in General Aviation

African carriers saw freight demand increase by 1.0% in January 2019

Posted 7 March 2019 · Add Comment

The International Air Transport Association (IATA) released data for global air freight markets showing that demand, measured in freight tonne kilometers (FTKs), decreased 1.8% in January 2019, compared to the same period in 2018. This was the worst performance in the last three years.

 

Freight capacity, measured in available freight tonne kilometers (AFTKs), rose by 4.0% year-on-year in January 2019. This was the eleventh month in a row that capacity growth outstripped demand growth.

Demand for air cargo continues to face significant headwinds. Global economic activity and consumer confidence have weakened. And the Purchasing Managers Index (PMI) for manufacturing and export orders has indicated falling global export orders since September 2018.

"Air cargo markets contracted in January. This is a worsening of a weakening trend that started in mid-2018. Unless protectionist measures and trade tensions diminish there is little prospect of a quick re-bound," said Alexandre de Juniac, IATA's Director General and CEO.

African carriers saw freight demand increase by 1.0% in January 2019, compared to the same month in 2018. Capacity grew 8.2% year-on-year. Seasonally-adjusted air cargo demand has now trended upwards for six months. And while seasonally-adjusted international freight volumes are lower than their peak in mid-2017, they are still 35% higher than their most recent trough in late-2015. 

Other regional Performance

Only two of six regions reported year-on-year demand growth in January 2019 – North America and Africa. Asia-Pacific, Europe and the Middle East all contracted, while Latin America was flat.

Asia-Pacific airlines saw demand for air freight shrink by 3.6% in January 2019, compared to the same period in 2018. Weaker manufacturing conditions for exporters in the region, ongoing trade tensions and a slowing of the Chinese economy impacted the market. Capacity increased by 4.1%.

North American airlines posted the fastest growth of any region for the eighth consecutive month in January 2019, with an increase in demand of 3.3% compared to the same period a year earlier. Capacity increased by 5.0%. The strength of the US economy and consumer spending have helped support the demand for air cargo over the past year, benefiting US carriers.

European airlines experienced a contraction in freight demand of 3.1% in January 2019 compared to a year ago. Capacity increased by 2.8% year-on-year. Weaker manufacturing conditions for exporters, and shorter supplier delivery times particularly in Germany, one of Europe's key export markets, impacted demand. Trade tensions and uncertainty over Brexit also contributed to a weakening in demand.

Middle Eastern airlines' freight volumes contracted 4.5% in January 2019 compared to the year-ago period. Capacity increased by 4.1%. Seasonally-adjusted international air cargo demand, which trended upwards for the past three months helped by stronger trade to/from Europe and Asia, has started to decline.

Latin American airlines' freight demand was flat (0.0%) in January 2019 versus last year. Despite the economic uncertainty in the region, a number of key markets are performing strongly. Freight traffic within South America and between Central and South America grew at a double-digit rate in January. And demand on routes between North and South America also performed well. Capacity decreased by 0.7%.

 

* required field

Post a comment

Other Stories
Advertisement
Latest News

Ninety years since Bastié became the first woman to set an aviation world record

Ninety years ago, on 28 July 1929, the French aviator Maryse Bastié made history when she became the first ever female pilot to set an aviation world record.

Go Comoros Titan is a write-off after fire

Fledgling Indian Ocean airline Go Comoros has suffered the loss it its Cessna 404 Titan following a crash as it departed from Prince Said Ibrahim International Airport on Moroni.

Gulfstream outfits 300th aircraft with Jet ConneX

Gulfstream Aerospace has outfitted an industry-leading 300th aircraft with Jet ConneX, the inflight broadband service.

SAA in search of new leadership team

Johannes Bhekumuzi Magwaza, chairman of South African Airlines,will be leaving the loss-making carrier at the end of the month.

Qatar Airways to launch direct flights to Gaborone

Qatar Airways is to launch a new service to Gaborone, Botswana, starting 27 October 2019. The capital and largest city of Botswana will be the airline’s first destination in the African country.

Jasmin Airways takes to the air

Private Tunisian airline, Jasmin Airways, having made its first flight last month to Sarajevo in Bosnia-Herzegovina is looking at strengthening its hand with its third aircraft being delivered this month.

Aviationgate SK1007101019
See us at
Dubai AS BT2006211119MEBAA BT2006260919