AIR cargo has emerged as a crucial revenue stream for airlines navigating volatile passenger demand and rising operational costs in 2024, reports Qatar's Gulf Times.
While passenger flights often dominate headlines, it is the cargo holds beneath them - and the dedicated freighter fleets in the skies - that are quietly making the money for airlines worldwide.
Airlines that focused on passenger services are now leaning heavily into cargo to diversify revenue and fortify their financial resilience, said the report.
For many carriers, cargo operations represent a lifeline, particularly as global economic uncertainty tempers leisure and business travel recovery in certain regions.
Air cargo is expected to generate over US$150 billion in revenue globally in 2024, according to IATA. This figure is bolstered by an enduring demand for the fast transportation of goods, including e-commerce, pharmaceuticals, perishables, and high-value goods like electronics.
The rise of global supply chain complexities has further underscored the role of air freight as an indispensable pillar of international trade.
Air cargo often outpaces passenger flights in profitability due to its ability to generate higher yields per available tonne-kilometre and its operational flexibility.
Unlike passenger services, which depend on fluctuating travel demand and face intense competition, air cargo can adapt swiftly to global supply chain needs, commanding premium rates for transporting high-value, time-sensitive goods.
SeaNews Turkey
While passenger flights often dominate headlines, it is the cargo holds beneath them - and the dedicated freighter fleets in the skies - that are quietly making the money for airlines worldwide.
Airlines that focused on passenger services are now leaning heavily into cargo to diversify revenue and fortify their financial resilience, said the report.
For many carriers, cargo operations represent a lifeline, particularly as global economic uncertainty tempers leisure and business travel recovery in certain regions.
Air cargo is expected to generate over US$150 billion in revenue globally in 2024, according to IATA. This figure is bolstered by an enduring demand for the fast transportation of goods, including e-commerce, pharmaceuticals, perishables, and high-value goods like electronics.
The rise of global supply chain complexities has further underscored the role of air freight as an indispensable pillar of international trade.
Air cargo often outpaces passenger flights in profitability due to its ability to generate higher yields per available tonne-kilometre and its operational flexibility.
Unlike passenger services, which depend on fluctuating travel demand and face intense competition, air cargo can adapt swiftly to global supply chain needs, commanding premium rates for transporting high-value, time-sensitive goods.
SeaNews Turkey
