Five questions for Izabel Reis, Director of Azul Cargo

1. Could you describe Azul Cargo and what are the key success drivers?

Azul Cargo Express, the logistics unit of Azul Linhas Aéreas, has developed its business model by focusing on express packages and cargo shipments and by leveraging  Azul's air network. Today, the Azul Cargo Express network has over 350 stores in all Brazil and abroad, offering a "door-to-door" service to more than 5,000 Brazilian municipalities, as well as for the United States and Portugal. The services offered include any type of shipment for any type of need. B2C distribution for e-commerce, C2C, regular and common goods, sensitive, fragile, critical materials, in Azul Cargo “Here Everything Flies” within the rules and regulations.

Our key success drivers have been:

- 80% of ATKs  (Available Tonne-Kilometers) from bellies/passenger operation

- Covering 5.000+ cities with door to door services

- 2.300+ cities within 48 hours

- 98% of Brazilian population

- 98% of average delivery performance

- 350+ stores in all Brazil

- 167+ airports

- 1.350+ vehicles for collect and last mile operation.

Another key success for Azul Cargo is that we operate regular A330 flights on daily routes from Viracopos to Fort Lauderdale and flights from Viracopos, Confins and Recife to Orlando. There are also A320 flights from Manaus and Belem to Fort Lauderdale. Daily flights to Montevideo and Asuncion. Daily flights from Viracopos to Lisbon and Orly, and in June flights from Viracopos and Recife to Madrid and Porto will begin. 

Azul Cargo has a representative for the United States with coverage within the country,with road and air connections through Fort Lauderdale and Orlando. Representation in Europe responsible for the movement of shipments from all over Europe with road routes for connection via Lisbon and Orly, it also has representatives in India, Canada and Mexico. We also have partners for Asia.

On a monthly basis  3,500,000 kg are moved and the main products handled in our operations are fruits, fresh fish, automotives, e-commerce goods, electronics, pharmaceuticals, parts and machinery, furniture and niobium (minerals), among others.

2. How does Azul Cargo view the overall Brazilian cargo market?

The air cargo market potential is 15 times the current one, representing a huge opportunity to be captured in this continental sized country. Among several initiatives, we also seek and develop new markets to serve the Brazilian population in remote, difficult-to-access locations, taking advantage of our extensive pax and cargo network connected to an efficient surface service.

3. What is Azul Cargo's growth strategy and how can the A321P2Fs help to achieve this?

The e-commerce market in Brazil is pushing the air cargo market to different levels of on-time and delivery performance, Azul Cargo is highly focused on these very important key factors. The A321P2Fs are bringing to our business more volume capacity, a higher daily utilization, and higher dispatch reliability due to fleet commonality with the A320 and A321 passenger aircraft. A strategic fleet allocation in specific markets will help us to deliver a differential service to our customers and Brazilian population.

4. What is the ambition of Azul Cargo towards sustainability and what are the main cornerstones?

Azul Cargo’s activities are part of Azul’s sustainability and ESG goals, with important contributions in several topics. Together with the A321P2F lower CO2 emissions, which contribute to 9.000 tons of CO2 reduction per year for the same annual payload thanks to better scheduling and fuel efficiency., Azul Cargo is permanently working on opportunities to improve sustainability in the business: growth of electric vehicles for surface transportation, maximize digital and paperless processes, freighter’s operational efficiency, more ATKs in new generation passenger fleet, among others.

5. What are the main targets for Azul Cargo in 2025 and going forward?

Azul Cargo is also investing in technology to improve its services, such as expanding sorters in distribution centers and warehouses, cargo tracking and monitoring systems, allowing us to deliver shipments in the North and Northeast of Brazil by the next day. The increase in market share will come together with the natural growth in capacity and efficiency with the fleet renewal program of Azul Airlines. In 2025 we’ll get more than 25% increase in ATKs from new passenger airplanes in addition to the 50% from the new A321P2Fs, due to higher payloads and higher daily utilization, allowing to open and reach new markets and destinations including main cities in Latin America.