Air Cargo Logistics ? Benefits Of Air Freight Service Success

1. Air Cargo Logistics: What is it?

Air Cargo Logistics refers to the process of moving cargo by air. This is also regarded as a well-liked kind of service that many companies decide to employ for product transportation. Air transport refers to the processes, actions, and services involved in moving cargo from point of origin to point of destination via air.

There are two ways that commodities will be transported: either by employing specialist cargo aircraft (Freighter) or by loading them into the cargo hold of passenger aircraft. This is a quick, adaptable, and secure mode of transportation that's frequently utilized to move expensive products, items with unique characteristics,...

2. The benefits and drawbacks of air travel for logistics

The following are benefits and drawbacks of air transportation:

2.1 Advantages

The quickness of air travel is by far its greatest benefit. Compared to other modes, airplanes can transport cargo or passengers at speeds of up to 800–1000 km/h on average. Additionally, this service offers other exceptional benefits like:

• Without any type of landscape like roads and waterways
• Rapid distribution time.
• Minimize losses due to handling, theft and breakage.
• Because freight insurance carries fewer risks than other options, the rates are lower.
• Because of the features of the product and its quick processing, storage costs are minimal.
• Contemporary infrastructure and apparatus.

Please read more about these benefits in the part at the bottom of the page titled "Advantages of air transportation compared to other methods"!

>>>> LEARN MORE:  What is advantages and disadvantages of air transport?

2.2 Disadvantages

In addition to the benefits, shipping cargo by air has several drawbacks, like:

• The cost of freight is quite high and is determined by weight.
• Not appropriate for bulky, expensive, or high volume items. The most practical answer for these shipments is shipping.
• Since the standards are based on legal restrictions to guarantee security, they are more onerous. suitable for flight. Goods that pose a high danger won't be shipped.
• Weather-related delays, like fog, thunderstorms, and lightning, can cause delays on flights.

3. Parties engaged in air freight transportation

Clients will have a wide range of options when it comes to air freight transportation, such as:

• Postal Company: Ships document envelopes, packages up to thirty kilograms, and air mail. Certain businesses, such as Airport Cargo, ViettelCargo, etc., frequently use airline transportation services.
• International express delivery service: Up to 75 kg of parcels, documents, and envelopes are transported. Nhat Tin Express, Kerry Express, and others are some names to mention. I'll use this transportation service.
• International courier services: Carry packages and items weighing around 75 kg. These businesses can utilize the services of airlines like TNT Express, UPS, FedEx, DHL Express, etc.
• Air Freight Forwarder: Typically handles combined orders and packages weighing up to 75 kg. A few businesses that rent out aircraft services include Dolphin Sea Air, Damco, DB Schenker, CEVA Logistics, Agility, and more. Dolphin Sea Air additionally holds transport contracts and acts as a freight agent for respectable airlines that have extensive flight coverage, high frequency of operations, and big load capacities.
• Airlines and airplane operators (Airline): These businesses will transport people and cargo with their aircraft.

4. The function of Air Cargo Logistics in the movement of freight

Timing is the most important factor in freight transportation in the current setting of economic integration. International trade will flourish in an environment where commodities are transported quickly. Approximately 2–3% of commodities are moved by air each year. Still, this meager sum represents 35 percent of the overall output value of commodities. IATA estimates that the value of air freight is around $6 trillion USD, or 35% of all trade worldwide.

Air Cargo Logistics has shown to play a significant part in the quick movement of products. This is made abundantly evident in the international transportation of medications, vaccines, medical equipment, etc., particularly during the Covid-19 pandemic. In addition, supplies of necessities are being distributed to the Ukrainian people in case of an emergency resulting from hostilities between Russia and Ukraine.

5. Benefits of flying above other modes of transportation

The cost of air freight is actually four to five times more than that of road freight and twelve to sixteen times more than that of marine freight. Demand for air travel is not, however, constrained by price. Because there are numerous exceptional benefits to using this mode of transportation, including:

5.1 Enlarge the delivery system

Due to a vast network of airports, goods may be transported anywhere in the world by air transport, which is independent of maritime routes. This gives companies a lot of advantages and good prospects when contacting overseas partners.

5.2 Maximize the duration of delivery

One may argue that selecting air travel is also motivated by time. because, in comparison to other ways, this one has a quick travel time. Within a few hours or days, the goods will be delivered to the delivery address. When faced with pressing needs, the expeditious and timely conveyance of commodities validates its significance.

5.3 Excellent security

The globe's safest mode of transportation is via airplane. Specifically, items being transported will be monitored at every stage of the expedition. Products will be safeguarded from the moment they are carried to the point of final delivery through stringent management and control procedures for this service.

5.4 Reduce the cost of shipping insurance

Goods will take a long time and have numerous potential risks for long-distance transportation methods like sea freight, which can easily cause harm to the items. In addition to the advantage of ensuring high safety of goods, businesses often save large expenses on air transport insurance.

6. Types of services provided by airlines today

We would like to introduce you to the following categories of transportation services provided by Air Cargo Logistics:

6.1 Express Air Service

If the goods are being shipped via express air freight, they are being shipped directly onto the aircraft that will deliver them to their destination. The priciest airline service is thought to be Express Air.

6.2 Standard Air Service

Your goods may make one or two airport stops if they are flying freight. At these stops, they may be loaded and unloaded onto another aircraft or moved to another aircraft. Service via an airline is the most common kind.

6.3 Deferred Air Service

Your shipments will need to halt frequently en route to their destination while they are being transported using deferred air service. This service costs more than LCL transportation even though it is less expensive than rapid delivery.

7. Air freight rate computations

Generally speaking, flying travel will incur some costs. There will be additional costs for unique goods. The following formula, which is used to determine air freight rates, conforms with IATA regulations:

Charged volume x Unit price = airline freight.

You should be aware, nevertheless, that the amount of the products is what determines the maritime freight prices. In the meanwhile, the weight of the cargo determines the majority of air freight charges. Furthermore, there are minimum specifications for size and weight that must be met for marine shipping. For large, heavy items, ocean transportation is therefore a preferable option.

On the other hand, air delivery is actually less expensive for smaller and lighter items. Selecting a cost-effective mode of transportation requires you to determine the ideal point for the size and weight of the items, which is more crucial.

>>>> CLICK FOR MORE INFO: Latest international air freight rates table

8. Typical categories of air freight fees

The sorts of Air Cargo Logistics expenses that you should be aware of are as follows:

✅ Medium Rate	⭐ The lowest price an airline will take to deliver a package
✅ General Cargo Rate	⭐Regarding general cargo being transported between two airports, this is the base rate. There are no separate charges for the items of this type.
✅ Class Cargo Rate	⭐ Applicable when there are additional costs for items transported by air
✅ Priority Rate	⭐ This is a priority fee that is applied to shipments that require an urgent request. As a result, this charge is more than that of general goods.
✅ Container rate	⭐ It's the freight rate applied to goods packed in air containers.

9. Rules pertaining to Air Cargo Logistics that you should know

There are a lot of rules in the aviation industry that you have to follow. As a result, in order to ensure the successful and safe transportation of goods, you must comprehend the regulations.

9.1 Requirements for acquiring a business license for air transportation

• In the aviation sector, a certificate of business registration is necessary.
• Plan your strategy to guarantee aircraft operations.
• To guarantee aircraft operations and the functioning of the air transport industry, have an organizational structure and personnel who are duly licensed and certified.
• fulfill capital criteria as stipulated by the government.
• In order to provide air transport products that meet market demands and align with the planning and growth orientation of the aviation sector, a business plan and strategy are needed.
• Vietnam is the mandatory site for the company's headquarters and business location.

9.2 Rules governing Vietnamese airlines

Capital requirements: This air transport service necessitates a substantial investment in machinery and equipment, including both ground and transport vehicles. In particular, in compliance with existing legal regulations:

• Investors and airlines must operate between one and ten aircraft and capitalize on the domestic transport market with a charter capital of around 200 billion VND in order to be given a transport business license.
• The market for international transportation requires 500 billion VND to be fully exploited. Nonetheless, the airline is required by law to accept a greater legal capital level because it operates more than ten aircraft.

9.3 Foreign airline regulations

Vietnamese airlines hold the legal authority to conduct domestic Air Cargo Logistics operations. Only domestic air travel by foreign carriers is permitted when necessary to prevent and respond to epidemics, natural disasters, and the need for immediate humanitarian aid; ministry of transport approval is required. This is a widely accepted rule in most nations, namely the US.

Foreign airlines with their headquarters in Vietnam are required to adhere to the following capital contribution percentage in addition to the regulatory capital requirements:

• A general aviation company may not have more than 49% of its capital or 49% of its charter capital come from other nations.
• Thirty percent or less of the capital is owned by people or organizations.

Foreigners can make up no more than ⅓ of the executive apparatus's total membership, and the legal representative must be a citizen of Vietnam.

10. Vietnam-based airlines that deliver cargo

There are currently four local airlines operating in Vietnam: Jetstar Pacific, Vietjet Air, Vietnam Airlines, and Bamboo Airways. At the same time, there are 49 domestic routes served by these four airlines, including Hanoi, Saigon, Nha Trang, Da Lat,... International routes to countries such as Asia, Europe, Australia, and Asia. Africa and America.

However, in terms of consumer incentives, discount schemes, seat class, and service quality, each row will have unique benefits and drawbacks. Generally speaking, the airlines' standards strive to offer affordable tickets on safe flights.

11. What makes using the Delivery - Receiving transport service recommended?

A company called Forwarder (freight forwarder) offers freight forwarding services. The forwarder serves as a liaison between the shipper and the recipient, facilitating the efficient transportation procedure. Their job also involves making sure that shipments are handled so that airplane operators may transport them. On the customer's behalf, the forwarder will look for and haggle over the best freight prices.

Experts in their field, freight forwarders are prepared to negotiate better prices because of their connections, expertise, and knowledge. Goods can be simply moved anywhere thanks to the extensive agent network of the forwarder.

Ngoài việc điều tiết vận tải, các Forwarder còn cung cấp những hoạt động như:

• Theo dõi vận tải nội địa.
• Chuẩn bị chứng từ vận tải và xuất khẩu.
• Kho bãi.
• Đàm phán giá cước vận tải.
• Bảo hiểm hàng hóa.
• Hợp nhất vận tải hàng hóa.
• Đặt chỗ chở hàng hóa.
• Nộp đơn yêu cầu bảo hiểm.

>>>> SEE MORE: What is a type of air transport document? Latest regulations

12. The Air Cargo Logistics service offered by Dolphin Sea Air

Dolphin Sea Air is pleased to be the most prominent air transport provider in Vietnam, having over 15 years of expertise in providing Air Cargo Logistics services. The organization is now partnering with various partners and airlines including DELTA, Lufthansa, EVA AIR, Vietjet Air, Vietnam Airlines,... Dolphin Sea Air, in particular, helps ship goods to any country thanks to its extensive global network of partners.

To assist minimize costs and time, the organization also has a great deal of knowledge and skill in the sector of air transport. The business also has a group of consulting specialists and round-the-clock customer service. Dolphin Sea Air offers the following air transportation services:

• Package delivery from door to door
• From port to port transportation
• Entire journey delivery
• Air Co-Load
• Air and water transportation coupled
• Refrigerated cargo services (temperature control) or solutions for carrying fragile goods, dangerous commodities and some other particular items.
• IATA Certificate: HO 373 0302 0005
• IATA DG Certificate: 483159

Dolphin Sea Air Services Corporation

• Office contact:
  • Hanoi: 18th Floor, Epic Tower, 19 Duy Tan Street, Dich Vong Hau Ward, Cau Giay District
  • Hai Phong: 3rd Floor, No 274 Danang Street, Van My Ward, Ngo Quyen District, Haiphong City
  • Da Nang: 6th Floor, Truc Thang Mien Trung Building, Nguyen Van Linh Roadm Thac Gian Ward, Thanh Khe District, Danang City
  • Ho Chi Minh City: 6th Floor, Hai Au Building, 39B Truong Son Street, Ward 4, Tan Binh District, Ho Chi Minh City, Vietnam
• Hotline: 1900986813
• Email: info@dolphinseair.com

13. Study up on the IATA shipping initiative

The international shipping association is another name for IATA, or the International Air Transport Association. With its main office located in Montreal, Quebec, Canada, this trade association represents worldwide airlines. IATA had 57 members at first, and as of right now, it has 290 members in 120 countries. IATA members make up 82% of all aviation travel worldwide. IATA therefore has a significant impact on the aviation sector.

IATA's specific goal is to support airline firms' expansion by streamlining all procedures and boosting client satisfaction. As a result, the aviation sector's operations run more smoothly. The primary goal of IATA is to assist airline firms in achieving fair competition and consistent rates.

Dolphin Sea Air holds significant value for the company as it is also an IATA member. This is the most convincing evidence that the unit has been acknowledged for the caliber of its services and expertise in the logistics industry. But, you can get assistance by calling the hotline at 1900986813 if you're in need.

The information on Dolphin Sea Air's Air Cargo Logistics transportation service is shared above. Hopefully, this article's contents will assist you in selecting the most efficient delivery option.

>>>> CONTINUE:

• What are the types of air freight containers? Classify packing size
• Distinguish the difference between container and air cargo in detail