Airfreight

A guide to moving goods by air				price, excluding any applicable duties and taxes.
The airfreight industry comprises a number of				Although some providers offer a similar service
different commercial operations including airlines,				for larger consignments, most providers focus on
freight forwarders, express carriers and customs				smaller consignments of 30kg or less.
brokers. This guide is designed to provide you				In recent years, in recognition of the demand for
with some background information on the industry				such services, international airlines have developed
operates, outlining the relevant requirements and				similar express services available through freight
regulations that you need to comply with.				forwarders.
Airfreight rates				Perishable consignments
Unsurprisingly airfreight is a more expensive mode				More information on the transport perishable
of international transport compared to sea freight				consignments such as food is avalable from the
or road haulage. However, the benefit is that				Food Standards Agency website:
transit times can be dramatically reduced and in				Air freight packaging
certain circumstances where the consignment size				As with all modes of transport, air freight is
is small, it can actually be much more				subject to rigorous handling processes en route.
cost-effective.				Indeed it is estimated that during a typical
The actual cost of air freight is calculated on the				international transit a consignment can be loaded
weight or volume of the consignment, whichever				and reloaded up to 60 times, meaning that quality
is greater, and with different airlines offering				packaging is essential. As such, when packaging
different freight rates, your freight forwarder will				your consignment it is important to consider the
be best placed to advise you on the most				following:
appropriate route, service and airline options to				• Ensure that the outer packaging is
suit your needs.				sufficient to withstand other consignments being
Carriers				stacked on top of it
Air freight is carried by both scheduled passenger				• Stabilise the consignment within the
aircrafts as well as by dedicated cargo airlines and				packaging using materials such as bubble wrap of
has undergone a lot of deregulation in recent				polystyrene chips
years to the extent that freight rates are no				• Consolidate smaller consignments into a
longer marketed in a single industry tariff. Instead				single larger package to reduce the stress on
freight forwarders will negotiate rates on an				individual smaller consignments, as well as avoiding
individual basis.				smaller packages getting lost in transit.
It’s worth remembering that unless otherwise				• Check the restrictions that your
requested, air freight rates will only normally apply				destination country may have on the use of
for the transport between the airport of origin				certain packaging materials, particularly with
and the airport of destination. Haulage to and				respect to wooden packaging materials
from the airport of origin and destination will be				Air freight security
charged in addition to the actual air freight cost.				All air freight consignments need to conform with
Additional costs				government regulated security requirements,
As well as the freight costs you have to consider				which in the UK are regulated by the Aviation and
other relevant costs, which for exports include				Maritime Security Act 1990. This means that air
the airline terminal handling fees, fuel surcharges				freight consignments must either originate from a
and security charges relating to the physical				Department for Transport (DfT) accredited
screening of consignments. For imports, you need				consignor or be screened prior to loading.
to factor in duty and VAT charges.				To become an accredited consignor your business
As with all other modes of transport mode, it's				will need to be accredited by a DfT approved
imperative that you receive a detailed quotation				inspector. Although it isn’t mandatory, once
from your freight forwarder so that you fully				accredited your consignments will be regarded as
understand what is included in the price.				known cargo which is not normally subject to
The airlines role				other security checks prior to loading.
Most international air cargo is carried within the				Airfreight industry regulations
holds of passenger aircraft, with the amount				Although most products can be imported and
uplifted subject to the passenger and baggage				exported to and from the UK without a licence,
load, as well as the type of aircraft and the				certain items are restricted. For more information
distance involved.				on products which require a licence and the
Airlines will accept freight an airport to airport				regulations you need to comply with, visit the
basis in accordance with the Warsaw and				Department for Business, Innovation & Skills
Montreal Conventions. These conventions define				(BIS) website:
the legal, contractual and liability obligations (for				Hazardous goods
loss and damage) of the airlines and those of the				If you are moving hazardous goods, you need to
shipper.				ensure that they are packaged, labelled and
Once the cargo is ready for carriage it is delivered				certificated in compliance with the International Air
to the airline's cargo terminal. The cargo terminal				Transport Association (IATA) Dangerous Goods
operator has a responsibility to the airline to				Regulations. Such goods when being moved to or
ensure that the cargo is transported to the				from an airport need to also comply with the
aircraft at a given time, ready for loading.				regulations for the transport of dangerous goods
Most airline's cargo terminal operations are				by road. For more information visit the IATA
sub-contracted to third-party providers contracted				website:
to the airline, with the airlines themselves				Documentation
pre-planning passenger, baggage and air freight				For customs clearance you need to provide a
loadings well in advance of departure. Occasionally				commercial invoice which details the description,
as a result of unforeseen circumstances, air				quantity and value of the goods. This should be
freight can sometimes be offloaded and held for a				attached to the air waybill and forwarded to the
later flight.				airport of arrival.
Although most airlines allocate flight details in				Air waybills
advance for air freight movements, under their				The air waybill acts as a document of carriage,
Conditions of Carriage they can't be held				providing evidence of a contract for carriage
responsible for delays.				between the exporter and the airline, as well as
Airfreight logistics				proof of receipt of the goods by the airline. Unlike
Purchasing air freight and managing the logistics				an ocean Bill of Lading, an air waybill isn't a
can be a complex process, which is why unless				document of title to the goods.
you have experience it is often more cost				Other paperwork
effective to use a freight forwarder.				Other standard paperwork includes:
When transporting small to medium sized				• Standard Shipping Note (SSN)
consignments, the most cost effective is to use a				• Certificate of Origin - required for
consolidation service. This is where a freight				certain imports
forwarder will purchase and pre-book capacity in				• Export Cargo Shipping Instruction (ECSI)
bulk, which they will then sell on to exporters.				– for when using a freight forwarder or
Whatever your consignment consists of it is				carrier
imperative to know in advance the type of				• Single Administrative Document (SAD)
service you require and to select a provider that				or form C88
suits your needs. When choosing a freight				Air freight insurance
forwarder you need to ask yourself the following				As airlines and freight forwarders operate under
questions:				limited liability conditions, meaning that you're
• Do they have experience in transporting				unlikely to receive full compensation if your goods
your type of consignment?				are lost or damaged, it is imperative that you
• Do they have experience in transporting				have adequate insurance to cover the full value of
to your destination countries?				the consignment, as well as any applicable freight
• Do they have membership of a freight				costs.
services trade association? Members of such				Normally however insurance won’t extend to
associations are often covered by limited liability				protecting consequential loss, for example when a
insurance and apply standard trading conditions				consignment is delayed en route incurring a
and procedures, whereas non-members might not				financial loss. Check with your insurers prior to
Express parcel international courier services				shipping your goods to see whether you need this
Express parcel and couriers will normally provide a				type of cover.
complete door to door service for an all inclusive

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Airfreight