In April, The Airforwarders Association or AfA launched a committee to help find solutions in alleviating airport congestion in the US. Its 200-strong membership consists of forwarders, trucking companies, airlines and valued service providers and the group has been vocal in addressing the air freight industry’s need to develop solutions in areas like technology and automation, service standards, airport facilities and infrastructure, staffing and hours of operation, and regulatory and paperwork challenges. In a brief interview, Brandon Fried, AfA executive director, shares his 2 cents on some of the pertinent issues affecting his beloved industry.
Can you give us a brief background of the Air Forwarders Association? Which companies do you represent?
The Airforwarders Association is the legislative and regulatory advocacy organization for US freight forwarders and their affiliated vendor companies. Our membership consists of 200 forwarders, trucking companies, airlines, and companies working in support of freight forwarders.
Amongst key discussions involving forwarders made during the CNS Partnership Conference in Phoenix, which amongst these discussions do you think is making headway?
We are seeing significant progress in environmental sustainability efforts, technology, and the air cargo security regulatory environment.
Where do you see a disconnect from software providers when it comes to communicating the benefits of digitisation to the freight forwarding community? Do you think companies should consider creating or hiring someone who can do this role?
Each forwarding company offers services and, in many cases, focuses on niche markets. We value contributions made by various industry software providers. Still, each must invest the time and effort in making sure that the products offered fit the needs of the specific customer. Of course, in today’s fast-paced world of automation, retaining a qualified individual knowledgeable about various aspects of transportation technology is always an asset for any company.
In March, AfA signed two stakeholder letters, one in favor of the proposed new Ocean Shipping Reform Act of 2022, and the other supporting the Americans for Free Trade coalition’s bid to address unfair tariffs from China. Can you share more about this for those who are not aware?
We are pleased to announce that the Ocean Shipping Reform Act became law earlier this year, but unfortunately, the tariffs remain. As we approach the halfway point of the Biden presidency, the president appears to be leaving the tariffs in place for the foreseeable future. As the pandemic winds down, volumes will resume normal levels, and we fear that the tariffs will harm volumes and overall trade flows.
What can you say about the recent move of major shipping lines into air cargo? Do you expect this trend to continue?
The ocean freight carriers are enjoying one of the most prosperous periods in recent memory and are reinvesting those profits into aircraft assets. The freight forwarding industry is large and full of opportunity, and we welcome as many entities into the business as possible. Air cargo has experienced significant capacity challenges over the past two years, and we hope these new entrants will also provide services to forwarders.
In your opinion, what’s the best way to deliver goods right now? Is it by air, sea, or multimodal? Do customers now have a better understanding on how much more they have to pay to avoid any shipment delay?
The best way to deliver goods in today’s environment is to ensure the mode of transport remains consistent with the customer’s needs and business objectives. Forwarders provide creative logistics solutions that accommodate not only time and budget considerations but also special handling and regulatory compliance. Therefore, we urge shippers to work with a forwarder to determine the most cost-efficient method while meeting their business needs.
What’s next for AfA?
Our primary objective is to reduce the truck congestion prevalent throughout our nation’s major gateway airports. We have a committee focused on this issue which is in the final stages of drafting a white paper for lawmakers and regulators to comprehend the challenge further and provide resources to address our concerns. In addition, we plan to speak about this issue at a town hall meeting in Dallas next week, where we will listen to the airline, airport, trucking, and forwarder stakeholders to focus on solutions. Finally, of course, we will continue our ongoing educational efforts and are actively planning our upcoming annual event, AirCargo 2023, which will take place in Nashville on February 12-14.