Thursday, November 5, 2020

Major European Cargo Centre Sees a New Air Freight Wholesaler Born

Amsterdam Schiphol is Base for Operation
Shipping News Feature

NETHERLANDS – WORLDWIDE – At a time when the air transport world is effectively at its lowest ebb, one operation has been launched by long-serving Dutch airfreight specialist Rinaldo Vels who has set up a new airfreight wholesaler, 'Wholesale by Vels'.

The new operation is specifically targeting non-IATA-licenced forwarders, courier companies, trucking companies, ecommerce forwarders and next generation digital forwarders. As ever with cargo wholesaling, the key ingredient is trust, no forwarder likes passing on client details to a company they perceive may be a rival, either now or in the future.

Head of the new operation Vels is a well-known figure on the Dutch airfreight circuit, having spent over 20 years in key positions with forwarders, cargo handlers, aviation truckers and a major wholesaler. Vels insists his firm will be strictly neutral and will only deal with transport intermediaries.

Based near Amsterdam Schiphol Airport (Europe’s 4th largest air cargo hub), and fully licenced by IATA, Wholesale by Vels is combining the traditional principle of consolidating smaller shipments to achieve better rates, whilst claiming the added benefits of expertise in optimal routes and carriers, and access to IATA carriers’ capacity for non-accredited agents.

The initial focus of Wholesale by Vels is on outbound services to Asia Pacific, Latin America and the US, and inbound capacity from Asia and the US. Despite the shortage of cargo space on many key routes, Vels is confident that his company can provide attractive solutions for those with air cargo to move.

Vels believes the firm's main appeal will initially be to freight agents who do not hold IATA accreditation, and for overseas-based forwarders who have no operation in Amsterdam, but considers that consolidation will also play an important role, providing a cost advantage and space for those who may be unable to access these in their own right. He observes:

"It is very important to show the true buying rates to our customers. We agree on terms and conditions as well a pre-set profit margin, and this provides total transparency to the customer. The future of air cargo is clearly digital, but we have a new generation of companies and staff whose strong digital competence and capabilities are not matched by practical knowledge and experience. To be successful, you need both.

“We are a full service cargo wholesale company. For modern airfreight operators of all sizes, Wholesale by Vels complements and supports today’s digital systems and front ends, with the equally important practical knowledge of which routes and carriers work best, and how you can still achieve viable buying rates that win business and leave room for profit.”

Wholesale by Vels is also providing bespoke solutions for customers with larger volumes that cannot easily be accommodated due to currently restricted linehaul capacity, and he points out the company had managed to operate three full charters out of China, even before receiving IATA accreditation. He also is already thinking beyond Amsterdam for the future of his new business, adding:

“I am currently working on a few projects that must remain confidential for now, but I admit I am very keen to expand wherever it makes sense. It would not surprise me if the Wholesale by Vels brand soon goes beyond The Netherlands, perhaps as part of a joint venture, or possibly through franchising. We are off to a flying start, and the warm reception we have had from the market is a strong endorsement of our concept. Customers clearly like options and honesty, and that’s exactly what we are offering.”

Photo: Rinaldo Vels