the need for speed - ndta hq...events leading up to the creation of craf world war ii air transport...
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The Need for SpeedA L O O K A T I N T E R N A T I O N A L A I R F R E I G H T F O R W A R D I N G
B R A N D O N F R I E D
W W W . A I R F O R W A R D E R S . O R G
Integrators
Forwarders
Our Forwarder Members
AfA Airline Members
The Value of Air Cargo
Only 2% of World Measured Tonnage
30% of the Value of Goods Transported
ServicesDoor to Door delivery
Time Definite
Export/Import Regulatory Compliance
Insurance
Letters of Credit
Packing
Kitting
Complex Distributions
Storage
How We Make MoneyBuy at Airline Wholesale Rates Based on Volume
Sell at a Discount Below Airline Rack rates
Win-Win for the Airlines◦ They fill available space
◦ They avoid cost of retail sales, marketing and customer service
How We Move Airfreight
Belly Space on Passenger Airlines
Combination Carriers
Cargo Only Aircraft
Excess Capacity on the Integrators
Is it Worth the Money?
High Value Goods
Perishables
Quick Turn on Receivables
Factory Line Down
Aircraft on Ground
New Product Launches
Customer Demand
Urgent Medical Needs
Why a forwarder?Best rates possible
Strong buying position
Not married to one carrier
Global networks
Compliance experts
Save money and hassle
Other Logistics Players
Customs Brokers
Property brokers
3 PLs
Connect with AfA!
What is CRAF?
Civil Reserve Air Fleet (CRAF) is a readiness program used to provide a significant portion of the nation’s air mobility resources when the Department of Defense (DOD) airlift exceeds the capability of military aircraft.
◦ Voluntary contractual program
CRAF Purpose
AMC to utilize aircraft and commercial crews if CRAF is activated.
Events leading up to the creation of CRAF
World War II
◦ Air Transport Association (ATA) and the United States Army Air Forces agreed to use civil aircraft to assist the military
◦ Lend-Lease Act was passed on March 11, 1941
◦ The first cargo transport took place on June 21, 1941
◦ The United States enters World War II on December 7, 1941
◦ Civil airlines played a vital role during World War II
ATC – Contract Airlines Operations During World War II
Mode/Year 1942* 1943 1944 1945
Transport Miles (000,000)
Total Worldwide*** 31.3 128.6 340.7 561.2
Contract Worldwide 28.2 83.9 104.2 105.6
% Contract 90% 65% 31% 19%
Total International 21.6 104.0 295.1 505.0
Contract International 18.5 59.4 85.9 98.1
% Contract 86% 57% 29% 19%
Total Domestic 9.7 24.6 45.6 56.2
Contract Domestic 9.7 24.5 18.3 7.4
% Contract 100% 99% 40% 13%
Passenger Miles (000,000)
Total Worldwide 157.7 883.5 2439.7 5048.4
Contract Worldwide 134.0 658.2 1082.6 1482.0
% Contract 85% 74% 44% 29%
Total International 148.0 847.6 2185.9 4343.9
Contract International 124.3 622.2 1023.4 1261.0
% Contract 84% 73% 47% 29%
Total Domestic 9.7 35.9 253.8 704.5
Contract Domestic 9.7 35.9 23% 31%
% Contract 100% 100% 23% 31%
How was CRAF started?December 15, 1951 – Departments of Defense and Commerce agree on CRAF establishment
Started true development in 1952
Developed further at the end of the Korean War and hints of involvement in Vietnam
Flexible Response offered CRAF resources across warfare spectrum
Incremental Stages of CRAF ActivationAugust 28, 1963
Stages Description Authority
Peacetime Operations Perform airlift service in support
to deployed forces.
Executive director, single
manager, operating agency for
airlift services
Airlift Emergency – Stage I When required to perform airlift
services for DOD operations in
support of, but not confirmed to,
counterinsurgency activities and
localized emergencies.
Secretary of Defense
Airlift Emergency – Stage II When required to perform airlift
services for DOD operations in
support of, but not confined to,
limited wars.
President of the United States
Airlift Emergency – Stage III
Activation of CRAF
When required to perform airlift
services for DOD operations
during major military
engagements involving U.S.
forces (lined or general war).
Declared national emergency –
Secretary of Defense, or in
accordance with the conditions
of the contracts.
Incremental CRAF Activation – 1970
Stages Description Authority
Peacetime Operations Perform airlift service in support
to deployed forces.
MAC Commander
Airlift Emergency – Stage I When required to perform airlift
services for DOD operations in
support of, but not confirmed to,
counterinsurgency activities and
localized emergencies.
MAC Commander
Airlift Emergency – Stage II When required to perform airlift
services for DOD operations in
support of, but not confined to,
limited wars.
Secretary of the Air Force
Airlift Emergency – Stage III
Activation of CRAF
When required to perform airlift
services for DOD operations
during major military
engagements involving U.S.
forces (lined or general war).
Declared national emergency –
Secretary of Defense, or in
accordance with the conditions
of the contracts.
Commercial AugmentationMilitary Cargo Hauled
Year Percent
1962 40.5
1963 37.5
1964 22.2
1965 26.1
1966 30.2
1967 33.7
1968 24.0
1969 20.3
1970 15.8
1971 10.8
When was CRAF activated?
August 18, 1990◦ Operation Desert Shield (ODS)
◦ Stage I of CRAF Activated
January 17, 1971◦ Stage II of CRAF Activated
Military Air Command Airlift Operations
Cargo moved in September 1990 and January 1991
Building on Performance
Air Mobility Command (AMC) aggressive in finding solutions◦Future deployments◦Declining military budgets◦Performance◦Program Participation
What is a CRAF Partnership?
Mandatory requirement enforced October 24, 2016
CRAF carriers may register designated agents
Airline Benefits
DOD Peacetime Business
Increased Access to Foreign Markets
Joint Use of Military Fields
Reciprocal Auxiliary Aircraft Capability
Reducing the Impact of CRAF Activation
Designated Agent’s Responsibility
Military Surface Deployment and Distribution Command Freight Traffic United Rules Publication
Comply with federal statues, regulation and states laws
General Freight Management (GFM)
Automated Transportation Requests (ATR)
Coordinate logistics
US Bank Management
Honor contract terms with CRAF partner
Designated Agent Benefits
Provide logistical support as a CRAF partner
Ability to grow business within the program
Credibility to grow in other sectors
A sense of pride in doing their part to service the US military
Military Benefits under CRAF
Personalized customer service
Communication
Necessary skills sets to handle high visibility
shipments
Multiple resources
Flexible options