Airlines expect stagnant freight volumes

Freight volumes have contributed little to the airline industry’s slight increase in net profit with predictions that it will now be around 1.8% this year. According to Tony Tyler, director general and CEO of the International Air Transport Association (Iata), freight volumes are expected to be stagnant at around 52.1 million tonnes this year. “Effectively there has been no significant growth since 2010 when freight volumes were 50.7 million tonnes. After a 6.3% fall in yields in 2012, we expect a further contraction of 2.0% in 2013 as capacity conditions remain much more challenging than in passenger markets.” He said this had resulted in many airlines having to find other streams of revenue in an effort to remain profitable.