The Hongkong Association of Freight Forwarding and Logistics (HAFFA) welcomes the announcement by Cathay Pacific of the introduction of a new Terminal Charge (TC) concession, effective 1 April 2020, to which the Airport Authority will contribute.
HAFFA chairman Brian Wu comments: “We welcome the new TC concession introduced by Cathay Pacific and we thank the Airport Authority for their support of this initiative. The concession will help provide some relief from the numerous challenges currently faced by the logistics industry, and to maintain Hong Kong competitiveness as a whole we hope to see all airlines follow this example.”
The Hong Kong trading and logistics industry, one of the Special Administrative Region’s (SAR)s Four Pillar Industries, was already facing unprecedented hurdles from a number of developments, including the substantial financial burden brought by the new International Civil Aviation Organisation (ICAO) 100 per cent cargo screening policy.
More recently, these have been further exacerbated by global economic instability and uncertainty surrounding the China-US trade negotiations, all of which have resulted in continued air cargo throughput decline.
The Cathay Pacific TC concession, announced yesterday, will apply to export shipments from Hong Kong on the group’s four airlines; Cathay Pacific, Cathay Dragon, AHK Air Hong Kong and HK Express. A saving of HK$0.3 (USD 0.038) per kilogramme for both general and special cargo equates to reductions of between 18 and more than 20 per cent on current charges.
While welcoming the Cathay Pacific TC concession, Wu also adds: “While the new TC concession will help to alleviate some of the pressures on the industry, in view of the Hong Kong Airport’s freight throughput continues to wane and cargo volumes remain weak, we would urge Cathay Pacific and Airport Authority – and we hope the other airlines who follow their example – to maintain the concession for a longer period in order to help mitigate the high financial costs of compliance with the new ICAO security regulations and proactively reinforce the competitiveness of Hong Kong being the world’s busiest cargo airport.”
The Hongkong Association of Freight Forwarding and Logistics Limited was established in 1966, and is responsible for setting industry standards as well as providing educational courses which enhance the professional standards of the freight forwarders and logistics providers in Hong Kong.