The African continent continues to outperform its peers, posting
impressive growth statistics in the recent Cargo Market Analysis for the third
quarter according to a report by the International Air Transport Association
(IATA).
It was also reported by the
association that African airlines transporting
freight in the region witnessed a 10.2
per cent increase in demand in August, building on the 2012 positive growth
trend.
According to Alan Cassels, Managing Director of DHL Express
Equatorial Africa, this positive growth bodes well for business in the region
as it translates into economic growth for the continent.
Cassels says that the increasing
freight volumes in the region can be linked to improved business and consumer
confidence as the airline industry performance tracks developments in the
global economy.
“It is extremely positive that
emerging markets such as those in Africa continue to outpace the Western
economies and, set against a backdrop of continued global economic uncertainty,
job stagnation, a very challenging European environment and a global debt
crisis, this shows the continued and increasing importance of Africa,” said
Cassels.
He says that the growth in both
cargo and freight volumes could be linked to the fact that many businesses,
both locally and globally, are looking to Africa for expansion and with the new
discoveries of gas and oil fields in Southern and Central Africa, coupled with
the technology and healthcare boom, there is an expected improvement in
regional trade expansion.
The IATA Cargo Market Analysis
report pointed to an increase in the number of air freight routes between
Africa and the Middle East, with the highest rate of 17.9 per cent recorded in
February. In contrast, the route between Europe and the Middle East only showed
1.4% growth over the same period.
The report noted that during the
first quarter of the year, the revenue earned from cargo leaving Africa was
$45.8 million, with inbound revenues totaling $333.7 million.
“While Africa only contributes 3
per cent of the global economy, it is growing the fastest. 28 of the 52
countries have 5 per cent average economic annual growth and countries like
Ghana, Ethiopia, Liberia, Mozambique, Niger and Uganda could potentially grow
up to 10 per cent.”
Cassels did however caution
against complacency. “Sub-Saharan Africa undoubtedly provides numerous
opportunities for both SMEs looking to reach out globally, and international
companies looking to expand. However, there are still numerous challenges
around infrastructure, labor relations and the ease of trade within the region
which need very urgent attention.”