Africa's air cargo sector to grow 5% annually

Rising African consumer buying power for goods that arrive by air, along with increased investment in industries that depend on air cargo for time-critical shipments, will spur growth in Africa’s air cargo sector over the next 20 years, with estimated growth in the region of 5% annually. According to aeronautical company Boeing in its latest World Air Cargo Forecast, as the manufacturing base in Africa continues to develop, the diversity of inbound air cargo should increase, reducing vulnerability to swings in commodity prices. Africa-Asia air trade is expected to expand at an average annual growth rate of 6.6% while air trade between Africa and Europe will grow 4.3% per year. Air trade between Africa and North America will grow 5.2% per year, albeit from a smaller base than either Europe or Asia. The report shows that South Africa continues to lead the region in intra- Africa air cargo traffic. The Middle East market accounts for 14.4% of African air cargo as it serves as a distribution hub for goods travelling to and from Africa. Outgoing goods include meat products, fruits and vegetables, and flowers. The predominant incoming goods are products related to the oil industry, followed by pharmaceuticals and machinery. Emerging oil and gas production in Uganda and other East Africa nations will expand this trade f low because of their proximity to the Middle East.