FIATA welcomes airline change to “all-in” rates for cargo

Wednesday, 21 January 2015 01:28 - - {{hitsCtrl.values.hits}}

Recent statements of some airlines freight divisions announcing their policy to return to a simplified “all-in” rate structure that eliminates the various surcharges e.g. fuel, security, etc., has been welcomed by the International Federation of Freight Forwarders Associations (FIATA).

It said the simplification of rate structures will be a significant benefit to forwarders and shippers alike. Forwarders have for a very long time desired these surcharges be removed as they are opaque and complex and thereby making it difficult to quote a definite price for air cargo transportation, which the shippers are able to understand. The fuel surcharge has come under significant criticism in recent months as fuel prices continue to fall. Rodolfo Sagel, FIATA’s Airfreight Institute Chairman, believes this is a long-awaited move in the right direction that may be supportive of transparency. Transparency in the entire supply chain is generally applauded by FIATA, its members and by the International Freight Forwarders client. FIATA believes that this may be the precursor to many other airlines following suit.