HONG KONG -- Hong Kong-based Trans Global Logistics is advising air freight shippers to plan for an extra couple of days' transit time from Asia gateways beginning in mid-March. The reason? Air freight volumes - fueled by high-tech and electronics shipments - are aniticpated to surge as the "mini peak season" takes shape.

According to the company, recent canceled flights out of Hong Kong will add to a backlog of freight. And although air lift serving Shanghai has increased since last year, growing demand from shippers is creating a tight space situation. Carriers are expected to increase rates up to 25% this month.With business activity in India picking up, transit times are expected to be three to four days longer than last month. Carriers are generally only committing confirmed transit times for Express service.  

Looking ahead, president Robert Mooney stated that another surge in the price fo crude oil may cause airlines to pass along these costs through higher fuel surchaces (FSC). Hong Kong carriers have already announced a return to $0.36/Kg FSC, effective March 22.

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