Why air charters can be the ideal solution

As air freight rates continue to rise, lack of passenger aircraft has led to a major reduction in capacity. Meanwhile, a distressed shipping industry adds further pressure. With Chinese New Year fast approaching, now could be the right time to consider using air charters.

In recent months, we have seen a dramatic surge in enquiries from new customers looking for agile, resilient and reliable solutions to move their goods – as well as a specialist provider with the relevant expertise. We have now supported numerous customers with air charters and have moved a wide range of goods – from fashion to PPE – around the world.

There are a great number of advantages to using our air charter services, which include:

  • Increased speed and agility
    Faster turnaround, reduced risk of delays and 24/7 availability through our Rapid Response team
  • Cost efficiency
    Ligentia’s robust network of contacts mean we are able to find the most cost-efficient solution for you
  • Flexibility
    With exclusive use of the aircraft, the process can be scheduled to suit your specific requirements
  • In-flight tracking and visibility
    We provide full visibility and transparency through our PO management platform, named Ligentix
  • Specialist knowledge
    Our team is experienced in handling urgent shipments of both a sensitive and complex nature
  • On-the-ground support
    Our experts are on-hand to assist you to ensure smooth operations throughout the process

If you would like more information on the air charter services currently available from Ligentia, please email lee.aldermandavis@ligentia.global

Last week IATA released their May 2019 Air Freight Analysis report, stating in seasonal adjusted terms the level of freight tonne kilometres (FTK’s) ticked up modestly for the third consecutive month, suggesting we may be past the low point of this cycle, although the recovery remains tentative at this stage.

The weakness in freight volumes compared with a year ago remains broad-based. As was the case in April, Africa and Latin America contributed positively to industry-wide- on-year- FTK growth result.

From the recent G20 talks it appears that US-China trade relations have thawed somewhat and negotiations will recommence shortly.

This follows the end-June announcement of President Trump cancelling the planned 25% tariff on an additional $300bn worth of Chinese goods.

Airlines have responded to the period of weakness in freight demand partly through reducing capacity in the market. Growth in available freight tonne kilometres (AFTK’s) slowed to just 1.3% in May 2019 compared to May 2018.

While this represents a relatively modest increase, the growth of supply is still around 5 percent points higher than that of demand growth. Consequently, the industry-wide freight load factor maintained the downward trend seen in the last 13 months, and is currently a substantial 2.3% points below its level a year ago.

Asia Pacific & Middle East

Amidst the implementation of a new round of tariffs on US-China trade in mid-May, international FTK’s flown by airlines based in Asia Pacific fell by around 7% year-on-year in May, after a revised 11% decrease in April.

The effect of the US-China trade war has clearly had an impact on the regional growth in Asia Pacific. This is despite evidence suggesting that production lines had shifted within the region to try to counter the adverse effects of the rising trade tensions between China and the US.

North America

North America has seen the weakest outcome since early 2016, with international freight volumes deteriorate by 3.2% year-on-year.

Latin America

After three consecutive months of international freight growth, Latin America returned to negative year-on-year growth in May. International FTK’s are currently 0.5% below their level of May 2018.

Europe

International FTK’s for the European carrier are currently unchanged from their year –ago level. This represents a substantial improvement from an annual decline of 6.7% last month.

Africa

Airlines in the smaller Africa international market posted a swift 8.3% growth compared to the same period last year, making Africa the strongest performer on that measure for the 3rd consecutive month.