How big is the air cargo market?

How big is the air cargo market?

In 2020, the global cargo airline industry was valued at 110.8 billion U.S. dollars and is expected to reach almost 123 billion U.S. dollars in size by 2021. The leading cargo airlines worldwide include FedEx, UPS and DHL.

Is the air cargo industry growing?

2021 as a whole was a strong year for air cargo, with volumes growing by 18.7% year-on-year, the best annual performance since our series started in 1990. CTKs were 3.5% above the previous peak year of 2018. That came after a 9.9% year-on-year fall in CTKs in 2020, the largest decline in the time series.

What are the values of air cargo?

Air cargo transports over US $6 trillion worth of goods, accounting for approximately 35% of world trade by value….Air cargo makes it happen.

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Which region has the highest air cargo market share?

Air cargo worldwide market share by region 2019 In that year, Asia-Pacific region had the highest market share, with 34 percent of the market.

What percentage of cargo is transported by air?

Air freight built a reputation for getting bulky, expensive goods from A to B as quickly as possible. Even today, the $6.8 trillion worth of goods transported by air cargo every year represents 35 percent of international trade by value but only 0.5 percent of total volumes.

Which are the main players in air cargo business?

The primary distribution channels for air freight and mail include: INTEGRATED EXPRESS CARRIERS: These carriers include FedEx, UPS, and DHL, which operate with a very tight shipping window to their Midwest distribution hub (FedEx in Memphis, UPS in Louisville, and DHL in Cincinnati).

What is the future of air cargo?

In that, air freight is projected to grow at a rate of 4.3% per annum while airmail will grow at an average rate of 2%. Air cargo market is and will be significantly stimulated by the boom of e-commerce, with its market size forecast to increase 20% per annum during the next five years, to about $5 trillion in 2021.

How many cargo planes are there in the world?

While the active global commercial fleet currently stands at 25,368 aircraft, the next 10 years will see 3.4% net annual growth, increasing the number to 35,501.

What is cargo tonne Kilometres?

AFTK. Available Freight Tonne Kilometres: the measure of a flight’s freight carrying capacity. Calculated by multiplying the number of tonne of freight on an aircraft by the distance travelled in kilometres. Used to measure an airline’s capacity to transport freight.

What are the 2 types of air cargo?

There are two types of air cargo – general and special cargo.

What are the 4 main types of cargo carried by air?

Types of Air Cargo Back

• Temperature Controlled.
• Hazardous Material/Dangerous Goods.
• Heavy weight and over dimensional freight.
• Live Animals.
• High Value/Fragile Items.
• Human Remains/Organs/Tissue Samples.

What is IATA rate?

The IATA Exchange Rates are reports used to perform interline invoicing and settlement between airlines. These are world currencies published and monitored against three base currencies (EURO, GBP and USD).

Which goods are best transported by air?

Generally the goods that are usually transferred through this means of transport are the following:

• Urgent goods.
• High volume goods.
• Intercontinental urgent mail.
• Spare parts and spare parts for land vehicles.
• Spare parts for the aerospace industry.
• Perishable food.
• Materials for fairs and events.
• Plants.

How do I start an air cargo company?

Steps to Start a Sea & Air Cargo Company

1. Knowing the Business. Study the freight-forwarding industry. …
2. Acquire Licenses for Shipping by Air and Sea. …
3. Air Cargo Certification. …
4. Sea Shipping Types. …
5. Acquire Cargo Planes. …
6. Formalize Your Business Plan.

Why sea freight is cheaper than air freight?

But, there are now ocean LCL services which can compete with air freight for time and are a lot cheaper. This is due to several reasons, including ships are getting faster, canal upgrades cutting delays on some routes, improvements to ocean tracking, and a much more competitive freight market.

What is the difference between air cargo and air freight?

The terms freight or cargo refer to the transportation of goods from one place to another, but cargo is typically only used for goods transported by plane or ship. Freight has a much broader definition and can also be applied to the transportation of goods via road, ocean, rail, and air.

How much cargo is transported by air a year?

Following somewhat slow growth in the early 2010’s, the global volume of air freight increased rapidly in recent years with freight volumes reaching 66.2 million metric tons in 2021. The air cargo market refers to the transportation of goods via air, either by commercial airlines or specialized freight companies.

How is air freight cost calculated?

Airlines calculate the chargeable weight of cargo by dividing the length x width x height (In cms) by 6000. When the figure you get is higher than the actual weight, the cargo is volumetric air freight and the air freight rates will be based on the higher figure.