Rise in air freight demand gives an optimistic direction to the continent

Africa is a region facing various critical economic situations. Many areas are facing draught and children are suffering from malnutrition. Then there is the problem of sea piracy prevailing, it shifts from one region to another according to the security conditions. Rise in the air freight demand is certainly good news in such situation where one cannot think of development. The rise is not a temporary condition; there is gradual increase in it and in the current year it is still rising.

One pointed Reason of the rise:

There is one major reason for the rise as indicated; the shipment of silicon materials is one underlying reason. The silicon materials are used in high-value consumer electronic and obviously are an important element in the build up. This shipment is done through air and not through sea, that is may be the reason why the air freight demand is increasing.

Impact of Increase in Freight Demand:

IATA’s Director General and CEO have stated some very positive impacts of the increase and one of which is the optimistic impact that the increasing exports are having on the businesses. The rise is after six years of uncertainty that the market experienced and it is certainly returning the confidence of the investors as well as the traders. Many cargo companies like Cargo to Africa plays vital role in the development of cargo business and goods transfer to and from Africa.

The story does not end here; there is still a lot of area to be covered by the continent in order to make the situation more favorable for the rise in living standards of the citizens. There is only one region in the continent that has everything for the occupants and that is South Africa. It is responsible for a major portion trade in the continent and due to the exporting power, its economy is strong and it is a partner to many strong global countries.

What is needed?

The question which is most important is that how the earned capital will reach the common man? Because if the reforms are not done from the lower level, the betterment of the people cannot take place. For this, the authorities have to make effort and eliminate the elements that are disturbing the whole system. First one is corruption, then there is a lack of communication among the institutions and these two things contribute a lot to interrupt the even flow of money to all levels.

Findings of IATA:

Africa air freight demand is the leading one in the global market. According to the figures given by International Air Transport Association (IATA), Africa showed the highest rate of year-to-year increase and the increase is not specific to any demand, it is in all regions. The recorded increase is not specific to any one region, but all in general have shown the rise.

The freight volumes have grown to 33.5 percent and the capacity of the region has grown to 6 percent as compared to last year. If we see in the present year, since the start of this year, the rise has been recorded as 11 percent and the capacity has risen to 3.7 percent in the mean time.