New Fees to be introduced by Ethiopian Cargo

Ethiopian Cargo is to introduce new fees for various services it offers in Ethiopia. The new fees are expected to include charges for security screening, port handling, terminal use and terminal transfers. There were no charges for these services provided previously.

Fees will be modeled on what Ethiopian Airlines has been paying in external airport terminals. Such charges are common to goods shipped by private companies in other countries according to industry experts.

Ethiopian Cargo offered the services free of charge because it has been handled by Ethiopian Airlines a public company.

The new strategy is part of efforts by Ethiopian Cargo to enhance its earnings. Other schemes to increase profitability include increasing cargo and charter rates, warehouse demurrage, higher office rent as well as introducing terminal charges. 

Ethiopian Cargo has the potential to become a major hub for the shipping of perishable goods such as herbs, fruits, meats and flowers due to its strategic location.

The terminal will be required to meet international design specifications to ensure rapid processing and cold chain management. An expansion project is expected to provide an additional capacity to manage 125,000 tons and 120 pallet positions.

Regular perishable outgoing cargo from Addis Ababa Airport includes flower, frozen meat products and rugs. Incoming cargo handled by Ethiopian cargo include chemicals, machinery, equipment, medicines and garments.

Source: Capital