Air cargo volumes show some improvement

IATA expects that cargo volumes will grow 1.4% worldwide. This reflects a shift in seasonal shopping to online retailers, he said, which depend heavily on air cargo.

By ·

The International Air Transport Association (IATA) released traffic results for November 2012 which showed an improvement in air freight demand, with volumes edging up 1.6% after declining 2.6% in October, year to year.

“November brought some positive signs for air transport demand—particularly for air cargo,” said Tony Tyler, IATA’s Director General and CEO. “It is premature to consider this a turning point for air cargo markets in terms of bouncing back and regaining lost ground. But, when coupled with positive economic developments in the U.S. and an improvement in business confidence in recent months, the conditions are aligning to see a return to growth in 2013.”

Tyler added that in 2013 IATA expects that cargo volumes will grow 1.4% worldwide. This reflects a shift in seasonal shopping to online retailers, he said, which depend heavily on air cargo.

“It also shows improved consumer confidence in the US. Seasonally-adjusted air freight volumes have now risen back to the levels of mid-2012, after declines in the third quarter,” said Tyler.

Although some of this increase reflects the impact of the Thai floods in the year-ago period, the month-on-month increase of 2.4% is a positive sign, but industry analysts said this may not be reflected in rates.
“It’s our feeling that rates will continue to remain at present levels during the first quarter of 2013 and likely remain so unless there is a discernible economic recovery that will include robust consumer spending,” said Charles “Chuck” Clowdis, managing director of transportation advisory services for IHS Global Insight.

Clowdis is among the panel of industry experts scheduled to speak at LM’s upcoming “Rate Forecast” webinar on January 31.


About the Author

Patrick 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]

Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!

Article Topics

Air Cargo · Air Freight · Global · All Topics
Latest Whitepaper
Outsourced Transportation Management
All the benefits of owning a fleet without the headache of managing it.
Download Today!
From the August 2017 Logistics Management Magazine Issue
Which carriers, third-party logistics providers, and North American ports have crossed the service excellence finish line ahead of their competitors? Our readers have cast their votes, and now it’s time to introduce this year’s winners of the coveted Quest for Quality Awards.
BMW Takes the Inland Road to Efficiency
Global Logistics: No Shortcuts to Security
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Getting the most out of your 3PL relationship
Join Evan Armstrong, president of Armstrong & Associates, as he explains how creating a balanced portfolio of "Top 50" global and domestic partners can maximize efficiency and mitigate risk.
Register Today!
EDITORS' PICKS
34th Annual Quest for Quality Awards: Winners Revealed
Which carriers, third-party logistics providers, and North American ports have crossed the service...
2017 Top 50 3PLs: Investment and Consolidation Maintain Traction
The trend set over the past few years for mergers and acquisitions has hardly subsided, and a fresh...

2017 Salary Survey: Fresh Voices Express Optimism
Our “33rd Annual Salary Survey” reflects more diversity entering the logistics management...
LM Exclusive: Major Modes Join E-commerce Mix
While last mile carriers receive much of the attention, the traditional modal heavyweights are in...