Swiss air freight company receive improved results

Panalpina has recently revealed that its air freight volumes increased by 13% in 2013 within a market that grew by only 1%. The Swiss company moved a reported 825,000 tonnes by air last year, assisting in the improved figures for Panalpina.

Gradual increase resulted in freight rates becoming under pressure, with the situation not being helped by increasing fuel prices during 2013. Competitive pressure led to a gross profit per tonne for airfreight suppliers, with this falling by 2%. Out of the company’s three product areas, including logistics, ocean freight and air freight, Panalpina saw its air freight receive the most growth in profit terms, increasing by 40%.

Panalpina is hopeful for a successful 2014 in regards to air freight. Rates are anticipated to undergo a sideways trend due to new aircraft deliveries increasing the supply and demand. While the demand for passenger service outgrows the demand for cargo by nearly twice as much, Panalpina will also focus their attention to areas such as perishables, consumer, fashion and retail, as well as improving its activity in regards to healthcare.