Business A.M
No Result
View All Result
Monday, February 16, 2026
  • Login
  • Home
  • Technology
  • Finance
  • Comments
  • Companies
  • Commodities
  • About Us
  • Contact Us
Subscribe
Business A.M
  • Home
  • Technology
  • Finance
  • Comments
  • Companies
  • Commodities
  • About Us
  • Contact Us
No Result
View All Result
Business A.M
No Result
View All Result
Home Analyst Insight

Improving air cargo in Africa

by Admin
January 21, 2026
in Analyst Insight

Africa’s unique geographic position between Asia, Europe, and the Americas remains a valuable advantage for air cargo. Considering the changes and improvements in the infrastructure, expansion, technology integration, and process optimization, the future holds promise for air cargo in the continent.

 

Recently, the International Air Transport Association (IATA), the global body that represents, leads and serves the airline industry, called on governments and industry to remain focused on delivering the fundamental expectations of customers — safety and security, digitalisation and sustainability. To meet customer expectations and navigate an increasingly complex environment, the air cargo industry must continuously strengthen safety and security, fast-track digitalisation, and deliver on its sustainability commitments, it said.

 

In a recent report by IATA, the aviation industry’s air cargo demand, measured in Cargo-Tonne-Kilometers (CTK), climbed 4.4 percent YoY in March. It stated further that air cargo demand grew across most regions in March 2025. Asia Pacific led the growth with a 9.3 percent increase, followed by Latin America and the Caribbean at 5.6 percent. North American carriers rebounded from a decline (1.3%) in February to achieve a growth rate of 3.7 percent. European airlines experienced a 4.4 percent increase.

 

The report pointed out that carriers in the Middle East and Africa faced ongoing challenges for the third consecutive month. The Middle East recorded its smallest decline so far at 3.3 percent, while Africa saw its sharpest drop at 13.4 percent.

 

The Middle East and Africa regions are experiencing the effect of a strong 2024, which suggests that 2025 will be a challenging year, says IATA. So Africa’s strategy to grow air cargo will be hinged on  improving efficiency, visibility, and data quality for cargo operations.

 

The African air cargo industry faces several challenges that hinder its growth and efficiency, namely, high expenses as cargo handling fees, high fuel costs, and freight taxes decrease the value proposition of air cargo services, making it challenging to maintain profitability.

Insufficient cargo infrastructure, leading to delays, increased handling times, and potential damage to perishable goods. Political instability and regional conflicts can cause airspace closures, longer travel times, and safety threats, posing significant challenges to cargo operations. 

 

The industry needs to adopt advanced technologies, such as digital platforms for cargo tracking and automated systems for cargo handling, to improve operational efficiency, safety, and compliance. Leveraging technology will give the industry significant mileage in improving on air cargo in Africa.

 

The prospects for growth in air cargo are encouraging on the back of an expanding middle class leading to increased demand for cargo services for delivering international and higher-value goods, particularly in urban centers. Another is E-commerce Growth which has resulted in rapid expansion of e-commerce, anticipated to grow at a compound annual growth rate (CAGR) of 8.46 percent from 2025 to 2029, reaching an estimated value of $56.03 billion by 2029. Then there is the African Continental Free Trade Area (AfCFTA) that is expected to increase demand for air cargo services by reducing trade barriers and coordinating regulations.

 

In meeting the needs of air cargo customers, IATA points out that safety is the top priority for air transport and in the case of air cargo the specific focus is on the safe transport of lithium batteries. Shipments of lithium batteries, it says, are growing in volume. With that comes increased risks associated with undeclared or mis-declared goods.

 

Security is another need of air cargo customers and IATA points out that a coordinated, risk-based approach to air cargo security is needed following recent incidents involving incendiary devices concealed in shipments. It stressed the importance of harmonised responses based on global standards.

 

With respect to digitalisation, IATA pointed out the central role of ONE Record as the industry’s standard for end-to-end digital data exchange, supporting improved efficiency, compliance, and transparency. The industry’s goal is clear, it further stated: by January 2026, ONE Record will become the preferred method of sharing data.

 

IATA’s ONE Record initiative aims to revolutionise air cargo data exchange by introducing a standardised, digital approach. Here, data owners maintain control over their information, reducing errors and inconsistencies. Stakeholders can access relevant shipment data, promoting smoother logistics and transportation. ONE Record facilitates direct connectivity between industry stakeholders, enabling new cooperative IT solutions and innovations. It creates a foundation for true digital air cargo, allowing for collaborative and automated digital services.

 

In meeting the need of customers for sustainability, IATA points out that the air cargo industry continues to embed sustainability into its operations, with growing efforts to reduce waste, implement circular practices, and phase out single-use plastics. It also highlighted the fact that progress is also being made on the sector’s largest environmental challenge — reducing carbon emissions.

 

The air cargo industry is working towards full implementation of ONE Record by January 1, 2026. While challenges exist, the potential benefits of improved efficiency, visibility, and data quality make it an exciting development for the industry.

 

  • business a.m. commits to publishing a diversity of views, opinions and comments. It, therefore, welcomes your reaction to this and any of our articles via email: comment@businessamlive.com 
Admin
Admin
Previous Post

Pascal G. Dozie: Reflection on the man after my divine meeting

Next Post

What do you think of little drops of water?

Next Post

What do you think of little drops of water?

  • Trending
  • Comments
  • Latest
Igbobi alumni raise over N1bn in one week as private capital fills education gap

Igbobi alumni raise over N1bn in one week as private capital fills education gap

February 11, 2026
SIFAX subsidiary bets on operational discipline, cargo diversification to drive recovery at Lagos terminal

SIFAX subsidiary bets on operational discipline, cargo diversification to drive recovery at Lagos terminal

February 10, 2026

Reps summon Ameachi, others over railway contracts, $500m China loan

July 29, 2025
NGX taps tech advancements to drive N4.63tr capital growth in H1

Insurance-fuelled rally pushes NGX to record high

August 8, 2025

6 MLB teams that could use upgrades at the trade deadline

Top NFL Draft picks react to their Madden NFL 16 ratings

Paul Pierce said there was ‘no way’ he could play for Lakers

Arian Foster agrees to buy books for a fan after he asked on Twitter

AfriGO cards launch on PalmPay app as Nigeria pushes domestic payments adoption

AfriGO cards launch on PalmPay app as Nigeria pushes domestic payments adoption

February 15, 2026
Credit constraints, price volatility cloud agribusiness outlook

Credit constraints, price volatility cloud agribusiness outlook

February 15, 2026
Bedrock Residences appoints Kofo Ati-John as chairman

Bedrock Residences appoints Kofo Ati-John as chairman

February 14, 2026
Nigerian Breweries rated ‘buy’ as analysts see stronger earnings demand driving recovery

Nigerian Breweries returns to profitability with N99bn net income

February 14, 2026

Popular News

  • Igbobi alumni raise over N1bn in one week as private capital fills education gap

    Igbobi alumni raise over N1bn in one week as private capital fills education gap

    0 shares
    Share 0 Tweet 0
  • SIFAX subsidiary bets on operational discipline, cargo diversification to drive recovery at Lagos terminal

    0 shares
    Share 0 Tweet 0
  • Reps summon Ameachi, others over railway contracts, $500m China loan

    0 shares
    Share 0 Tweet 0
  • Insurance-fuelled rally pushes NGX to record high

    0 shares
    Share 0 Tweet 0
  • What’s Behind the Fourth-Quarter Earnings Dip?

    0 shares
    Share 0 Tweet 0
Currently Playing

CNN on Nigeria Aviation

CNN on Nigeria Aviation

Business AM TV

Edeme Kelikume Interview With Business AM TV

Business AM TV

Business A M 2021 Mutual Funds Outlook And Award Promo Video

Business AM TV

Recent News

AfriGO cards launch on PalmPay app as Nigeria pushes domestic payments adoption

AfriGO cards launch on PalmPay app as Nigeria pushes domestic payments adoption

February 15, 2026
Credit constraints, price volatility cloud agribusiness outlook

Credit constraints, price volatility cloud agribusiness outlook

February 15, 2026

Categories

  • Frontpage
  • Analyst Insight
  • Business AM TV
  • Comments
  • Commodities
  • Finance
  • Markets
  • Technology
  • The Business Traveller & Hospitality
  • World Business & Economy

Site Navigation

  • Home
  • About Us
  • Contact Us
  • Privacy & Policy
Business A.M

BusinessAMLive (businessamlive.com) is a leading online business news and information platform focused on providing timely, insightful and comprehensive coverage of economic, financial, and business developments in Nigeria, Africa and around the world.

© 2026 Business A.M

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • Technology
  • Finance
  • Comments
  • Companies
  • Commodities
  • About Us
  • Contact Us

© 2026 Business A.M