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Airfreight now joins the crazy-time party
12/3/2021
Freight Update - Advisory Information
Airfreight now joins the crazy-time party
Freight Update - Advisory Information

I was sincerely hoping to write a newsletter with some festive cheer and good news, however... 

The whole logistics industry now has airlines joining the party of ever-increasing rates and overnight rate changes. Recently speaking to an airline representative who I cannot mention, they responded to an enquiry regarding when the next space was available. They simply answered, “Depends on how much you want to pay!” 

At this current time, immediate capacity is very hard to come by, with most major airlines now taking bookings for a week or more in advance of achievable departures and charging premium rates for the pleasure. 

Capacity out of the Far East is also at a premium with rates from Northern & Southern China hitting highs that we saw at the height of the Pandemic, with the expectation that further increases are imminent as we lead up to Christmas.

A shortage of availability of charter aircraft is also creating further demands for space on airfreight, helping airlines push their rates up even further.

All the staff at JAG UFS in our UK offices are working very closely with our teams in China and the USA as well as all of our international partners to help secure the best rates and available space whilst navigating around these issues. We continue to keep our clients informed and try to manage their expectations. As the old saying goes, book early to avoid disappointment!

Ocean freight saw a very small light at the end of the tunnel recently, for the first time in months we saw a small reduction in rates, but as we lead closer to the Chinese New Year, it is expected that we may see those decreases dissipate for a short time. It is hopeful, that once the Chinese New Year is passed, we may see rates come down again. We have had a few false dawns on the rates before so the best we can do is continue to keep you informed of any decreases.

I recently sent a letter to the UK government regarding the issues facing the shipping industry, asking several questions. My letter was surprisingly replied to, but not so surprisingly, my questions were not answered. I would be happy to share their reply with anyone that would like to see the government’s take on what is happening within the industry. Drop me an email to [email protected] if you would like to see it!

Everyone at JAG UFS would like to wish you all a very merry Christmas and every success for the New Year. We very much look forward to working alongside you in 2022 and hope that some sense of normality and sensibility returns to our industry and our lives in general.

All that leaves is for me to say is, on behalf of the board of directors and all staff within the JAG UFS Group, we thank you for everything. We thank our very much valued client base for their support, patience and understanding, especially through these trying times. It is never taken for granted that you have chosen JAG UFS to provide you with services.

Gary Wilcox, CEO
JAG UFS Intl Limited

 

  

  

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