November, 2009 Volumecontents 12, Number 10

INTERNATIONAL EDITION NOVEMBER 2009 Caspian’s Klondike? HHumanitarianumanitarian HHelpelp Climate Change Investing J8M<K@D<8E;DFE<PN@K?8KC ;feËkk_èbn\[feËkj\\pfl[i`mè^Yp?XikjÔ\c[$AXZbjfe8kcXekX@ek\ieXk`feXc8ìgfikn`k_pflikilZbcfX[jf]ZXi^f _\X[è^[fnekfD`Xd`kfY\j_`gg\[f]]kfCXkè8d\i`ZX%N_pefkjXm\pflij\c]X[XpfiknfXe[j_`gk_ifl^_lj6 KfÔe[flkdfi\#m`j`kljXk8ì:Xi^f8d\i`ZXj%N\ËccY\nX`kè^è 9ffk_-)+% ?XikjÔ\c[$AXZbjfe ><K@E%><KFLK%><KK?<I<% 8kcXekX@ek\ieXk`feXc8ìgfik nnn%XkcXekX$Xìgfik%Zfd 8ì:Xi^fN\\bËj8ìgfikf]k_\P\Xi$)''0 November, 2009 Volumecontents 12, Number 10 EDITOR Simon Keeble [email protected] • (704) 237-3317 ASSOCIATE EDITOR Humanitarian Cargo Trish Williams [email protected]• (301) 312-6810 20 Taking The Drama Out of A Crisis CONTRIBUTING EDITORS Roger Turney, Ian Putzger CONTRIBUTORS Phillip Hastings, Peter Conway COLUMNISTS The Caspian Paul Forster, Brandon Fried 28 Kazakstan — Not Another Klondike PRODUCTION DIRECTOR Ed Calahan [email protected] CIRCULATION MANAGER Nicola Stewart Climate Change [email protected] 34 Just Good For Business ART DIRECTOR CENTRAL COMMUNICATIONS GROUP [email protected] PUBLISHER Steve Prince [email protected] ASSISTANT TO PUBLISHER WORLD NEWS Susan Addy [email protected] • (770) 642-9170 4 Europe DISPLAY ADVERTISING TRAFFIC COORDINATOR Linda Noga [email protected] 8 Middle East AIR CARGO WORLD HEADQUARTERS 1080 Holcomb Bridge Rd., Roswell Summit 12 Asia Building 200, Suite 255, Roswell, GA 30076 (770) 642-9170 • Fax: (770) 642-9982 16 Americas WORLDWIDE SALES U.S. Sales Thailand Associate Publisher Chower Narula 28 Pam Latty [email protected] (678) 775-3565 +66-2-641-26938 [email protected] Taiwan Europe, United Kingdom, Ye Chang DEPARTMENTS Middle East [email protected] David Collison +886 2-2378-2471 +44 192-381-7731 2 Editorial 44 People/Events 47 Bottom Line [email protected] Australia, New Zealand Fergus Maclagan Hong Kong, Malaysia, [email protected] 3 Viewpoint 46 Profile 48 Forster’s Focus Singapore +61-2-9460-4560 Joseph Yap +65-6-337-6996 Korea [email protected] Mr. Jung-Won Suh +82-2785-8222 Japan [email protected] Masami Shimazaki [email protected] Cover photo: American Samoa, October 2009. 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POSTMASTER and subscriber services: Call or write to Air Cargo World, 3025 Highland Parkway Suite 200, Downers Grove, IL 60515; telephone For more information visit our website at 866-624-4457. www.aircargoworld.com ACW NOVEMBER 2009 1 editorial A Relief From Global Warming s of last month, the United Nations says contributions for global humanitarian relief in 2009 totaled $8.6 billion. Despite a year that has seen Goldman Sachs set aside $16.7 Abillion for employees, conman Bernie Madoff lose investors $13 billion and U.S. unemployment hit 10 percent, America remains the world’s largest single aid donor with $2.5 billion. In contrast, the combined contribution from the UAE, Kuwait and Saudi Arabia this year only equals that of Spain - $103 million. According to Sustainability activist Germanwatch, between 2004 and 2007 the number of climate-provoked humanitarian “events” rose from 718 to 1066; the death toll was 50,590 and the cost was $426.7 billion. Cyclone Nargis, which hit Myanmar in 2008, killed close to 150,000 people Simon Keeble [email protected] and cost $4 billion. Kofi Annan, former U.N. secretary general and now president of the Global Humanitarian Forum notes, “Ninety-nine percent of all casualties occur in developing countries. A stark contrast to the one percent of global emissions attributable to some 50 of the least developed nations.” As governments prepare to meet in Copenhagen next month, it is hard not to link the cause and effect of climate change and humanitarian aid. Yet none of the BRIC group — Brazil, Russia, India and China — is a signifi- cant U.N. humanitarian relief donor. “Even if the United States or China — the world’s largest polluters in total emissions — were to stop polluting today, if others are not on board, climate change will continue to menace human society,” says Annan, who adds that “everybody must contribute according to their fair share of responsibility.” So in addition to reducing their hot air in Copenhagen, IATA together with FIATA should propose the launch of their own humanitarian response to global warming. What industry has better logistics knowledge, manpower, infrastructure and resources to establish a nonprofit organization to support aid agencies worldwide? If the airlines accept the inevitability of a carbon emissions tax on their operations, now is the moment to ensure the money is spent on the effects of climate change, as well as its cause. The result could be a humanitarian nonprofit managed by the world’s best logistics companies. Call it HULOG. The Brussels eco-crats might even make the subsequent emissions tax- deductible. 2 NOVEMBER 2009 ACW viewpoint Logistics for a greater cause n emergencies and disaster situations, an efficient One challenge is that operations often occur without logistics framework is the key to successful relief op- government support in chaotic environments where erations. Just as businesses rely on logistics for the physical infrastructure has been destroyed and security movement of goods all over the world, so do relief compromised. organizations rely on logistics to bring food, water, In the Iraq & Afghan wars, militants have directly tar- Iand other supplies to the people in need. geted humanitarian workers, adding a new type of threat. Sadly though, humanitarian logistics is far from seamless. Humanitarian logistics needs training for logisticians; For many years, corporate logisticians have been de- the creation of collaboration and coordination mechanisms veloping and refining strategies and technologies for opti- before a disaster occurs; co-ordination by a central orga- mizing global supply chains. Unfortunately, this expertise nization; seamless cooperation with the military, private has not trickled down to humanitarian relief sector, and humanitarian organizations; and organizations, many of which suffer from development of new technology for track and poorly defined manual processes, insuffi- trace in disaster relief supply chains. cient funding, fragmented technology, high These new applications will utilize the best employee turnover rates, and a lack of insti- of corporate logistics, but tailor the software’s tutional learning. functions to the needs of the humanitarian How I see humanitarian logistics is best logistician. described by a quote by Bernard Chomilier, Moreover, because emergencies are unex- Head of the International Federation of Red pected occurrences, relief organizations must Cross and Crescent Societies (IFRC) Logis- plan for every contingency and be ready to act tics Division, “You do not know what you at a moment’s notice. need, you do not know where you need it, In this respect, humanitarian logistics is but you have to get it there in a short amount much more demanding and uncertain than of time under difficult conditions or people Issa Baluch corporate logistics, which affords more time will die.” for planning and strategizing. One way to Humanitarian logistics involves all the processes and compensate for the last-minute nature of the work is to systems needed to mobilize people, resources, skills, and warehouse food and other supplies in locations around knowledge to help vulnerable people affected by natural the world so that it is closer to potential areas of conflict. disasters and complex emergencies. The private sector clearly has the expertise and ability It is a program that includes providing an initial relief to serve humanitarian relief organizations in a new way. to a disaster in any part of the world, preferably within Yet, these organizations have often been afraid of the pri- 48 hours, by a network of pre-positioned inventory that vate sector, imagining that it exists only to make money. will receive, maintain, and ship material as required. The By thinking this way, they have at times inflicted unnec- material staged at these facilities normally consists of essary problems and costs on themselves.

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