Stabilising condition in the aviation market are beginning to ease the sharp air cargo rate rise seen since the onset of the Iran conflict. As per WorldACD, average global spot rates rose just 1 per cent week on week to US$ 3.73 per kg for the week ending April 19, marking a slowdown from previous weekly gains. Since late February, rates have surged 40 per cent overall, averaging a 6.5 per cent weekly rise. However, the pace is now moderating as market stability improves. Growth was largely driven by a 3 per cent increase in Asia-Pacific-origin spot rates, reaching US$ 5.14 per kg. Capacity constraints are easing. Middle East and South Asia capacity remains down 30 per cent since the conflict began, an improvement from 35 per cent the previous week. South Asia capacity is nearing pre-war levels, while the Gulf shortfall has narrowed.
