AIR CARGO EXPERIENCES ‘ROBUST GROWTH’ IN AUGUST

The International Air Transport Association (IATA) has announced August 2014 data for global air freight markets showing continued robust growth in air cargo volumes. Measured by freight tonne kilometers (FTKs), volumes rose 5.1% in August, compared to August 2013. Capacity grew at a slower pace of 3.4% from the previous year. This is the second strong month for cargo volumes in a row, following the 6.1% year-on-year rise recorded in July.
Carriers in all regions reported an expansion in volumes. Asia Pacific carriers grew 6.3%, continuing the acceleration of recent months. Emerging Asia trade volumes have expanded volumes solidly in June and July. A notable rise in Chinese export orders bodes well for future demand growth. Capacity expanded 4.4%.
Middle Eastern carriers reported cargo growth of 7.8%, a little below the year-to-date average of 9.6%. The Middle East continues to expand strongly on its growing links to developing markets, as well as diversifying into important commodities such as perishables. Capacity was up 6.0%.
“The outlook for air cargo is clearly getting better,” says Tony Tyler, IATA’s director general and CEO. “However, there are some limiting factors on the extent of potential gains. Demand for air cargo is growing more slowly than global economic activity. Businesses are reported to have more confidence in the future, but the list of political and economic risks continues to moderate how that confidence translates into actual activity.”