IAG Cargo sees Europe-Asia demand soar as ocean capacity contracts

The airfreight carrier’s cargo volumes from Europe to Asia Pacific jumped 23 percent in the first two months of 2017 thanks to “widely reported” capacity constraints in ocean shipping, according to David Shepherd, commercial director at IAG Cargo.    IAG Cargo has seen airfreight demand from Europe to the Asia Pacific region soar thanks to contracting ocean capacity, the company said in a statement.
   The airfreight carrier has seen Europe-Asia cargo volumes jump 23 percent in the first two months of 2017 compared with the same 2016 period. In particular, the fashion, spare parts, fresh fish and leather goods product categories have been in high demand, the company said.
   In addition, IAG reported a 4 percent year-over-year increase in tonnage from Europe to the rest of world and 6 percent growth in outbound volumes from Asia.
   According to David Shepherd, commercial director at IAG Cargo, the increased demand can be attributed, at least in part, to recent capacity constraints in container shipping.
   “This spike in demand comes at a time when constraints on sea freight capacity across Asia Pacific routes have been widely reported,” said Shepherd. “While this boost is likely to deliver a short term positive impact, we believe our network makes us well placed to demonstrate the long term value air cargo can offer to forwarders.”