newstodate.aero
Jun 10, 2011 (newstodate): Norway is a huge market for airfreight - but basically consisting of only two major segments: seafood and equipment for the oil and gas exploration and drilling industries.
-The are practically endless volumes of seafood to be carried. But yields in this segment are extremely low, and even dwindling, says Alexander Kohnen, Lufthansa Cargo Director for the Nordic and Baltic countries.
-What is needed to secure uplift for the Norwegian seafood is really a willingness among the seafood exporters to pay rates that sustain the traffic. We have seen several attempts over the years to set up dedicated air logistics, but eventually they all failed because of lack of profitability.
-In the end operators will ask themselves: why would we allocate resources in seafood transportation when yields are much higher in other segments?
-So Lufthansa Cargo decided to pull out from the now rather turbulent Norwegian seafood business, focusing instead on other commodities including equipment for the oil and gas industry as well as the maritime sector. This resulted in a drop in market share, from the position as market leader only few years ago, to being No 5 in April 2011, says Mr Kohnen.
-The are practically endless volumes of seafood to be carried. But yields in this segment are extremely low, and even dwindling, says Alexander Kohnen, Lufthansa Cargo Director for the Nordic and Baltic countries.
-What is needed to secure uplift for the Norwegian seafood is really a willingness among the seafood exporters to pay rates that sustain the traffic. We have seen several attempts over the years to set up dedicated air logistics, but eventually they all failed because of lack of profitability.
-In the end operators will ask themselves: why would we allocate resources in seafood transportation when yields are much higher in other segments?
-So Lufthansa Cargo decided to pull out from the now rather turbulent Norwegian seafood business, focusing instead on other commodities including equipment for the oil and gas industry as well as the maritime sector. This resulted in a drop in market share, from the position as market leader only few years ago, to being No 5 in April 2011, says Mr Kohnen.