THE South Korean government is acting again to secure freight capacity for exporters, but this time, airfreight is being procured, for small and medium-sized enterprises, reports London's Loadstar.
An arrangement with Korea SMEs and Startups Agency, working with Korean Air Lines and Germany's DHL, to fly cargo at discounted rates will start this month, and continue to the end of the year.
Every week, Korean Air Lines will reserve up to 12 tonnes of capacity for South Korean SME's for Incheon-Hong Kong and Incheon-Hanoi flights.
Air cargo routes from Incheon to Hong Kong and Hanoi are in high demand, as the latter cities are gateways to southern China and southeast Asia. A survey of South Korean SMEs found that Hong Kong was the most popular export destination for airfreight, while Hanoi was ranked third.
'Demand for air transport is increasing because e-commerce is growing, and there are many SMEs experiencing difficulties due to rising transportation costs. We will provide active support to ease the burden and maintain export growth,' the agency said.
While container freight rates have been declining, air cargo costs have not. Xeneta's Clive Data Services said the slowdown in airfreight declined five per cent in August.
SeaNews Turkey
An arrangement with Korea SMEs and Startups Agency, working with Korean Air Lines and Germany's DHL, to fly cargo at discounted rates will start this month, and continue to the end of the year.
Every week, Korean Air Lines will reserve up to 12 tonnes of capacity for South Korean SME's for Incheon-Hong Kong and Incheon-Hanoi flights.
Air cargo routes from Incheon to Hong Kong and Hanoi are in high demand, as the latter cities are gateways to southern China and southeast Asia. A survey of South Korean SMEs found that Hong Kong was the most popular export destination for airfreight, while Hanoi was ranked third.
'Demand for air transport is increasing because e-commerce is growing, and there are many SMEs experiencing difficulties due to rising transportation costs. We will provide active support to ease the burden and maintain export growth,' the agency said.
While container freight rates have been declining, air cargo costs have not. Xeneta's Clive Data Services said the slowdown in airfreight declined five per cent in August.
SeaNews Turkey
