By Itohan Abara-Laserian
The International Air Transport Association (IATA) says cargo volumes for African airlines increased by 11.8 per cent Year-on-Year (YoY) in June.
In a report on Tuesday, IATA said that the demand on the Africa to Asia market increased by 37.5 per cent compared to that of June 2023.
The organisation described it as the strongest performance of all trade lanes.
It also said that June 2024 capacity for African airlines increased by 23.8 per cent YoY.
IATA’s Director-General, Mr Willie Walsh, said that global air cargo markets showed continued strong annual growth in demand, contributing to an exceptional first half-year performance for air cargo.
Walsh said that the volumes, during the period in review, exceeded 2023, 2022, and even the record-breaking 2021 levels.
“Total demand, measured in cargo tonne-kilometers (CTKs), rose by 14.1 per cent compared to June 2023 levels (15.6 per cent for international operations).
“This is the seventh consecutive month of double-digit year-on-year growth.
“Also, capacity, measured in available cargo tonne-kilometers (ACTKs), increased by 8.8 per cent compared to that of June 2023 (10.8 per cent for international operations),” he said.
He said that total half-year (H1) demand increased by 13.4 per cent compared to H1 2023, by 4.3 per cent compared to H1 2022, and by 0.02 per cent compared to H1 2021.
“Air cargo demand surged in June. Strong growth across all regions and major trade lanes combined for a record-breaking first-half performance in terms of CTKs.
“Maritime shipping constraints and a booming e-commerce sector are among the strongest growth drivers.
“Meanwhile, the sector has remained largely impervious to ongoing political and economic challenges and the U.S. customs crackdown on e-commerce deliveries from China.
“Air cargo looks to be on solid ground to continue its strong performance into the second half of 2024,” Walsh said.
He, however, noted some factors in the operating environment.
“In June, the Purchasing Managers Index (PMI) for global manufacturing output indicated expansion (52.3) while the new export orders PMI registered a small contraction, falling below the critical 50-point benchmark to 49.3.
“Global cross-border trade expanded 0.1 per cent month-on-month in May while industrial production stayed level compared to the previous month.
“Inflation was a mixed picture in June. In the EU and Japan, inflation rates stayed roughly constant compared to the previous month at 2.6 per cent and 2.8 per cent, respectively, while dropping in the U.S. to 3.0 per cent.
“In contrast, China’s inflation rate remained near zero (0.3 per cent) reflecting weak domestic demand amid high unemployment, slow income growth and a crisis in the real estate sector, a trend that has persisted since 2023,” he said.
He also highlighted regional performances in June, noting that the Asia-Pacific airlines saw 17.0 per cent YoY demand growth for air cargo.
“North American carriers saw 9.5 per cent, European carriers saw 16.1 per cent, Middle Eastern carriers saw 13.8 per cent, and Latin American carriers saw 13.1 per cent YoY demand growth for air cargo in June,” he added. (NAN)
