[261220.EN.BIZ] Forwarders Furious Over 'Monstrous' Rise In Air Cargo Handling Charges

 

FORWARDERS have expressed anger at the latest round of air terminal handling charge increases, calling them "monstrous", with one describing the hikes as "a joke".

WFS is the latest to unveil new charges for January, which, at Heathrow, include a GBP22.50 (US$30.35) Covid charge, with import fees for loose cargo set at GBP0.20 per kg.

Dnata, which, like Swissport, publishes charges in April and October, is currently charging GBP0.18/kg, while Swissport is at GBP0.19.

"This is a real joke," said one forwarder. "They [the charges] are phenomenal, and some of the highest handling rates for air cargo globally - it's about GBP2,500 for a 10-tonne shipment.

"The WFS charges are monstrous. They are halving staff, elongating cargo availability and readiness and then charging substantially more for it, and that's without the Covid fee, reports UK's Loadstar.

"We are paying Rolls-Royce Phantom prices for an Austin Allegro."

He added: "The problem is that we are a captive audience, we have to use the handlers the airlines use, and we just have to pay."

While one forwarder said he didn't expect to see any additional investment from handlers despite the charges, WFS claimed it was investing.

In a statement, WFS said: "Our terminal handling charges are reviewed annually and communicated to our customers. They are implemented at country level and reflect particular cost structures in each country, reflecting rising labour and operating costs, capital investments, technology improvements, rent increases and other developments implemented across our business which also help to deliver productivity gains and other benefits for our customers.

"For example, these include our investments in dedicated pharma facilities across our network and the deployment of new technologies, such as our upgraded and improved operating system to reduce truck waiting times for collections and deliveries through the use of slot bookings/dock times and kiosks to speed up vehicle processing at WFS facilities.

Menzies, meanwhile, said it had no immediate plans to increase its tariff, and has already withdrawn its Covid fee. But it said handlers needed to charge enough to ensure a sustainable business.

Source : HKSG.