Shippers and forwarders are a worried lot as their first quarter budget has completely disappeared. The ongoing Red Sea turbulence has had a direct impact on the Indian air freight business. Many companies are anticipating a stabilisation in air freight costs.
The Indian air freight sector is currently suffering from extreme instability, and all freight forwarding firms are dealing with uneven air movement.
Shippers and forwarders are dissatisfied as their first quarter budget has nearly disappeared. The ongoing Red Sea trouble has had a direct impact on the Indian air freight business.
Many companies are anticipating a stabilisation in air freight costs. However, it appears that Red Sea and Blue Sky are fighting it out to find a midway solution—an equator.
Listed below are several elements and variables influencing the Indian Air Space market.
1.A sudden increase in demand for air freight because of the Red Sea situation.
2.With financial year in India coming to a closure, more dispatches than in the second quarter of the year.
3.The USA and European Union markets have a strong demand for Indian mangoes. By February-end, mango exports have climbed to 600–700 tonnes weekly.
4.Since mangoes are profitable business and have strong loadability, airlines prefer to ferry them.
5.Mangoes season will close in May-end or the second week of June in 2024, other cargo, including vaccines and life-saving medications, account for as much as 35 to 40 per cent of the belly capacity.
7.The next products are the rapidly expanding e-commerce and courier industries, which are in great demand and require precise delivery from premium-rated businesses.
8.Newspapers and other perishable products as well as some unusually shaped and expensive products, come next.
9.The last possibility is general cargo with a minimum capacity of 25 per cent of the belly hold.
10.This makes up a significant portion in all aircraft. General cargo rate (GCR) is still waiting in the queue to make an airline reservation. At present, with the airline revenue management system auctions off, the highest bidder receives the first available space out of the origin airport.
