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There are “a huge number of challenges” facing the air cargo industry, and the broader aviation space, with staffing a major concern, according to TIACA director general Glyn Hughes.
He said that, early in 2022, “the industry was doing well and the global economy looking good, despite COVID. And then a certain event happened in Europe – the invasion of Ukraine. »
This impacted energy costs, the price of fuel in the industry, the cost of production and consumers’ purchasing power.
“All this led to economic activity slowing down pretty rapidly in Europe, and then pretty rapidly elsewhere. We’ve now got record-high inflation. And the number-one way governments and financial institutions address inflation is by increasing central bank rates.”
The upshot for the industry, he said, is that consumers have less to spend on things that are moved by air.
While the slowing economy is impacting demand, staff shortages across the entire aviation space have emerged as a pressing issue, stressed Hughes.
Read more in an article from The Loadstar.