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Freight issues continue

Freight issues continue

It appears that the cargo airlines are using their planes to haul Christmas items and leaving some flowers behind. Not all importers that I spoke to are having these problems but many are. Amazon and UPS have sucked up many planes as they have the margins to pay the high freight rates flowers however, do not and so they wait.

Medellin continues to be a problem and growers are scrabbling to find space.  Valentines should be a challenge but my guess is that there will be ample cargo space but at a higher prices than past years. This will make all floral industry players a bit cautious going into the holiday.

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    Medellin(Rionegro airport) has been troubled for some time already. Solar Air(21)cancelled months ago, Skylease is not flying regularly and the other are usually delayed.
    Cargo terminal under reconstruction for a couple years and most probably for some more time does not help either.
    On top of that, Brazil, the economic engine of the region has been slow and will take time to recover.
    Imports are very scarce, so northbound has to pay for the roudtrip.
    Due shortage of planes in the area, airlines are very selective and may not choose to operate in MDE unless attractive rates are accepted.
    In these conditions, growers,importers and forwarders are successfully testing and using alternative logistic means such as consolidating and vacuum cooling at our VCC center(6 minutes away of MDE) prior to trucking on reefers to BOG or maritime containers to USA .

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