“No doubt, at the biggest trade show for air cargo in 2023, takes on what the big crowd talked about have varied.
     Overwhelmingly it was mostly about people and relationships as Air Cargo Europe was absent for four years during the Covid pandemic.
     But things are moving fast and getting a handle on exactly what lies ahead for business in 2023 can be a bit of a challenge.
     We spoke to Ian McCool, Managing Director of International Airline Marketing IAM, a GSSA based in Dublin, who spent the last days talking to lots of people.
     “If MUC had taken place two months earlier, there may have been some very different discussion.
     “The general feeling is that the European market, since just before Easter, has gone through a dramatic change.
     “Macro-economic issues: Concerns of possible recessions, banking crisis, high interest rates, inflation, the continuing war in Ukraine, U.S. debt ceiling, tech slowdown, U.S. tensions with China, China tensions with Taiwan, emissions reductions and climate change.
     “Match the above with high inventory levels for many shippers, manufacturer slowdowns in some major markets, slowing global demand, increasing pax flight schedules, state and religious holidays in the last two months.
     “The basic economics of supply vs demand has stretched the elasticity of yields on certain trade lanes.”
     In 2023, IAM serves American Airlines Cargo, Etihad Cargo, Air Canada Cargo and All Nippon Airways, to name but a few.
     IAM is Ireland’s largest Air Cargo General Sales and Service Agent (GSSA), handling a quarter of all airfreight traffic from Ireland.
     “Ireland is now the only country in the EU with English as its first language.
     “Brexit remains the gift that keeps on giving; today Ireland is in a unique position.
     “It is a key part of one of the largest markets in the world, the European Union with very strong/established business/political connections with the U.S.”
     “The air cargo industry has always had the ability to react and adjust quickly.
     “Most markets are going through a period of adjustment, some a bit more dramatic than others.
     “Some sectors are holding up better than others such as specialist type traffic, i.e. temperature control, outsized cargo and express products.
     “The crystal balls are still a bit cloudy but through the gaps in the cloud, we can see some positive signs.
     “Most air cargo professionals are used to the cyclical and unforeseen market changes of our industry and have the know-how and experience to steady the ship and adjust the strategy.
     “The only certainly,” Ian notes, “I could glean from the many meetings and conversations during this welcome back week in MUC, is that we are in for a period of uncertainty.
     “The hopes and anticipation is that the situation will stabilize toward the last quarter,” Ian McCool said.
GDA/SSA