Page 10 - LUA September - October 2023 Magzter
P. 10

INDUSTRY REPORT




         What is fueling the growth of

         CARGO CHARTER




         DEMAND IN AFRICA?






        Africa is primed to become the market that businesses will           booking platforms, transparent tracking
                                                                             systems, and a diverse range of aircraft
        seek to enter in the future. The air cargo charter sector is         options to cater to specific cargo needs,”
        undergoing a dramatic transition, but what are the primary           says Jenny Van Wyk, Country Manager,
        drivers of growth? reports Zinal Dedhia.                             Chapman Freeborn South Africa.
                                                                                The surge in air cargo volumes has a
                                                                             positive prospect for air cargo providers and
                frica has been an important   in aviation fuel cost will limit the growth of   cargo charter operators. This also leads to
                region noted for its various   the air charter sector. Some of the world's   the renewal of long-term charter contracts.
                landscapes and rich cultural   largest charter operators have reported   “Customers who are in the market for
         Alegacy. Africa, being the        strong demand for cargo charters but what   chartering aircrafts do so because they
         world's most central continent, is an   are the significant customer demands?  need a solution that is customizable, faster
         ideal hub for reaching the far reaches   “Our customers' primary requirement   and more reliable than regular air freight.
         of the globe. In addition, it is the most   when chartering an aircraft is swift and   After a long time of global supply chain
         prosperous area, making it an excellent   tailored solutions for cargo transport.   disruptions, customer expectations are
         choice for businesses.            To fulfil this need, we provide efficient   at an all time high, meaning that we as a
           However, in the current age of                                    logistics provider need to keep pushing
         globalisation, Africa's actual potential                            the envelope and improve our service to
         as a vital hub for global trade is only                             keep up with those expectations,” says
         just beginning to be fully recognised.                              Daniel Randig, Senior Vice President
         This rising idea of Africa as a significant                         Air Logistics, Middle East & Africa at
         logistical centre not only shows its strategic                      Kuehne+Nagel.
         position, but also emphasises its economic                             One of the major reasons for the increase
         growth objectives.                                                  in demand for cargo charter operators is
           Similarly, rising demand in the air cargo                         the shipment of oversized and difficult-to-
         industry bodes well for air cargo providers                         fit products in comparison to the standard
         and cargo charter operators, fueling                                logistic containers and aircraft used by air
         the market for the air charter services.                            cargo operators. We asked the industry
         Customers' need for immediate and                                   players to understand if there has been a
         prompt delivery of their items has resulted                         change in demand post-pandemic.
         in an increase in the number of shipments                              “The main change we have seen in the
         transported by air in recent years.                                 last couple of years is a widening in lanes
                                                                             and in the commodities shipped. Yes, the
         DEMAND MODIFIED                                                     traditional northbound into Europe for
         The rising demand for cargo charter                                   perishables and the southbound with
         services is significantly driving the                                   spare parts are still going strong, but
         expansion of the air charter services                                       we saw an increased demand for
         market, while challenges such as volatility                                     flights connecting Africa













       8 LUA                                                                             SEPTEMBER - OCTOBER 2023
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