The Imbalance Between Supply & Demand Will Keep Air Freight Rates High

The shortage of carrying capacity in the air cargo market is currently around 30% despite the higher level of cargo turnover against the pre-pandemic period – such information was presented as part of a thematic discussion at TransRussia international conference in Moscow.

A sharp imbalance between supply and demand caused the air freight increase by 4–5 times over 2019. They now ask $ 20–25 per kilogram there where the rate was $ 4–5.

As restrictions on air cargo preserves in 2021 and the demand continues to grow, the rates will be higher than in 2019. Airport service disruptions and delays due to staff shortage against the ongoing COVID-19 pandemic are expected.

“Carrying capacity limits differ from one route to the other,” comment air transportation specialists at TELS Group of Companies. “This brings about significant changes to the existing cargo delivery schemes involving air carriers. Now we are working more with those European airports that have fewer air traffic restrictions in different regions and more planes along the routes. So the optimal scheme is determined by the task where from and where the cargo has to be delivered.”