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Issue 7 2019 - FBJ


Air charter firm finds Irish partner


Air charter firm Chapman Freeborn


into


cooperation with Airbridge International Agencies (AIA) Cargo to strengthen both companies’ offerings in Ireland. UK-headquartered Chapman Freeborn - recently acquired by Avia Solutions - is now the


exclusive partner for all AIA Cargo’s aircraſt charter requirements to and from the Republic of Ireland and Northern Ireland. The announcement comes at a


time when Brexit negotiations are still unresolved, and businesses across the UK and Ireland are preparing themselves for potential


supply chain issues. Chapman


Freeborn is currently securing cargo capacity on freighters from small turboprops up to wide-body freighters – including a dedicated fleet of B747-400F aircraſt. Chapman Freeborn’s group


cargo operations director, Pierre van der Stichele (pictured, right), said: “The cargo industry in Ireland is a close-knit community, and AIA’s local expertise and relationships make this the perfect fit. Our two companies have distinct areas of expertise but a shared focus on innovative cargo solutions and excellent customer service.” AIA


Andrew (pictured,


chief executive, Mark leſt), added:


“We see great potential working with Chapman Freeborn and are excited to be introducing their services to customers across Ireland. They have been at the forefront of the charter industry for over 45 years, and we look forward to seeing the relationship go from strength to strength.”


Challenges and opportunities in equal measure


Brexit is a big concern for Dublin- based EFL International, but it also offers opportunities too, says director Chris Radley. Speaking before UK Prime


Minister Boris Johnson revealed his latest plans on how the Irish border would work aſter Brexit, he pointed out that the forwarder is an Authorised Economic Operator (AEO) and it could take on additional customs clearance work if need be, though it would probably have to be selective and would be offered initially to service existing clients. “However, I believe we could


handle the volume of entries needed for our existing client base,” Radley says. If the UK performs a no deal


Brexit, the number of customs entries could surge from 1 to 2 million a year to around 25 million, a figure that the freight industry would find hard to manage, Radley says. It’s not just a question of having


enough personnel to handle the massive increase – there are questions over whether the customs computer system could handle the volume of entries, he adds. Meanwhile, EFL is informing customers on what might


its


be required – registration with customs, tariff codes and how to transact payments. So far, the Irish government has not followed the UK’s example and issued


EORI numbers automatically to companies but is instead relying on voluntary registration. As in Britain, it has mounted an extensive advertising campaign. Some haulage firms have also


opened customs departments, Radley adds. However, the freight industry as a whole faces “a real shortfall of customs experts,” in his opinion and indeed recruiting experienced staff of any sort is a


with the necessary training to IATA Live Animal Regulations standards. As well as individual pets, the service has handled dogs for breeders. The motorbike transport service whereby


EFL moves


bikers’ machines to locations in European


sunspots while the


customer travel outs comfortably by air (avoiding a long and potentially damp ride along the motorways) is also increasing in popularity. While it is not the only service of its kind, EFL will offer


///IRELAND


of Ireland – including the North – very satisfactorily from a single point in Dublin. Attwell also commends the


Retail logistics specialist Oakland International is reaping the reward of a change in Irish logistics, says chief executive Dean Attwell. Customers are increasingly warehousing on the island of Ireland, rather than replenishing direct from mainland UK, he says. As a result, Oakland’s Irish


operation at the new Food Central hub near Dublin airport is going from strength to strength, he says. Having started with 27,000sq ſt in February 2018, the site will soon be extended to 82,000sq ſt. Some of the move to setting


up logistics space in Ireland is down to uncertainty over Brexit, but many companies are in any case moving towards keeping stocks in Ireland rather than the UK or elsewhere, says Attwell. “Retailers are increasingly saying that they want stock in Ireland. There’s a definite cost reduction and availability is higher,” he explains. Irish shopkeepers have found


that lead times of 48-72 hours are too long to keep shelves reliably supplied. Having stocks close at hand


“It’s slowly growing,” Radley


says. “In fact, when we started it, it was mainly for people moving bikes that they already owned but we now get as many enquiries from people buying them from places like Germany.” EFL is expanding the number


of destinations served. Bikes do need specialist handling, so it is important that agents have the necessary skills and training. The company’s core general


freight forwarding business continues to prosper, meanwhile. EFL is a member of the WCA and EGLN networks which generate many enquiries and it has represented the U-Freight network in


Ireland for close on three


real headache. EFL meanwhile continues to


develop its business, including a couple of niche areas. It has taken on additional people for its pets and animal transportation service,


transportation of single bikes


whereas competitors will oſten seek to fill up an entire trailer-load on one specific date and to a single location, which naturally limits flexibility.


decades. There is also an extensive intra-European business with an emphasis on groupage in short- sea containers, operated via Tilburg in the Netherlands, and driver-accompanied trailers to Switzerland for the pharma trade. “We’re also doing a lot of cross-


trade in Europe, particularly for hazardous cargo,” Radley adds. The latter is a business that he plans to develop, when the current uncertainty over Brexit dies down.


in Ireland greatly simplifies the logistics operation, compared with having to allow for delays on the ferries or the UK motorway network. The operation can be much quicker and more straightforward.


Feeding a


warehouse in Ireland rather than individual stores is much easier


approach in Dublin of having a single large food park in Ireland. Producers have been encouraged


to locate there,


cutting out unnecessary mileage and creating a centre of excellence for the industry. He has tried to interest local


authorities and local enterprise councils in doing something


to plan, which also means that trucks using expensive ferry crossings can be filled more completely, avoiding the need to cart expensive fresh air across the Irish Sea. There is no need to build in buffer times, nor is there the risk that a truck can miss a ferry, meaning that delivery slots are missed, buffer time or not. Oakland can serve the whole


similar in the UK, but so far without success. There hasn’t been the will to overcome entrenched interests or tackle the many planning obstacles, although Attwell is continuing his efforts. Ireland may be a small market,


but there is much that retails on the other side of the Irish Sea can learn from them.


Recruiting skilled freight industry staff, already a tough business in a full-employment country, has been made even more difficult by the uncertainty over Brexit, says Garvan Cerasi, managing director at Dublin-based agent Logiskills. “We’ve had an increase


in


enquiries for customs people, but they’re just not in existence,” he says.


Customs clearance clerks were


always thin on the ground in Ireland – there was relatively little demand in a small country that did the lion’s share of its business with the EU – but now they are like the proverbial hens’ teeth. It might be possible to train


people, especially those with a background in finance, but as no one knows exactly what Brexit will bring, companies are understandably reluctant to commit major resources. “People are still saying: ‘Let’s wait until Brexit,” says Cerasi. Some customers have even


suggested that Logiskills starts training customs clerks itself, but it’s not something that Cerasi would consider at the moment. Some of the major accountancy


firms can offer customs and trade compliance services though whether that amounts to actually filling out


customs entries


is


debatable. In some cases, it might be possible for the importer to make the declaration themselves, though only for small numbers of fairly simple, repetitive entries. “However, we have had enquiries from people who say they might want to do 11,000 entries a day, and there is also the more complex work to consider,” Cerasi points out.


The customs issue has been


overlaid on an already tight logistics labour market, he continues. “At the moment, firms are only replacing people in critical roles where they need to; there’s a sense of nervousness among customers.


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