c significant challenges for the sector. Despite this downturn, African carriers expanded their cargo capacity by 0.4%, continuing their efforts to provide more space despite declining demand.
According to the International Air Transport Association (IATA) report on global air cargo markets, the African air cargo market showed a stark contrast to global trends. The report notes: “African airlines saw a 0.7% year-on-year decrease in demand for air cargo in November, the slowest among regions. Capacity increased by 0.4% year-on-year.” This highlights the struggles of African airlines amidst a global surge in demand.
Globally, the air cargo market performed strongly in November 2024, with a 9.5% year-on-year increase in demand, marking the 16th consecutive month of growth. Overall global demand, measured in cargo tonne-kilometers (CTK), rose by 8.2%, with international operations driving much of this increase. Global capacity also grew by 4.6% compared to November 2023.
IATA’s Director General, Willie Walsh, expressed satisfaction with the global air cargo performance, emphasizing that demand growth nearly doubled capacity increases. The success was partly attributed to favorable fuel prices, which were 22% lower than the previous year, allowing for a 7.8% increase in yields.
However, Walsh cautioned that challenges like inflation, geopolitical tensions, and trade disruptions could undermine sustained growth. While African airlines faced struggles, other regions performed significantly better:
Asia-Pacific airlines saw a 13.2% year-on-year increase in demand, the highest among all regions, with capacity up by 9.4%.
North America saw a 6.9% increase in demand and a 2.2% rise in capacity.
Europe recorded a 5.6% rise in demand, with capacity growing by 4.3%.
Middle East airlines posted a 3.6% increase in demand, despite a 0.6% decrease in capacity.
Latin America experienced an 11.6% surge in demand, with capacity expanding by 6.4%.
The IATA report also highlighted positive factors driving global demand, such as a 2.1% increase in industrial production in October and a 1.6% rise in global goods trade, which supported the strong global air cargo performance.
Although African airlines are struggling to keep pace with other regions, the global air cargo sector remains robust. The outlook for the sector remains positive, with opportunities for African carriers to address their growth challenges amidst a thriving global market.