The maritime-air transport model: one to make Singapore a shipping hub: experts

meREWARDS allows you to get coupons and earn cash when you answer surveys, dinner and buy with our partners

SINGAPORE: Singapore’s maritime and aviation industries will expand their sea-to-air transhipment functions to capitalize on expansion spaces resulting from the global pandemic.

This shipping mode is a multimodal approach, where the adventure is done by sea and the other by air.

Industry players say this may only be an opportunity for Singapore of its prestige as a hub, which has been greatly affected across the pandemic final foreign borders of COVID-19.

Transport Minister Ong Ye Kung said last July that the country “takes for granted” that Singapore will remain an aviation hub once COVID-19 is completed.

In his department’s additive to the president’s speech on 27 August, Ong stated that while the maritime sector remained “relatively resistant” to the pandemic, air transport was “decimated.”

CLOSED BORDERS, HIGH PRIORITY CARGO

With foreign borders closed, passenger movements at Changi Airport have been drastically reduced.In February, passenger movements decreased to 32.8 cents compared to last year.By April, the decline had fallen to 99.5% and July’s most recent figures put it at 98.5% less than last year.

Air shipment movements were also affected.July’s most recent knowledge of Changi Airport puts it at 30.1% less than last year.

Before the COVID-19 pandemic occurred, part of the global air shipment was transported in the abdomen of passenger aircraft.With fewer passenger flights in the air and only around 2000 committed shipping ships in the world, fewer shipments can be moved.

The limitation of air shipping capacity is that there has been a change to a high priority shipment, said the floor manager at THE SATS airport.

SATS President and CEO Alex Hungate said the delivery of perishable products remained resilient, although the two categories that exceeded the maximum were e-commerce and medical supplies.

“E-commerce has increased by about 20% since last year, as a category, and then medical supplies, pharmaceuticals, have increased by about 16%,” Mr. Hungate.

“Now we all wear masks and other gadgets if we’re on the front line.”

SPECIAL MANAGEMENT OF COVID-19 VACCINES

One medical source that Mr Hungate is about to advance in the long run is a COVID-19 vaccine, when ready.

SATS has a temperature-controlled facility called Coolport, which moves temperature-sensitive products, such as vaccines, through the sea and air, making Singapore one of the few countries in the world able to care for the vaccine.

“Some vaccines are very sensitive to temperature, so they only live if they remain between 8 degrees Celsius and 12 degrees Celsius.So this four-degree diversity means you must have the driving standards,” Mr. Hungate.

Mr Hungate added that SATS Coolport has been rated as the world’s first center of excellence in pharmaceutical handling through the International Air Transport Association (IATA).

“This means that we have attracted many of those temperature-sensitive medical cargoes to Singapore from other potential centers that compete with Singapore,” he added.

In addition to medical transportation, SATS Coolport is also supplied to take care of other temperature-sensitive products.

In 2017, it became the first worldwide to obtain European Union approval to break down and care for New Zealand meat in the direction of Europe.

“If you ship meat from New Zealand to Europe, you will have to pass completely by air or sea, because the European Union would not allow the meat to be unpacked and repackaged outdoors from New Zealand and upon arrival in Europe,” Mr. Hungate.

The seal of approval is an acknowledgement of the main handling criteria.’They recognize that this is done with the right quality criteria (such as) that allow the breakdown of shipment outside the doors of New Zealand or Europe,’ Mr. Sir.Hungate.

Sea-to-air transhipment is also suitable for microelectronics and complex production products, SATS said.

BUILDING ON PROFITS

Ngai Simin, of analytics and knowledge company Cirium Dashboard, said the aviation industry deserves to seek tactics to take advantage of Singapore’s maritime reputation.

“Singapore’s reputation as a world-class transfer and power center that still offers …We have a giant port that is very evolved in terms of processing capacity,” ngai said.

“What will link maritime and air transport with Singapore is that we are a highly evolved country with very smart road networks,” he added.

With these advantages, agencies are exploring how Singapore can become a hub for perishable food products.

A hybrid style of air and sea transport allows for fast transit time and allows shipment to succeed in consumers in a timely manner, especially for refrigerated products, said Tan Beng Tee, Deputy Director General of Progression at the Maritime and Port Authority of Singapore.Training

He added that government agencies are working hard in combination to expand the transshipment from sea to air.

Enterprise Singapore added that the growing expansion of e-commerce between businesses and customers has led to increased customer demand and the expectation of faster, more effective, and lower-cost delivery options.

There may be a domino effect on the rest of the industry, as ESG said logistics corporations that can provide end-to-end responses will be in a better position for those opportunities.

Companies like ALEX Fulfillment are waiting for this wave.

The logistics and delivery company said demand for garage and delivery for e-commerce increased by 60% since the start of the pandemic.

“We had a lot of corporations that historically didn’t focus much on promoting their products online, which focused a lot on updating their own website, their own market or classic markets like Lazada, RedMart and all that,” said Rodney Ee, MANAGING Director of ALEX Fulfillment.

“This necessarily required much more logistics in terms of deliveries, but also in terms of storage.

WHY NOW

Sea-to-air transhipment has not been an unusual option, as any of the strategies have its own distinctive advantages.

Air shipping is much faster and more direct because planes go from one point to another, so high-value goods tend to travel by air.

Statistics published through IATA prior to the pandemic showed that, while air shipment accounted for approximately 1% of global industry shipments by volume, it accounted for 35% of the world’s industry in terms of prices.

On the contrary, maritime transport transported 90% of the volume of world industry, according to the International Chamber of Navigation, and the remaining 9% was transported by land; however, this is a much slower option.

But due to disruptions in the global chain due to the pandemic, demand for multimodal transhipments has increased.

Enterprise Singapore said it sees more and more logistics operators diversify their shipping options.

“More and more industry players have begun to take advantage of multimodal transhipments (air-sea, sea-to-air) or industry routes of choice to ensure that goods do not scale,” said a spokesman.

The gap between air and sea fares has also widened in months, offering an opportunity for sea-to-air shipments.

“In April and May, at the height of flight restrictions, the air shipping rate increased its rate by 10 times,” SATS Hungate said.

“The gap between air freight and sea cargo can be in the order of 20 times one, so there is a great opportunity amid the 20 times higher value for loaders, a mixture of air and sea,” he said.Additional.

WHAT NEEDS TO BE DONE

Industry and government agencies said more needs to be done so that the aviation and navy industries can combine seamlessly.

“The movement between the sea and the air is not effective enough.Because they speak their own language, there are the marine sets, then there are the aeronautical sets, and they have other pricing and billing strategies to the carrier,” Mr. Sir.Hungate.

He added that SATS is running on a virtual with the PSA port operator.

“We are creating interfaces that will allow carriers to stay at the airport with the main floor engine, which will have to ship goods from Changi to PSA and then to ships.So this is an opportunity for Singapore in this troubled world that we will have to push together.»

Enterprise Singapore said generation had advanced chain flows and power by optimizing shipment movement.

But for Singapore to succeed in its full sea-to-air transhipment potential, Singapore’s air connectivity will have to return.

“In the case of the sea, we have two hundred shipping lines that join us to six hundred ports, it is a networkArray of very extensive attachment.If we link him to an air deputy, he’ll give us a very complete network,” he said.Mrs. Tan of MPA.

But until passenger flights leave, SATS HUNGate, Singapore’s prestige as a maritime and air hub can remain fragile.

“With such small volumes, the connectivity in Changi is not enough to attract flows.Like a passenger, you don’t need to make a big stop at a transit point before you have to take your connecting flight.the same for senders: they don’t need their shipment to be made for a long time, ” said Mr. Hungate.

“So we want more flights, we want to go back to the critical mass of airport connectivity, than once it turns it back into a dynamic hub,” he added.

Download our app or subscribe to our Telegram channel to receive updates on the coronavirus outbreak: https://cna.asia/telegram

Leave a Comment

Your email address will not be published. Required fields are marked *