newstodate.aero
Jun 17, 2020 (newstodate): A unique period with all-cargo flights using passenger aircraft is coming to an end, and Icelandair is moving towards more normal times again.
-At least in the European market, the demand for urgent PPE imports from China is easing and as cargo rates are plummeting, these operations are hardly sustainable anymore, says Gunnar Mar Sigurfinnsson, Icelandair Cargo Managing Director.
-The situation in the US market is different as the status of the Covid-19 is more questionable. So we are still continuing all-cargo flights via Iceland to New York and Toronto as long as the demand is there.
-We are not chasing projects unless we believe they are profitable. So the all-cargo operations have been worth the effort; giving us very acceptable revenues. But most of the costs were on the table anyhow, and in challenging times like these any revenue to balance costs has been valuable for Icelandair as for any other airline.
-As the demand in Europe peaked, we did not have sufficient freighter capacity to meet demands, so using passenger aircraft for all-cargo operations provided an opportunity for us. We entered this market at an early stage in a good cooperation with DB Schenker and other partners, and this proved to be a good decision for us all.
-Basically, the aircraft returned to China empty, providing a unique opportunity for Iceland's seafood exporters, too. Now this traffic has come to an end, and we are back to serving this segment via airports in the UK, Germany and Holland as before.
-In the time ahead, we will return to lifting some 65-70 percent of our cargo on scheduled passenger flights, providing high frequencies to a wide range of destinations, says Mr Sigurfinnsson.
-At least in the European market, the demand for urgent PPE imports from China is easing and as cargo rates are plummeting, these operations are hardly sustainable anymore, says Gunnar Mar Sigurfinnsson, Icelandair Cargo Managing Director.
-The situation in the US market is different as the status of the Covid-19 is more questionable. So we are still continuing all-cargo flights via Iceland to New York and Toronto as long as the demand is there.
-We are not chasing projects unless we believe they are profitable. So the all-cargo operations have been worth the effort; giving us very acceptable revenues. But most of the costs were on the table anyhow, and in challenging times like these any revenue to balance costs has been valuable for Icelandair as for any other airline.
-As the demand in Europe peaked, we did not have sufficient freighter capacity to meet demands, so using passenger aircraft for all-cargo operations provided an opportunity for us. We entered this market at an early stage in a good cooperation with DB Schenker and other partners, and this proved to be a good decision for us all.
-Basically, the aircraft returned to China empty, providing a unique opportunity for Iceland's seafood exporters, too. Now this traffic has come to an end, and we are back to serving this segment via airports in the UK, Germany and Holland as before.
-In the time ahead, we will return to lifting some 65-70 percent of our cargo on scheduled passenger flights, providing high frequencies to a wide range of destinations, says Mr Sigurfinnsson.