newstodate.aero
Jan 25, 2007 (newstodate): Originally centering on only a few cargo airports, the Swedish air cargo market has recently been "diluted" by airlines operating freighters into smaller airports like Jonkoping or Malmo, and by the arrival of new Asian operators.
-We have no intention to go beyond our current hubs in the nordic region, says Kay Wichmann, Lufthansa Cargo director Nordic & Baltic countries.
-We are of the opinion that hubs offer us the best conditions for consolidating shipments, and spreading operational risks.
-We do, however, observe that other airlines are entering the market, especially in Sweden, and we are of course keen to see how they cope.
-One example is Icelandair Cargo now operating from Jonkoping. But we do not consider them a serious competitor as they fly to destinations where we are not currently strong ourselves. Their traffic will have no major impact on our business.
-Of more concern are the Asian carriers that are now entering the market in Sweden. They have abundant capacity, and after settting up at the major world hubs they are now turning attention to peripheral markets, where Scandinavia seems to be on the top of their list.
-Unlike yield-managed carriers like Lufthansa Cargo, the Asian carriers have other, and lower, operational costs, and probably calculate profitability differently. They pose the real competition, and we must find ways to cope with the challenge.
-Eventually freighter services build on solid customer commitments. If such commitment is there, we are ready to jump to the opportunity. But we have so far not seen that kind of commitment. In Sweden we operate with very large accounts like Volvo, Ericsson, Tetra, Astra Zeneca etc, and our attention is focused on following changes in their demands to ensure their continued loyalty. But we are of course keen to observe whatever changes are noticeable in the market, says Mr Wichmann.
The Swedish market generates about 35-38 percent of Lufthansa Cargo's volumes in the Nordic region.
-We have no intention to go beyond our current hubs in the nordic region, says Kay Wichmann, Lufthansa Cargo director Nordic & Baltic countries.
-We are of the opinion that hubs offer us the best conditions for consolidating shipments, and spreading operational risks.
-We do, however, observe that other airlines are entering the market, especially in Sweden, and we are of course keen to see how they cope.
-One example is Icelandair Cargo now operating from Jonkoping. But we do not consider them a serious competitor as they fly to destinations where we are not currently strong ourselves. Their traffic will have no major impact on our business.
-Of more concern are the Asian carriers that are now entering the market in Sweden. They have abundant capacity, and after settting up at the major world hubs they are now turning attention to peripheral markets, where Scandinavia seems to be on the top of their list.
-Unlike yield-managed carriers like Lufthansa Cargo, the Asian carriers have other, and lower, operational costs, and probably calculate profitability differently. They pose the real competition, and we must find ways to cope with the challenge.
-Eventually freighter services build on solid customer commitments. If such commitment is there, we are ready to jump to the opportunity. But we have so far not seen that kind of commitment. In Sweden we operate with very large accounts like Volvo, Ericsson, Tetra, Astra Zeneca etc, and our attention is focused on following changes in their demands to ensure their continued loyalty. But we are of course keen to observe whatever changes are noticeable in the market, says Mr Wichmann.
The Swedish market generates about 35-38 percent of Lufthansa Cargo's volumes in the Nordic region.