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IATA: airfreight improves in Aug-2013, thanks to Middle East and European airlines

2-Oct-2013 11:20 AM

IATA reported (01-Oct-2013) "continued modest improvement" in airfreight markets in Aug-2013. The association said the bulk of growth was supported by Europe and Middle East carriers and stronger growth in demand "would require a significant improvement in the cargo performance of airlines in the Asia-Pacific region." Asia Pacific airlines held a 38% market share and recorded flat performance in Aug-2013, attributed to a slowdown in emerging markets and deceleration of China's growth in 1H2013. Europe saw economic growth, increased imports and higher export orders. Middle East freight growth accelerated in recent months, supported by improving demand in developing economies. North American airlines showed signs of growth, but freight performance remains volatile. Latin American carriers grew freight volumes, supported by robust trade. African airlines saw further declines in cargo volumes due to competition on key routes, despite healthy trade volumes and strong growth in many countries. IATA director general and CEO Tony Tyler said, "There are some signs of improvement in demand, but the air freight business remains very tough. Freight volumes are only now reaching the levels of 2011 when the cargo business peaked with revenues of $67 billion. This year we expect $59 billion of revenues from air cargo globally. That takes the top line back to 2007 levels. But to earn that revenue, we will be moving nearly 17% more cargo and dealing with a 40% hike in jet fuel. The road ahead will be challenging." [more - original PR]