Friday, September 20, 2024

Africa’s air cargo market sees modest growth

The International Air Transport Association (IATA) has released its July 2024 analysis of the air cargo market, revealing a mixed performance for African airlines. While global demand for air cargo continued to soar, Africa’s growth lagged behind, raising questions about the region’s competitive position in the international market.

In July, African airlines reported a 6.2% year-on-year growth in air cargo demand, the lowest of all regions and a significant drop compared to previous months. Notably, demand on the Africa-Asia trade route experienced a 15.4% increase, indicating strong ties with Asia. However, overall demand growth remains concerning given the global context, where the airline industry recorded a 13.6% increase in demand compared to July 2023.

Capacity for African airlines also rose by 10.5% year-on-year, reflecting a positive trend despite the slower demand growth. This increase in capacity, however, is less robust than the 23.8% expansion noted in June, suggesting a cooling off in momentum.

Willie Walsh, IATA’s Director General, highlighted the robust global air cargo environment, noting that the sector continues to benefit from increased global trade, booming e-commerce, and challenges within maritime shipping. “With the peak season still to come, it is shaping to be a very strong year for air cargo,” he stated.

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