The continent’s air cargo market is evolving significantly, fuelled by growing demand, increased infrastructure investment, and changing trade patterns, reports Keith Mwanalushi
The African air cargo market is evolving significantly, fuelled by growing demand, increased infrastructure investment, and changing trade patterns. However, despite these encouraging developments, challenges persist, and according to some industry projections, the sector is expected to grow more slowly in 2025.
The opportunities and challenges facing African aviation are extensive and include often-prolonged delays to policy initiatives aimed at advancing the sector. Meanwhile, airlines in particular operate in a vicious cycle of high operating costs and very slim margins. Political interference is common – although improving. And relatively low disposable incomes limit the propensity to travel by air and negatively impact load factors and the transport of goods by air.
There is a general recognition across all sectors of government and industry that barriers need to be removed in order for the sector to grow, Initiatives like the African Continental Free Trade Area (AfCFTA) aim to resolve such issues, but traction has been painfully slow. Security issues in some parts of the continent put a strain on air transport development, and some countries experience high levels of cargo crime.
However, on the plus side, many African nations are developing fairly strongly, in individual markets. And large populations in countries such as Nigeria provide a growing and potentially huge demand for air travel and air cargo. And unlike other regions like Europe, Africa has a fairly young population that is eager to consume.
Complex cargo landscape
On air cargo specifically, Africa presents a complex yet exciting landscape, according to analysts at Lufthansa Consulting. On the opportunity side, Catrin Drawer, partner and head of market Africa, highlights rising consumer demand, expansion of regional trade under AfCFTA, and the growing relevance of pharmaceutical and healthcare logistics all offering strong growth potential.
“East Africa continues to lead with strong exports of perishables such as flowers and vegetables from Kenya and Ethiopia to Europe, which remain a key driver of outbound volumes,” notes Drawer, citing West and Central Africa as predominantly import-driven, particularly for general cargo and high-value goods such as electronics and consumer goods.
Meanwhile in Southern Africa, the biggest challenge for air freight operators is the unidirectional flow of cargo – suggests Aaron Munetsi, chief executive at the Airlines Association of Southern Africa (ASSA). “This means the freighter might have a very profitable payload on the one sector but will not have any cargo on the other or return sector,” he says. Consequently, ASSA observes that shippers and freight forwarders often turn to alternative transport methods, such as road freight, to move their goods.
“Even though road freight is slow, the costs are much less than air freight and the shippers are able to incentivise their clients,” says Munetsi. Unidirectional flows of cargo are a bigger challenge for smaller African operators that lack the scale or resources to absorb losses caused by the imbalance. Munetsi believes this presents a valuable opportunity for freighter operators to consolidate their operations and collaborate with other freight or passenger carriers, enabling them to offer multidirectional services by leveraging their combined networks.
Additionally, Munetsi has also seen the removal of some non-physical barriers such as tariffs. Although this is a slow process, the pace is picking up, and he has seen the reduction or removal of some specific tariffs on goods produced in Africa along regional economic communities.
Falling demand in 2025
Despite the continuous uptick in air cargo volumes up until 2024, Lufthansa Consulting has monitored a sharp decline in African air cargo in the first quarter of 2025 – especially on the continent’s second-largest trade lane, from China to Africa, where tonnages were down by as much as 40% in the first few months of the year compared to the same period in 2024.
“How this trend will unfold in 2025 remains uncertain,” Drawer cautions, emphasising that African carriers must take proactive mitigation measures to prevent further decline in this critical revenue stream for airlines.
Some carriers, especially in East Africa, are taking growth seriously. In response to surging demand, Ethiopian Airlines (ET) now features more than 35 cargo destinations in Africa – up from 20 just three years ago – and is further developing its cargo hub in Addis Ababa – including an e-commerce logistics facility inaugurated last year. The latest cargo route is Macao in China with a capacity of 400 tonnes per week.
Kenya growth
At Kenya Airways Cargo (KQ), air freight currently contributes 10% to the overall business. “Our strategic goal is to increase this contribution to 20%,” says Peter Musola, head of cargo commercial.
KQ’s primary cargo routes in the Middle East include Dubai and Sharjah. In Africa, the network extends to destinations like Addis Ababa, Bujumbura, Dar es Salaam, Entebbe, Kigali, Khartoum, Lilongwe, Lusaka, Nairobi, Douala, Kinshasa, Abidjan, Accra, Lagos, Harare, Johannesburg, Juba, and Cape Town.
Among the diverse range of goods carried, including general cargo, perishables, courier-mail-express products, and live animals, pharmaceuticals and perishables are a growing component of the commodities verticals in the region. KQ Cargo maintains an end-to-end cool chain to ensure the integrity of such sensitive cargo thanks to “strict adherence to handling procedures from acceptance to delivery, supported by our fleet of temperature-controlled aircraft”, says Musola. On the ground, the airline relies on cool chain facilities specifically designed to maintain the freshness of perishable cargo.
Quality checks include regular compliance audits to verify that ground handling agents consistently meet the standards outlined in their service level agreements. “As for locations without cool chain facilities, we implement pre-clearance procedures and prioritise immediate delivery upon arrival,” Musola emphasises.
In addition to the four 20-tonne capacity Boeing 737-800 freighters in the fleet, the airline is evaluating opportunities to integrate widebody freighters into its operations such as of Boeing 767F, 777F, and Airbus A330F aircraft, aligning with a broader fleet development strategy, to support its long-haul cargo expansion plans.
Infrastructure plans
Within Kenya, the airport authority is strategically planning key infrastructure developments, including the establishment of sea-air terminals at Moi International Airport in Mombasa, the expansion of transit sheds at Eldoret International Airport, and the enhancement of cargo handling and cold storage facilities at Kisumu International Airport.
Jack Bwana, Commercial Manager – Cargo at Kenya Airports Authority, reports that alongside the ongoing Jomo Kenyatta International Airport (JKIA) master planning exercise in Nairobi, there are active discussions and proposals to expand ramp and tarmac facilities to accommodate heavier freighters and provide additional parking capacity.
In terms of cargo supply and demand dynamics, Bwana notes that the pharmaceutical lane from Brussels (BRU) to Nairobi (NBO) is increasingly solidifying its position as a key trade route. Bwana reckons this is mainly due to ground handling agents that are now CEIV-pharma certified by IATA and increased connecting flights out of NBO to other parts of Africa – for transiting pharma.
“New routes and markets for our perishables are being explored, particularly toward the East and Far East, now that we have direct flights in that direction,” says Bwana. “Growth in these markets will depend on the sustainability of flight operations and frequencies, but with such large populations, demand is not a concern.”
Bwana also highlights another key trend: like most parts of Africa, Kenya has a young population with a keen appetite for items like electronic gadgets, thus pushing up the e-commerce vertical.
Southern landscape
In Southern Africa, TAAG Cargo in Angola is set to launch freighter operations to multiple destinations in 2025, including Nairobi, Libreville (LBV), Kinshasa (FIH), Accra (ACC), Harare (HRE), and Lusaka (LUN). The first weekly freighter service between Luanda and Nairobi flew on 30 April with an estimated cargo capacity of 18,000 kg per flight.
David Ambridge, director of cargo at TAAG, believes that the new operations will significantly enhance the EU sales team’s ability to offer a wider range of destinations from Europe, particularly by leveraging the expanded African network.
Ambridge is eager for the airline to transition its international flights to the newly constructed airport in Luanda starting 1 June. The state-of-the-art facility is designed to handle up to 15 million passengers annually and features a brand-new cargo terminal with a handling capacity of 130,000 tonnes per year.
Collaboration among African carriers is widely regarded as essential to unlocking the full potential of air cargo on the continent. Ambridge emphasises that while collaboration is sometimes mistakenly associated with anti-trust concerns, it is, in his view, critical to the future success and sustainability of African aviation.
“At TAAG, we’re developing several interline partnerships with various airlines, which will enable us to expand our reach without operating those routes directly,” says Ambridge. “I believe ‘co-operation’ is a more fitting term, and it’s definitely a key part of TAAG Cargo’s future strategy.”
In nearby South Africa, regional operator Airlink relies on the belly space of its passenger fleet of 60 – comprising a mix of Embraer 135/140 and E175, E190 and E195s.
Hardus Kushke, Airlink’s executive manager for cargo, notes that while the airline serves a wide range of markets across the region, many of these are in countries facing economic challenges and limited diversification. Despite their large populations, these nations often have some of the lowest per-capita incomes, which results in a reduced propensity for air travel or air freight usage.
As a result, Airlink is taking a cautious approach to network expansion and thoroughly assesses each opportunity to determine the viability of opening a route or adding frequencies on existing services. “Margins are thin for airlines in Southern Africa and competition is fierce, but Airlink has resisted any temptation to get caught up in a fares and cargo rates race to the bottom – we focus on value for money, reliable, professional service delivery for most cargo commodities,” states Kushke.
Donald Trump’s dispute with South Africa over land reform policies led to significant cuts to U.S. aid programmes. On February 7, 2025, Trump signed an executive order freezing all U.S. foreign aid to South Africa – potentially impacting the local air cargo sector.
However, Kushke believes that, in general, trade has consistently persisted despite both global and local shocks. While short-term disruptions may occur, he sees no reason to expect a different outcome in the long run.
“USAid shipments account for very little of Airlink’s cargo business in comparison with operators based in Kenya,” he remarks.
Appetite for technology
TAAG Cargo plans to digitise as many of the current processes to help improve efficiency. Ambridge highlights a ULD pooling partnership with Unilode, which incorporates a strong focus on digitisation. “Digital readers will be installed at all our major gateways, enabling automatic tracking of all ULDs,” he explains. “This will eliminate many hours of manual work across our system.”
Additionally, Ambridge is keen to see the launch (later this year) of CHAMP’s Cargospot-neo handling software, a sophisticated and comprehensive cargo operations and terminal management system. “I have seen some demonstrations already and it is really state of the art,” he declares.
Digitalisation and public-private investment are helping modernise cargo handling, but skilled workforce shortages are still an issue. Zambia, for instance, is emerging as a regional logistics hub, and the local ground handler NAC2000 is advancing with more efficient, tech-enabled air cargo solutions to meet Africa’s increasing trade needs and unlock the continent’s full potential in global supply chains.
“There is a growing appetite across Africa to adopt new technologies aimed at enhancing cargo handling quality,” says NAC2000 managing director, Jonathan Lewis.
In fact, NAC2000 uses the Galaxy solution from Kale Logistics for its warehouse management system, and initiatives such as Kale’s development of Africa’s first Airport Cargo Community System (ACS) in Mozambique highlight a broader shift toward the digitalisation of cargo operations.
“We are upgrading our handling infrastructure with temperature-controlled storage, digital tracking systems, and modern ground support equipment to enhance efficiency and compliance,” Lewis states. NAC2000 is also expanding its regional network through strategic partnerships and bonded warehouse facilities to serve landlocked neighbours. “On the process side, we’re implementing paperless documentation, staff upskilling programmes, and quality control aligned with IATA standards,” Lewis adds.
Africa’s first ACS
In January, Kale Logistics announced that it will develop Africa’s first ACS, in partnership with Mozambique Airport Handling Service (MAHS). Initially, the services are to be extended to eight airports in Mozambique where MAHS is operating, followed by a further twelve in the subsequent phase. Vineet Malhotra, co-founder and director at Kale Logistics Solutions, says the key focus is to address critical challenges such as revenue leakage, limited visibility, lack of transparency, and dependence on physical documentation,” enhancing collaboration among stakeholders by enabling seamless digital interaction. “The key benefits include reduced paper trails, streamlined operations, and enhanced transparency – all contributing to a more efficient and digitally connected air cargo ecosystem,” he notes.
Kale declined to disclose a specific timeline for the implementations or any opportunities to spread this initiative elsewhere in Africa, although that is also expected to follow. Usually, the implementation cycle of a typical cargo community system ranges from 18 months to 12 months, as it involves making it accessible for all stakeholders across different processes and functions. In certain regions, it may also depend on the rate of adoption among the stakeholders.
But Africa’s first Airport Cargo Community System is expected to be somewhat ‘Africa-centric’, based on the uniqueness of the region. The potential challenges might be in terms of infrastructure, and the biggest opportunity is in leveraging the untapped potential of the African market, according to Kale.
