Increased demand expected for air cargo

A recent fall in oil prices may spark a surge in demand for air cargo services as major cargo carriers pledge to reduce their fuel surcharges in the coming weeks, Emirates Business 24/7 reports.

For many airlines, this will mark the first time this year that the surcharge has been reduced after six consecutive hikes since January.

Following the announcment of other major cargo carriers, Emirates Skycargo has announced it will reduce its fuel surcharge for cargo shipments within Europe from AED4.8 (US$1.30) to AED4.6 ($1.25) per kilogramme, while shipments within the Middle East will be lowered from the current AED2.4 to AED2.2, from August 21.

Fellow Middle-East carriers, Qatar Airways Cargo and Etihad Cystal Cargo are also set to be lower their surcharges in the near future.

The move by the world's leading airlines also opens up the possibility for further freighter fleet expansion, the article said.

Source: Transportweekly