Africa stood out as the only
region to record freight growth
(2.2%) in November last year,
although carriers saw a decline
from the 3.0% growth posted
in October, according to the
latest International Air Transport
Association figures.
International cargo volumes
dropped 13.5% in that month
while passenger traffic was down
4.6%.
Plummeting business
confidence and the continuing
turmoil in financial markets
indicates that the worsening trend
is likely to continue in December,
Iata predicts.
Asia-Pacific carriers
(representing 44.6% of global
freight) were the greatest losers,
with freight traffic in the region
falling by 16.9% in November –
the largest decline of any region.
As freight accounts for a
larger percentage of revenues for
the Asia-Pacific carriers, fourth
quarter profits for the region’s
carriers will be disproportionately
(and negatively) impacted by the
downturn in the global air freight
market.
Double-digit freight declines
were also experienced by Latin
American carriers (-15.7%),
North American carriers (-14.4%)
and European carriers (-11.0%).
Freight traffic for Middle Eastern
carriers turned negative (-1.6%),
following 1.0% growth in October.
“The 13.5% drop in
international cargo is shocking. As
air cargo handles 35% of the value
of goods traded internationally,
it clearly shows the rapid fall in
global trade and the broadening
impact of the economic
slowdown. By comparison, this is
the largest drop since 2001, in the
aftermath of September 11,” said
Giovanni Bisignani, Iata’s director
general and CEO.
“With no end in sight for the
worsening global economy, the
2008 gloom will carry over into
the new year. Relief in the oil price
has been outstripped by the falls in
demand and capacity cuts are
not keeping pace. The industry is
back in intensive care. Improving
efficiency everywhere will be the
theme for 2009,” said Bisignani.
‘Shocking’ November results put airfreight industry in intensive care
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