IBA launches freighter advisory practice to service the predicted growth in the sector

Eleanor Steed
By Eleanor Steed August 9, 2017 16:27

IBA launches freighter advisory practice to service the predicted growth in the sector

Independent aviation consultancy firm IBA has introduced a new Freighter Advisory practice within the firm. This focused team is formed against a backdrop of a surge in freight volumes in the first half of 2017 and is headed by Moshe Haimovich – Head of Freighter Advisory.

Phil Seymour, CEO of IBA explains why IBA is providing advisory service to the freight sector. “According to IATA’s latest June Freight Analysis report, global freight volumes rose by nearly 11% year-on-year in the first half – this is the fastest pace of growth since October 2010. These results are further endorsed by IBA.iQ, our insight and analysis database that supports aviation investment. “

“With Boeing and Airbus forecasting that the freighter market will require 2,480 and 1,950 additional freighters respectively over the next twenty years, in this positive environment we felt it was the right time to supplement our internal resources with a highly experienced and knowledgeable industry expert and we’re very pleased to welcome Moshe to the management team.”

Seymour goes on to says that airlines based in Europe and Asia Pacific accounted for around two-thirds of the annual increase in freight volumes, with the remainder split almost equally between North American and Middle Eastern carriers. Even the modest positive contribution made by African airlines was the strongest in nearly seven years.

“This can all be measured against improved world trade conditions which have picked up since the middle of last year and business surveys continue to indicate healthy export order books for global manufacturers. IBA concurs with IATA in noting that the global airfreight tonne kilometres (FTKs) grew by 12.7% year-on-year in May 2017, up from 8.7% in April 2017. Driven by the growth of e-commerce and by industries reliant on the movement of time sensitive and high-value goods such as consumer electronics and perishables, demand for freighter aircraft has significantly increased from 2015. IBA is already seeing that the P2F cargo conversion sector rate is stepping up to meet demand, but inevitably there are pitfalls for the unwary even in a buoyant sector.”

Eleanor Steed
By Eleanor Steed August 9, 2017 16:27