Mubasher: Demand for global air freight markets, measured in freight tonne kilometers (FTKs), increased 5.9% year-on-year in October 2017, the International Air Transport Association’s (IATA) data showed.
Freight capacity, measured in available freight tonne kilometers (AFTKs), grew 3.7% in October 2017, compared to the year-ago period.
Freight volumes are forecast to hike in 2018, IATA said.
Cargo demand remains strong with several indicators that IATA may have passed the growth peak, IATA said.
“Demand for air freight grew by 5.9% in October, and tightening supply conditions in the fourth quarter should see the air cargo industry deliver its strongest operational and financial performance since the post-global financial crisis rebound in 2010,” IATA’s Director General and CEO, Alexandre de Juniac said.
Freight volumes of Middle East carriers rose 4.6% y-o-y in October 2017, while capacity went up 3.4%.
Month-on-month, international freight volumes tumbled to 4.7% in October, from 9.2% in the previous month.
“In fact, seasonally-adjusted international freight volumes have continued to trend upwards at a rate of 8-10% over the past six months,” the report said.
IATA's data revealed that freight volumes of North American carriers jumped 6.6% in October, but down from 7.4% in the month earlier, while capacity increased 3.8%.
The strength of the U.S. economy and robust dollar have shored up the inbound freight market in recent years, according to IATA.
European airlines recorded a 6.4% increase in freight demand in October 2017, down from 10.6% in September, while capacity soared 2.5%, the data showed.
