IATA survey demonstrates renewed confidence
The future appears to be particularly promising in the Asia Pacific market.
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Following its promising forecast made last month, the International Air Transport Association (IATA) is reporting a significant surge in air cargo demand. The future appears to be particularly promising in the Asia Pacific market.
Results from IATA’s quarterly survey conducted this month also indicate a further improvement in airline business confidence, said spokesmen. Survey respondents comprised airline CFOs and cargo executives.
Indeed, nearly 70 percent of respondents reporting improved profitability during the last quarter and a similar number expecting further improvement over the year ahead.
While there is regional variation - largely in line with the strength of economic recovery being experienced - the majority of respondents in all regions report improvements during the last quarter and expect either stability or further improvement over the year ahead.
As reported in LM, IATA revised its June forecast for 2010 industry financial performance from a loss of $2.8 billion to a profit of $2.5 billion.
According to IATA researchers, confidence about further improvements in profitability over the twelve months remains high. Some regional variation remains, with Europe being the only region still registering possible profitability decreases - although that the overwhelming majority (80 percent) of European respondents are actually positive on prospects. In the Middle East two thirds of respondents expect ‘no-change’ in profitability indicating a fairly stable outlook.
About the AuthorPatrick Burnson, Executive Editor Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at [email protected]
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