception he received from IATA
delegates and the acceptance of his
project ldquoI was also impressed with the
industry-wide drive to use new
technologies and innovation to improve
customer experience This united voice
by the industry towards adopting
innovation gave me hope that the cargo
industry would be attractive to young
talent wanting to join the aviation
industryrdquo he adds
UTM CONCEPT
LEVEL 1 1500ft
LEVEL 2 4000 ft
LEVEL 3 8000 ft
LEVEL 4 15000 ft
Medical Supplies Precison Agriculture and crop spraying
Mining
Wind Turbine inspections
Geofence
Power lines and Telecommunications
Emmergency Response
oil and gas
Pipeline inspections Wildlife
Sport and recreational
Surveillance Mapping Security
CARGO DRONESLarge Payload Long Range
General Aviation
Commercial Jets and Airliners
Flyox cargo drone developed by Astral Aerial Solutions
APR - JUN 2017| wwwacaainewscom 13
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom14 APR - JUN 2017 | wwwacaainewscom14
rePort | air carGo africa
Bigger betterstrongerAir Cargo Africa 2017 gathered a record number of exhibitors global industry decision makers and a large number of trade visitors from across 29 African countries and 32 countries from other continents
teAM StAt trAde tIMeS
With massive
participation
from industry
stakeholders and
leaders at the fourth edition of
Air Cargo Africa the three-day
conference-cum-exhibition
was a resounding success To
unearth the growth potential of
the African continent the global
air cargo community converged
at the Air Cargo Africa 2017 at
the Emperors Palace in City of
Ekurhuleni Johannesburg from
February 21-23
The event under the theme
ldquoAir freight in Africa Building
tomorrowrsquos market todayrdquo was
inaugurated by the guest of
honour Dr Ismail Vadi Gauteng
Member of Executive Council
for Roads and Transport and Dr
N Xhakaza Member of Mayoral
Committee Finance and
Economic Development City
if Ekurhuleni along with Tleli
Makhetha General Manager
South African Airways and RK
Patra Group Editor-in Chief
STAT Media Group
Welcoming the delegates
to the fourth edition of Air
Cargo Africa RK Patra Group
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017| wwwacaainewscom 15APR - JUN 2017| wwwacaainewscom 15
Editor-in Chief STAT Media
Group spoke about the
revolutionary changes that
the aviation industry is going
through where drones and
unmanned aerial vehicles are
being employed to deliver
cargo and Hyperloop is a
proposed new way to move
people and freight at airline
speeds for the price of a bus
ticket Emphasizing on the
importance of cooperation
he said ldquoAt Air Cargo Africa
through the deliberations in the
next three days we intend to
become a facilitator for greater
cooperation and collaborations
to enhance trade across
bordersrdquo and thus set the ball
rolling for the proceedings over
the next three days
Making his inaugural
address Dr Ismail Vadi pointed
out that significant innovations
are compelling people to
ldquorethink the way they live
interact transport domestically
and internationallyrdquo They are
influencing people to rethink
about all the ldquowell established
norms and practicesrdquo
Musa Zwane CEO (Acting)
South African Airways in his
keynote address said ldquoFor
South African Airways the
air cargo is an important and
significant part of businessrdquo
He goes on to add ldquoWe are
singularly proud that our
country is playing host to this
event which seeks to highlight
and enhance the development
of the air cargo and the
opportunities in the African
region We are also excited
that for the first time this year
shippers and forwarders are
participating fully in the event
to both exhibit and deliberaterdquo
IMPortAnt tALKIng PoIntSPanel discussions over the
three days touched upon
topics ranging from unlocking
Africarsquos civil aviation potential
to dealing with overcapacity
and declining yields in a volatile
market to understanding trade
agreements in the African
context and bringing to the fore
innovations in cargo delivery
The first panel of the day
saw the likes of Glyn Hughes
Global Head of Cargo IATA
Graham Perkins Vice President
Sales and Marketing (EMEIA)
Atlas Air Inc Barry D Nassberg
Group Chief Operating Officer
Worldwide Flight Services
Rudolf Steiner Senior Vice
President Cargo Global
Accounts amp Commercial
Swissport International
Rainer Mueller Vice President
Commercial Saudia Cargo and
Jan de Vegt Chief Operating
Officer Kenya Airways discuss
Africarsquos civil aviation potential
Mueller highlighted that
even though the infrastructure
is somewhat in place when it
comes to handling the import
shipments or the export
shipments at the African
airports there is need to
improve the ground transport
ldquoWhat I would be hoping is
we as an industry manage for
setting up an effective ground
transport product in addition
to what we are having as an air
cargo productrdquo
Steiner however said that
investments are being made to
improve the current scenario
ldquoWe invested in brand new
facilities in Africa We have
opted for facilities in Dar es
Salaam and Kenya It is an
absolute must to invest in Good
Distribution Practices (GDP) and
core facilities we have done
that Are we yet there Most
probably not but compared to
two years ago we took a big
step We have to work closer to
the producer in order to further
improve in the logistics chainrdquo
he said
According to Barry D
Nassberg a lot more can be
done and that airports need to
be a willing partner in looking at
how it would develop a policy
where it allows a necessary
investment to happen
Graham Perkins pointed
out that with regards to
the readiness supporting
e-commerce African people
are ready to take this on but
the question is whether Africa
is ready to take it on He said
that custom infrastructure is
a major issue as it does not
support e-commerce ldquoIn many
cases a lot of countries have
customs rules and regulations
that dates back decades
and they are being used
unfortunatelyrdquo he said
Another significant topic
was the Yamoussoukro
Declaration that is most likely to
be implemented by December
2017 It was adopted out of the
recognition that the restrictive
and protectionist intra-African
regulatory regime hampers the
expansion and improvement of
air transport on the continent
Commenting on Africarsquos
Yamoussoukro Declaration and
the debate on opening skies
Jan de Vegt said Africa needs
to take cautious steps and not
rush to open skies outside Africa
ldquoWe have to come to a situation
where Africa has an open sky
within Africa firstrdquo he said
The panel moderated by
Glyn Hughes concluded that
for all countries across Africa
harmonisation is critical
particularly as the continent has
got a growing population and
a young labour force which
would be able to become a
young workforce and then a
young consumer market
In the session on trade
agreements the moderator
Tom Crabtree Regional
Director Airline Market
Analysis Marketing amp Business
Development Boeing
Commercial Airplanes put forth
three important questions
before the panel Are trade
agreements drafted with any
particular mode in mind Can
trade agreements liberalise
market access by themselves
What can we as industry
stakeholders do to make our
voices heard
Crabtree was joined on the
panel by Glyn Hughes global
head of cargo IATA Tleli
Makhetha general manager
South African Airways and
Vladimir Zubkov secretary
general TIACA
Hughes responded to
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom16
rePort | air carGo africa
Crabtree by sharing a timely
news of WTO Trade Facilitation
Agreement (TFA) coming into
force Global trade reforms
received a big boost when
the number of WTO members
notifying their acceptance
of the Trade Facilitation
Agreement touched 110 which
provides the minimal two
third threshold required for
its operationalisation when
Rwanda Oman Chad and
Jordan provided their letter
of acceptance to the director
general of the multilateral
trade forum on February 22
ldquoThe reason why this
is so timely and beneficial
for air cargo because there
are a number of measures
within the TFA that are
pro-air cargo First of all any
trade agreement leads to
growth and growth results in
prosperity Anything that can
promote and encourage and
facilitate simplification of trade
is something that we as an
industry should support The
TFA agreement will lead to
reduction in trade costs And
for developing nations it will
lead to 15 per cent reduction
in trade costs This is through
reduction of border restrictions
and simplification of border
management Secondly when
glyn Hughes IATA graham Perkins Atlas Air Barry D Nassberg Worldwide Flight Services Rudolf Steiner Swissport International Rainer Mueller Saudia Cargo Jan de Vegt Kenya Airways deliberate on unlocking Africarsquos civil aviation potential
Bongiwe Pityi O R Tambo International Airport gareth Joyce Delta Cargo Peter Musola Kenya Airways Slavey Djahov Panalpina World Transport (Dubai) Meshack Kipturgo Siginon Aviation Shahe Ouzounian Chapman Freeborn debates on over capacity and declining yield amidst volatility
you can streamline border
processes and harmonize
the processes like e-customs
and simplification of border
management processes
it allows air cargo whose
predicated value proposition
is based on speed to move
through the supply chain
that much quicker Any trade
agreement that will help
facilitate simplified border
crossings will help strengthen
air cargorsquos value propositionrdquo
said Hughes
Zubkov pointed out to an
interesting fact ldquoWhen the
air cargo traffic in a country
increases by one per cent then
trade grows by 63 per cent
So air cargo is the biggest
contributor to the development
of trade Thatrsquos why those
nations which understand
the importance of trade and
connections they give industry
stakeholders a chance to
develop and support the traderdquo
he said
However Makhetha was
cynical of trade agreements in
terms of its implementation
Hughes agreed with Makhetha
that it is very difficult to come
up with trade agreements
with neutralized benefits for
all parties Hughes also agreed
to Zubkovrsquos point that the
most difficult part of the trade
agreement is on implementing
the trade agreement ldquoTrade
agreements can only be
successful through the desire
and willingness of the member
states who have signed it to
implement it If everybody
enters into an agreement
with that same objective it is
very difficult to come up with
neutralized benefits which is
why bilateral or mutual trade
agreements are very delicately
balancedrdquo he said
Another important
discussion on ldquoOver capacity
and declining yield in a very
volatile market What is the
industryrsquos strategy to strike
a balancerdquo evoked a lot of
interest from participants
The expert panel was
chaired by Shahe Ouzounian
Chief Operating Officer
Chapman Freeborn Joining him
were Gareth Joyce President
Delta Cargo Peter Musola
Acting General Manager Cargo
Kenya Airways Bongiwe Pityi
General Manager O R Tambo
International Airport Slavey
Djahov Regional Head of Air
Freight (MEAC) Panalpina World
Transport (Dubai) DWC LLC and
Meshack Kipturgo Managing
Director Siginon Aviation
The panel demonstrated
how technology needed to
become an intrinsic part of the
entire air cargo supply chain ndash
from ground handlers to freight
forwarders and more - with the
aim of speeding up end-to-end
capacity and make a real impact
on business optimisation
We are singularly proud that our country is playing host to this event which seeks to highlight and enhance the development of the aircargo and the opportunities in the African region
Musa Zwane south African Airways
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017| wwwacaainewscom 17
When the air cargo traffic in a country increases by one per cent then trade grows by 63 per cent So air cargo is the biggest contributor to the development of trade
VladiMir ZubkoV tIACA
(l-R) Ryan Viegas TEVA Peter van Domburg Expeditors Alban Francois Brussels Airlines Jimmy Nares Miami International Airport Jonathan Brand Sandoz SA Remo Hanselmann World Courier Abel Alemu Ethiopian Airlines Uttam Prakash Ranbaxy SA and Nathan De Valck PharmaAero
opportunities and challenges
This yearrsquos lsquoAir Shippers Forumsrsquo
focussed on four key com-
modities _ pharmaceuticals
perishables automotive and
humanitarian aid
neW exHIBItorS MAKe tHeIr deButWhile conference sessions set
Musola pointed out that while
the market scenario is not
entirely pessimistic the larger
problem exists in terms of
yields ldquoIt is a wake-up call for
all of us in the industry to see
how do we inject more value
in terms of our service offeringrdquo
he said Djahov observed that
the market in Africa is realizing
the need for investments
According to Pityi in the next
ten years they should be in a
position to provide facilities with
maximum handling capacity
and automated systems
The session reached a
conclusion on the point ldquoFocus
on being competitive in market
Run faster Apply cost discipline
process optimisation and invest
in technology in order to drive
a high service delivery to your
customers If you are not the
best you canrsquot survive in a high
capacity market That is be on
time every time and should a
process fail ensure that your
team is ready to react to the
customerrsquos demandrdquo
Apart from these plenary
sessions Air Cargo Africa went
an extra mile this year to roll
out commodity specific confer-
ences offering an opportunity
to the shippers and other stake-
holders involved in the supply
chain to meet and discuss
with the lsquoInternational Airport of
the Yearrsquo award Saudia Cargo
won the lsquoInternational Cargo
Airline of the Year in Africarsquo
The Air Cargo Brand of the
Year in Africa was bagged by
South African Airways while
Etihad Cargo was adjudged
the Global Air Cargo Brand
of the Year The clear winner
for the African Cargo Airline
of the Year was Ethiopian
Airways Cargo while African
Airport of the Year went to OR
Tambo International Airport
Among all cargo carriers Astral
Aviation was awarded African
All Cargo Carrier of the Year
while Cargolux bagged the
International All Cargo Carrier of
the Year in Africa
The highlight of the evening
was the Lifetime Achievement
Award that was conferred to
Chris Leach the chairman and
founder of Air Charter Service
for his outstanding leadership
and contribution to the
industry Although he was not
present to receive the award a
heartwarming lsquoThank Yoursquo video
for the award from him which
was played during the Awards
nite made up for his absence
Dan Morgan Evans Group Cargo
Director Air Charter Service
received the award on his
behalf Recipients of the awards
were nominated and voted for
by the worldwide readers of
STAT TIMES via an online poll
Curtains were drawn on the
fourth edition of Air Cargo Africa
2017 on February 23 with a
promise to get bigger and
better in the succeeding year
Air Cargo Africa 2017 gathered a
record number of 80
International Exhibiting
Companies 533 global industry
decision makers as registered
delegates and brought in an
impressive number of 3027 trade
visitors from across 29 African
countries and 32 countries from
other continents The recaps in
the pages ahead will give you a
glimpse of what you may have
missed if you were unable to
make it to the event
the tone of the convention
the exhibition received an
overwhelming response
of around 3027 visitors a
significant high from the
eventrsquos earlier editions With
80 exhibitors on the floor
this yearrsquos edition welcomed
some new members from the
community as well BeCon
Projects Bahrain Airport
Company Cargo Composites
EasyClear Express Air Cargo
Frankfurt Airport Fujairah
Airport Hybrid Enterprises
Miami International Airport
MampC Aviation Professional
Aviation Services Ultimate
Air World Courier Zone 4
International and Hybrid
Enterprises the exclusive
reseller of Lockheed Martinrsquos
Hybrid Airships
AWArdS nIte rAzzMAtAzzThe STAT Timesrsquo International
Award for Excellence in Air
Cargo was announced on Day 2
of the event The awards across
fourteen categories were given
away at a Gala Awards Nite
held at the Barnyard Theatre
Rivonia Johannesburg
Qatar Airways Cargo took
home the lsquoGlobal Cargo Airline
of the Yearrsquo award while
Brussels Airport walked away
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom18
The global pharmaceutical market could be worth nearly $16 trillion by 2020 It is estimated that export of pharmaceutical products from India is likely to reach about $20 billion by 2020 Sensing the criticality of Indian pharmaceutical industry ITLN organised the first edition of Pharma Logistics Summit at Grand Hyatt Mumbai
teAM ItLn
PharmaIndian exportsto account for largest pie of
l-R Steven Polmans Dr K Bangarurajan gaurav Dhanda Vivek Padgaonkar Manoj Singh Ryan Viegas Ramesh Mamidala
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017| wwwacaainewscom 19
The first edition of
Pharma Logistics
Summit 2017 brought
together regulatory
authorities supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share
best practices to mutually
benefit each other The event
witnessed participation of
150 delegates Supported by
OPPI and IDMA the event was
hosted by Brussels Airport and
Brussels Airlines Cargo with
SpiceJet as gold partner and
MIAL GVK as associate partner
The summit presented a perfect
platform for supply chain heads
of pharmaceutical companies
and logistics service providers
to discuss ideas and share best
practices to mutually cater to
each otherrsquos requirements
The day-long summit
discussed key issues and
steps to be taken to ensure
end-to-end visibility in the
pharmaceutical supply chain
The summit also deliberated
on how companies in logistics
industry should build their
capabilities to meet world
class standards in pharma
transportation
The summit started with
the opening remarks by Dr K
Bangarurajan Deputy Drugs
Controller (India) who delved
upon the rapid changes in
regulatory framework critical to
enhance Indiarsquos pharma export
Currently India is exporting $16
billion of pharmaceuticals that
move to over 200 countries He
explained how the regulatory
bodies facilitated the vast
industry to reach this position
ldquoAfter the new government
headed by our Prime Minister
there was a circular by DGCA
that exports to regulated
markets like USA EU Japan
Australia need not be referred
for ADC port office NOCrdquo
Speaking on the role played
by Single Window Project as a
game changer for the Indian
pharma industry Gaurav
Dhanda Deputy Commissioner
Brussels Airport (BRU) and Mumbai International Airport (MIAL) proudly announce their
partnership in the recently launched PharmaAero initiative focused on improving pharma
handling and quality in the air cargo industry The Memorandum of Understanding (MoU)
was formally inked during the first edition of Pharma Logistics Summit
With the signing of this deal MIAL is the first airport in India to embark on a
community approach for the IATA CEIV (Centre of Excellence for Independent
Validators) Pharma certification thereby raising the local communityrsquos handling
standards and capability for temperature-sensitive pharma cargo
Speaking on the partnership Nathan De Valck Chairman PharmaAero ldquoWe are
thrilled that Mumbai Airport has confirmed their keen interest on becoming the first
Indian airport to join the PharmaAero initiative as a strategic member So they will
take the co-ordinating role within the Indian subcontinent in bringing the shippers
together and creating end-to-end pharma lanes together with us So the benefit for all
participating airports and shippers is that we will collaborate on creating end-to-end
certified pharma lanes sharing best practices in improving the overall handling quality
of pharmaceutical shipmentsrdquo
Steven Polmans Head of Cargo Brussels Airport Company said ldquoIn the not too far
distance selective gateways will handle more pharmaceuticals in a better way Brussels
Airport wants to be one of these selective gateways And I am sure Mumbai Airport shares
that desire For that reason Brussels Airport took the initiative together with some other
important airports to create a new organisation PharmaAero This organisation was
created to offer you the shipper dedicated pharma lanes around the globerdquo
On joining the PharmaAero initiative Manoj Singh Senior Vice President and Head
of Cargo Mumbai International Airport said ldquoWe are very pleased to sign the MoU with
the PharmaAero team It is something very different from any other associations which
is more focused on the airports and shippers connecting We believe this will really add
value quality and safety standards in the entire pharma industry This focused product
management will grow leaps and bounds and the airports are going to be informed
through shippers what exactly the quality they demand This will open communication
channels among stakeholders of pharma supply chainrdquo
PharmaAero is a collaboration of pharmaceutical shippers and airport community
stakeholders that embrace the IATA CEIV Pharma program and that are focused on
further building on the expertise gained in the program Members of this organisation
will share a common goal of strengthening pharma certified trade lanes and extending
pharma cold supply chains to reach new international markets
While Brussels Airport and Miami International Airport led the foundation of
PharmaAero other stakeholders of the air cargo supply chain soon joined the
initiative to give it global identity
Mumbai International Airport joins PharmaAero initiative
l-R Steven Polmans Nathan De Valck Manoj Singh
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom20
review | Pharma loGiSTicS SummiT
Customs (Single Window
Project) Central Board of Excise
amp Customs highlighted on
how the implementation of
SWIFT (Single Window Interface
for Facilitation of Trade) will
enhance efficiencies and has
enabled to reduce dwell time
and ease of doing business In
case of imports single window
project was implemented in
April 2016 whereas for exports
the same started last month
As far as air cargo traffic is
concerned over 90 per cent of
consignments are facilitated
The inaugural panel
discussion on ldquoEnhancing
pharma logistics _ New
strategies and methodsrdquo
was moderated by Vivek
Padgaonkar Director Project
amp Policy OPPI and among the
panelist were Steven Polmans
Head of Cargo Brussels Airport
Company Manoj Singh Senior
VP amp Head Cargo Mumbai
International Airport Ryan
Viegas Head of Logistics
APAC TEVA Gaurav Dhanda
Deputy Commissioner Customs
(Single Window Project) Central
Board of Excise amp Customs Dr
K Bangarurajan Deputy Drugs
Controller (India) Ramesh
Mamidala CEO CELEBI Delhi
Cargo Terminal Management
India and Tushar Jani Chairman
SCA Group of Companies
The panel echoed that
India has lot of opportunities
and room to grow and going
forward Indian pharmaceutical
exports will be the largest from
India in the coming years
The panel urged the need to
change the mindset of logistics
players and implement good
logistics practices and good
distribution practices
Polmans said ldquoFor the last
five years Brussels Airport is
looking at focusing on pharma
projects It was hence important
to get in contact with pharma
shippers which was not easy but
would have made a difference
We wanted to be a preferred
air cargo airport Soon direct
services between Mumbai and
Brussels will be launchedrdquo
Highlighting the scenario
of Indiarsquos pharma sector
Padgaonkar said ldquoIndian
pharma industry is placed third
in global rankings in terms of
volume but 14th in value The
gap between volume and
value needs to be narrowed as
global trade is fast moving from
volume-based to value-based
output To improve our ranking
it is imperative to strengthen
Intellectual Property protection
reduce business uncertainty and
increase investor confidence
Delegates at the event
Steven Polmans
Investments in research and
innovation are an integral part
of a nationrsquos growth trajectory
and India should aspire to take
its rightful place on the global
stage Given the infrastructure
and knowledge available in
India the next logical step
towards development for the
pharma industry as an aspect of
value creationrdquo
Dr Bangarurajan informed
ldquoPharmaceutical sector is one
of the top five FDI beneficiaries
in India At present there are
18 Medical Device Rules and
new Medical Device Rules
are in pipeline that will help
significantly improve the export
of medical devicesrdquo
Of the total cargo handled
at Mumbai International Airport
Ltd (MIAL) 40 per cent are
pharma temperature controlled
and non-temperature
controlled cargo Singh said
ldquoWe are upgrading Coolport
facility at MIAL and in the next
18-19 months we are expecting
an increase of 500 per cent
which will increase the capacity
to 450000 tonnesrdquo
Mamidala said ldquoIn 2013 we
designed a dedicated pharma
facility in Delhi airport that
handled 15-20 tonnes a day
Over the years we have made
huge investments and currently
the facility handles 200-250
tonnes a day The airports
should have global quality
facility to standardize pharma
exportsrdquo
Talking about the areas of
concern Viegas said ldquoThe
shippers need to take the
ownership for the products We
need to understand that the
regulatory bodies and airports
are facilitators We need to
change the mindset of peoplerdquo
Jain added ldquoAs far as Indiarsquos
pharma logistics is concerned
there is a need to build an
ecosystem and best
infrastructure for facilitate
smooth operations of pharma
logisticsrdquo
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017| wwwacaainewscom 21
need to change mindset of pharma logistics players
l-R Johan leunen Alban Francois Thomas Mathew Amit Chadha Vivek Acharya
Discussions ranged from changing mindset to making right management decisions
in order to experience an efficient pharma trade lane at the first edition of Pharma
Logistics Summit 2017 which saw the conglomeration of regulatory authorities
supply chain heads of pharmaceutical companies and logistics service providers
The day-long summit discussed key issues and steps to be taken to ensure end-
to-end visibility in the pharmaceutical supply chain The summit also deliberated
on reliable airline pharma servicesSpeaking on the kind of challenges the shippers face Thomas Mathew
Consultant Haffkine Bio Pharmaceutical Corporation emphasised on the requirement of moral training for the ground level workers who should be aware of what kind of pharmaceuticals they are handling ldquoThere should not be segregating but a collective responsibility in the supply chain In the logistics aspect when we entrust people for particular work they should have integrity and dedicationrdquo
Vivek Acharya Principal Consultant Pharma Supply Chain SynCore Consulting
seconded the views of Mathew and raised concern that although there is a
heightened level of awareness in the country with respect to maintaining the right
temperature of pharmaceuticals violations still happen during the course of air
transit ldquoSometime the spirit is lost Although the beginning and end temperature
comply you might find all kind of violations happening in course of the journeyrdquo
Acharya also pointed out that in remote airport areas there is power inconsistency
road networks are not very good and sometimes simple reasons like truck drivers
not carrying necessary documents or fuel shortage stops trucks for 36 to 48 hours
Acharya added that there should be heightened awareness when it comes to solving
these problems
Meanwhile Alban Francois Vice President Brussels Airlines Cargo commented
ldquoIt is all about trust in your partners and also giving the right toolsrdquo Brussels
Airlines Cargo is soon going to include Mumbai to its network ldquoWe want to
do pharma shipments out of Mumbai and to Mumbai So we will perform an
audit here in the upcoming weeksrdquo He went on to say that mindset is vital and
awareness for every single person is a key requirement ldquoAwareness comes with training We also have to do right
management decisions and people management is part for me of a good mindset and how do we plan stuffrdquo
The discussion emphasized that different parties across the entire value chain could be trying hard at their own
level but they seem to be working in isolation This compartmentalisation between different parties will not help
and all stakeholders have to come together The panel concluded that just having an SOP in place is not enough and
there is sheer need for policing and understanding of what is being practiced to a much higher level
It is all about trust in your partners and also giving the right tools We want to do pharma shipments out of Mumbai and to Mumbai Mindset is vital and awareness for every single person is a key requirement
alban Francois brussels Airlines Cargo
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom22
Among all the subjects discussed at the Summit this session brought to the fore the
most major concern of what can be done to achieve end-to-end visibility in pharma
air cargo shipments
The panelists for the session were Makarand Sane General Manager Export
Logistics Sun Pharmaceutical Industries Aditya Parulkar President Penta Freight
Pramod Sant Vice President Head of ImportExport Siemens Babette Desfossez
Customs Attacheacute Embassy of the Kingdom of Belgium Nathan De Valck Cargo amp
Product Development Manager Brussels Airport Company Reinout Puissant Cargo
Business Development Manager Brussels Airlines The session was chaired by Johan
Leunen Cargo Marketing Manager Brussels Airport Company
The panel urged the need to improve collaboration between the players in the
pharma supply chain
On how collaboration between the shippers and stakeholders in the supply chain
can be improved Aditya Parulkar Penta Freight said ldquoWell firstly its communication
A lot to do with data exchange that is real time exchange of information We get
really late information The problem that happens in transit are communicated to us
when the shipment reaches the destinationrdquo
Pramod Sant also believes communication is key He said ldquoIt becomes very
important how each partner will build their communication channel and that
depends on the volume handled by themrdquo
Presenting shippersrsquo point of view Sane said ldquoSometimes I believe too much
data is not good I donrsquot want to follow my shipment day and night On an average
we clear 13-15 shipments per day and they are all temperature-sensitive and to track
each and every shipment is a task It should be available when I want it When there
is temperature excursion there should be a red flagrdquo
Puissant said ldquoThe purpose for us to be proactive is so that when there is red flag
we can become alert and alert you as wellrdquo
According to the shippers on the panel most of the problems in the temperature-
sensitive commodity occur in the land and not in the air Pramod Sant Siemens
added ldquoThe reason for this is lack of training or the warehouse where the material is offloadedrdquo
Desfossez informed that the reason that they donrsquot do a lot of checks with the goods is because the labour is
expensive Also the mindset of the Belgium customs is that they want to be more customer friendly
Talking about what will prove to be a game changer in the industry for end-to-end visibility Nathan De Valck
concluded ldquoFor me technology is an enabler and what will make it happen is collaborationrdquo
Puissant believes transparency and adoption of technology will be a game changer for end-to-end visibility in
pharma shipments
technology and collaboration will be key drivers for end-to-end visibility
l-R Johan leunen Aditya Parulkar Makarand Sane Pramod Sant Babette Desfossez Nathan De Valck Reinout Puissant
On an average we clear 13-15 shipments per day and they are all temperature-sensitive and to track each and every shipment is a task When there is temperature excursion there should be a red flag
Makarand sanesun Pharmaceutical Industries
review | Pharma loGiSTicS SummiT
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017| wwwacaainewscom 23
NEWSCivil Aviation Minister inaugurates first integrated Heliport in Delhi
tHe first integrated Heliport was
dedicated to the nation by Ministry of
Civil Aviation in association with Pawan
Hans at Rohini Heliport Delhi After
inaugurating the facility the Minister
for Civil Aviation Ashok Gajapathi Raju
said that the heliport was an excellent
infrastructure but pointed out that
helicopter services in India are still at
a nascent stage He added that the
facility will keep the cost under control
as Maintenance Repair and Overhaul
(MRO) facility has been incorporated
This would also help in job creation He
also expressed the hope that the pilot
training centre would come up soon
The Minister of State for Civil
Aviation Jayant Sinha said that the
aviation sector is making history
almost every day and that the heliport
is one such event He said that the
facility will be useful in providing
medical emergency public safety and
enhancing tourism Sinha also said
that helicopter services could become
economically viable if the prevailing 25
percent tax on ATF was reduced
The Secretary for Civil Aviation RN
Choubey said that it is part of National
Aviation Policy to have four heliports
one in each region and Rohinirsquos heliport
is the first step He also said that
helicopter operations could be shifted
from Indira Gandhi International Airport
to Rohini
The Rohini Heliport has been
completed in almost two years at a cost
of nearly Rs 100 crores This Heliport
will provide all helicopter operational
facilities and will decongest busy Indira
Gandhi International Airport and also
promote Regional Air Connectivity
through helicopters in the northern part
of the country for regular passenger
services heli services landing and
parking of helicopters Helicopters
Maintenance Services disaster
management helicopter emergency
medical services (HeMS) law and order
surveillance The Heliport consists of
a terminal building having capacity
of 150 passengers four hangers with
parking capacities for 16 helicopters
and nine parking bays
Pawan Hans has also prepared
a roadmap to connect all the major
destination from this Heliport such as
Ex-Delhi to Shimla Haridwar Dehradun
Mathura Agra Meerut and Industrial
Hubs such as Manesar Bahadurgarh
etc They will provide air connectivity
between Delhi and neighbouring cities
from Rohini Heliport
Pawan Hans is working to develop
four ldquoheli-hubsrdquo in line with the
concept lines of the ldquoAirport-Hubsrdquo
and Rohini is the First step into this
series These heli-hubs will be a
one-point solution for the helicopter
business and will act as a heliport for
public passenger services MRO facility
for helicopter maintenance and also as
a skill development centre for training
of pilots AMEs and technicians
GVK MIAL Cargo bags lsquoCertificate of Meritrsquo on International Customs Day
gvK MIALS cargo division was awarded the
lsquoCertificate of Meritrsquo under the category of lsquoBest
Custodianrsquo on the occasion of International
Customs Day The prestigious recognition was
bestowed upon MIAL in an award ceremony
orchestrated by Devendra Singh Chief
Commissioner of Customs Air Cargo Complex
at the YB Chavan Auditorium recently At the
celebrations MIAL was felicitated in the presence
of Maharashtrarsquos Chief Minister Devendra Fadnavis
as Chief Guest and Godrej Group of Companyrsquos
Chairman Adi Godrej as the guest of honour
The Mumbai International Airport houses a
state-of-the-art cargo export terminal for processing
heavy and bonded cargo spread over 7500 square
metre and capable of handling 300000 tonnes
of cargo per annum The first-of-its-kind terminal
is a part of MIALrsquos ongoing Cargo Master Plan and
not only increments export capacity but also helps
reduce the overall dwell time by a considerable
extent Currently handling a throughput of over 07
million metric tonnes per annum
Each year the celebrations are set around a
particular theme this yearrsquos being ldquoData Analysis
for Effective Border Managementrdquo Important
stakeholders from the air cargo and ocean cargo
industry including exporters importers customs
brokers and customs officials from all over
India freight forwarders and other regulatory
authorities dealing with air cargo and ocean
cargo clearance were a part of the occasion The
decision for awarding the list of nominations
was made by a jury comprising of the Chief
Commissioners of Customs
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom24
NEWS
Jet Airways ink codeshare agreement with Fiji Airways
AAI to lead operations development and maintenance of Diu Airport
AAI DRDO and Jharkhand Govt sign MoU for development of Deoghar Airport
AIrPortS AutHorIty
of IndIA (AAI) has
undertaken the Operation
Development and
Maintenance of Diu Airport
from Diu Administration
A Memorandum of
Understanding (MoU)
demonstrating the
responsibilities has been
executed recently between
UT Administration of Daman
and Diu and AAI The
Operations Development and
Maintenance of Diu Airport
will now be led by AAI
The airport operations
were handed over to
AAI on March 10 2017
With this transition AAI
will provide required
facilities infrastructure and
management at Diu Airport
Further with the objective of
upgrading the infrastructure
and services at Diu Airport
Planning Department of
Airports Authority will shortly
develop the new design for
the airport At present Air
India operates scheduled
movements four times in
a week on Mumbai-Diu-
Mumbai sector on Viability
Gap Funding provided by
Diu Administration
AIrPortS AutHorIty of
IndIA (AAI) Defense Research
and Development Organization
(DRDO) and Government of
Jharkhand signed a tripartite a
Memorandum of Understanding
(MoU) for development of
Deoghar Airport in Deoghar
district of Jharkhand The
existing Deoghar Airport will be
developed for operations of A320
and C130 Aircraft
Signing of MoU took place
in a ceremony held at the Chief
Ministerrsquos Residence Chief Minister
of Jharkhand Raghubar Das
Union Minister of State for Civil
Aviation Jayant Sinha Minister of
Transport Govt of Jharkhand CP
Singh Dr Guru Prasad Mohapatra
Chairman of AAI and other senior
officials of State Government of
Jharkhand and AAI were also
present on this occasion
The Govt of Jharkhand has
acquired 60034 acres of land
which will be handed over to
AAI apart from the existing 5341
acres Deoghar Airport land DRDO
Government of Jharkhand and
AAI will provide Rs 200 crore Rs
50 crores respectively to develop
operationalise and maintain the
airport The time frame given to
develop and operationalise the
Deoghar Airport is two years
jet AIrWAyS and Fiji Airways
has announced a codeshare
partnership which offers guests
travelling on both carriers
convenient and seamless
connectivity between India
and Fiji via Singapore and
Hong Kong The codeshare
agreement a first-of-its-kind
between the airlines of the
two countries will address the
growing demand for travel
between India and Fiji
Jet Airways will place its lsquo9Wrsquo
code on Fiji Airwaysrsquo flights from
Singapore and Hong Kong to
Nadi and Fiji Airways will place
its lsquoFJrsquo code on Jet Airwaysrsquo
services between Singapore and
Mumbai Delhi and Chennai as
well as between Hong Kong and
Mumbai and Delhi All codeshare
flights will allow through check-
in to the final destination of any
journey JetPrivilege members
will also be able to accrue
and redeem JPMiles on the
codeshare flights operated by Fiji
Airways flights and the accrued
miles will count towards their tier
status as well
Gaurang Shetty Whole-time
Director Jet Airways said ldquoOur
codeshare agreement with Fiji
Airways reflects our continuing
commitment to the travelling
public to offer the best possible
connections to more and more
destinations around the world
which now extends to the
beautiful paradise of Fiji Ties
between the people of India and
Fiji can be traced back over a 100
year We believe this codeshare
partnership will play a pivotal role
in these endeavours by enabling
seamless connectivity between
both countriesrdquo
Andre Viljoen Fiji Airwaysrsquo
Managing Director and CEO
said ldquoThis is a very significant
achievement for both airlines
Demand for travel from Fiji
to India for tourism medical
treatment education and family
reasons keeps growing and
our codeshare agreement will
boost this even further And
with our convenient Hong Kong
and Singapore services which
connect with Jet Airwaysrsquo flights
we look forward to welcoming
more Indian travellers to our
home Fiji one of the most
sought after tourist destinations
in the worldrdquo
Speaking on behalf of the
Fijian Government _ the majority
shareholder of Fiji Airways _
the Attorney-General Minister
for Economy and Minister in
charge of Civil Aviation Aiyaz
Sayed-Khaiyum described the
new code-share agreement
as a major boost to relations
between the two countries ldquoThe
seamless connectivity that this
offers for travellers between Fiji
and Jet Airways destinations on
the Subcontinent and beyond
opens up all sorts of possibilities
for tourism and trade Fiji is
especially keen to attract more
investment from India and the
other countries serviced by Jet
Airways and this makes the
journey in both directions that
much easierrdquo he said
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017| wwwacaainewscom 25
Airbus to set up its first Asia training centre in New DelhiAIrBuS is setting up a greenfield
training facility at Aerocity New
Delhi This step has been taken
to support Indiarsquos growing need
for Airbus aircraft pilots and
maintenance engineers The
ground-breaking for the Airbus
India Training Centre (AITC) was
performed by P Ashok Gajapathi
Raju Union Minister of Civil Aviation
and Tom Enders CEO Airbus in the
presence of Jayant Sinha Minister
of State for Civil Aviation
India is the fastest growing
domestic aviation market in the
world and is expected to continue
to grow at an annualised 93
percent over the next 20 years
outpacing the world average of
46 percent The number of trips
per capita in India is expected
to quadruple by 2035 due to a
Tom Enders and P Ashok gajapathi Raju during the ground breaking ceremony in New Delhi
combination of economic and
demographic factors
To cater to this huge demand
Airbus forecasts a requirement
for at least 1600 new passenger
and freighter aircraft by 2035
Indiarsquos rapidly growing passenger
aircraft fleet must be matched
by adequate availability of skilled
pilots and maintenance engineers
Airbusrsquo pilot and maintenance
engineering training center is the
type of facility which will help
augment the talent pool of such
personnel and thus be a force
multiplier for the Indian aviation
sector said Raju
We have only scratched the
surface when it comes to the
growth of civil aviation in India
This training centre will be the first
such facility fully owned by us in
Asia It is a symbol of our enduring
partnership with this country said
Tom Enders CEO Airbus
The almost 7000 square metre
Airbus India Training Centre will
be built in a modular concept
in order to become operational
by end-2018 with two A320
full flight simulators increasing
to four and potentially to six
simulators in due course It will
start with an initial capacity to
train over 800 pilots and 200
maintenance engineers annually
The centre will cater primarily
to Airbus operators in India and
the region Airbus has more than
250 aircraft in service in India
and over 570 are on order by
Indian airlines
NEWS
Vistara and Airbus India ink agreement for pilot training
Qatar Airways to start domestic carrier in India
vIStArA has signed a five-year
agreement with Airbus Group
to provide training services to
Vistara pilots for the A320 type
aircraft The two companies
inked the agreement at the
launch of Airbus India Training
Centre (AITC) in New Delhi
which brings state-of-the-art
technology to India for the
training of flight crew The
AITC is equipped with the
latest software that accurately
simulates the aircraft handling
characteristics and system
responses ensuring Vistara
pilots are well trained and
become more proficient with
global standards
Through this partnership
Vistara pilots will gain
significantly from Airbusrsquo
world-class training
methodologies and systems
Commenting on the
partnership Phee Teik Yeoh
Chief Executive Officer Vistara
said ldquoWe are delighted to join
hands with Airbus at the launch
of its first training centre in India
QAtAr AIrWAyS Gulf
carrier and the state-run Qatar
Investment Authority plan to
start a domestic airline in India
This information was revealed
by the CEO of Qatar Airways
Akbar Al Baker while addressing
to a media query at ITB Berlin
Last year India had allowed 100
percent foreign direct investment
in airlines up from 49 percent
previously
Al Baker said ldquoYes we will have
a 100 percent owned domestic
carrier in India that will belong to
both QR and our state investment
arm as India has now allowed
foreign direct investment in
domestic carriers within Indiardquo We
will soon be making an application
to that effect he added
Al Baker was responding
to a question whether he will
increase stake in IAG further He
said he had no intention to do
so at the moment but will file
an application for an airline in
India soon
As India gears up to become
the worldrsquos third largest aviation
market it is imperative to have
adequate world-class training
facilities to ensure a steady
pipeline of proficient pilots
This partnership underlines our
uncompromising commitment
to uphold the highest of safety
standards and operational
excellence I am confident
that our pilots will immensely
benefit from Airbusrsquo in-depth
and specialised training
solutions It will help us tread
a path towards industry
leadershiprdquo
ldquoWe are honoured to have
Vistara as the first customer
for the Airbus India Training
Centre We will start training
their pilots when the centre
becomes operational end-
2018 Our success is tied to the
success of our customers and
one way we contribute to that
is by offering them our services
like flight training said Dr
Srinivasan Dwarakanath
President Commercial Aircraft
Airbus in India
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom26
Emirates SkyCargo lifts more than 200 tonnes of flowers in Q1 2017
NEWS
Brussels Airlines adds Mumbai to its international network
Alliance Air to connect SAARC countries
eMIrAteS SKyCArgorsquoS new
cargo statistics has shown a
growth in the export of flowers
from major Indian hubs this year
While the airline uplifted more
than 550 tonnes of flowers in
2016 (January _ December) from
India it has already recorded
an uplift of more than 200
tonnes this year The carrier
attributes this marked increase
to the pre-Valentine day rush
Unsurprisingly roses were the
most uplifted flowers from across
its hubs in India
Apart from roses this year
also saw a rise in number on the
export of other exotic flowers like
jasmine orchids and carnations
from hubs like Bengaluru and
Mumbai Flowers were exported
from India not only for demand
around Valentinersquos Day Mothersrsquo
Day and other similar events but
also for religious purposes like
garlands for temples outside India
The transportation of flowers by
the air cargo carrier is a year-
round activity from its hubs such
as Bengaluru Mumbai Chennai
and Kolkata This year Bengaluru
and Mumbai already witnessed a
record uplift of close to 150 and
80 tonnes respectively in just the
first two months of the year
Speaking on the flower uplift
Keki Patel Cargo Manager (India
amp Nepal) Emirates SkyCargo
said ldquoMany regions in India have
the ideal climate for cultivating
flowers all year round offering
excellent growing conditions
We have witnessed a surge in
flower demand this year from
destinations like Europe who
have experienced a harsh winter
this year We have reported
strong volumes of flower
transport in the weeks leading
up to Valentinersquos Day this year
which will play a substantial
part in the total yearly volume
recorded for 2017rdquo
Sophisticated logistics by
Emirates SkyCargo ensures quick
and reliable air transport of these
delicate goods to destinations
across its global network State of
the art equipment and facilities
help avoid the wilting of flowers
Roses are hand harvested
and then sorted arranged in
bouquets and hand-packed into
boxes which are then loaded on
the aircraft Emirates SkyCargo
has transported Valentinersquos Day
flowers this year to Amsterdam
London Gulf countries like
Kuwait Bahrain and United Arab
Emirates US destinations like New
York and San Francisco
Emirates Skycargo also offers
a range of innovative cool chain
solutions to ensure that the
flowers are maintained at the
right temperature from the origin
to destination One such solution
is lsquoWhite Coverrsquo an innovative
temperature protection
solution that is cost efficient
and environmentally friendly
Designed to shield temperature-
sensitive cargo from solar heat
during transportation it is water
resistant yet breathable making it
ideal for the transport flowers
BruSSeLS
AIrLIneS
welcomes the
summer season
with new
destinations and
higher flight
frequencies The
main highlight
of the schedule
is the launch of
Mumbai route In addition the growth of the European
network with new leisure destinations
The biggest newcomer in Brussels Airlinesrsquo
intercontinental network is Mumbai Brussels Airlines
will fly five times a week to the economic heart
of India The Mumbai-Brussels flights can all be
combined with Brussels Airlinesrsquo connections to Africa
the US and Canada
Both the European and intercontinental routes grow
significantly during the 2017 summer season which runs
from end of March till October In an average summer
week Brussels Airlines offers eight percent more seats
compared to last year
ALLIAnCe AIr regional arm of
Air India is looking at spreading
its wings abroad Plans are afoot
to connect cities like Dhaka
Kathmandu Colombo and Male
from various Indian cities Alliance
has already applied to the authorities
for permission to start international
operations and is working on to
enhance its fleet strength to get to
20 aircraft the minimum number
required to begin international
operations as per the guidelines of
the Ministry of Civil Aviation The
fleet of Alliance Air largely consists of
turbo-propelled ATR aircraft
According to media reports the
start of flights by Alliance Air will
not see the withdrawal of flights
that Air India is operating to either
Kathmandu Male or Dhaka
On the domestic front Alliance
Air plans to start services between
Vizag-Vijayawada-Tirupati apart
from operating flights connecting
Chennai to Coimbatore and Chennai
to Madurai The airline is also looking
to see Alliance Air launch flights
from Delhi to Pathankot Lucknow
and Udaipur apart from a service
connecting the national capital to
Jaipur and Agra
Alliance Air has also gone in for
another rebranding exercise _ now
its aircraft have the Konark emblem
on their tails A few years back
Alliance Air had rebranded itself to be
called Air India Regional
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017| wwwacaainewscom 27
Logistics associations meet GST Working Group seek exemption for exim trade services
NEWS
Air cargo grew at 93 from April 16-Feb 17AIrPortS AutHorIty of
IndIA (AAI) furnished statistical
report that showed total
passenger traffic (both domestic
and international) at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed
a growth rate of 189 percent
Total air cargo at all Indian
airports during 2016-17 (April
2016-February 2017) witnessed a
growth rate of 93 percent
Main steps taken by
Government for growth of air
cargo are as follows
(a) The Ministry of Civil Aviation
(MoCA) has got the dwell-time
study conducted at six major
airports in the recent past to
identify the reasons for higher
dwell time in Indian airports and
corrective action(s) required The
free period for air cargo has been
reduced from 72 hours to 48 hours
wef April 1 2017
(b) The concept of 24x7 customs
clearance of importexport cargo
has been initiated at 13 airports
(c) The concept of lsquoSingle
Windowrsquo has been launched by
customs wef April 1 2016 in
phased manner which inter-alia
ensures on-line clearance from
various regulatory agencies
(d) For handling international
cargo at its airports AAI has
provided Automatic Storage amp
Retrieval System (ASampRS) as well
as Elevated Transfer Vehicle (ETV)
facilities for handling both import
LogIStICS InduStry leaders
from Federation of Freight
Forwarders Associations in
India (FFFAI) Air Cargo Agents
Association of India (ACAAI)
Association of Multimodal
Transport Operators of India
(AMTOI) and Consolidators
Association of India (CAI) recently
met JM Kennedy ADG DGR
Working Group Transport amp
Logistics in Chennai
The Central Board of Excise
and Customs (CBEC) constituted
GST Working Groups in March to
interact with select industry sectors
to address their concerns relating
to GST implementation issues
Welcoming the basic
objective of the Tax reformation
called Goods and Services Tax
(GST) as a revolutionary step
the associations maintained
that there are certain
provisions in the proposed
GST law causing concerns for
freight forwarding customs
broking logistics services and
manufacturing and exports
industry in the country
The association leaders
pointed out that currently
there is no service tax for freight
(l-R) Naveen Prakash from CAI Vivek Kale from AMTOI Samir Shah from FFFAI J M Kennedy gST Working group Vaitheeswaran Advocate and Hemant Bhatia from ACAAI
forwarding in the air and sea
cargo segment based on Rule
10 of the lsquoPlace of Provision
of Service Rules 2012rsquo which
provides that in respect of
taxation on transportation
of goods (other than mail or
courier) criteria should be the
lsquoPlace of Destination of Goodsrsquo
However the proposed
GST law plans levy of GST on
international transportation as well
as freight forwarding which is in
variance with the GST Provisions in
other countries as well
In addition in the international
air segment all airlines have
registration in India and when
a freight forwarder purchases
an air freight slotspace from
the airline the tax would be
applicable as per GST rate on
services Currently there is no tax
imposed on freight forwarders for
the same
Similarly levy of GST on
import cargo would also result
in double taxation (since on the
entire freight customs duties
are being levied under Section
14 of the Customs Act) affecting
re-export or Exim trade
and export cargo respectively at
Chennai and Kolkata Airports
(e) All the international air cargo
terminals managed by AAI are well
equipped with sufficient storage
space cargo handling equipment
cold rooms for perishable cargo
and other basic facilities
(f) The Common User Domestic
Cargo Terminal (CUDCT) concept
has been introduced for
maximum utilization of facilities
(g) AAI has prepared a road map
to create cargo infrastructure and
facilities at 24 AAI Airports initially
provide impetus to economic
growth and development
on pan-India basis to ensure
harmonious growth of all regions
in India
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
APR - JUN 2017 | wwwacaainewscom28
NEWS
Emirates SkyCargo ensures freshness of perishables launches Emirates SkyFresh eMIrAteS SKyCArgo the
freight division of Emirates
has launched Emirates
SkyFresh _ a suite of solutions
that help maintain the
freshness of perishables and
fresh consumables during
transportation
Emirates SkyFresh brings
together Emirates SkyCargorsquos
state of the art infrastructure at
its hub in Dubai a modern fleet
of wide-bodied aircraft including
freighters a range of innovative
cool chain solutions including the
brand new ventilated cool dolly
and experienced staff to ensure
that perishables such as fruits
vegetables fresh fish and seafood
meat and flowers maintain their
freshness during the entire air
transportation process
Emirates SkyFresh will
feature three levels _ Emirates
SkyFresh Emirates SkyFresh
Breathe and Emirates SkyFresh
Active _ offering varied levels
of cool chain protection for
different kinds of perishables
The basic solution Emirates
SkyFresh is geared towards
temperature tolerant fruits
and vegetables and will offer
quick ramp transportation and
thermal protection through
Emirates SkyCargorsquos White
Cover blanket Emirates SkyFresh
Breathe provides protection for
temperature sensitive perishables
such as fresh cut flowers ready
to sell cut fruits and vegetables
and fresh fish Unique features
will include prioritised ground
handling as well as the use of the
Emirates SkyFresh ventilated cool
dolly Emirates SkyFresh Active
will offer the highest protection
for perishables that cannot
withstand any temperature
deviation using specialised
temperature controlled
containers during transportation
The Emirates SkyFresh
ventilated cool dolly is Emirates
SkyCargorsquos latest innovative cool
chain protection product which
helps preserve the freshness of
perishables that require constant
Lynne Embleton takes over as Chief Executive of IAG Cargo
Ibrahim Hakki Guntay appointed as new GM ndash Western amp Southern IndiaIAg CArgo has appointed Lynne
Embleton as Chief Executive
Embleton current British Airways
Managing Director at Gatwick
is the new Chief Executive of
IAG Cargo with immediate
effect She will also join the
IAG management committee
reporting directly into its Chief
circulation of fresh cool air The
ventilated cool dolly not only
maintains a constant temperature
while transporting cargo but
also has a ventilation system
that allows it to bring in fresh air
from outside The fresh air is then
cleaned using custom built filters
cooled and then circulated inside
the refrigerated interior where the
temperature sensitive perishable
cargo is stored The Ventilated
Cool Dolly features aluminium
and PU insulated panels and can
carry a weight of up to 16 tonnes
The ventilated cool dolly can fit a
variety of belly hold lower deck
Unit Loading Devices (ULDs)
including pallets in its interior
Transporting perishables is
an important part of business
for Emirates SkyCargo People all
over the world are increasingly
aware and interested in
culinary flavours and produce
from different countries and
regions In line with this trend
the catering and hospitality
industry globally has also been
offering more international
dining choices to customers
More and more perishables from
different parts of the world are
shipped by air to ensure that the
products arrive fresh and within
a short span of time at the
destination
In 2016 Emirates SkyCargo
transported close to 400000
tonnes of perishables across
its global network of over 150
destinations
turKISH AIrLIneS has
appointed Ibrahim Hakki
Guntay as the General
Manager of Turkish Airlines
for Western and Southern
India In his new role
Guntay is taking charge of
Turkish Airlinesrsquo strategic
success in this region and
is responsible for driving
growth and expansion of
the companyrsquos market share in India stated a release
Prior to moving to Mumbai Guntay built his career
at Turkish Airlines in Istanbul starting in 2013 as a
marketing and sales specialist He was engaged in various
responsibilities and projects within the airline including
General Manager in Niger (2015-2016)
Guntay is a Turkish born in Kayseri and graduated in
Economics from Bogazici University
Executive Willie Walsh
Embleton will replace Drew
Crawley who becomes Chief
Executive of Avios which is the
Grouprsquos loyalty programme
Embleton has over 25
years of experience across the
Group heading up strategy at
British Airways before moving
on to become British Airways
Managing Director at Gatwick
Previously she was on the IAG
Cargo board as a non-executive
director for over four years
Walsh commented Lynnersquos
extensive experience across
Group strategy as well as on
the IAG Cargo board will be
invaluable in the continued
growth of our cargo business
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners
20-22 FEBRUARY 2018 MUMBAI INDIA
VENUE
BOOKNOW
eventsstattimescom acistattimescomwwwstattimescomACI2018
For bookings contact
Organised By PrincipalMedia Partner
Media Partners