The new agreement calls for allocated space on UPS flights to Australia twelve months of the year. It catapults CII into becoming the largest forwarder customer of UPS out of Los Angeles. It also ensures that CII customers to Australia will have their important cargo delivered when promised to Australia--one of the strongest, and tightest, markets in international trade.
"This is truly a watershed agreement between a huge, $40 billion company with 400,000 employees and a $20 million freight forwarder with thirty on its payroll," stated Julian Keeling, President & CEO at Los Angeles-based Consolidators International, in announcing the new agreement with UPS.
He noted the Australian air cargo market has become increasingly tight as U.S. exports flow into that nation. The stronger U.S. export situation is based on a combination of a vibrant Australian economy requiring both industrial and consumer products and the weakened condition of the U.S. dollar. "It is almost a perfect storm where demand for U.S. products 'down under' is far outstripping the capacity to deliver these items," continued Keeling.
"The new arrangement minimizes this storm damage as shippers utilizing CII know that cargo space is available to them twelve months of the year, based on our guaranteed space."
The CII chief commented the new agreement is even more important during what he calls the "silly season," those times of year like Christmas and Easter when commitments for space to Australia are almost impossible to obtain. "When no other forwarder can realistically offer delivery, CII can," emphasized Keeling. "We now have reliability of delivery that is almost unprecedented between the two nations."
Keeling reminded shippers that Australia accounts for seventy per cent of CII's business. "Since CII first opened its doors fifteen years ago, we have concentrated on the Australian and New Zealand markets. This new arrangement, I believe, makes our service even more valuable to Australia-bound shippers."
"The new agreement with UPS reaffirms our faith in the strength and vitality of the Australian market and CII's ability to serve it," Keeling concluded.
