Changi Airport Group Hosted 14th Edition of Let’s Talk Cargo

Changi Airport Group (CAG) held its 14th edition of Let’s Talk Cargo on 2 March 2023 at Crowne Plaza Changi Airport. Let’s Talk Cargo 2023 attracted over 200 participants from the air cargo community from various airlines, freight forwarders, logistics companies, ground handlers and government agencies.

The physical event featured distinguished speakers from Seabury Cargo, Economic Development Board (EDB), Cainiao Network and Novartis as well as a panel discussion focused on sustainability in the air cargo supply chain. During the event, the participants witnessed a Memorandum of Understanding (MOU) signing ceremony between Brussels Airport Company (BAC) and CAG to augment both companies’ strategic partnership in air cargo development. Under the MOU, the two airport companies will jointly explore and undertake trials and initiatives in areas of growing importance, such as specialised air cargo handling. One of the projects both airports will be involved in is a Green Air Pharma Corridor study, undertaken together with other Pharma. Aero members, to establish a green lane with a set of sustainability standards to be achieved throughout the supply chain.

During the presentation, Seabury shared that global air trade demand was down by 17% in December 2022 compared to the previous year with transpacific air trade seeing a steep 31% decline during the same period. While the resumption of passenger flights across Asia Pacific region may have boosted the recovery of belly cargo capacity, the plummeting freight rates for ocean cargo and challenging global economic outlook suggest that the headwinds facing air cargo demand are likely to continue into 2023. Despite the headwinds, EDB shared that there are bright spots in the Singapore’s manufacturing sectors which could increase air cargo flows in the near term. CAG also reported that despite a challenging second half of 2022, Changi was ranked amongst the top 10 global air cargo hubs by international airfreight in 2022. As of December 2022, Changi’s weekly freighter flights increased 5% when compared against 2021, to over 500 weekly flights.

Cainiao Network shared on the future of e-commerce and how technology is critical to support the growth of this cargo vertical. On Cell and Gene Therapies (CGT), Novartis gave an insightful presentation on CGT and what pharmaceutical companies looked out for when shipping CGT products.

During the panel discussion on supply chain sustainability, a group of distinguished guests from the industry, including representatives from BAC, Civil Aviation Authority of Singapore (CAAS), dnata, SATS, and Singapore Airlines shared their insights on ways to improve environmental performance and reduce carbon footprint of the industry.

Polling of surveys were conducted throughout the event. The following results were gathered with active participation from the audience, hence the insights reflect the perspectives and sentiments of the air cargo industry.

Opening Address by Mr. Lim Ching Kiat, Executive Vice-President, Air Hub and Cargo Development, Changi Airport Group

Mr. Liew Zhong Yao sharing Changi's Air Cargo Performance: 2022 Year in Review and Looking Ahead

Panel discussion segment on Sustainability in the Air Cargo Supply Chain

Changi Airport and Brussels Airport Augment Strategic Partnership in Air Cargo Development via a Memorandum of Understanding

On 2 March 2023, Changi Airport Group (CAG) and Brussels Airport Company (BAC) signed a Memorandum of Understanding (MOU) at CAG’s annual Let’s Talk Cargo industry seminar in Singapore. Besides augmenting strategic partnership in air cargo development, the MOU also aims to deepen cargo competencies of both airports. Both airports will exchange best practices, drive joint initiatives to enhance capabilities in pharmaceutical logistics and digitalisation, and undertake studies and trials in emerging fields such as sustainability.

It will not be the first time CAG and BAC are collaborating on projects, as both airports have partnered on air cargo initiatives since 2016. One of their first joint initiatives was the co-founding of Pharma.Aero with Miami International Airport. Pharma. Aero is a non-profit organisation where members collaborate to enhance the industry’s pharmaceutical handling capabilities. Under the collaboration, both airports aim to share best practices and co-develop use cases to enhance the air cargo community’s capabilities in handling temperature-sensitive pharma shipments through the standardisation of procedures and key performance indicators.

Under the focus area of Sustainability, a key project both airports will co-lead is a Green Air Pharma Corridor study undertaken with Pharma.Aero members. This study will establish a green lane where stakeholders throughout the supply chain (airports, cargo handlers and airlines) put in place targeted measures to achieve decarbonisation. The project aims to guide pharma manufacturers and shippers, as well as freight forwarders, in their sustainability considerations when selecting pharma lanes.

Where Changi Airport has extensive experience in the operations and management of airports in Singapore and overseas, Brussels Airport offers a well-established passenger network and unique cargo platform (BRUcargo) with strong community-driven expertise in handling pharmaceuticals and life sciences, perishables, e-commerce and live animals. On the air connectivity front, CAG and BAC will also work together to strengthen passenger and cargo connectivity between Singapore and Brussels.

Mr Lim Ching Kiat, Executive Vice President of Air Hub & Cargo Development, CAG and Mr Geert Aerts, Chief Cargo & Real Estate Officer, BAC signed an MOU on air cargo development

"The industry has witnessed how the Covid-19 pandemic has transformed the air cargo supply chain. More than ever, handling capabilities are key to the competitiveness of the air cargo ecosystem. As CAG pushes forward with our digitalisation efforts to enhance Changi Airport’s air cargo processes for higher handling efficiency, we look forward to exchanging insights and learning from Brussels Airport and Air Cargo Belgium," said CAG’s Mr Lim.

"We are happy to sign this Memorandum of Understanding with Changi Airport and to further enhance our longstanding partnership. By exchanging expertise and building on our alliance to tackle the challenges and opportunities of today together, we can leverage the best practices and become more interconnected between our hubs," said BAC's Mr Aerts.