Off Airport Cargo Terminals and Containerization 680511
The differential in rentals between off- and on-airport freight facilities can be as high as 2% of gross revenues. Given this cost break, the freight forwarder located off the airport can do much to solve the air cargo bottleneck. This is a bottleneck that is rapidly increasing with the fragmentation of on-airport cargo facilities. Air carriers should now get out of the small package business forwarding all shipments of less than 200 lb to a forwarder for containerization. Shippers should be offered cost incentives to use containers.