ACU Dec-18 Final LR

ANALYSIS
he air cargo industry may just
Taccount for transporting a
third of world trade annually
but those are high value goods worth
trillions.
In recent years, much of these air
flown goods constitute fresh produce
from different farming villages
immediately transported to various
cities across the world as the demand
for healthier food options get
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
waters. Lobsters are a
must in weddings in China
despite high value on
belief that they bring luck
to the couples.
China's new rich consume lobsters
at unimaginable proportions helping
Canada's lobster 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