Air Cargo Capacity Crunch to Drive Forwarder Consolidation

coracle News

The likelihood of mergers and acquisitions in the air cargo sector is increasing with smaller forwarders scrambling to keep up with demand.

The pressure, of course, comes from a combination of higher demand created by e-commerce and the huge loss of cargo capacity from the grounding of passenger aircraft. Recent smartphone and electronics launches as well as the upcoming holiday season aren’t helping. It’s increasingly important to have access to a dedicated freighter network. [1]

With uncertainties around the second wave, and anticipated cargo space needed to distribute vaccines, constraints are expected to continue through to the end of 2021. Canaan continues to work with airline partners securing contract spacing for customers for urgent cargo.

Air cargo capacity crunch to drive forwarder consolidation, Journal of Commerce