World cargo’s summer sadness
27 / 07 / 2011
JUNE has been no exception to the fact that international freight volumes have not grown since July-August 2010, coming in at three per cent lower year-on-year.
Slower economic growth and increased costs resulting from higher jet fuel prices, and increased taxation in some countries have endured since July-August 2010. World trade is expanding at seven per cent annually, but this is not transferring to air transport in particular.
“Compared to May  both passenger and cargo markets contracted by about one per cent. For passenger traffic, this is a speed-bump in a gradual post recession improvement. But air cargo continues in the doldrums at six per cent below the post-recession peak [in May 2010],” Tony Tyler, IATA’s director general, said.
Asia Pacific carriers recorded the largest year-on-year decline at -5.8 per cent. European carriers posted a 1.3 per cent drop and North American carriers recorded a decline of three per cent compared to June 2010 levels.
Carriers in the Middle East, Latin America and Africa showed year-on-year growth for June, recording demand increases of 3.7 per cent, 2.8 per cent and 0.3 per cent respectively.
IATA is forecasting an industry profit of US$4 billion for 2011, which is a 78 per cent fall from the $18 billion that the airlines made in 2010.