E u r o p e a n d U. S. T r a n s a t l a n t i c A v i a t i o n T r a d e a n d I n v e s t m e n t P a r t n e r s h i p C o n f e r e n c e
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1 E u r o p e a n d U. S. T r a n s a t l a n t i c A v i a t i o n T r a d e a n d I n v e s t m e n t P a r t n e r s h i p C o n f e r e n c e Sofia, Bulgaria September 11 13, 2016 Session VI: Air Cargo Development
2 CARGO DEVELOPMENT PRESENTATION O V E R V I E W O F M I A M I I N T E R N A T I O N A L A I R P O R T & C A R G O O P E R A T I O N S M I A A I R C A R G O S T R A T E G I E S Air Service & Route Development Business Development & Innovations Infrastructure & Facilitation
3 M I A - MIAMI-DADE COUNTY S LARGEST ECONOMIC E N G I N E Sustains the 2 Top Industries: Tourism & International Trade Annual Economic Impact: $33.7 billion Generates Over 282,000 Direct / Indirect Jobs Operated by the Miami Dade Aviation Department as an Enterprise Fund of Miami- Dade County
4 MIA I N D U S T R Y R A N K I N G S & A I R S E R V I C E #1 Airport in USA and Western Hemisphere for International Cargo (MIA-LAX-JFK) # 2 International Passenger Gateway to the USA (JFK-MIA-LAX) 44.3 Million Passengers in 2015 / 48% International Largest / Most Important Gateway to Latin American / Caribbean Region MIA Served by 103 Airlines: 62 Passenger and 41 Freighter Airlines More than any other USA Airport Service to 152 Passenger & 106 Freighter Destinations
5 62 Passenger Airlines: 17 U.S. & 45 International Serving 152 Destinations in the World XTRA Airways LAN COLOMBIA 5
6 41 Cargo Airlines: 25 U.S. & 16 International Serving 106 Destinations in the World Lanco Skyway 6
7 M I A S N E T W O R K O F I N T E R N AT I O N A L D E S T I N AT I O N S I S S T R O N G I N T W O W O R L D R E G I O N S : L AT I N A M E R I C A / C A R I B B E A N A N D E U R O P E Nonstop Passenger Destinations from MIA: Latin America/Caribbean 76 Europe 23 Middle East/Gulf 1 Source: Innovata Schedules via Diio 7
8 MIA Air Cargo & Trade Statistics Nearly 2.0 Million Total Metric Tonnes in 2015 Over 1.7 Million Metric Tonnes, or 87% was International 44% of International Tonnage In-Transit to Third Countries 56% Imports & Exports Valued at $52.8 Billion 83% of Total Volume on Freighters / 17% Belly Cargo Transshipment Hub Between Western Hemisphere & Asia, Europe and Middle East/Gulf 83% of Imports & 79% of Exports Between Latin American/ Caribbean Region and USA Leading Imports: Perishable Products: Flowers, Fruits & Vegetables, Fish & Seafood Leading Exports: High Technology Goods: Computers & Peripherals, Air/Spacecraft Parts, Telecommunications Equipment Fastest Growing Imports/Exports: Pharmaceutical Products
9 Leading Imports: Perishable Products #1 Airport in the Americas Total Perishables: 700,648 Metric Tonnes FLOWERS 206,204 Metric Tonnes Top Perishable Groups: FRUITS & VEGETABLES 189,902 MetricTonnes All Other Airports 9.25% JFK 12.44% All Other Airports 6.40% JFK 10.90% LAX 4.30% LAX 8.54% MIA 70.0% FISH / SEAFOOD 288,963 Metric Tonnes MIA 78.4% SOURCE: MIA Disk of International Trade
10 M I A S A S I A N C A R G O S E RV I C E A N D V O L U M E HAS I N C R E A S E D S I G N I F I C A N T LY I N T H E L A S T T E N Y E A R S 100,000 80,000 60,000 40,000 20,000 26,567 MIA Asia Metric Tonnes +241% 90, Source: MIA Marketing Division 10
11 M I A A I R C A R G O S T R A T E G I E S : Air Service & Route Development
12 MIA Air Service & Route Development MIA has 41 Freighter Airlines; Carry 83% of Total Tonnage New Passenger Routes Raising Belly Cargo Ratio Competing (Capacity & Price) with Freighters Attracting More Freighters More Challenging MIA Evaluates Markets / Conditions for Freighter Development Conduct Market Assessments Determine Needs What Does Business Community Want? Examine Bilateral Treaties, Open Skies, 5 th Freedoms Target Ready and Willing Airlines Show Airlines Data and Business Opportunities; Provide Incentives Promote and Advertise New Cargo Air Service Include Air Cargo Revenue Opportunities in Passenger Route Development Efforts
13 M I A A I R C A R G O S T R A T E G I E S : Business Development & Innovations
14 MIA Business Development & Innovations MIA Does Not Handle Cargo; Authorized Handling Companies Do Airport Involved in Cargo Business Retention & Development, Employs Multi-Faceted Approach to Cargo Development Marketing Division Air Service Development, Trade & Logistics Management, Product Development & Expansion & Business Facilitation Engage with Air Carriers, Freight Forwarders/Brokers, Chambers of Commerce, Foreign Trade Offices Exhibit and Participate at Global Air Cargo Events Conduct Ongoing Trade Analyses, Develop Collateral Materials/Report for Sales/Promotional Efforts
15 MIA Business Development & Innovations MIA Explores Innovative Ways to Maintain Growth : Engage & Travel with Trade Community To Build Business and Good Will with Foreign Trade Partners Perishables Logistics Road Shows Effective In-country Marketing Life Sciences: Pharma Hub Designation from IATA Engage Airport Community to get CEIV Certifications Alliance with Brussels Airport, Enhance Global Pharma Outreach Co-Create with Brussels Airport New Pharma Organization: Pharma.Aero Designate MIA as a Foreign Trade Zone: Expand Business Base On-Airport, Offer FTZ Benefits to Present & Future Companies Capitalize on Growing e-commerce Trend Aggressively Incorporate and Promote New Technologies MIA Foreign Trade Zone (FTZ)
16 MIA Pharmaceutical Hub Economic Powerhouse Industry Leader International Brand MIA S UP AND COMING CARGO STAR - PHARMACEUTICALS First IATA Designated Pharma Hub Airport in the Western Hemisphere and only in U.S. Strong Growth in the Transport of Pharmaceuticals Both Locally and Globally Extensive Commitment by Local Pharma Logistical Partners CEIV Pharma Certification = Business Development LOOKING AHEAD Pharma Hub Designation Will Serve as Catalyst for growing South Florida Pharma Industry Leveraging MIA s IATA Airport Pharma Hub Designation and Status as Gateway of the Americas Have Begun Outreach to Pharmaceutical Manufacturers Partnering with Local and State Business Development Entities
17 MIA Foreign Trade Zone Economic Powerhouse Industry Leader International Brand FTZs allow users to defer, reduce, or eliminate customs duties Currently MIA has 720,823 sq. ft of available space for lease (warehouse, office, hanger, industrial) Estimate that the MIA FTZ Magnet Site will increase non-airline revenue by $7.8 million annually and add hundreds of jobs Will attract new types of business and industries onto airport property while increasing trade, enhancing cargo air service development and diversifying revenue stream Potential target industries: Auto parts, Electronics, Textiles/ Footwear, Perishables, Metals/ Minerals, Pharmaceuticals, Avionics, Machinery/Equipment
18 M I A A I R C A R G O S T R A T E G I E S : Infrastructure & Facilitation
19 MIA Infrastructure & Facilitation MIA Cargo Infrastructure Dates to 1990 s; 18 Cargo Facilities Remaining Competitive Means Maintaining Optimal Operating Environments While Addressing Present and Future Growth Requirements MIA Comprehensive Cargo Infrastructure Plan: CORE Optimization Near Term Redevelopment Near/Mid Term Expand Long Term Program Combines Phased Strategy & Controlled Investment to Address Today s and Tomorrow s Needs Cargo Action Group: Oversee and Prioritize Cargo Business, Infrastructure and Security actions
20 MIA Infrastructure & Facilitation Facilitation is Integral and Critical Component of An Efficient Air Cargo Hub MIA s Wide Array of Products Each Has Its Entry and Transit Requirements MIA Attempts to Address Needs of Trade Community in Balance with Federal Inspection / Regulatory Protocols The Airport Works Consistently with Federal Agencies to Assure Facilitation Staffing Levels And New Procedures Do Not Impede Viability and Reputation of the Cargo Operation MIA Works with Government and Industry Associations to Streamline Processes and Promote Advances in Technology Strong Advocates of the US CBP ACE Program and the IATA e-awb Program.
21 T H A N K Y O U F O R Y O U R A T T E N T I O N J O S E P H N A P O L I C H I E F O F S T A F F M I A M I - D A D E A V I A T I O N D E P A R T M E N T
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