30 December 2009

European carriers were the only group to post a drop in traffic

The International Air Transport Association (IATA) reported international scheduled traffic results for November 2009. Freight demand recorded a 9.5% improvement, as freight load factors stood at 56.6%.

The improvement trends are being exaggerated by the sharp fall in demand experienced during the second half of 2008. Placing the results in perspective, freight demand is 20.0% better than the low point in December 2008, but still 10.0% below the peak levels seen in early 2008. Comparing to October (and adjusting for seasonality), freight demand grew by 4.7%, largely on the strength of markets connected to Asia Pacific.

The bulk of the air freight markets connect Asia. The 14.5% growth in freight demand for Asia-Pacific’s carriers is linked to the success of stimulus packages in driving industrial output and broader economic recovery within the region.

Carriers in other regions also saw strong growth in freight as follows: Africa (+8.1%), Latin America (+17.5%), Middle East (+21.4%) and North America (+13.6%). European carriers were the only group to post a drop in traffic, recording a 5.6% fall in demand. This reflects the lingering economic malaise in the region.

International freight traffic market shares by region in terms of Freight Tonne Kilometres (FTK) are: Asia-Pacific 44.6%, Europe 25.5%, North America 16.6%, Middle East 10.2%, Latin America 2.2%, Africa 1.0%.

Year to date (end of November 2009), demand for air freight is down 14.9% in Africa, 12.4% in Asia, 17.7% in Europe, 7.8% in Latin America and 13.0% in North America. The only region to see year to date growth is the Middle East, which has recorded year to date growth of 1.6%. Overall, the industry is down 12.7% year to date.