Wednesday, August 14, 2024 Teleport, a comprehensive logistics firm, has forged a strategic alliance with Etihad Cargo to boost cargo capacity and service frequency across their joint cargo routes linking Southeast Asia and the Middle East, with an eye on future enhancements. This development occurs amid escalating demand for airfreight and increasing trade relations between these regions. The trade volumes between the Gulf countries and burgeoning Asian markets are experiencing robust growth, having surged 35% from US$383 billion in 2021 to US$516 billion in 2022, with projections to hit US$757 billion by 2030.
This growth notably outpaces that with Western nations such as the US, UK, and the Euro Area. Concurrently, the demand for airfreight has maintained a vigorous upward trajectory, with a 14.1% increase as of June 2024.
Since initiating their collaboration in May of this year, Teleport has utilized its freighters to transport an array of items for Etihad, including machinery, raw materials, and electronics, from Ho Chi Minh City to Kuala Lumpur bi-weekly. These shipments then connect via Etihad to Abu Dhabi and further destinations. The partnership capitalizes on the underutilized passenger belly capacity from vacation hotspots like Bali and Phuket, enhancing service efficiency by leveraging each other’s network strengths.
Etihad aims to expand its reach in Southeast Asia utilizing Teleport’s well-established regional presence, while Teleport gains access to Etihad’s expansive global network, enhancing its market penetration into the Middle East, Europe, Americas, and Africa. By year’s end, the collaboration is on track to transport 1600 tonnes of cargo across these routes, with plans to increase flight frequencies and possibly open new routes. Stanislas Brun, Vice President of Cargo at Etihad Cargo said, “We continue to anchor our strategy on key partnerships that will enable us to better serve our customer needs while supporting global trade.
This recent partnership with Teleport is important to enhance our connectivity to Southeast Asia, and we are confident that through the integration of their freighter operations and our capacity, we are able to continue to grow and build a more efficient and robust network that better serves both regions, and quickly. The market environment is highly favourable to grow our presence here today, and with a strong air partner like Teleport.” Jagedeswaran Nadrajah, Head of Air Partners at Teleport , commented “The integration of Etihad’s global network with our largest Southeast Asia network has opened up a more dynamic way to connect cargo between these two regions – leveraging on the strengths of both our networks.
This is valuable to both our existing and new customers trading between two important regions. This sort of synergy is testament to what Teleport has been building through its Air Partners programme as a win-win solution for all Teleport Air Partners, where we can continue to build and grow, and never fly empty.”.
