Freight forwarders are continuing to opt for short-term airfreight deals as volumes and rates continue to decline.
The latest statistics from Xeneta-owned CLIVE Data Services show that in November air cargo volumes declined 8% year on year and were down 2% on October, while the dynamic load factor – based on weight and space – was down five percentage points on last year at 61%.
Average rates for the month were down 27% on a year ago, but remain 85% ahead of 2019 levels.
The declines have resulted in forwarders taking a ‘wait-and-see’ approach before committing to long-term capacity deals in case prices continue to decline, said CLIVE.
In total, just 2% of contracts were for longer than six months (see chart at end of article), CLIVE data showed.