Asia Pacific carriers lead global recovery

Air cargo demand at Asia-Pacific carriers grew by 33 percent in March compared with the slump last year, underpinned by a robust recovery in international trade.

Preliminary figures released by the Association of Asia Pacific Airlines (AAPA) indicated that both passenger and air cargo markets continued to show further gains in March as a result of the region's dynamic economic recovery.

Freight capacity grew by a more restrained 12.6 percent. As a result, the average international air cargo load factor for Asia Pacific carriers jumped 11.3 percentage points to reach 73.1 percent.

"These figures provide further confirmation that the global economic recovery is well underway, led by quicker growth in leading Asia Pacific economies, but also accompanied by welcome signs of a pickup in both business and consumer confidence in major developed markets," said Andrew Herdman, AAPA director-general.

"The international air cargo market has bounced back strongly from last year's slump in international trade, recording a 33.8 percent jump in cargo volumes compared to the same period last year."

Cargo traffic volumes are nearing levels last achieved before the recession began to bite in mid-2008. Careful management of capacity has helped improve asset utilisation, and has been a key factor in steering airlines back towards profitability after two years of heavy losses.
Commenting on the impact of the problems with volcanic ash in Europe, Herdman said: "The severe disruptions to air travel caused by the closure of European airspace for several days in mid-April had a major impact on all international airlines.

"Asia Pacific airlines were forced to cancel most services to and from Europe for a period of six days, resulting in lost revenues estimated at US$250 million, and considerable inconvenience to the travelling public and air cargo shippers.

"Lessons must be learned from this painful episode, which highlighted poor decision making by various parties and a lack of proper coordination in the management of European airspace."

Source: Cargo News Asia