The freight unit of Turkish Airlines (TK) is considering corporatizing and thus becoming a separate company with an own management and full responsibility for sales and results. Corresponding schemes were confirmed to CargoForwarder Global by Turhan Oezen, Chief Cargo Officer at Turkish Airlines, during a video conference orchestrated yesterday (16JUN20) by the German Air Cargo Club (ACD).
Spinning off Turkish Cargo to becoming a separate company is a realistic option, Mr. Oezen affirmed to CargoForwarder Global when asked about the future organizational structure of TK’s freight arm. “We have set up a working group that is currently analyzing in detail all the pros and cons of becoming a separate company,” the manager stated.
But these considerations, should they be put into practice, are not related to a fixed date or time period, emphasized the communications department of the Turkish carrier.
In the Webinar, Mr. Oezen added to this, that in parallel, plans to expand the existing joint venture with China's ZTO Express and Hong Kong's PAL Air aimed at operating globally as a virtual integrator, are also being given high priority. “As a matter of fact, we are very confident that the business of this joint venture will pick up after the Covid-19 pandemic,” he declared.

Joint venture will be revived post Covid-19
Formed in Hong Kong exactly two years ago, the company called We World Express, focuses on the e-commerce market, offering customers all door to door logistics activities
including trucking, collection and distribution, freight transportation by road, rail and air, cross docking, and final mile delivery. When the joint venture was kicked off, leading managers of
Turkish Airlines, ZTO and PAL Air rolled out a masterplan, forecasting revenue in the region of US$2 billion within the first five years of the company’s existence. These plans, however, were
thwarted by the outbreak of the corona pandemic which shocked the entire world and crippled the global business.
Touching Covid-19, the manager said that roughly 40 passenger aircraft were temporarily converted to “preighters”, operating 1,000+ flights between March and May to safeguard the supply of
hygienic and medical equipment, and compensating for the loss of lower deck capacity caused by the grounding of most passenger aircraft. "We responded immediately to global phama and medical
demand caused by the pandemic. Carrying masks, medicines, medical equipment and medical aid we coninue doing. From 1 February to 31 May this year, we flew more than 20,000 tons of medicines and
medical equipment," stated the manager.
Freighter fleet keeps growing
Looking ahead, TK Cargo’s helmsman Oezen said that the passenger fleet will be downsized with aircraft being taken out of operation owing to the fall in tourist traffic. “I can confirm that
our passenger fleet will shrink but to what extent is pending final management decision.”
The freighter fleet is not affected by any contractions. In contrast, depending on market development, it will grow by 1 to 3 units annually, adding to the existing 25 all-cargo aircraft,
announced the manager.
In pre-corona times, TK Cargo had constantly expanded its global network, serving 90 destinations with full freighters.
Concentrating on high value products
Mr Oezen stressed that TK Cargo will concentrate on special products, particularly pharmaceuticals, but also perishables and other products requiring utmost care and protection. He reminded
listeners that, last April, his airline became the first carrier to achieve all three CEIV Pharma, Fresh, and Live Animals certifications concurrently, under the IATA Center of Excellence for
Independent Validators (CEIV) program.
“Traditionally, we are growing primarily on international routes, which we will continue to expand in the future,” Mr. Oezen stated.
Asked about the current economic crisis in Turkey and the consequences for TK Cargo, he said that the domestic market contributes only about 1/4 to the total tonnage. In 2019, the carrier
transported 1.54 million tons.
Heiner Siegmund
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Write a comment
Rayhan ahmed (Wednesday, 17 June 2020 20:51)
I am Surprised why Turkish cargo
Has not a separate identity from
Turkish airlines this would be a good
Idea to do so as most airlines have
There own cargo airline as a separate
Identity .
While doing a turn of a Turkish airlines
777 at LHR we had a leak of somewhat
In the front cargo hold .. we called in
The captain who was a Dutch pilot while
In a conversion he Told me he commands not only the 777 of
Turkish airlines but also of Turkish
Cargo ... so in other words both
Companies are the same as one
Operating airline.
Harald Ludwig (Wednesday, 17 June 2020 23:02)
This is Harry Ludwig from VAC SpeditionsgesmbH Vienna Austria
We are very interesting to learn more about this project.
Thank you and kind regards from Vienna
Harry Ludwig
Head of Sales and Development
VAC VIE
Sent from i-pad
HAKAN BULAT (Thursday, 18 June 2020 04:02)
Hi,
The joint venture of Turkish Airlines, ZTO and PAL is called We World Express, not Global Express. Might be a redaction error.
Rgds
Hakan BULAT
Heiner Siegmund (Thursday, 18 June 2020 11:19)
Hakan
Thanks for pointing out the name mistake. Have changed accordingly.
At its inception in June 2018 the JV was officially introduced as Global Ekspres, respectively Global Express.
Kind regards, H