Overcoming Airfreight Risks in 2023

In the fast-paced world of international trade, airfreight has become a lifeline for businesses looking for swift and efficient transportation of goods. However, with the ever-changing global landscape, 2023 continued to present unique challenges and risks that demand attention. From supply chain disruptions to cybersecurity threats, the airfreight industry must be prepared to navigate a myriad of risks. This is where Unsworth steps in. With our professional expertise and support provided by our staff, we work to rapidly mitigate risk, generating substantial value for customers.???

We share some of the challenges our clients have faced and how we have worked to uncover effective strategies to mitigate these risks, ensuring reliable and prompt deliveries.?

Supply Chain Disruptions:?

The complex network of interconnected processes within supply chains makes them susceptible to disruptions. Natural disasters, geopolitical tensions, and unexpected events like global pandemics can severely impact cargo movement.??

To overcome supply chain disruptions, proactive planning and risk assessment are crucial. We collaborate closely with clients to establish contingency plans, identify alternative transport routes, and leverage real-time tracking and monitoring technologies to respond swiftly when disruptions occur.?

Capacity Constraints:?

With the surge in global demand for airfreight, capacity constraints have become a significant concern, particularly during peak season. Limited cargo space and congested air routes can lead to delays and increased costs.??

Unsworth implements cargo consolidation strategies to maximise available space efficiently. Our strong partnerships with reputable airlines and pre-booking arrangements help secure capacity during peak seasons. Flexibility in scheduling and operational adaptability are paramount to cope with sudden capacity fluctuations and it’s this proactive approach that ensures our clients can remain agile.??

Fluctuating Fuel Costs:?

Volatility in fuel prices continues to be a constant challenge for the airfreight industry. Rising fuel costs can erode profit margins and impact overall shipping expenses.??

We mitigate this risk by negotiating long-term contracts with airlines that include fuel price adjustment clauses. By doing so, we can provide client with price stability and protect them from sudden fuel cost fluctuations. Additionally, we optimise cargo consolidation, maximising space utilisation to minimise fuel consumption per unit.???

Regulatory Compliance:?

Navigating the ever-evolving landscape of international regulations is crucial for airfreight operators. Non-compliance with customs regulations and documentation requirements can lead to delays, fines, and reputational damage.??

Unsworth's in-house customs brokers ensure that customers stay updated on international trade regulations, security protocols, and customs procedures to ensure seamless compliance. Our dedicated team guide clients through the compliance landscape, minimising the risk of delays or penalties and ensuring a smooth flow of airfreight operations.?

Cargo Damage or Loss:?

Despite rigorous handling protocols, cargo damage or loss can sometimes occur during transit. Protecting the integrity of shipments is paramount to maintain client trust.??

With Unsworth, we implement thorough quality control measures, train staff in proper handling techniques, and invest in secure and reliable packaging materials. We only collaborate with reputable airlines and cargo handlers as well as recommending cargo insurance to provide clients with peace of mind and protection against unforeseen incidents.??

Cybersecurity Threats:?

Cybersecurity is a top priority for freight forwarders. Cyberattacks, data breaches, and ransomware threats can compromise sensitive information and disrupt operations.??

We recognise the significance of robust cybersecurity measures to protect our clients’ systems and sensitive data. Through regular audits, employee training, and the adoption of advanced encryption technologies, we are always developing a resilient cyber defence system that safeguards critical data.?

Price Volatility:?

There are plenty of factors that can impact airfreight rates, from fuel cost to demand-supply dynamics.??

We know how essential it is to strike a balance between competitive pricing and maintaining profitability. By regularly reviewing pricing strategies and considering long-term contracts with clients ensure stable revenue streams and offer value-added services that resonate with your customers' needs.?

As the airfreight industry faces an array of challenges in 2023, we understand the importance of monitoring industry trends, staying informed and maintaining open communication channels with our partners and clients. Embracing innovative technologies, adopting sustainable practices, and nurturing a culture of adaptability will position airfreight movements at the forefront of success in the ever-evolving logistics landscape.??

Ready to streamline your air freight movements? Get in touch today.