Air cargo demand is expected to grow by seven per cent to 37.7 million tonnes in 2010, according to the latest analysis by the International Air Transport Association. This is stronger than its previous forecast of five per cent in September and follows a 13 per cent decline in 2009.
Total freight volumes are expected to remain ten per cent below the 41.8 million tonne peak recorded in 2007.
Cargo demand is rising faster than world trade as depleted inventories are rebuilt, according to the IATA. Once the inventory cycle complete, growth is expected to fall back in line with world trade.
Cargo yields plummeted by 15 per cent in 2009, but are expected to improve by 0.9 per cent in 2010.
Overall, IATA has revised in financial outlook for the airline industry in 2010 to an expected £3.4 billion ($5.6 billion) global net loss, larger than its initial prediction of £2.3 billion ($3.8 billion).
Giovanni Bisignani, IATA’s director general and chief executive, said: “The world’s airlines will lose £6.7 billion ($11 billion) in 2009.
“We are ending an annus horribilis that brings to a close the ten challenging years of an aviation decennis horribilis. Between 2000 and 2009, airlines lost £30 billion ($49.1 billion), which is an average of £3 billion ($5 billion) per year.”
“The worst is likely behind us. For 2010, some key statistics are moving in the right direction. Demand will likely continue to improve and airlines are expected to drive down non-fuel unit costs by 1.3 per cent. But fuel costs are rising and yields are a continuing disaster. Airlines will remain firmly in the red in 2010 with £3.4 billion ($5.6 billion) in losses.”