February rise of 2.9 per cent for global air cargo markets

FEBRUARY saw a 2.9% rise in global air cargo markets compared with the same month last year, prompting “measured optimism” from IATA for the sector’s prospects in 2014.
According to latest market data from IATA, February’s increase in FTKs continues an early upward trend in 2014, with  an overall 3.6% improvement in demand for the first two months of the year over like period 2013.
IATA reports that the ”vast majority” of the growth in cargo was due to airlines in the Middle East and Europe who recorded 11.9% and 5.5% growth respectively compared to the previous February.
IATA’s director general and chief executive, Tony Tyler, said: “Cargo has had a positive start to the year. There is good cause for measured optimism for the cargo industry’s prospects in 2014. The 3.6% growth in demand recorded over the first two months of this year is a significant step up from the 1.4% growth in demand over the whole of 2013.
“There are, however, some serious trends which are not in the industry’s favor. Companies continue to ‘on-shore’ their manufacturing supply chains. The world’s top 20 economies implemented some 23% more protectionist measures last year than in 2009.
Tyler added: “These factors are a major part of the reason why we are not seeing trade growth of 5%-6%, which we would expect to see at the current level of domestic production. Currently trade and domestic production growth is running at about the same level. The World Trade Organization’s agreement in Bali late last year gives hope for invigorated world trade. It’s important that governments keep their commitments.”