The head of the UK’s trade association that represents freight forwarders and logistics companies says its members are querying whether surcharges being introduced by air cargo ground handling service providers are justifiable in the current economic circumstances.
Robert Keen, Director General of the British International Freight Association states:
“Every participant in international supply chains is suffering from the same financial and operational issues that ground handlers face, as they attempt to mitigate the effects of Covid-19.
“Circumstances like shelter-in-place regulations are causing strain on all companies in those supply chains, which are all having to implement painful measures to cope with the pandemic, with a huge financial impact on their businesses.
“BIFA members are now faced with the task of explaining the surcharges to their customers, which are also struggling, without understanding, nor necessarily agreeing with, the rationale behind them.
“They deserve a full explanation of why and how the surcharges were decided upon, and evidence that ground handlers are not just using the opportunities presented by the difficulties to increase charges for services already provided.
“As the ground handling companies made their announcements, which are remarkably similar in content and value, around the same date, BIFA is left wondering whether the proposed surcharges might be of interest to the relevant competition authorities.”