Date: Oct 16 2017
Title: Air Freight Market Update Report for Week 42


Bangladesh
This week the market situation is same as last week, no improvement.  Airlines require booking minimum 5 days in advance.
All carriers need to do second time screening for EU bound cargo until further notice and that causes of extra time of 2-3 days at transit hubs. 
Due to such situation, air freight capacity drop (both passenger and freighters). 
Transit hub has space and man power shortage to do such work, in light of the situation air space pressure come up gradually.
EU mandatory second airport screening issue not solved yet but the machine has been installed.  Waiting for EU security team for checking and testing. 
At this moment DAC airport approximately 2000-2500 tons backlog.

China
Shanghai
Shipments to EU will backlog 1-2 flights at PVG.                                                                                                                                     
Due to low demand of US market after CN holidays, rates decreased about 10-25% but EU market is hot caused rates increased and space tight.
Request pre-booking 4-5 days in advance.

Xiamen
There is no backlog at Xiamen air market and air space is available for most carrier.

Hong Kong
In comparing with last week, space are more critical especially on west coast & advance booking is required

India
Delhi (DEL):  Custom EDI system is back to normal functioning.
Airport has little rush of cargo as there were holiday during last week & coming week.
Airlines rates have come down 5% but space will still tight, all US Sectors onward confirmation is delayed from transit points. 
Shipment to all major US ports are getting longer transit by 4-6 days. 
Even European Sectors, airfreight rate and transit time has increased,               

(CCU):Sudden Rush of Cargo Due to local festival. Airfreight rate increased by about 15%.
Space is issue as onward connections are delayed.

Bangalore (BLR): Space situation is very tight for ATL/JFK & LAX and rates are still high.
Accepting cargo only against advance booking and sub to onboard confirmation

Mumbai (BOM): There is heavy back-log at Mumbai airport and it is increasing day by day. 
Back-log of few major airlines are  BA: 35 Tons; EK: 50 Tons; QR: 40 Tons for Middle East, Europe, US Sectors. 
Airlines are accepting the cargo on express mode for immediate booking and for normal booking they need 10-15 days advance booking request. 
Airlines are now stopped giving discount on the freight due to over booking.
Custom EDI system is slow as usual and long queue of trucks at the airport to cart the cargo is now become regular scene.

Chennai (MAA): Chennai Airport Operation situation is normal but most of the carriers issuing carting under mode of Express Rates only,
 as well as the small shipments consider in normal modes by most of the carriers.
Onward connection is getting delayed as this reason they are quote higher side rates. The cargo  booking  is delayed for U.S./ Europe countries.
Air cargo bookings its all based on subject to space only.  onward schedule is getting delayed by 4 to 5  days. 

Korea
After long holiday, both of local/transfer cargo demand are getting strong day by day. In particular, the transfer cargo volume from China is enormous.
Due to the full-fledged peak season after long holidays, airlines have announced additional freight hike effective OCT 16 at the same time announces
FSC increase for ex ICN as below too.  The air rate increase range shall be noted on next Monday.

Taiwan
1. Taipei airport backlog is around 140ton.
2. Taiwan Semiconductor Manufacturing Company Ltd (TSMC)'s project (whole plant output) from TPE to NKG  via CI charter service with 3 flights per week. 
As a result, it causing critical space for TPE to NKG and some other cargoes via CI ex TPE to PVG.
3.EVA AIR will implement a general rate increase of 20~25% for all the shipments from Taiwan to North America with effect from 15 Oct 2017.
4.CI  announce rate 15%~20% increase based on current selling rate from Taipei to USA, Canada, and Latin America with effective as of 16OCT, 2017.
5.CX  has adjustment of fuel surcharges details is Taiwan export shipments with effective from 1 Oct 2017,
TC IATA I, II,  TC IATA III to increase.
6.CX TAIPEI – NORTH AMERICA freightage will be adjusted to increase from 16 October 2017.TPE- WEST COAST freightage will be adjusted.

Thailand
The space situation for air shipment to USA & Europe gateways still tight due to high demand of the goods from others origins.
As per the airlines, there are a lot of cargo waiting for uplift from China after long holiday.
So, the space of connecting flight is very tight. CI & QF can not accept booking till end of this month.
Transit time remain longer than normal situation.
Advance booking require at least 1 week.

Vietnam
Market is same as last week, tough with heavy backlog.  As forecast, situation will prolong to end of this year.
Rate is increasing 10% more. Transit time is longer than normal, may reach 7-8 days and not easy to get booking confirmation.
Due to long holiday in China, Hong Kong, Korea, many flights to these destinations are cancelled and will be back to normal from 10.Oct

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