Airfreight continues its popularity among international shippers as cost and congestion issues continue to impede ocean transport.
According to Drewry's Airfreight Insight, a new online airfreight market intelligence service, 2024 has been a year of continued supply chain disruption for ocean freight shippers and has forced many to think and act creatively to alleviate the pressures on their global transport networks.
"With unreliable transit times and myriad problems in ocean transport, airfreight has stepped in and aided procurement teams at a time of need," the recent Drewry analysis said.
"As congestion has plagued the ocean freight sector, Drewry has seen double-digit growth in airfreight volumes, particularly out of Asia, but freighter capacity has remained buoyant enough to sustain this growth, and although rates have gone up, they have not matched the steep increases in ocean spot rates," the report added.
Despite the demand boom in airfreight, it noted that between December 2023 and September 2024 the cost ratio between airfreight and ocean freight spot rates has narrowed from 25.9x to 5.6x.
Source: Drewry Airfreight Insight, Drewry Maritime Research, IATA
Note: Comparison of East-West Airfreight Price Index and Drewry’s East-West Container Freight Rate Index (converted to cost per kg: basis 4,500kg per TEU)
Drewry Airfreight Insight, a new monthly service, will focus on the key drivers of the airfreight market (supply, demand and load factors) on all key routes. Key regional indices are enhanced by spot rate benchmarks against 127 of the most popular air routes.
