Home
FacebookTwitterSearchMenu
  • Subscribe
  • Subscribe
  • News
  • Features
  • Knowledge Library
  • Columns
  • Customs
  • Jobs
  • Directory
  • FX Rates
  • Contact us
    • Contact us
    • About Us
    • Advertise
    • Send us news
    • Editorial Guidelines

Airfreight stability returns

11 Sep 2023 - by -
0 Comments

Share

  • Facebook
  • Twitter
  • Google+
  • LinkedIn
  • E-mail
  • Print

The airfreight sector faces unrelenting pressure on margins in a highly competitive market. Debby Gray, Johannesburg airfreight branch manager at SACO CFR, said competition in the sector remained high. However, amidst this challenging landscape, a glimmer of stability has emerged thanks to airfreight rates being more stable than in years. Moreover, the increasing prevalence of contract rates, said Gray, was providing this much-needed stability.The airfreight industry has long been plagued by volatility, with f luctuating rates based on factors such as fuel prices, demand-supply imbalances, and geopolitical events. For a considerable period, businesses across sectors have grappled with uncertain and soaring airfreight costs, making financial planning and supply chain management an arduous task.Nevertheless, recent market trends suggest a positive shift in the airfreight landscape. Gray said airfreight rates had been relatively stable over the past few quarters. This newfound stability is attributed to a combination of factors, including improved operational efficiency, increased competition among carriers, and greater utilisation of cargo space."At SACO CFR, we have implemented new gateways in the USA that we continue to develop. We are working on a second tier to our current service, a very competitively priced direct service from mainland USA to South Africa," she told Freight News. "However, we have identified an apparent demand in the present market for a more affordable service option with extended transit times. We are actively working towards implementing this solution to cater to our customers’ needs.” According to Gray, while they are seeing a significant increase in the number of shipments handled per month, there has been a gradual decline in the average size per shipment. This trend was likely a result of larger volumes being transported via sea freight, driven by the attractive low pricing it offered, she said.

Sign up to our mailing list and get daily news headlines and weekly features directly to your inbox free.
Subscribe to receive print copies of Freight News Features to your door.

September 2023 Compendium

View PDF
Altering outdated mindsets a challenge
11 Sep 2023
Urgent need to create a pipeline for women leaders
11 Sep 2023
Defy silence and embrace boldness
11 Sep 2023
‘Driven by a love of logistics and the desire to deliver excellence’
11 Sep 2023
Diversity in the workspace makes business sense
11 Sep 2023
Coaching and mentoring more critical than ever
11 Sep 2023
Focus on skills not gender
11 Sep 2023
Breaking barriers on the long road
11 Sep 2023
‘Time to shatter preconceptions’
11 Sep 2023
Strong focus on growing trade lanes to and from Asia and Europe
11 Sep 2023
Muted industry growth likely
11 Sep 2023
Airfreight stability returns
11 Sep 2023
  • More

FeatureClick to view

Sea Freight May 2025

Border Beat

The N4 Maputo Corridor crossing – congestion, crime and potholes
12 May 2025
Fuel-crime curbing causes tanker build-up at Moz border
08 May 2025
Border police turn the tide on illegal crossings
29 Apr 2025
More

Featured Jobs

New

Estimator (Airfreight Imports)

Tiger Recruitment
East Rand
12 May
New

Estimator

Switch Recruit
Cape Town
12 May
New

Sales & Marketing Assistant

Lee Botti & Associates
Johannesburg - North
12 May
More Jobs
  • © Now Media
  • Privacy Policy
  • Freight News RSS
  • About Us
  • Advertise
  • Send us news
  • Contact us