Middle Eastern carriers recorded a significant growth in freight tonne kilometres (FTK) of 12.9 per cent and 17.1 per cent increase in capacity in November, according to the International Air Transport Association’s (Iata) data for global air freight markets.

The regions hubs continued to provide a strong platform for connecting long-haul freight shipments, it said.

Meanwhile, carriers in the Asia-Pacific region grew at 5.9 per cent and accounted for 55 per cent of the total year-on-year growth, while Middle East airlines contributed a further 38 per cent growth.

The global demand measured in FTK grew 4.2 per cent compared to November 2013, while capacity grew 3.3 per cent over the previous November. Compared to October, air freight demand expanded by a healthy 0.8 per cent, said the report.

An important development emerged at the end of 2014 which, if it continues, bodes well for air freight markets. Air freight is closely linked to world trade (by value about a third of goods traded internationally are shipped by air).

Air cargo growth stagnated from 2011 as world trade volumes basically grew in tandem with domestic production. A strong growth trend in cross-border trade emerged over the second half of last year (while domestic industrial production remained stable) which has had a positive impact on air cargo volumes.

Tony Tyler, Iata’s director general and chief executive officer, said: “More goods are being traded internationally and that is fuelling the growth in air freight. It was clear in November that most of that growth is being captured by carriers in the dynamic and relatively business-friendly Asia-Pacific and Middle East regions.

“This year we expect air freight markets to expand by 4.5%, outpacing projected growth in world trade (four per cent). But that optimism is tempered by the many macro-economic and political risks that continue to impact trade flows.”

“The air cargo industry enters 2015 propelled by solid growth trend. Shippers have a choice in modes of transport and, like customers everywhere, demand ever greater value. To turn the growth into sustained stronger profitability, the air cargo industry faces the challenge of investing in more efficient and higher quality processes and facilities that will give it the winning edge over its competitors,” said Tyler.

Enhancing air freight’s competitiveness is at the top of the agenda for the World Cargo Symposium in Shanghai, which will run from March 10 to 12.

The event is expected to draw 1,000 leading air freight executives to debate industry competitiveness and transformation under the theme of ‘Improving the Customer Experience.’ - TradeArabia News Service