Airfreight prices declined for the fourth month in a row in February and the tough market conditions are expected to remain this year.
The latest figures from Drewry’s Sea & Air Shipper Insight shows that in February airfreight prices slipped to their $2.57 per kg − the lowest level since the index was launched in 2012.
It is also the fourth month in a row that prices have declined, since climbing to $3.24 in October last year.
Yields are also down on this time last year, when the Drewry report recorded prices of $2.57.
The consultant said it expected airfreight rates to “remain challenged over the course of the year by weak global demand yet rising capacity, as buoyant passenger traffic releases more bellyhold space”.
The weak airfreight prices are reflected in global load factors. For January, IATA said global average cargo load factors had slipped to 41.3%, which is the lowest level since July 2015 and 4.2 percentage points behind the level recorded a year earlier.