Sats opens new cargo handling facility at Changi to cut processing time by 20%

[SINGAPORE] Sats on Tuesday (Aug 5) opened a new air-cargo handling facility in Changi Airport, which is expected to cut minimum processing time for shipments by 20 per cent.

The facility – which covers 3,000 square metres, or about half the size of a soccer field – can process cargo in as little as two hours, down from the usual 2½ hours, said the company in a statement.

Operated round the clock by Sats Cargo at Sats Cargo’s Airfreight Terminal, the BUP Handling Centre is named after the industry term “Bulk Unitisation Programme” shipments, which are ready-to-ship cargo units built by freight forwarders or shippers. These units are delivered to Sats Cargo for direct loading onto aircraft.

Each BUP typically combines smaller items – such as e-commerce packages, boxed goods, or loose parcels – into a single secured unit, which enables the cargo unit to be tracked electronically and handled as one item, saving time on loading and unloading and lowering the risk of damage.  

Kuah Boon Kiam, senior vice-president of cargo services at Sats Singapore Hub (SG Hub), said every minute counts in the air-cargo logistics network.

“The facility will allow faster, safer and more efficient processing and handling of air cargo shipments, by day and by night and in all-weather conditions.”

SG Hub is a dedicated division under Sats that supports operations in Singapore’s air gateways, including Changi and Seletar airports.

Sats said the BUP Handling Centre will be used to test systems and processes for air cargo operations, which could be rolled out in Changi Airport’s Terminal 5 and the Changi East Industrial Zone.

How it works

The new facility has six lanes and six weighing stations to centralise processing in a single location. Freight forwarders no longer need to move between different parts of the terminal, thus cutting waiting times and raising efficiency.

Under the previous setup, there were only two weighing stations and no dedicated processing lanes.

The facility also brings other operational benefits, in that it frees up capacity at existing airfreight terminals and eases roadway congestion. 

It also supports the resolution of acceptance issues. These include documentation, weighing, and verifying that BUP dimensions are compatible with aircraft cargo holds. Sats said that once accepted, the cargo units can be towed directly to the airside for uplift, streamlining flow and enhancing handling efficiency.