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INDUSTRY REPORT






         Navigating the skies
         THE GROWING



         ROLE OF AIR CARGO



         CHARTERS IN AFRICA




         Despite challenges such as infrastructure deficiencies and geopolitical conflicts,
         the African air cargo charter market is rising, reports Rajarshi Chatterjee.


                ccording to The International Air                            operated 23% more charters in 2023
                Transport Association (IATA),                                compared to the previous year."
                global air cargo demand in                                      "Traditional demand for cargo charters
         AMarch 2024 increased by 10.3%                                      to Africa remains strong, yet supply
         compared to March 2023, and international                           remains constrained compared to 2019.
         operations saw an 11.4% increase. Available                         This shortfall results from competition for
         cargo capacity increased by 7.3%, with                              capacity on major trade lanes as companies
         Middle Eastern airlines experiencing the                            pivot towards more reliable and quicker
         most substantial demand growth at 19.9%.                            shipping options, such as air charters,
         African airlines also performed well, with a   Etihad Cargo         and a relative lack of belly cargo space out
         14.2% increase in demand.                                           of Greater China, coupled with a higher
           In February 2024, African airlines     witnessed a 35%            reliance on freighters," added Rodrigues.
         experienced a remarkable 22% surge       increase in charter           To add to that point, Jenny van
         in air cargo demand compared to the      requests and               Wyk, Country Manager—South Africa,
         previous year, marking the highest growth                           Chapman Freeborn, said, "As Africa's
         rate globally. The intra-Africa trade lane   operated 23% more      economy continues to develop, the cargo
         was particularly noteworthy, exhibiting   charters in 2023 than     air charter market is poised for further
         a substantial 42.3% increase in demand,   the previous year.        expansion and innovation."
         while overall air cargo capacity rose 28.2%
         year-on-year.                                  LEONARD RODRIGUES    BUT WHAT IS FUELING
           "Africa is a growing continent", said                 ETIHAD CARGO  THE GROWTH OF THE AIR
         Erdem Sari, Regional Air Charter Manager,                           CARGO CHARTER MARKET IN
         StarBroker – DHL Global Forwarding,                                 AFRICA?
         Middle East and Africa, as the opening   OVERVIEW OF AFRICA'S AIR   Partnerships between industry players
         statement during a recent interview with   CARGO CHARTER MARKET     have boosted air cargo charters in Africa.
         Logistics Update Africa. DHL Global   While discussing the overview of the air   Etihad Cargo and Astral Aviation's
         Forwarding and DHL Aviation have   cargo charter market in Africa, Sanjeev   collaboration enhances cargo services
         bundled resources to add value. This was   Gadhia, CEO, Astral Aviation, said, "The   between the UAE and Africa. Their
         made possible by their in-house carrier,   air charter market for Africa has been   new route from Nairobi to Abu Dhabi
         DHL StarBroker, which is DHL Global   buoyant since September 2023, with an   facilitates swift transportation and opens
         Forwarding's in-house charter team.  increase in charters to Africa."   up new trade opportunities, promoting
           The demand for air cargo in Africa   "Etihad Cargo witnessed a 35% increase   economic growth.
         is on the rise, driven by the growth of   in charter requests and operated 23% more   Astral Aviation's Sanjeev Gadhia also
         e-commerce, urgent deliveries, and the   charters in 2023 than the previous year." -   believes that geopolitical disruptions are one
         Red Sea Crisis. This demand has led to an   Leonard Rodrigues, Etihad Cargo  of the primary factors driving the growth
         increase in both scheduled cargo flights and   Discussing the same topic, Leonard   of air cargo charters in Africa. During a
         charter air cargo. These specialised services   Rodrigues, Head of Revenue Management   recent interview, he informed Logistics
         offer fast and efficient transportation   & Network Planning, Etihad Cargo,   Update Africa, "The main factor driving
         solutions for various industries, including   informed that "Etihad Cargo witnessed   demand for charters is disruptions in the
         mining, oil, and e-commerce.      a 35% increase in charter requests and   supply chain caused by extreme situations

       18 LUA                                                                                    MAY - JUNE 2024
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