Amazon Takes to the Air and Lands in Kansas

Jan. 22—WICHITA — Amazon picked Wichita Dwight D. Eisenhower National Airport for its entry point into Kansas. On Jan. 20, 2022, Amazon Air launched daily cargo service into Wichita with an inaugural flight arriving shortly after 2 a.m.

This is Amazon Air's first regional gateway into and out of Kansas. This move will support deliveries to Amazon customers throughout the region and country.

"The Airport Authority is thrilled to support Amazon and the 8,000 jobs created (by them) in Kansas," said Brad Christopher, assistant director of airports at the Wichita Airport Authority. "Transportation infrastructure is vital to the growth and sustainability of economic development, and Eisenhower Airport will continue to be a critical component in that framework."

Just about eight months ago, Amazon approached the airport about bringing in a plane that would make the journey back and forth between Wichita and Fort Worth Alliance Airport. Amazon Air flights, which fly into 35 cities, are operated by Silver Airways. The plane flying into Wichita is an ATR72-500 aircraft.

The Wichita Airport Authority leased 10,691 square feet in the air cargo terminal to Trego-Dugan Aviation, a business contracted to sort and load Amazon packages bound for both Texas and all parts of Kansas. PrimeFlight Aviation will lease 1,470 square feet to provide de-icing services.

"We are thrilled with Amazon's continued investment in Kansas and look forward to continued growth to meet our customer needs," Chris Preston, director of Amazon Air Gateway Operations, said in a release.

Amazon Air's newest regional gateway joins two investment sites already in the Wichita area, including a one million square foot fulfillment center in Park City and a 140,000 square foot delivery station in northeast Wichita.

The company also has centers in Edgerton, Gardner, New Century, Shawnee and several in the greater Kansas City area.

Over the last decade, Amazon has invested more than $4 billion in Kansas, including infrastructure and compensation to employees. Amazon's investments have contributed an additional $3 billion in gross domestic product to the Kansas economy thus far.

"We have experienced significant growth in air cargo activity at Eisenhower Airport," Preston said.

The cargo area of the airport has increased in tonnage by more than 13% within the past five years, going from a little more than 25,000 tons in 2016 to more than 28,000 tons in 2021, Preston said. Before 2016, the growth rate was flat.

The airport's air cargo area is "in the planning stages" of growth, Preston said. This will include increasing the cargo apron and the facility.

Many of the larger cargo planes that fly in and out of the cargo area do so during the early morning hours. Amazon Air is scheduled to leave the airport at 5:15 a.m. each day, though on Jan. 21, the plane took off closer to 6:15 a.m.

"Cargo planes are nocturnal creatures," Preston said.

Kansas has a history of moving grains, parts and feed from one part of the state to another.

"We actually have a history of logistics in the state because of railroads," said Jeremy Hill, the director of the Center for Economic Development and Business Research at Wichita State University. "We were really good at it."

Hill said the logistics sector is continuing to shift into the high-tech side, including airplanes.

"This sector as an industry has been emerging," he said. "The state has that specialty, and it has shifted from low-skill to high skilled jobs to very quality jobs."

Other cargo planes are delivering goods in and out of the airport. These include DHL, FedEx and United Parcel Service. Unlike these three businesses, Amazon will only deliver goods bought and sold through them. But in all cases, smaller cargo planes or trucks are delivering goods to the airport cargo area from cities throughout the state.

Not only are these Amazon planes delivering goods to Kansas, but they are taking products that were produced or sold in Kansas out of the state in a quick manner. This includes meat and other perishables, as well as parts needed to either manufacture something or repair it.

Whether it is a chocolatier in Topeka, a rancher in Salina or Hutchinson, or a cheesemaker along Interstate 135, time is of the essence.

But there are costs and benefits.

"It'll make you lose the local retailer, which had quality jobs, but you generally save money to households," Hill said. "There is more access to goods, and getting more access to goods also increases quality of life."

But, some businesses in Kansas can now order items, which will get to them quicker, whether it is an airplane or tractor part or an item to resell.

"I think, in general, it would be a positive," said Mitch Robinson, the executive director of the Salina Community Economic Development Organization.

Amazon is not just transporting goods. They are utilizing the airport, which injects money into the economic growth of the area.

"A strong airport helps the economy much further than 30 miles," Hill said. "It helps all of Kansas."

Increasing cargo traffic helps commercial fares maintain better rates, Hill said.

Because Kansas is centrally located, it takes less time to fly to either coast.

"They (Amazon) said there are always possibilities of expansion," Preston said.

Right now, the Amazon plane is flying roundtrip each day of the week in a passenger plane that was gutted and converted into a cargo plane. Unlike larger carrier transporters, the items are loaded and unloaded by hand onto a conveyer belt. UPS and FedEx keep their items in containers, which go directly into the plane through the utilization of special equipment.

As COVID-19 shut down businesses and the supply chain became clogged, other businesses increased output.

"I think we've all seen the importance of good transportation with this COVID pandemic," Robinson said.

From 2019 to 2020, Amazon increased net income by 84%, selling more than $21 billion, according to Macrotrends, a research platform for long-term investors. Macrotrends also reported a 51% increase in net income for the company from 2020 to 2021, increasing net profits to more than $26 billion.

"I think anytime you'd have the opportunity to get items shipped in and shipped out, it's a positive and helps make our companies that are shipping items out better for their their customers or clients," Robinson said. "And then for the people that are buying different items, having the faster services is always good."

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