Airfreight volumes gradually building up

Airfreight volumes on the US-Africa route are gradually building up with more requests for space than a year ago, South African Airways regional general manager for the Americas, Bill Savage, told FTW. Along with the rest of the industry, the economic downturn has hit the airline hard with a serious dip in exports from December to May. “For six months the rates took a 50-60% drop,” said Savage “And because the European and Far East carriers were flying the North Atlantic empty, they were looking to get freight from anywhere to anywhere. Whereas they did not bother with our market a couple of years ago, they have gone after the African markets and pushed down rates.” SAA managed to hold its rates mainly because of its small capacity, says Savage. “But if I had six or seven aircraft a day flying out I’d have a problem. We did spot business for a few months at a discount but are no longer doing that.” Electronics, pharmaceuticals, courier parcels, diplomatic material and small machinery parts make up the bulk of SAA cargo loads. The airline flies an Airbus 340-300 out of JFK – and because this is a direct flight, it is severely weight restricted. A 340-600 flies out of Washington. The US inbound market remains weak with exports from SA – comprising largely perishables, mushrooms and fish – having dropped off significantly compared to a year ago. In Savage’s view America is still in bad shape. Unemployment is officially up to 14% and he believes there will be no improvement in the country until unemployment gets better. “But it does not seem to have affected the business to Africa – Europe and the Far East have definitely suffered but the African market remains strong.”