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COVER STORY Feeding the world Demand for air cargo soars as consumer appetite for food variety and healthier options grows “ As disposable income rises, consumer expenditure on food and beverages in the Asia-Pacific and Middle East and Africa regions will increase from 53% of global expenditure in 2017 to 60% by 2030. Urbanization and population growth are expected to aid this consumer spend. As a result, packaged foods and beverages are expected to become more accessible, with increased access to international brands and western food types. – Euromonitor International “ By Gemma Q. Casas Contributions from Oman Air, as the national airline, to the economy of the Sultanate of Oman have been very significant and these are expected to show further growth. Each new destination started, adds to an already existing successful bilateral relations apart from the trade, business and tourism prospects. In addition to our online network, we work with almost 75 interline partners helping us extend our selling horizon to all continents in the world. - Mohammed Ali Al Musafir Oman Air Senior Vice President, Commercial Cargo
COVER STORY he air cargo industry may just Taccount for transporting a third of world trade annually but they are considered high value goods worth trillions. And in recent years, much of these air flown goods constitute fresh produce from different farming villages immediately transported to various cities across the world with demand for healthier food options getting stronger. The food and beverage industry has become so big it contributed US$77.5 trillion in global economy in 2017, largely driven by the rise in population, urbanization and growth in middle class in emerging markets within Asia-Pacific, the Middle East and North Africa, according to leading market research firm Euromonitor International. Consumer expenditure on food and beverages was pegged at US$6.6 trillion or 8.5 percent of world GDP in 2017. Much of the growth was seen in Asia-Pacific, the Middle East and Africa. Air flown food is common practice nowadays that it's not surprising to see guests at a wedding reception in Shanghai eat succulent lobsters freshly harvested from Halifax, Canada flown within hours after being plucked from the ocean. Lobsters are a favorite staple in weddings in China despite high value on belief that they bring couples luck. China's new rich also consume lobsters at unimaginable proportions h e l p i n g C a n a d a ' s l o b s t e r industry—mainly in the maritime provinces of Nova Scotia, New Brunswick, Prince Edward Island and Newfoundland—to grow more than $5 billion in value annually. The demand for these crustaceans is also high in Europe, Japan, Korea and Thailand. In Dubai, airlifting food from all corners of the world at whim is also common—mainly among the affluent class. Wines from California, Chile, Argentina, France, etc. Caviar from Russia. Fresh seafood from Japan. Salmon from Norway. Edible flowers from Thailand or Africa. Chocolates from Belgium or Switzerland. Truffles from Italy. Lamb from Australia. Cheese and dairies from France. And the list goes on. And millions of expatriates in Dubai and the rest of the United Arab Emirates, including millions more in nearby countries around the oil-rich Middle East like Saudi Arabia, Kuwait, Bahrain, others, are also heavily dependent on air freight for their food on a regular basis. Poultry and processed meat from Brazil, New Zealand, Africa and Australia; grains and legumes from South Asia, Africa, Asia; vegetables and fruits from India, Iran and Pakistan, and so on. G r a p e s , c h e r r i e s , o r a n g e s , pomegranate, among other seasonal fruits, from Turkey, Egypt, Lebanon and Iran, are also regularly flown to Europe and other parts of the Middle East via air freight. And the demand for air transported fresh vegetables and fruits, fish, seafood, meat and dairies, and processed food is forecast to grow even more as consumers' appetite for food variety and healthier options get stronger. Healthy perishable market Emirates SkyCargo, the freight d i v i s i o n of E m i r a t e s , s a i d i t transported close to 400,000 tons of perishables year-on-year since the launch of its specialized service Emirates Fresh in April 2017 and is bracing for more shipments in the second half of this year. The Dubai-based freight carrier said fruits and vegetables were the largest category of perishables it transported at 150,000 tons with more than 20 percent sourced from India mainly for the UAE, home to a large expatriate population from all over the world. “The three different service levels of Emirates Fresh allow us to respond to the varied needs of perishables exporters. We continue to work with our customers and to invest in and develop Emirates Fresh as well as our other sector specific offerings. This is what helps us stay ahead of the game,” said Nabil Sultan, Emirates Divisional Senior Vice President, Cargo. The freight carrier transported over 65,000 tons of seafood and close to 60,000 tons of meat during the period. Salmon from Norway to East Asia, seafood from South Africa and Uganda to Europe and premium meat from Melbourne to the Middle East, were some of the high-value seafood items it carried along with close to 25,000 tons of meat exports from
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Page 15 and 16: GLOBAL NEWS US-China tariff war imp
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Page 24 and 25: COVER STORY Saudi Arabia, food and
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Page 30 and 31: FEATURE India's woes in transportin
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Page 37 and 38: TRUCKING Heavily challenged system
Page 40 and 41: AVIATION Airbus kicks off the Criti
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